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        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

            Thursday, January 3, 2008, Vol. 11, No. 2

                            Headlines

A U S T R A L I A

CENTRO PROPERTIES: Fails to Divulge AU$1-Billion Debt
CHRYSLER LLC: "Operationally" Bankrupt, CEO Nardelli Says
COMMSCOPE INC: Completes Andrew Acquisition for US$2.65 Billion
GENERAL CABLE: Gregory Kenny Steps Down as President and CEO


C H I N A ,   H O N G  K O N G   &   T A I W A N

3-CON ELECTRONICS: Court to Hear Wind-Up Petition on Jan. 23
AU OPTRONICS: To Detail Next-Generation Plans on January 30
BILLION MARKET: Court to Hear Wind-Up Petition on Jan. 30
BOSHI & CO: Court to Hear Wind-Up Petition on Jan. 23
BOWA BANK: Workers Demand 60% Retention Rate

CHINA BUCYCLE: Creditors' Proofs of Debt Due on January 18
COSMOS BANK: Completes Capital Injection from SAC and GE
DELUX WAY: Court to Hear Wind-Up Petition on Jan. 23
ELEET GAMING: Court to Hear Wind-Up Petition on Jan. 23
ERGO DECORATION: Court to Hear Wind-Up Petition on Jan. 30

FRIGAID HK & TRADERS: Appoints New Liquidators
GRAND HEAVEN: Court to Hear Wind-Up Petition on Feb. 6
HARVEST 2000: Court to Hear Wind-Up Petition on Jan. 23
LEADSON GARMENT: Court to Hear Wind-Up Petition on Feb. 13
NICE ISLAND: Creditors' Proofs of Debt Due on January 4

PERFORMANCE INVESTMENT: Will Hold Final Meeting on Jan. 15
POLYLINK (INT'L): Court to Hear Wind-Up Petition on Jan. 30
QISDA CORP: TRC Affirms 'twBB' Ratings on Expected Improvement
QUANTA COMPUTER: Plans to Build Plant in Vietnam, Report Says
TIC TAC: Court to Hear Wind-Up Petition on Jan. 30

TRABLE INDUSTRIES: Court to Hear Wind-Up Petition on Jan. 9
WHOLE WIN: Court to Hear Wind-Up Petition on Jan. 23


I N D I A

ALCATEL-LUCENT: Hires Mr. Mohan as President of Indian Business
BHARTI AIRTEL: Temasek et al. to Invest US$1 Billion in Infratel
DUNLOP INDIA: Ceases to be Sick Unit; Out of BIFR's Scope
EMCO LTD: Grants 2,000 Stock Options to Employees
IMAX CORP: Limited Liquidity Cues S&P to Affirm CCC+ Rating

QUEBECOR WORLD: Banks and Sponsors Grant Waivers Until March 31
TATA MOTORS: Set to Launch World's Cheapest Car on Jan. 10
TATA STEEL: Starts Work on Jamshedpur Plant Expansion Project


I N D O N E S I A

BANK LIPPO: Shares Fall After Disclosure of Merger Plan
BANK LIPPO: S&P Says Ratings Unaffected By Proposed Merger Plan
BANK NIAGA: Partners With  Mobile-8 in Electronic Payment


J A P A N

ALITALIA SPA: Board Selects Air France-KLM as Preferred Buyer
HARMAN INT'L: Gary Steel to Serve on Board of Directors


K O R E A

LG TELECOM: To Implement New Billing System This Month
HANAROTELECOM: Selects Alcatel-Lucent to Supply Network Solution
RHODIA SA: Restructures Acetow Business in Germany
RHODIA SA: Names Gerard Collette as President of Acetow Arm


M A L A Y S I A

ARK RESOURCES: Updates Bursa on Default Status as of Dec. 31 '07
LITYAN HOLDINGS: Payment Default Reaches MYR27MM as of Dec. 31
MEGAN MEDIA: Posts MYR32.85-Mln Net Loss in Qtr Ended October 31
TANCO HOLDINGS: Completes Scheme of Arrangement
TAP RESOURCES: Incurs MYR.773-Mln Net Loss in 2nd Quarter 2007

TENGGARA OIL: Incurs MYR1.69-Mil. Net Loss in Qtr Ended Oct. 31


M O N G O L I A

ERDENET MINING: S&P Places 'B' Rating On Watch Positive


N E W  Z E A L A N D

HERITAGE GOLD: Raises NZ$961,972 From Pro Rata Rights Issue
PACIFIC EDGE: Granted 3rd Patent for Cancer Diagnostic Software


P H I L I P P I N E S

JG SUMMIT: Digitel's Mobile User Base Climbs to 5.5 Mil. in 2007
MANILA ELECTRIC: Seeks ERC OK for Planned PHP23-Bil. Bond Issue
PHILCOMSAT HOLDINGS: New Gov't Directors Confident Despite TRO


S I N G A P O R E

FLEXTRONICS: Plans to Close Plant and Cut 7,000 Jobs Worldwide
STATS CHIPPAC: To Decide on Delisting From Singapore Exchange
STATS CHIPPAC: To Maintain its ADR Program as a Level I Program


T H A I L A N D

BANK OF AYUDHYA: To Focus on Environment for 2008's CSR Program
TMB BANK: Non-Payment of Tier 1 Interest Cues S&P's 'D' Rating

     - - - - - - - -

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

CENTRO PROPERTIES: Fails to Divulge AU$1-Billion Debt
-----------------------------------------------------
Centro Properties Group admits that it failed to properly
disclose AU$1.097 billion worth of debts in the months leading
up to its AU$5-billion implosion, Anthony Kland and Turi Condon
write for The Australian.

The company's admission came as a response to a query from the
Australian Securities Exchange, the report relates.

Centro Properties, according to the report, said that it had
"incorrectly" classified AU$1.097 billion of “interest bearing
liabilities" as non-current in its June 30 full-year accounts
and has been identified by its auditors.

The Australian notes that because of this failure, Centro may
face legal action form the corporate regulator.

In addition, Centro could also be sued by investors who bought
stock in the company between the August 9 release of Centro's
full-year accounts and September 18 when "the correct
classification was available to the market," says the daily.

According to The Australian, the revelations come as it emerges
that Centro Chief Executive Officer Andrew Scott could walk away
with a AU$7-million "golden handcuff" payout despite having
taken the company to the brink of collapse.  Under certain
management arrangements, Mr. Scott and other key executives'
contracts include termination clauses which in total could see
Centro shareholders facing a bill of well over AU$18 million if
the executives lose their jobs for anything other than "gross
misconduct".

Institutional shareholders are believed to have discussed
applying further pressure to have Mr. Scott and the senior
management dismissed, the report relates.  Moreover, one
shareholder disclosed to The Australian that if the Australian
Securities & Investments Commission launched a successful action
against Centro's management, then shareholders might not face
golden handcuff payouts.

Plaintiff law firms Maurice Blackburn Cashman and Slater &
Gordon is in talks with the institutional shareholders to see if
litigation over lack of disclosure was viable.

The report notes that shareholders are expected to call for
Mr. Scott's execution after February 15 -- the date when Centro
has to refinance its “critical” short-term debt.  However, this
move by shareholders may be delayed until the end of the
financial year to allow for the sell-off of parts of Centro's
700-center, AU$26.6-billion U.S. and Australian shopping center
portfolio, The Australian says, citing an institutional
shareholder.

                  About Centro Properties

Centro Properties Group -- http://www.centro.com.au/-- is an   
Australia-based company that comprises the operations of Centro
Property Trust (the Trust) and its entities, which are engaged
in property investment, property management, property
development and funds management.  The Company operates in two
business segments: property ownership business and services
business.  The Company derives income from retail property
rentals of shopping center space to retailers across Australasia
and the United States.  It also derives income from its retail
property investments in listed and unlisted entities.  Its
services business activities include incorporating funds
management, property management and development and leasing.  
During the fiscal year ended June 30, 2007, the Company acquired
New Plan Excel Realty Trust (New Plan), Heritage Property
Investment Trust (Heritage) and Galileo Funds Management, as
well as assumed full ownership of its United States management
operations.

The Troubled Company Reporter-Asia Pacific reported on
Dec. 18, 2007, that Standard & Poor's Ratings Services lowered
its issuer credit, senior-unsecured debt and preferred stock
ratings to 'BB+' with negative implications.


CHRYSLER LLC: "Operationally" Bankrupt, CEO Nardelli Says
---------------------------------------------------------
Chrysler LLC is "operationally" bankrupt, was how chief
executive officer Robert Nardelli described the company's
status at a meeting held earlier this month, The Wall Street
Journal reports, citing an account by two people present
that meeting.

"The only thing that keeps us from going into bankruptcy
is the US$10 billion investors entrusted us with," Mr. Nardelli
said at the meeting, WSJ's sources relate.

As reported in the Troubled Company Reporter on Dec. 7, 2007,
various papers cited Mr. Nardelli as saying that Chrysler is in
for a wider financial loss of US$1.6 billion.

It would be the Chrysler's second consecutive year of losses if
Mr. Nardelli's forecast is right, according to the Associated
Press citing an unnamed source.  The company reported a loss of
US$618 million in 2006 but disclosed earnings of US$1.8 billion
in 2005.

Headquartered in Auburn Hills, Michigan, Chrysler LLC --
http://www.chrysler.com/-- a unit of Cerberus Capital  
Management LP, produces Chrysler, Jeep(R), Dodge and Mopar(R)
brand vehicles and products.  The company has dealers worldwide,
including Canada, Mexico, U.S., Germany, France, U.K.,
Argentina, Brazil, Venezuela, China, Japan and Australia.

                          *     *     *

As reported in the Troubled Company Reporter on Nov. 12, 2007,
Standard & Poor's Ratings Services affirmed its 'B' corporate
credit rating on Chrysler LLC and DaimlerChrysler Financial
Services Americas LLC and removed it from CreditWatch with
positive implications, where it was placed Sept. 26, 2007.  The
outlook is negative.


COMMSCOPE INC: Completes Andrew Acquisition for US$2.65 Billion
---------------------------------------------------------------
CommScope Inc. has completed its acquisition of Andrew
Corporation for a total purchase price of approximately
US$2.65 billion.  As of Dec. 27, Andrew will become a wholly
owned subsidiary of CommScope.

"We are delighted with the closing of the Andrew transaction,
which marks a new chapter in the history of our company," said
Frank M. Drendel, chairman and chief executive officer of
CommScope.  "We believe this combination will further enhance
CommScope's position as a worldwide leader in 'last mile'
solutions.  Combining our innovative technologies, premier
brands and a top- tier customer base, we expect to expand our
global service model and create an enhanced offering of
communications infrastructure solutions that addresses a broader
spectrum of customer needs.  With this acquisition, we are
advancing CommScope's stated global 'last mile' strategy while
creating important cost reduction and growth opportunities that
we believe will drive increased shareholder value.

"We look forward to working with Andrew's talented team to
quickly and smoothly integrate their operations into CommScope.
As we continue to invest in the combined business for profitable
growth, the talented and dedicated employees of both Andrew and
CommScope will continue to play a critical role in the success
of the combined company.  CommScope is a proven and successful
integrator of strategic transactions and we expect to begin
realizing the benefits of this combination immediately and enjoy
them fully over the next few years," added Mr. Drendel.

Andrew stockholders will receive, for each Andrew share,
US$13.50 in cash and 0.031543 shares of CommScope common stock.
This fractional share of CommScope common stock was calculated
according to the terms of the merger agreement by dividing
US$1.50 by US$47.554, which was the volume weighted average of
the closing sale prices for a share of CommScope common stock
over the ten consecutive trading days ending on Dec. 24, 2007.

                     About Andrew Corp.

Headquartered in Westchester, Illinois, Andrew Corporation
(NASDAQ: ANDW) -- http://www.andrew.com/-- designs,
manufactures and delivers and essential equipment and solutions
for the global communications infrastructure market.  The
company serves operators and original equipment manufacturers
from facilities in 35 countries including China, India, Italy,
Czech Republic, Argentina, Bahamas, Belize, Barbados, Bermuda
and Brazil.

                     About CommScope

Based in Hickory, North Carolina, CommScope Inc. (NYSE: CTV)
-- http://www.commscope.com/-- is a world leader in
infrastructure   solutions for communication networks.  Through
its SYSTIMAX(R) Solutions(TM) and Uniprise(R) Solutions brands,
CommScope is the global leader in structured cabling systems for
business enterprise applications.  It is also the world's
largest manufacturer of coaxial cable for Hybrid Fiber Coaxial
applications.  CommScope has facilities in Brazil, Australia,
China and Ireland.

                       *     *     *

As reported in the Troubled Company Reporter on Oct. 19, 2007,
Standard & Poor's Ratings Services affirmed its ratings on
CommScope Inc. and Westchester, Illinois-based Andrew Corp. and
removed them from CreditWatch, where they were placed on
June 27, 2007, with negative implications.  S&P also affirmed
the 'BB-' corporate credit and 'B' subordinated debt ratings for
both companies.  The ratings on Andrew will be withdrawn
following its acquisition and debt refinancing.  S&P said the
outlook is stable.


GENERAL CABLE: Gregory Kenny Steps Down as President and CEO
------------------------------------------------------------
General Cable Corp. disclosed in a regulatory 8-K filing with
the Securities and Exchange Commission dated Dec. 21, 2007, that
Gregory B. Kenny, president and chief executive officer and a
Director, of the company has terminated his existing employment
agreement and change-in-control agreement with General Cable
effective Dec. 31, 2007.  

Mr. Kenny's employment agreement was entered into on Oct. 18,
1999, with a three-year term subject to one-year extensions and
has been amended since that date principally to reflect changes
in his officer positions and responsibilities.  Mr. Kenny’s
change-in-control agreement was entered into on Oct. 18, 1999,
and was amended and restated on April 28, 2000.  

In addition to terminating Mr. Kenny's employment and change-in-
control agreements, the Termination Agreement provides that
Mr. Kenny will receive a salary and incentive compensation as
determined by the Board's Compensation Committee as well as
employee benefits which similarly situated General Cable
employees are eligible to receive.  Mr. Kenny also agreed in the
Termination Agreement to certain noncompetition and
nonsolicitation provisions.  

The company further disclosed to the SEC that Robert J. Siverd,
executive vice president, general counsel and secretary,
likewise  terminated his existing employment agreement and
change-in-control agreement with General Cable effective Dec.
31, 2007.  In addition to terminating his employment and change-
in-control agreements, the Siverd Termination Agreement provides
that Mr. Siverd will receive a salary and incentive compensation
as determined by the Board's Compensation Committee as well as
employee benefits which similarly situated General Cable
employees are eligible to receive.  Mr. Siverd also agreed in
his Termination Agreement to certain noncompetition and
nonsolicitation provisions.  

In addition Brian J. Robinson, senior vice president and chief
financial officer, entered into a Novation Agreement with
General Cable effective Dec. 31, 2007, under which Mr. Robinson
releases his right to receive severance payments under his
Letter Agreement of Sept. 14, 2003, in exchange for
participation under the Severance Plan.  Mr. Robinson also
agreed in his Novation Agreement to certain noncompetition and
nonsolicitation terms set forth in that Novation Agreement.  

                       About General Cable

Headquartered in Highland Heights, Kentucky, General Cable
Corporation (NYSE: BGC) -- http://www.generalcable.com/-- makes
aluminum, copper, and fiber-optic wire and cable products.  It
has three operating segments: industrial and specialty (wire and
cable products conduct electrical current for industrial and
commercial power and control applications); energy (cables used
for low-, medium- and high-voltage power distribution and power
transmission products); and communications (wire for low-voltage
signals for voice, data, video, and control applications).
Brand names include Carol and Brand Rex.  It also produces power
cables, automotive wire, mining cables, and custom-designed
cables for medical equipment and other products.  General Cable
has locations in China, Australia, France, Brazil, the Dominican
Republic and Spain.

                          *     *     *

As reported in the Troubled Company Reporter on Sept. 19, 2007,
Standard & Poor's Ratings Services affirmed its 'BB-' corporate
credit rating on General Cable Corp.  The outlook is stable.


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C H I N A ,   H O N G  K O N G   &   T A I W A N
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3-CON ELECTRONICS: Court to Hear Wind-Up Petition on Jan. 23
------------------------------------------------------------
On November 16, 2007, Strontium Distribution Pte Limited filed a
petition to have 3-Con Electronics Limited's operations wound
up.

The High Court of Hong Kong will convene at 9:30 a.m. on
January 23, 2008, to hear the petition.

The petitioners' solicitor can be reached at:

          Chuli & Lau
          Room 42, 4th Floor
          New Henry House
          10 Ice House Street
          Central, Hong Kong


AU OPTRONICS: To Detail Next-Generation Plans on January 30
-----------------------------------------------------------
AU Optronics Corp. is set to disclose details regarding its
next-generation project during its investors conference on
Jan. 30, 2007, DigiTimes reports.

According to the report, AU Optronics remains optimistic about
the first quarter of this year.

DigiTimes says that AU Optronics will also give a detailed
outlook for the 2008 first quarter.  The report notes that the
company expects demand to stay strong during the traditionally
low season and utilization will continue to be almost full.


Taiwan-based AU Optronics Corp. -- http://www.auo.com/--    
designs, develops, manufactures, assembles and markets flat
panel displays.  The company's principal products are thin-film
transistor liquid crystal display (TFT-LCD) panels.

AU Optronics' long-term local and foreign currency issuer
default carries Fitch Ratings' BB rating.


BILLION MARKET: Court to Hear Wind-Up Petition on Jan. 30
---------------------------------------------------------
On November 27, 2007, Ng Cheuk Ngon filed a petition to have
Billion Market Limited's operations wound up.

The High Court of Hong Kong will convene at 9:30 a.m. on
January 30, 2008, to hear the petition.

The petitioners' solicitor can be reached at:

          Johnson Strokes & Master
          18th Floor, Prince's Building
          10 Charter Road
          Central Hong Kong


BOSHI & CO: Court to Hear Wind-Up Petition on Jan. 23
-----------------------------------------------------
On November 19, 2007, Seun Sin Yee filed a petition to have
Boshi & Co. Limited's operations wound up.

The High Court of Hong Kong will convene at 9:30 a.m. on
January 23, 2008, to hear the petition.

The petitioners' solicitor can be reached at:

          Chung Yan-tung Chris
          34th Floor, Hopwewell Centre
          183 Queen's Road East
          Wanchai, Hong Kong


BOWA BANK: Workers Demand 60% Retention Rate
--------------------------------------------
Bowa Bank employees has threatened to go on a strike if the
bank's new buyer fails to agree to terms with them, Taipei Times
reports, citing a labor union meeting on Dec. 29.

Taipei Times relates that the union demanded for the Central
Deposit Insurance Corp to negotiate a 60% employee retention
under a two-year contract with Bowa's new buyer.  

The report recounts that CDIC took control of Bowa in August
2007 after the bank failed to strengthen its capital base.  
According to Bloomberg News, by the time of the CDIC takeover,
Bowa had more liabilities than assets on its books.

CDIC is set to close the auction for Bowa on Jan. 31, Taipei
Times notes.

According to the report, 810 of Bowa's 1,100 employees attended
the union meeting and sanctioned the strike proposal.

Taipei Times recounts that CDIC initially suggested a 50%
retention rate, but Bowa's union did not agree.

Aside from the 60% retention, the union is requesting that the
new buyer make no changes to the retained employees' salaries
and duties, with preferential compensations to those who are
laid off.

Bowa Commercial Bank, formerly Pan Asia Commercial Bank --
http://www.bowabank.com/-- was established in accordance with  
the “Guideline for Commercial Bank Establishment” in April 1990.
The Head Office (Banking Department as well as the Savings
Department) and five other branches officially opened on
March 4, 1992.  After the inception, Bowa Bank's continually
expanding financial products and services now include savings,
loan, guarantee, acceptance, foreign currency, trust, and credit
card.  With respect to business location expansion, the bank has
established additional branches throughout major cities in
Taiwan.

For the fiscal year ended Dec. 31, 2006, Bowa Bank incurred a
net loss of TWD8,048.13 million, compared with the
TWD2,263.21-million net loss for the year ended Dec. 31, 2005.


CHINA BUCYCLE: Creditors' Proofs of Debt Due on January 18
----------------------------------------------------------
The creditors of China Bicycle Holdings Limited, which is in
liquidation, are required to file proofs of debt by January 18,
2008, to be included in the company's dividend distribution.

The company's liquidators are:

         Messrs Dermot Agnew
         Joseph K.C. Lo
         35th Floor, One Pacific Place
         88 Queensway, Hong Kong


COSMOS BANK: Completes Capital Injection from SAC and GE
--------------------------------------------------------
Cosmos Bank Taiwan completed its recapitalization with a US$900-
million infusion from SAC Private Capital Group and GE Money,
Taipei Times reports, citing a statement by Cosmos.

The news article says that under the terms of the capital
injection, SAC secured a 58.5% stake in Cosmos for
US$650 million while GE Money took home a 23.2% holding for
US$250 million.

According to Taipei Times, the capital injection was completed
with most of Cosmos' debtors agreeing to convert their combined
TWD13.5 billion in debt securities into Cosmos common stock at
TWD2 per share, which translated into an 11.5% shareholding.

Upon the completion of the capital injection, Cosmos Bank's 13-
member board elected Simon Williams, an executive partner at
SAC, to be Cosmos' chairman and elected to retain Hu Chien-chu
as president.

Headquartered in Taipei, Taiwan, Cosmos Bank, Taiwan --
http://www.cosmosbank.com.tw/-- provides financial services for   
individuals and small and medium-sized enterprises in Taiwan.

Cosmos reported a net loss of TWD11.29 billion (US$342.1
million) for FY2006.  Its capital-adequacy ratio fell to 7.51%
as of the end of March, below the 8% level required by Taiwan's
regulator.  In April, Cosmos said it planned to increase its
capital by the third quarter to avoid being taken over by the
government.

The Troubled Company Reporter-Asia Pacific reported on Sept. 6,
2007, that Fitch Ratings downgraded the bank's individual rating
of Cosmos Bank to F, reflecting Fitch Rating's view that Cosmos
would have defaulted if it had not received external support.   
In order to distinguish failed banks more clearly, Fitch, in
June 2007, added a sixth rating category to its Individual
rating scale, i.e. 'F', which denotes a bank that has either
defaulted or, in Fitch's opinion, would have defaulted if it had
not received external support.


DELUX WAY: Court to Hear Wind-Up Petition on Jan. 23
----------------------------------------------------
On November 19, 2007,Tsui Chun Fai filed a petition to have
Deluxe Way International Investment Limited's operations wound
up.

The High Court of Hong Kong will convene at 9:30 a.m. on
January 23, 2008, to hear the petition.

The petitioners' solicitor can be reached at:

          Chung Yan-tung Chris
          34th Floor, Hopwewell Centre
          183 Queen's Road East
          Wanchai, Hong Kong


ELEET GAMING: Court to Hear Wind-Up Petition on Jan. 23
-------------------------------------------------------
On November 20, 2007, Brendan Francis Blumer, Lam Kar Yue Alfred
and Aaron J. Liebling filed a petition to have Eleet Gaming  
Limited's operations wound up.

The High Court of Hong Kong will convene at 9:30 a.m. on
January 23, 2008, to hear the petition.

The petitioners' solicitor can be reached at:

          Foo and Li
          Rooms 1001-4, 10th Floor
          New World Tower I
          No. 18 Queen's Road Central
          Hong Kong


ERGO DECORATION: Court to Hear Wind-Up Petition on Jan. 30
----------------------------------------------------------
On November 23, 2007, Chan Kam Keung filed a petition to have
Ergo Decoration Company Limited's operations wound up.

The High Court of Hong Kong will convene at 9:30 a.m. on
January 30, 2008, to hear the petition.

The petitioners' solicitor can be reached at:

          Steve F. Wong
          27 Floor, Queensway Government Offices
          66 Queensway, Hong Kong


FRIGAID HK & TRADERS: Appoints New Liquidators
----------------------------------------------
The members of Frigard HK & Traders Limited appointed Stephen
Briscoe and Chen Yung Ngai Kenneth as the company's liquidator.

The Liquidators can be reached at:

          Stephen Briscoe  
          Chen Yung Ngai Kenneth
          7th Floor, Allied Kajima Building
          Gloucester Road,  Hong Kong


GRAND HEAVEN: Court to Hear Wind-Up Petition on Feb. 6
------------------------------------------------------
On December 6, 2007, Standard Chartered Bank (Hong Kong) filed a
petition to have Grand Heaven Footwear Company Limited's
operations wound up.

The High Court of Hong Kong will convene at 9:30 a.m. on
February 6, 2008, to hear the petition.

The petitioners' solicitor can be reached at:

          Tsang, Chan & Wong
          16th Floor, Wing On House
          No. 71 Des Voeux
          Road Central, Hong Kong


HARVEST 2000: Court to Hear Wind-Up Petition on Jan. 23
-------------------------------------------------------
On November 20, 2007, the Government of Hong Kong Special
Administrative Region filed a petition to have Harvest 2000
Limited's operations wound up.

The High Court of Hong Kong will convene at 9:30 a.m. on
January 23, 2008, to hear the petition.

The petitioners' solicitor can be reached at:

          Vickie Man
          Government Council
          Department of Justice
          2nd Floor, High Block
          Queensway Government Offices
          66 Queensway, Hong Kong


LEADSON GARMENT: Court to Hear Wind-Up Petition on Feb. 13
----------------------------------------------------------
On December 6, 2007, Gee Chang Zippers Company Limited filed a
petition to have Leadson Garment Factory Limited's operations
wound up.

The High Court of Hong Kong will convene at 9:30 a.m. on
February 13, 2008, to hear the petition.

The petitioners' solicitor can be reached at:

          Chan, Evans, Chung & To
          8th Floor, CMA Building
          64-65 Connaught Road
          Central Hong Kong


NICE ISLAND: Creditors' Proofs of Debt Due on January 4
-------------------------------------------------------
The creditors of Nice Island Development Limited, which is in
liquidation, are required to file proofs of debt by January 4,
2008, so as to be included in the company's dividend
distribution.

The company's liquidators are:

         Messrs Bruno Arboit
         Simon Blade
         12th Floor, China Merchants
         Tower, Shu Tak Centre
         168-200, Connaught Road
         Central, Hong Kong


PERFORMANCE INVESTMENT: Will Hold Final Meeting on Jan. 15
----------------------------------------------------------
The contributors and creditors of Performance Investment
Products Corporation Limited will hold a meeting on January 15,
2007, at 2:00 p.m. and 2:30 p.m., respectively, to hear the
liquidator's report on the company's wind-up proceedings and
property disposal.

The meeting will be held at the Carlos P. Romulo Auditorium
Podium 4, RCBC Plaza, Ayala Avenue cor. Sen. Gil J, Puyat
Avenue, in Makati City, Philippines


POLYLINK (INT'L): Court to Hear Wind-Up Petition on Jan. 30
-----------------------------------------------------------
On November 26, 2007, Ho Chi Wai filed a petition to have
Polylink  (International) Cargo Services Limited's operations
wound up.

The High Court of Hong Kong will convene at 9:30 a.m. on
January 30, 2008, to hear the petition.

The petitioners' solicitor can be reached at:

          Adrian J. Taylor
          Suite 503, St. George's Building
          2 Ice House Street
          Central Hong Kong


QISDA CORP: TRC Affirms 'twBB' Ratings on Expected Improvement
--------------------------------------------------------------
Taiwan Ratings Corp. affirmed its 'twBB+' long-term corporate
credit rating and 'twB' short-term rating on Qisda Corp.
(formerly BenQ Corp.).  At the same time, the rating agency also
affirmed its 'twBB+' ratings on the company's unsecured
corporate bonds and unsecured exchangeable bond.  The outlook
on the long-term rating is negative.

The ratings reflect the company's weak cash flow ratios, high
leverage, limited, albeit improving, customer base, and the
highly competitive original design manufacturer industry.
Counterbalancing factors include Qisda's somewhat good position
in the liquid crystal display monitor market, its good
manufacturing capability, and its strategic investment in AUO
Optronics Corp.

Qisda suffered huge losses from the acquisition of the mobile
handset business unit of Siemens AG (rated AA-/Negative/A-1+ by
Standard & Poor's Ratings Services) in October 2005.  In
September 2006, Qisda stopped injecting capital into BenQ Mobile
GmbH & Co. OHG.  Qisda has spun-off its own-brand business to
one of its subsidiaries in September 2007, and its own-brand
subsidiary assumed the name of BenQ Corp.  Qisda now focuses on
offering ODM services.

Post-restructuring, the company's largest revenue source is from
its LCD monitor business, accounting for 70% of its total
revenue in the fourth quarter of 2007.  Its other product lines
include multifunctional copy machine, projector, handset, and
LCD TV.  The LCD monitor business has high industry risks, given
its low margin and high competitive nature.  Such risks are
somewhat offset by Qisda's market position as the fifth largest
LCD monitor producer (with a market share of 8% for the first
nine months of 2007), and its close relationship with AUO, the
world's one of top three largest Thin Film Transistor-LCD panel
makers.

The recent shortage of TFT-LCD panels highlights the added  
competitive edge that this relationship brings to Qisda.  Its
customer mix is concentrated, as BenQ accounts for about one-
third of its revenue.  However, Taiwan Ratings expects the
revenue contribution from BenQ will gradually reduce, as Qisda
has been made some progress to gain new customers across its
major product lines.

Qisda has suffered from operating losses after discontinuing
capital injection into BenQ Mobile, due to the continued
challenges of reducing losses at its mobile handset business.  
In order to offset its negative profitability and cash flow, the
company sold TWD12.6 billion in long-term investments and fixed-
assets during the first three quarters of 2007.  Taiwan Ratings
expects Qisda to generate positive funds from operations in
2008, backed by the likelihood of improving performance.
However, cash flow protection is likely to remain weak,
given the company's somewhat high debt levels.  Its ratio of
total debt to capital remains very high at 70.6% as at the end
of June 2007.

Liquidity

Qisda's liquidity is adequate.  At the end of June 2007, the
company had TWD10 billion in cash compared with TWD4.7 billion
in long-term debt due within one year.  The company also has
unused credit lines to provide additional liquidity
support.  Moreover, the company's long-term investments,
including AUO and Darfon Electronics Corp., enhance its
financial flexibility.

Outlook

The negative outlook reflects the challenges Qisda faces to
improve its operations rapidly amid a highly competitive and
thin margin ODM industry, especially for its handset business.
The long-term rating may be lowered if Qisda fails to curb its
operating losses, or if its liquidity deteriorates
significantly.  Conversely, the outlook could be revised to
stable if the company generates sustainable and meaningful
operating profits in the next six to nine months.


QUANTA COMPUTER: Plans to Build Plant in Vietnam, Report Says
-------------------------------------------------------------
Quanta Computer Inc. plans to build a plant in Vietnam,
Bloomberg News reports, citing the Economic Daily.

According to Bloomberg's Yu-huay Sun, the Economic Daily cited
an unnamed Quanta official as saying that the company will begin
production in the new plant as early as the second half of 2008.

Bloomberg notes that the Vietnam plant will be Quanta's second
overseas notebook computer assembly center, after Qunata's
facility in Shanghai.


Headquartered in Taoyuan, Taiwan, Quanta Computer Inc. --
http://www.quantatw.com/-- is principally engaged in the   
manufacture, research, development and sale of laptop computers
and components.  The company offers laptops, cellular
telephones, liquid crystal display televisions, servers, LCD
monitors, computer peripherals, computer components, wireless
local area network (WLAN) bridges and communications products.
It serves overseas markets, predominantly the Americas, Asia and
Europe.

The Troubled Company Reporter-Asia Pacific reported on Feb. 9,
2007, that Fitch Ratings assigned Quanta Computer a long-term
foreign currency issuer default rating of BB.


TIC TAC: Court to Hear Wind-Up Petition on Jan. 30
--------------------------------------------------
On November 28, 2007, Seun Sin Yee filed a petition to have Tic
Tac Oro Limited's operations wound up.

The High Court of Hong Kong will convene at 9:30 a.m. on
January 30, 2008, to hear the petition.

The petitioners' solicitor can be reached at:

          Chu & Lau
          2ndFloor,The Chinese General
          Chamber of Commerce Building
          No. 24-25 Connaught Road
          Central, Hong Kong


TRABLE INDUSTRIES: Court to Hear Wind-Up Petition on Jan. 9
-----------------------------------------------------------
On October 29, 2007, Luk Kwok On and Lai Suk Fun Becky filed a
petition to have Trable Industries Limited's operations wound
up.

The High Court of Hong Kong will convene at 9:30 a.m. on
January 9, 2008, to hear the petition.

The petitioners' solicitor can be reached at:

          Tai, Tang & Chong
          Room 605-6
          6th Floor, Wing On House
          71 Des Vouex Road
          Central Hong Kong


WHOLE WIN: Court to Hear Wind-Up Petition on Jan. 23
----------------------------------------------------
On November 14, 2007, Wong Weing Kei filed a petition to have
Whole Win Garments (Hong Kong) Co. Limited's operations wound
up.

The High Court of Hong Kong will convene at 9:30 a.m. on
January 23, 2008, to hear the petition.

The petitioners' solicitor can be reached at:

          Chung Yan-tung Chris
          34th Floor, Hopwewell Centre
          183 Queen's Road East
          Wanchai, Hong Kong


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

ALCATEL-LUCENT: Hires Mr. Mohan as President of Indian Business
---------------------------------------------------------------
Alcatel-Lucent appointed Vivek Mohan as President of the
company's business in India.  Mr. Mohan has been part of Lucent
Technologies since 2001 and after the merger he has been heading
Services business for Alcatel – Lucent in South Asia.  Vivek has
finished his Bachelors in Computer Science from California State
University and holds an MBA degree from Harvard Business School.

"Alcatel-Lucent is committed to help its Indian customers grow
their business and offer innovative services.  We have in India
a talented team of recognized professionals to support them",
said Mr. Mohan.

Ravi Sharma, presently the President of South Asia business, has
been appointed as Advisor to Frederic Rose, President of Europe,
Africa and Asia business, on Asian Regional Operators.  In this
role, Ravi will support the business in South & South East Asia
and India, in developing and implementing a sound and profitable
strategy to accompany Asian operators in these markets.

Alcatel-Lucent will continue to leverage its positions in the
fixed and mobile segment, applications and professional
services, whilst also entering Industry and Public Sector
markets outside the company's traditional customer base, in
particular in Energy, Transport, Public Sector, Defense and
Security.

                   About Alcatel-Lucent

Headquartered in Paris, France, Alcatel-Lucent S.A. --
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.

                          *     *     *

As reported in the TCR-Europe Nov. 9, 2007, Moody's Investors
Service downgraded to Ba3 from Ba2 the Corporate Family Rating
of Alcatel-Lucent.  The ratings for senior debt of the group
were equally lowered to Ba3 from Ba2 and the trust preferred
notes of Lucent Technologies Capital Trust I have been
downgraded to B2 from B1.  At the same time, Moody's affirmed
its Not-Prime rating for short-term debt of Alcatel-Lucent.
Moody's said the outlook for the ratings is stable.

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.


BHARTI AIRTEL: Temasek et al. to Invest US$1 Billion in Infratel
----------------------------------------------------------------
International investors agreed to invest US$1 billion in Bharti
Infratel, a wholly owned subsidiary of Bharti Airtel Ltd, a
filing with the Bombay Stock Exchange discloses.  The investors
are:

  -- Temasek Holdings,
  -- The Investment Corporation of Dubai,
  -- Goldman Sachs,
  -- Macquarie,
  -- AIF Capital,
  -- Citigroup & India Equity Partners

Temasek Holdings, Singapore government's investment arm, is the
largest investor among the six.

The enterprise valuation has been agreed to be in the range of
US$10-12.5 billion, and the final valuation, within this range,
will be determined on the basis of Bharti Infratel's actual
operating performance in FY 2008-09.

“This placement highlights the confidence of leading global
investors in the Indian telecom sector, which is now the fastest
growing telecom market in the world and the Bharti Group,” the
BSE filing stated.  “It is also an endorsement of the
Government's visionary policy on sharing of passive
infrastructure.”

Bharti Infratel owns close to 20,000 sites and holds
approximately 42% stake in Indus Towers, the recently announced
joint venture between Bharti, Vodafone and Idea, which has over
70,000 sites.  Bharti Infratel and Indus Towers will provide
passive infrastructure services to all wireless telecom
operators in India on a non-discriminatory basis.  Sharing of
passive infrastructure results in capex and opex savings and
higher capital efficiency for all wireless operators, enabling
quicker roll out of services especially in rural areas, thus
benefiting millions of people across India.

                       About Bharti Airtel

Headquartered in New Delhi, India, --
http://www.bhartiairtel.in-- is a telecom services provider.     
The company has three business units: Mobile Services, Broadband
& Telephone Services (B&TS) and Enterprise Services.

                         *     *      *

Fitch Ratings, on Nov. 19, 2007, affirmed Bharti Airtel
Limited's Long-term foreign currency Issuer Default Rating at
'BB+'. The Outlook on the rating is Stable.


DUNLOP INDIA: Ceases to be Sick Unit; Out of BIFR's Scope
---------------------------------------------------------
Dunlop India Ltd is out from the clutches of India's Board for
Industrial and Financial Reconstruction pursuant to the order of
the Madras High Court.

According to a filing in the Bombay Stock Exchange, the Madras
High Court, on Dec. 19, 2007, in the Writ Petition No. 24422 of
2006, ruled that:

1. Dunlop India has ceased to be a Sick Industrial Company
   within the meaning of Section 3(1) (0) of the Sick Industrial
   Companies (Special Provisions) Act, 1985; and

2. BIFR ceases to have jurisdiction over the company in Case No.
   14/1998.

According to the Business Standard, the High Court, in the Dec.
19 order, said that "from the audited balance sheet of Dunlop
India as on March 31, 2007, it is clear that the company's net
worth has become positive as it has wiped out the entire
accumulated losses.”

The company's board of directors decided on January 1998 that
the company had become sick.  The board then referred the
company to the BIFR and abruptly announced suspension of
Dunlop's operations in both Sahagunj and Ambattur in February
1998.  The Ministry for Law, Justice and Company Affairs had
also come to the conclusion after inspection of the Books of
Accounts of the company that there were serious irregularities
and had moved the Company Law Board for appointment of
Government Directors.

As reported in the Troubled Company Reporter-Asia Pacific on
Dec. 29, 2006, the company submitted a INR582-crore draft
rehabilitation scheme to the BIFR.

Wit the Madras Court's ruling, the company is out of the scope
of BIFR.  The financial results also looks good with net profits
in 2007 (INR4.47 billion) and 2006 (INR1.21 billion).

Dunlop India expects to make a marginal profit by March 2008 and
declare a dividend for shareholders next fiscal, BS relates.

Headquartered in Kolkota, India, Dunlop India Limited
manufactures and distributes automotive tires and tubes.  The
firm also manufactures high-pressure hoses, steelcord belting,
and vibration isolators.

This concludes the TCR-AP's coverage of Dunlop until
circumstances warrant further reporting.


EMCO LTD: Grants 2,000 Stock Options to Employees
-------------------------------------------------
Emco Ltd has informed the Bombay Stock Exchange that its  
Compensation Committee of Directors, at a meeting held on
Dec. 31, 2007, granted 2,000 stock options to employees.

The options cover right to apply for equal number of equity
shares of the company -- each option carrying right to apply for
one share.

Against each option, the employee will have right to apply for
and get allotted one share at a exercise price of INR1,510.  The
vesting period for the said options is in graded manner within
the period from respective grant and as prescribed in grant
letters, subject to minimum vesting period of one year.

Headquartered in Jalgaon, India, Emco Ltd. --
http://www.emcoindia.com-- offers transmission and distribution
solutions within the power sector in India. Through its
Transformer Division, Emco offers power transformers,
specialized rectifier transformers, furnace transformers, and
locomotive and traction transformers. Through its Meters
Division, the company offers metering solutions like tamper-
proof electronic energy meters, automatic meter reading
solutions like drive by, walk by or fixed network, pre-payment
metering solutions and high-end metering like trivector meters.
It also offers energy and revenue management solutions. Through
its Projects Division, Emco offers turnkey solutions from
concept to commissioning for electrical substation projects. It
also undertakes entire industrial electrification work from
designing to execution. Emco offers information technology
solutions for power distribution management. Through its
International Division, EMCO offers transformers and energy
meters confirming to international specifications.

Emco's senior unsecured debt carries Credit Analysis and
Research Limited's BB rating, effective May 23, 2007.


IMAX CORP: Limited Liquidity Cues S&P to Affirm CCC+ Rating
-----------------------------------------------------------
Standard & Poor's Ratings Services revised its outlook on IMAX
Corp. to stable from positive.  S&P also affirmed the ratings on
the company, including the 'CCC+' corporate credit rating.
      
"The outlook revision reflects our expectation that crucial
elements of an upgrade scenario may take longer to materialize,"
explained Standard & Poor's credit analyst Tulip Lim.  "Although
we believe there have been positive developments at the company
recently and that the revenue-sharing arrangements it has struck
with AMC Entertainment Inc. could improve recurring revenue and
visibility, the deployment of these systems will use up the
company's very limited liquid resources."
     
S&P also expects that the revenue-sharing business model will
require additional external funding for at least the next two
years.
     
S&P also lowered the rating on the US$160 million unsecured
notes due 2010 to 'CCC' from 'CCC+' based on its expectation of
increased borrowings under the senior secured facility, which
would diminish recovery prospects of unsecured debt holders.
     
The rating reflects the modest size of the company's niche
market relative to its debt burden, weak discretionary cash
flow, uncertain implications of revenue-sharing arrangements,
and limited liquidity.  These concerns overshadow IMAX's
position as a specialized provider of giant-screen projection,
camera, and sound systems; the recurring revenue provided by the
installed base of 296 IMAX theater systems; and a measure of
near-term revenue visibility provided by the company's backlog
of pending system installations.

Based in New York City and Toronto, Canada, IMAX Corporation
(NASDAQ:IMAX) -- http://www.imax.com/-- is an entertainment
technology company, with emphasis on film and digital imaging
technologies including 3D, post-production and digital
projection.  IMAX is a fully-integrated, out-of-home
entertainment enterprise with activities ranging from the
design, leasing, marketing, maintenance, and operation of
IMAX(R) theatre systems to film development, production, post-
production and distribution of large-format films.  IMAX also
designs and manufactures cameras, projectors and consistently
commits significant funding to ongoing research and development.
IMAX has locations in Guatemala, India, Italy, among others.


QUEBECOR WORLD: Banks and Sponsors Grant Waivers Until March 31
---------------------------------------------------------------
Quebecor World Inc. has obtained from its banking syndicate and
the sponsors of its North American securitization program
waivers until March 31, 2008, from compliance with certain
financial tests under the relevant agreements in respect of the
quarter ended Dec. 31, 2007, in particular, the maximum Debt-to-
EBITDA ratio of 4.50:1.00.

The waivers are subject to a number of conditions including:   

   (1) the company having obtained, on or before Jan. 15, 2008,
       US$125 million of new financing; and
    
   (2) the company delivering, on or before Jan. 31, 2008, a
       "Refinancing Transaction", being comprised of  
       commitments or other arrangements satisfactory to the
       company's lenders which would reduce the company's
       current credit facility to US$500 million by Feb. 29,
       2008, and further allow the repayment in full of the
       company's current credit facility and the concurrent
       termination of the company's North American
       securitization program on or before June 30, 2008.

In addition, Quebecor World, with the assistance of its
independent financial advisor, continues to actively pursue
financing options and solutions to its liquidity and balance
sheet challenges and to explore various strategic alternatives.

The company is in active discussions with major financial
institutions in respect of financing alternatives that could
satisfy the conditions under the aforementioned waivers,
although no firm commitments have been obtained, and there can
be no assurance that such financing commitments will be
obtained.

                    About Quebecor World Inc.  

Headquartered in Montreal, Quebec, Quebecor World Inc. (TSX:
IQW)(NYSE:IQW), -- http://www.quebecorworldinc.com/-- provides       
market solutions, including marketing and advertising
activities, well as print solutions to retailers, branded goods
companies, catalogers and to publishers of magazines, books and
other printed media.   Quebecor World has approximately 27,500
employees working in more than 120 printing and related
facilities in the United States, Canada, Argentina, Austria,
Belgium, Brazil, Chile, Colombia, Finland, France, India,
Mexico, Peru, Spain, Sweden, Switzerland and the United Kingdom.

                          *     *     *

As reported in the Troubled Company Reporter on Nov. 29, 2007,
Standard & Poor's Ratings Services lowered its preferred stock
rating on Quebecor World Inc. two notches to 'C' from 'CCC-'.  
The company's other ratings, including the 'B-' long-term
corporate credit rating, remain unchanged.  All ratings are on
CreditWatch with negative implications, where they were
initially placed
Aug. 9, 2007.


TATA MOTORS: Set to Launch World's Cheapest Car on Jan. 10
----------------------------------------------------------
Tata Motors Ltd is scheduled to launch it's INR1-lakh (around
US$2,500) car on Jan. 10, various reports say.

According to Agence France Presse, the car, touted as the
world's cheapest mass-produced car, is a pet project of Tata
Group Head Ratan Tata that he helped design.  The project is
reportedly aimed at getting India's masses off their motorbikes
and into cars.

Tata had in the past said that the car would be a gearless one
with a rear engine and meet all safety as well as emission
norms, the Press Trust of India relates.  While the initial plan
is to come out with a 660cc petrol engine, the company is also
planning to come up with the diesel variant, the news agency
adds.

Some analysts, AFP points, said that Tata's “People's Car,”
could revolutionize automobile automobile costs worldwide.

With the price tag, rival car manufacturers are not convinced
about the safety and emission standards of the car, PTI said.  
Reacting to this, Ratan Tata, as quoted by PTI, pointed out that
the INR1-lakh car will be no more polluting than a motorcycle.

Ratan Tata plans to refrain from taking active interest in the
day-to-day affairs of the group's companies once the INR1-lakh
car is launched successfully, according to media reports.

"In an ideal world, after the small car has been launched and is
successful, that would be a nice time for me to exit," PTI
quotes Mr. Tata as telling the Financial Times newspaper.

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 STEEL: Starts Work on Jamshedpur Plant Expansion Project
-------------------------------------------------------------
The groundbreaking ceremony for Tata Steel Ltd's 10-mt expansion
project in Jamshedpur started on Monday.  The project is
expected to be completed by December 2010.

Speaking on the occasion, B. Muthuraman, Tata Steel managing
director, said, "Though there are many challenges involved in
this project, I am confident that the project will be managed
efficiently.  In December 2010, when the project will be
completed, Jamshedpur will become the single largest unit and
one of the most modern plants in the world.  With the completion
of this project, we will be able to fulfill the promises made to
our customers even better."

Raghunath Pandey, President-Tata Workers Union said, "We have
always been with the Company in its progress and prosperity.  We
must ensure the progress of this project takes place in the
safest manner."

This groundbreaking ceremony is a step by Tata Steel towards
expanding its existing facility in Jamshedpur.  This will lay
the foundation for Tata Steel to ramp up its production capacity
in Jamshedpur to 10 MT.  The following facilities will be
developed as a part of the 10 MT expansion project:

   1. Augmentation of Mines

   2. Pellet Plant of 6 MTPA

   3. Expansion of Hooghly Metcoke from 1.2 to 1.6 MTPA

   4. Raw material handling facilities

   5. Up gradation of existing A-E furnaces

   6. New LD3 BOF Shop with 2 X 160 t Converters

   7. Two single strand thin slab caster of 1.2 MTPA capacity
      each with 2.4 MTPA hot rolling facilities

   8. Augmentation of LD2 to 4.0 MTPA

   9. New lime calcining plant
  10. Augmentation of Utilities & Water System

  11. Augmentation of Power Generation & Power System

  12. Logistics and Improvement of Town roads

Aside from expansion at Jamshedpur, Tata Steel has undertaken
three greenfield projects in Jharkhand, Orissa and Chhattisgarh
for a combined capacity addition of 23 million tonnes, the
Business Standard relates.  Tata Steel is also planning to set
up steel plants in Vietnam, Iran and Bangladesh, the reporting
agency adds.

                       About Tata Steel

Headquartered in Mumbai, India, Tata Steel Limited --
http://www.tatasteel.com/-- manufactures steel, and ferro
alloys and minerals.  Tata Steel's products are targeted at the
auto sector and construction industry.  With wire manufacturing
facilities in India, Sri Lanka and Thailand, the company plans
to emerge as a major global player in the wire business.

In April 2007, the company completed the acquisition of Corus
Group plc.  Corus' main steelmaking operations are located in
the United Kingdom and the Netherlands with other plants located
in Germany, France, Norway and Belgium.  Corus produces carbon
steel by the basic oxygen steelmaking method at three integrated
steelworks in the United Kingdom at Port Talbot, Scunthorpe and
Teesside, and at one in the Netherlands at IJmuiden.

As reported in the Troubled Company Reporter-Asia Pacific,
Standard & Poor's Ratings Services, on July 10, 2007, lowered
its corporate credit rating on Tata Steel to 'BB' from 'BBB.'
The outlook is positive.  The rating is removed from
CreditWatch, where it was placed on Oct. 18, 2006, with negative
implications after its announcement on acquiring Corus
Group PLC (Corus, BB-/Stable/--).

Moody's Investors Service, on Sept. 18, 2007, affirmed the Ba1
corporate family rating of Tata Steel Ltd, and changed the
outlook to negative from stable.


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

BANK LIPPO: Shares Fall After Disclosure of Merger Plan
-------------------------------------------------------
PT Lippo Bank Tbk's and PT Bank Niaga Tbk's shares edged down in
early trade on Dec. 28 in line with falls in the broader market
and after the announcement of a plan to merge both banks.,
Reuters reports.

According to Reuters, Bank Niaga dropped 1.1% to IDR880 in early
trade on Dec. 28, while Bank Lippo shares also fell 1.1% to
IDR2,250.  The broader market .JKSE was down around 1%, the
report adds.

Muhamad Al Azhari of Reuters writes that analysts said the price
falls in both Niaga and Lippo are likely to be temporary as the
move is expected to create the country's sixth-largest lender,
with combined assets of IDR85.6 trillion based on financial
results as of September.

The merger plan is subject to regulatory approvals, Reuters
adds.

As reported by the Troubled Company Reporter-Asia Pacific on  
Dec. 19, 2007, Lippo Bank Tbk's shareholder, Khazanah Nasional
Bhd. is looking into the possibility of merging Lippo Bank and
PT Bank Niaga given the synergy involved, and also to comply
with Indonesia's single presence policy.

Under Bank Indonesia's single-presence policy, TCR-AP explained,
foreign parties cannot own a controlling stake in more than one
Indonesian bank and must submit statements of compliance to this
rule.

Currently, Khazanah has an indirect equity interest of
approximately 93% in Bank Lippo, through Santubong Investments
BV and Greatville Pte Ltd, and an indirect equity interest of
approximately 64% in Bank Niaga through Bumiputra-Commerce
Holdings Berhad.

According to a company press release, Khazanah understands that
the Bank Indonesia's policy (SPP) is applicable to them.
After careful consideration, Khazanah has expressed its desire
to pursue the option to merge Bank Niaga and Bank Lippo, to the
extent the merger can be completed on commercially viable and
legally permissible terms, and subject to a full evaluation of
the Merger process, including legal, operational and financial
issues, be comprehensively conducted.  Subsequently, Khazanah
has, through BCHB and CIMB Group, requested Bank Niaga to work
with Bank Lippo to fully evaluate the Merger Option.

In the event that the evaluation of the Merger Option suggests
that this option would not be financially, operationally or
legally viable, Bank Niaga together with Khazanah and Bank Lippo
would then revert to BI as soon as practically possible with an
alternative action plan which will allow Khazanah to comply with
the SPP.

                       About Bank Lippo

Headquartered in Jakarta, Indonesia, PT Lippo Bank Tbk
-- http://www.lippobank.co.id/-- offers two product segments:     
Consumer Products, comprised of personal accounts, debit cards,
distribution cards, VIP banking, credit cards, loans,
bancassurance, payment services, loyalty programs and safe
deposit boxes, and Corporate Products, consisting of
LippoKredit, LippoTrade, LippoGiro, LippoDeposit, e-LippoLink
and MFTS. The bank is supported by 134 branch offices, 21 sub
branch offices, 238 cash offices and four payment service
offices nationwide.

The Troubled Company Reporter-Asia Pacific reported on Oct. 19,
2007, that Moody's Investors Service raised the foreign currency
long-term debt and foreign currency long-term deposit ratings of
PT Lippo Bank Tbk.

The detailed ratings are:

   -- The issuer/foreign currency subordinated debt ratings
      were raised to Ba2/Ba2 from Ba3/Ba3 and foreign currency
      long-term deposit rating to B1 from B2.

   -- The Not Prime foreign currency short-term deposit rating
      and D BFSR were unaffected.

On Sept. 11, 2007, Fitch Ratings upgraded the Individual Ratings
of PT Bank Lippo Tbk to 'C/D' from 'D.  At the same time, the
agency upgraded Bank Lippo's National Long-term Rating to 'AA-'
from 'A+'.  The Outlook remains Stable.  All other ratings have
been affirmed:

   * Long-term foreign currency IDR at 'BB-' with Positive
     Outlook,

   * Short-term foreign currency Rating at 'B',

   * Support Rating at 4 and Support Rating Floor at 'B',

On July 12, 2007, Standard & Poor's Ratings Services assigned
'B+' long-term and 'B' short-term counterparty credit ratings to
Indonesia-base Lippo Bank.  The outlook is stable.  Standard &
Poor's also assigned its 'D' bank fundamental strength rating to
the bank.  At the same time, Standard & Poor's assigned its 'B-'
issue rating to Lippo Bank's US$200 million subordinated notes
due in 2016.  The differential between the 'B+' counterparty
credit rating on Lippo Bank and the 'B-' rating on its
subordinated notes reflects the subordinated feature of the
notes.


BANK LIPPO: S&P Says Ratings Unaffected By Proposed Merger Plan
---------------------------------------------------------------
Standard & Poor's Ratings Services said that its ratings and
outlook on Indonesia's PT Lippo Bank Tbk (Bank Lippo;
B+/Stable/B) will remain unchanged following the announcement
that Khazanah Nasional Berhad's proposed plans to merge Bank
Lippo with PT Bank Niaga Tbk to comply with Bank Indonesia's
Single Presence Policy.

Khazanah currently has an indirect equity interest of about
93% in Bank Lippo through Santubong Investments BV and
Creatville Pte. Ltd. and an indirect equity interest of about
64% in Bank Niaga through Bumiputra-Commerce Holdings Berhad.

While Standard & Poor's expects the proposed merger to create a
bank with stronger market position and competitiveness in the
Indonesian banking sector with significant potential synergies,
Khazanah has yet to decide in favor of this option. Standard &
Poor's will continue to monitor the progress closely and could
change the rating or outlook on Bank Lippo positively if the
merger is found viable by Khazanah and is likely to be endorsed
by the relevant authorities.

                      About Bank Lippo

Headquartered in Jakarta, Indonesia, PT Lippo Bank Tbk
-- http://www.lippobank.co.id/-- offers two product segments:     
Consumer Products, comprised of personal accounts, debit cards,
distribution cards, VIP banking, credit cards, loans,
bancassurance, payment services, loyalty programs and safe
deposit boxes, and Corporate Products, consisting of
LippoKredit, LippoTrade, LippoGiro, LippoDeposit, e-LippoLink
and MFTS. The bank is supported by 134 branch offices, 21 sub
branch offices, 238 cash offices and four payment service
offices nationwide.


BANK NIAGA: Partners With  Mobile-8 in Electronic Payment
---------------------------------------------------------
PT Bank Niaga Tbk and PT Mobile-8 Telecom Tbk corporate in
accepting bill payment and Fren mobile reload purchase through
electronic delivery channel facility.  By this agreement, the
customers of Mobile-8 who also are customers of Bank Niaga can
do electronic payment and other transactions through Niaga Self
Service Terminal (SST), Niaga Access 14041 (phone banking),
Niaga Global@ccess (internet banking), Niaga Ponsel Access
(mobile banking) and auto debt.

This agreement was signed by Paul S. Hasjim, Bank Niaga Head of
IT & System and Alex Tan Kok Leong, Mobile-8 Chief Commercial
Officer for Selling, Distribution and Customer Service and
witnessed by Ananda Barata, Bank Niaga Operation & IT Director
and Merza fachys, Mobile-8 Director and Corporate Affairs Chief.
Bank Niaga and Mobile-8 has cooperated since May 2007 in Niaga
access 14041 service.  To meet people's demand and need in
banking service, Bank Niaga and Mobile-8 agreed to add
simplicity and access not only in Niaga Access 14041 which has
run, but also in other facilities.

Both parties committed to give simplicity and added value to
their customers that realized through this cooperation.  
Mr. Hasjim from Bank Niaga said that as the one of the foremost
bank, Bank Niaga always apply technology as part of its
strategy, such as through comprehensive electronic delivery
channel facility provision.  " Niaga e-Banking as one-stop-
service facility can be used by Mobile-8's customers to do bill
payment dan mobile reload purchase, " Mr. Hasjim said.

Furthermore, Mr. Kok Leong from Mobile-8 said that this
collaboration is conducted to make it easy for Fren's customer
to do bill payment and mobile reload purchase.  " This
cooperation shows our commitment in giving high quality og
service to our customers, so they can enjoy our
telecommunication service in the middle of their daily
activities.  This collaboration is a prompt moment for Fren, as
we expand our network in 2007 which has reached cities outside
Java," Mr. Kok Leong said.  To Mobile-8, this agreement
completes the success of Mobile-8 in collaborating with other
foremost banks, national and international ones.

                        About Bank Niaga

Headquartered in Jakarta, Indonesia, PT Bank Niaga Tbk --
http://www.bankniaga.com/-- has a license to operate as a    
commercial bank, a foreign exchange bank and a bank engaged in
activities based on Syariah principles.  The bank's products and
services include: Funding, Consumer Financing, Business
Financing, Credit and Debit Cards, Private Banking, Preferred
Circle, e-Banking, Corporate Trust, Bancassurance and Treasury
Indicator.  The bank's subsidiaries consist of: PT Niaga Aset
Manajemen and PT Saseka Gelora Finance.  As of January 31, 2006,
the Bank operates 54 domestic branches, 145 domestic supporting
branches, 22 domestic payment points, seven Syariah units and
one overseas branch.

                          *     *     *

The bank also has the following existing global scale ratings
assigned by Moody's Investors Service:

   -- issuer/foreign currency subordinated debt of Ba3;

   -- global local currency deposit of Baa3;

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

   -- and bank financial strength of D.

Fitch Ratings affirmed all the ratings of PT Bank Niaga Tbk as:
Long-term foreign Issuer Default ratings at 'BB-'; Individual at
'C/D'; and Support '4'.  The Outlook for the ratings was revised
to Positive from Stable.


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

ALITALIA SPA: Board Selects Air France-KLM as Preferred Buyer
-------------------------------------------------------------
The Board of Directors of Alitalia S.p.A. met to identify the
party with whom to start exclusive negotiations.

In this context, on the basis of the assessment of the non
binding proposals received on the Dec. 6, 2007, and having
considered the advisors' final recommendations -- Citi as
financial advisor, Roland Berger as industrial advisor and
Grimaldi & Associati as legal advisor -- duly integrated with
the additional information and clarifications subsequently
received by the bidders, the Board of Directors has unanimously
resolved:

    * to select the Air France-KLM non binding proposal as the
      one that offers to the Company, given its current critical
      financial conditions, and having also considered the
      implementation of the Transition / Survival Plan, the
      appropriate solution to preserve the Company's assets and
      to promote its quick and permanent restructuring, thanks
      to the benefit of synergies arising from the integration
      in a major international group of the airline industry.

      Such proposal, in fact:

      -- provides adequate and reliable financial and industrial
         assurances to successfully carry out the restructuring,
         development and re-launching of Alitalia, while
         stating, within this context, the interest and
         willingness to acquire control of the Company;

      -- is more convenient from an economic point of view for
         the shareholders; and

      -- is perceived to be adequately aligned with the
         expectations stated by the shareholder Ministry of
         Economy and Finance through the press release
         issued on July 31, 2007, as it envisages to
         satisfactorily safeguard the general interests
         considered to be essential by the Government in terms
         of continuity and adequateness of aviation services in
         Italy.

    * to submit a communication to the Ministry of Economy and
      Finance, asking it to express its position in relation to
      the Air France-KLM proposal within a timetable not
      significantly different from the one proposed by the
      Government in its press release of Dec. 20, 2007, also in
      light of the critical financial conditions of the Company
      and of a macro scenario increasingly challenging; and

    * to mandate, within this framework, its Chairman to define
      the terms of the exclusive negotiation to be started with
      Air France-KLM.

On Sept. 7, 2007, the Board of Directors approved a
"Survival/Transition Plan," which highlights that:
    * it is economically and industrially unsustainable to
      attempt to develop a network based on two hubs;

    * the productivity objectives and increased efficiency of
      the cost structure are indispensable pre-requisites,
      which, however, do not improve the structural weakness
      of the Company's competitive positioning; and

    * being part of an international alliance is an essential
      element to serve the market and to compete for the high
      yield traffic segments, but it is not sufficient to
      generate the amount of synergies required to avoid a
      progressive imbalance of the financial structure.

The Company also recognized and noted that:

    * the scenario and the competitive environment of the
      aviation sector favor the acceleration of consolidation
      trends towards a very limited number of hub carriers,
      which enable economies of scale and the creation of
      significant synergies;

    * it is extremely difficult to close the existing gap
      through a new attempt to position the Company as a
      standalone player at the same level of a European hub
      carrier;

    * there is the need to inject new financial resources by
      means of a substantial capital increase, to be carried out
      in the coming months, ideally in connection with the
      project to dispose of the controlling stake of the
      Company, unless critical issues arise in the
      implementation of the Survival/Transition Plan.

The proposals received have been assessed in light of the
mentioned issues and have been subject to further assessment
with the parties involved to understand all the aspects, in
order to finalize and evaluation based on these criteria:

    * the industrial and financial quality of the bidder;

    * the strategic sustainability and the industrial and
      financial solidity of the proposal submitted;

    * its adequateness to answer to the needs of the Company and
      to the issues identified in the Company's Plan, bearing in
      mind the aim to maintain Italy's access to an advanced
      aviation system;

    * the ability of the partnership proposal to generate
      appropriate synergies in favor of Alitalia, sustaining the
      possible re-launch in the medium-long term.

The Board of Directors decision towards the non binding proposal
submitted by Air France-KLM has matured as a result of several
elements contained in the proposal and summarized as:

    * Air France-KLM has considerable experience and offers a
      high degree of industrial credibility

      -- Air France-KLM is the largest airline in the world and
         one of the most financially and industrially sound
         (with a turnover of EUR23 billion, a market
         capitalization of around EUR7.2 billion, a fleet of
         601 aircraft, 240 destinations served, more than
         73 million passengers carried, EUR4.1 billion of cash
         and cash equivalents as of Sept. 30, 2007, a net result
         of EUR891 million for the fiscal year 2006/2007,
         further improving in the current year);

      -- it has an excellent track record of integrations on
         medium and large scales, successfully completed, also
         through industrial restructuring;

      -- it operates a multi-hub network with the best market
         performance in the world; and

      -- it is the leader of the SkyTeam alliance, created in
         2000 and gradually expanded to include 11 members.

    * The business plan put forward by AirFrance-KLM has been
      considered highly credible and adequate to address the
      strategic, industrial and financial issues of Alitalia,
      having also considered the competitive environment in
      which the Company operates.

      Briefly, the plan:

      -- creates an advantageous situation for all the parties
         involved:

         * for Alitalia, which will regain the ability to grow
           and achieve economic soundness;

         * for Italy, which will have access to an advanced and
           highly competitive aviation system for passengers and
           goods on a global scale;

         * for AirFrance-KLM, who will reinforce its multi-hub
           system by acquiring an additional platform, with a
           role generating value within the whole system, also
           through clear growth upsides.

      -- moderates the "vacuum cleane" effect from Northern
         Italy, especially in Milan, to the large European hubs,
         being Air France-KLM currently one of the carriers that
         applies the model most effectively. In this respect,
         through competitive transport solution provided by
         Alitalia network and by its Fiumicino hub, together
         with the improvement of the ability to attract high
         yield traffic, the current issues will transform in
         opportunities through which create value;

      -- consistently with the repositioning indicated in
         Alitalia's Survival/Transition Plan, speeds up the
         removal of the causes which create the Company's
         current losses, creating the prospect of new and more
         solid growth by realigning the cost structure and
         levels of overall efficiency, including an initial
         reduction of the fleet and of certain destinations and
         flight frequencies;

      -- highlights the ability to generate sufficient cash
         flows to sustain the Company's debt levels which,
         through the envisaged capital increase, are aligned
         with those typical of the industry;

      -- foresees the renewal of the fleet (in particular, the
         complete replacement of the MD80s by 2017 and of B767)
         and the progressive, constant growth over time starting
         from 2011 (with overall investments of EUR6.5 billion);

      -- envisages improving the quality of customer services
         and of the operational performance in terms of on-time
         performance and reliability, through considerable
         investment in on-board services and cabin layouts, as
         well as services for passengers, in order to re-launch
         and strengthen Alitalia's competitive position,
         enhancing the value of its brand name o offers the
         chance to take part in the North Atlantic joint venture
         with certain SkyTeam members including Delta;

      -- positions Rome as a valuable hub, expanding its offer
         to the passengers, in particular those traveling
         from/to Italy, while providing access to the multi-hub
         network of AirFrance-KLM. It defines for Fiumicino a
         clear and unique role in the overall network design in
         the new group for Central-South, South-Eastern Europe,
         as well as for North Africa; the new group thanks to
         the presence in a hub located in the southern part of
         Europe, will gain a competitive edge compared to the
         other main European network which already operates hubs
         to the south of Paris and Amsterdam;

      -- envisages an important role for the airport system of
         Milan: Linate will see its role as a city airport
         confirmed and strengthened, focusing on business
         traffic, within the limits set by the existing
         regulations.  Malpensa will maintain the three main
         intercontinental routes for North and South America and
         Asia and will update the scheduling of the
         international routes so as to improve the service for
         Italian business travelers, as envisaged by the
         Alitalia's Plan;

      -- complementing the strategy adopted to serve the
         Northern Italy market, the proposal confirms the
         willigness to support the development of Volareweb,
         taking advantage of the skills acquired in the
         successful experiences of Transavia and Transavia
         France;

      -- envisages the integration of Alitalia cargo activities
         with Air France-KLM cargo, maintaining the brand name
         and the operational base; this will reinforce the
         position as the leading global operator, which will
         also become the market leader in Italy, thereby
         benefiting from significant economies of scale (cost as
         well as the portfolio of products and services)

      -- regarding Alitalia Servizi, the guidelines of
         Alitalia's Survival/Transition Plan are confirmed.

    * the Air France-KLM proposal is expected to generate
      significant synergies in favor of Alitalia, allowing for a
      sustainable re-launch in the long term.

      In particular, it acknowledges that the most important
      business instrument for generating significant and
      sustainable synergies over a period of time is the
      "network overlap."  In fact, the integration of two
      overlapping networks and the consequent creation of an
      extended network based on several hubs multiplies
      exponentially the ability to attract traffic and generate
      increased revenues: a system of integrated networks offers
      to its customers several travel solutions, both as
      possible itineraries and as fare combinations.

    * from the economic point of view, the Air France-KLM
      non-binding proposal offers the best terms for the
      Ministry of Economy and Finance and for minority
      shareholders, and is sustained by the high degree of
      certainty on the availability of the financial resources
      for Alitalia:

      On Sept. 30,  2007, Air France-KLM had cash and cash
      equivalents of EUR4.1 billion.  Furthermore, Air      
      France-KLM undertakes to guarantee the whole amount
      indicated for the capital increase (EUR750 million).

    * the Air France-KLM non binding proposal clearly states the
      willingness to undertake a number of commitments towards
      the Italian State on these topics:

      -- the safeguarding and valorization of the Alitalia
         brand, logo and livery, with an equal standing to the
         two other group companies;

      -- the preservation of an adequate coverage of the Italian
         market as well as an adequate level of services
         offered; with regards to the national network, it has
         been specifically stated that it will remain
         substantially unchanged from the one envisaged by the
         Alitalia's Survival/Transition Plan, that it will
         provide an offer capable to satisfy a high percentage
         of the demand from/to Rome and Milan;

      -- international and intercontinental destinations will be
         covered through the airports of Rome and Milan; with
         regards to this topic, Air France-KLM has indicated
         that it does not intend to use Alitalia as a feeder to
         the hubs of Paris and Amsterdam, but rather to
         strengthen Alitalia as a key European carrier.

    * the Air France-KLM proposal includes labor
      considerations on the levels of employment in line with
      Alitalia's Survival/Transition Plan. Air France-KLM
      indicates the intention to consider measures to involve
      employees with profit sharing schemes based on economic
      results.

                       About Alitalia

Headquartered in Rome, Italy, Alitalia S.p.A. --
http://www.alitalia.it/-- provides air travel services for
passengers and air transport of cargo on national, international
and inter-continental routes.  The Italian government owns 49.9%
of Alitalia.  The company has operations in Argentina and Japan.

Despite a EUR1.4 billion state-backed restructuring in 1997,
Alitalia posted net losses of EUR256 million and EUR907 million
in 2000 and 2001 respectively.  Alitalia posted EUR93 million in
net profits in 2002 after a EUR1.4 billion capital injection.
The carrier booked annual net losses of EUR520 million in 2003,
EUR813 million in 2004, EUR168 million in 2005, and
EUR625.6 million in 2006.

Italian Transport Minister Alessandro Bianchi has warned that
Alitalia may file for bankruptcy if the current attempt to sell
the government's 49.9% stake fails.


HARMAN INT'L: Gary Steel to Serve on Board of Directors
-------------------------------------------------------
Harman International Industries Incorporated has appointed Gary
Steel to serve as a member of the Company's Board of Directors.
In connection with this appointment, the Board was expanded from
seven to eight members.  Mr. Steel will serve under this
appointment until November 2009, at which time he will stand for
reelection to the Board through the company's normal processes.

Mr. Steel, a Scottish citizen, currently serves as Executive
Committee member responsible for Human Resources at ABB Ltd., a
leading global supplier of power and automation technologies.
Previously, he served in a series of senior management positions
for the Shell group of energy and petrochemical companies.  His
professional background includes extensive experience in human
resource development, restructuring, and corporate governance.

"We are delighted to welcome a global executive of Gary Steel's
competence to our Board of Directors," said Dr. Sidney Harman,
Chairman and Dinesh Paliwal, Chief Executive Officer.  "Gary's
deep expertise in human resource development, strategic
initiatives and governance will serve as a valuable asset as we
carefully match our company's strategy to evolving global
markets and resources."

Headquartered in Washington, D.C., Harman International
Industries Inc. (NYSE: HAR) -- http://www.harman.com/-- makes
audio systems through auto manufacturers, including
DaimlerChrysler, Toyota/Lexus, and General Motors.  Also the
company makes audio equipment, like studio monitors, amplifiers,
microphones, and mixing consoles for recording studios, cinemas,
touring performers, and others.  Harman Int'l has operations in
Japan, Mexico and France.

                       *     *     *

As reported in the Troubled Company Reporter-Latin America on
Oct. 26, 2007, Standard & Poor's Ratings Services revised its
CreditWatch implications for the 'BB-' corporate credit rating
on Harman International Industries Inc. to positive from
developing.


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

LG TELECOM: To Implement New Billing System This Month
------------------------------------------------------
LG Telecom Ltd will implement it's new billing system, nCSBS, in
January, Korean Times reports.

According to the report, the company confirmed final test on
nCSBS will be conducted from Dec. 29 and actual implementation
begins on Jan. 2.

By applying new IT technology, the report relates, nCSBS will
efficiently provide differentiated convergence services
including new billing system in addition to existing services.

Headquartered in Kangnam-gu, Seoul, South Korea, LG Telecom Ltd.
-- http://www.lgtelecom.com/-- is a telecommunications and        
mobile phone operator controlled by the LG Group, one of the
country's largest chaebol.  It is Korea's smallest wireless
operator. LG Telecom became one of the first companies to launch
a commercial 3G service using PCS technology.  In 1997, this was
followed up by launching the second PCS network, offering
greatly increased data transmission speeds.  LG Telecom also
offers a variety of internet services. BankOn is one of the most
popular mobile banking services in South Korea and Musicon is a
popular instant messenger.

Standard & Poor's Ratings Services gave LG Telecom 'BB+' Long-
Term Foreign Issuer Credit and Long-Term Local Issuer Credit
Ratings.

As reported in the Troubled Company Reporter-Asia Pacific on
Nov. 14, 2006, Fitch Ratings upgraded LG Telecom's foreign
currency Issuer Default rating to 'BB+' from 'BB.'

On March 27, 2007, Moody's Investors Service upgraded LG
Telecom's foreign currency corporate family rating and senior
unsecured bond rating to Ba1 from Ba2.  The outlook on the
rating is stable.


HANAROTELECOM: Selects Alcatel-Lucent to Supply Network Solution
----------------------------------------------------------------
Hanarotelecom Inc. selected Alcatel-Lucent to supply its Gigabit
Passive Optical Network solution.  Alcatel-Lucent's GPON
solution will enable hanaroTelecom to deliver advanced broadband
services, such as IPTV, high-definition television, video-on-
demand over "hanaTV", high-speed Internet access and interactive
multimedia services to its 110,000 residential subscribers in
Korea.

"As we embark into the era of IPTV and HDTV, the household
demand for high bandwidth broadband services with the right
quality of service is gaining importance. This is something we
can deliver by deploying Alcatel-Lucent's GPON solution," said
Chan-Woong Park, Senior Vice President of Network Technology
Unit at Hanaro Telecom.  "By partnering with Alcatel-Lucent, we
will continue to focus on deploying new and advanced service
offerings, providing reliable and premium connectivity services
to meet our customers' requirements."

"Alcatel-Lucent has always provided Hanaro Telecom with key
solutions, enabling them to build a high speed broadband
converged network that meets the ever growing market demands,"
said Frederic Rose, President of Alcatel-Lucent's business in
Europe, Africa and Asia.  "This contract is a key milestone for
Alcatel-Lucent, following last year's GPON trial award with
Hanaro Telecom.  It further strengthens our leading position in
the fiber-to-the-home market worldwide as well as in the Asia
Pacific region, and more specifically in Korea."

Under the terms of the contract, Alcatel-Lucent will deploy the
7342 Intelligent Services Access Manager Fiber-to-the-Home  
solution, which is designed specially for packet-based voice
convergence and IPTV services.  It enables IP converged triple
play services by offering maximum bandwidth and QoS over a fiber
access network.  It enables service providers to offer seamless
multimedia services such as high-speed data, IPTV, VoIP, or
video services to its subscribers.  Leveraging GPON technology,
the solution can deliver any mix of voice, video or data over a
single fiber that terminates at the subscriber's premise with
each PON line supporting 2.5 Gb/s downstream.  Partnering with
Sandeul Networks, Alcatel-Lucent will focus on the equipment
while our business partner will dedicate its support on service
delivery including items such as installation and integration

                     About hanarotelecom

hanarotelecom Inc. -- http://www.hanaro.com/-- is the second       
largest player in the Korean local telephone market.  It
provides high-speed Internet services in Korea.  It provides
high-speed Internet services in Korea.  In June 2001, the
company integrated broadband Internet access services which
included ADSL, Hybrid Fiber Coaxial cables and Broadband
Wireless Local Loop into a single brand called HanaFOS.
hanarotelecom offers VoIP services to its broadband business
customers as a bundled service and also as a stand alone
service.

                        *     *     *

Moody's Investor Service has given hanarotelecom's long-term
corporate family and its senior unsecured debt 'Ba2' ratings.

Standard and Poor's gave both hanarotelecom's long-term foreign
issuer credit and long-term local foreign issuer credit 'BB'
ratings.


RHODIA SA: Restructures Acetow Business in Germany
--------------------------------------------------
Rhodia S.A. launched an extensive program to improve the
competitiveness of its Acetow cellulose acetate business.  This
activity, with production site mostly situated in Europe, is
particularly impacted by the weakness in the U.S. dollar.

As a first step, an action plan was announced at the Freiburg
site in Germany.  Following an in-depth study, this plan targets
cost savings in all processes through productivity gains in
production, more efficient administration, support services, and
a new orientation to Research & Development activities.  As part
of the restructuring program, 129 jobs will be cut, mostly
through early retirement.

"The action plan we are launching aims to improve our margins to
compensate for the unfavorable foreign exchange environment.  It
will help ensure the long-term competitiveness of Acetow as part
of Rhodia's core businesses and the sustainability of the
Freiburg site," Gerard Collette, the new president of the Acetow
Enterprise, commented.

Headquartered in Freiburg, Germany, Rhodia Acetow is a
subsidiary of Rhodia S.A. and ranks among the three leaders in
the market of cellulose acetate fibers for cigarette filters.

                          About Rhodia

Headquartered in Paris, France, Rhodia S.A. (NYSE: RHA)
-- http://www.rhodia.com/-- is a global specialty chemicals  
company partnering with major players in the automotive,
electronics, pharmaceuticals, agrochemicals, consumer care,
tires, and paints and coatings markets.  Rhodia offers tailor-
made solutions combining original molecules and technologies to
respond to customers' needs.  The group generated sales of
EUR4.8 billion in 2006 and employs around 16,000 people
worldwide.

Rhodia is listed on Euronext Paris and the New York Stock
Exchange.  The company has operations in Brazil and Korea.

                        *     *     *

As reported in the TCR-Europe on Nov. 28, 2007, Moody's
Investors Service affirmed Rhodia S.A. Corporate Family
Rating at Ba3.  Moody's said the outlook has been changed to
Positive from Stable.

As reported on April 26, 2007, Fitch Ratings affirmed Rhodia
S.A.'s Issuer Default Rating at BB- and revised the Outlook to
Positive from Stable.  Fitch has assigned Rhodia SA's proposed
issue of up to EUR595.125 million bonds convertible and/or
exchangeable for new and/or existing shares an expected 'BB-'
rating.

These ratings are affected:

   -- Corporate Family Ratings upgraded to Ba3;

   -- Probability-of-Default assigned at Ba3;

   -- Rhodia S.A. Senior Unsecured ratings upgraded to B1, LGD4
      (69%); and

   -- Rhodia S.A. Senior convertible notes rated (P)B1, LGD4
      (69%).

At the same time, Standard & Poor's Ratings Services raised its
long-term corporate credit rating on Rhodia to BB- from B+, and
its long- term debt rating on the group to B from B-.  Standard
& Poor's also assigned its B senior unsecured debt rating to
Rhodia's proposed new bond, which will be used for refinancing
purposes.


RHODIA SA: Names Gerard Collette as President of Acetow Arm
-----------------------------------------------------------
Rhodia S.A. has appointed Gerard Collette as president of
Rhodia's Acetow Enterprise and member of the group's executive
committee.

Mr. Collette holds a degree in engineering from the Ecole
Natinale d'Ingénieurs de Metz and a PhD from the Institut
Polytechnique de Lorraine.  He began his career with Pechiney in
1980.  In 2005, he joined the Novelis Group as global rolling
process technology leader and director technology Europe.

Headquartered in Freiburg, Germany, Rhodia Acetow is a
subsidiary of Rhodia S.A. and ranks among the three leaders in
the market of cellulose acetate fibers for cigarette filters.

                          About Rhodia

Headquartered in Paris, France, Rhodia S.A. (NYSE: RHA)
-- http://www.rhodia.com/-- is a global specialty chemicals  
company partnering with major players in the automotive,
electronics, pharmaceuticals, agrochemicals, consumer care,
tires, and paints and coatings markets.  Rhodia offers tailor-
made solutions combining original molecules and technologies to
respond to customers' needs.  The group generated sales of
EUR4.8 billion in 2006 and employs around 16,000 people
worldwide.

Rhodia is listed on Euronext Paris and the New York Stock
Exchange.  The company has operations in Brazil and Korea.

                        *     *     *

As reported in the TCR-Europe on Nov. 28, 2007, Moody's
Investors Service affirmed Rhodia S.A. Corporate Family
Rating at Ba3.  Moody's said the outlook has been changed to
Positive from Stable.

As reported on April 26, 2007, Fitch Ratings affirmed Rhodia
S.A.'s Issuer Default Rating at BB- and revised the Outlook to
Positive from Stable.  Fitch has assigned Rhodia SA's proposed
issue of up to EUR595.125 million bonds convertible and/or
exchangeable for new and/or existing shares an expected 'BB-'
rating.

These ratings are affected:

   -- Corporate Family Ratings upgraded to Ba3;

   -- Probability-of-Default assigned at Ba3;

   -- Rhodia S.A. Senior Unsecured ratings upgraded to B1, LGD4
      (69%); and

   -- Rhodia S.A. Senior convertible notes rated (P)B1, LGD4
      (69%).

At the same time, Standard & Poor's Ratings Services raised its
long-term corporate credit rating on Rhodia to BB- from B+, and
its long-term debt rating on the group to B from B-.  Standard
& Poor's also assigned its B senior unsecured debt rating to
Rhodia's proposed new bond, which will be used for refinancing
purposes.


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

ARK RESOURCES: Updates Bursa on Default Status as of Dec. 31 '07
----------------------------------------------------------------
Ark Resources Bhd and its subsidiaries disclosed with the Bursa
Malaysia Securities Bhd their status on default payments to
several lenders as of December 31, 2007:

  Lender                   Borrower              Amount Claimed
  ------                   --------              --------------
  CIMB Bank Bhd            Lankhorst Pancabumi    MYR25,321,245
                           Contractors S/B        MYR39,278,848
                                                     
  Prokhas Sdn Bhd          Lankhorst Pancabumi       MYR526,156
                           Contractors S/B

  Maybank                  Lankhorst Pancabumi    MYR15,632,230
                           Contractors S/B

  Affin-ACF Finance Bhd    ARK M&E Sdn Bhd           MYR136,114  

Moreover, the Kuala Lumpur High Court granted Ark and it
subsidiaries an extension of the Restraining Order in their
favor of up to March 31, 2008.

In addition, Ark said that its debts will be addressed under a
Proposed Corporate Restructuring to be undertaken by the
company.


ARK Resources Berhad, formerly known as Lankhorst Berhad --
http://www.lankhorst.com.my/-- is an investment holding company
with headquarters in Shah Alam, Malaysia.  Through its
subsidiaries, the Company provides civil and geotechnical
engineering

On April 24, 2006, Lankhorst was classified as an affected
listed issuer under the Bourse's Practice Note 17/2005.  It was,
therefore, required to submit and implement a plan to regularize
its financial condition category.


LITYAN HOLDINGS: Payment Default Reaches MYR27MM as of Dec. 31
--------------------------------------------------------------
Lityan Holdings Bhd, in a regulatory disclosure with the Bursa
Malaysia Securities Bhd, provided an update on the status of its
default to credit facilities as of December 31, 2007.

As of end-December 2007, Lityan Holdings owes its creditors
MYR26.91 million in aggregate:

                                             Total Principal and
Lender                Type of Facility       Interest in Default
------                ----------------       -------------------
RHB Bank Berhad       Overdraft Facility           MYR316,549.27
                      of MYR225,000/-

RHB Bank Berhad       Overdraft Facility              634,670.17
                      of MYR450,000/-

Bank Islam Malaysia   Letter of Credit             15,377,614.51
Berhad Labuan         Facility/ Murabah
Offshore Branch       Working Capital
(Formerly known as    Financing/ Revolving
Bank Islam (L) Ltd)   Al-Bai-Bithaman-Ajil
                      Facility of US$10-Mil.
                      (Secured)

Bank Islam Malaysia   Revolving Al-Bai-             9,185,219.01
Berhad Labuan         Bithaman-Ajil Facility
Offshore Branch       of US$5 million
                      (secured)

Ambank Berhad         Overdraft Facility            1,396,679.15
                      of MYR1 million           ----------------
                                                MYR26,910,732.11

The company also clarified that its three subsidiaries -- Lityan
Systems Sdn Berhad, Digital Transmission Systems Sdn Bhd, and
Lityan (L) Incorporated, which have defaulted in various credit
facilities to the financial institutions -- are not major
subsidiaries.


Headquartered in Selangor Darul Ehsan, Malaysia, Lityan Holdings
Berhad -- http://www.lityan.com.my/-- sells and provides         
maintenance services and rental of computer equipment,
peripherals, telecommunication equipment and related services.
The Company's other activities include provision of building
maintenance and management services, developing and marketing of
new client-server programming tools and application software,
operation of public mobile data network, property investment and
investment holding.  The Group carries out its operations in
Malaysia and the Philippines.

On May 10, 2005, the company was classified as an affected
listed issuer pursuant to Bursa Malaysia Securities Berhad's
Practice Note 17 category.  On January 16, 2006, the Company
entered into a conditional Restructuring Agreement to undertake
the Proposed Restructuring Scheme with the intention of
restoring itself onto stronger financial footing via an
injection of new viable businesses.


MEGAN MEDIA: Posts MYR32.85-Mln Net Loss in Qtr Ended October 31
----------------------------------------------------------------
Megan Media Holdings Bhd incurred a net loss of MYR32.85 million
on MYR5.51 million of revenues in the second quarter ended
Oct. 31, 2007, as compared with a net profit of MYR15.17 million
on MYR238.13 million of revenues in the same period in 2006.

As of October 31, 2007, the company's unaudited balance sheet
showed strained liquidity with current assets of
MYR43.86 million available to pay current liabilities of
MYR1.01 billion.

The company's total assets as of Oct. 31, 2007, amounted to
MYR115.43 million, while its total liabilities aggregated to
MYR1.01 billion, resulting in a shareholders' equity deficit of
MYR897 million.


Megan Media Holdings Berhad' s principal activities are
manufacturing and trading data storage media products such as
computer diskettes, video cassette tapes, compact disc
recordable (CD-R's) and digital versatile disc recordable (DVD-
R's).  The Group operates in Malaysia, Singapore and other
countries.

The Troubled Company Reporter-Asia Pacific reported on June 11,
2007, that the Rating Agency Malaysia has downgraded the long-
term rating of Memory Tech Sdn Bhd's MYR320 million Bai Bithaman
Ajil Islamic Debt Securities (2005/2012) ("BaIDS"), from C3
(with a negative outlook) to D.

The BaIDS carries a corporate guarantee from MTSB's holding
company, Megan Media Holdings Berhad.  Concurrently, RAM has
lifted the Rating Watch (with a negative outlook) that had been
placed on MTSB on May 9, 2007, following the failure of MTSB and
MJC (Singapore) Pte Ltd, another wholly owned subsidiary of
Megan Media, to repay their trade facilities amounting to
MYR47.36 million.

On June 19, 2007, the company was classified as a PN17 company,
and was given eight months to submit a substantive plan to
regularize its financial condition.


TANCO HOLDINGS: Completes Scheme of Arrangement
-----------------------------------------------
Tanco Holdings Berhad disclosed that it has completed its Scheme
of Arrangement on Dec. 27, 2007.

Accordingly, all Scheme Creditors had been paid the Settlement
Sum in accordance to the terms and conditions of the Scheme of
Arrangement and has acknowledged receipt of the Settlement Sum.

As previously reported, Tanco Holdings and its affected  
subsidiaries sought and obtained for Court sanction of its
Proposed Composite Schemes of Arrangement pursuant to Section
176 of the Companies Act, 1965.  

The Court's order has been granted with an undertaking from
Lehman Brothers, provided through its Counsel that the
“Refinancier” will be bounded by the Composite Scheme and will
provide the appropriate funding to the Tanco Group to give
effect to the Composite Schemes of Arrangement, subject to the
conditions as stated in the Order.

With the sanction of the Composite Schemes by the Courts and the
filing of that Order with the Companies Commission of
Malaysia, the Composite Schemes are now effective and binding
between the Tanco Group and its respective Scheme Creditors.

Tanco also revealed that as the Composite Schemes have now been
sanctioned by the Courts, the potential disputes that may have
arisen from the Chairman's ruling during the Creditors' Meeting
as announced on the August 10, 2007, are no longer in issue.
         

Headquartered in Selangor Darul Ehsan, Malaysia, Tanco Holdings
Berhad -- http://www.tancoresorts.com/-- operates resort, golf      
and marina clubs and provides management services.  Its other
activities include provision of exchange services in relation to
vacation ownership schemes; property holding and development;
provision of consultancy services; money lending business;
travel and tour agent; multimedia related business; and
investment holding.  The Group carries out its operations in
Malaysia, the British Virgin Islands, New Zealand and Mauritius.

The company is a Practice Note 17 company in respect of the
Company's continuance as a going concern in its audited accounts
for the year ended 31 December 2004.  As an affected listed
issuer, the Company is required to implement a regularization
plan to avoid delisting.


TAP RESOURCES: Incurs MYR.773-Mln Net Loss in 2nd Quarter 2007
--------------------------------------------------------------
Tap Resources Bhd incurred a net loss of MYR773,000 on
MYR866,000 of revenues in the second quarter ended Oct. 31,
2007, as compared with the MYR895,000 net loss on
MYR2.22 million of revenues in the same quarter in 2006.

As of Oct. 31, 2007, the company's unaudited balance sheet
showed strained liquidity with current assets of MYR6.59 billion
available to pay MYR50.64 billion of current liabilities.

Tap Resources' total assets as of Oct. 31, 2007, amounted
MYR45.64 billion and liabilities aggregated to MYR51.65 billion,
resulting to a shareholders' equity deficit of MYR6.05 billion.


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

TAP's shareholders' equity on a consolidated basis is equal to
or less than 25% of the issued and paid up capital of the
Company and such shareholders equity is less than the minimum
issued and paid up capital as required under paragraph 8.16A (1)
of the Listing Requirements of Bursa Malaysia Securities Berhad
for the nine months financial results ended January 31, 2006 and
a default in payment by TAP and it is unable to provide a
solvency declaration.  Both of these qualify the company to be
classified as a PN17 company.


TENGGARA OIL: Incurs MYR1.69-Mil. Net Loss in Qtr Ended Oct. 31
---------------------------------------------------------------
Tenggara Oil Bhd incurred a net loss of MYR1.69 million on
MYR1.10 million of revenues in the third quarter ended Oct. 31,
2007, as compared with a net loss of MYR2.43 million on
MYR1.27 million of revenues in the same period in 2006.

As of Oct. 31, 2007, the company's unaudited balance sheet
showed strained liquidity with current assets of MYR4.70 million
available to pay current liabilities of MYR47.62 million.

The company's total assets as of Oct. 31, 2007, amounted to
MYR21.37 million, while its total liabilities aggregated to
MYR47.62 million, resulting to a shareholders' equity deficit of
MYR26.25 million.


Tenggara Oil Berhad is undertaking a divestment and
restructuring exercise, which will reposition it as a service-
oriented and trading group from its current resource-based
businesses.  Current businesses include investment holding,
supply of ready mixed concrete, property holding, management and
construction.  As part of a corporate revamp exercise, the
Company has repositioned itself in the oil and gas business,
which will be its core business.  The Company is headquartered
in Kuala Lumpur, Malaysia.

Tenggara is in the process of formulating a debt-restructuring
scheme with relevant parties.


===============
M O N G O L I A
===============

ERDENET MINING: S&P Places 'B' Rating On Watch Positive
-------------------------------------------------------
Standard & Poor's Ratings Services placed its 'B' long-term
corporate credit rating on Erdenet Mining Corp. on CreditWatch
with positive implications because of the likelihood of a
substantial improvement in the company's financial performance
and credit profile under favorable operating conditions.

Standard & Poor's will study the latest financial information
and other relevant information made available to it before
determining the outcome of the CreditWatch placement within the
next three months.

"Erdenet Mining is likely to continue to benefit from strong
copper prices, although the quality of its ore has been
deteriorating gradually in recent years.  The company plans
additional capital expenditure to upgrade its production
facilities and improve its operating efficiency to offset the
impact of the deteriorating ore grade," said Standard & Poor's
credit analyst Ryan Tsang.

In addition, an existing joint-venture agreement between the
governments of Mongolia (BB-/Stable/B) and Russia (foreign
currency ratings BBB+/Stable/A-2; local currency ratings A-
/Stable/A-2) will expire in June 2008, However, the formal
renegotiation process has not yet started.

The CreditWatch placement is likely to be resolved with an
upgrade of one or two notches after Standard & Poor's has
reviewed Erdenet Mining's latest available financial statements,
and capital expenditure and funding plans.  Shareholders'
leverage of the JV agreement to enhance the company's financial
strength and/or improve its financial flexibility would also
support positive rating action.


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

HERITAGE GOLD: Raises NZ$961,972 From Pro Rata Rights Issue
-----------------------------------------------------------
Heritage Gold NZ Ltd issued 17,814,303 shares and 8,907,073
options on Dec. 24, 2007, at NZ$0.054 or AU$0.045 per share,
following receipt of valid applications and payment under the
terms of its renounceable rights issue offer.

The company raised NZ$961,972 (before expenses) to be used for:

   -- advancing exploration of the company's key gold tenements
      held at Waihi and Karangahake;

   -- preliminary exploration of the base metal permits in
      Northland, New Zealand;

   -- preliminary exploration of the exploration licences in the
      Dunmarra Basin of the Northern Territory, Australia; and

   -- providing working capital for the company.

Rights issue applications were received from holders of existing
shares for 12,476,029 shares and 6,237,983 free attaching
options.  Shortfall applications were received for 5,338,274
shares and 2,669,090 free attaching options.  All valid
applications for shares and options have been issued on Dec. 24.

Shortfall remaining under the offer is, therefore, 17,836,112
shares with 8,918,056 free attaching options.

Under the terms of the offer, the directors reserve the right,
by no later than March 20, 2008, to place these remaining shares
and attaching options not taken up by holders of existing
shares.

Parnell, New Zealand-based Heritage Gold NZ Limited --
http://www.heritagegold.co.nz/-- is a mining company.  The     
company is a systematic and persistent acquirer of prime gold
areas in New Zealand's Waihi district.  Heritage Gold NZ Limited
has a 33% equity interest in Broken Hill Cobalt Limited (BHCL),
which has tenements over the Thackaringa cobalt project near
Broken Hill in New South Wales.  The company has an exploration
license south of Broken Hill, where several geophysical,
geological and geochemical anomalies represent targets with
potential for gold and base metal mineralization.  Its wholly
owned subsidiaries include Coromandel Gold Limited, Northland
Minerals Limited and Strength Investments Limited.

The group incurred consecutive losses of NZ$807,000,
NZ$2,639,467 and NZ$331,563 for the years ended March 31, 2007,
2006, and 2005, respectively.


PACIFIC EDGE: Granted 3rd Patent for Cancer Diagnostic Software
---------------------------------------------------------------
Pacific Edge has been awarded a United States patent for the
third of three patent applications covering their proprietary
software and algorithm development.  This software was developed
by one of the company's founders Professor Nik Kasabov.

The software enables the evaluation and modeling of large
patient databases to develop personalized models for the better
determination of patient diagnosis and prognosis.  Based on
fuzzy logic and neural networks the software enables the company
to interpret complex patterns of gene expression that define the
biological processes involved in the initiation and development
of cancer.  The software has potential in other medical fields
such as modeling of data from Mass Spectroscopy.

It is anticipated that there are likely to be a number of
companies and organizations, around the world already using the
technology contained in the company's newly issued patents and
that these companies are likely to need to seek a commercial
license from the company.

Pacific Edge was awarded a United States patent in August 2006
for Adaptive Learning System and Method and this has been
followed, in February 2007 with the New Zealand patent office
issuing the company a patent for 'Medical Applications of
Adaptive Learning Systems Using Gene Expression Data'.  This
patent has now also been issued in the US by the US Patent
Office.

Prof. Nik Kasabov is the founding director and Chief Scientist
of the Knowledge Engineering and Discovery Research Institute,
KEDRI, and is the Chair of Knowledge Engineering, School of
Computing and Information Sciences at the Auckland University of
Technology.

Dunedin, New Zealand-based  Pacific Edge Biotechnology Limited
-- http://www.pacificedgebiotech.com/-- is a biomedical company   
specializing in the discovery and commercialization of
diagnostic and prognostic products for human cancer.  The
company is focused on developing genomic and proteomic tools for
the earlier detection, improved characterization and better
management of gastric, bladder, colorectal, endometrial cancers
and melanoma. PEBL's early detection program for gastric cancer
uses different detection technology to the bladder and
endometrial programs.  This program is developing
protein/antibody assays that can be used to detect the targeted
biomarkers in blood samples.  The company has a 25% investment
in Prognostic Systems Limited, which has been formed to
investigate the possible usage of PEBL's core software in
predictive cardiovascular disease onset.  

The company has booked at least two consecutive annual net
losses -- NZ$1,880,836 for the year ended March 31, 2007, and
NZ$2,516,838 for the year ended March 31, 2006.


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

JG SUMMIT: Digitel's Mobile User Base Climbs to 5.5 Mil. in 2007
----------------------------------------------------------------
JG Summit Holdings Inc.'s majority-owned subsidiary Digital
Telecommunications Philippines Inc. said that its mobile
subscriber base more than doubled to 5.5 million by early
December, the Philippine Daily Inquirer reports.

The company had less than 2 million users at December 31, 2006,
the article recounts.

Its network had covered 108 out of the Philippines' 119 cities,
Digitel said in its report to the National Telecommunications
Commission.  This translates to 91% of the total number of
cities in the country, the Inquirer adds.


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

                         *     *     *

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

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


MANILA ELECTRIC: Seeks ERC OK for Planned PHP23-Bil. Bond Issue
---------------------------------------------------------------
The Manila Electric Co. wants to issue bonds and other forms of
borrowing worth PHP23.7 billion until up to 2011 to raise funds,
and is seeking the approval of the Energy Regulatory Commission,
the Philippine Star reports.

According to the report, MERALCO said in its application that it
is required to complete its PHP28.681-billion proposed capital
expenditures until 2011.  MERALCO said that it must meet the
expenditures in order to keep up with the expected demand in
electricity, as well as to make sure that it complies with
performance standards and ensuring the reliability of its
distribution system.

It will be impossible and impractical to rely on the company's
internally-generated funds or collections to finance the
expenditures because of the required peso amounts, the firm
added.  

MERALCO also assured customers that any funding option that they
decide to take will not affect its rates, the report says.  It
said that all interest, fees and other costs related to any
long-term borrowing will be shouldered by the company.


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

The Troubled Company Reporter-Asia Pacific reported on Dec. 14,
2007, that Standard & Poor's Ratings Services revised the
outlook on its ratings on Manila Electric Co. (Meralco) to
stable from negative. The 'B-' long-term issuer credit rating on
Meralco was affirmed.


PHILCOMSAT HOLDINGS: New Gov't Directors Confident Despite TRO
--------------------------------------------------------------
The new government nominees to the boards of the Philippine
Overseas Telecommunications Corp. and Philippine Communications
Satellite Corp., parent firms of the Philcomsat Holdings Corp.,
expressed confidence that their appointment was ordered by
President Gloria Macapagal-Arroyo herself and will be validated
by Malacanang, ABS-CBN News reports.

The report notes that according to Atty. Daniel Gutierrez, one
of the six nominees, their appointments were valid because they
were representing government-owned shares and not sequestered
shares.  That is why their appointments were not coursed through
the Presidential Commission on Good Government, he added.

In a report published on December 28, 2007, the Troubled Company
Reporter-Asia Pacific revealed, citing the Philippine Daily
Inquirer, that the Sandiganbayan ordered a 20-day temporary
restraining order barring the new nominees from assuming their
positions after the PCGG-appointed group of directors filed a
complaint alleging that the new group's appointments were
invalid.  The PCGG group had claimed that Presidential
Management Staff Undersecretary Enrique Perez and the Department
of Justice lawyers that voted for the government's 35% share in
the Philcomsat group were unauthorized to do so, claiming that
only the PCGG could vote for the sequestered shares of the
government, the report said.

"We are representing government-owned shares, not sequestered
shares.  That’s very clear.  So their claim that our appointment
should have been coursed through the PCGG is misleading.  We are
not PCGG nominees, we never claimed to be PCGG nominees," ABS-
CBN quotes Mr. Gutierrez as saying.  "We were ordered to protect
the government’s interests in the two corporations. We were told
to clean it up. And we intend to do just that," he added.

                   About Philcomsat Holdings

Philcomsat Holdings Corporation -- formerly Liberty Mines, Inc.
-- was incorporated on May 10, 1956.  During the 70s and early
80s when the country experienced a boom in geophysical and
drilling activities both offshore and onshore, Philcomsat
Holdings was one of the active participants in search of oil.
The company has since withdrawn from oil exploration because
there was no commercial discovery of oil.  On January 10, 1997,
the company approved amendments to its Articles of
Incorporation, changing its primary purpose from embarking in
the discovery, exploitation, development and exploration of
mineral oils, petroleum in its natural state, rock or carbon
oils, natural oils and other volatile mineral substances to a
holding company.

According to a Troubled Company Reporter-Asia Pacific report
on May 18, 2006, Philcomsat Holdings has not declared dividends
for the past two fiscal years.  Philcomsat is involved in an
anomaly brought about by huge losses.  The company reported a
PHP6.965-million loss in 2004 and a PHP22-million loss in 2005.
The Philippine Senate has initiated an inquiry into the matter.
Moreover, according to press reports, a huge fraction of the
shareholdings of Philcomsat, which is said to be ill-gotten, had
been confiscated by the Government.


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

FLEXTRONICS: Plans to Close Plant and Cut 7,000 Jobs Worldwide
--------------------------------------------------------------
Flextronics International Ltd. plans to close its Wilmington
manufacturing plant next month, eliminating more than 100 jobs,
Globe Newspaper Company reports citing a letter the company sent
to state officials.

The report recounts that Flextronics bought Solectron in October
for US$3.6 billion and decided to close the Wilmington plant as
part of the process of combining the companies.

Director of Compliance for Flextronics Grainne Blanchette was
quoted by the news agency as saying, "This was a difficult
decision to make and was reached only after analyzing the
options available."  The decision was needed to "achieve the
necessary reductions in costs" associated with the merger, he
added.

After completing the Solectron acquisition, the report relates,
the company planned to cut 7,000 jobs worldwide, close several
facilities, and record restructuring charges of US$430 million
to US$500 million over the next year.

The report says that according to the company's letter, dated
Nov. 5, the job cuts will occur between Jan. 17 and 31.

Federal law generally requires large employers to notify
employees and the government of a plant closing or major layoff
at least 60 days in advance, the report adds.

                About Flextronics International

Headquartered in Singapore, Flextronics International Ltd.
(NasdaqGS: FLEX) -- http://www.flextronics.com/-- is an       
Electronics Manufacturing Services provider focused on
delivering design, engineering and manufacturing services to
automotive, computing, consumer digital, industrial,
infrastructure, medical and mobile OEMs.  Flextronics helps
customers design, build, ship, and service electronics products
through a network of facilities in over 30 countries on four
continents including Brazil, Mexico, Hungary, Sweden, United
Kingdom, among others.

                        *     *     *

As reported in the Troubled Company Reporter on Oct. 4, 2007,
Fitch Ratings has completed its review of Flextronics
International Ltd. following the company's acquisition of
Solectron Corp. and resolved Flextronics' Rating Watch Negative
status by affirming these ratings: Issuer Default Rating at
'BB+'; and Senior unsecured credit facility at 'BB+'.

Fitch also rated Flextronics' new senior unsecured Term B loan
at 'BB+'.  Additionally, Fitch has downgraded the rating on
Flextronics' senior subordinated notes from 'BB' to 'BB-'.  The
Rating Outlook is Negative.

At the same time, Moody's Investors Service confirmed the
ratings of Flextronics International Ltd. with a negative
outlook and assigned a Ba1 rating to the company's new US$1.75
billion delayed draw unsecured term loan in response to the
closing of the Solectron acquisition.  The initial draw on the
term loan (US$1.1 billion) will finance the cash portion of the
merger consideration.


STATS CHIPPAC: To Decide on Delisting From Singapore Exchange
-------------------------------------------------------------
STATS ChipPAC said it has yet to make a final decision on
whether to delist from the Singapore Exchange, Channel News Asia
reports.

According to the report, there has been speculation that Temasek
Holdings wants to take the company private.

As of September, Temasek held an 83% stake in STATS ChipPAC,
just 7% short of the 90% threshold needed to delist the stock,
the report relates.

As reported by the Troubled Company Reporter-Asia Pacific on
Nov. 21, 2007, STATS ChipPAC intends to voluntarily delist its
American Depositary Shares from the Nasdaq Global Select Market,
terminate its American Depositary Receipts program with
Citibank, N.A., the depositary for the ADSs, and, if and when it
becomes eligible to do so, terminate the registration
of its ordinary shares and ADSs at the U.S. Securities and
Exchange Commission under the U.S. Securities Exchange Act of
1934, as amended.

As disclosed in the Schedule 13D filed by Singapore Technologies
Semiconductors Pte Ltd and Temasek Holdings Private Limited with
the SEC on October 16, 2007, STSPL may seek to cause the company
to voluntarily delist from Nasdaq or the Singapore Exchange
Securities Trading Limited, or both.  STSPL may also seek to
cause the Company to deregister under the Exchange Act if it
becomes eligible to do so.

                    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
July 30, 2007, Standard & Poor's Ratings Services raised its
corporate credit rating on STATS ChipPAC Ltd. to 'BB+' from
'BB'.  The outlook is stable.  The issue rating on the senior
unsecured debt has also been raised to 'BB+' from 'BB'.  The
ratings have been removed from CreditWatch, where they were
placed with positive implications on March 2, 2007.


STATS CHIPPAC: To Maintain its ADR Program as a Level I Program
---------------------------------------------------------------
STATS ChipPAC Ltd. intends to postpone the termination of its
American Depositary Receipts program with Citibank, N.A., the
depositary for the American Depositary Shares, until it has
eliminated all outstanding obligations to deliver ADSs under its
employee benefit plans.  The company is in the process of
obtaining the requisite consents.

In the meantime, the company will maintain its ADR program with
the Depositary as a Level I program following the delisting of
its ADSs from the Nasdaq Global Select Market.  This means that
following the delisting of the company's ADSs from Nasdaq, the
ADSs may continue to be traded on the over-the-counter market
until such time as the Company terminates the ADR program.  As
previously announced on November 9, 2007, the company's ADSs are
expected to be delisted from Nasdaq on or about December 31,
2007.  The last day of trading of the ADSs on Nasdaq is expected
to be on or about Friday, December 28, 2007.

Singapore Technologies Semiconductors Pte Ltd and Temasek
Holdings (Private) Limited  are discussing with the company
plans to raise indebtedness for the purpose of a distribution to
the Company's shareholders and redeeming certain outstanding
indebtedness.  Subject to market conditions, the debt financing
may take place as early as the first quarter of 2008.  STSPL is
a wholly owned subsidiary of Temasek and currently owns
approximately 83.0% of the ordinary shares (including ADSs) of
the company. The Company will make an announcement on the
details of any such financing activity at the appropriate time.

                       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
July 30, 2007, Standard & Poor's Ratings Services raised its
corporate credit rating on STATS ChipPAC Ltd. to 'BB+' from
'BB'.  The outlook is stable.  The issue rating on the senior
unsecured debt has also been raised to 'BB+' from 'BB'.  The
ratings have been removed from CreditWatch, where they were
placed with positive implications on March 2, 2007.


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

BANK OF AYUDHYA: To Focus on Environment for 2008's CSR Program
---------------------------------------------------------------
The Bank of Ayudhya PCL will focus on environmental issues for
its corporate social responsibility program this year, The
Nation reports.

The report notes that according to the bank's head of corporate
communications and investor relations, Yaowalak Poolthong, BoA
recognizes that although its operations are not polluting the
environment, it is a part of society and must do its part.  
"Global warming is a crucial issue and involves all of society,"
Mr. Yaowalak said.

The bank has entered into partnerships for this effort, the
report says.  Specifically, it has joined the Nation Multimedia
Group's "One Degree Joining Hands to Make a Difference"
campaign.  The campaign aims to raise Thais' awareness about
global warming and will continue until May this year.

Headquartered in Bangkok, Thailand, Bank of Ayudhya Public Co.
Ltd. -- http://www.krungsri.com/-- provides a full range of
banking and financial services.  The bank offers corporate and
personal lending, retail and wholesale banking; international
trade financing asset management; and investment banking
services to customers through its branches.  It has branches in
Hong Kong, Vietnam, Laos, and the Cayman Islands.

Bank of Ayudhya's subordinated debts carry Fitch Ratings
Services' BB+ rating.

Fitch Ratings (Thailand) Limited also assigned a National Long-
term rating of 'A+(tha)' to the debentures of Bank of Ayudhya
Public Company Limited (BAY) Tranche 1 due 2010 and Tranche 2
due 2011 of up to THB15 billion each.

The Troubled Company Reporter – Asia Pacific reported on
December 13, 2007 that Moody's Investors Service has placed on
review for possible upgrade the Bank of Ayudhya Public Co Ltd's
("BAY") Baa3 deposit and debt ratings and its D- bank financial
strength rating.

The following ratings have been placed on review for upgrade:
    * Bank financial strength rating of D-
    * Long-term foreign currency deposit rating of Baa3
    * Short-term foreign currency deposit rating of Prime-3
    * Senior unsecured foreign currency debt rating of Baa3

The rating action was based on BAY's track record of improving
economic solvency, increasing earnings diversification, and
strengthening risk management practices.


TMB BANK: Non-Payment of Tier 1 Interest Cues S&P's 'D' Rating
--------------------------------------------------------------
Standard & Poor's Ratings Services lowered its issue credit
rating on Thailand's TMB Bank Public Co. Ltd.'s hybrid Tier-1
issue to 'D' from 'CC'.  This comes after the bank said it would
not pay interest on its US$200 million perpetual non-cumulative
hybrid Tier-1 securities.

According to the hybrid securities' terms and conditions, TMB is
not obligated to pay interest if it expects not to declare net
profits on its financial statements for the six-month period or
fiscal year preceding the date on which any interest payment
would be due and payable.  TMB has reported a net loss of
THB20.6 billion for the first nine months of fiscal
2007 and is expecting to set aside THB26 billion in new
provisions in the fourth quarter of fiscal 2007 (ended Dec. 31,
2007).

Standard & Poor's will change the issue rating on the hybrid-
Tier-1 securities within a few days.  The issue rating assigned
at that time will incorporate Standard & Poor's expectations of
the banks having to defer on interest payments going forward.

The current ratings of 'BB+/B' reflect the bank's strong
domestic franchise and market position, its weakening financial
profile, and the challenges the bank faces in managing its
residual legacy problem loans.  The outlook remains negative.

Although TMB has sold all of its 25 billion new shares to raise
additional capital, S&P continues to monitor the bank's
financial profile for significant deterioration.  S&P expects
the bank's capital position as at December 2007, after the
capital infusion, to remain weaker than its capital position at
the end of 2006, due to the new provisions expected to be made
by the bank.  While the bank will be reporting a huge full-year
loss for fiscal 2007, S&P expect the bank's core profitability
to remain stable.  S&P will also continue to monitor the bank's
asset quality for fresh slippages into NPLs.






                         *********

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

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

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


                            *********


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

Copyright 2008.  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 ***