TCRAP_Public/080716.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

            Wednesday, July 16, 2008, Vol. 11, No. 140

                            Headlines

A U S T R A L I A

ALLCO FINANCE: Inks AU$400 Million New Senior Debt Facility
BENSTEAD SERVICES: To Declare Dividend on July 24
CENTRO PROPERTIES: Selling 29 US Properties for US$714 Million
CENTAUR CONSTRUCTIONS: Members and Creditors to Meet on July 18
CJP TELECOM: Proofs of Debt Due on July 22

FORBIO LIMITED: Joint Meeting Set for July 25
FORBIO RESEARCH: Final Meeting Slated for July 25
ILO ANGA: Members to Receive Wind-Up Report on July 21
JOBAGO PTY: Members to Receive Wind-Up Report on July 21
KITLIV PTY: Final Meeting Set on July 17

MURDOCH (VIC): Final Meeting Slated for July 17
NATIONAL EPROCUREMENT: Final Meeting Slated for July 22
PESTRUCCI GREGSON: To Declare Dividend on August 22
WARRNAMBOOL CO-OPERATIVE: To Declare Dividend on August 1


C H I N A

CHINA EASTERN: Gets Regulatory Approval to Set Up Taiwan Office
DONGFENG ELECTRONIC: Sees Increase in Net Profit for 1H 2008


H O N G K O N G

ASIA PACIFIC: Requires Creditors to File Claims by August 5
BAOSHINN CORP: Dominic K.F. Chan Expresses Going Concern Doubt
CHUNG HING: Appoints Chan Kin Hang, Danvil as Liquidator
FORTURINE INTERNATIONAL: Yeung and Moyes Quit as Liquidators
GLOBAL WORKS: Creditors' Proofs of Debt Due on July 25

HAPPY SHEEN: Shareholders Resolve to Shut Down Business
HIGHNESS RESTAURANT: Members' Final Meeting Slated for August 6
HONG KONG KUTTLER: Names Stephen Briscoe as Liquidator
LOK SIN: Placed Under Voluntary Liquidation
TOP TOWER: Commences Liquidation Proceedings

VICOUR LIMITED: Appoints Seng and Lo as Liquidators
WIDE LAKE: Shareholders Agree on Voluntary Liquidation


I N D I A

AGILENT TECHNOLOGY: Moody's Affirms Ba1 Corporate Family Rating
DLF LTD: Gets Credit Suisse Downgrade on Slowing Market
RANBAXY LABORATORIES: Says Merger Deal Unaffected by DOJ Probe
SPICEJET LIMITED: Accepts WL Ross' US$80 Million Offer
* Reliance, ONGC Offshore Ops Risk Shut Down on New Shipping Law


I N D O N E S I A

MEDCO ENERGI: Wants Final Decision on US$1.4BB LNG Construction


J A P A N

J-CORE15 TRUST: Fitch Assigns 'BB+' Ratings on JPY5.4 Bil. Loans
JAPAN AIRLINES: International Unit Reduces Operating Loss
JAPAN AIR: Mulls Exit From Kansai-Heathrow Flights by March '09
MITSUBISHI: Court Finds Executives Guilty, Fines US$1,900 Each
SHINSEI BANK: Fitch Affirms 'BB+' Support Rating Floor


M A L A Y S I A

* MALAYSIA: Aseambankers Revises GDP Forecast Growth to 5.3%


N E W  Z E A L A N D

ACTIVE TRUCKING: Commences Liquidation Proceedings
AKAU LTD: Wind-Up Petition Hearing Set for August 6
BLUE CHIP: Appointed Horton and Price as Liquidators
C P CITY: Commences Liquidation Proceedings
CASH 4: Appoints Grant and Khov as Liquidators

EASTERN ENGINEERING: Commences Liquidation Proceedings
L. REEVE: Liquidators Set July 31 as Claims Bar Date
MOBILE PROPERTY: High Court Appoints Liquidators
NAZIA SEA: Commences Liquidation Proceedings
PLUS SMS: Incurs NZ$6,957,261 Net Loss in FY2008

SUPERBOWL LTD: Wind-Up Petition Hearing Set for July 21
* NEW ZEALAND: Annual Food Price Increase Reaches 18-year High
* NEW ZEALAND: Consumer Price Index Increases 1.6% in June


P H I L I P P I N E S

COLLEGE ASSURANCE: Wants Court OK to Sell Bank of Commerce Stake  
* PHILIPPINES: IIF Downgrades Country's Growth Outlook


T A I W A N

EVA AIRWAYS: To Cut Int'l Flights by 10% on Soaring Fuel Prices
* FITCH: Taiwan-based Telcos Carry “Medium” Inflation Risks


X X X X X X X X

* Fannie Mae and Freddie Mac Crisis Reach Asia-Pacific


                         - - - - -


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

ALLCO FINANCE: Inks AU$400 Million New Senior Debt Facility
-----------------------------------------------------------
Allco Finance Group has reached agreement with its banking
syndicate on the terms of the new senior debt facility, subject
to the documentation of those terms and the 12 syndicate banks
obtaining their required internal approvals.

Allco said that the new senior debt facility will replace its
existing senior debt facilities and match the outstanding
drawings at the time of financial close of the new facility.

The new agreement runs to September 2009 and does not contain
any market capitalization review clauses.

Managing Director and Chief Executive Officer of Allco, Mr.
David Clare, said “We are very pleased to have concluded the
negotiations of our new facility with our banking syndicate.  
Concurrent with these negotiations, we have been implementing
our business restructure plan, the key elements of which are on
target.

“We are well on the way to achieving the agreed repayment
schedule expected to result in our senior debt reducing to
AU$400 million by June 2009 through sales of non-core assets.  
We have a long term sustainable and leaner business model and a
simplified corporate structure.

“Despite the very difficult conditions being experienced in
world financial markets, including higher debt margins
reflecting the tougher credit climate, we are achieving key
milestones in lower gearing levels,” said Mr. Clarke.

The key terms of the new senior debt facility are:

   * A maturity of September 30, 2009;

   * an agreed repayment schedule that results in
     senior debt of AU$400 million by June 2009;
   
   * a margin above the relevant currency borrowing
     reference rate (for AU$: BBR, for Euro: EURIBOR,
     for US$: LIBOR) that reduces as the level of the
    senior debt facility is reduced.

The margin will be:

   Principal                     Margin %p.a. Above relevant
   Outstanding                   borrowing reference rate
   -----------                   ---------------------------

   AU$600 million or greater               3.50%

   Less than AU$600 million but
   equal to or greater than AU$400         3.00%

   Less than AU$400 million                2.75%

Allco will advise shareholders when the final documentation for
the new facility has been signed.

Allco will make further debt repayments and be released from all
remaining contingent commitments owed to the senior banks, at
the end of July.  This will be a total reduction in debt and
contingent commitments of AU$201 million and bring Allco's
senior debt facilities to AU$691 million at that time.

Discussions regarding further divestments of assets identified
for sale are ongoing, and will continue to contribute to our
targeted debt repayment schedule for our senior debt.

                       About Allco Finance

Allco Finance Group Ltd. (ASX: AFG) -- http://www.allco.com.au/   
-- is an integrated global financial services business,
specializing in asset origination, funds creation and funds
management. The Company is a fund manager of alternative assets
in its core asset classes, which include aviation, rail,
shipping, infrastructure, property, private equity and financial
assets.  Its primary focus is on commercial property,
predominately completed office buildings and select development
opportunities. It also purchases new and existing commercial
passenger and cargo aircraft for lease to commercial airlines.  
In March 2007, Allco HIT Limited acquired Momentum Investment
Finance Pty Limited, Allco Financial Services and International
Mezzanine Funds Management (Australia) Limited.  The Company is
a vendor of Momentum Investment Finance Pty Limited and Allco
Financial Services.  In July 2007, it acquired Allco Equity
Partners Ltd.  In December 2007, it completed the acquisition of
the remaining 79.6% stake of Rubicon Holdings(Aust) Limited.

                          *     *     *

Published reports said that Allco is in the brink of insolvency
and is currently negotiating a new business plan that will avoid
putting its operations in the hands of administrators.

As reported in the Troubled Company Reporter-Asia Pacific, Allco
Finance Group has until July 31, 2008, to pay its AU$250 million
bridge facility.

The company has agreed to sell its Tehachapi wind project in the
U.S. for US$325 million to further debt repayments and releases
from contingent commitments.

Allco's managed vehicle, Rubicon American Trust, anticipated
breach of financial covenants as a consequence of its asset
revaluations.  The Trust, citing continued dislocation of global
credit markets and the consequential negative impact on asset
valuations, reduced the value of its real estate portfolio as of
June 30, 2008, by approximately US$97.5 million (or 7%).


BENSTEAD SERVICES: To Declare Dividend on July 24
-------------------------------------------------
Benstead Services Pty Ltd will declare dividend on July 24,
2008.

Creditors have until today, July 16, 2008, to file their proofs
of debt to be included in company's distribution.

The company's liquidator is:

          P. A. Lucas
          P.A. Lucas & Co.
          Chartered Accountants
          GPO Box 2910
          Brisbane QLD 4001
          Australia


CENTRO PROPERTIES: Selling 29 US Properties for US$714 Million
--------------------------------------------------------------
Centro Properties Group said that it has entered into an
agreement to sell 29 of the 31 properties in the Centro America
Fund, a wholesale fund managed by the Centro group, to a private
real estate investment advisor.  Centro’s direct interest in
Centro America Fund is 46.65%, excluding Centro's holding in the
Centro Direct Property Funds.

The 29 properties aggregate 5.1 million square feet and span 15
states.  The agreement excludes Centro America Fund’s partial
share of Independence Mall, located in Wilmington, North
Carolina, and Elk Park Center, located in Elk River, Minnesota,
which will continue to be held by the fund.  In connection with
the sale, Centro will provide management and leasing services
for the 29 assets for a minimum of one year in exchange for
market fees.

The contract price of US$714 million represents a 10% discount
to previous book value.  Centro expects to use the net proceeds
to pay down outstanding indebtedness.  The agreement has been
approved by Centro America Fund’s investors and is subject to
certain closing conditions, including a due diligence period and
lender consent, and there can be no assurance that the
transaction will be consummated.  Settlement is scheduled to
occur in late September to October 2008.

“As we have previously advised, the sale of the CAF portfolio is
a key step in providing liquidity to our balance sheet,” said
Glenn J. Rufrano, Centro’s Chief Executive Officer.

                     About Centro Properties

Centro Properties Group (ASX:CNP)-- http://www.centro.com.au/--
is a retail investment organization specializing in the
ownership, management and development of retail shopping
centres.  Centro manages both listed and unlisted retail
property and has an extensive portfolio of shopping centres
across Australia, New Zealand and the United States.  Centro has
funds under management of $24.9 billion.

Centro owes its creditors as much as AU$6.6 billion and its
deadline to repay these debts has been extended four times since
December 2007, when the company's market value plunged.  The
recent deadline extension given to the Group is December 15,
2008.

                          *     *     *

The Troubled Company Reporter-Asia Pacific reported on Jan. 4,
2008, that Standard & Poor's Ratings Services lowered its issuer
credit, senior-unsecured debt and preferred stock ratings to
'CCC+' with negative implications reflecting the potential of
the group's assets to be sold in softening market conditions,
particularly in the U.S.


CENTAUR CONSTRUCTIONS: Members and Creditors to Meet on July 18
---------------------------------------------------------------
Centaur Constructions Pty Ltd will hold annual general meeting
for its members at creditors at 11:00 a.m. on July 18, 2008.  
During the meeting, the company's liquidator Graeme Lean, will
provided attendees with property disposal and winding-up
reports.

The liquidator can be reached at:

          Graeme Lean
          G T Lean & Associates
          424 Fitzgerald Street
          North Perth WA 6006
          Australia


CJP TELECOM: Proofs of Debt Due on July 22
------------------------------------------
CJP Telecommunications Services Pty Ltd  will declare dividend
on July 22, 2008.

Creditors are required to file their proofs of debt by July 22,
2008, to be included in company's dividend distribution.

The company's liquidator is:   

          Nick Malanos
          Star Dean-Willcocks
          Level 1, 32 Martin Place
          Sydney NSW 2000
          Australia


FORBIO LIMITED: Joint Meeting Set for July 25
---------------------------------------------
Forbio Limited will hold a final meeting for its members and
creditors at 10:00 a.m. on July 25, 2008.  During the meeting,
the company's liquidator Gregory Moloney, will provided
attendees with property disposal and winding-up reports.

The liquidator can be reached at:

          Gregory Moloney
          Ferrier Hodgson (Qld)
          Chartered Accountants
          Level 7, 145 Eagle Street
          Brisbane QLD 4000
          Australia


FORBIO RESEARCH: Final Meeting Slated for July 25
-------------------------------------------------
Forbio Research Pty Ltd will hold a final meeting for its
members and creditors at 10:00 a.m. on July 25, 2008.  During
the meeting, the company's liquidator Gregory Moloney, will
provided attendees with property disposal and winding-up
reports.

The liquidator can be reached at:

          Gregory Moloney
          Ferrier Hodgson (Qld)
          Chartered Accountants
          Level 7, 145 Eagle Street
          Brisbane QLD 4000
          Australia


ILO ANGA: Members to Receive Wind-Up Report on July 21
------------------------------------------------------
J. F. Taylor, Ilo anga Pty Ltd's appointed estate liquidator,
will meet with the company's members on July 21, 2008, at
10:00 a.m. to provide them with property disposal and winding-up
reports.

The liquidator can be reached at:

          J. F. Taylor
          WHK Horwath Sydney
          Level 15
          309 Kent Street
          Sydney, Australia


JOBAGO PTY: Members to Receive Wind-Up Report on July 21
--------------------------------------------------------
J. F. Taylor, Jobago Pty Ltd's appointed estate liquidator, will
meet with the company's members on July 21, 2008, at 10:00 a.m.
to provide them with property disposal and winding-up reports.

The liquidator can be reached at:

          J. F. Taylor
          WHK Horwath Sydney
          Level 15
          309 Kent Street
          Sydney, Australia


KITLIV PTY: Final Meeting Set on July 17
----------------------------------------
Kitliv Pty Ltd will hold a meeting for its members at 10:00 a.m.
on July 17, 2008.  During the meeting, the company's
liquidators, Stephen Graham Longley and David Laurence McEvoy,
will provided attendees with property disposal and winding-up
reports.

The liquidator can be reached at:

          George Lusis
          Craig Saywell
          PO Box 263
          Cessnock NSW 2325
          Australia
          Telephone: (02) 4990 9766


MURDOCH (VIC): Final Meeting Slated for July 17
-----------------------------------------------
Murdoch (Vic)Pty Ltd will hold a meeting for its members at
10:00 a.m. on July 17, 2008.  During the meeting, the company's
liquidators, Stephen Graham Longley and David Laurence McEvoy,
will provided attendees with property disposal and winding-up
reports.

The liquidators can be reached at:

          Stephen Graham Longley
          David Laurence McEvoy
          PricewaterhouseCoopers
          Freshwater Place, 2 Southbank Boulevard
          Southbank VIC 3006
          Australia


NATIONAL EPROCUREMENT: Final Meeting Slated for July 22
-------------------------------------------------------
National eProcurement Australia Pty Ltd will hold a meeting for
its members at 10:00 a.m. on July 22, 2008.  During the meeting,
the company's liquidator George Georges, will provided attendees
with property disposal and winding-up reports.

The liquidator can be reached at:

          George Georges
          Ferrier Hodgson
          Level 29, 600 Bourke Street
          Melbourne VIC 3000
          Australia
          Telephone: (03) 9600 4922
          Facsimile: (03) 9642 5887


PESTRUCCI GREGSON: To Declare Dividend on August 22
---------------------------------------------------
Pestrucci Gregson Constructions Pty Ltd will declare dividend on
Aug. 22, 2008.

Creditors have until today, July 16, 2008, to file their proofs
of debt to be included in company's distribution.

The company's liquidator is:

          Terry O’Connor
          105 Macquarie Street
          Hobart TAS 7000
          Australia
          Telephone: (03) 6223 2555
          Facsimile: (03) 6223 2556
          Email: info@pjc.com.au


WARRNAMBOOL CO-OPERATIVE: To Declare Dividend on August 1
---------------------------------------------------------
Warrnambool Co-operative Society Ltd  will declare dividend on
Aug. 1, 2008.

Creditors are required to file their proofs of debt by July 17,
2008, to be included in company's dividend distribution.

The company's liquidator is:   

          James Stewart
          Ferrier Hodgson
          Level 29, 600 Bourke Street
          Melbourne VIC 3000
          Australia
          Telephone: (03) 9600 4922
          Facsimile: (03) 9642 5887



=========
C H I N A
=========

CHINA EASTERN: Gets Regulatory Approval to Set Up Taiwan Office
---------------------------------------------------------------
China Eastern Airlines Co. Ltd. got regulatory approval to set
up an office in Taipei, Taiwan, SinoCast News reports, citing
Cao Jianxiong, general manager of the Chinese airways.

The airline, the report relates, partnered with Cathay Financial
Holding Co. Ltd., to hire a land plot of more than 400 square
meters in the city's Min-sheng East Road as the site of the
office.

According to the report, five executives will be sent to the
office in its early stage, including a head officer, an airport
station supervisor, and three representatives for plane
maintenance, financial clearing, and marketing.  The airline
will also engage more local employees if its business got
expanded, and with plans to employ local attendants for the
cross-strait flights upon Taipei authorities' approval, the
report notes.

Moreover, the report says, China Eastern will engage two local
airways to operate sale for the office, which does not have the
ability to operate the business independently.

                    About China Eastern

Headquartered in Shanghai, China, China Eastern Airlines
Corporation Limited's -- http://www.ce-air.com-- principal        
activity is operation of domestic and international commercial
air transportation.  The Group also is involved in the common
aircraft industry.  Other activities include general aviation,
air catering, advertisement, import and export, equipment
manufacturing, real estate, hotel business, finance and
training.  The fleet includes more than 60 large and medium size
airplanes, Airbus and Boeing mostly.  Its operation centering
from Shanghai to the whole People's Republic of China and
linking to Asia, Europe, America and Australia.

                          *     *     *

On April 28, 2006, Fitch Ratings downgraded China Eastern's
foreign currency and local currency issuer default ratings to B+
from BB-.  Fitch said the outlook on the IDRs is stable.

On November 16, 2005, Xinhua Far East China Ratings gave the
company a BB+ issuer credit rating with a stable outlook.

All ratings still hold to date.


DONGFENG ELECTRONIC: Sees Increase in Net Profit for 1H 2008
------------------------------------------------------------
Dongfeng Electronic Technology Co., Ltd expects a net profit of
approximately CNY8 million for the first half of fiscal year
2008, Reuters reports.

According to the report, the company obtained a net profit of
CNY1,478,294.37 in the first half of fiscal year 2007.

Based in Shanghai, Dongfeng Electronic Technology Co., Ltd. --
http://www.detc.com.cn/-- is principally engaged in the    
manufacture and sale of automobiles and automobile parts and
components.  The company offers automobiles, instrument sets,
sensors, flexible shafts, gasoline supply systems, braking
products, die casting products, automobile ornaments, automobile
global position system (GPS) navigation parts, automobile
remote-controllers and other accessories for motorcycles,
passenger cars and trucks.

                         *     *     *

The company continues to carry Xinhua Far East China Ratings'
BB- LC Long-Term Issuer Credit Rating.



===============
H O N G K O N G
===============

ASIA PACIFIC: Requires Creditors to File Claims by August 5
-----------------------------------------------------------
Asia Pacific Press Holdings Limited requires its creditors to
file their proofs of debt by August 5, 2008, to be included in
the company's dividend distribution.

The company's liquidators are:

         Wong Poh Weng
         Wong Tak Man Stephen
         Caroline Centre, 29th Floor
         Lee Gardens Two
         28 Yun Ping Road
         Causeway Bay
         Hong Kong


BAOSHINN CORP: Dominic K.F. Chan Expresses Going Concern Doubt
--------------------------------------------------------------
Dominic K.F. Chan & Co. raised substantial doubt about the
ability of Baoshinn Corporation to continue as a going concern
after it audited the company's financial statements for the year
ended March 31, 2008.  The auditor pointed to the Company’s
recurring net losses.

The company posted a net loss of US$324,942 on total revenues of
US$37,616,276 for the year ended March 31, 2008, as compared
with net loss of US$268,117 on total revenues of US$32,080,684
in the prior year.

At March 31, 2008, the company's balance sheet showed
US$2,736,898 in total assets,  US$2,003,860 in total
liabilities, and $733,038 in total stockholders' equity.  

A full-text copy of the company's 2008 annual report is
available for free at http://ResearchArchives.com/t/s?2f76

                    About Baoshinn Corporation

Baoshinn Corporation was incorporated under the laws of the
State of Nevada on September 9, 2005, under the name of JML
Holdings, Inc.  The company was formed as a "blind pool" or
"blank check" company whose business plan was to seek to acquire
a business opportunity through completion of a merger, exchange
of stock, or other similar type of transaction.  Prior to its
identification of Bao Shinn International Express as an
acquisition target, its only business activity was
organizational activities.

BSIE is headquartered in Hong Kong and was established in 2002
to offer extended travel services primarily focused on wholesale
businesses and corporate clients.  Through the Hong Kongs
subsidiary, Baoshinn is a ticket consolidator of major
international airlines, including Thai Airways, Eva Airways,
Dragon Air, Air China, China Southern Airlines and China Eastern
Airlines.  The company provides travel services such as
ticketing, hotel and accommodation arrangements, tour packages,
incentive tours and group sightseeing services to customers
located in Hong Kong and Mainland China.


CHUNG HING: Appoints Chan Kin Hang, Danvil as Liquidator
--------------------------------------------------------
The creditors of Chung Hing Transportation and Godown Company
Limited met on June 20, 2008, and appointed Chan Kin Hang,
Danvil as liquidator.

The Liquidator can be reached at:

         Chan Kin Hang, Danvil
         Ginza Square, Room 2301, 23rd Floor
         565-567 Nathan Road, Yaumatei, Kowloon
         Hong Kong


FORTURINE INTERNATIONAL: Yeung and Moyes Quit as Liquidators
------------------------------------------------------------
Betty Yuen Yeung and Paul David Stuart Moyes quit as liquidators
of Forturine International Limited on July 2, 2008.

The former Liquidators can be reached at:

         Betty Yuen Yeung
         Paul David Stuart Moyes
         Three Pacific Place, Level 28
         1 Queen's Road East
         Hong Kong


GLOBAL WORKS: Creditors' Proofs of Debt Due on July 25
------------------------------------------------------
The creditors of Global Works Limited are required to file their
proofs of debt by July 25, 2008, to be included in the company's
dividend distribution.

The company commenced liquidation proceedings on June 25, 2008.

The company's liquidators are:

         Ying Hing Chiu
         Chung Miu Yin, Diana
         Three Pacific Place, Level 28
         1 Queen's Road East
         Hong Kong


HAPPY SHEEN: Shareholders Resolve to Shut Down Business
-------------------------------------------------------
On June 27, 2008, the shareholders of Happy Sheen Development
Limited resolved to voluntarily liquidate the comapny's
business.  Lee King Yue was appointed as liquidator.

The Liquidator can be reached at:

         Lee King Yue
         Two International Finance Centre, 72-76th Floor
         8 Finance Street
         Central, Hong Kong


HIGHNESS RESTAURANT: Members' Final Meeting Slated for August 6
---------------------------------------------------------------
A final meeting will be held for the members of Highness
Restaurant Limited on August 6, 2008, at 10:30 a.m., at the 1st
Floor, No.86 Tseuk Luk Street, San Po Kong, Kowloon.

At the meeting, Chow Kee Wai, the company's liquidator, will
give a report on the company's wind-up proceedings and property
disposal.

The Liquidator can be reached at:

         Chow Kee Wai
         Garden Terrace
         Flat A, 9th Floor, Block 3
         8A Old Peak Road
         Hong Kong


HONG KONG KUTTLER: Names Stephen Briscoe as Liquidator
------------------------------------------------------
Stephen Briscoe was appointed liquidator of Hong Kong Kuttler
Automation Systems (Suzhou) Company Limited on March 31, 2008.

The Liquidator can be reached at:

         Stephen Briscoe
         1801 Wing On House, 18th Floor
         71 Des Voeux Road
         Central, Hong Kong


LOK SIN: Placed Under Voluntary Liquidation
-------------------------------------------
At an extraordinary general meeting held on June 26, 2008, the
members of Lok Sin Tong Chan Cho Chak Primary School Parents'
and Teachers' Association Limited agreed to voluntarily
liquidate the company's business.
The company's liquidator is:

         Quinnie Sau Hing Lau
         Hanley House, 3rd Floor, Room 305
         776-778 Nathan Road, Mong Kok
         Hong Kong


TOP TOWER: Commences Liquidation Proceedings
--------------------------------------------
Top Tower Company Limited commenced liquidation proceedings on
June 27, 2008.  Lee King Yue was appointed as liquidator.

The Liquidator can be reached at:

         Lee King Yue
         Two International Finance Centre
         8 Finance Street
         Central, Hong Kong


VICOUR LIMITED: Appoints Seng and Lo as Liquidators
---------------------------------------------------
Natalia K M Seng and Susan Y H Lo were appointed liquidators of
Vicour Limited on June 20, 2008.

The Liquidators can be reached at:

         Natalia K M Seng
         Susan Y H Lo
         Three Pacific Place, Level 28
         1 Queen's Road East
         Hong Kong


WIDE LAKE: Shareholders Agree on Voluntary Liquidation
------------------------------------------------------
The shareholders of Wide Lake Limited met on Juen 27, 2008, and
resolved to voluntarily liquidate the company's business.

The company's liquidator is:

         Lee King Yue
         Two International Finance Centre, 72-76th Floor
         8 Finance Street
         Central, Hong Kong



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

AGILENT TECHNOLOGY: Moody's Affirms Ba1 Corporate Family Rating
---------------------------------------------------------------
Moody's Investors Service affirmed the existing ratings of
Agilent Technologies, Inc. ("Agilent") and revised the outlook
to positive.

The positive outlook reflects Agilent's continued execution of
its business model and solid financial performance.  It also
incorporates the company's strong demonstration of improved
revenue growth in conjunction with higher margins driven by new
product introductions, increased market penetration and
favorable product mix, as well as diversification of revenue
sources and end markets , continued cost containment, and
minimal restructuring charges.  The outlook incorporates our
expectations that Agilent's electronic measurement (EM)
business, which accounts for roughly 62% of total revenues, will
demonstrate growth and operating margin characteristics at least
comparable to its business segment peers.

Although the company's financial measures are more indicative of
a Baa3 rating, Moody's remains concerned that sluggish order
growth in the EM business and a potential slowdown in Asian
markets could impact Agilent's financial performance later this
year and/or in early 2009.  Moody's notes that Agilent's Asian
sales account for nearly 40% of net revenues.  The Ba1 CFR also
incorporates financial policies that are shareholder-friendly.
Moody's expects the company to remain aggressive in share
buybacks, especially given the amount of excess balance sheet
cash and since a portion of senior management compensation
continues to be based on relative share price performance.  The
rating agency cited that the positive outlook factors in the
expectation that Agilent will manage annual share repurchases
within its generation of annual free cash flow (FCF) plus excess
(unrestricted) cash balances above US$1.3 billion, while
maintaining debt to EBITDA of no more than 2 -- 2.5x (excludes
World Trade Enhanced Note) on an as reported basis.

Historically, Agilent's share buybacks have ranged fromUS$2 - 4
billion per annum.  Finally, the Ba1 CFR incorporates the
potential for leveraging event risk given the company's penchant
to supplement growth through external means.  As world economies
continue to show signs of deceleration, Agilent may fall short
of its 10% revenue growth target, which could result in more
reliance on acquisitions, albeit this would be a departure from
Agilent's current strategy.

The combination of these factors constrains the CFR at Ba1. How
the company manages share repurchases and acquisitions during a
period of weaker operating performance will be an important
factor in Moody's analysis of Agilent's ratings.  If there is no
dramatic deterioration in operating performance over the next 6
-- 9 months in conjunction with a likely slowing of Asian
economies, and if Agilent is able to demonstrate financial
policies that are consistent with the rating agency's
expectations, without materially impacting financial leverage,
Moody's could upgrade the rating.

The company's SGL-1 rating reflects very good liquidity, which
is driven by Agilent's US$1.7 billion of unrestricted cash and
short-term investments and Moody's expectations for positive FCF
generation (after acquisitions) over the next 12 - 18 months.
Following completion of the US$2 billion share repurchase
program in fiscal 2009, Moody's expects that Agilent will
maintain cash balances of around US$1.3 billion or more plus
continued access to a US$300 million multi-year committed
unsecured credit facility.  Additional liquidity support is
derived from our expectation that FCF generation will remain
robust through cycles given that operating performance continues
to remain solid.  Moody's expects that the bulk of FCF is likely
to be used for small, tuck-in acquisitions and remaining share
repurchases, thereby limiting further cash buildup.

The following ratings were affirmed:

* Corporate Family Rating -- Ba1

* Probability of Default Rating -- Ba1

* US$600 million Senior Unsecured Notes due 2017 -- Ba1 (LGD-4,
  52%)

* Speculative Grade Liquidity -- SGL-1

                About Agilent Technologies

Headquartered in Santa Clara, California, Agilent Technologies
Inc. is a leading measurement technology company serving the
communications, electronics, life sciences and chemical analysis
industries.  Net revenues and EBITDA (Moody's adjusted) for the
twelve months ended April 30, 2008 were US$5.7 billion and
US$1.1 billion, respectively.

The company has operations in India, Argentina, Puerto Rico,
Bolivia, Paraguay, Venezuela, and Luxembourg, among others.


DLF LTD: Gets Credit Suisse Downgrade on Slowing Market
-------------------------------------------------------
DLF Limited was downgraded to “underperform” from “neutral” by
Credit Suisse on concern that the Indian developer's new real
estate projects may be delayed due to slowing demand and
difficulties in raising funds, Sumit Sharma writes for Bloomberg
News.

DLF shares dropped 2.4 percent, the most in eight days, to 446
rupees at 10:40 a.m. local time on news of the cut, Bloomberg
News says.

According to Bloomberg News, Credit Suisse analysts Anand
Agarwal and Musaed Noorani said accelerating inflation and
borrowing costs that have climbed to the highest in six and a
half years are deterring home buyers, while companies are
delaying real estate investments due to faltering economic
growth.  The developers may also defer new projects in the next
fiscal year as the drop in Indian equities and high debt costs
crimp fund raising, they said.

The report relates that the analysts also dropped the stock
price target for DLF by 48 percent to 342 rupees saying the
company's plans to buy back shares are “ill advised” and the
funds would be better used for new projects.

DLF's Board of Directors approved July 10 the buyback of its
equity shares up to price of Rs 600 per equity share.

In a resolution approved by its Board, DLF would buy a maximum
of 2.2 crore equity shares which will not reduce the minimum
public shareholding below 10%, at a price not exceeding Rs. 600
per equity share.  The company will allocate up to Rs. 1,100
crore for this purpose, and will be financing the same through
its internal resources.

The maximum price fixed for the buyback is at a premium of 33.24
% over the last average closing price of the company's equity
shares on the BSE and NSE as of July 9, 2008.

DLF has appointed JM Financial Consultants Private Limited and
DSP Merrill Lynch Limited as the merchant bankers for the
buyback.

                        About DLF Limited

DLF Limited, formerly DLF Universal Limited --
http://www.dlf.in/-- is a real estate development company in  
India.  Its primary business is the development of residential,
commercial and retail properties.  DLF’s operations span all
aspects of real estate development, from the identification and
acquisition of land, the planning, execution and marketing of
its projects, through to the maintenance and management of its
completed developments.  In its residential business line, the
Company builds and sells a range of properties, including plots,
houses, duplexes and apartments, with a focus on the higher end
of the market.  In its commercial business line, DLF builds and
sells or leases commercial office space, with a focus on
properties attractive to multinational tenants.  Its retail
business line develops, manages and mainly leases shopping
malls.  As of April 30, 2007, it had residential projects with a
saleable area of approximately seven million square feet, which
were under construction.


RANBAXY LABORATORIES: Says Merger Deal Unaffected by DOJ Probe
--------------------------------------------------------------
Ranbaxy Laboratories Limited clarified that its merger deal with
Daiichi Sankyo is “binding and final and remains on track” amid
media reports of possible repercussions of the US government
probe on its business.

As reported yesterday in the Troubled Company Reporter-Asia
Pacific, the U.S. Department of Justice sought court permission
to conduct investigation on Ranbaxy's business saying the
company violated federal laws including the Federal Food, Drug,
and Cosmetic Act through the introduction of adulterated and
misbranded products in the US.  

The Economic Times reported that the DOJ cited evidence that
suggests the drugmaker used active pharmaceutical ingredients
(API) from unapproved sources, blended unapproved API with
approved API, and used less-than-approved API at its Paonta
Sahib (Himachal Pradesh) plant in its drugs, resulting in the
sale of ‘subpotent, super potent or adulterated medicines’ in
the US market.

Ranbaxy called the allegations “baseless” saying no legal
proceedings in the sense of a prosecution have been initiated.  

The company stated that an investigation has been underway for
approximately three years and no charges have been filed against
it.  The FDA has also gathered over 200 random samples of
various products marketed by the company in the US, which  have
been independently tested by the USFDA and were found to be
complying with all the specifications, it said.

Ranbaxy said it continues to cooperate with the DOJ in regards
to the investigation.

A Daiichi Sankyo spokesperson in Tokyo told the Economic Times
that “We have not made any change in our plans (to acquire
Ranbaxy).  We knew (before signing the buyout agreement) that
the US authorities have investigated Ranbaxy’s facilities.  At
this stage, Daiichi Sankyo and Ranbaxy remain two independent
companies.  Therefore, we cannot comment on this development
other than say that we will follow this matter very closely as
additional facts are made public.”  

According to the Economic Times, the US market accounted for
around 23% of Ranbaxy’s total revenues of US$1.6 billion in 2007
and if the US government is able to prove its charges, it could
have a severe impact on the company’s operations in that country
and possibly elsewhere too.  

Meanwhile, Bloomberg News reported that Ranbaxy fell 8 percent,
or 42.15 rupees, to 490 rupees in Mumbai trading at 9:57 a.m.
local time on news of the DOJ action while shares of Daiichi
Sankyo fell 175 yen, or 5.5 percent, to 2,985 yen on the Tokyo
Stock Exchange after falling as much 5.9 percent at 2,975 yen.

                About Ranbaxy Laboratories Limited

Ranbaxy Laboratories Limited -- http://www.ranbaxy.com/-- along   
with its subsidiaries and associates operates as an integrated
international pharmaceutical organization with businesses
encompassing the entire value chain in the production, marketing
and distribution of dosage forms and active pharmaceutical
ingredients. It has manufacturing facilities in 11 countries,
namely Brazil, China, India, Ireland, Japan, Malaysia, Nigeria,
Romania, South Africa, the United States of America and Vietnam.  
Its major markets include the United States of America, India,
Europe, Russia / CIS, Brazil and South Africa.  The major
products include, inter alia, Simvastatin, CoAmoxyclav,
Amoxycillin, Ciprofloxacin, Isotretinon and Cephalexin.  Its
research and development activities are principally carried out
at its facilities in Gurgaon, near New Delhi, India.  RLL’s
segments include Pharmaceuticals and Other businesses.  During
the year ended December 31, 2007, RLL acquired 24.91% of Shimal
Reasearch Laboratories Limited.


SPICEJET LIMITED: Accepts WL Ross' US$80 Million Offer
------------------------------------------------------
Spicejet Limited has accepted the offer of WL Ross & Co. LLC
which will make available approximately Rs 345 crores (around
US$80 million) to SpiceJet.  The offer was approved by the Board
of Directors of Spicejet on July 14, 2008.  The transaction is
subject to definitive documentation and approvals, if any.

Commenting on the deal, Mr. Bhulo Kansagra and Mr. Ajay Singh,
members of Spicejet Board, said they “are delighted to have WL
Ross as an investor in Spicejet” and they have no doubt that
with the investment, “Spicejet will fulfill its promise of
emerging as India's leading earline.”

Mr. Wilbur L. Ross Jr., Chairman and CEO of WL Ross & Co. LLC,
welcomed the deal and said, “We believe in the long term
validity of the low cost airline model in India and that fuel
prices eventually will stabilize.”

Mr. Ranjeet Nabha, Managing Director and CEO if WL Ross India
said, “SpiceJet is one of the most efficient airlines in India.  
We are delighted to contribute to its growth and development.”

Mr. Ross and Mr. Nabha are expected to join SpiceJet's Board.

The deal would be WL Ross' second investment in India.  In
February 2007, WL Ross acquired OCM India Ltd., a worsted
suiting maker, for around US$37 million.

NM Rothschild & Sons (India) Private Limited acted as the
exclusive financial advisor to SpiceJet.

Earlier reports say the airline was seeking at least US$100
million (Rs431 crore) to boost its working capital prompting
several entities including WL Ross and Goldman Sachs to express
interest in the company.

SpiceJet has also reserved an option of merger to raise funds,
Keshav Seth of TopNews says.

SpiceJet is reportedly in talks with Vijay Mallya's Kingfisher
Airlines for a possible merger deal but both carriers had a
conflict on SpiceJet's valuation.

A person close to the development told The Economic Times that
Kingfisher valued SpiceJet on the basis of the average share
price of the airline in the past three months and a control
premium, which valuation was rejected by the SpiceJet promoters
saying the price offered by Kingfisher was too low.

Meanwhile, SpiceJet shares fell 13 percent to 28.05 rupees at
10:27 a.m. in Mumbai, its lowest in more than three months, on
news of Executive Chairman and CEO Siddhanta Sharma quitting
from the company due to personal reasons, Vipin V. Nair writes
for Bloomberg News.

“It's not a great sign to see an existing team move out at this
point of time, when they are in the middle of all this,” Nikhil
Vora, a Mumbai-based analyst at IDFC-SSKI Securities Pvt told
Bloomberg News.  “This is really a tough time for low-cost
airlines to survive in this market.”

The Economic Times says the SpiceJet board of directors has
accepted the resignation of Mr. Sharma even as the talks between
the low-cost carrier and financial investors are on for fund
infusion.

                    About WL Ross and Co. LLC

WL Ross and Co. LLC is a financial restructuring group operating
in the investment industry.  The company manages assets for
institutional investors in the United States, Europe and Asia.  

                      About SpiceJet Limited
SpiceJet Limited -- http://www.spicejet.com/-- is an airline     
carrier in India. During the fiscal year ended May 31, 2007
(fiscal 2007), the company increased its fleet size to 11
aircrafts covering 14 destinations and operating 83 daily
flights. The aircrafts acquired during fiscal 2007, were the
next generation Boeing737-800. The company has also integrated
with Tata AIG Insurance Company Limited to commence travel
insurance sales, which was launched in May 2007.

                          *     *     *

Spicejet has been reporting net losses for at least
four consecutive years -- INR414.2 million in the year
ended May 31, 2006, and INR287.05 million in the year
ended May 31, 2005.  The company then changed its financial
year from June-May to April-March.  For the year ended
March 31, 2008, the company incurred a net loss of
INR1,335.07 million compared to a net loss of
INR707.43 million for the year ended March 31, 2007.


* Reliance, ONGC Offshore Ops Risk Shut Down on New Shipping Law
----------------------------------------------------------------
Reliance Industries and Oil and Natural Gas Corporation may face
an imminent shut down of offshore oil and gas operations after
the Shipping Ministry issued new norms for vessels operating in
Indian waters, the Financial Express reports.

According to the report, DG Shipping had in May banned
operations of all vessels that are more than 25 years old.

The Financial Express says ONGC, which has more than 100 vessels
operating off the East and West coast providing supporting
services to oil and gas production, and Reliance Industries,
which has more than 40 vessels working on bringing the gas field
in Krishna Godavari basin to production, risk being hit by the
new law.

"Offshore oil and gas operations will collapse if these norms
are implemented," ONGC Chairman R S Sharma told Financial
Express.



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

MEDCO ENERGI: Wants Final Decision on US$1.4BB LNG Construction
---------------------------------------------------------------
PT Medco Energi Internasional aims to make a final decision on
building a US$1.4 billion liquefied natural gas (LNG) plant in
Sulawesi in the third quarter of 2008, Reuters reports citing
Lukman Mahfoedz, Medco's director as saying.

Mr. Mahfoedz told Reuters that if the plant went ahead it should
be in operation by the third quarter of 2012.

Reuters noted that Medco, Pertamina and Mitsubishi Corp. signed
an agreement in August 2007, to build the LNG plant with a
capacity of two million tonnes per year.

Headquartered in Jakarta, Indonesia, Medco Energi Internasional
Tbk PT (JAK:MEDC) -- http://www.medcoenergi.com/-- is an    
integrated energy company.  The company is engaged in oil and
gas exploration and production, drilling services, methanol
production and the power generation industry.  The company holds
working interests in various exploration and production blocks
in Indonesia and overseas, producing more than 21 million barrel
of oil and 61 million cubic feet of gas annually.  In addition,
it has 10 onshore rigs and four offshore rigs (swamp barge) and
operates one methanol plant, one liquefied petroleum gas plant
and three power plants.  The company's Indonesian operations
span from Aceh in Indonesia's western border to Papua in the
eastern territory.

The company's subsidiary, PT Apexindo Pratama Duta Tbk, is a
heavy equipment provider.  Apexindo Pratama has five
subsidiaries, namely PT Antareja Jasatama, Apexindo Asia Pacific
B.V., Apexindo Khatulistiwa B.V., Apexindo Offshore Pte. Ltd.
and Apexindo Raniworo Pte. Ltd.

                          *     *     *

As of June 11, 2008, Medco Energi continues to carry Moody's
“B1” long-term corporate family rating and Standard & Poor's
“B+” long-term foreign and local issuer credit ratings.  All
ratings have negative outlook.



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

J-CORE15 TRUST: Fitch Assigns 'BB+' Ratings on JPY5.4 Bil. Loans
----------------------------------------------------------------
Fitch Ratings has assigned ratings to J-CORE15 Trust's JPY62.7
billion Trust Beneficiary Interests and asset-backed loans,
excluding the Class C ABL, out of a total of JPY72.7 billion
TBIs/ABL due July 2013, as listed below:

  -- JPY22.5 billion Class A1 floating-rate TBIs: 'AAA'
     (subordination ratio* 67.0%);

  -- JPY1.5 billion Class A1 floating-rate ABL: 'AAA'
     (subordination ratio 67.0%);

  -- JPY15.7 billion Class A2 floating-rate TBIs : 'AAA'
     (subordination ratio 45.4%);

  -- JPY8.0 billion Class B floating-rate TBIs : 'AA'
     (subordination ratio 34.4%);

  -- JPY6.6 billion Class D floating-rate ABL : 'BBB'
     (subordination ratio 11.6%);

  -- JPY3.0 billion Class E floating-rate TBIs : 'BBB-'
     (subordination ratio 7.4%);

  -- JPY1.4 billion Class F floating-rate TBIs : 'BB+';
  -- JPY4.0 billion Class F floating-rate ABL : 'BB+'; and
  -- JPY72.7 billion ** Class X TBIs: 'AAA'.

  * Subordination ratios are calculated by the following
formula,
    as of the closing date: 1-(A+B)/C.

  A: Rated debt amount and any other debt amounts that share the
     same class;

  B: Debt amount ranking senior to the rated debt; and
  C: Outstanding balance of rated debt.

  ** Notional amount, dividend-only

Each rated class has been assigned a Stable Outlook.

This transaction is a securitisation of the Tokutei Mokuteki
Kaisha specified bond purchased by Deutsche Bank AG, Tokyo
branch.  The underlying asset is backed by a Class A office
building, the Shinsei Bank Head Office Building located in
Chiyoda-ku, Tokyo.   The bond trustee obtained loans from
Deutsche Bank and some loan investors, at the expense of the
trust assets, and has redeemed trust principal on the
corresponding TBI class with the matching-class loan proceeds.  
Ratings are assigned to the class A1 through B, E, F and X TBIs
and the classes A1, D and F ABL which Deutsche Bank has assigned
to investors.

The transaction, whose total issuance amount is JPY72.7 billion,
closed on 14 July 2008 and matures in July 2013.  Dividends on
the TBIs and interest on the ABL will be paid quarterly on the
fourteenth day of January, April, July and October.  Payments
will be made on the corresponding class A1 TBIs/ABL and class F
TBIs/ABL on a pari passu basis.  Other parties to the
transaction include Orix Asset Management & Loan Services
Corporation ('CPS2+(JPN)'/'CMS1-(JPN)') as the servicer and
advance provider.

The ratings reflect the quality and location of the underlying
collateral, the current and projected lease and building
renovation work, the structural features of the TMK bond and the
transaction including reserves and the credit enhancement
provided by the senior/subordinated structure.

The ratings address the timely payment of interest and the
ultimate payment of trust and/or loan principal by the legal
final trust maturity date and the legal final loan maturity date
of July 2013 for the Class A1 TBIs/ABL and Class A2 TBIs.  The
ratings also address the ultimate payment of interest and
principal by the legal final trust/loan maturity date for the
class B, E and F TBIs and the class D and F ABL.  The ratings do
not address the timing or likelihood of prepayments and/or
receipt of default interest.

The rating on the dividend-only class X TBIs addresses only the
likelihood of receiving dividend payments while principal on the
related TBIs remain outstanding, as per the bond trust
agreement.  The ratings on the class X TBIs do not address the
likelihood that the TBI holders may fail to recover their
initial investment as a result of principal prepayments or
realized losses.  Fitch's ratings do not address the timing or
likelihood of prepayments and/or the receipt of prepayment
premiums and/or default interest.

Rating Outlooks have been published for all newly issued Asia
Pacific Structured Finance tranches since June 2008, and
concurrently with rating actions for tranches issued prior to
June 2008. Unlike a Rating Watch which notifies investors that
there is a reasonable probability of a rating change, rating
Outlooks provide forward-looking information to the market and
indicate the likely direction of any rating change over a one-
to-two-year period.


JAPAN AIRLINES: International Unit Reduces Operating Loss
---------------------------------------------------------
Japan Airlines' international unit, Japan Airlines
International, is believed to have reduced its operating loss
sharply in the two months through May, Jiji Press reports.

For the first two months of fiscal 2008, the report relates, the
unit recorded an operating loss of JPY4.9 billion, against
JPY15.4 billion for the same period last year.

Following the unit's result, Japan Airlines's operating balance
for April-June is believed to have improved sharply from the
year-before loss of JPY8.5 billion.

Moreover, JAL International managed to cover higher fuel costs
through futures-based hedge transactions, resulting to a 1%
decrease in operating costs to JPY273.1 billion, the report
says.

                      About Japan Airlines

Tokyo-based Japan Airlines International Company Limited --
http://www.jal.com/en/-- was created as a result of the merger  
of Japan Airlines and Japan Air Systems to boost domestic
coverage.  Japan Airlines flies to the United States, Brazil and
France.

                         *     *     *

In April 2008, Fitch Ratings revised the Outlook on Japan
Airlines Corporation and its wholly owned operating subsidiary,
JAL International Co., Ltd.'s Long-term Issuer Default ratings
to Stable from Negative.  At the same time, Fitch affirmed both
companies' Long-term IDRs and ratings of outstanding bonds at
'BB-'.  The Outlook revision follows JAL's operational
turnaround and better liquidity.

In February 2007, Standard & Poor's Ratings Services affirmed
its 'B+' long-term corporate credit and issue ratings on Japan
Airlines Corp. (B+/Negative/--) following the company's
announcement of its new medium-term management plan.  S&P said
the outlook on the long-term corporate credit rating is
negative.


JAPAN AIR: Mulls Exit From Kansai-Heathrow Flights by March '09
---------------------------------------------------------------
Japan Airlines International Company Limited is considering to
abolish flights between Kansai International Airport and
Heathrow Airport by March 2009, as part of the company's plan to
streamline its flight operations in response to surging fuel
costs Jiji Press reports.

The report relates, that the airline, which operates a daily
round-trip flight between Kansai and Heathrow, has suffered low
profitability due to weak demand from business users.

If push through, according to the Press, there will be no more
Japanese international flights to Kansai International Airport,
as Nippon Airways already terminated its flights between Kansai
and European destinations in November 2000.

As for domestic services, JAL plans to scrap flights between
Central Japan International Airport in Aichi Prefecture and
Fukuoka Airport in southern Japan by March 2009, the report
says.

As reported by the Troubled Company Reporter - Asia pacific on
July 14, 2008, Japan Airlines will end its flights to the
Fukushima Airport in late January next year, tolower domestic
passenger flight operations in response to higher fuel prices,
citing JAL officials.

                      About Japan Airlines

Tokyo-based Japan Airlines International Company Limited --
http://www.jal.com/en/-- was created as a result of the merger  
of Japan Airlines and Japan Air Systems to boost domestic
coverage.  Japan Airlines flies to the United States, Brazil and
France.

                          *     *     *

In April 2008, Fitch Ratings revised the Outlook on Japan
Airlines Corporation and its wholly owned operating subsidiary,
JAL International Co., Ltd.'s Long-term Issuer Default ratings
to Stable from Negative.  At the same time, Fitch affirmed both
companies' Long-term IDRs and ratings of outstanding bonds at
'BB-'.  The Outlook revision follows JAL's operational
turnaround and better liquidity.

In February 2007, Standard & Poor's Ratings Services affirmed
its 'B+' long-term corporate credit and issue ratings on Japan
Airlines Corp. (B+/Negative/--) following the company's
announcement of its new medium-term management plan.  S&P said
the outlook on the long-term corporate credit rating is
negative.


MITSUBISHI: Court Finds Executives Guilty, Fines US$1,900 Each
--------------------------------------------------------------
The Tokyo High Court has fined three of Mitsubishi Motors
Corp.'s former executives after finding them guilty of
falsifying reports of defective parts, various reports say.

Kiyori Ueno of Bloomberg News reports that in a reversal of an
earlier ruling, the Court fined former Mitsubishi Vice President
Takashi Usami, former Executive Director Akio Hanawa and former
Operating Officer Tadashi Koshikawa, JPY200,000 or (US$1,900)
each.

According to the Associated Press, the trial focus on whether
the executives tried to hide a wheel defect suspected of being
linked to the February 2002 fatality.  Shiho Okamoto, 29, was
killed when a wheel rolled off a Mitsubishi truck and crushed
her, while her two children were injured in the accident, the
report recounts.

Mitsubishi Motors, the Press relates, said it accepted the
ruling.  "We accept the ruling solemnly and vow again to prevent
the recall issue from recurring.  We will continue to work
together to establish compliance and recover public trust," the
company was cited by Bloomberg News as saying.

Meanwhile, Koji Endo, a senior analyst at Credit Suisse Group in
Tokyo, told Bloonberg News that "the impact of the ruling will
be minimal as Mitsubishi Motors split off the truck division.  
Nevertheless, the company still suffers to some extent from a
negative image among consumers."

                    About Mitsubishi Motors

Headquartered in Tokyo, Japan, Mitsubishi Motors Corporation
-- http://www.mitsubishi-motors.co.jp/-- is one of the few  
automobile companies in the world that produces a full line of
automotive products ranging from 660-cc mini cars and passenger
cars to commercial vehicles and heavy-duty trucks and buses.

The company also operates consumer-financing services and
provides this to its customer base.  MMC adopted the Mitsubishi
Motors Revitalization Plan on Jan. 28, 2005, as its three- year
business plan covering fiscal 2005 through 2007, after investor
DaimlerChrysler backed out from the company.  The main
objectives of the plan are "Regaining Trust" and "Business
Revitalization."

The company has operations worldwide, covering the United
States, Germany, the United Kingdom, Italy, the Netherlands, the
Philippines, Indonesia, Malaysia, China and Australia.  Its
products are sold in over 170 countries.

                          *     *     *

As reported by the Troubled Company Reporter-Asia Pacific on
May 29, 2008, Moody's Investors Service upgraded the senior
unsecured ratings of Mitsubishi Motors Corporation (MMC) and its
supported subsidiaries, Mitsubishi Motors Credit of America,
Inc., and MMC International Finance (Netherlands) B.V., to Ba2
from Ba3.  The rating outlook is positive.  The action concludes
the review initiated on February 22, 2008.


SHINSEI BANK: Fitch Affirms 'BB+' Support Rating Floor
------------------------------------------------------
Fitch Ratings has placed Shinsei Bank Ltd's Long-term foreign
and local currency 'BBB+' Issuer Default Ratings on Rating Watch
Negative.  The agency has affirmed Shinsei's other ratings at
Short-term foreign and local currency IDRs at 'F2', Individual
'C', Support '3', and Support Rating Floor 'BB+'.  Its senior
unsecured notes are affirmed at 'BBB+', subordinated notes at
'BBB' and junior subordinated notes at 'BBB-'.  The rating
action is pending Fitch's review of the bank's underlying
performance and risk profile in addition to the acquisition of
GE's personal loan portfolio as well as its credit card and
mortgage businesses.

For JPY580 billion, Shinsei will acquire a debt-free company
that will have substantial reserves to cover potential "grey-
zone" interest claims.  Beyond these reserves GE will also
provide an indemnity should grey-zone losses rise above a given
level.

Shinsei will be exposed to the credit risk in the acquired
portfolios i.e. arising from new defaults unrelated to "grey-
zone" claims.  There will also be some negative impact on
capital arising from the acquisition.  Shinsei expects its Tier
1 capital adequacy ratio at March 2009 i.e. after the
acquisition, to be just over 7% compared with 7.4% as at 31
March 2008.

The Rating Watch will be resolved once Fitch has assessed the
impact of the acquisition on the group's risk profile,
profitability, funding, liquidity and capital.  Some aspects of
the acquisition of GE's consumer lending business appear to
represent an attractive opportunity for Shinsei, which suggest
that the ratings may be affirmed rather than downgraded.



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

* MALAYSIA: Aseambankers Revises GDP Forecast Growth to 5.3%
-----------------------------------------------------------
Aseambankers Research has trimmed the country’s real gross
domestic product (GDP) growth for 2008 to 5.3% from its earlier
forecast of 5.7% due to the hikes in electricity tariffs and
industrial gas charges, the Edge Daily reports.

The report, citing Aseambankers, says that the 24% rise in
average electricity tariffs and 161%-188% hike in gas, coupled
with the 41% rise in petrol prices, would fuel inflationary
pressure for the second half of the year.

According to Aseambankers, the expected sectors to be most hit
are the transportation sector including aviation such as AirAsia
Bhd and Malaysian Airline System Bhd, consumer durable goods
(property and autos) players and also toll road concessionaires
such as PLUS Expressways Bhd and Lingkaran Trans Kota Holdings
Bhd, the report says.

The Edge Daily also noted Aseambankers as saying that the
current political scenario may also sidetrack the development
process while the rebalancing of priorities due to soaring costs
of building materials saw several key Ninth Malaysia Plan (9MP)
projects being deferred during the mid-term review.

Social infrastructure projects, according to the research house
are expected to hog the limelight for the remaining two-and-a-
half years of the 9MP as the government faces financial
constraints and social pressure amid the high food and fuel
prices, the Edge Daily recounts.


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

ACTIVE TRUCKING: Commences Liquidation Proceedings
--------------------------------------------------
The High Court at Auckland convened a hearing on July 2, 2008,
to consider an application putting Active Trucking Limited into
liquidation.

The application was filed on May 16, 2008, by the Commissioner
of Inland Revenue.

The plaintiff's address for service is at:

          Meredith Connell
          Level 17, Forsyth Barr Tower
          55-65 Shortland Street
          (PO Box 2213 or DX CP 24063)
          Auckland

S. J. Eisdell Moore, is the plaintiff's solicitor.


AKAU LTD: Wind-Up Petition Hearing Set for August 6
---------------------------------------------------
The High Court at Auckland will convene a hearing on Aug. 6,
2008, to consider an application putting Akau Ltd. into
liquidation.

The application was filed on May 12, 2008, by Allied Work Force
Limited.

The plaintiff's address for service is at:

          Rennie Cox
          Level 15
          126 Vincent Street
          Auckland


D. J. G. Cox, is the plaintiff's solicitor.


BLUE CHIP: Appointed Horton and Price as Liquidators
----------------------------------------------------
Pursuant to section 241(2)(a) of the Companies Act 1993,
Christopher Robert Ross Horton, chartered accountant, and
John Albert Price, insolvency practitioner, were appointed as
liquidators of Blue Chip Auckland Limited.

Creditors who were not able to file their proof of debts by
July 4, 2008, were excluded from any dividend distribution.

Creditors and shareholders may direct their inquiries to:

          Horton Price Limited
          PO Box 9125
          Newmarket, Auckland
          Telephone: (09) 366 3700
          Facsimile: (09) 366 3705


C P CITY: Commences Liquidation Proceedings
-------------------------------------------
The High Court at Auckland convened a hearing on July 2, 2008,
to consider an application putting C P City Holdings Limited
into liquidation.

The application was filed on May 15, 2008, by the Commissioner
of Inland Revenue.

The plaintiff's address for service is at:

          Inland Revenue Department
          Legal and Technical Services
          17 Putney Way (PO Box 76198)
          Manukau, Auckland 2241
          Telephone: (09) 985 7274
          Facsimile: (09) 985 9473

Sandra Joy North is the plaintiff's solicitor.


CASH 4: Appoints Grant and Khov as Liquidators
----------------------------------------------  
Pursuant to Section 241(2)(a) of the Companies Act 1993, Damien
Grant and Steven Khov, insolvency practitioners, were appointed
joint and several liquidators of Cash 4 Scrap (2008) Limited.

Creditors who were not able to file their proof of debts by
July 11, 2008, were excluded from any dividend distribution.

The Liquidators can be reached at:

          Waterstone Insolvency
          PO Box 352, Auckland
          Freephone: 0800CLOSED
          Facsimile: 0800FAXWSI


EASTERN ENGINEERING: Commences Liquidation Proceedings
------------------------------------------------------
The High Court at Wellington convened a hearing on June 30,
2008, to consider an application putting Eastern Engineering
(2002) Limited into liquidation.

The application was filed on May 20, 2008, by the Fletcher Steel
Limited.

The plaintiff's address for service is at:

          Anthony Harper
          Lawyers
          Level 5
          Anthony Harper Building
          47 Cathedral Square (PO Box 2646)
          Christchurch
          Facsimile: (03) 366 9277

Crispin Ross Vinnell, is the plaintiff's solicitor.


L. REEVE: Liquidators Set July 31 as Claims Bar Date
----------------------------------------------------
Pursuant to Section 241 of the Companies Act 1993, the
shareholders of L. Reeve Construction Limited has appointed Peri
Micaela Finnigan and Boris van Delden, insolvency practitioners
of Auckland as liquidators.

The Liquidators set July 31, 2008, as the last day for creditors
to file their proofs of debt.

The Liquidators can be reached at:

          Peri Finnigan
          McDonald Vague
          PO Box 6092
          Wellesley Street
          Post Office, Auckland
          Telephone: (09) 303 0506
          Facsimile: (09) 303 0508
          Website: www.mvp.co.nz


MOBILE PROPERTY: High Court Appoints Liquidators
------------------------------------------------
Pursuant to Section 255(2)(a) of the Companies Act 1993, the
High Court at Auckland has appointed Iain Bruce Shephard and
Christine Margaret Dunphy, as liquidators of Mobile Property
Sales Limited.

The Liquidators can be reached at:

          Shephard Dunphy Limited
          Level 2, Zephyr House
          82 Willis Street, Wellington
          Telephone: (04) 473 6747
          Facsimile: (04) 473 6748


NAZIA SEA: Commences Liquidation Proceedings
--------------------------------------------
The High Court at Auckland convened a hearing on July 2, 2008,
to consider an application putting Nazia Sea & Air Freight
Limited into liquidation.

The application was filed on May 20, 2008, by the Commissioner
of Inland Revenue.

The plaintiff's address for service is at:

          Inland Revenue Department
          Legal and Technical Services
          17 Putney Way (PO Box 76198)
          Manukau, Auckland 2241
          Telephone: (09) 985 7274
          Facsimile: (09) 985 9473

Sandra Joy North is the plaintiff's solicitor.


PLUS SMS: Incurs NZ$6,957,261 Net Loss in FY2008
------------------------------------------------
Plus SMS Holdings Limited's board of directors have resolved to
be paid entirely in PLS shares as consideration for their
services.

The change in remuneration will be proposed to shareholders at
the Annual General Meeting scheduled for early September.

In an unrelated matter, Plus SMS also said that Ken Millar has
resigned as a director of the company with immediate effect.

                  Full Year Financial Results

Plus SMS' financial results for the financial year ended
March 31, 2008, showed total consolidated revenue of
NZ$5,602,455 compared with NZ$1,113,613 last year.  

The Company posted a net loss for the year of NZ$6,957,261,  a   
41% improvement compared to 2007.

During the year the company continued to grow and generate
revenues while posting a sharp reduction in operating losses.  
At the same time, the company made considerable investments to
strengthen its position in the mobile content and connectivity
services markets.

Les Coates, Chief Financial Officer, commented: "The results
demonstrate progress from last year, but are below our original
expectations.  Our main business focus for the past year has
been developing and implementing our Microsoft Windows Live(TM)
for mobile service offering.  The resources required to deliver
this service has increased costs and delayed other revenue
generating initiatives.  However, having successfully launched
the service in Brazil in March, we expect to see a much improved
financial performance in this coming financial year."

Mr. Coates added: "The Annual General Meeting is provisionally
scheduled for early September and we would encourage all
shareholders to attend in order to receive a comprehensive
business overview and update."

The basic consolidated loss per share was NZ 1.83 cents (2007:
NZ 3.38 cents), a 45% improvement on last year.  On a fully
diluted basis the consolidated loss was NZ 1.39 cents (2007: NZ
2.56 cents).  The directors do not recommend the payment of a
dividend for the year.

                      About Plus SMS

Plus SMS Holdings Ltd. (NZX: PLS) -- http://www.cre-eight.com/
-- is the parent company of Plus SMS Limited.  It provides
access to businesses to the number ranges required for the
routing of short message service and multimedia messaging system
messages worldwide using a single short number.  On July 4,
2005, Plus SMS Limited acquired Plus SMS Holdings Limited in a
reverse acquisition.

The company suffered at least two years of consecutive
consolidated net losses: NZ$11,888,229 for the financial year
ended March 31, 2007, and NZ$4,488,542 for the year ended
March 31, 2006.


SUPERBOWL LTD: Wind-Up Petition Hearing Set for July 21
-------------------------------------------------------
The High Court at Palmerston North will convene a hearing on
July 21, 2008, to consider an application putting Superbowl
Limited into liquidation.

The application was filed on May 21, 2008, by Valor Ideal
Limited.

The plaintiff's address for service is at:

          Mark Dobson
          Lawyers
          3rd Floor, Semper Building
          157 Broadway Avenue, Palmerston North

M. S. Dobson is the plaintiff's solicitor.


* NEW ZEALAND: Annual Food Price Increase Reaches 18-year High
--------------------------------------------------------------
For the year to June 2008, food prices rose 8.2 percent.  This
is the highest annual increase since June 1990, Statistics New
Zealand said.

All five subgroups recorded upward contributions to the annual
increase, with the most significant upward contribution coming
from higher prices for the grocery food subgroup (up 12.1
percent).  Within this subgroup, the main contributions came
from higher prices for fresh milk (up 22.0 percent), cheddar
cheese (up 61.9 percent), bread (up 15.2 percent), and butter
(up 86.6 percent).

The remaining four subgroups recorded, in order of significance,
the following upward contributions: restaurant meals and ready-
to-eat food (up 5.5 percent), fruit and vegetables (up 8.7
percent), meat, poultry and fish (up 4.4 percent), and non-
alcoholic beverages (up 4.9 percent).

Food prices increased 1.3 percent in the June 2008 month.  The
increase was mainly due to higher prices for the following
subgroups: fruit and vegetables (up 5.2 percent), meat, poultry
and fish (up 1.3 percent), and grocery food (up 0.4 percent).

Within the fruit and vegetables subgroup, the main contributor
to the 5.2 percent increase were higher prices for fruit (up 9.7
percent).  The increase was driven in particular by oranges (up
28.9 percent), apples (up 13.1 percent), and peaches (up 79.0
percent).  Vegetable prices (up 2.6 percent) also made an upward
contribution to this subgroup. The increase was driven by higher
prices for lettuce (up 34.4 percent), which was partially offset
by lower prices for tomatoes (down 18.8 percent).

The rise in prices for the meat, poultry and fish subgroup
mainly came from higher prices for poultry (up 4.8 percent).


* NEW ZEALAND: Consumer Price Index Increases 1.6% in June
----------------------------------------------------------
The Consumers Price Index (CPI) increased 1.6 percent in the
June 2008 quarter, the highest since the June 1990 quarter (1.8
percent), Statistics New Zealand said.

Increases in transport prices made the most significant upward
contribution to the CPI this quarter, in particular the increase
in petrol.

Transport prices increased 4.9 percent in the June 2008 quarter,
with the main contribution coming from increases in petrol
prices (up 12.8 percent).  Other significant contributions came
from diesel, domestic air transport, and international air
transport.

Prices for the food group were up 2.2 percent in the June 2008
quarter, mainly due to price increases for grocery food,
vegetables, and restaurant meals and ready-to-eat food.

The housing and household utilities group recorded an overall
increase of 1.2 percent. The increase in this group was mainly
due to price increases in electricity.

For the year to the June 2008 quarter, the CPI increased 4.0
percent, following a rise of 3.4 percent for the year to the
March 2008 quarter.  The last time the CPI increased by more
than 4 percent for the year was the June 1995 quarter (4.6
percent).

Higher prices for petrol (up 25.9 percent) made the most
significant individual contribution to the increase in the CPI
for the year to June 2008. If petrol prices had remained
constant from the June 2007 quarter, the CPI would have risen
2.7 percent for the year to the June 2008 quarter.



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

COLLEGE ASSURANCE: Wants Court OK to Sell Bank of Commerce Stake  
----------------------------------------------------------------
College Assurance Plan Philippines Inc. (CAP) has asked for
court permission to sell its 19 percent shareholding in Bank of
Commerce to raise about PHP1 billion, Philippine Daily Inquirer
reports.

According to the report, the sale is part of CAP's revised
business plan for corporate rehabilitation, which needs to pay
benefits of pre-need plan holders for 2007 and 2008, worth
roughly PHP2 billion.

The Inquirer also noted that the group also plans to sell Bank
of Commerce shares held by CAP Retirement, CAP Pension and other
CAP stockholders, to raise an additional PHP200 million, which
would round off the proceeds to roughly PHP1 billion.

                   About College Assurance Plans

College Assurance Plans Philippines, Incorporated
-- http://www.cap.com.ph/-- began in 1980 with the birth of its
parent firm - College Assurance Plan.  CAP has since expanded
its business to the areas of Pre-need Pension, Distance
Learning, Health Maintenance, Life Insurance, Information
Technology, Financing, Communications and General Insurance.

As of end-2003, CAP's trust fund deficiency amounted to
PHP17.2 billion.  According to the Securities and Exchange
Commission, the Company's trust fund assets, which were managed
by trustee banks, had not grown sufficiently to match its total
actuarial reserve liabilities, or its net liability to plan
holders worth PHP25.6 billion.  CAP recorded a PHP2.8 billion
loss in 2003, up from PHP403.3 million in 2002.

As stated in a September 5, 2005 report by Troubled Company
Reporter - Asia Pacific, CAP blamed its financial difficulties
on the SEC's imposition of the Pre-need Uniform Chart of
Accounts in 2002, claiming that it resulted in CAP's "bloated
yet theoretical" trust fund deficiency.  The SEC suspended the
Company's license in 2004 due to its alleged trust fund
deficiency from the application of the PNUCA.  CAP filed a
rehabilitation petition with the Makati Regional Trial Court
last year.


* PHILIPPINES: IIF Downgrades Country's Growth Outlook
------------------------------------------------------
The Institute of International Finance (IIF) has down-scaled its
growth projections for the Philippines, taking into account the
weakening external demand for Philippine exports and rising
commodity prices, Business World reports.

Business World, citing IFF's  most recent summary appraisal of
the country, says that the local economy could grow by 5.2% this
year, down from the 6.5% forecast it made last April.

The report adds that the latest forecast was lower than the
government’s own assumption of 5.7%-6.6%, and last year’s actual
three-decade high growth rate of 7.3%.

"The 2007 economic bliss of strong growth, moderate inflation
and buoyant balance of payments has quickly become a memory,"
IIF in its research note, was quoted by Business World as
saying.

IFF was also quoted as saying that, "adverse developments at
home and abroad are set to slow real GDP [gross domestic
product] growth from a three-decade high," the report added.

According to IIF, the economic expansion lost its momentum
following the steep rise in prices of fuel and food, as well as
the weakening demand for Philippine exports, which was a result
of the slowing economies of the major export markets of the
country, Business World noted.



===========
T A I W A N
===========

EVA AIRWAYS: To Cut Int'l Flights by 10% on Soaring Fuel Prices
---------------------------------------------------------------
EVA Airways plans to cut international flights by up to 10% due
to the pressure of soaring fuel costs, Economic Times reports.

According to the report, the reduction in the three months to
November would eliminate 60 to 80 flights.  "Long-haul flights,
in particular, to Amsterdam, Los Angeles and San Francisco will
be most affected.  We expect the flight cuts will alleviate
pressure from high fuel costs," a spokeswoman told the Times.

The airline, the report relates, would evaluate whether to
continue the cuts after the three-month period.

EVA Airways posted a loss of NT$2.29 billion (US75.27 million
US) in the three months to March, after slumping US$1.87 billion
dollars into the red in 2007.

                        About Eva Airways

Eva Airways Corporation --
http://www.evaair.com/html/b2c/Chin... --  is principally  
engaged in the provision of passenger and cargo transportation
services throughout Asia, Europe, the Americas and Oceania. The
Company’s passenger air transportation services include regular
flights and regular and irregular charter flights.  It also
provides air cargo, mail and package transportation services.  
In addition, the company sells duty-free items on airplanes.
During the year ended December 31, 2007, the company obtained
53% and 41% of its total revenue from its passenger
transportation and cargo transportation services, respectively.


* FITCH: Taiwan-based Telcos Carry “Medium” Inflation Risks
-----------------------------------------------------------
Fitch Ratings said that inflation risks carried by each Taiwan-
based Fitch-rated Telecommunications, Media & Technology entity
are generally considered to be medium by global standards. Fitch
has just published a special report, "Inflation Risk Assessment
of Taiwanese TMT Companies", assessing the potential impact of a
rise in inflation on eight Fitch-rated companies operating in
Taiwan's TMT sector.

Recent increases in the inflation rates around the world have
prompted Fitch to carry out portfolio reviews across its
universe of ratings.  The agency believes the expected increase
in inflation globally in 2008 will present a greater cash flow
challenge to Taiwanese TMT companies when compared to 2007.

Fitch notes that inflation risk to companies is most likely
related to their demand price elasticity, revenue mix, cost
structure, capital intensity and refinancing activities.  "In
terms of protecting themselves from inflationary pressures,
technology companies are weaker than the country's telecoms
operators but are stronger than local media providers.  Having
said this, none of these companies are exposed to very high
inflation risks," says Kevin Chang, Associate Director with
Fitch's TMT team.

The report has assigned an "inflation risk score" to each of the
eight Fitch-rated TMT entities.  The entities assessed in the
report in ascending "inflation risk score" order are: Chunghwa
Telecom Co., Ltd. ('AA'/Stable Outlook), Taiwan Semiconductor
Manufacturing Company Limited ('A-'/Stable Outlook), United
Microelectronics Corporation ('BBB'/Stable Outlook), Acer Inc.
('BBB-'/Stable Outlook), ASUSTeK Computer Inc. ('BBB-'/Stable
Outlook), AU Optronics Corporation ('BB+'/Positive Outlook),
Quanta Computer Inc. ('BB'/Positive Outlook), and Eastern
Broadcasting Co., Ltd. ('BB-'/Negative Outlook).

Fitch expects inflation in 2008 to rise to its highest level
since 1999: Western Europe and North America are likely to
witness an average inflation rate of 3.3% from 2.2% in 2007,
while the inflation rate of 'BB'-rated countries is likely to go
up to 9.5% from 7.9%.  In Fitch's view, inflation in 2009 will
decline but is likely to stay above the 2003 to 2007 average.

The agency says companies that have limited ability to absorb
rising costs or adjust their operations accordingly will be more
directly impacted by inflation.  Fitch notes that the greater
the characteristics mentioned hereafter, the greater the
exposure of an entity to inflation risk: price elasticity of
product demand, the percentage of operating costs/expenses, the
percentage of export to emerging countries, the level of capital
intensity and refinancing needs.



===============
X X X X X X X X
===============

* Fannie Mae and Freddie Mac Crisis Reach Asia-Pacific
------------------------------------------------------
Asian central banks and financial institutions are major holders
of U.S. debt and are believed to own substantial portions of
debt for Fannie Mae and Freddie Mac, The Wall Street Journal
says.

According to U.S. Treasury Department data cited by WSJ,
foreigners owned 21.4%, or US$1.3 trillion, of the total
outstanding long-term debt issued by U.S. government agencies as
of June 2007, with China and Japan being the largest investors
in such securities, holding US$376 billion and US$229 billion,
respectively.

As reported yesterday in the Troubled Company Reporter-Asia
Pacific, the Board of Governors of the Federal Reserve System
granted the Federal Reserve Bank of New York on Sunday authority
to lend to Fannie Mae and Freddie Mac should such lending prove
necessary.  Any lending would be at the primary credit rate and
collateralized by U.S. government and federal agency securities.  
The authorization is intended to supplement the Treasury's
existing lending authority and to help ensure the ability of
Fannie Mae and Freddie Mac to promote the availability of home
mortgage credit during a period of stress in financial markets.

WSJ says the news sent Asian indexes tumbling Tuesday, as
concern over the health of the U.S. financial sector deepened
despite the rescue plan.

Bloomberg News reports that Japan's top three banks said they
held US$44 billion of debt issued by U.S. mortgage lenders
including Fannie Mae and Freddie Mac, prompting Yoshimi
Watanabe, head of Japan's financial regulator, to warn public
about holding Fannie Mae and Freddie Mac debt.

Citing sources, Bloomberg News says Mitsubishi UFJ had JPY3.3
trillion in bonds issued by U.S. government-backed companies
including Fannie Mae and Freddie Mac as of March 31, Sumitomo
Mitsui had JPY219.8 billion, while Mizuho had JPY1.2 trillion.  

Stocks of China's banks and insurers also fell the most in two
weeks with Ping An Insurance (Group) Co. losing 4.9 percent to
CNY41.09, China Life Insurance Co. dropping 5.6 percent to
CNY23.93 and Shanghai Pudong Development Bank Co. declining 6.2
percent to CNY22.05.

Taiwan's Cathay Financial Holding Co. also held more than US$6
billion in debt issued by the two U.S. Companies, according to
Bloomberg News.

In Hong Kong, Bloomberg News says Industrial and Commercial Bank
of China Ltd. led the declines after plunging the most in five
weeks.  ICBC, the report notes, held US$1.22 billion of U.S.
subprime-related securities at the end of March.

In India, even though Indian banks have little exposure to the
US housing sector, they are not free from the repercussions of
the negative sentiment in the sector across the globe, The Times
of India relates.

In Australia, Bloomberg News says S&P/ASX 200 Index fell to its
lowest in almost 2-1/2 years on concern bank losses will widen
after the collapse of U.S. lender IndyMac Bancorp Inc.

Bloomberg News says National Australia Bank Ltd., which planned
to increase provisions for US$1.1 billion of debt investments,
tumbled to its lowest since September 2001, while Australia &
New Zealand Banking Group Ltd. fell to its lowest since Dec.
2003.

                        About Freddie Mac

The Federal Home Loan Mortgage Corporation -- (FHLMC) NYSE: FRE
-- commonly known as Freddie Mac, is a stockholder-owned
government-sponsored enterprise authorized to make loans and
loan guarantees.  Freddie Mac was created in 1970 to provide a
continuous and low cost source of credit to finance America's
housing.

Freddie Mac conducts its business primarily by buying mortgages
from lenders, packaging the mortgages into securities and
selling the securities -- guaranteed by Freddie Mac -- to
investors.  Mortgage lenders use the proceeds from selling loans
to Freddie Mac to fund new mortgages, constantly replenishing
the pool of funds available for lending to homebuyers and
apartment owners.

                         About Fannie Mae

The Federal National Mortgage Association -- (FNMA) (NYSE: FNM)
-- commonly known as Fannie Mae, is a shareholder-owned U.S.
government-sponsored enterprise.  Fannie Mae has a federal
charter and operates in America's secondary mortgage market,
providing mortgage bankers and other lenders funds to lend to
home buyers at low rates.

Fannie Mae was created in 1938, under President Franklin D.
Roosevelt, at a time when millions of families could not become
homeowners, or risked losing their homes, for lack of a
consistent supply of mortgage funds across America.  The
government established Fannie Mae to expand the flow of mortgage
funds in all communities, at all times, under all economic
conditions, and to help lower the costs to buy a home.

In 1968, Fannie Mae was re-chartered by the U.S. Congress as a
shareholder-owned company, funded solely with private capital
raised from investors on Wall Street and around the world.

Fannie Mae is the U.S. largest mortgage buyer, according to The
New York Times.

                         *********

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 ***