/raid1/www/Hosts/bankrupt/TCRAP_Public/080318.mbx
T R O U B L E D C O M P A N Y R E P O R T E R
A S I A P A C I F I C
Tuesday, March 18, 2008, Vol. 9, Issue 55
Headlines
A U S T R A L I A
CARGO DISTRIBUTORS: Placed Under Voluntary Liquidation
CARGO LINK: Commences Liquidation Proceedings
DEKLAN TUBULAR: Final Meeting Slated for March 28
DIAMOND GRACE: Final Meeting Set for March 28
ENSIGN TYRE: Final Meeting Slated for March 28
I TEAM GROUP: Liquidator to Give Wind-Up Report on March 28
JACK SEATONS: Undergoes Liquidation Proceedings
JP MORGAN (AUSTRALIA): Moody's Reviews Mobius & May Downgrade
NORTHCOTE COLLISION: Members & Creditors Meeting on March 28
R & H NOMINEES: Members Opt to Liquidate Business
SCAT ENGINEERING: Placed Under Voluntary Liquidation
TEMPLEMAN ENTERPRISES: Members & Creditors Meeting on March 28
WENTLOCK PTY: Members & Creditors Meeting Set for March 28
C H I N A & H O N G K O N G & T A I W A N
FIAT SPA: John Elkann Takes Over as Editrice La Stampa Chairman
INTELSAT LTD: Subsidiaries Commence Change of Control Offers
NEXMED INC: Amper, Politziner Expresses Going Concern Doubt
PACIFICNET INC: Kabani & Company Expresses Going Concern Doubt
* CHINA: Fitch Says Big Three Must Improve Operations
I N D I A
ASIA AUTOMOTIVE: Rothstein Kass Expresses Going Concern Doubt
BHARTI AIRTEL: To Launch in Sri Lanka Soon; Taps Madison Media
BIRLA VXL: Shareholders OK to Change Firm's Name to DIGJAM Ltd.
BUNGE LTD: Seven Summits Research Publishes PriceWatch Alert
DECCAN AVIATION: To Consider Lending INR1,000 Cr. to Kingfisher
SHREE RAMA: Board Okays New Scheme of Compromise & Arrangement
SUN MICROSYSTEMS: To Resell BlueSpace TransMail Trusted Edition
TATA MOTORS: Deal Announcement with Ford Expected This Week
TATA POWER: Competes for Nepal Hydropower Project
* INDIA: Fitch Affirms Union Budge 2008-09 Proposals
I N D O N E S I A
BANK CENTRAL: Expects Slow Profit Growth on Lower Interest Rates
CILIANDRA PERKASA: Fitch Affirms Ratings with Positive Outlook
CILIANDRA PERKASA: Moody's Shifts B2 Rating Outlook to Positive
EXCELCOMINDO PRATAMA: Eyes Hike in Free Float of H2 Shares
GARUDA INDONESIA: Unit to Resume Operation as Low-Cost Carrier
GARUDA: Restructuring of US$800MM Debt Nears Completion
INT'L NICKEL INDONESIA: Board Proposes Final Dividend for 2007
TELEKOMUNIKASI INDONESIA: Sees 65% Up in 2008 Flexi Market Share
TELEKOMUNIKASI INDONESIA: Rotates Two Dsirectors
J A P A N
DELPHI CORP: S&P Keeps Expectation on B Corporate Rating
IHI CORP: Reports Net Income of JPY11.2 Bln for Third Quarter
IHI CORP: Transfers Cement Plant Business to Kawasaki Plant
SAPPORO HOLDINGS: Board to Restart Bid Talks with Steel Partners
TAKEEI CORP: JCR Assigns BB+ Rating on Senior Debts
K O R E A
CHOROKBAEM MEDIA: Board of Directors Approves Spin-offs
NEXUS: Adjusts Conversion Price of 5th Convertible Bonds
NEXUS INVESTMENT: Appoints New Co-CEO
NDCORP: Clarion Partners Sells Company Shares
M A L A Y S I A
APL INDUSTRIES: Approves Revisions to Capital Reconstruction
HARVEST COURT: Cara Anggun to Settle Remaining Balance by May 18
MALAYSIAN AIRLINE: Hikes Jet Fuel Hedging Over Price Volatility
PAN MALAYSIAN: Inks Supplemental Agreement with MUI Properties
PECD BERHAD: Subsidiary Receives Wind-Up Petition from JB Fast
SOLUTIA INC: Funding Co. to Distribute Assets Under Settlement
N E W Z E A L A N D
ADVANCED AERATED: Appoints Kenneth Peter Brown as Liquidator
AIR NEW ZEALAND: Hikes Domestic & Australia Fares by 3%
ALTERNATIVE RESEARCH: Fixes March 27 as Last Day to File Claims
CLEAR CHANNEL: Completes Sale of Television Group for US$1.1 Bln
E.C.D. CONTRACTORS: Taps Parsons & Kenealy as Liquidators
FIRST DATA: Posts US$273.2 Million Net Loss in Fourth Quarter
NED KELLY: Subject to W Stevenson's Wind-Up Petition
PACIFIC INTERNATIONAL: Wind-Up Petition Hearing Set for April 24
R & R HOLDINGS: Appoints Parsons & Kenealy as Liquidators
ROB LOADER: Shareholders Resolve to Liquidate Business
TEMPERO COACH: Court to Hear Wind-Up Petition on April 2
TOTAL BUILDING: Wind-Up Petition Hearing Set for May 9
WILKINS DEVELOPMENTS: Appoints Parsons & Kenealy as Liquidators
S I N G A P O R E
HITACHI ELECTRONIC: Fixes April 10 as Last Day to File Claims
LEISURE TOURS: Creditors' Proofs of Debt Due on March 31
* BOND PRICING: For the Week 17 March to 21 March 2008
- - - - -
=================
A U S T R A L I A
=================
CARGO DISTRIBUTORS: Placed Under Voluntary Liquidation
------------------------------------------------------
Cargo Distributors Pty. Ltd.'s members agreed on Feb. 5, 2008,
to voluntarily liquidate the company's business. In line with
this goal, the company has appointed David Clement Pratt and
Stephen Graham Longley to facilitate the sale of its assets.
The liquidators can be reached at:
David Clement Pratt
Stephen Graham Longley
Freshwater Place
2 Southbank Boulevard
Southbank, Victoria 3006
Australia
About Cargo Distributors
Cargo Distributors Pty. Ltd. Provides transportation services.
The company is located at Footscray, in Victoria, Australia.
CARGO LINK: Commences Liquidation Proceedings
---------------------------------------------
Cargo Link Pty. Limited's members agreed on February 5, 2008, to
voluntarily liquidate the company's business. In line with this
goal, the company has appointed David Clement Pratt and Stephen
Graham Longley to facilitate the sale of its assets.
The liquidators can be reached at:
David Clement Pratt
Stephen Graham Longley
Freshwater Place
2 Southbank Boulevard
Southbank, Victoria 3006
Australia
About Cargo Link
Cargo Link Pty. Limited is involved with marine cargo handling.
The company is located at Footscray, in Victoria, Australia.
DEKLAN TUBULAR: Final Meeting Slated for March 28
-------------------------------------------------
Deklan Tubular Design Pty. Ltd. will hold a final meeting for
its members and creditors at 3:30 p.m. on March 28, 2008.
During the meeting, the company's liquidator, William Bernard
Abeyratne at Harrisons Insolvency, will provide the attendees
with property disposal and winding-up reports.
The liquidator can be reached at:
William Bernard Abeyratne
c/o Harrisons Insolvency
150 Albert Road, Level 5
South Melbourne, Victoria 3205
Australia
Telephone:(03) 9696 2885
DIAMOND GRACE: Final Meeting Set for March 28
---------------------------------------------
Diamond Grace Pty. Ltd. will hold a final meeting for its
members and creditors at 11:00 p.m. on March 28, 2008. During
the meeting, the company's liquidator, William Bernard Abeyratne
at Harrisons Insolvency, will provide the attendees with
property disposal and winding-up reports.
The liquidator can be reached at:
William Bernard Abeyratne
c/o Harrisons Insolvency
150 Albert Road, Level 5
South Melbourne, Victoria 3205
Australia
Telephone:(03) 9696 2885
About Diamond Grace
Diamond Grace Pty. Ltd. provides business services. The company
is located at Brighton, in Victoria, Australia.
ENSIGN TYRE: Final Meeting Slated for March 28
----------------------------------------------
Ensign Tyre Industries (Aust) Pty. Ltd. will hold a final
meeting for its members and creditors at 10:00 a.m. on
March 28, 2008. During the meeting, the company's liquidator,
William Bernard Abeyratne at Harrisons Insolvency, will provide
the attendees with property disposal and winding-up reports.
The liquidator can be reached at:
William Bernard Abeyratne
c/o Harrisons Insolvency
150 Albert Road, Level 5
South Melbourne, Victoria 3205
Australia
Telephone:(03) 9696 2885
About Ensign Tyre
Ensign Tyre Industries (Aust) Pty. Ltd. operates miscellaneous
retail stores. The company is located at Melbourne North, in
Victoria, Australia.
I TEAM GROUP: Liquidator to Give Wind-Up Report on March 28
-----------------------------------------------------------
The I Team Group Pty. Ltd. will hold a final meeting for its
members and creditors at 11:00 p.m. on March 28, 2008. During
the meeting, the company's liquidator, William Bernard Abeyratne
at Harrisons Insolvency, will provide the attendees with
property disposal and winding-up reports.
The liquidator can be reached at:
William Bernard Abeyratne
c/o Harrisons Insolvency
150 Albert Road, Level 5
South Melbourne, Victoria 3205
Australia
Telephone:(03) 9696 2885
About The I Team Group
The I Team Group Pty. Ltd. provides computer related services.
The company is located at Doncaster, in Victoria, Australia.
JACK SEATONS: Undergoes Liquidation Proceedings
-----------------------------------------------
Jack Seatons Transport Pty. Ltd.'s members agreed on
Feb. 5, 2008, to voluntarily liquidate the company's business.
In line with this goal, the company has appointed David Clement
Pratt and Stephen Graham Longley to facilitate the sale of its
assets.
The liquidators can be reached at:
David Clement Pratt
Stephen Graham Longley
Freshwater Place
2 Southbank Boulevard
Southbank, Victoria 3006
Australia
About Jack Seatons
Located at Camellia, in New South Wales, Australia, Jack Seatons
Transport Pty. Ltd. is an investor relation company.
JP MORGAN (AUSTRALIA): Moody's Reviews Mobius & May Downgrade
-------------------------------------------------------------
Moody's Investors Service has placed on review for possible
downgrade the Class A Notes issued by JP Morgan Trust Australia
Limited in its role as Trustee for the Mobius ELR-01 Trust.
At the same time, Moody's has retained the Trust's Mezzanine and
Junior Notes on watch for possible downgrade.
The rating action is:
-- Class A Notes, rated Aaa, placed on review for possible
downgrade
The Notes retained on review:
-- Class B Notes, rated Baa2, retained on review for
possible downgrade
-- Class C Notes, rated B2, retained on review for possible
downgrade
-- Class D Notes, rated Caa2, retained on review for
possible downgrade
The Notes are backed by small-ticket equipment leases from four
Australian originators.
Mobius Financial Services Pty. Limited, a specialist Australian
white-labelling and servicing company, acts as the
MasterServicer and Manager of the transaction.
"The rating action follows a further deterioration in the
performance of the underlying receivables pool, with the
cumulative level of charge-offs reaching over AU$12 million as
of February 2007," says Stephanie Jaeger, a Moody's Associate
Analyst.
"Contrary to Moody's expectations, no slowdown has occurred in
the rate of loss built-up, therefore creating pressure on the
Aaa rating of Class A Notes," says Jaeger.
In addition, the financial deterioration of Allco Finance Group
and its subsidiary Mobius Financial Services creates further
uncertainties as to the ability of Mobius to perform its
obligations under the transaction documents as Master Servicer
and Manager as well as in regard to the repurchase of ineligible
receivables.
Moody's will complete the rating review over the following
weeks.
Moody's ratings address only the credit risks associated with
the transaction. Other non-credit risks have not been addressed,
but may have significant effect on yield to investors. Moody's
ratings are subject to revision, suspension or withdrawal at any
time at our absolute discretion. The ratings are expressions of
opinion and not recommendations to purchase, sell or hold
securities.
NORTHCOTE COLLISION: Members & Creditors Meeting on March 28
------------------------------------------------------------
Northcote Collision Repairs Pty. Ltd. will hold a final meeting
for its members and creditors at 11:00 p.m. on March 28, 2008.
During the meeting, the company's liquidator, William Bernard
Abeyratne at Harrisons Insolvency, will provide the attendees
with property disposal and winding-up reports.
The liquidator can be reached at:
William Bernard Abeyratne
c/o Harrisons Insolvency
150 Albert Road, Level 5
South Melbourne, Victoria 3205
Australia
Telephone:(03) 9696 2885
About Northcote Collision
Northcote Collision Repairs Pty. Ltd. is operates top, body
repair and paint shops. The company is located at Northcote, in
Victoria, Australia.
R & H NOMINEES: Members Opt to Liquidate Business
-------------------------------------------------
R & H Nominees Pty. Ltd.'s members agreed on February 5, 2008,
to voluntarily liquidate the company's business. In line with
this goal, the company has appointed David Clement Pratt and
Stephen Graham Longley to facilitate the sale of its assets.
The liquidators can be reached at:
David Clement Pratt
Stephen Graham Longley
Freshwater Place
2 Southbank Boulevard
Southbank, Victoria 3006
Australia
About R & H Nominees
Located at Tomago, in New South Wales, Australia, R & H Nominees
Pty. Ltd. is an investor relation company.
SCAT ENGINEERING: Placed Under Voluntary Liquidation
----------------------------------------------------
Scat Engineering Pty. Ltd.'s members agreed on Feb. 11, 2008, to
voluntarily liquidate the company's business. In line with this
goal, the company has appointed Stan Traianedes to facilitate
the sale of its assets.
The liquidator can be reached at:
Stan Traianedes
McLean Delmo Hall Chadwick
459 Collins Street, Level 12
Melbourne, Victoria 3000
Australia
About Scat Engineering
Scat Engineering Pty. Ltd. provides services to insurance agents
and brokers. The company is located at Bentleigh East, in
Victoria, Australia.
TEMPLEMAN ENTERPRISES: Members & Creditors Meeting on March 28
--------------------------------------------------------------
Templeman Enterprises Pty. Ltd. will hold a final meeting for
its members and creditors at 11:30 a.m. on March 28, 2008.
During the meeting, the company's liquidator, William Bernard
Abeyratne at Harrisons Insolvency, will provide the attendees
with property disposal and winding-up reports.
The liquidator can be reached at:
William Bernard Abeyratne
c/o Harrisons Insolvency
150 Albert Road, Level 5
South Melbourne, Victoria 3205
Australia
Telephone:(03) 9696 2885
About Templeman Enterprises
Templeman Enterprises Pty. Ltd. provides funeral service and
crematories. The company is located at Macgregor, in
Queensland, Australia.
WENTLOCK PTY: Members & Creditors Meeting Set for March 28
----------------------------------------------------------
Wentlock Pty. Ltd. will hold a final meeting for its members and
creditors at 11:00 p.m. on March 28, 2008. During the meeting,
the company's liquidator, William Bernard Abeyratne at Harrisons
Insolvency, will provide the attendees with property disposal
and winding-up reports.
The liquidator can be reached at:
William Bernard Abeyratne
c/o Harrisons Insolvency
150 Albert Road, Level 5
South Melbourne, Victoria 3205
Australia
Telephone:(03) 9696 2885
About Wentlock Pty.
Wentlock Pty. Ltd. is a distributor of household appliances.
The company is located at Doncaster, in Victoria, Australia.
==================================================
C H I N A & H O N G K O N G & T A I W A N
=============-====================================
FIAT SPA: John Elkann Takes Over as Editrice La Stampa Chairman
---------------------------------------------------------------
The board of directors of Editrice La Stampa S.p.A., a unit of
Fiat S.p.A., has elected John Elkann as Chairman, replacing
Sergio Pininfarina.
The Chairman and the Board thank Sergio Pininfarina, who seats
as a life Senator at Italy's Senate, for his contribution to the
Company.
Luigi Vanetti, at present General manager of Editrice La Stampa,
was asked to join the Board of the publishing house as a
director.
Separately, the Board of Directors of ITEDI, the holding company
that encompasses the Publishing operations and the Communication
activities of Fiat Group and is chaired by John Elkann, has
named Luigi Vanetti as CEO and Director General.
About Fiat S.p.A.
Headquartered in Turin, Italy, Fiat S.p.A. --
http://www.fiatgroup.com/-- is one of the largest industrial
groups in Italy and the fourth largest European-based automobile
manufacturer, with revenues of EUR33.4 billion in the first nine
months of 2005. Fiat's creditors include Banca Intesa, Banca
Monte dei Paschi di Siena, Banca Nazionale del Lavoro,
Capitalia, Sanpaolo IMI, and UniCredito Italiano.
Fiat operates in Argentina, Australia, Austria, Belgium, Brazil,
Bulgaria, China, Czech Republic, Denmark, France, Germany,
Greece, Hungary, India, Ireland, Italy, Japan, Lituania,
Netherlands, Poland, Portugal, Romania, Russia, Singapore,
Spain, among others.
* * *
To date, Fiat S.p.A. and its subsidiaries carry Ba3 Corporate
Family and Senior Unsecured Ratings from Moody's Investors
Service, which said the outlook is positive.
The company carries Standard & Poor's Ratings Services' BB long-
term corporate credit rating. The compay also carries B short-
term rating. S&P said the outlook is stable.
INTELSAT LTD: Subsidiaries Commence Change of Control Offers
------------------------------------------------------------
Intelsat Ltd.'s affiliates commenced offerings to purchase for
cash any of its outstanding senior notes. The acquisition of
Intelsat Holdings Ltd., the indirect parent of Intelsat Ltd., by
Intelsat Global Subsidiary Ltd. constitutes a change of control
under each of the indentures governing the Notes.
The company's indirect subsidiary, Intelsat Subsidiary Holding
Company Ltd., is offering to purchase for cash any and all of
its outstanding 8-1/4% Senior Notes due 2013 and 8-5 /8% Senior
Notes due 2015 and that its indirect subsidiary, Intelsat
Corporation, is offering to purchase for cash any and all of its
outstanding 9% Senior Notes due 2014 and 9% Senior Notes due
2016, in each case at a purchase price of 101% of the principal
amount of such Notes.
Intelsat Sub Holdco and Intelsat Corporation are required by the
terms of the respective indentures governing the Notes to make
these offers as a result of the acquisition of Intelsat
Holdings, the indirect parent of Intelsat Ltd., by Intelsat
Global fka Serafina Acquisition Limited, a subsidiary of
Intelsat Global Ltd. fka Serafina Holdings Limited, an entity
formed by funds advised by BC Partners Holdings Limited, Silver
Lake Partners and certain other equity investors.
The terms of the change of control offers are described in a
Notice of Change of Control and Offer to Purchase with respect
to the Intelsat Sub Holdco Notes, a Notice of Change of Control
and Offer to Purchase with respect to the 2014 Notes, and a
Notice of Change of Control and Offer to Purchase with respect
to the 2016 Notes, each dated March 5, 2008, and the Letters of
Transmittal related thereto, which will be distributed to
holders of the respective Notes.
The change of control offers will expire at 5:00 p.m., New York
City time, on April 29, 2008, and will have a settlement date of
May 2, 2008. Holders whose Notes are accepted for payment
pursuant to the offers will also receive accrued and unpaid
interest to the Settlement Date.
Intelsat Sub Holdco and Intelsat Corporation have retained Wells
Fargo Bank, National Association to act as Depositary in
connection with the change of control offers for the Intelsat
Sub Holdco Notes and the 2016 Notes. Intelsat Corporation has
retained The Bank of New York Mellon to act as Depositary in
connection with the change of control offers for the 2014 Notes.
About Intelsat Ltd.
Headquartered in Pembroke, Bermuda, Intelsat Ltd. --
http://www.intelsat.com/-- is a provider of fixed satellite
services to the media, network services and government customer
sectors. The company has a fleet of 51 satellites and seven
owned teleports and terrestrial facilities. It supplies video,
data and voice connectivity in over 200 countries and
territories for over 1,800 customers. The company's business is
diversified by service offering, customer group, satellite and
geography. The company's customers include media and
communications companies, multinational corporations, Internet
service providers and government/military organizations.
Intelsat has sales offices in Australia, China, Japan, and
Singapore.
* * *
As reported in the Troubled Company Reporter on Jan. 31, 2008,
Moody's Investors Service downgraded Intelsat Ltd.'s corporate
family rating by two notches to Caa1. The company's speculative
grade liquidity rating was downgraded to SGL-3 from SGL-1.
NEXMED INC: Amper, Politziner Expresses Going Concern Doubt
-----------------------------------------------------------
Edison, N.J.-based Amper, Politziner & Mattia, PC, expressed
substantial doubt about the ability of NexMed, Inc., to continue
as a going concern after it audited the company's financial
statements for the year ended Dec. 31, 2007. The auditor
pointed to the company's recurring losses and negative cash
flows from operations. It also expects the company to incur
future losses.
Nexmed, Inc., posted a net loss of US$8,787,228 on net revenue
of US$1,270,367 for the year ended Dec. 31, 2007, as compared
with a net loss of US$8,043,253 on net revenue of US$1,866,927
in the prior year.
At Dec. 31, 2007, the company's balance sheet showed
US$10,672,706 in total assets, US$5,867,949 in total
liabilities, and US$4,804,757 in stockholders' equity.
The company's consolidated balance sheet at Dec. 31, 2007, also
showed strained liquidity with US$3,681,680 in total current
assets available to pay US$2,329,899 in total current
liabilities.
A full-text copy of the company's 2007 annual report is
available for free at: http://ResearchArchives.com/t/s?2939
About NexMed, Inc.
NexMed, Inc., (NasdaqCM: NEXM) -- http://www.nexmed.com-- a
pharmaceutical and medical technology company, engages in
designing, developing, manufacturing, and marketing
pharmaceutical products in the United States and Hong Kong. The
company is leveraging its proprietary drug technology, NexACT,
to develop a pipeline of pharmaceutical products to address
significant unmet medical needs. It develops transdermal
treatments based on the NexACT drug delivery technology, which
might enable an active drug to be better absorbed through the
skin. The company also develops treatments for sexual
dysfunction and nail fungus based on its proprietary NexACT drug
delivery technology. Its products under development include
Alprox-TD, which is an alprostadil-based cream treatment
intended for patients with erectile dysfunction; and Femprox, an
alprostadil-based cream product intended for the treatment of
female sexual arousal disorder. The company has a licensing
agreement with Novartis International Pharmaceutical, Ltd., for
the development, manufacture, and commercialization of NM100060,
a nail lacquer treatment for onychomycosis. NexMed was founded
in 1987 and is based in East Windsor, New Jersey.
PACIFICNET INC: Kabani & Company Expresses Going Concern Doubt
--------------------------------------------------------------
Los Angeles-based Kabani & Company, Inc., raised substantial
doubt about the ability of PacificNet, Inc., (a Delaware
Corporation) to continue as a going concern after it audited the
company's financial statements for the year ended Dec. 31, 2006.
The auditor pointed out that the company incurred net losses,
had a negative cash flow in operating activities amounting to
negative US$8,190,000 in the year ended Dec. 31, 2006, and the
company's accumulated deficit in that period was US$51,090,000.
In addition, the company is in default on its convertible
debenture obligation.
The company posted a net loss of US$12,415,000 on total revenues
of US$42,738,000 for the year ended Dec. 31, 2006, as compared
with a net loss of US$5,145,000 on total revenues of
US$17,307,000 in the prior year.
At Dec. 31, 2006, the company's balance sheet showed
US$36,926,000 in total assets, US$20,080,000 in total
liabilities, and US$13,977,000 in stockholders' equity.
The company's consolidated balance sheet at Dec. 31, 2006, also
showed strained liquidity with US$17,041,000 in total current
assets available to pay US$17,376,000 in total current
liabilities.
A full-text copy of the company's 2007 annual report is
available for free at: http://ResearchArchives.com/t/s?293c
About PacificNet, Inc.
PacificNet, Inc., (NasdaqGM: PACT) -- http://www.pacificnet.com
-- provides gaming and mobile game technology worldwide. The
company, through its subsidiaries, offers solutions in casino
equipment supply; and the development, installation, and support
of systems and game content for the casino, lottery, and
amusement with prizes (AWP) markets. PacificNet enables
customers to integrate gaming operations; and link electronic
gaming machines, tables, and networks. PacificNet's gaming
clients include hotels, casinos, and gaming operators. In
addition, the company, through its other subsidiaries, operates
call centers and ecommerce businesses in China. The company was
founded in 1987 and is headquartered in Beijing, the People's
Republic of China with additional offices in Hong Kong,
Shanghai, Shenzhen, Guangzhou, Macau, and Zhuhai, China; the
United States; and the Philippines.
* CHINA: Fitch Says Big Three Must Improve Operations
-----------------------------------------------------
Fitch Ratings has said, in its just published "China Airline
Sector Update 2008" report, that while it expects the outlook on
the Chinese airline sector to be benign in the medium term, any
meaningful credit enhancement of the three biggest Chinese
carriers -- Air China Limited, China Southern Airlines Company
Limited ('B+'/Stable) and China Eastern Airlines Corporation
Limited ('B+'/Stable), otherwise known as the "Big Three," will
be dependent upon improved operational efficiency.
"The scope of improvement in the Big Three's credit profiles is
limited by the price-driven competitive environment, the lack of
product differentiation, high fuel prices, poor cost control and
substantial capital expenditure requirements to cope with the
increased demand," notes Jinqing Li, Associate Director in
Fitch's Corporates team. "Although revenues have been growing
strongly, largely in line with traffic growth, this has not
trickled down to the bottom line," added Mr. Li.
Following Air China's partnership with Cathay Pacific, CSA and
CEA have started to seek alliances with international peers
known for their strong operational expertise, in anticipation of
industry deregulation, as well as to gain management know-how
and much needed additional equity. The recent failure of the
CEA-Singapore Airlines deal will not stop CEA's efforts to seek
partner.
After double digit growth from 2001-2005, the Chinese aviation
market continued to grow rapidly in 2006 and the first three
quarters of 2007, driven by China's GDP growth and greater
disposable income among the population. The benign outlook for
the Chinese aviation sector is likely to continue until 2010,
supported by strong GDP growth and staggered capacity expansion;
the latter is still controlled by the Chinese government and
will continue to be so for the foreseeable future.
The sector remains one of the most highly regulated industries
in China, although further progressive deregulation is under
way. The expected liberalisation of domestic routes is
beneficial to the Big Three, as they will have more operational
flexibility to capture growth opportunities and improve load
factors, although this could be offset by capacity bottlenecks
at airports and other infrastructure. Although further
liberalisation is expected, full deregulation is unlikely in the
next five years, and a number of key elements of the industry
are expected to be at least moderately regulated by the
government, including ticket pricing, fuel price and aircraft
additions.
Fitch expects that due to the strategic importance of the
industry, Chinese airlines benefit from potential direct or
indirect support from government agencies, although the exact
form this support would take and whether it would result in the
company servicing its debt, especially capital market
borrowings, as scheduled, has yet to be tested. The Big Three
is controlled by their holding parents, which in turn are 100%
owned by the State-owned Assets Supervision and Administration
Commission.
The "China Airline Sector Update 2008" report is now available
on the agency's http://website,www.fitchratings.com/
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ASIA AUTOMOTIVE: Rothstein Kass Expresses Going Concern Doubt
-------------------------------------------------------------
Rothstein, Kass & Company, P.C., based in Roseland, N.J., raised
substantial doubt about the ability of Asia Automotive
Acquisition Corporation to continue as a going concern after it
audited the company's financial statements for the year ended
Dec. 31, 2007.
The auditing firm related that the company will face a mandatory
liquidation if a business combination is not consummated by
April 18, 2008.
Asia Automotive posted a net loss of 2,546,812 on US$0.00
revenue for the year ended Dec. 31, 2007, as compared with a net
loss of US$3,569,613 on US$0.00 revenue in the prior year.
At Dec. 31, 2007, the company's balance sheet showed
US$39,985,499 in total assets, US$24,012,100 in total
liabilities and US$15,973,399 in stockholders' equity.
The company's consolidated balance sheet at Dec. 31, 2007,
showed strained liquidity with US$35,611 in total current assets
available to pay US$16,123,809 in total current liabilities.
A full-text copy of the company's 2007 annual report is
available for free at: http://ResearchArchives.com/t/s?293d
About Asia Automotive
Asia Automotive Acquisition Corporation -- (OTC BB: AAAC.OB) --
does not have significant operations. It intends to acquire one
or more automotive component supplier operating businesses that
have their primary operating facilities located in the People's
Republic of China, the Republic of India, and/or the Association
of Southeast Asian Nations. The company was formed for the
purpose of effecting a merger, capital stock exchange, asset
acquisition, or other similar business combination, with an
operating business. Asia Automotive was organized in June 2005
and is based in Birmingham, Michigan.
BHARTI AIRTEL: To Launch in Sri Lanka Soon; Taps Madison Media
--------------------------------------------------------------
While getting ready to launch Sri Lankan operations, Bharti
Airtel Ltd. has appointed Madison Media, Sri Lanka, as its Media
AOR in the country, according to the company's press statement.
According to Asia Pulse News, the company's subsidiary, Bharti
Airtel Lanka (Pvt) Ltd. has signed a US$100 million investment
agreement with the Board of Investment of Sri Lanka to begin
Lankan operations by this year.
Bharti Airtel has already appointed an executive to head the
company's foray in the Sri Lankan telecom market. As reported
by the Troubled Company Reporter-Asia Pacific reported in
September, the company named Olof Haag as Chairman & Country
Head of Bharti Airtel Lanka.
Madison Media, the release noted, is the AOR for Airtel in India
and also the AOR for other Bharti group companies like Bharti
AXA Life Insurance, Bharti AXA Mutual Fund, Bharti DTH and
Bharti Retail.
Airtel evaluated only two agencies in Sri Lanka -- Mindshare and
Madison and chose Madison after hearing presentations from both.
Gopal Vittal, Director Marketing & Communications, Airtel, said,
"Madison Media has been a strong partner and has played a part
in Airtel's success story in India and we are confident that
they will extend the same strong support in Sri Lanka too and
deliver all that it takes to make us succeed there."
Says Sam Balsara, Chairman & Managing Director, Madison World,
"We are delighted on hearing Airtel's decision and are confident
that the Madison Way in Media will work in Sri Lanka too. If P&G
gave us a head start in Media in India, Airtel is doing that in
Sri Lanka."
Last week, Madison Media won a Valuable Partner Award from
Airtel, in the Category of Marketing Support from among 5
contestants.
Airtel, rated among the best performing companies in the world
in the BusinessWeek IT 100 list 2007, was awarded last year, the
license to provide 2G and 3G mobile services in Sri Lanka. The
company recently announced its commitment to invest
approximately US$200 million in setting up and expanding its
operation in the country over the next five years.
Airtel believes it continues to be the most preferred mobile
services brand, in the world's fastest growing telecom market,
adding over 2 million new customers every month.
Madison Media is India's largest independent Media group dealing
with large multinational clients like P&G, Coca Cola, Cadbury
and General Motors and large Indian clients like Godrej, Marico,
TVS and Essel group among others, with a billing of over Rs 1300
crores in traditional Media alone excluding Outdoor.
Madison Media is a part of Madison World, which also has
specialist Units in Creative, Outdoor, PR, Retail, Rural,
Entertainment, Mobile and Sports, employing over 500
Communication professionals.
Headquartered in New Delhi, India, -- Bharti Airtel
Limited's -- http://www.bhartiairtel.in-- is a telecom services
provider. The company has three business units: Mobile
Services, Broadband & Telephone Services and Enterprise
Services.
* * *
Fitch Ratings, on Nov. 19, 2007, affirmed Bharti Airtel
Limited's Long-term foreign currency Issuer Default Rating at
'BB+'. Fitch said the outlook on the rating is stable.
BIRLA VXL: Shareholders OK to Change Firm's Name to DIGJAM Ltd.
---------------------------------------------------------------
Birla VXL Ltd.'s shareholders, at an extraordinary general
meeting yesterday, have agreed to change the name of the company
to "DIGJAM Ltd." The name change is still subject to the
approval of the Central Government under Section 21 of the
Companies Act, 1956.
At the meeting, the shareholders further authorized the
company's board to issue preference shares of the face value of
up to INR45,00,00,000, which forms part of the unissued
authorized share capital of the company.
Headquartered in Gujarat, Birla VXL is a part of the S.K. Birla
Group and manufactures fabrics for suitings under the brand name
DIGJAM.
In July 2004, the High Courts of Gujarat and Punjab & Haryana
approved the company's Scheme of Arrangement, under Sections 391
to 394 of the Companies Act, 1956. The Scheme, which took
effect on March 30, 2006, among others provides the debt and
capital restructuring and transfer of OCM Division of the
company to its wholly owned subsidiary OCM India Ltd.
BUNGE LTD: Seven Summits Research Publishes PriceWatch Alert
------------------------------------------------------------
Seven Summits Research issues PriceWatch Alerts for key stocks.
Seven Summits Strategic Investments' PriceWatch Alerts are
available at http://www.iotogo.com/s/031308A.
The PriceWatch Alerts cover these stocks:
* Altria Group Inc. (NYSE: MO),
* American Express Company (NYSE: AXP),
* Bunge Ltd. (NYSE: BG),
* Abercrombie & Fitch Co. (NYSE: ANF), and
* KLA-Tencor Corp. (Nasdaq: KLAC).
Along with Secen Summits PriceWatch Alerts, these brief reports
contain a concise market overview, economic calendar and Dynamic
Market Opportunities. PriceWatch Alerts include hedged trade
ideas designed to potentially protect investors from unexpected
market shifts. While other market reports only provide stock
news, Seven Summits offer strategies that hedge investments
against uncertainty. Hedged trades increase chances of making a
profit, even if a stock goes down.
"Our PriceWatch Alerts go beyond other market reports. Along
with a brief concise market overview, each PriceWatch Alert
provides useful strategies, which ensure potential investments
are protected with basic hedging techniques," says Seven Summits
Senior Analyst, Reid Stratton. "This brief report contains
information that can benefit expert and novice investors who
want to stay ahead of the market."
For essential information on stocks poised to move go to:
http://www.iotogo.com/s/031308Afor Seven Summits Strategic
Investments' PriceWatch Alerts.
About Seven Summits Investment Research
Seven Summits Investment Research --
http://www.SevenSummitsInvestmentResearch.com-- is an
independent investment research group, which focuses on the U.S.
equities and options markets. The company's analytical tools,
screening techniques, rigorous research methods and committed
staff provide solid information to help its clients make the
best possible investment decisions.
About Bunge Ltd.
Headquartered in White Plains, New York, Bunge Ltd. (NYSE: BG)
is a global agribusiness company which supplies fertilizer to
farmers, originates, transports and processes oilseeds, grains
and other agricultural commodities worldwide, produces food
products for commercial customers and consumers, and supplies
raw materials and services to the biofuels industry in South
America and Asia. The company has operations in Brazil, Peru
and Argentina.
* * *
As reported in the Troubled Company Reporter-Latin America on
Nov. 8, 2007, Standard & Poor's Ratings Services assigned its
'BB' rating to Bunge Ltd.'s US$750 million of 5.125% cumulative
mandatory convertible preference shares. At the same time, S&P
affirmed its 'BBB-' long-term corporate credit and other ratings
on Bunge. The outlook is stable. Pro forma for the new issue,
about US$4.2 billion of debt and preference shares of the
company are rated. Proceeds from this issue will be used to
repay debt and for general corporate purposes.
DECCAN AVIATION: To Consider Lending INR1,000 Cr. to Kingfisher
---------------------------------------------------------------
Deccan Aviation Ltd.'s shareholders will consider, by way of
postal ballot, these resolutions:
a. To authorize the board of directors for lending the company's
funds by way of loan, or provide security including
guarantees in connection with a loan availed/to be availed,
by Kingfisher Airlines Ltd (KFA) and to invest by way of
subscription, purchase or otherwise, in the securities of the
said KFA on such terms and conditions as the board may deem
fit.
b. The overall limit for the said loans, securities including
guarantees and investments will be a sum not exceeding
INR1,000 crore regardless that the aggregate of the loans,
securities including guarantees, and investments may exceed
the percentages prescribed under section 372A of the Act
c. Authorizing the board to determine the manner and, amount
which it will make as loan to KFA, extend/issue security
including guarantee in connection with a loan availed/to be
availed by the KFA and, invest in the Securities of the KFA
within the above mentioned limits.
d. Authorizing the board to delegate all or any of those powers
to the Committee of Directors or the Managing/Whole-time that
may be necessary in giving effect to the resolution.
The board at their meeting on Feb. 21, 2008, have appointed
G. Krishna or, failing him, Sudhir V. Hulyalkar, as scrutinizer
to receive and scrutinize the completed postal ballot papers
received and for conducting the process in a fair and
transparent manner.
The duly completed postal forms should reach the scrutinizer not
later than close of working hours on April 7, 2008.
The scrutinizer will submit the report to the chairman of the
company and the result will be announced on April 14, 2008.
Bangalore, India-based Deccan Aviation Limited --
http://www.deccanair.com/-- is a charter aviation company in
the private sector. Deccan Aviation provides company charters,
tourism, medical evacuation, off-shore logistics and a host of
other services.
In the financial year ended June 30, 2007, Deccan Aviation
reported a net loss of INR4.2 billion, up 23% from the INR3.41-
billion loss incurred in FY 2006.
SHREE RAMA: Board Okays New Scheme of Compromise & Arrangement
--------------------------------------------------------------
Shree Rama Multi Tech Ltd.'s board of directors has considered,
discussed and approved a new scheme of compromise and
arrangement proposed to be entered with the company's lenders
and shareholders, a filing with the Bombay Stock Exchange
discloses.
During the meeting, the board also authorized Sharad C.
Jariwala, whole time director, to file the scheme with the stock
exchanges where the company's shares are listed before
presenting the scheme to the High Court of Gujarat.
Simultaneously, the company is taking necessary steps for
withdrawing the old scheme of compromise and arrangement under
-- Company Application No. 403/2007 pending before the High
Court of Gujarat.
Shree Rama Multi-Tech Ltd., an Ahmedabad-based packaging
solutions provider. Its products include multilayer film,
laminated tubes and laminated webs.
The company incurred at least two consecutive net losses --
INR950.8 million in the year ended March 31, 2007, and INR216.9
million in the year ended March 31, 2006.
SUN MICROSYSTEMS: To Resell BlueSpace TransMail Trusted Edition
---------------------------------------------------------------
Sun Microsystems Inc. has extended its partnership with
BlueSpace Software Corporation in which BlueSpace has become a
Global Connect Partner and Sun Federal Systems will resell
BlueSpace TransMail Trusted Edition to defense and intelligence
customers.
Sun Federal will be demonstrating TransMail Trusted Edition at
the DoDIIS Conference in San Diego, Calif., the week commencing
March 17.
Sun and BlueSpace have been closely collaborating over the
introduction and rollout of TransMail Trusted Edition which
fully leverages the multi-level capabilities of Solaris 10 with
Trusted Extensions and the Sun Ray desktop. TransMail Trusted
Edition provides the defense and intelligence users with a
unified messaging experience across multiple security domains.
The result is much greater user productivity and collaboration
without compromising security.
"Multi-level messaging is such an important collaborative and
knowledge based application for the intelligence community,"
said Bill Vass, President of Sun Federal. "Our partnership with
BlueSpace provides our customers with infrastructure and
critical applications that enable them to meet their mission
objectives faster, with less risk and at lower cost."
"Sun has made major investments and as a result is a leader in
providing the infrastructure for secure, multi-level
applications," stated Justin Marston, CEO of BlueSpace. "By
leveraging the unique capabilities of Solaris with Trusted
Extensions and the Sun Ray desktop we were able to bring a much
needed solution to this market in record time."
Edward Bryant, Technical Director at UCDMO, commented, "I see
the BlueSpace application taking advantage of the multi-level
capabilities of currently deployed multi-level clients, and this
is a critical capability needed to meet information sharing
requirements."
In addition to TransMail Trusted Edition, Sun and BlueSpace are
collaborating on the BlueSpace Trusted Client Framework (TCF)
which significantly reduces the time and effort to create multi-
level applications. The TCF enables "mashups" of data and
applications running at multiple security levels into a single
user experience without sacrificing confidentiality or requiring
expensive cross-domain management, certification and
accreditation processes.
Klaus Weidner, Principal Consultant at Atsec (a Common Criteria
Testing Laboratory in the US) commented that, "The Trusted
Client Framework uses a core trusted component which connects
mutually isolated, single-level application services to provide
what appears to the user to be an integrated multi-level
application. This makes it feasible to pursue a high assurance
level with minimized security testing and accreditation
footprint."
Under the expanded partnership, Sun will resell TransMail
Trusted Edition and the two companies will work together
collaboratively and with other Sun Partners on sales, marketing,
services and support.
About Sun Microsystems
Headquartered in Santa Clara, California, Sun Microsystems Inc.
(NASDAQ: SUNW) -- http://www.sun.com/-- provides network
computing infrastructure solutions that include computer
systems, data management, support services and client solutions
and educational services. It sells networking solutions,
including products and services, in most major markets worldwide
through a combination of direct and indirect channels.
Sun Microsystems conducts business in 100 countries around the
globe, including Brazil, Argentina, India, Hungary, United
Kingdom, Singapore, among others.
* * *
Sun Microsystems Inc. carries Moody's Investors Service's "Ba1"
probability of default and long-term corporate family ratings
with a stable outlook. The ratings were placed on
Sept. 22, 2006, and Sept. 22, 2005, respectively.
Sun Microsystems also carries Standard & Poor's Ratings
Services' "BB+" long-term foreign and local issuer credit
ratings, which were placed on March 5, 2004, with a stable
outlook.
TATA MOTORS: Deal Announcement with Ford Expected This Week
-----------------------------------------------------------
The announcement of a deal regarding the sale of Ford Motors
Ltd.'s Jaguar and Land Rover brands to Tata Motors Ltd. is
expected this week, various reports say.
Roger Madisson, National Officer, UNITE, told CNBC-TV18 that
they heard from people at Jaguar and Land Rover that the deal
will be ready to be signed this week. "We are looking forward
to becoming a part of the Tata's very shortly," he added.
The sale deal is expected to close in the second quarter,
according to Ford's U.S. Securities and Exchange Commission
annual report filing.
Swati Khandelwal of CNBC-TV18 said that Tata Motors seems to be
seeking price guarantees for engines from Ford and negotiating
the final price for the two bands.
As reported in the Troubled Company Reporter-Asia Pacific on
March 7, Tata Motors is seeking US$3 billion in loans to fund
the acquisition of the two marquee brands. The company has
tapped the State Bank of India as sole lead manager in raising
the US$3 billion.
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.
* * *
On Jan. 7, 2008, Standard & Poor's Ratings Services placed its
'BB+' long-term corporate credit ratings on India-based
automaker Tata Motors Ltd. on CreditWatch with negative
implications. At the same time, Standard & Poor's placed its
'BB+' foreign currency rating on all of Tata Motor's rated debt
issues on CreditWatch with negative implications.
As reported in the TCR-Asia-Pacific on Jan. 8, 2008, Moody's
Investors Service placed the Ba1 Corporate Family Rating of Tata
Motors Ltd. on review for possible downgrade.
TATA POWER: Competes for Nepal Hydropower Project
-------------------------------------------------
Tata Power Company Ltd. is one of those vying for a hydropower
project in Thailand, Sudeshna Sarkar writes for the Thaindian
News.
According to the news agency, Tata Power has already paid
INR20,000 for the proposal form.
Among the Indian firms bidding for the project are Continental
Construction Ltd., Nagarjuna Construction Ltd., Maytas Infra
Ltd., AES Corp, KSK Energy Ventures, JSW Energy, a group company
of Jindal South West, and Tehri Hydro Development Corp, a joint
venture between the Indian government and the government of
Uttar Pradesh, Thaindian relates.
The serious competition will start after March 24, after the
companies have submitted the forms, Thaindian adds.
Tata Power Company Ltd. -- http://www.tatapower.com/-- is a
licensee engaged in generation and supply power to bulk
consumers in the Mumbai metropolitan area. The company operates
four thermal plants with a combined capacity of 1,350 MW, and
three hydroelectric plants aggregating 447 MW; all of these
supply power to the Mumbai licence area. The company also has a
plant that supplies power to Tata Steel. In addition, Tata
Power has an 81-MW independent power project at Belgaum that
sells power to Karnataka Power Transmission Corporation Limited.
* * *
Standard & Poor's Ratings Services, on Aug. 24, 2007, lowered
its corporate credit rating on India's Tata Power Co. Ltd. to
'BB-' from 'BB+'. S&P said the outlook is stable. At the same
time, the rating on Tata Power's US$300 million senior unsecured
bonds have been lowered to 'BB-' from 'BB+'.
Moody's Investors Service, on July 3, 2007, downgraded the
corporate family rating of Tata Power Company to Ba3 from Ba1.
At the same time, Moody's has downgraded its senior unsecured
bond rating to B1 from Ba2. Moody's said the ratings outlook is
negative.
* INDIA: Fitch Affirms Union Budge 2008-09 Proposals
----------------------------------------------------
Fitch Ratings has commented that India's Union budget 2008-09
proposals, recently presented in the Indian Parliament, will
help improve the fiscal position of states at an aggregate
level.
"The 17.7% increase in the share of central taxes to states and
the 12.0% increase in combined plan and non-plan grants from
central government to states in FY09, could serve to improve the
financial profiles of at least the weaker states, particularly
if their own revenues continue to exhibit buoyancy," says S.
Nandakumar, Director with Fitch Ratings India.
"The buoyancy in VAT collection, consolidation of central loans
and debt waivers, and continued growth momentum would result in
further improvement in Indian state governments' finances.
However, the Sixth Pay Commission has the potential to reverse
some of the progress made towards fiscal consolidation," adds
Devendra K. Pant, Associate Director with Fitch Ratings India.
Indian state government finances have improved markedly since
2000. In India, 28 states and two union territories with
legislative assemblies (Delhi and Puducherry) have their own
budgets. Individual state budgets outline their revenue and
expenditure priorities. However, the federal or union budget
has always been important for state governments' finances owing
to the national reforms and priorities set out by the central
government. State governments' economic and reform policies
generally revolve around the national economic and reform
agenda. The states receive a large share of their revenue from
the central government through shares in central taxes and
grants; this important link with the Union budget has an impact
on state governments' fiscal performance.
The Indian economy is experiencing strong growth momentum;
average GDP growth for FY04-FY08 has been 8.7%. Economic growth
in FY08 is expected to fall to 8.7% from 9.6% in FY07, but
momentum is still strong and bodes well for fiscal
consolidation. The states' aggregate revenue deficit fell to
INR55.66 billion (0.1% of GDP) in FY07 (revised estimate) from
INR634.06 billion (2.3% of GDP) in FY04 and is expected to
generate a surplus of INR119.73 billion (0.3% of GDP) in FY08
(budget estimate).
=================
I N D O N E S I A
=================
BANK CENTRAL: Expects Slow Profit Growth on Lower Interest Rates
----------------------------------------------------------------
PT Bank Central Asia Tbk posted only a slight increase in the
bank's 2007 net profit on a cut in the interest rates, Trading
Market News reports.
As reported in the Troubled Company Reporter - Asia Pacific on
March 17, 2008, Bank Central Asia's 2007 net profit increased 6%
to IDR4.5 trillion from IDR4.242 trillion in 2006. Analysts
polled by Reuters Estimates had forecast a net profit of IDR4.60
trillion, the TCR-AP related.
According to Trading Market, BCA Vice President Jahja
Setiaatmaja said the bank could not rely too much on net
interest income to prop up bank performance. "We will lose in
market competition especially in the housing credit market, if
we rely too much on net interest income, he said.
Bank Central's, the report notes, net interest margin ratio was
cut to 6.1% in 2007 from 6.7% 2006. The bank was seeking to
increase the volume of credits to increase net interest income,
he added.
About Bank Central
Headquartered in Jakarta, Indonesia, PT Bank Central Asia Tbk
-- http://www.klikbca.com/-- offers individual and business
products and services. The bank's individual services consist
of savings accounts, home loans and car loans, remittance,
collection and safe deposit facilities. The bank's business
services consist of working capital loans, investment loans and
bank guarantee for small and medium-sized enterprises. In
addition, it provides export import facilities such as letters
of credit, negotiation and discounting. The bank's subsidiaries
include PT BCA Finance, BCA Finance Limited and BCA Remittance
Limited. It has 772 branches in Indonesia, Singapore and New
York, 42,958 EDCs and operates 4,425 ATMs. The bank serves
6.6 million accounts throughout Indonesia.
* * *
The Troubled Company Reporter-Asia Pacific reported on
March 5, 2008, that Fitch Ratings has upgraded PT Bank Central
Asia Tbk's long-term issuer default rating to BB with a stable
outlook. At the same time, Fitch affirmed the company's B
short-term issuer default rating, and AA+(IDN) national long
term rating with stable outlook.
CILIANDRA PERKASA: Fitch Affirms Ratings with Positive Outlook
--------------------------------------------------------------
Fitch has affirmed P.T. Ciliandra Perkasa's Long term foreign
and local currency Issuer Default Ratings at 'B+' and its
National Long-term rating at 'A(idn)'; the Outlook on all the
ratings is Positive. At the same time, Ciliandra's senior
unsecured debt rating has also been affirmed at 'B+'.
The rating affirmations follow the announcement dated March 13,
2008, made by First Resources Limited, the holding company of
Ciliandra, that consequent to the settlement of the fine imposed
by the Supreme Court of Jakarta by Mr. Martias, a founder and
former shareholder of the company, the Corruption Eradication
Commission of Indonesia had announced that it will not auction
certain assets of Ciliandra as earlier announced.
CILIANDRA PERKASA: Moody's Shifts B2 Rating Outlook to Positive
---------------------------------------------------------------
Moody's Investors Service has changed to positive from negative
the outlook for PT Ciliandra Perkasa's B2 corporate family
rating and secured rating on the company's US$160 million notes.
"This rating action follows the announcement of the Corruption
Eradication Commission of Indonesia that the financial penalty
of approximately US$38.3 million imposed on Martias, founder and
ex-shareholder of Ciliandra, by the Corruption Supreme Court has
been fully paid. As a result the commission no longer intends
to auction off 19 properties that the KPK deemed to belong to or
related to Martias," says Wonnie Chu, a Moody's Analyst.
"Three of the assets mentioned are owned by Ciliandra, including
PT Ciliandra Perkasa, PT Pancasurya Agrindo and PT Perkasa
Intisawit Perkasa, which together expected to account for
approximately 25% of Ciliandra's FY2008 projected EBITDA," says
Chu, adding, "With the payment of the US$38 million fine by
Martias, the court case has been closed and Ciliandra's assets
will remain intact. This removes the uncertainty overshadowing
Ciliandra's operation and rating."
The outlook is now revised back to positive following the
conclusion of the court case.
The positive outlook reflects Moody's expectation that the IPO
of First Resources will improve the disclosure and transparency
of the group. In addition, the funding to be provided to
Ciliandra from the proceeds of the IPO will enhance Ciliandra's
liquidity profile and financial flexibility as it pursues its
growth strategy through the industry cycle.
Established and incorporated in Indonesia in 1992, PT Ciliandra
Perkasa is an oil palm upstream operator based in Riau,
Sumatera. The company owns 10 operating subsidiaries and
affiliates which together own 13 oil palm plantations totaling
86,354 and approximately 100,000 of planted hectares and
unplanted hectares respectively as of December 31, 2007. The
company also has 7 palm oil crushing mills built between 1998
and 2007 with a total annual capacity of 2.3 million tons of
fresh fruit bunches.
Ciliandra is a private company with only one independent
commissioner on its board. Through First Resources Limited and
PT Fangiono Perkasa Sejati (95.5% and 4.5% owners of Ciliandra
respectively), the Fangiono family owns directly and indirectly
over 70% of the company subsequent to the recent IPO.
EXCELCOMINDO PRATAMA: Eyes Hike in Free Float of H2 Shares
----------------------------------------------------------
PT Excelcomindo Pratama Tbk may raise the number of shares that
is free floating in the market to above 10% in the second half
of 2008, Reuters reports.
According to the report, President Director Hasnul Suhaimi told
the news agency that the company plans to appoint a financial
adviser by end of March, and may pick JPMorgan.
Nury Sybli at Reuters writes that the company has less than one
percent of its outstanding shares owned by individual investors,
Reuters data shows.
Excelcomindo's user base jumped 62% last year to 15.5 million,
outpacing the 40% growth of the overall market, the report adds.
About Excelcomindo Pratama
Headquartered in Jakarta, Indonesia, PT Excelcomindo Pratama Tbk
-- http://www.xl.co.id/-- provides wireless telecommunications
services, leased lines and corporate services, which include
Internet Service Provider and Voice over Internet Protocol
services. In addition, Excelcomindo provides voice, data and
other value-added cellular telecommunications services. Its
product lines include jempol, bebas and xplor. The company also
provides services that allow its customers to purchase
electronic voucher reloads at all of its centers and outlets,
automated teller machines of various major banks and through its
all centers. Excelcomindo starter packs and voucher reloads are
also sold by independent retailers.
* * *
The Troubled Company Reporter-Asia Pacific reported on
Jan. 29, 2008, that Moody's Investors Service affirmed PT
Excelcomindo Pratama Tbk's Ba2 local currency issuer rating and
changed the outlook to stable from positive. At the same time,
Moody's has affirmed XL's Ba2 senior unsecured foreign currency
rating. Concurrently, PT Moody's Indonesia has affirmed the
company's national scale rating of Aa1.id. Moody's said the
outlook for all ratings is stable.
On Dec 12, 2007, Standard & Poor's Ratings Services affirmed its
'BB-' corporate credit ratings on Excelcomindo Pratama and
removed them from CreditWatch with negative implications. The
outlook is stable. The 'BB-' ratings on all foreign currency
senior unsecured debt were also affirmed.
In May 2007, Fitch Ratings affirmed PT Excelcomindo Pratama
Tbk's Long-term Foreign Currency and Local Currency Issuer
Default Ratings at 'BB-'. The Outlook remains Stable. At the
same time, Fitch affirmed the 'BB-' rating on its senior
unsecured notes programme.
GARUDA INDONESIA: Unit to Resume Operation as Low-Cost Carrier
--------------------------------------------------------------
PT Garuda Indonesia's business unit Citilink will resume flight
services in June after being suspended since January, Antara
News reports.
According to the report, the decision to suspend its operation
was made by Garuda on certain business policies and strategies.
Citilink, the report notes, will resume flights with new a
format and service, with some of its former routes closed.
A Garuda official told the news agency that Citilink's aircraft
have been grounded as they are in the process of revitalization.
Citilink will resume operation as a subsidiary in June as a low
cost carrier, the report adds.
Headquartered in Jakarta, Indonesia, government-owned airline PT
Garuda Indonesia -- http://www.garuda-indonesia.com/--
currently has a fleet of about 77 aircraft offering service to
some 27 domestic and 33 international destinations. Under its
Citilink brand, it serves 10 other domestic routes. Garuda also
ships about 200,000 tons of cargo a month and operates a
computerized tracking system.
The Troubled Company Reporter-Asia Pacific reported on
Sept. 6, 2007, that Garuda, saddled with a debt of around US$750
million including some US$475 million owed to the European
Credit Agency, is in negotiations with creditors to restructure
some of its debt. The carrier's debt needs to be restructured,
otherwise Garuda will not be able to fly anymore as its debt is
too big, the report added.
The airline was affected by plunging arrivals on the resort
island of Bali, where tourists have been killed in bomb attacks
in 2002 and 2005. It has also suffered from soaring global oil
prices, a weakening of the Indonesian rupiah and rising interest
rates. Garuda is concentrating its efforts on repaying its debt
with foreign creditors under the European Credit Agency, which
was due on Dec. 31, 2005.
The company, until November 2006, suffered an unaudited loss of
IDR390 billion, which was lower than the IDR672 billion,
recorded in the same period the year before.
Garuda is currently undergoing debt restructuring. The Troubled
Company Reporter-Asia Pacific reported on December 20, 2006,
that in line with the airline's debt restructuring, it continues
to consistently pay debt interest.
GARUDA: Restructuring of US$800MM Debt Nears Completion
-------------------------------------------------------
PT Garuda Indonesia's is slated to complete the restructuring of
its US$800 million debts, including US$500 million to the
European Credit Agency, in the first semester of this year, The
Jakarta post reports citing Elisa Lumban Toruan, the airline's
strategic and information technology director.
According to the report, Ms. Toruan said the airline had
proposed to its creditors a longer debt maturity period, Elisa
said.
Aside from the restructuring, Antara News relates, the company
is also scheduled soon to sell some of its shares to the public.
"An initial public offering is part of our strategic plan.
Stakeholders and members of the House of Representatives have
approved the plan," Ms. Torua was quoted by Antara as saying.
As part of efforts to boost efficiency, since Jan. 15 Garuda had
halted the operation of its budget-carrier Citilink pending a
reorganization of the division, the report notes.
Ms. Toruan said Citilink was not profitable because it failed to
secure the highest share of the domestic low-cost airline
market, despite its being a pioneer in the domestic budget
airline market, Antara posts.
Garuda was preparing a new strategy and facilities for Citilink
to compete with other domestic low-cost carriers, the report
adds.
About Garuda Indonesia
Headquartered in Jakarta, Indonesia, government-owned airline PT
Garuda Indonesia -- http://www.garuda-indonesia.com/--
currently has a fleet of about 77 aircraft offering service to
some 27 domestic and 33 international destinations. Under its
Citilink brand, it serves 10 other domestic routes. Garuda also
ships about 200,000 tons of cargo a month and operates a
computerized tracking system.
The Troubled Company Reporter-Asia Pacific reported on
Sept. 6, 2007, that Garuda, saddled with a debt of around US$750
million including some US$475 million owed to the European
Credit Agency, is in negotiations with creditors to restructure
some of its debt. The carrier's debt needs to be restructured,
otherwise Garuda will not be able to fly anymore as its debt is
too big, the report added.
The airline was affected by plunging arrivals on the resort
island of Bali, where tourists have been killed in bomb attacks
in 2002 and 2005. It has also suffered from soaring global oil
prices, a weakening of the Indonesian rupiah and rising interest
rates. Garuda is concentrating its efforts on repaying its debt
with foreign creditors under the European Credit Agency, which
was due on Dec. 31, 2005.
The company, until November 2006, suffered an unaudited loss of
IDR390 billion, which was lower than the IDR672 billion,
recorded in the same period the year before.
Garuda is currently undergoing debt restructuring. The Troubled
Company Reporter-Asia Pacific reported on December 20, 2006,
that in line with the airline's debt restructuring, it continues
to consistently pay debt interest.
INT'L NICKEL INDONESIA: Board Proposes Final Dividend for 2007
--------------------------------------------------------------
PT International Nickel Indonesia Tbk's Board of Directors has
proposed to the Company's Board of Commissioners a dividend of
US$0.02264 per share, consisting of a final dividend for 2007 of
US$0.0025 per share and an extraordinary dividend of US$0.02014
per share.
This dividend, when combined with the interim dividend of
US$0.09787 per share paid in December 2007, would amount to a
total dividend of US$0.12051 per share for 2007. This proposed
2007 dividend compares with a total dividend of US$0.0525 per
share in 2006. Per share figures noted here reflect the 10-for-
1 stock split effective on January 15, 2008.
The recommended dividend is subject to the concurrence of the
Board of Commissioners and will be presented at their next
meeting on March 25, 2008. If accepted by the Board of
Commissioners, the dividend recommendation will be presented for
shareholder approval at the company's annual general meeting on
March 26, 2008.
About PT Inco
Headquartered in Jakarta, Indonesia, PT International Nickel
Indonesia Tbk -- http://pt-inco.co.id-- is a nickel producer
with a production facility and mine are in Sorowako, Sulawesi,
where it has a contract agreement until 2025. It produces
nickel matte, an intermediate product, from lateritic ores at
its integrated mining and processing facilities near Sorowako on
the island of Sulawesi. Inco Limited of Canada holds a 60.8%
stake of the company and Sumitomo Metal Mining Co Ltd. holds a
20.1% stake.
* * *
As of October 29, 2007, the company carried Standard and Poor's
"BB-" long-term foreign and local issuer credit ratings; and
Fitch Rating's "BB" LT Issuer Default rating.
TELEKOMUNIKASI INDONESIA: Sees 65% Up in 2008 Flexi Market Share
----------------------------------------------------------------
PT Telekomunikasi Indonesia is expecting the market share of its
fixed wireless line or "Flexi" subscribers to increase 65% this
year from 54% in 2007, Thomson Financial reports.
Eddy Kurnia, Telkom VP for public and marketing communication,
told the news agency that a 65% market share would represent
about 10 million subscribers.
Mr. Kurnia said to attract more people to buy "Flexi", Telkom
has introduced some marketing incentives.
According to a company press release, the company has launched a
new program for Telkom Flexi subscribers called " 5 Get 5".
Mr. Kurnia explains that the "5Get 5" Program will give
additional benefits for Flexi Trendy prepaid and Flexi Classy
postpaid subscribers, the company release relates.
The "5 Get 5" program, which will expire on June 30, 2008.
About PT Telkom Indonesia
Based in Bandung, Indonesia, PT Telekomunikasi Indonesia Tbk
-- http://www.telkom-indonesia.com/-- provides local and long
distance telephone service in Indonesia. Known as Telkom, the
company also offers fixed wireless service, leased lines, and
data transport through affiliates.
As reported in the Troubled Company Reporter-Asia Pacific on
Oct. 24, 2007, that Moody's Investors Service changed the
outlook on PT Telekomunikasi Indonesia's local currency
corporate family rating to positive from stable. At the same
time Moody's has affirmed Telkom's local currency corporate
family rating at Ba1.
On Sep. 12, 2007, Fitch Ratings affirmed Telekomunikasi
Indonesia's Long-term foreign and local currency.
TELEKOMUNIKASI INDONESIA: Rotates Two Dsirectors
------------------------------------------------
PT Telekomunikasi Indonesia has rotated its Directors by
switching positions from Director of Consumer formerly held by
Ermady Dahlan to I Nyoman Gede Wiryanata, formerly the Director
of Network and Solution.
The Vice President of Public & Marketing Communication, Eddy
Kurnia says that "The switching of the positions was necessary
for the current situation because of the company's growth
expansion."
The company's line up of the Board of Directors is:
President Director 1 CEO: Rinaldi Firmansyah
Director of Finance 1 CFO: Sudiro Asno
Director of Human Capital & General Affair: Faisal Syam
Director of Network & solution: Ermady Dahlan
Director of Consumer: I Nyoman G Wiryanata
Director of Enterprise &Wholesale: Arief Yahya
Director of Compliance & Risk Management: Prasetio
Director of Information Technology: lndra Utoyo
Eddys says that "The rotation process for its Directors is
something common within Telkom and serves the purpose to improve
the company's performance particularly in environment in the
telecommunications industry."
About PT Telkom Indonesia
Based in Bandung, Indonesia, PT Telekomunikasi Indonesia Tbk
-- http://www.telkom-indonesia.com/-- provides local and long
distance telephone service in Indonesia. Known as Telkom, the
company also offers fixed wireless service, leased lines, and
data transport through affiliates.
As reported in the Troubled Company Reporter-Asia Pacific on
Oct. 24, 2007, that Moody's Investors Service changed the
outlook on PT Telekomunikasi Indonesia's local currency
corporate family rating to positive from stable. At the same
time Moody's has affirmed Telkom's local currency corporate
family rating at Ba1.
On Sept. 12, 2007, Fitch Ratings affirmed Telekomunikasi
Indonesia's Long-term foreign and local currency.
=========
J A P A N
=========
DELPHI CORP: S&P Keeps Expectation on B Corporate Rating
--------------------------------------------------------
Standard & Poor's Ratings Services still expects to assign a 'B'
corporate credit rating to Delphi Corp. if the company emerges
from bankruptcy in early April. This rating expectation is
consistent with S&P's commentary on Jan. 9, 2008.
"Recent changes to Delphi's proposed exit financing do not
affect our view of Delphi's highly leveraged financial profile,"
said Standard & Poor's credit analyst Gregg Lemos Stein. "We
still expect the outlook to be negative."
However, S&P has revised its expected issue-level ratings
because changes to the structure of the proposed financings have
affected relative recovery prospects among the various term
loans. S&P's expected ratings are:
-- The US$1.7 billion "first out" first-lien term loan B-1 is
expected to be rated 'BB-' (two notches higher than the
expected corporate credit rating on Delphi), with a '1'
recovery rating, indicating the expectation of very high
(90%-100%) recovery in the event of payment default.
-- The US$2 billion "second out" first-lien term loan B-2 is
expected to be rated 'B' (equal to the corporate credit
rating), with a '4' recovery rating, indicating the
expectation of average (30%-50%) recovery in the event of
payment default.
-- The US$825 million second-lien term loan is expected to be
rated 'B-' (one notch lower than the corporate credit
rating), with a '5' recovery rating, indicating the
expectation of modest (10%-30%) recovery in the event of
payment default.
Delphi's emergence could occur in early April, although
significant potential obstacles remain, including the currently
difficult credit market conditions and other factors. These
expected ratings are based on preliminary terms and conditions
and assume successful placement of the loans as represented to
the agency. In addition, these expected ratings are subject to
substantial consummation of Delphi's confirmed plan of
reorganization, and to S&P's receipt and satisfactory review of
final documentation.
IHI CORP: Reports Net Income of JPY11.2 Bln for Third Quarter
-------------------------------------------------------------
IHI Corporation has posted a net income of JPY11.2 billion from
a net loss of JPY8.7 billion the previous year for the nine
months ended December 31, 2007.
The company incurred operating loss and ordinary loss of JPY47.6
billion and JPY55.0 billion respectivley due to the substantial
downturn in its energy and plant operations division.
Net sales increased to JPY858.8 billion from the same period of
last year's JPY770.2 billion. The 11.5% increase on it's sales
was primarily attributed to the amount of orders IHI received
for this period.
Based in Tokyo, Japan, IHI Corporation, -- http://www.ihi.co.jp
-- formerly Ishikawajima-Harima Heavy Industries Co., Ltd., is a
Japan-based company engaged in six business segments. The
Logistics and Steel segment offers concrete products, automated
storages, loaders and others. The Machinery segment offers
plastic processing machines, industrial boilers, pumps and
others. The Energy Plant segment develops waste incineration
facilities, nuclear power plants, thermal power plants and
process plants, water treatment plants, renewable power plants
and other facilities. The Aerospace segment produces aircraft
engine parts and provides aircraft maintenance services. The
Ship and Offshore segment builds container ships, bulk carriers,
tankers and other ships, as well as develops marine equipment
and machinery and provides design and engineering services. The
Others segment provides real estate, financial and insurance
services.
The Troubled Company Reporter-Asia Pacific reported on
Feb 14, 2008, that Standard & Poor's Ratings Services revised
its outlook on the long-term corporate credit rating on IHI
Corp. to negative from stable, reflecting growing expectations
that the company's steady earnings recovery would be delayed,
following the Tokyo Stock Exchange's announcement that it will
place the company's stock on "alert status." The outlook change
also reflects concerns that the company's financial flexibility
will be constrained to some extent by this action. At the same
time, Standard & Poor's affirmed its 'BB+' long-term corporate
credit and 'BBB-' long-term senior unsecured issue ratings on
the company.
IHI CORP: Transfers Cement Plant Business to Kawasaki Plant
-----------------------------------------------------------
IHI Corporation's board of directors has decided to transfer its
cement plant businesses to Kawasaki Plant Systems, Ltd. to allow
concentration in more profitable areas such as LNG storage
facilities and enhancement of the systems for project
implementation.
This transfer will reduce the risk and improve the constitution
of IHI's business operations.
Even though IHI will withdraw from the cement plant industry,
the company is still responsible for fulfilling any cement plant
contracts in progress.
Kawasaki Plant is a member of the Kawasaki Heavy Industries
Group.
The agreement, which was signed on February 25, 2008, will be
enacted on April 1, 2008, as planned.
Based in Tokyo, Japan, IHI Corporation, -- http://www.ihi.co.jp
-- formerly Ishikawajima-Harima Heavy Industries Co., Ltd., is a
Japan-based company engaged in six business segments. The
Logistics and Steel segment offers concrete products, automated
storages, loaders and others. The Machinery segment offers
plastic processing machines, industrial boilers, pumps and
others. The Energy Plant segment develops waste incineration
facilities, nuclear power plants, thermal power plants and
process plants, water treatment plants, renewable power plants
and other facilities. The Aerospace segment produces aircraft
engine parts and provides aircraft maintenance services. The
Ship and Offshore segment builds container ships, bulk carriers,
tankers and other ships, as well as develops marine equipment
and machinery and provides design and engineering services. The
Others segment provides real estate, financial and insurance
services.
The Troubled Company Reporter-Asia Pacific reported on
Feb 14, 2008, that Standard & Poor's Ratings Services revised
its outlook on the long-term corporate credit rating on IHI
Corp. to negative from stable, reflecting growing expectations
that the company's steady earnings recovery would be delayed,
following the Tokyo Stock Exchange's announcement that it will
place the company's stock on "alert status." The outlook change
also reflects concerns that the company's financial flexibility
will be constrained to some extent by this action. At the same
time, Standard & Poor's affirmed its 'BB+' long-term corporate
credit and 'BBB-' long-term senior unsecured issue ratings on
the company.
SAPPORO HOLDINGS: Board to Restart Bid Talks with Steel Partners
----------------------------------------------------------------
Sapporo Holdings Ltd. said that it will restart talks with Steel
Partners Japan Strategic Fund L.P. regarding its latest proposal
to boost its stake in Sapporo, Hiroko Nakata writes for Japan
Times.
In a statement by the company late last week, Sapporo said,
"We've decided to hold necessary talks with SPJSF, as we need
its detailed explanations, including confirmation of its
proposal and data that have not yet been released," notes Japan
Times.
The Troubled Company Reporter-Asia Pacific reported on
March 11, 2008, that SPJSF has increased its offer to JPY875 per
share, which will raise its stake in the brewery to 33.3%. This
move came after Sapporo turned down the U.S. hedge fund's offer
on grounds that the deal is detrimental to the stakeholder's
interests.
According to the report, the decision by the Sapporo board of
directors heralds a new phase in the one-year-old struggle over
the brewer's management.
About Steel Partners Japan Strategic Fund
Steel Partners Japan Strategic Fund (Offshore), L.P., is a
Cayman Islands-registered fund management subsidiary of Warren
Lichtenstein's Steel Partners and the biggest shareholder (18.6%
as of Feb. 2007) of Sapporo Holdings. It submitted a proposal
to Sapporo seeking approval to raise its stake to 66.6%.
About Sapporo Holdings
Sapporo Holdings Limited -- http://www.sapporoholdings.jp/
-- formerly known as Sapporo Breweries, brews beer and operates
more than 200 beer halls and restaurants. Sapporo is one of
Japan's oldest brewers, and is Japan's third largest brewing
company, with brews ranging from its flagship Black Label to the
pricier Yebisu. Sapporo also makes the low-malt happoshu brew.
The company sells Guinness beer in Japan through its Sapporo
Guinness Company and owns a beverage company that makes canned
coffee, bottled water, and soft drinks.
* * *
As of May 16, 2007, the company carries Standard & Poor's Rating
Service's 'BB' Long-Term Foreign Issuer Credit and Long-Term
Local Issuer Credit Ratings that were issued on Feb. 6, 2006;
and Fitch Ratings' 'B' Short-term Foreign and Local Currency
Issuer Default Ratings that were issued on March 14, 2006.
TAKEEI CORP: JCR Assigns BB+ Rating on Senior Debts
---------------------------------------------------
Japan Credit Rating Agency has assigned a BB+/Stable rating to
the senior debts of Takeei Corporation.
Takeei is a construction-related industrial waste disposal and
recycling company that has a foothold in Tokyo metropolitan
area. The Company has the largest market share in Tokyo
metropolitan area on the strength of the strong client base
centered on large general contractors. It has a strength in its
integrated handling of waste disposal on its own from waste
collection and transportation to intermediate treatment and then
to final disposal. The Company's net assets will increase by
capital increase twice made in May 2007 and the one scheduled
for March 2008. Given the business development plan for the
future, JCR thinks that the Company should strengthen the
financial base further. The Company needs to reduce the
interest-bearing debt more to improve the financial balance and
to increase the capacity to raise funds. The Company will be
able to retain relatively stable earnings by raising its
competitive advantage further in the industrial waste disposal
industry in the direction of continued market expansion. JCR
deems it necessary to watch carefully the Company's capital
needs associated with expansion in new business lines and
implementation of the financial strategy. Given the fact that
the industrial waste disposal business is a statutory licensed
and approved business, maintenance and enhancement of compliance
system will remain important to the Company.
=========
K O R E A
=========
CHOROKBAEM MEDIA: Board of Directors Approves Spin-offs
-------------------------------------------------------
Chorokbaem Media Co. Ltd.'s Board of Directors has approved the
spin-off of its entertainment and felt manufacturing business
divisions, Reuters Investing Keys reports.
According to the report, the company aims to maximize the
efficiency in the business through this move. Chorokbaem Media
will also remain listed, the report notes.
Reuters relates that the business divisions spin-off will took
effect on March 31, 2008.
Seoul, Korea-based Chorokbaem Media Co., Ltd. is a manufacturer
engaged in the provision of non-woven fabrics. The company
provides non-woven fabrics used in normal and special filters,
artificial and synthetic leathers and other related usages. In
addition, the company operates family restaurants.
Korea Investors Service gave the company's unregistered
US$8 million convertible bonds a 'B' rating on Feb. 16, 2007.
NEXUS: Adjusts Conversion Price of 5th Convertible Bonds
--------------------------------------------------------
Nexus Investment Corporation has adjusted the conversion price
of its fifth convertible bonds from KRW1,010 to KRW1,005 per
share, effective March 11, 2008, Reuters Investing Keys reports.
According to the report, the initial announcement regarding the
bond issuance was made on March 30, 2007.
Pusan, Korea-based Nexus Investment Corporation invests in
start-ups primarily for small- and medium-sized companies. The
company's investment portfolio includes stocks, funds, project
financing and capital loans for Korea-based companies as well as
overseas market investment. It also offers management
consulting, strategic restructuring of companies, marketing and
human resources support.
Korea Investors Service rated the company's third offering of
unregistered convertible bonds raising funds up to KRW30 billion
a B+ with a stable outlook.
NEXUS INVESTMENT: Appoints New Co-CEO
--------------------------------------
Nexus Investment Corporation has appointed Lee Gi Wang as it new
Co-Chief Executive Officer, on February 12, 2008, Reuters
Investing Keys reports.
According to the report, the company's current CEO, Ahn Hyo
Moon, continues his duty as Co-Chief Executive Officer.
Pusan, Korea-based Nexus Investment Corporation invests in
start-ups primarily for small- and medium-sized companies. The
company's investment portfolio includes stocks, funds, project
financing and capital loans for Korea-based companies as well as
overseas market investment. It also offers management
consulting, strategic restructuring of companies, marketing and
human resources support.
Korea Investors Service rated the company's third offering of
unregistered convertible bonds raising funds up to KRW30 billion
a B+ with a stable outlook.
NDCORP: Clarion Partners Sells Company Shares
---------------------------------------------
NDcorp Co., Ltd. disclosed that Clarion Partners has sold 6.16%
stake or 499,998 shares of the company to Kim Jeong Dae, Reuters
Investing Keys reports.
Following the transaction, the report relates, Clarion Partners
has no longer stake in the company.
With headquarters in Seoul, Korea, NDcorp Co., Ltd. is engaged
in the storage area network and communication solutions
business. The company has two divisions: Electronic-
Telecommunication business, which develops, produces and
distributes wired and wireless communication products, including
voice-over-Internet protocol residential gateways, VoIP
asymmetric digital subscriber line modems and VoIP cable modems,
and System Integration business, which provides servers, work
stations and data storage systems for digital media services.
Korea Ratings gave the company's KRW10.30 billion convertible
bonds issue a B- rating with an evolving outlook on
July 31, 2006.
===============
M A L A Y S I A
===============
APL INDUSTRIES: Approves Revisions to Capital Reconstruction
------------------------------------------------------------
APL Industries Berhad approved some of the revisions to its
Proposed Capital Reconstruction and Proposed Rights Issue under
its proposals.
Details of the Revised Terms
* Proposed Capital Reduction
APL will undertake a capital reduction of its existing issued
and paid-up share capital of MYR347,612,028 comprising
347,612,028 ordinary shares of MYR1.00 each via a cancellation
of MYR0.93 of the par value of ordinary shares of MYR1.00 each
in the company. The issued and paid-up share capital of APL
will be reduced to MYR24,332,842 comprising 347,612,028 ordinary
shares of MYR0.07 each upon the completion of the Proposed
Capital Reduction.
The Proposed Capital Reduction would give rise to a credit of
MYR323,279,186 which would be utilized to reduce APL's audited
accumulated losses as at June 30, 2007, of MYR324,593,335 to
MYR1,314,149. Consequently, the audited merger deficit and the
accumulated losses of the APL Group of MYR251,961,467 and
MYR49,567,394 respectively as at June 30, 2007, will be
completely eliminated and APL Group will be operating with
retained profits of MYE21,750,325.
* Proposed Capital Consolidation
The issued and paid-up share capital of APL will be
MYE24,332,842 comprising 347,612,028 ordinary shares of MYR0.07
after the Proposed Capital Reduction. Subsequently, APL will
undertake the consolidation of the then entire issued and paid-
up share capital of 347,612,028 ordinary shares of MYR0.07 each
via the consolidation of 100 ordinary shares of MYR0.07 each and
re-issuance in replacement thereof, with 70 ordinary shares of
MYR0.10 each in APL after the Proposed Capital Reconstruction.
The issued and paid-up share capital of APL will be
MYR24,332,842 comprising 243,328,420 Shares upon completion of
the Proposed Capital Consolidation.
The resultant Shares after the Proposed Capital Reconstruction
will rank equally in all respects with each other.
* Proposed Rights Issue
After the completion of the Proposed Capital Reconstruction, APL
will undertake a renounceable rights issue of 729,985,260 Rights
Shares at an indicative issue price of MYR0.11 per Rights Share,
on the basis of three Rights Shares for each Share held by the
entitled shareholders of the company after the Proposed Capital
Reconstruction, whose names appear in the Record of Depositors
on the entitlement date to be determined later, together with
two free detachable warrants for every three Rights Shares
subscribed.
Details of the Proposed Amendment
In view of the Revised Terms, APL proposes to undertake the
Proposed Amendment in order to amend its Memorandum and Articles
of Association as follows:
(i) To amend the existing clause 3(40) of the Memorandum of
Association:
"To borrow or raise money with or without security and to secure
the payment of money or the performance of any obligation in
such manner and upon such terms as may seem expedient and in
particular by the issue of bonds, warrants, notes, options,
shares, stocks, debenture or loan stock and financial
instruments of any kinds, mortgage or other debentures or
securities (perpetual or otherwise) or by mortgage charges,
bills of exchange or promissory notes or by any other instrument
or in such purpose to charge all or any part of the undertaking
and property, assets of the company both present and future
including its uncalled capital and either with or without
participation in profits and voting power."
(ii) To insert this new Article 16A immediately after the
existing Article 16:
"Subject to any direction to the contrary that may be given by
the company in general meeting, all new shares, warrants or
other convertible securities shall, before issue, be offered to
such persons as at the date of the offer are entitled to receive
notices from the company of general meeting in proportion as
nearly as the circumstances admit, to the amount of the existing
shares or securities to which they are entitled. The offer will
be made by notice specifying the number of shares, warrants or
securities offered, and limiting a time within which the offer,
if not accepted, will be deemed to be declined, and, after the
expiration of that time, or on the receipt of an intimation from
the person to whom the offer is made that he declines to accept
the shares, warrants or securities offered, the directors may
dispose of those shares, warrants or securities in a manner as
they think most beneficial to the company. The directors may
likewise also dispose of any new share, warrants or security
which cannot, in the opinion of the directors, be conveniently
offered under this Article."
Rationale
The Proposed Amendment is necessary to enable APL to undertake
the Proposed Rights Issue. The Proposed Capital Reconstruction
together with the Proposed Rights Issue would enable the company
to remove itself from being classified as an affected listed
issuer under Practice Note 17 of the Listing Requirements issued
by Bursa Malaysia Securities Berhad.
APL Industries Berhad is a Malaysia-based investment holding
company. Through its subsidiaries, the Company operates in two
business segments: Gloves, which is engaged in the manufacture
and sale of gloves and other healthcare products, and
Investments, which is engaged in investment holding. The gloves
segment is operated in three other principal geographical areas
apart from Malaysia, which include North America, Asia (other
than Malaysia) and Europe. Its direct wholly owned subsidiaries
include Asia Pacific Latex Sdn Bhd, which is engaged in
manufacturing and sales of latex examination gloves, Medipure
Corporation (M) Sdn Bhd, which is engaged in provision of
chlorination services and trading of powder free latex gloves,
and Norwell International Inc, which is engaged in marketing and
distribution of healthcare products.
The company is currently listed as an affected issuer under the
Amended PN17 category of the Bursa Malaysia Securities Bhd.
HARVEST COURT: Cara Anggun to Settle Remaining Balance by May 18
----------------------------------------------------------------
Harvest Court Industries Bhd. has given an update to the Sale
and Purchase Agreement entered between its wholly owned
subsidiary, Harvest Court Properties Sdn Bhd, and Cara Anggun
Development Sdn Bhd. for the land held under Geran No. 89149.
No. 89149 Lot No. 82543, Section 30, Bandar Klang, in Daerah
Klang, Negeri Selangor Darul Ehsan. Accordingly, Harvest Court
Properties had agreed for Cara Anggun to pay 50% of the balance
purchase amounting to MYR1,530,000 on March 13, 2008, and the
remaining 50% of the balance purchase price together with
interest will be paid by Cara Anggun on May 18, 2008.
Headquartered in Selangor, Malaysia, Harvest Court Industries
Berhad -- http://www.harvestcourt.com/-- is engaged in kiln
drying, saw milling and manufacturing of timber doors and
related products. Other activities include development of
residential and commercial properties and jetty services and
provision of construction works and related maintenance
services. The Group is also involved in the provision of
marketing and management services and investment in shares and
securities. The Group operates in Malaysia and Australia.
The Group has defaulted on several loan facilities because of a
reduction in sales from 2002 onwards due to a weak global market
as a result of the Iraqi and the severe acute respiratory
syndrome, or SARS, as well as its inability to raise funds via
the equity market due to weak market sentiment. Due to its
financial position, Harvest Court had embarked on an exercise to
restructure, including a debt restructuring and capital
reduction. The Company's proposed corporate exercise was
rejected by the Securities Commission in November 2005, on
grounds that the proposals are not comprehensive and are not
capable of resolving all its financial problems. Its appeal to
reconsider the rejection was also junked by the Commission on
February 24, 2006. The Harvest Court Board is now in talks with
lenders and major creditors for its next course of action.
Harvest Court Industries Bhd's unaudited balance sheet as of
June 30, 2007, went upside down by MYR16.49 million.
MALAYSIAN AIRLINE: Hikes Jet Fuel Hedging Over Price Volatility
---------------------------------------------------------------
Malaysian Airline System Bhd. has raised its fuel hedging to
lower the company's expenses as crude oil prices rose to
US$110.20 per barrel on March 12, Bloomberg News reports.
Chief Executive Officer Idris Jala told Soraya Permatarasi at
Bloomberg that the airline will be able to obtain fuel this year
for US$89 a barrel. In November last year, the company has
hedged 29% of its fuel needs at US$69 a barrel.
Headquartered in Selangor, Malaysia, Malaysia Airlines --
http://www.malaysiaairlines.com/-- services domestic and
international flights. Its global network comprised 32 domestic
and 86 international destinations. Of the 86 international
destinations, 17 were operated in collaboration with airlines
partners.
The carrier posted a loss after tax of MYR1.3 billion for fiscal
year 2005, due to high fuel and operating costs, and
unprofitable routes. In late February 2006, it unveiled a
radical rescue plan to raise MYR4 billion to stay afloat and
return to profitability by 2007. Under the restructuring plan,
the airline pledged to cut its budget by 20% across the board,
terminate many unprofitable routes, freeze recruitment except
for front-line staff, crack down on corruption by encouraging
whistle-blowing and stop corporate sponsorship.
PAN MALAYSIAN: Inks Supplemental Agreement with MUI Properties
--------------------------------------------------------------
Pan Malaysian Industries Berhad, on March 13, 2008, entered
into:
-- a supplemental shares sale agreement with MUI Properties
Berhad in respect of the Proposed Land Company
Acquisition; and
-- supplemental sale and purchase agreement with Pan Malaysia
Holdings Berhad in respect of the Proposed Office Building
Acquisition for a cash consideration of MYR39.0 million.
Under the Supplemental Agreements, the parties mutually agreed
to extend the duration of the Approval Period for a further
period of six months commencing from March 14, 2008, until
September 13, 2008, to fulfill the conditions precedent under
the respective principal agreements comprising for the Sale and
Purchase Agreement and the Shares Sale Agreement.
Pan Malaysian Industries Berhad is an investment holding
company. The Company operates through two business segments:
Retailing and Property and investment holding.
The company is an Affected Listed Issuer pursuant to PN17 of the
Boursa Malaysia as it has a deficit in its unaudited adjusted
shareholders' equity on a consolidated basis of MYR17.55 million
as of December 31, 2005, computed on the basis stated in PN17.
The said deficit in the company's unaudited shareholders' equity
on a consolidated basis was mainly due to the net loss of the
PMI Group of MYR163.13 million for the unaudited nine month
financial period ended December 31, 2005 due mainly to the
sharing of losses of associated companies which comprised
substantially of impairment losses.
Pan Malaysian Industries Bhd's balance sheet as of
June 30, 2007, went upside down by MYR29.1 million on total
assets of MYR643.76 million and total liabilities of MYR672.85
million.
PECD BERHAD: Subsidiary Receives Wind-Up Petition from JB Fast
--------------------------------------------------------------
Perembajaya Engineering Sdn Bhd, a wholly-owned subsidiary of
Peremba Jaya Holdings Sdn Bhd, which in turn is a 70% owned
subsidiary of PECD Bhd, was served with a wind-up petition from
JB Fast Construction Sdn. Bhd. on March 12, 2008.
The wind-up petition was presented on February 25, 2008, at the
High Court of Malaya at Johor Bahru. JB Fast claimed that
Perembajaya Engineering owes a sum of MYR299,500.63 with an
interest rate of 8% per annum from July 3, 2007. The petition
will be heard on May 23, 2008, at the High Court of Malaya at
Johor Bahru.
* Circumstances leading to the filing of Petition:
-- Perembajaya Engineering was engaged by Peremba Jaya for
engineering works at the Precinct 11 Project in Putrajaya.
JB Fast had provided services to Peremba Jaya with regard
to Phase 2 of the Project;
-- Peremba Jaya and its subsidiaries are still currently in
negotiations for the final settlement of the Project. The
protracted negotiations have resulted in a difficult cash
flow position for Peremba Jaya and its subsidiaries;
-- Peremba Jaya had on July 10, 2007, received a notice of
demand pursuant to Section 218 of the Companies Act, 1965,
dated July 6, 2007, from JB Fast in respect of the Claim
Amount, which was served at Peremba Jaya's registered
address;
-- Subsequent to that, several discussions took place for the
settlement of the amount between Peremba Jaya and JB Fast
whereby a schedule of payments were agreed upon. Payments
were made between July to November 2007. This has
resulted in a reduction in the Claims amount.
-- The wind-Up petition was presented when further payments
were not made.
* Financial and operational impact of the wind-up proceedings
on the Group
The wind-up petition is not expected to have any major impact on
the operations of the Group. As a result of the wind-up, and
should the wind-up be carried out, the assets of Peremba Jaya
may need to be written down to their current recoverable amounts
and additional provisions to be made for costs associated with
the winding-up proceedings which is not expected to be material.
It is expected that the financial impact of the wind-up will be
minimal and will not cause any significant differences from the
recently released financial results.
About PECD Berhad
PECD Berhad is engaged in investment holding and provision of
management services. The company operates in four business
segments: construction, EPCC oil and gas, property development
and others. Its wholly owned subsidiaries include Peremba
Construction Sdn. Bhd., which is engaged in general construction
and investment holding and Wong Heng Engineering Sdn. Bhd.,
which is engaged in investment holding and engineering,
procurement, construction and commissioning emphasizing in the
oil and gas, as well as the power sectors. PECD Berhad's 70%-
owned subsidiary is Peremba Jaya Holdings Sdn. Bhd., which is
engaged in property development, construction and investment
holding.
Malaysian Rating Corp. Bhd has downgraded PECD Berhad's
MYR200-million serial fixed rate bonds to BB+ from BBB-.
The rating outlook remains negative.
The downgrade reflects the major operational and strategic
challenges currently faced by PECD as well as continued
deterioration in its credit metrics, and recognizes the
increased execution challenges confronting management as it
pursues its turnaround strategy.
The Troubled Company Reporter-Asia Pacific reported on
March 7, 2008, that the company was classified as an Affected
Listed Issuer under Practice Note No. 17/2005 of the Listing
Requirements of Bursa Malaysia Securities Berhad, since the
company's shareholders' equity deficit reached MYR914.9 million
as at December 31, 2007.
SOLUTIA INC: Funding Co. to Distribute Assets Under Settlement
--------------------------------------------------------------
Solutia Inc. is the sole member of Funding Co., a special
purpose, tax-efficient, bankruptcy remote limited liability
company that was established for purposes of holding, investing
and distributing certain proceeds from the creditor rights
offering in accordance with the amended and restated Monsanto
settlement agreement.
Pursuant to Funding's limited liability company agreement,
Funding will be managed by a board of managers consisting of one
or more managers, including an independent manager, according to
Rosemary L. Klein, Solutia's senior vice president, general
counsel and secretary, in a regulatory filing with the U.S.
Securities and Exchange Commission.
Subject to certain limitations set forth in the Monsanto
settlement agreement, the Board and any individual manager
authorized by the Board will have the authority to bind Funding
in any manner expressly permitted by and in compliance with the
Monsanto Settlement Agreement, Ms. Klein says.
Funding will be dissolved upon the earlier to occur of (i) two
years after the distribution of all of Funding's assets in
accordance with the Monsanto settlement agreement, and (ii) the
entry of a decree of judicial dissolution under Section 18-802
of the Delaware Limited Liability Company Act.
On the effective date, Funding was funded with US$45,679,000 in
proceeds from the creditor rights offering remaining after the
creation and funding of the retiree trust, and US$29,321,000 for
payment of Monsanto Company's administrative expense claim. In
accordance with the terms of the Monsanto settlement agreement,
the US$45,679,000 will be made available to pay for post-
emergence remediation and cleanup costs in connection with
Shared Sites.
Monsanto Settlement Agreement
As reported in the Troubled Company Reporter on March 11, 2008,
in accordance with its fifth amended joint plan of
reorganization, Solutia Inc. entered into an amended and
restated Monsanto settlement agreement; indemnification
agreement with Pharmacia Corporation; and first amended and
restated retiree settlement agreement with certain parties,
Rosemary L. Klein, Solutia's senior vice president, general
counsel and secretary, discloses in a regulatory filing with the
U.S. Securities and Exchange Commission.
The Monsanto settlement and Pharmacia indemnity agreements
provide that Monsanto will fund post-emergence the environmental
remediation obligations and related environmental liabilities at
sites owned, operated or used by Pharmacia, but which Solutia
never owned, operated or used. Solutia and Monsanto will share
the environmental remediation obligations and related
environmental liabilities for the Anniston, Alabama, and Sauget,
Illinois offsite remediation projects, according to Ms. Klein.
Pursuant to the Monsanto Settlement Agreement, Monsanto has
agreed to assume financial responsibility for all litigation
relating to property damage, personal injury, products liability
or premises liability or other damages related to asbestos, PCB,
dioxin, and other chemicals manufactured before Solutia's spin
off from Pharmacia on Sept. 1, 1997.
Monsanto's funding of the environmental remediation activities
and the resulting claim against Solutia, which Monsanto has
asserted, are being resolved through the Plan, Ms. Klein
relates. Solutia will remain responsible for the environmental
liabilities at sites that it owned or operated after the Spin-
off.
A full-text copy of the Monsanto Settlement Agreement is
available for free at: http://ResearchArchives.com/t/s?28f6
About Solutia Inc.
Based in St. Louis, Missouri, Solutia Inc. (OTCBB: SOLUQ) (NYSE:
SOA-WI) -- http://www.solutia.com/-- and its subsidiaries,
engage in the manufacture and sale of chemical-based materials,
which are used in consumer and industrial applications
worldwide. Solutia has operations in Malaysia, China Singapore,
Belgium, and Colombia.
The company and 15 debtor-affiliates filed for chapter 11
protection on Dec. 17, 2003 (Bankr. S.D.N.Y. Lead Case No.
03-17949). When the Debtors filed for protection from their
creditors, they listed US$2,854,000,000 in assets and
US$3,223,000,000 in debts.
Solutia is represented by Richard M. Cieri, Esq., Jonathan S.
Henes, Esq., and Michael A. Cohen, Esq., at Kirkland & Ellis
LLP, in New York, as lead bankruptcy counsel, and David A.
Warfield, Esq., and Laura Toledo, Esq., at Blackwell Sanders
LLP, in St. Louis Missouri, as special counsel. Trumbull Group
LLC is the Debtor's claims and noticing agent. Daniel H.
Golden, Esq., Ira S. Dizengoff, Esq., and Russel J. Reid, Esq.,
at Akin Gump Strauss Hauer & Feld LLP represent the Official
Committee of Unsecured Creditors, and Derron S. Slonecker at
Houlihan Lokey Howard & Zukin Capital provides the Creditors'
Committee with financial advice. The Official Committee of
Retirees of Solutia, Inc., et al., is represented by Daniel D.
Doyle, Esq., Nicholas A. Franke, Esq., and David M. Brown, Esq.,
at Spencer Fane Britt & Browne, LLP, in St. Louis, Missouri, and
Frank M. Young, Esq., Thomas E. Reynolds, Esq., R. Scott
Williams, Esq., at Haskell Slaughter Young & Rediker, LLC, in
Birmingham, Alabama.
On Feb. 14, 2006, the Debtors filed their Reorganization Plan &
Disclosure Statement. On May 15, 2007, they filed an Amended
Reorganization Plan and on July 9, 2007, filed a 2nd Amended
Reorganization Plan. The Bankruptcy Court approved the Debtors'
amended Disclosure Statement on Oct. 19, 2007. On
Oct. 22, 2007, the Debtor re-filed a Consensual Plan &
Disclosure Statement and on Nov. 29, 2007, the Court confirmed
the Debtors' Consensual Plan. Solutia emerged from chapter 11
protection Feb. 28, 2008. (Solutia Bankruptcy News, Issue No.
121; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)
* * *
As reported in the Troubled Company Reporter-Latin America on
March 5, 2008, Standard & Poor's Ratings Services raised its
corporate credit rating on Solutia Inc. to 'B+' from 'D',
following the company's emergence from bankruptcy on
Feb. 28, 2008, and the implementation of its financing plan.
The outlook is stable. S&P also affirmed its 'B+' rating and
'3' recovery rating on Solutia's proposed senior secured term
loan. In addition, S&P assigned its 'B-' rating to Solutia's
US$400 million unsecured bridge loan facility. S&P also
withdrew its 'B-' rating on the proposed US$400 million
unsecured notes, which have been replaced by the bridge facility
in Solutia's capital structure.
====================
N E W Z E A L A N D
====================
ADVANCED AERATED: Appoints Kenneth Peter Brown as Liquidator
------------------------------------------------------------
On February 15, 2008, Kenneth Peter Brown was appointed
liquidator of Advanced Aerated Construction Ltd.
The liquidator can be reached at:
Kenneth Peter Brown
c/o Rodewald Hart Brown Limited
127 Durham Street
PO Box 13380, Tauranga
New Zealand
Telephone:(07) 571 6280
Web site: http://www.rhb.co.nz
AIR NEW ZEALAND: Hikes Domestic & Australia Fares by 3%
-------------------------------------------------------
Air New Zealand Ltd. is raising fares on domestic flights and
those services for Australia and the Pacific Islands to cover
costs for higher jet fuel, Tracy Withers at Bloomberg News
reports.
A fare hike of three percent will take effect beginning
March 26. Fare increase for long-hauled flights will follow
within two-weeks, the company said in a statement to Bloomberg.
Jet fuel price has reached US$129.90 per barrel in Singapore
prompting the airline to raise fares, General Manager Bruce
Parton told Bloomberg. The company's 12-month earnings is
expected to fall because of rising jet fuel costs.
For the year ended Jan. 31, 2008, Air New Zealand carried 4.6
million passengers domestically. Customers to Australia and the
Pacific rose 1.2 percent to 1.8 million, according to Bloomberg.
Its shares fell 2.5 cents to NZ$1.30 on Monday.
Based in Auckland, New Zealand, Air New Zealand Ltd is the
country's flag air carrier, with domestic and international
passenger and freight operations, and an aviation engineering
business. Air New Zealand flies to the United States, United
Kingdom, Canada, Europe and other Asian cities.
Moody's Investors Service, on Sept. 4, 2007, affirmed Air New
Zealand Limited's Ba1 senior unsecured issuer rating. At the
same time, it has changed the outlook on the rating to positive
from stable.
ANZ carries Standard & Poor's Ratings Services' 'BB' corporate
credit rating, with stable outlook.
ALTERNATIVE RESEARCH: Fixes March 27 as Last Day to File Claims
---------------------------------------------------------------
The creditors of Alternative Research & Development Ltd. are
required to file their proofs of debt by March 27, 2008, to be
included in the company's dividend distribution.
The company's liquidators are:
Michael John Turner
Stephen Alan Dunbar
Polson Higgs
PO Box 5346, Dunedin
New Zealand
CLEAR CHANNEL: Completes Sale of Television Group for US$1.1 Bln
----------------------------------------------------------------
Clear Channel Communications Inc. disclosed Friday that it has
completed the sale of its Television Group to Newport Television
LLC for US$1.1 billion, subject to certain closing items
including proration of expenses and adjustments for working
capital.
As reported in the Troubled Company Reporter on Dec. 5, 2007,
Clear Channel Communication Inc. received approval from the
Federal Communications Commission to sell 35 television stations
to Newport Television LLC, a private equity firm controlled by
Providence Equity Partners Inc..
About Clear Channel
Based in San Antonio, Texas, Clear Channel Communications Inc.
(NYSE:CCU) -- http://www.clearchannel.com/-- is a media and
entertainment company specializing in "gone from home"
entertainment and information services for local communities and
premiere opportunities for advertisers. The company's
businesses include radio, television and outdoor displays.
Outside U.S., the company operates in 11 countries -- Norway,
Denmark, the United Kingdom, Singapore, China, the Czech
Republic, Switzerland, the Netherlands, Australia, Mexico and
New Zealand.
* * *
As reported in the Troubled Company Reporter on Jan. 30, 2008,
Standard & Poor's Ratings Services said its ratings on Clear
Channel Communications, including the 'B+' corporate credit
rating, remain on CreditWatch with negative implications. S&P
originally placed them on CreditWatch on Oct. 26, 2006,
following the company's announcement that it was exploring
strategic alternatives to enhance shareholder value.
E.C.D. CONTRACTORS: Taps Parsons & Kenealy as Liquidators
---------------------------------------------------------
On Feb. 25, 2008, Dennis Clifford Parsons and Katherine Louise
Kenealy were appointed liquidators of E.C.D. Contractors
Limited.
The liquidators can be reached at:
Dennis Clifford Parsons
Katherine Louise Kenealy
Indepth Forensic Limited
PO Box 278, Hamilton
New Zealand
Telephone:(07) 957 8674
Web site: http://www.indepth.co.nz
FIRST DATA: Posts US$273.2 Million Net Loss in Fourth Quarter
-------------------------------------------------------------
First Data Corp. reported its financial results for the fourth
quarter and full year ended Dec. 31, 2007. Consolidated
revenues for the quarter were up 11% to US$2.1 billion.
Adjusted EBITDA excluding projected near-term cost savings for
the quarter was up 5% to US$662 million. The company posted a
net loss of US$273.2 million for the three months ended
Dec. 31, 2007, compared to net income of US$278.5 million for
the same period in 2006.
For the quarter, the loss from continuing operations was US$273
million but included US$499 million of merger related costs and
other costs directly attributable to the transaction with
affiliates of Kohlberg Kravis Roberts & Co. These costs are
referred to collectively as "Merger Impacts."
For the full year, consolidated revenues were up 14% to US$8.1
billion. Adjusted EBITDA excluding projected near-term cost
savings was up 6% to US$2.5 billion. Income from continuing
operations was US$163 million, but included Merger Impacts of
US$720 million. Excluding Merger Impacts, full-year 2007 income
from continuing operations grew 4%.
"Our performance reflects continued execution in a challenging
economic environment," said Michael Capellas, chairman and chief
executive officer. "In the fourth quarter, First Data saw
accelerated momentum in the areas of new product innovation,
sales execution and operational efficiency."
Other Matters
Effective Jan. 1, 2008, First Data adopted a revised segment
reporting structure. The company's segments will include
Merchant Services, Financial Services, International, Prepaid
Services and Integrated Payment Systems. For applicable prior
year and quarterly periods, the company will provide financials
realigned to these segments.
In January of 2008, the company's Official Check and Money Order
business repositioned its investment portfolio to mostly short-
term taxable securities. This repositioning did not result in
material gains or losses to the company. The Official Check
Business comprises most of First Data's Integrated Payment
Systems segment which the company is winding down. The Official
Check Business processes official checks and money orders and
the revenue is primarily driven from its investment portfolio.
First Data's TeleCheck business is not related to the Official
Check Business and is not impacted by the portfolio
repositioning.
First Data's largest merchant alliance, Chase Paymentech
Solutions, LLC, is 51% owned by J.P. Morgan Chase Bank, N.A. and
49% owned by First Data. The current term of the existing
alliance agreement expires in 2010; however, JPMorgan had the
right to terminate the alliance due to the change of control
upon the closing of the Transaction. First Data has extended
the time period to exercise this right to allow for further
discussions regarding the alliance. If JPMorgan exercises its
termination right, First Data has the right to receive 49% of
the alliance's merchant contracts by value and be allocated 49%
of the alliance's sales force. A termination is not expected to
have a material impact to income from continuing operations or
adjusted EBITDA and First Data's reported revenues would
increase. Potential risks if the alliance is terminated include
the potential loss of certain processing volume over time, the
loss of JPMorgan branch referrals, the loss of access to the
JPMorgan brand, and post-termination competition by JPMorgan.
First Data Corp. (NYSE: FDC) -- http://www.firstdata.com/--
provides electronic commerce and payment solutions for
businesses worldwide, including those in New Zealand, the
Netherlands and Mexico. The company's portfolio of services and
solutions includes merchant transaction processing services;
credit, debit, private-label, gift, payroll and other prepaid
card offerings; fraud protection and authentication solutions;
receivables management solutions; electronic check acceptance
services through TeleCheck; as well as Internet commerce and
mobile payment solutions. The company's STAR Network offers
PIN-secured debit acceptance at 2 million ATM and retail
locations.
* * *
As reported in the Troubled Company Reporter-Latin America on
Feb. 19, 2008, Moody's Investors Service lowered First Data
Corporation's untendered senior unsecured stub notes rating to
Caa1 from A2. Upon completion of the tender process, First Data
had approximately US$200 million of the pre-LBO senior unsecured
notes outstanding at the end of December 2007, of which
US$68 million will be due in August 2008.
NED KELLY: Subject to W Stevenson's Wind-Up Petition
----------------------------------------------------
On November 27, 2007, W Stevenson & Sons Limited filed a
petition to have Ned Kelly Building Supplies (2003) Ltd.'s
operations wound up.
The petition will be heard before the High Court of Auckland on
April 1, 2008, at 10:45 a.m.
W Stevenson's solicitor is:
C. N. Lord
Craig Griffin & Lord
187 Mt Eden Road, Mt Eden
Auckland
New Zealand
PACIFIC INTERNATIONAL: Wind-Up Petition Hearing Set for April 24
----------------------------------------------------------------
The High Court of Auckland will hear on April 24, 2008, at
10:45 a.m., a petition to have Pacific International Lodges
Ltd.'s operations wound up.
Bruce McCallum and Henry David Levin filed the petition on
December 5, 2007.
The Petitioners' solicitor is:
G. J. Toebes
Buddle Findlay
State Insurance Tower, Level 17
1 Willis Street
Wellington
New Zealand
R & R HOLDINGS: Appoints Parsons & Kenealy as Liquidators
---------------------------------------------------------
Dennis Clifford Parsons and Katherine Louise Kenealy were
appointed liquidators of R & R Holdings Gisborne Ltd. on
February 11, 2008.
The liquidators can be reached at:
Dennis Clifford Parsons
Katherine Louise Kenealy
Indepth Forensic Limited
P.O. Box 278, Hamilton
New Zealand
Telephone:(07) 957 8674
Web site: http://www.indepth.co.nz
ROB LOADER: Shareholders Resolve to Liquidate Business
------------------------------------------------------
On February 21, 2008, the shareholders of Rob Loader Motors Ltd.
resolved to liquidate the company's business.
The company's liquidator is:
Grant Bruce Reynolds
Grant Reynolds
Insolvency Practitioners
P.O. Box 259059, Greenmount
Auckland
New Zealand
Mobile:(027) 577 0162
Facsimile:(09) 534 5699
TEMPERO COACH: Court to Hear Wind-Up Petition on April 2
--------------------------------------------------------
A petition to have Tempero Coach and Motor Company Ltd.'s
operations wound up will be heard before the High Court of
Invercargill on April 2, 2008, at 10:00 a.m.
The Commissioner of Inland Revenue filed the petition on
December 20, 2007.
The CIR's solicitator is:
Julie Newton
c/o Inland Revenue Department
Legal and Technical Services
First Floor Reception
224 Cashel Street
PO Box 1782, Christchurch 8140
New Zealand
Telephone:(03) 968 0807
Facsimile:(03) 977 9853
TOTAL BUILDING: Wind-Up Petition Hearing Set for May 9
------------------------------------------------------
The High Court of Auckland will hear on May 9, 2008, at
10:45 a.m., a petition to have Total Building Concepts Ltd.'s
operations wound up.
Action Consultants Limited filed the petition on Jan. 9, 2008.
Action Consultants' solicitor is:
Malcolm David Whitlock
c/o Whitlock & Co.
Baycorp House, Level 2
15 Hopetoun Street
Auckland
New Zealand
WILKINS DEVELOPMENTS: Appoints Parsons & Kenealy as Liquidators
---------------------------------------------------------------
Dennis Clifford Parsons and Katherine Louise Kenealy were
appointed liquidators of Wilkins Developments Ltd. on
Feb. 25, 2008.
The liquidators can be reached at:
Dennis Clifford Parsons
Katherine Louise Kenealy
Indepth Forensic Limited
PO Box 278, Hamilton
New Zealand
Telephone:(07) 957 8674
Web site: http://www.indepth.co.nz
=================
S I N G A P O R E
=================
HITACHI ELECTRONIC: Fixes April 10 as Last Day to File Claims
-------------------------------------------------------------
Hitachi Electronic Devices (Singapore) Pte. Ltd. requires its
creditors to file their proofs of debt by April 10, 2008, to be
included in the company's dividend distribution.
The company's liquidator is:
Lau Chin Huat
c/o 6 Shenton Way #32-00
DBS Building, Tower Two
Singapore 068809
LEISURE TOURS: Creditors' Proofs of Debt Due on March 31
--------------------------------------------------------
Leisure Tours Private Limited, which is in voluntary
liquidation, requires its creditors to file their proofs of debt
by March 31, 2008, to be included in the company's dividend
distribution.
The company's liquidator is:
Zalinah Samade
c/o IP Consultants Pte Ltd
50 Robinson Road
#15-02 VTB Building
Singapore 068882
* BOND PRICING: For the Week 17 March to 21 March 2008
------------------------------------------------------
Issuer Coupon Maturity Currency Price
------ ------ -------- -------- -----
AUSTRALIA &
NEW ZEALAND
-----------
Ainsworth Game Technology Ltd 8.000% 12/31/09 AUD 0.72
A&R Whitcoulls Group 9.500% 12/15/10 NZD 11.00
Allco Hit Ltd 9.000% 08/17/09 AUD 5.57
Antares Energy Limited 10.000% 10/31/13 AUD 0.80
Arrow Energy NL 10.000% 03/31/08 AUD 1.85
Babcock & Brown Pty Ltd 8.500% 11/17/09 NZD 19.90
Babcock & Brown Pty Ltd 9.010% 09/15/16 NZD 14.50
Becton Property Group 9.500% 06/30/10 AUD 0.58
Bounty Industries Limited 10.000% 06/30/10 AUD 0.08
Capital Properties NZ Ltd 8.500% 04/15/09 NZD 12.00
Capital Properties NZ Ltd 8.000% 04/15/10 NZD 13.00
China Century Capital Ltd 12.000% 09/30/10 AUD 0.91
CIT Group Au Ltd. 6.000% 03/03/11 AUD 69.73
Djerriwarrh Investments Ltd 6.500% 09/30/09 AUD 4.05
Fletcher Building Ltd 8.600% 03/15/08 NZD 10.50
Fletcher Building Ltd 7.800% 03/15/09 NZD 10.50
Fletcher Building Ltd 7.550% 03/15/11 NZD 10.00
GE Cap Australia 6.000% 03/15/19 AUD 74.85
Heemskirk Consolidated
Limited 8.000% 09/30/11 AUD 2.80
Hy-Fi Securities Ltd 7.000% 08/15/08 NZD 13.10
Hy-Fi Securities Ltd 8.750% 08/15/08 NZD 12.10
LongReach Group Limited 10.000% 10/31/08 AUD 0.32
Metal Storm Ltd 10.000% 09/01/09 AUD 0.12
Minerals Corp 9.000% 03/31/08 AUD 0.99
Minerals Corp 10.500% 09/30/08 AUD 0.87
Nylex Limited 10.000% 12/08/09 AUD 1.76
PPCS Limited 11.500% 12/15/10 NZD 69.15
Salomon SB Aust 4.250% 02/01/19 USD 6.56
South Canterbury 10.430% 12/15/12 NZD 0.99
Speirs Group Ltd. 13.160% 06/30/49 NZD 60.00
TrustPower Ltd 8.300% 12/15/08 NZD 11.00
TrustPower Ltd 8.500% 09/15/12 NZD 9.75
TrustPower Ltd 8.500% 03/15/14 NZD 10.40
CHINA
-----
COSCO Shipping Co., Ltd. 0.800% 01/28/14 CNY 74.27
JAPAN
-----
JPN Fin Muni Ent 1.700% 10/30/08 JPY 1.03
Nara Prefecture 1.520% 10/31/14 JPY 9.37
NIS Group Co., Ltd. 2.290% 03/23/09 JPY 71.12
KOREA
-----
Korea Dev. Bank 7.350% 10/27/21 KRW 49.48
Korea Dev. Bank 7.450% 10/31/21 KRW 49.45
Korea Dev. Bank 7.400% 11/02/21 KRW 49.44
Korea Dev. Bank 7.310% 11/08/21 KRW 49.39
Korea Dev. Bank 8.450% 12/15/26 KRW 72.48
MALAYSIA
--------
Advance Synergy Berhad 2.000% 01/26/18 MYR 0.06
Aliran Ihsan Resources Bhd 5.000% 11/29/11 MYR 0.90
Berjaya Land Bhd 5.000% 12/30/09 MYR 4.54
Bumiputra-Commerce
Holdings Bhd 2.500% 07/16/08 MYR 1.00
Eastern & Oriental Hotel 8.000% 07/25/11 MYR 2.45
EG Industries Berhad 5.000% 06/16/10 MYR 0.31
Equine Capital Berhad 3.000% 08/26/08 MYR 1.63
Greatpac Holdings 2.000% 12/11/08 MYR 0.11
Gula Perak Bhd 6.000% 04/23/08 MYR 0.53
Huat Lai Resources Bhd 5.000% 03/28/10 MYR 0.35
Insas Berhad 8.000% 04/19/09 MYR 0.60
Kamdar Group Bhd 3.000% 11/09/09 MYR 0.27
Kretam Holdings Bhd 1.000% 08/10/10 MYR 1.31
Kumpulan Jetson Berhad 5.000% 11/27/12 MYR 0.43
LBS Bina Group Bhd 4.000% 12/31/08 MYR 0.30
Media Prima Bhd 2.000% 07/18/08 MYR 1.32
Mithril Bhd 8.000% 04/05/09 MYR 0.22
Mithril Bhd 3.000% 04/05/12 MYR 0.59
Nam Fatt Corporation Bhd 2.000% 06/24/11 MYR 0.51
Pilecon Engineering Bhd 5.000% 12/19/11 MYR 0.19
Pelikan International 3.000% 04/08/10 MYR 1.90
Puncak Niaga Holdings Bhd 2.500% 11/18/16 MYR 0.79
Rhythm Consolidated Berhad 5.000% 12/17/08 MYR 0.05
Rubberex Corporation Berhad 4.000% 08/14/12 MYR 0.63
Silver Bird Group Bhd 1.000% 02/15/09 MYR 1.00
Southern Steel 5.500% 07/31/08 MYR 2.06
Tenaga Nasional Bhd 3.050% 05/10/09 MYR 0.98
Tradewinds Corp. 2.000% 02/08/12 MYR 0.72
Tradewinds Plantation Berhad 3.000% 02/28/16 MYR 1.51
TRC Synergy Berhad 5.000% 01/20/12 MYR 1.36
Wah Seong Corp. 3.000% 05/21/12 MYR 6.70
Wijaya Baru Global Berhad 7.000% 09/17/12 MYR 0.66
YTL Cement Bhd 4.000% 11/10/15 MYR 1.90
SRI LANKA
---------
Sri Lanka Govt 6.850% 04/15/12 LKR 72.42
Sri Lanka Govt 6.850% 10/15/12 LKR 70.57
Sri Lanka Govt 8.500% 01/15/13 LKR 74.10
Sri Lanka Govt 7.500% 08/01/13 LKR 70.55
Sri Lanka Govt 7.500% 11/01/13 LKR 69.69
Sri Lanka Govt 8.500% 02/01/18 LKR 68.93
Sri Lanka Govt 8.500% 07/15/18 LKR 70.33
Sri Lanka Govt 7.500% 08/15/18 LKR 65.04
Sri Lanka Govt 7.000% 10/01/23 LKR 57.69
*********
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. Azela Jane Taladua, Rousel Elaine Tumanda,
Valerie Udtuhan, Patrick Abing, Tara Eliza Tecarro, Marjorie C.
Sabijon, 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.
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