/raid1/www/Hosts/bankrupt/TCRAP

/raid1/www/Hosts/bankrupt/TCRAP_Public/080616.mbx T R O U B L E D C O M P A N Y R E P O R T E R A S I A P A C I F I C Monday, June 16, 2008, Vol. 11, No. 118 Headlines A U S T R A L I A BABCOCK & BROWN: S&P Lowers Rating to 'BB+/Watch Neg/B' BABCOCK & BROWN: Says It is Not in Default of Debt Covenants BERMA INVESTMENTS: Commences Liquidation Proceedings CALVERT INVESTMENTS: Liquidator Presents Wind-Up Report COSO PTY: Commences Liquidation Proceedings COUDERT BROS: 5 Ex-Partners Oppose Amended Disclosure Statement EXBT LIMITED: To Declare Dividend on June 17 EXFH LIMITED: To Declare Dividend on June 17 J EVANS: Members to Receive Wind-Up Report on June 17 LINTER GROUP: To Declare Dividend on June 17 LINTER TEXTILES: To Declare Dividend on June 17 SPERSEA PTY: To Declare Dividend on June 17 TIVOLAY PTY: Declares Dividend for Creditors TSQ SERVICE: Liquidator Presents Wind-Up Report C H I N A CHINA CONSTRUCTION: To Raise CNY40 Billion of Bonds for Capital INNER MONGOLIA BAOTOU: Paying CNY0.1 Dividends on June 17 PACIFICNET INC: Kabani & Company Expresses Going Concern Doubt SHANGHAI PUDONG: Denies Sale of Additional Stake to Citigroup SHANGHAI PUDONG: Signs MOU with Shandong-Based Trust Company H O N G K O N G AMPLE INT'L: Court to Hear Wind-Up Proceedings on July 6 BEST LEADER: Court to Hear Wind-Up Proceedings on June 25 CO-WIN: Court to Hear Wind-Up Proceedings on July 16 FER TECHNOLOGIES: Appoints New Liquidator FRIGARD HK & TRADERS : Members & Creditors to Meet on June 17 FLX (HK) LIMITEDF: Creditors' Proofs of Debt Due June 27 FORWARD SUPER: Court to Hear Wind-Up Proceedings on June 18 SIN WEALTH: Court to Hear Wind-Up Proceedings on July 2 SUM YEUNG: Court to Hear Wind-Up Proceedings on July 23 SUPERB SOUND: Court to Hear Wind-Up Proceedings on June 25 I N D I A DEE DEVELOPMENT: CRISIL Rates Rs.115.0 Mil. Term Loan at “C” DELHI GURGAON: CARE Suspends D Rating on Rs.78.3 Crore NCDs HASTI FINANCE: Auditor Quits, Plans to End BSE Listing LOK HOUSING: CRISIL Reaffirms “D” Rating on Rs.170 Mil. NCDs J A P A N AOZORA BANK: Millea's Unit Liquidates 6% Stake in Company DAIEI INC: To Hike U.S. Beef Lineup on Resolved Safety Issues DAIWA SEC: Joins World Bank to Offer CER-Linked Uridashi Bond DELPHI CORP: Trial on US$2.55BB Lawsuit to Begin in April 2009 DELPHI CORP: Gets New Bid for Power Biz; 54 Pacts Part of Sale DELPHI CORP: Amends US$4.1BB Facility to Raise Available Amount LEHMAN BROTHERS: Names Mr. McDade, President; Mr. Lowitt CFO M A L A Y S I A ARK RESOURCES: Kumpulan Wang Files Summons Against Subsidiary CNLT (FAR EAST): Securities to be Delisted on June 20 LIQUA HEALTH: Appoints Leong & Co. to Assist Audit Committee SATANG: Bourse Rejects Appeal Extending Annual Report Filing N E W Z E A L A N D ACTIVE CIVIL: Commences Liquidation Proceedings CGS LIMITED: Commences Liquidation Proceedings KEMS LIMITED: Court to Hold Liquidation Hearing Today LAKEVIEW INT'L: Court to Hold Liquidation Hearing Today NATIONAL GOLF: Court to Hold Liquidation Hearing Today NO. 1 LIVE LOBSTER: Commences Liquidation Proceedings *NEW ZEALAND: Retail Sales Up 1% in April, Trend Flat P A K I S T A N PAKISTAN: Accounts Deficit Prompts Moody's Ratings Downgrade P H I L I P P I N E S BENPRES HOLDINGS: Wants to Sell 1/3 Stake in Tollways Corp. MIC HOLDINGS: Resets Annual Stockholders' Meeting to Nov. 20 - - - - - ================= A U S T R A L I A ================= BABCOCK & BROWN: S&P Lowers Rating to 'BB+/Watch Neg/B' ------------------------------------------------------- Standard & Poor's Ratings Services lowered its ratings on Babcock & Brown International Pty Ltd. to 'BB+/Watch Neg/B' from 'BBB/Watch Neg/A-3' following a continued rapid slide in the share price of its listed parent Babcock & Brown Ltd. The ratings remain on CreditWatch with negative implications, where they were initially placed on June 12, 2008. "The ratings downgrade reflects a potential significant weakening in B&B International's operating and financial flexibility," Standard & Poor's credit analyst Sharad Jain said. "The recent decline in B&B Ltd.'s and its satellite funds' share prices marks a substantive loss of confidence by the equity market in B&B Ltd.'s ability to deliver on its business model. The loss of investor confidence would likely affect B&B group's future earnings stream due to potentially constrained growth in transactional revenues and upward pressure on B&B International's borrowing costs. We believe that a loss of investor confidence would also affect investor interest in satellite assets managed by B&B." The fall in B&B Ltd.'s capitalization to below AU$2.5 billion on June 12, 2008 allows B&B International's bankers to call a "review event" under the company's AU$2.8 billion facility from a 25-bank consortium. This exposes B&B International to a degree of uncertainty—something that Standard & Poor's does not expect in an investment-grade-rated company. B&B International also remains exposed to refinancing requirements at Babcock & Brown Power that have not been completely finalized. Mr. Jain added: "We will closely monitor ongoing developments, in particular, the response of B&B International's 25-bank consortium. The B&B International rating is likely to be further lowered—potentially by several notches—should the banking consortium serve notice of a review event. The 'BB+' rating on B&B International is supported by the group's quality assets that continue to operate satisfactorily. However, to affirm the rating at 'BB+', we would require certainty concerning the group's future business structure and funding arrangements, and the restoration of market confidence in the group." Standard & Poor's understands that a fall in market capitalization to below AU$2.5 billion does not constitute an event of default for the facility; rather it may trigger a review event, under which B&B International will be entitled to negotiate in good faith over a four-month period to reach an agreement on a remedy or resolution. B&B International may continue to draw funds from the facility during this period. If no agreement is reached at the end of the four-month consultation period, the lenders may ask that the facility be repaid within 90 days. About Babcock & Brown Ltd Headquartered in Sydney, Australia, Babcock & Brown Limited (ASX:BNB) -- http://www.babcockbrown.com/-- is engaged in the creation, syndication and management of investment products for itself, as a principal, and its investor clients; management of specialised listed and unlisted funds, and advising and arranging leasing, project financing and structured finance transactions. It has five segments: real estate, which engages in principal investment and investment management activities in the real estate sector; infrastructure, which engages in financial advisory, principal finance and funds management activities in the infrastructure and project finance sector; corporate and structured finance, which is engaged in the origination, structuring and participation in and management of equity and debt investments, and operating leasing, which is engaged in asset acquisition and syndication, and ongoing management of portfolios of aircraft, railcars and semi- conductor equipment. In October 2007, it acquired Bluewater. In November 2007, it acquired Coinmach Service Corp. BABCOCK & BROWN: Says It is Not in Default of Debt Covenants ------------------------------------------------------------ Babcock & Brown Limited reconfirmed, following commentaries in relation to its debt facility, that the market capitalization clause in its corporate facility does not constitute a default or breach of covenant. Babcock & Brown's AU$2.8 billion three year evergreen facility was reviewed, extended to 2011 and signed off by its banking syndicate in April 2008. The market capitalization clause, provides for the facility banks to have the right to call for a review of their position under the facility rather than any specified action. The facility banks have not yet made a decision as to whether such a review action is appropriate. Babcock & Brown said it formally meets with its banks and will update the market when it has further information. A decision may take some time in line with normal banking syndicate processes. According to Babcock & Brown, if the banks call for a review it would entail a four month consultation period with lenders during which time the company would continue to operate as normal with no impact on access to is corporate debt facility. Comment on S&P's Rating Action Commenting on Standard & Poor's rating action, Babcock & Brown said the downgrade was not based on any information provided to S&P by Babcock & Brown or the facility lenders. The change in S&P rating, the company says, does not constitute a review event or event of default, or otherwise entitle any lender to require a prepayment of any financing facility with the Babcock & Brown Group. The downgrade according to Babcock & Brown was consistent with S&P's move to downgrade other financial related stocks around the world. Listed Funds Review Babcock & Brown intends to accelerate the current strategic review of its listed funds through the appointment of external advisors. Babcock & Brown said it will work with the funds and the appointed advisors to review the current arrangements to remove the gap between the underlying asset values and the current trading prices and to respond to market concerns regarding the listed fund structure. The results of the review being carried out, will be presented to the Boards of the funds for consideration. Independent Chairmen Appointment Babcock & Brown, in its capacity as manager, intends to immediately recommend the appointment of independent chairmen to the Boards of the four Australian listed funds that do not already have independent chairmen, namely Babcock & Brown Infrastructure, Babcock & Brown Power, Babcock & Brown Wind Partners and Babcock & Brown Residential Land Partners. Phil Green, Chief Executive of Babcock & Brown said, “We will move as quickly as possible to restore investor confidence in a decisive yet orderly manner.” Capital Recycling Mr. Green added “Babcock & Brown will continue the asset recycling and freeing up of capital that has previously been outlined to the market; de-leveraging our balance sheet and, further, will move to narrow our investment focus to core activities including development and co-investment.” Babcock & Brown has a significant pipeline of assets in greenfield development including wind (16,000 MW), solar (1,400 MW) and gas fired power generation (3,360 MW) assets, and power transmission assets; and PPP projects in countries around the world including selected countries in Europe, North America and Australia. During this week, Babcock & Brown will receive first round indicative offers for the unique portfolios of European wind energy assets. Based on the level of interest received and current indications, these sales are expected to be finalized in the third quarter and reach financial close either simultaneously or early in the fourth quarter of 2008. This process is being conducted in conjunction with Babcock & Brown Wind Partners. About Babcock & Brown Ltd Headquartered in Sydney, Australia, Babcock & Brown Limited (ASX:BNB) -- http://www.babcockbrown.com/-- is engaged in the creation, syndication and management of investment products for itself, as a principal, and its investor clients; management of specialised listed and unlisted funds, and advising and arranging leasing, project financing and structured finance transactions. It has five segments: real estate, which engages in principal investment and investment management activities in the real estate sector; infrastructure, which engages in financial advisory, principal finance and funds management activities in the infrastructure and project finance sector; corporate and structured finance, which is engaged in the origination, structuring and participation in and management of equity and debt investments, and operating leasing, which is engaged in asset acquisition and syndication, and ongoing management of portfolios of aircraft, railcars and semi- conductor equipment. In October 2007, it acquired Bluewater. In November 2007, it acquired Coinmach Service Corp. BERMA INVESTMENTS: Commences Liquidation Proceedings ---------------------------------------------------- During an extraordinary meeting held on April 8, 2008, the members of Berma Investments Pty Ltd resolved to voluntarily liquidate the company's business. Raphael Graham Mendels was appointed as liquidator. The Liquidator can be reached at: Raphael Graham Mendels 7th Floor 131 York Street Sydney Australia CALVERT INVESTMENTS: Liquidator Presents Wind-Up Report ------------------------------------------------------- G. G. Woodgate, Calvert Investments Pty. Ltd.'s estate liquidator, met with the company's members on May 30, 2008, and provided them with property disposal and winding-up reports. The liquidator can be reached at: G. G. Woodgate Woodgate & Co Telephone: (02) 9233 6088 COSO PTY: Commences Liquidation Proceedings ------------------------------------------- Coso Pty Limited's members agreed on April 9, 2008, to voluntarily liquidate the company's business. Graham P. Brown was appointed to facilitate the sale of its assets. The liquidator can be reached at: John cunningham MoonCunningham 6-10 Tooronga Terrace Beverly Hills NSW 2209 Australia COUDERT BROS: 5 Ex-Partners Oppose Amended Disclosure Statement --------------------------------------------------------------- The first amended disclosure statement describing Coudert Brothers LLP's bankruptcy plan faced objection from five of the firm's former partners, Bankruptcy Law 360 reports. The former partners asserted that the changes in the disclosure statement do not agree with what was discussed at a hearing, Bankruptcy Law says. The objecting party presented to the U.S. Bankruptcy Court for the Southern District of New York on Wednesday their proposed amendments to the Debtor's disclosure statement, Bankruptcy Law adds. A copy of the Debtor's first amended disclosure statement is available for free at http://www.kccllc.net/impDateDocs.asp?D=2315 A copy of the Debtor's first amended plan is available for free at http://www.kccllc.net/impDateDocs.asp?D=2316 As reported in the Troubled Company Reporter on June 9, 2008, the Court indicated that the Debtor's disclosures statement describing its amended chapter 11 plan of liquidation needed further revision before it can be approved. The Hon. Robert D. Drain said he is already inclined to give a thumbs up to the Debtor's disclosure statement at a hearing expected to take place in the second week of June 2008. Judge Drain, added that the Debtor's disclosure statement already contains adequate information relating to changes that he had suggested. About Coudert Brothers Coudert Brothers LLP was an international law firm specializing in complex cross border transactions and dispute resolution. The firm had operations in Australia and China. The Debtor filed for Chapter 11 protection on Sept. 22, 2006 (Bankr. S.D.N.Y. Case No. 06-12226). John E. Jureller, Jr., Esq., and Tracy L. Klestadt, Esq., at Klestadt & Winters, LLP, represent the Debtor in its restructuring efforts. Kurtzman Carson Consultants LLC is the Debtor's claims and notice agent. Brian F. Moore, Esq., and David J. Adler, Esq., at McCarter & English, LLP, represent the Official Committee Of Unsecured Creditors. In its schedules of assets and debts, Coudert listed total assets of US$29,968,033 and total debts of US$18,261,380. The Debtor's exclusive period to file a plan expired on May 20, 2007. The Debtor proposed a plan confirmation hearing to be held on Aug. 15, 2008, at 10:00 a.m. EXBT LIMITED: To Declare Dividend on June 17 -------------------------------------------- EXBT Limited will declare dividend on June 17, 2008. Only creditors who were able to file their proofs of debt by June 10, 2008, will be included in the company's dividend distribution. The company's liquidator is: Lindsay Philip Maxsted McGrathNicol Level 8, IBM Centre 60 City Road Southbank VIC 3006 Australia Website: www.mcgrathnicol.com EXFH LIMITED: To Declare Dividend on June 17 -------------------------------------------- EXFH Limited will declare dividend on June 17, 2008. Only creditors who were able to file their proofs of debt by June 10, 2008, will be included in the company's dividend distribution. The company's liquidator is: Lindsay Philip Maxsted McGrathNicol Level 8, IBM Centre 60 City Road Southbank VIC 3006 Australia Website: www.mcgrathnicol.com J EVANS: Members to Receive Wind-Up Report on June 17 ----------------------------------------------------- Riad Tayeh, J Evans Plumbing Pty Ltd's appointed estate liquidator, will meet with the company's members at 11:00 a.m. on June 17, 2008, to provide them with property disposal and winding-up reports. The liquidator can be reached at: Riad Tayeh Level 3, 95 Macquarie Street, Parramatta NSW Australia LINTER GROUP: To Declare Dividend on June 17 -------------------------------------------- Linter Group Limited will declare dividend on June 17, 2008. Only creditors who were able to file their proofs of debt by June 10, 2008, will be included in the company's dividend distribution. The company's liquidator is: Lindsay Philip Maxsted McGrathNicol Level 8, IBM Centre 60 City Road Southbank VIC 3006 Australia Website: www.mcgrathnicol.com LINTER TEXTILES: To Declare Dividend on June 17 ----------------------------------------------- Linter Textiles Limited will declare dividend on June 17, 2008. Only creditors who were able to file their proofs of debt by June 10, 2008, will be included in the company's dividend distribution. The company's liquidator is: Lindsay Philip Maxsted McGrathNicol Level 8, IBM Centre 60 City Road Southbank VIC 3006 Australia Website: www.mcgrathnicol.com SPERSEA PTY: To Declare Dividend on June 17 ------------------------------------------- Spersea Pty Ltd will declare dividend on June 17, 2008. Only creditors who were able to file their proofs of debt by June 10, 2008, will be included in the company's dividend distribution. The company's liquidator is: Lindsay Philip Maxsted McGrathNicol Level 8, IBM Centre 60 City Road Southbank VIC 3006 Australia Website: www.mcgrathnicol.com TIVOLAY PTY: Declares Dividend for Creditors --------------------------------------------- Tivolay Pty Limited, which is in liquidation, declared its dividend for its creditors. Only creditors who were able to file their proofs of debt by May 5, 2008, were included in the company's dividend distribution. The company's liquidator is: C. M. Chamberlain Chamberlain's S.B.R. Chartered Accountants Suite 103, 1st Floor Wollundry Chambers Johnston Street Wagga Wagga NSW 2650 Australia TSQ SERVICE: Liquidator Presents Wind-Up Report ----------------------------------------------- David Anthony Hurst and Andrew Hugh Jenner Wily, TSQ Service Centre Pty. Ltd.'s estate liquidator, met with the company's members on April 17, 2008, and provided them with property disposal and winding-up reports. The liquidator can be reached at: D. A. Hurst Armstrong Wily Chartered Accountants Level 5, 75 Castlereagh Street Sydney NSW 2000 Australia ========= C H I N A ========= CHINA CONSTRUCTION: To Raise CNY40 Billion of Bonds for Capital --------------------------------------------------------------- China Construction Bank Corp.'s shareholders has approved a plan to sell as much as CNY40 billion (US$5.8 billion) of subordinated bonds to raise capital, Helen Yuan of Bloomberg reports. The bank, the report relates, may issue CY5 billion of the debt in Hong Kong as part of the sale. China Construction Bank didn't disclose interest rates for the bonds. The bonds have maturity terms of at least 10 years, the report says. The China Construction Bank -- http://www.ccb.cn/-- is one of the "big four" banks in the People's Republic of China. It was founded on October 1, 1954, under the name of "People's Construction Bank of China" and later changed to "China Construction Bank" on March 26, 1996. * * * As of March 5, 2008, China Construction Bank carries Moody's "D-" bank financial strength rating. Moody's Bank Financial Strength Ratings (BFSRs) represent Moody's opinion of a bank's intrinsic safety and soundness and, as such, exclude certain external credit risks and credit support elements that are addressed by Moody's Bank Deposit Ratings. INNER MONGOLIA BAOTOU: Paying CNY0.1 Dividends on June 17 --------------------------------------------------------- Inner Mongolia BaoTou Steel Union Co. will pay a dividend of CNY0.1 (before tax) on June 17, 2008 to shareholders of record on June 11, 2008, for every one they hold, Reuters reports. Meanwhile, the report says, the company has named Mr. Cui Chen as Chairman of the Board. Based in Baotou, Inner Mongolia Autonomous Region, Inner Mongolia BaoTou Steel Union Co., Ltd. -- http://www.baoganggufen.com-- is principally engaged in the steel industry and offers steel plates, heavy tracks, square steel, seamless steel pipes, universal I beams and columns, steel rods and other steel products. The company also handles metallurgical mechanical equipment and spare parts, as well as provides iron and steel production-related consulting services. Xinhua Far East China Ratings gave the company a BB issuer credit rating on December 27, 2004. PACIFICNET INC: Kabani & Company Expresses Going Concern Doubt -------------------------------------------------------------- Kabani & Company Inc. raised substantial doubt about the ability of PacificNet Inc. to continue as a going concern after it audited the company's financial statements for the year ended Dec. 31, 2007. The auditing firm reported that during the year ended Dec. 31, 2007, the company incurred net losses of US$14,195,000. In addition, the company had a negative cash flow in operating activities amounting to negative US$1,079,000 in the year ended Dec. 31, 2007, and the company’s accumulated deficit was US$65,070,000 as of Dec. 31, 2007. In addition, the company is in default on its convertible debenture obligation and three holders of Convertible Subordinated Debentures filed an involuntary petition for Chapter 11 relief in federal bankruptcy court on Saturday, March 22, 2008, in Wilmington, Del. Convertible Debenture Obligations On April 30, 2007, the company entered into a sale and purchase agreement to dispose of its interest in Guangzhou3G for a consideration of US$6 million. The deal was subsequently reopened for renegotiation in November 2007. On May 15 & 20, 2007, the company entered into various definitive agreements to divest and reduce its equity interests in certain unprofitable subsidiaries to below 20% equity interest, namely: Linkhead, Clickcom, PacTelso, PacSo and PacPower. On March 27, 2008, three holders of PACT's Convertible Subordinated Debentures filed an involuntary petition for Chapter 11 relief in federal bankruptcy court on March 22, 2008, in Wilmington, Del. The company has retained counsel to oppose the filing because the petition fails to meet the standard for invoking an involuntary bankruptcy and fails to take into consideration other agreements between the company and the petitioning creditors. The company intends to vigorously oppose the petition and move for dismissal of the filing, and if successful will seek damages and attorney fees. Subsequently, PACT also received default notice from all but one of the debenture holders including Iroquois Master Fund Ltd., Alpha Capital AG, Whalehaven Capital Fund Limited, DKR Soundshore Oasis Holding Fund Ltd., Basso Fund Ltd., Basso Multi-Strategy Holding Fund Ltd., and Basso Private Opportunities Holding Fund Ltd. from the same Convertible Subordinated Debentures related to the private offering of US$8,000,000 principal amount variable debentures consummated on March 13, 2006, and due March 2009. PACT has retained counsel to oppose the above petition. The amount of the debt in question is as follows: Iroquois Master Fund Ltd. US$2.5 million, Whalehaven Capital Fund Limited US$958,000, Alpha Capital AG US$685,000 DKR Soundshore Oasis Holding Fund Ltd US$960,000, and Basso Fund Ltd., Basso Multi- Strategy Holding Fund Ltd., and Basso Private Opportunities Holding Fund Ltd., a combined amount of US$500,000. Financials The company posted a net loss of US$14,195,000 on total net revenues of US$18,994,000 for the year ended Dec. 31, 2007, as compared with a net loss of US$12,415,000 on total net revenues of US$29,073,000 in the prior year. At Dec. 31, 2007, the company's balance sheet showed US$24,720,000 in total assets, US$20,208,000 in total liabilities, and US$2,792,000 in total stockholders' equity. The company's consolidated balance sheet at Dec. 31, 2007, showed strained liquidity with US$16,419,000 in total current assets available to pay US$13,241,000 in total current liabilities. The Company incurred accumulated losses of US$65.million and US$51 million as of December 31, 2007 and 2006 respectively. A full-text copy of the company's 2007 annual report is available for free at http://ResearchArchives.com/t/s?2e00 About PacificNet Inc. Headquartered in Beijing, China, 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. The company was founded in 1987 and has additional offices in Hong Kong, Shanghai, Shenzhen, Guangzhou, Macau, and Zhuhai, China; the United States; and the Philippines. Iroquois Master Fund Ltd., Whalehaven Capital Fund Ltd. and Alpha Capital AG filed for involuntary Chapter 11 petition against the Debtor on March 22, 2008, (Bank. D. Del. Case No. 08-10528.) Adam Friedman, Esq. at Olshan Grundman, et al. and Robert S. Brady, Esq. and Ian S. Fredericks, Esq. at Young Conaway, et al. represent the petitioners in this case. SHANGHAI PUDONG: Denies Sale of Additional Stake to Citigroup ------------------------------------------------------------- Shanghai Pudong Development Bank Co. Limited denied rumors that it has started talks with Citigroup Inc. to allow the U.S. company to raise its stake, Victoria Ruan of Dow Jones Newswires reports, citing President Fu Jianhua. Citigroup, the report recounts, held a stake of 3.8% in Pudong Development at the end of last year, with an option to raise its holding to a maximum of 19.9%, the limit for a single foreign investor to hold in a Chinese bank. "The issue isn't on our agenda yet," the news agency cited Mr. Jianhua as saying. Mr. Jianhua told Dow Jones that domestic stock market conditions aren't the reason both banks haven't started talks, but declined to elaborate. Citigroup and Pudong Development Bank, the report says, will discuss jointly issuing yuan debit cards. About Shanghai Pudong Headquartered in Shanghai, China, Shanghai Pudong Development Bank Co., Ltd. -- http://www.spdb.com.cn/-- is a commercial bank involved in personal banking, corporate banking, and inter- bank business. The bank also offers Internet banking and telephone banking. The bank, as of June 13, 2008, still carries Moody's Investors Service's Ba1 financial strength rating,and Fitch Ratings' D individual rating. SHANGHAI PUDONG: Signs MOU with Shandong-Based Trust Company ------------------------------------------------------------ Shanghai Pudong Development Bank Company signed a Memorandum of Understanding with a Shandong-based trust company, Reuters reports. Reuters did not disclose the identity of the Shandong-based trust company. The report relates that the company's move is for equity investment, complementary of financial function, sharing of channels and customer resources, and design and development of financial products. Headquartered in Shanghai, China, Shanghai Pudong Development Bank Co., Ltd. -- http://www.spdb.com.cn/-- is a commercial bank involved in personal banking, corporate banking, and inter- bank business. The bank also offers Internet banking and telephone banking. The bank, as of June 13, 2008, still carries Moody's Investors Service's Ba1 financial strength rating,and Fitch Ratings' D individual rating. ================ H O N G K O N G ================ AMPLE INT'L: Court to Hear Wind-Up Proceedings on July 6 -------------------------------------------------------- On May 30, 2008, Chinese Estates (Harcourt House) Limited, filed a petition to have Ample International World Limited's operations wound up. The High Court of Hong Kong will convene at 9:30 a.m. on July 6, 2008, to hear the petition. The petitioners' solicitors can be reached at: S. Y. Wong & Co. The Center, 31st Floor, Room 3108 99 Queen's Road Central Hong Kong BEST LEADER: Court to Hear Wind-Up Proceedings on June 25 --------------------------------------------------------- On April 22, 2008, Chan Yiu Transportation Limited, filed a petition to have Best Leader Engineering Limited's operations wound up. The High Court of Hong Kong will convene at 9:30 a.m. on June 25, 2008, to hear the petition. The petitioners' solicitors can be reached at: Tsang & Lee Nan Fung Tower, 15th Floor, 1510-12 173 Des Voeux, Road Central Hong Kong CO-WIN: Court to Hear Wind-Up Proceedings on July 16 ---------------------------------------------------- On May 14, 2008, Fong Chun Sin, filed a petition to have Co-Win Restaurant Limited's operations wound up. The High Court of Hong Kong will convene at 9:30 a.m. on June 16, 2008, to hear the petition. The petitioners' solicitors can be reached at: Chong Yan-tung Chris Revenue Tower, 30th Floor 5 Gloucester Road Wanchai, Hong Kong FER TECHNOLOGIES: Appoints New Liquidator ----------------------------------------- The members of Fer Technologies Limited appointed Desmond Chung Seng Chiong and John Robert Lees as the company's liquidators. The liquidators can be reached at: Desmond Chung Seng Chiong John Robert Lees Hong Club Building, 14th Floor 3A Charter Road, Central Hong Kong FRIGARD HK & TRADERS : Members & Creditors to Meet on June 17 ------------------------------------------------------------- Frigard HK & Traders Limited will hold a joint meeting for its creditors and contributors at 2:00 p.m. and 2:30 p.m, respectively on June 17, 2008. During the meeting, the company's liquidator, Chen Yung Ngai, Kenneth will provide the attendees with property disposal and winding-up reports. The company's liquidator can be reached at: Chen Yung Ngai, Kenneth Caroline Centre, 29th Floor Lee Garden Two, 28 Yu Ping Road Hong Kong FLX (HK) LIMITEDF: Creditors' Proofs of Debt Due June 27 -------------------------------------------------------- Creditors of FLX (HK) Limited are required to file their proofs of debt by June 27, 2008, to be included in the company's dividend distribution. The company's liquidator is: Kennic Lai Hang LUI Ho Lee Commercial Building, 5th Floor 38-44 D'Aguilar Street, Central Hong Kong FORWARD SUPER: Court to Hear Wind-Up Proceedings on June 18 ----------------------------------------------------------- On February 21, 2008, Sydala International Trading Holdings S.L., filed a petition to have Forward Super Printing (Macau) Company Limited's operations wound up. The High Court of Hong Kong will convene at 9:30 a.m. on June 18, 2008, to hear the petition. The petitioners' solicitors can be reached at: Fan Wong & Tso Tower II, 8th Floor, Room 803 Lippo Centre, 89 Queensway Hong Kong SIN WEALTH: Court to Hear Wind-Up Proceedings on July 2 ------------------------------------------------------- On April 30, 2008, MO Yuk Ling Joyse, filed a petition to have Sin Wealth Trading (Int'l) Co. Limited's operations wound up. The High Court of Hong Kong will convene at 9:30 a.m. on July 2, 2008, to hear the petition. The petitioners' solicitors can be reached at: Steve Y. F. Wong 27th Floor, Queensway Government Offices 66 Queensway, Hong Kong SUM YEUNG: Court to Hear Wind-Up Proceedings on July 23 ------------------------------------------------------- On May 21, 2008, Pioneer Time Investment Limited, filed a petition to have Sum Yeung Investment Company Limited's operations wound up. The High Court of Hong Kong will convene at 9:30 a.m. on July 23, 2008, to hear the petition. The petitioners' solicitors can be reached at: S. Y. Wong & Co. The Center, 31st Floor, Room 3108 99 Queen's Road Central Hong Kong SUPERB SOUND: Court to Hear Wind-Up Proceedings on June 25 ---------------------------------------------------------- On March 20, 2008, Hovon Watch & Jewellery Company Limited, filed a petition to have Superb Sound Products Limited's operations wound up. The High Court of Hong Kong will convene at 9:30 a.m. on June 25, 2008, to hear the petition. The petitioners' solicitors can be reached at: Cheun, Chan & Chung 5505, 55th Floor 183 Queen's Road East Wanchai, Hong Kong ========= I N D I A ========= DEE DEVELOPMENT: CRISIL Rates Rs.115.0 Mil. Term Loan at “C” ------------------------------------------------------------ CRISIL has assigned its ratings of “C/P4” to these bank facilities of Dee Development Engineers Private Limited (DDEPL): -- Rs.190.0 Million Cash Credit Limit C(Assigned) -- Rs.80.00 Million Export Packing Credit* C(Assigned) -- Rs.115.0 Million Term Loan C(Assigned) -- Rs.125.00 Million Bank Guarantee P4(Assigned) -- Rs.90.0 Million Letter of Credit P4(Assigned) * Interchangeable with cash credit The ratings are constrained by DDEPL’s intensive working capital operations. Company’s reliance on short term debt to meet the funding requirements for working capital and aggressive future capex plans are expected to strain its financial risk profile further. These weaknesses are partially offset by the company’s established market position and healthy growth expected in the end user industry. About DDEPL DDEPL was incorporated in 1988, primarily for design of steam and other process piping. However, the company later diversified into manufacture and supply of piping systems and pipe fittings. DDEPL earlier operated from its plants located in Faridabad. But, due to strong growth and capacity constraint of the plant, the company commissioned a new plant with total area measuring around 8 acres in Tatarpur (Palwal) and gradually shifted to the new plant. The manufacture and sales of spools, a main product of DDEPL, accounts for around 80 per cent of the company’s revenue. The remaining 20 per cent comes from the sales of pipe fittings. Spools are basically pipes fitted with various pipe fitting equipments like elbows, tees, reducers, caps crosses & stub ends etc. The fitting equipment vary according to each customer’s requirements. Spools and pipe fittings are mainly used by sectors such as power, oil, gas, sugar, boiler manufacturing and other process industries. DELHI GURGAON: CARE Suspends D Rating on Rs.78.3 Crore NCDs ----------------------------------------------------------- Credit Analysis and Research Limited has suspended the rating of ‘CARE D’ [Single D] assigned to the outstanding Non Convertible Debentures (NCDs) issued by Delhi Gurgaon Super Connectivity Ltd. (DGSL) aggregating Rs.78.3 crore. CARE has also withdrawn the outstanding project grading ‘CP2’ for the project. The same follows CARE’s inability to carry out a rating surveillance in view of DGSL not providing the relevant information to CARE. Delhi Gurgaon Super Connectivity Limited operates the Delhi– Gurgaon Expressway, a ‘fully access controlled’ highway project and one of the largest BOT (Build Operate Transfer) road project on the National Highways of India. HASTI FINANCE: Auditor Quits, Plans to End BSE Listing ------------------------------------------------------ Hasti Finance Ltd.'s Board of Directors approved to call an extraordinary general meeting on July 1, 2008. The company disclosed in a regulatory filing that as the existing auditors has expressed their inability to continue to act as auditors of company, the company has recommended M/s. Vivek Kumar Agarwal & Co., Chartered Accounts, Chennai for conducting the audit for the financial year 2007-2008 and to hold office until the conclusion of the next annual general meeting of the company. Hasti Finance considers re-issuance/sale of 3,77,400 forfeited shares of the company for raising capital through re-issue/sale for further expansion of business. In addition, the company said trading of its shares in the Ahmedabad & Madras Stock Exchanges have not been active for the past few years. However, shares of the company is trading actively in the Bombay Stock Exchange Ltd. Hasti says it is considering de-listing of the shares from both exchanges. LOK HOUSING: CRISIL Reaffirms “D” Rating on Rs.170 Mil. NCDs ------------------------------------------------------------ CRISIL has reaffirmed its rating on Lok Housing & Constructions Ltd’s non-convertible debenture programme: -- Rs.170 Million Non-Convertible Debentures, “D”(Reaffirmed) The rating continues to indicate that the instrument is in default. The arrears on interest and principal payments have not been entirely cleared. India-based Lok Housing & Constructions Ltd. -- http://www.lokhousing.com/-- is engaged in real estate development, which includes homes, villas and commercial units. The Company has two segments: construction & real estate development and cement product division. It has developed 40 mini and mega residential complexes, commercial centres, single storey bungalows, 16 storey towers, simple flats, pent houses and plush condominiums comprised of its 17000 units. ========= J A P A N ========= AOZORA BANK: Millea's Unit Liquidates 6% Stake in Company --------------------------------------------------------- Millea Holdings Inc.'s subsidiary, Tokio Marine & Nichido Fire Insurance Co., sold its 6% stake, worth US$253 million, in Aozora Bank Ltd., Takahiko Hyuga of Bloomberg News reports. Tokio Marine did not identify the buyer or the proceeds it obtained from the sale. Millea Holdings, the report relates, decreased its stake in in the bank to 6% from 9.09% in April, and Hiroshi Amemiya, a managing director at Millea's main casualty insurance unit, stepped down from the bank's board last month. According to Bloomberg, Aozora Bank reported a 93% decline in annual profit in 2007 due to losses on subprime mortgage investments and has declined 41% in Tokyo trading in the past 12 months. Aozora chairman Kimikazu Noumi, who joined from Norinchukin Bank Ltd., resigned on May 21, the report notes. Millea's Tokio Marine joined Softbank Corp. and Orix Corp. in taking over Aozora, then called Nippon Credit Bank Ltd., from Japan's government in 2000, the report recounts. Softbank sold its Aozora shares to Cerberus in 2003, and the U.S. fund raised its holding to 45% from 37% last month, Bloomberg says. About Aozora Bank Aozora Bank (formerly Nippon Credit Bank) -- http://www.aozorabank.co.jp/-- was the second Japanese credit bank nationalized in the wake of Asia's financial crisis after the Long-Term Credit Bank of Japan (now Shinsei Bank). Bad loans and Japan's "Big Bang" financial deregulation added to the bank's troubles. Traditionally a lender to small and midsized businesses, before the takeover it had started closing overseas branches and expanding its financial services. Aozora has a network of some 20 branches in Japan and four offices overseas. US investment fund Cerberus now owns 62% of the company after buying Softbank's stake (49%) in spring of 2003. Orix Corp and Millea Holdings each own 15%, and the Japanese government also owns a stake. * * * The Troubled Company Reporter-Asia Pacific reported on April 2, 2008, that Fitch Ratings affirmed Japan's Aozora Bank's Long- term foreign and local currency Issuer Default Ratings at 'A-', Short-term foreign and local currency IDRs at 'F1', Individual 'C', Support '3', Support Rating Floor 'BB+' and senior unsecured notes 'A-'. The Outlook remains Stable. DAIEI INC: To Hike U.S. Beef Lineup on Resolved Safety Issues ------------------------------------------------------------- Daiei Inc. brought its sale of American-imported beef back to the levels from before April, when imported cattle parts were found to be at risk of mad cow disease, Dow Jones Newswire reports, citing The Nikkei. The rumors, the report relates, caused the supermarket chain to drastically cut down on its sales. However, the company said that the safety problem has been resolved, and so will expand its lineup of U.S. beef from two items at present to five, the report notes. Daiei will increase its beef imports from the Dakota City, Neb., facility of U.S. firm Tyson Foods Inc. Meanwhile, the company started procuring products from two locations of National Beef Packing Co., the supplier of the beef found to have contained the risky parts last month, the report adds. Headquartered in Tokyo, Daiwa Securities Group Inc. -- http://www.daiwa.jp/-- is a Japan-based securities company. The company primarily is engaged in the securities, investment, financing and service businesses. Daiwa Securities Group is comprised of 46 consolidated subsidiaries and five associated companies, which are engaged in the securities, investment trust, information service, real estate leasing, venture capital, financing and other businesses. The company with its subsidiary and associated companies has operations in both domestic and overseas markets, including Japan, the United Kingdom, the United States, the Netherlands, Hong Kong and Singapore. * * * As of June 13, 2008, the company still holds Mikuni Credit Ratings' B Mortage Debt rating, CCC Senior Debt rating, and M-5 Short Term Rating. DAIWA SEC: Joins World Bank to Offer CER-Linked Uridashi Bond ------------------------------------------------------------- Daiwa Securities Group and the World Bank launched the market's first Certified Emission Reduction (CER*) Linked Uridashi Bond. The issuer for the bonds is the World Bank (International Bank for Reconstruction and Development- IBRD, rated Aaa/AAA). The USD denominated bond offers investors 100% principal protection in US dollar. It will have a fixed rate coupon for an initial period, and then a coupon linked to the future performance of CER market prices and the actual versus estimated delivery of CERs that will be generated by a hydropower plant located in the Guizhou Province in China. By purchasing this bond, investors can indirectly participate in the market for greenhouse gas emission reductions. Investors will also be supporting demand for CERs generated from a specific UNFCCC-registered clean energy project. The market for CERs contributes to a reduction of global greenhouse gas emissions and the transition to a low carbon growth economy. In the Japanese market, this issue will be referred to as the "CO2L Bond (**)", or, the "'Cool' Bond". This is the first Uridashi that references the emission reductions generated from a specific project under the framework defined by the Kyoto Protocol. The issue is underwritten by Daiwa Securities SMBC Europe Limited, arranged by Daiwa Securities SMBC Co. Ltd., the wholesale securities firm under Daiwa Securities Group, and distributed by Daiwa Securities to Japanese investors. The World Bank and Daiwa Securities Group are each committed to providing products that respond to investors looking for investment opportunities that contribute to sustainable development. Summary Terms of the Bond Description: CER-Linked US dollar denominated ] Uridashi Bond Amount: US$25,000,000.00 Maturity Date: September 30, 2013 Offering period June 9, 2008 - June 24, 2008 Issue Date: June 26, 2008 Coupon: After an initial 15-month period with a fixed coupon of 3%, the note will pay a variable interest rate The variable rate is linked to the future performance of CER market prices and the actual versus estimated delivery of CERs that will be generated by a hydropower plant located in the Guizhou Province in China. Denomination: US$100,000.00 Settlement: Euroclear Listing / Law: Unlisted / English Law About Daiwa Securities Headquartered in Tokyo, Daiwa Securities Group Inc. -- http://www.daiwa.jp/-- is a Japan-based securities company. The company primarily is engaged in the securities, investment, financing and service businesses. Daiwa Securities Group is comprised of 46 consolidated subsidiaries and five associated companies, which are engaged in the securities, investment trust, information service, real estate leasing, venture capital, financing and other businesses. The company with its subsidiary and associated companies has operations in both domestic and overseas markets, including Japan, the United Kingdom, the United States, the Netherlands, Hong Kong and Singapore. * * * As of June 13, 2008, the company still holds Nice Ratings' BB- Subordinated Unsecured Debt. DELPHI CORP: Trial on US$2.55BB Lawsuit to Begin in April 2009 -------------------------------------------------------------- The Hon. Robert D. Drain of the U.S. Bankruptcy Court for the Southern District of New York approved on June 10, 2008, the trial and discovery schedule for Delphi Corporation's US$2,550,000,000 lawsuit against Appaloosa Management, LP, et al. After negotiations, a mutually acceptable schedule was reached by the parties, which include Delphi Corp., and other defendants, the Official Committee of Equity Security Holders, and the Official Committee of Unsecured Creditors. The parties met on June 3, 2008, and thereafter, to discuss an appropriate schedule for the progress of the adversary proceedings. Edward Friedman, Esq., at Friedman, Kaplan, Seiler and Adelman, in New York, informed the Court the Plan Investors rejected Delphi's contention of its right to seek specific performance of all or portions of the contractual obligations under the Equity Purchase and Commitment Agreement, and Delphi insisted that the actions should proceed in an expedited manner to preserve its claimed right to obtain that remedy. The parties have acknowledged that in setting an expedited schedule, each will be seeking a significant volume of pre-trial documentary and testimonial discovery necessary for the adjudication of the claims, counterclaims, if any, and defenses in the Actions. As a result of the agreed schedule, Delphi is withdrawing its prior request for an expedited discovery and trial. The parties have agreed and stipulated: (1) Each party to the Actions may take discovery on all relevant matters. The Official Committees may participate in the discovery; (2) Discovery and related matters will be governed by this schedule: (i) Each party will serve its initial disclosures required by Rule 26(a)(1) of the Federal Rules of Civil Procedure not later than June 11, 2008; (ii) The Plan Investors will each either answer or file a motion in response to the complaints in the Actions by June 20, 2008, and will coordinate with respect to any motions they file to avoid duplicative papers; (iii) The parties will serve initial sets of document requests not later than June 13, 2008. Each party will serve written document responses and objections on all parties within 21 days of the service of the document requests; (iv) Document production will begin on July 1, 2008, and must be complete by August 12, 2008. The parties are not prohibited from making further request for additional documents beyond the Initial Requests, provided that responses to the requests will not be due before August 12, 2008; (v) Notices of deposition may be served at any time. A party or third-party deposition may commence on or after September 3, 2008. If any party fails to complete its document production by August 12, 2008, the other parties reserve the right to move to modify the commencement date for depositions and subsequent deadlines set forth, and for other appropriate relief; (a) Delphi may take up to 30 depositions of fact witnesses; (b) The Plan Investors may take up to 50 depositions of fact witnesses; and (c) The parties agree to attempt in good faith to schedule all depositions as expeditiously as possible, at the rate of three days of depositions a week; (vi) Delphi and the Plan Investors may as a group, each take the deposition of up to two natural persons on dates to be agreed upon between August 12, 2008, and August 22, 2008; (vii) Each party may serve interrogatories not earlier than June 13, 2008, and not later than 30 days before the fact discovery deadline; (vi) Each party may serve any requests to admit not earlier than June 13, 2008, and not later than 30 days before the fact discovery deadline; (viii) With respect to the Court's order authorizing the Debtors to issue subpoenas directing expedited oral examinations of and production of documents by certain investors dated March 17, 2008, the parties agree that any further discovery taken pursuant to the order under Rule 2004 of the Federal Rules of Bankruptcy Procedure will be subject to the limits, procedures and schedules; (ix) All discovery will be completed by Dec. 31, 2008; (x) Any expert report will be served within 30 days of the fact discovery deadline, and rebuttal expert reports will be filed within 30 days after service of initial reports. Depositions of expert witnesses will be completed within 30 days following the service of the last rebuttal expert report; (xi) Any party may move subject to Local Bankruptcy Rule 7056-1, for summary judgment or partial summary judgment at any time; (xii) Each party reserves the right to move for injunctive relief and each party reserves its rights to oppose or object to any motion; and (xiii) Except as otherwise ordered by the Court, the Actions will be trial ready by 90 days following the fact discovery deadline. Trial to Begin April 2009 As previously reported, Delphi targeted an August 9 trial to its lawsuit seeking specific performance by the Plan Investors on the EPCA, which is needed for the consummation of Delphi's Court-confirmed reorganization plan. Counsel pointed out that Delphi has proposed a longer schedule than was the case in other recent litigations also involving multibillion dollar disputes such as the Solutia Inc. case in this district and the Clear Channel Communications case in the New York State Court. Judge Drain, however, affirmed the Plan Investors' contentions and ruled that the schedule was "too ambitious," despite Delphi counsel's claims that two years of tremendous efforts to achieve a confirmed plan will be wasted if the the adversary proceedings against the Plan Investors are not immediately resolved. Mr. Friedman, special litigation counsel to Delphi, noted that by virtue of waivers previously granted by the Pension Benefit Guaranty Corp. and the Internal Revenue Service, Delphi has a window of opportunity to emerge from Chapter 11 between June 15 and Sept. 30, 2008, without the need to go back to those agencies and obtain new waivers. In that light, Delphi is pursuing an August 1 trial to be able to emerge on September 30 at the very very latest. At the May 29 conference, attorneys already debated on the merits of the lawsuit, as to whether Delphi is currently entitled to specific performance by Plan Investors. Mr. Friedman noted that on April 4, when the EPCA was scheduled for closing, Delphi satisfied the prerequisites for funding by Appaloosa, et al. -- General Motors Corp., the exit lenders, all other parties necessary for the consummation of the plan were ready and able to close, and Delphi was able to raise funds from the rights offering. The Plan Investors, however, argued that Delphi is not entitled to specific performance because they no longer satisfy the terms of the EPCA -- funds received from investors in the rights offering have been returned, the US$6,000,000,000 exit debt financing agreements have been terminated, and it has lost its debt ratings. Mr. Friedman, however, explained that Delphi is currently not in full compliance because of the Plan Investors' wrongful conduct and contractual breaches. He cited, among other things, Delphi made the decision to return funds received from the rights offering in accordance with its fiduciary duties when the Plan Investors' conduct made the closing impossible. He avers that Delphi will be in compliance with all conditions if the Court agrees that the remedy of specific performance is warranted. He said Delphi, among other things, would re- initiate the rights offering, and would redevelop the commitments for the exit financing, which it expects to be completed within 30 to 40 days after judgment. Delphi's theory -- after an order on specific performance, it could restart its rights offering, raise public debt, and try to put the whole plan back together -- is fundamentally flawed and violates New York law, argued counsel for Appaloosa, Christopher Shore, Esq., at White & Case LLP, in New York. Counsel for UBS Securities, LLC, Jeffrey Rosenthal, Esq., at Cleary Gottlieb Steen & Hamilton LLP, in New York, added, "[Delphi] hasn't cited a single case that says that being ready, willing, and able in the past allows them to get specific performance in the future." "Granted the debtors have not cited cases on this point, but it seems to me that if a contract party's breach is preventing the debtors from being ready, willing, and able they don't necessarily have to do more than show that they could be able to perform if that impediment, that breach were resolved," Judge Drain said. But he admitted the Debtors have not provided any evidence showing that the exit loan lenders would be able to advance in the future. Mr. Friedman acknowledged at the conference that in an effort to mitigate damages, Delphi is pursuing alternative steps to try to develop a modified plan, which will require re-solicitation and will be materially adverse to the stakeholders. "The goal is to emerge from Chapter 11 by the end of the third quarter if that's humanly possible either by means of consummation of the plan that has already been confirmed, or if the Court rejects Delphi's claims, then Delphi and the stakeholders will be in the unfortunate position of pursuing a modified plan," Mr. Friedman said. About Delphi Corp. Based in Troy, Michigan, Delphi Corporation (PINKSHEETS: DPHIQ) -- http://www.delphi.com/-- is the single supplier of vehicle electronics, transportation components, integrated systems and modules, and other electronic technology. The company's technology and products are present in more than 75 million vehicles on the road worldwide. Delphi has regional headquarters in Japan, Brazil and France. The company filed for Chapter 11 protection on Oct. 8, 2005 (Bankr. S.D.N.Y. Lead Case No. 05-44481). John Wm. Butler Jr., Esq., John K. Lyons, Esq., and Ron E. Meisler, Esq., at Skadden, Arps, Slate, Meagher & Flom LLP, represent the Debtors in their restructuring efforts. Robert J. Rosenberg, Esq., Mitchell A. Seider, Esq., and Mark A. Broude, Esq., at Latham & Watkins LLP, represents the Official Committee of Unsecured Creditors. As of March 31, 2007, the Debtors' balance sheet showed US$11,446,000,000 in total assets and US$23,851,000,000 in total debts. The Court approved Delphi's First Amended Joint Disclosure Statement and related solicitation procedures for the solicitation of votes on the First Amended Plan on Dec. 20, 2007. The Court confirmed the Debtors' First Amended Plan on Jan. 25, 2008. (Delphi Bankruptcy News, Issue No. 133; Bankruptcy Creditors' Service Inc., http://bankrupt.com/newsstand/or 215/945-7000) DELPHI CORP: Gets New Bid for Power Biz; 54 Pacts Part of Sale -------------------------------------------------------------- Delphi Corp. and certain of its subsidiaries and affiliates obtained a competing bid for their power products business. Delphi, however, did not identify the bidder in documents submitted to the U.S. Bankruptcy Court for the Southern District of New York. In connection with their continuous evaluation of their product portfolio, the Debtors have determined that the power products business no longer fit within their future product portfolio. Following extensive marketing efforts, on May 27, 2008, Delphi and certain non-debtor affiliates entered into a master sale and purchase agreement with Strattec Security Corporation, Witte- Velbert GmbH & Co. Kg, Vehicle Access Systems Technology LLC, and certain of their affiliates for the sale of certain assets related to the Power Products Business. Under the Agreement, the Strattec Buyers would purchase the Power Products Business for US$7,800,000, subject to certain adjustments. Because the Purchase Price does not exceed US$10,000,000, the Debtors did not file with the Court a motion for approval of the asset sale, and were allowed, pursuant to the Court-approved procedures for selling de minimis assets, to sell those types of assets, after notice with the Court and parties interested in those assets, among other parties. The Debtors served notice of the Power Products Sale on May 27, which notice provides that the sale of would be consummated with the Strattec Buyers unless written objections, bids, or requests for additional time were received by the Debtors by June 3, 2008. The Debtors received the competing bid from the unidentified bidder on June 3. The Debtors are currently in the process of evaluating the bid, says John Wm. Butler, Jr., Esq., at Skadden, Arps, Slate, Meagher & Flom LLP, in Chicago, Illinois. He adds that if the Debtors, in their sole discretion, determine that this bid, or subsequent bid, constitutes the highest value bid, then Delphi will seek relief from the Court to assume and assign contracts related to the Power Products Business to the competing bidder, instead of the Strattec Buyers. Assumption and Assignment of U.S. Contracts Under Section 6.3 of the Strattec Agreement, as soon as practicable after the Agreement was signed, Delphi was obligated to seek the Court's authority to assume and assign to the Strattec Buyers certain contracts identified by the parties. Accordingly, by this motion, the Debtors ask the Court to enter an order authorizing and approving the assumption and assignment of 54 executory contracts in connection with the sale of their Power Products Business to the Strattec Buyers, or the competing bidder. Mr. Butler notes the Assumed U.S. Contracts are important to the operation of the Power Products Business, and the Strattec Buyers would not purchase the Power Products Business unless the Assumed U.S. Contracts are transferred to them. Thus, the Debtors' assumption of the Assumed U.S. Contracts and assignment of the contracts to the Strattec Buyers is necessary to enable the Sellers to consummate the sale of the Power Products Business to the Strattec Buyers. The approximate cost to cure the Assumed U.S. Contracts related to the Power Products Business is US$347,010. Pursuant to the order establishing procedures for solicitation of votes and support on Delphi's Joint Plan of Reorganization, each non- Debtor party to the 54 Assumed U.S. Contracts that are material supply agreements already has received a cure notice. The Plan Cure Notice stated, with respect to each Assumed U.S. Contract, the cure amount that the Debtors believe is necessary to assume the contract pursuant to Section 365 of the Bankruptcy Code. The Plan Cure Notice provided parties to these Assumed U.S. Contracts with an opportunity to object to the Cure Amount, and notified each party that such party's contract was to be assumed under the Plan. Of the 54 parties to the Assumed U.S. Contracts for which the Debtors served a Plan Cure Notice, only four parties objected to the Debtors' proposed Cure Amount. Unless the Selling Debtor Entities and the non-Debtor party to an Assumed U.S. Contract agree otherwise to the Cure Amount or the Cure Amount is otherwise resolved in accordance with Solicitation Procedures Order or other order of the Court, the Cure listed on the Plan Cure Notices control the amounts required to cure all defaults under the Assumed U.S. Contracts that are material supply contracts. The Assumed U.S. Contracts would be assumed at the earlier of the closing of the sale of the Power Products Business or the Debtors' emergence date from the Chapter 11 cases. Nonetheless, prior to the Closing Date or the Emergence Date, the Selling Debtor Entities may revise their decision with respect to the assumption and assignment of any Assumed U.S. Contract and provide notice amending the information provided, Mr. Butler notes. The Assumed U.S. Contracts are: Contract To Be Assumed & Assigned Non-Debtor Contract Party ------------------ ------------------------- D0550076639 AMTECH INDUSTRIES LLC (JV Amtech & Intec) D0550064001 AMTEK MEXICO SA DE CV EFT D0550022116 AUTOLIV ASP INC D0550022243 AUTOLIV ASP INC EFT D0550076293 AVON AUTOMOTIVE INC D0550022971 CAMCAR DIV OF TEXTRON INC D0550037665 CAPSTAN ATLANTIC D0550059940 CAPSTAN ATLANTIC D0550022122 CASCADE DIE CASTING D0550022830 CHERRY ELECTRICAL PRODUCTS D0550052192 COLLINS & AIKMAN PRODS CO D0550074455 FOAMEX D0550074456 FOAMEX D0550074457 FOAMEX D0550074563 FOAMEX D0550074564 FOAMEX D0550079225 FOAMEX D0550080330 FUJIKURA AMERICA INC PO#OR3V0002 between General GENERAL MOTORS CORP. Motors Corporation and Delphi S&I - Mount Sterling; Dated 8/25/2005; Amendment #002; Valid 3/28/2004 - 8/1/2008; Part #10376548. D0550052145 GKN SINTER METALS EFT D0550076310 HANGZHOU TRANSAILING EFT D0550022536 HYLAND MACHINE CO EFT D0550022842 IN2CONNECT INC D0550023223 IN2CONNECT INC D0550024506 INTASCO USA INC D0550087191 INT'L RESISTIVE CO D0550022592 INTIER AUTOMOTIVE INTERIORS Grant of Security Int. in Patent JP MORGAN CHASE BANK Rights between Delphi Technologies, Inc and JPMorgan Chase Bank, N.A. dated 06-14-05 D0550035472 KOSTAL MEXICANA SA DE CV D0550026051 L & W ENGINEERING CO INC D0550061252 L & W ENGINEERING CO INC D0550024156 LDI INCORPORATED D0550025201 LDI INCORPORATED D0550022596 MAC ARTHUR CORP D0550079811 MAC ARTHUR CORP D0550023568 MULTEX FLEXIBLE CIRCUITS D0550056439 MULTIBASE INC D0550076391 PRECISION RESOURCE CONNECTICUT D0550057079 RED SPOT PAINT & VARNISH EFT CO INC D0550057092 RED SPOT PAINT & VARNISH D0550078829 ROBIN INDUSTRIES INC D0550056677 SOLVAY ENGINEERED POLYMERS EFT D0550077738 SPARTECH POLYCOM D0550056314 TEKNOR APEX CO D0550056383 TEKNOR APEX CO D0550056423 TEKNOR APEX CO EFT D0550074858 TESSY PLASTICS CORP D0550074860 TESSY PLASTICS CORP Letter of Intent bet. Tjing Ling TJING LING RESEARCH AND Research & Development Center Co., DEVELOPMENT CENTER CO. Ltd. and Delphi Thermal & Interior LTD Division of Delphi Autom. Systems LLC dated 5/18/2005. D0550053417 TRW VEHICLE SAFETY SYSTS D0550070364 TRW VEHICLE SAFETY SYSTS D0550023217 TYCO ELECTRONICS CORP D0550074552 WOORY INDUSTRIAL CO LTD D0550074553 WOORY INDUSTRIAL CO LTD D0550074554 WOORY INDUSTRIAL CO LTD D0550080042 WOORY INDUSTRIAL CO LTD D0550074776 ZOHAR JACOBS ACQUISITION LLC About Delphi Corp. Based in Troy, Michigan, Delphi Corporation (PINKSHEETS: DPHIQ) -- http://www.delphi.com/-- is the single supplier of vehicle electronics, transportation components, integrated systems and modules, and other electronic technology. The company's technology and products are present in more than 75 million vehicles on the road worldwide. Delphi has regional headquarters in Japan, Brazil and France. The company filed for Chapter 11 protection on Oct. 8, 2005 (Bankr. S.D.N.Y. Lead Case No. 05-44481). John Wm. Butler Jr., Esq., John K. Lyons, Esq., and Ron E. Meisler, Esq., at Skadden, Arps, Slate, Meagher & Flom LLP, represent the Debtors in their restructuring efforts. Robert J. Rosenberg, Esq., Mitchell A. Seider, Esq., and Mark A. Broude, Esq., at Latham & Watkins LLP, represents the Official Committee of Unsecured Creditors. As of March 31, 2007, the Debtors' balance sheet showed US$11,446,000,000 in total assets and US$23,851,000,000 in total debts. The Court approved Delphi's First Amended Joint Disclosure Statement and related solicitation procedures for the solicitation of votes on the First Amended Plan on Dec. 20, 2007. The Court confirmed the Debtors' First Amended Plan on Jan. 25, 2008. (Delphi Bankruptcy News, Issue No. 132; Bankruptcy Creditors' Service Inc., http://bankrupt.com/newsstand/or 215/945-7000) DELPHI CORP: Amends US$4.1BB Facility to Raise Available Amount --------------------------------------------------------------- The Honorable Robert Drain of the U.S. Bankruptcy Court for the Southern District of New York has entered a written order approving Delphi Corp.'s US$4,350,000,000 DIP facility. Due to the oversubscription during the syndication of the loans, Delphi sought to amend its US$4,100,000,000 loan package by: (i) increasing the amount of availability under the Tranche A revolving credit facility to US$1,100,000,000 and decreasing the amount of the Tranche B term loan to US$500,000,000; and (ii) increasing the principal amount of the Tranche C Loan by approximately US$254,000,000. The DIP Facility matures Dec. 31, 2008. According to the Amended and Restated Revolving Credit, Term Loan and Guaranty Agreement dated May 9, 2008, these financial institutions took part in arranging the loan: -- JPMORGAN CHASE BANK, N.A., as Administrative Agent, -- CITICORP USA, INC., as Syndication Agent, -- BANK OF AMERICA, N.A., GENERAL ELECTRIC CAPITAL CORPORATION and WACHOVIA CAPITAL FINANCE CORPORATION as Co-Documentation Agents for Tranche A and Tranche B, -- J.P. MORGAN SECURITIES INC., CITIGROUP GLOBAL MARKETS INC. and GE CAPITAL MARKETS, INC. as Joint Lead Arrangers for Tranche A and Tranche B, -- JPMORGAN SECURITIES INC., CITIGROUP GLOBAL MARKETS INC., GE CAPITAL MARKETS, INC. and BANK OF AMERICA, N.A., as Joint Bookrunners for Tranche A and Tranche B, -- DEUTSCHE BANK SECURITIES INC., as Documentation Agent for Tranche C, -- J.P. MORGAN SECURITIES INC., CITIGROUP GLOBAL MARKETS INC. and DEUTSCHE BANK SECURITIES INC. as Joint Lead Arrangers for Tranche C, and -- J.P. MORGAN SECURITIES INC., CITIGROUP GLOBAL MARKETS INC. and DEUTSCHE BANK SECURITIES INC. as Joint Bookrunners for Tranche C. The Amended Credit Agreement also provides for these changes: -- Lenders will fund the US$254,179,760 addition Tranche C Loan on June 9. -- The Debtors will pay for the additional Tranche C loan a commitment fee computed (on the basis of the actual number of days elapsed over a year of 360 days) at the rate of 2.625% per annum on the additional loan. -- Conditions precedent to the additional Tranche C Loan, include, JPMorgan, as administrative agent, will have received an amendment fee for the account of each Tranche C Lender in an amount equal to 200 basis points of the additional Tranche C commitments of each lender. -- Any Lender may assign to one or more special purpose funding vehicles all or any portion of its funded Tranche A Loans and may grant any SPV the option to fund all or any part of any Tranche A Loans that the Lender would otherwise be obligated to fund pursuant to the Credit Agreement. A full-text copy of the Amended Credit Agreement is available for free at http://bankrupt.com/misc/Delphi_May2008_DIP_Accord.pdf About Delphi Corp. Based in Troy, Michigan, Delphi Corporation (PINKSHEETS: DPHIQ) -- http://www.delphi.com/-- is the single supplier of vehicle electronics, transportation components, integrated systems and modules, and other electronic technology. The company's technology and products are present in more than 75 million vehicles on the road worldwide. Delphi has regional headquarters in Japan, Brazil and France. The company filed for Chapter 11 protection on Oct. 8, 2005 (Bankr. S.D.N.Y. Lead Case No. 05-44481). John Wm. Butler Jr., Esq., John K. Lyons, Esq., and Ron E. Meisler, Esq., at Skadden, Arps, Slate, Meagher & Flom LLP, represent the Debtors in their restructuring efforts. Robert J. Rosenberg, Esq., Mitchell A. Seider, Esq., and Mark A. Broude, Esq., at Latham & Watkins LLP, represents the Official Committee of Unsecured Creditors. As of March 31, 2007, the Debtors' balance sheet showed US$11,446,000,000 in total assets and US$23,851,000,000 in total debts. The Court approved Delphi's First Amended Joint Disclosure Statement and related solicitation procedures for the solicitation of votes on the First Amended Plan on Dec. 20, 2007. The Court confirmed the Debtors' First Amended Plan on Jan. 25, 2008. (Delphi Bankruptcy News, Issue No. 132; Bankruptcy Creditors' Service Inc., http://bankrupt.com/newsstand/or 215/945-7000) LEHMAN BROTHERS: Names Mr. McDade, President; Mr. Lowitt CFO ------------------------------------------------------------ Lehman Brothers Holdings Inc. disclosed that Herbert (Bart) H. McDade III will succeed Joseph Gregory as president and chief operating officer of the Firm, and Ian Lowitt will succeed Erin Callan as the firm's chief financial officer. Mr. Lowitt will join the firm's Executive Committee. These management changes are effective immediately. "[Mr. McDade], who has been my partner for 25 years and has proven himself to be the firm's best operator, is the right individual to take on this responsibility and lead the Firm to the next level. His experience in both Fixed Income and Equities Capital Markets will benefit the firm, especially during these challenging times," Richard S. Fuld, Jr., Lehman Brothers’ chairman and chief executive officer, said. "[Mr. Gregory] has been my partner for over 30 years and has been a driving force behind who we are today and what we have achieved as a Firm. This has been one of the most difficult decisions either of us has ever had to make," Mr. Fuld continued. Ms. Callan, who has served as the firm's chief financial officer since December 2007, will be rejoining the Investment Banking Division in a senior capacity. Prior to his appointment as president and chief operating officer, Mr. McDade, 48, was the global head of the firm's Equities Division, a position he has held since June 2005. He served as global head of the Fixed Income Division from 2002 to 2005 and as co-head of the Fixed Income Division from 2000 to 2002. He is a member of Lehman Brothers' Executive Committee. Mr. McDade joined the Firm in 1983 in Corporate Bond Trading. He was named head of the Firm's Corporate Bond Department in 1991. In 1998, he was named global head of Debt Capital Markets in the Investment Banking Division. Mr. McDade received a B.A. from Duke University and an M.B.A. from the University of Michigan. Since October 2006, Mr. Lowitt, 44, has been the firm's Co-CAO. In this role, he was responsible for the global oversight of Corporate Real Estate, Expense and Sourcing Services, Finance, Operations, Productivity and Process Improvement, Risk Management, and Technology. Prior to his Co-CAO position, Mr. Lowitt was the CAO of Lehman Brothers Europe. He has also served as global treasurer and global head of Tax. Before becoming global treasurer, he was the firm's head of Strategy and Corporate Development. Mr. Lowitt joined Lehman Brothers in 1994 from McKinsey & Company. Mr. Lowitt has a B.Sc. and an M.Sc. from the University of the Witwatersrand. He also has a B.A. and an M.Sc. from the University of Oxford, which he attended as a Rhodes Scholar. Lehman Brothers Holdings Inc. -- http://www.lehman.com/-- an innovator in global finance, serves the financial needs of corporations, governments and municipalities, institutional clients, and high net worth individuals worldwide. Founded in 1850, Lehman Brothers maintains leadership positions in equity and fixed income sales, trading and research, investment banking, private investment management, asset management and private equity. The firm is headquartered in New York, with regional headquarters in London and Tokyo, and operates in a network of offices around the world. As reported by the Troubled Company Reporter on June 10, Lehman Brothers Holdings Inc. disclosed that continued challenging market conditions will result in an expected net loss of approximately US$2.8 billion for the second quarter ended May 31, 2008, compared to net income of US$489.0 million for the first quarter of fiscal 2008 and US$1.3 billion for the second quarter of fiscal 2007. According to the Wall Street Journal, this expected net loss far exceeded the US$300 million net loss predicted by analysts. =============== M A L A Y S I A =============== ARK RESOURCES: Kumpulan Wang Files Summons Against Subsidiary ------------------------------------------------------------- Kumpulan Wang Simpanan Pekerja has filed summons before the Magistrate’s Court, Kuala Lumpur against Ark Construction Sdn. Bhd., a wholly owned subsidiary of Ark Resources Berhad, for outstanding payments amounting to MYR112,830. Ark Resources said it will take the necessary steps to reconcile the claim amount and resolve the matter. The interim hearing date for the legal suit has been scheduled for June 23, 2008. In this regard, the company will appoint a solicitor to represent Ark Construction. About ARK Resources Berhad ARK Resources Berhad, formerly known as Lankhorst Berhad -- http://www.lankhorst.com.my/-- is an investment holding company with headquarters in Shah Alam, Malaysia. Through its subsidiaries, the Company provides civil and geotechnical engineering * * * On April 24, 2006, Lankhorst was classified as an affected listed issuer under the Bourse's Practice Note 17/2005. It was, therefore, required to submit and implement a plan to regularize its financial condition category. CNLT (FAR EAST): Securities to be Delisted on June 20 ----------------------------------------------------- CNLT (Far East) Berhad has received a Notice of Suspension from Bursa Malaysia Securities Berhad informing that the trading of the company's securities of CNLT will be suspended on June 20, 2008, pursuant to paragraphs 8.14C and 16.02 of the Listing Requirements of Bursa Securities. The Notice of Suspension was given because the company has failed to comply with the extended timeframe granted by Bursa Securities to submit its regularization plans to the Securities Commission and other relevant authorities for approval by June 10, 2008, and no further extension of time was granted by Bursa Securities. CNLT also disclosed that: (a) it has been accorded five market days by Bursa Securities to make written representations to Bursa Securities as to why its securities should not be removed from the Official List of Bursa Securities; (b) in the event Bursa Securities decides to de-list the company, the securities of CNLT will be removed from the Official List of Bursa Securities upon the expiry of seven market days from the date of notification of the decision to de-list the company or upon such other date as may be specified by Bursa Securities unless an appeal is made within the prescribed timeframe; and (c) in the event Bursa Securities decides not to de-list the company, other appropriate action/penalty(ies) may be imposed pursuant to paragraph 16.17 of the Listing Requirements of Bursa Securities. About CNLT (Far East) Berhad CNLT (Far East) Berhad is engaged in the manufacture and sale of yarn. Its subsidiary includes Indosen S.A., which is engaged in the manufacture and sale of textiles and apparel. The company operates in Malaysia and Senegal. * * * The company was admitted into the Amended PN17 listing criteria of the Bursa Malaysia Securities Bhd as it has triggered Paragraph 2.1(e) of the bourse's listing requirements: (i) Based on the unaudited quarterly results of CNLT for the first quarter ended March 31, 2007, as announced to Bursa Securities, the shareholders' equity on a consolidated basis is less than 50% of the issued and paid up capital of the company ; and (ii) The auditors of CNLT have expressed a modified opinion with emphasis on the Company's going concern in its latest audited accounts for the financial year ended December 31, 2005. LIQUA HEALTH: Appoints Leong & Co. to Assist Audit Committee ------------------------------------------------------------ Liqua Health Corporation Berhad has appointed Messrs. Megat Najmuddin Leong & Co, Advocates & Solicitors, to undertake an extended scope of work in relation to the investigation of the transaction disclosed in the company’s quarterly announcement for the financial period ended December 31, 2007, and to assist the Audit Committee to identify and advise on the options and legal recourse available to the company. Liqua Health Corporation Berhad is principally engaged in the businesses of investment holding and provision of management services. Its core business is direct selling of health food and related products, through its subsidiaries. Liqua Health and Liqua Spirulina are the two core health products of the company. The companyï¿½s subsidiaries include Liqua Health Marketing (M) Sdn. Bhd., which is engaged in direct selling of health food and general merchandise; Packcon (Asia) Sdn. Bhd, which is engaged in marketing packaging materials and general trading; Liqua Biotech Sdn. Bhd formerly known as Liqua Heath Dairy Marketing & Supplies Sdn. Bhd.), which is engaged in research and development; Quantum Healing Centre Sdn. Bhd (dormant), which is engaged in the trading and marketing of health food and general merchandise. In February 2007, Liqua Health Marketing acquired the remaining 51% interest in Liqua Health Chain. * * * The company was classified as an Affected Listed Issuer as it has triggered Paragraph 2.1 of the Amended PN17 as the consolidated shareholders' fund has dropped to approximately MYR5.9 million which is below the 25% of the paid-up share capital which stands at MYR144.3 million and the minimum issued and paid up capital of MYR60 million required under paragraph 8.16A(1) of the Listing Requirements. SATANG: Bourse Rejects Appeal Extending Annual Report Filing ------------------------------------------------------------ The Bursa Malaysia Securities Berhad, through its letter dated June 10, 2008, rejected Satang Holdings Berhad's appeal of application for an extension of time from April 1 until June 5, 2008, to submit the 2007 Annual Report. On February 19, 2008, the company appointed Messrs. Anuarul Azizan Chew & Co. as an independent auditor to undertake the audit investigations relating to the company's financial results. AAC had commenced work on February 21, 2008, and was completed on April 21, 2008. The company has submitted its outstanding Annual Audited Accounts for the financial year ended September 30, 2007 on April 30, 2008, which was due to be submitted to Bursa Securities for public release on or before January 31, 2008. As a result of the delay, the company is not able to hold the Annual General Meeting for the calendar year 2008 by March 31, 2008. An application for extension of time till June 30, 2008, to hold the AGM has been sought from the Companies Commission of Malaysia on February 29, 2008, however CCM had vide their letter dated March 27, 2008, rejected the application. The company had sent an appeal for the extension of time to hold the AGM for the calendar year 2008 on April 15, 2008, and CCM had via their letter dated April 22, 2008, rejected the appeal. Satang also disclosed that it submitted its outstanding Annual Report for the financial year ended September 30, 2007 on June 5, 2008, which was due to be submitted to Bursa Securities for public release on or before March 31, 2008. Satang Holdings Berhad, formerly Satang Jaya Holdings Berhad, is engaged in the maintenance, repair and overhaul of aviation and safety equipment and operations and principally in Malaysia. Through its subsidiaries, the company is also engaged in the supply and distribution of environmental products, providing training and seminar in respect of environmental management system and other related services; providing consultancy and solution services and implementing of high-technology and surveillance security systems and its related services; supplying and servicing of pipe cleaning products and equipment, and supplying and maintenance of marine safety and survival equipment and accessories. Its subsidiaries include Satang Environmental Sdn. Bhd., Satang Cylinder Services Sdn. Bhd., SAR Services (M) Sdn. Bhd., Satang Hi-Tech Security Sdn. Bhd., Satsang-ICS global Sdn Bhd. and Port Marine Safety Services Sdn. Bhd. * * * As reported by the Troubled Company Reporter-Asia Pacific on May 13, 2008, the company triggered Paragraph 2.1 of the Amended Practice Note 17/2005 as its independent auditor, Anuarul Azizan Chew & Co., has concluded in its Audit Investigative Reports that out of the MYR39.27 million alleged overstated revenue of the company, MYR35.43 million represents invalid sales which should not be recorded in the books for the financial year ended September 30, 2007. ==================== N E W Z E A L A N D ==================== ACTIVE CIVIL: Commences Liquidation Proceedings ----------------------------------------------- The High Court at Hamilton held a hearing on June 3, 2008, to consider an application putting Active Civil Construction Limited into liquidation. The application was filed on April 28, 2008, by Hirepool Limited. The plaintiff can be reached at: Credit Consultants Debt Services NZ Limited Level 3, 3-9 Church Street (PO Box 213 or DX SX 10069) Wellington Telephone: (04) 470 5972 DIANNE S. LESTER is the plaintiff’s solicitor. CGS LIMITED: Commences Liquidation Proceedings ---------------------------------------------- The High Court at Hamilton convened a hearing on June 3, 2008, to consider an application putting C.G.S Limited into liquidation. The application was filed on April 29, 2008, by Kiwi Property Holdings Limited. The plaintiff can be reached through: Simpson Grierson, Solicitors Level 24, HSBC Tower 195 Lambton Quay, Wellington J. SHACKLETON is the plaintiff’s solicitor. KEMS LIMITED: Court to Hold Liquidation Hearing Today ----------------------------------------------------- The High Court at Christchurch will hold a hearing at 10:00 a.m. today, June 16, 2008, to consider an application putting Kems Limited into liquidation. The application was filed on April 21, 2008, by the Commissioner of Inland Revenue. The plaintiff can be reached at: Inland Revenue Department Legal and Technical Services 1 Bryce Street (PO Box 432) Hamilton Telephone: (07) 959 0373 Facsimile: (07) 959 7614 Kay S. Morgan is the plaintiff’s solicitor. LAKEVIEW INT'L: Court to Hold Liquidation Hearing Today ------------------------------------------------------- The High Court at Rotorua will hold a hearing at 10:45 a.m. today, June 16, 2008, to consider an application putting Lakeview International Golf Resort Limited into liquidation. The application was filed on April 21, 2008, by the Commissioner of Inland Revenue. The plaintiff can be reached at: Inland Revenue Department Legal and Technical Services 1 Bryce Street (PO Box 432) Hamilton Telephone: (07) 959 0416 Facsimile: (07) 959 7614 Rachel L. Scott is the plaintiff’s solicitor. NATIONAL GOLF: Court to Hold Liquidation Hearing Today ------------------------------------------------------ The High Court at Rotorua will hold a hearing at 10:45 a.m. today, June 16, 2008, to consider an application putting The National Golf Club Limited fka Mamaku Golf Club Limited into liquidation. The application was filed on April 21, 2008, by the Commissioner of Inland Revenue. The plaintiff can be reached at: Inland Revenue Department Legal and Technical Services 1 Bryce Street (PO Box 432) Hamilton Telephone: (07) 959 0416 Facsimile: (07) 959 7614 Rachel L. Scott is the plaintiff’s solicitor. NO. 1 LIVE LOBSTER: Commences Liquidation Proceedings ----------------------------------------------------- The High Court at Gisborne held a hearing on June 10, 2008, to consider an application putting No. 1 Live Lobster Company Limited into liquidation. The application was filed on April 7, 2008, by the Commissioner of Inland Revenue. The plaintiff can be reached at: Inland Revenue Department Legal and Technical Services 1 Bryce Street (PO Box 432) Hamilton Telephone: (07) 959 0373 Facsimile: (07) 959 7614 Kay S. Morgan is the plaintiff’s solicitor. *NEW ZEALAND: Retail Sales Up 1% in April, Trend Flat ----------------------------------------------------- Seasonally adjusted total retail sales rose 1.0 percent (NZ$52 million) in April 2008. This followed a 1.2 percent fall in March 2008. Core retail sales, which excludes the vehicle- related industries, fell 0.5 percent (NZ$19 million), Statistics New Zealand said. The total retail sales trend, which has been rising since June 1998 at an average rate of 0.5 percent per month, has flattened to an average of 0.1 percent between February 2008 and April 2008. Fourteen of the 24 retail industries recorded higher sales in April 2008 than in March 2008. Motor vehicle retailing rose 8.1 percent ($51 million). This rise was partly offset by a fall of 3.6 percent ($43 million) in supermarket and grocery stores. The total retail sales trend for the North Island has been decreasing an average of 0.2 percent per month since February 2008. The trend for the South Island has started to flatten. Easter has the potential to affect the seasonally adjusted retail trade figures when it falls in March rather than April, as it has in 2008. An analysis determined that the effect of Easter was minimal in relation to the normal level of variability in the Retail Trade series. Accordingly, no explicit adjustment for Easter has been made in the Retail Trade series. =============== P A K I S T A N =============== PAKISTAN: Accounts Deficit Prompts Moody's Ratings Downgrade ------------------------------------------------------------ According to a new report from Moody's Investors Service, sharply widening deficits in Pakistan's fiscal and current accounts are reversing a multi-year trend of fiscal consolidation and debt reduction. Concurrently, renewed political discord is unlikely to provide the stable and orthodox policy framework necessary for quickly limiting these macroeconomic imbalances. The report also highlights growing reliance by the government on short-term central bank financing of budgetary operations which has heightened inflationary pressures. "These have resulted in a deterioration of important credit- metrics, which led to the downgrade of Pakistan's sovereign bond ratings from B1 to B2 in May 2008," said Aninda Mitra, a Moody's VP / Senior Analyst and author of the report. "Despite the strong investment-driven economic growth of recent years, Pakistan's economic base is narrow and somewhat prone to macroeconomic instability" said Mitra. "These vulnerabilities are compounded by the government's stagnant tax base that weighs on the country's low national savings and hinders domestic financing of the sizable budget deficits," he added. Other serious problems highlighted by the report as reasons for the sovereign bond rating downgrade to B2 are Pakistan's weak governance, embedded political tensions and weaknesses in the rule of law. "These factors have weakened the scope for strengthening institutions and sustaining policy adjustments, while also heightening the risks of sudden shifts in private investor confidence," notes Mitra. Mr. Mitra drew attention to Pakistan's investment friendly policy regime and large inflows of foreign direct investment as well as remittances from overseas Pakistani workers. However, he also noted these inflows were not strong enough to offset weak export performance or adequately finance the widening trend in the current account deficit. The report also notes that the stable outlook on Pakistan's B2- rated government bonds reflects the structure of government debt which largely consists of long-tenor credits from official bilateral and multilateral creditors, which adds stability and reduces rollover risks. Additionally, the prospect of external assistance from bilateral donors and multilateral institutions is expected to provide some degree of balance of payment and budget support. Further sustained macroeconomic adjustments, however, are still needed to shore up credit fundamentals and ease pressure on the State Bank of Pakistan (SBP), the country's central bank, the report notes. ===================== P H I L I P P I N E S ===================== BENPRES HOLDINGS: Wants to Sell 1/3 Stake in Tollways Corp. ----------------------------------------------------------- BENPRES Holdings Corp. wants to sell its 1/3 stake in Manila North Tollways Corp. to raise US$100 million that will be used to service debt, Business World reports. According to the report, the company has tapped Macquarie Securities as underwriter for the undertaking. "We have two options: a private placement or an offering wherein we will be the selling shareholder. But given the status of the market, it is hard to give you the exact timetable," Chief Operating Officer Angel S. Ong was quoted by the Business World as saying. Mr. Ong also told the news agency that the company is trying to bring down debts to a half in a year and since August 2007, have submitted a proposal with creditors on how to pay them over a period of over 12 years. Business World notes that 67% of Manila North Tollways's stake is owned by First Philippine Infrastructure Development Corp., which in turn is 49% owned by Benpres with First Philippine Holdings Corp. owning the remaining 51% stake. About Benpres Headquartered in Pasig City Philippines, Benpres Holdings Corporation -- http://www.benpres-holdings.com/-- is a 56.22%- owned subsidiary of Lopez, Inc. Both entities were incorporated in the Philippines. Benpres Holdings and its subsidiaries are mainly involved in investment holdings, broadcasting and entertainment, and water distribution. The company's associates are involved in telecommunications, power generation and distribution, cable television, real estate development and infrastructure. Starting in 2002, Benpres Holdings defaulted on its principal and interest payments on its long-term direct obligations and guarantees and commitments. As proposed in the company's Balance Sheet Management Plan, all of Benpres' liabilities were computed as of May 31, 2002. Also as proposed in the BSMP, the company would make good faith semi-annual payments on its direct and contingent obligations. The first payment was made on December 2, 2002, and succeeding payments were made in June and December 2003, June and November 2004, and May and November 2005. * * * Sycip Gorres Velayo & Co. commented on the company's financial results for the year ended December 31, 2007, that the ability of the company to continue operating as a going concern depends on the success of its Balance Sheet Management Plan. This condition indicates the existence of a material uncertainty, which may cast significant doubt about the company's ability to continue operating as a going concern. Manila Electric Company, an associate of First Philippine Holdings Corporation, has pending real property tax assessments and cases. The Toll Regulatory Board directed Manila North Tollways Corporation MNTC (a subsidiary of First Philippine Infrastructure, Inc.(an associate of the company accounted for under the equity method) to defer the imposition of Value Added Tax on toll fees. Thus, MNTC deferred and continues to defer the imposition of VAT from the motoring public. MNTC, together with other toll road operators, is in discussion with the concerned government agencies on the issue of VAT. The ultimate outcome of these matters cannot presently be determined, and no provision for any additional liability that may result from additional cases in the event of an adverse decision on these cases has been made in the financial statements of MERALCO. As of December 31, 2007, the company recorded total assets of PHP48.33 billion while total stockholders' equity at year-end stood at PHP16.13 billion. MIC HOLDINGS: Resets Annual Stockholders' Meeting to Nov. 20 ------------------------------------------------------------ MIC Holdings Corporation has reset its annual stockholders' meeting to November 20, 2008, due to lack of certainty of quorum. About MIC Holdings MIC Holdings Corporation (MET) was originally incorporated on March 20, 1933 as Metropolitan Insurance Company to engage in the insurance business, which included non-life insurance business covering risks such as fire, fidelity and surety, motor car, marine and casualty, and personal accident. On February 15, 1999, the Board of MET approved the change in its corporate name to the present one and the change in primary purpose from insurance to that of a holding company. Since the change of the purpose of MET to a holding company, the main thrust of MET had been to look for potential investments that would make MET adapt to the changing business environment. Thus, MET focused on looking for possible investments in the field of telecommunications, as well as internet-related businesses. In February 2001, MET purchased the Uniform Resource Locator domain www.mapcentral.ph or MapCentral from Cybersoft Integrated Geoinformatics, Inc. Since then, MET was able to leverage on its Philippine map database of roads, political boundaries up to the barangay level, establishments and landmarks from MapCentral to forge tie-ups with applications developers that needed geographic data to complete their location-based products and services. These products and services with MapCentral tie-ups consisted of Find Precinct Online, Precinct Locator, Person Finder, Establishment Finder, Safe Taxi and Wow Philippines Finder. MET was also engaged by Asian Navigation and Tracking System (ANTS) to provide for continued access to MET's geographic service for the service that ANTS provides to its clients that would require the use of geographic reference data outside Metro Manila. * * * KPMG Laya Mananghaya & Co., the company's independent auditors, has raised substantial doubt on the company's ability to continue as a going concern noting the company's losses of PHP2.3 million and PHP0.5 million as of December 31, 2007 and 2006, respectively, resulting in a capital deficiency. The company has been incurring three consecutive net losses for the years ended December 31: PHP5.82 million in 2007; PHP9.19 million in 2006 and PHP7.41 million in 2005. ********* 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. Marites M. Claro, Rousel Elaine C. Tumanda, Valerie C. Udtuhan, Marie Therese V. Profetana, Frauline S. Abangan, and Peter A. Chapman, Editors. Copyright 2008. All rights reserved. ISSN: 1520-9482. This material is copyrighted and any commercial use, resale or publication in any form (including e-mail forwarding, electronic re-mailing and photocopying) is strictly prohibited without prior written permission of the publishers. Information contained herein is obtained from sources believed to be reliable, but is not guaranteed. TCR-AP subscription rate is US$625 for 6 months delivered via e- mail. Additional e-mail subscriptions for members of the same firm for the term of the initial subscription or balance thereof are US$25 each. For subscription information, contact Christopher Beard at 240/629-3300. *** End of Transmission ***