/raid1/www/Hosts/bankrupt/TCRAP_Public/080717.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
Thursday, July 17, 2008, Vol. 11, No. 141
Headlines
A U S T R A L I A
A.C.N. 102 609 825: Final Meeting Slated for July 24
AXIS STEEL: Members and Creditors to Meet on July 25
BCS SCAFFOLDING: Final Meeting Set for July 24
BEED MICMARCY: Liquidator to Present Wind-Up Report on July 25
CARLING INDUSTRIES: Final Meeting Slated for July 25
DEVTECH INTERNATIONAL: Final Meeting Set for July 25
DISTELL (AUSTRALIA): Members and Creditors to Meet on July 25
FORBIO ASIA: Final Meeting Slated for July 25
FORBIO TECHNOLOGIES: Members and Creditors to Meet on July 25
GARVEY & GRAHAM: Final Meeting Slated for July 25
JULIO VALDE'S: Members and Creditors to Meet on July 25
UNIVERSAL PASTORAL: Final Meeting Set for July 25
C H I N A
CHINA FRUITS: Net Loss Narrows to US$310,146 in 2007
SHANGHAI PUDONG: Plans to Invest in Laishang Bank
H O N G K O N G
ASCENTIAL HONG KONG: Shareholder's Final Meeting Set for Aug. 8
CITIC RESOURCES: Ex-Banker Faces Insider Dealing Charges
CITY SPARKLE: Commences Liquidation Proceedings
JFAC CORPORATED: Appoints Soutar and Jackson as Liquidators
JOHN & MIKE: Members to Receive Wind-Up Report on August 5
KAM KUEN: Creditors' Proofs of Debt Due on July 20
LEE GARDENS: Members to Meet on August 5
LIGHTSCAPE TECH: FY2008 Revenue Drops 56%, Posts US$9.4MM Loss
LUEN BONG: Members' Final General Meeting Set for August 6
OVADIA DIAMONDS: Appoints Chan Kin Hang as Liquidator
PRD ELECTRONICS: Members' Final General Meeting Set for Aug. 5
REUNITED LIMITED: Names Lee King Yue as Liquidator
SINO STATES: Creditors' Proofs of Debt Due on July 20
TISCO SECURITIES: Placed Under Voluntary Liquidation
TOPWEALTH INTERNATIONAL: Creditors' Meeting Set for July 18
UNIVERSAL VENTURE: Liquidators Quit Post
I N D I A
GENERAL MOTORS: Inks Training Partnership Deal W/ Gujarat Gov't
GENERAL MOTORS: To Bolster Liquidity by US$15 Bil. Through 2009
GENERAL MOTORS: S&P Retains Negative Watch After Cost Reductions
GENERAL MOTORS: Moody's Reviews Ratings for Possible Downgrade
TATA MOTORS: To Raise US$1 Bil. Through Debt or Equity Issue
TTL LIMITED: CARE Rates at Long-Term Bank Facilities at ‘BB+’
UJJAIN MUNICIPAL: Fitch Assigns 'BB(ind)' Nat'l Long-Term Rating
* CRISIL: Liquidity Pressures in Realty Could Lead to Shakeout
* CRISIL: Import Duty Removal Will Not Lower Cotton Prices
* India's Investment Credit Rating Risks Downgrade
J A P A N
FORD MOTOR: Maintains Negative Outlook on Company Ratings
NIPPON STEEL: Increases Plate Prices to Offset Production Costs
* S&P Withdraws Unsolicited Ratings on Six Japanese Issuers
M A L A Y S I A
HALIFAX CAPITAL: Bourse to Remove Securities on July 25
MANGIUM IND: Securities to be Removed from Bourse on July 25
PECD BERHAD: Faces F.H. Bertling's Wind-Up Petition
WEMBLEY IND: Securities to be Removed from Bourse on July 25
N E W Z E A L A N D
BARBADOES CONSTRUCTION: Wind-Up Petition Hearing Set for Aug. 27
C P WELLINGTON: Commences Liquidation Proceedings
CIVENCO CONSTRUCTION: Liquidator Sets July 18 as Claims Bar Date
DENIM PARNELL: Liquidator Sets July 18 as Claims Bar Date
EVERGREEN PROPERTIES: Wind-Up Petition Hearing Set for August 27
SAI CONSTRUCTION: Wind-Up Petition Hearing Set for August 22
SPMM HOLDINGS: Liquidator Sets July 18 as Claims Filing Deadline
SYDENHAM AUTO: Liquidators Sets July 18 as Claims Bar Date
TASMAN CLEANING: Proofs of Debt Due on July 18
URBAN LAND: Commences Liquidation Proceedings
P H I L I P P I N E S
PSI TECHNOLOGIES: Auditor Expresses Going Concern Doubt
S I N G A P O R E
ENZER CORPORATION: Schedules Annual Meeting on July 30
INFORMATICS EDUCATION: 25th Annual Meeting Set for July 31
INTELSAT: Moody's Affirms Caa1 Corporate Family Rating
NEXGEN PETROLEUM: Losses Prompt Auditors' Going Concern Doubt
- - - - -
=================
A U S T R A L I A
=================
A.C.N. 102 609 825: Final Meeting Slated for July 24
----------------------------------------------------
A.C.N. 102 609 825 Pty Limited fka Clark Cohen Pty Ltd will hold
a final meeting for its members and creditors at 10:30 a.m. on
July 24, 2008. During the meeting, the company's liquidator
Robert Elliott, will provided attendees with property disposal
and winding-up reports.
The liquidator can be reached at:
Robert Elliott
Hall Chadwick
Level 29, 31 Market Street
Sydney NSW 2000
Australia
AXIS STEEL: Members and Creditors to Meet on July 25
----------------------------------------------------
Axis Steel Fixing Pty Ltd will hold a final meeting for its
members and creditors at 12:00 a.m. on July 25, 2008. During
the meeting, the company's liquidator Schon G. Condon RFD, will
provided attendees with property disposal and winding-up
reports.
The liquidator can be reached at:
Schon G. Condon RFD
Condon Associates
Level 6, 87 Marsden Street
Parramatta NSW
Australia
Telephone: (02) 9893 9499
BCS SCAFFOLDING: Final Meeting Set for July 24
----------------------------------------------
BCS Scaffolding Pty Ltd will hold a final meeting for its
members and creditors at 10:00 a.m. on July 24, 2008. During
the meeting, the company's liquidator Brent Kijurina, will
provided attendees with property disposal and winding-up
reports.
The liquidator can be reached at:
Brent Kijurina
Hall Chadwick
Level 29, 31 Market Street
Sydney NSW 2000
Australia
BEED MICMARCY: Liquidator to Present Wind-Up Report on July 25
--------------------------------------------------------------
Beed Micmarcy Australia Pty Ltd will hold a final meeting for
its members and creditors at 10:30 a.m. on July 25, 2008.
During the meeting, the company's liquidator Schon G. Condon
RFD, will provided attendees with property disposal and winding-
up reports.
The liquidator can be reached at:
Schon G. Condon RFD
Condon Associates
Level 6, 87 Marsden Street
Parramatta NSW
Australia
Telephone:(02) 9893 9499
CARLING INDUSTRIES: Final Meeting Slated for July 25
----------------------------------------------------
Carling Industries Pty Ltd will hold a final meeting for its
members and creditors at 11:30 a.m. on July 25, 2008. During
the meeting, the company's liquidator Schon G. Condon RFD, will
provided attendees with property disposal and winding-up
reports.
The liquidator can be reached at:
Schon G. Condon RFD
Condon Associates
Level 6, 87 Marsden Street
Parramatta NSW
Australia
Telephone:(02) 9893 9499
DEVTECH INTERNATIONAL: Final Meeting Set for July 25
----------------------------------------------------
Devtech International 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
DISTELL (AUSTRALIA): Members and Creditors to Meet on July 25
-------------------------------------------------------
Distell (Australia) Pty Ltd will hold a final meeting for its
members and creditors at 11:00 a.m. on July 25, 2008. During
the meeting, the company's liquidator Schon G. Condon RFD, will
provided attendees with property disposal and winding-up
reports.
The liquidator can be reached at:
Schon G. Condon RFD
Condon Associates
Level 6, 87 Marsden Street
Parramatta NSW
Australia
Telephone: (02) 9893 9499
FORBIO ASIA: Final Meeting Slated for July 25
---------------------------------------------
Forbio Asia 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
FORBIO TECHNOLOGIES: Members and Creditors to Meet on July 25
-------------------------------------------------------------
Forbio Technologies 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
GARVEY & GRAHAM: Final Meeting Slated for July 25
-------------------------------------------------
Garvey & Graham Piano Removalists Pty Ltd will hold a final
meeting for its members and creditors at 10:30 a.m. on July 25,
2008. During the meeting, the company's liquidator Daniel I.
Cvitanovic, will provided attendees with property disposal and
winding-up reports.
The liquidator can be reached at:
Daniel I. Cvitanovic
Shop 5, Old Potato Shed
74-76 Hoddle Street
(PO Box 55)
Robertson NSW 2577
Australia
Telephone: (02) 4885 2500
Facsimile: (02) 4885 2995
JULIO VALDE'S: Members and Creditors to Meet on July 25
-------------------------------------------------------
Julio Valde's Australia 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 Schon G. Condon
RFD, will provided attendees with property disposal and winding-
up reports.
The liquidator can be reached at:
Schon G. Condon RFD
Condon Associates
Level 6, 87 Marsden Street
Parramatta NSW
Australia
Telephone: (02) 9893 9499
UNIVERSAL PASTORAL: Final Meeting Set for July 25
-------------------------------------------------
Universal Pastoral Pty Ltd will hold a final meeting for its
members and creditors at 12:30 a.m. on July 25, 2008. During
the meeting, the company's liquidator Schon G. Condon RFD, will
provided attendees with property disposal and winding-up
reports.
The liquidator can be reached at:
Schon G. Condon RFD
Condon Associates
Level 6, 87 Marsden Street
Parramatta NSW
Australia
Telephone: (02) 9893 9499
=========
C H I N A
=========
CHINA FRUITS: Net Loss Narrows to US$310,146 in 2007
----------------------------------------------------
China Fruits Corp.'s net loss for the year ended December 31,
2007, decreased by US$481,906, to US$310,146 from US$792,052 in
the year ended December 31, 2006.
According to the company, the decrease in net loss was due
primarily to the decrease in non-cash consulting expenses, which
was US$361,666 and US$752,584 for the years ended December 31,
2007 and 2006, respectively.
The company said the non-cash consulting expenses were the
result of the issuance of 3,900,000 shares of common stock for
services in connection with general management consulting and
advisory services.
The company recorded gross revenues of US$1,896,887 and
US$1,242,705 for the years ended December 31, 2007 and 2006,
respectively, an increase of $654,182, due primarily to sales of
tangerine, non-alcoholic and alcoholic beverages.
The company's balance sheet as of December 31, 2007, showed
total assets of US$1,905,437, total liabilities of US$781,089
and total stockholders’ equity of US$1,124,348.
The company's balance sheet as of December 31, 2007, also showed
strained liquidity with US$135,036 in total current assets
available to pay US$699,092 in total current liabilities.
A full-text copy of the company's financial statements is
available for free at http://researcharchives.com/t/s?2f89
Going Concern Doubt
On April 3, 2008, after auditing the company's financial
statements for the year ended December 31, 2007, Lake &
Associates CPA’s LLC in Boca Raton, Florida, expressed
substantial doubt about China Fruits Corp.'s ability to continue
as a going concern citing the company's substantial losses.
About China Fruits Corp.
Headquartered in Jiang Xi Province, China, China Fruits Corp. --
http://www.china-fruits.com.cn/-- is principally engaged in
manufacturing, trading and distributing fresh tangerine, non-
alcoholic and alcoholic beverages in the People’s Republic of
China through Jiangxi Taina Nanfeng Orange Co., Ltd. formerly
Jiang Xi Tai Na Guo Ye You Xian Gong Si (Tai Na). Tai Na is
located in Nan Feng County, Jiang Xi Province, the agricultural
area for tangerine in China. The company has two self-owned,
one-story plants, total area of which is approximately 45,800
square feet. In order to assist in further expansion in the
tangerine markets, the company acquired the assets of Royal
NanFeng Orange Science & Technology Co., Ltd. (Royal), its
former tangerine supplier, in 2007. After acquisition of Royal,
the company has additional two-story plant with total area of
66,003 square feet, and one-story plant with total area of 9,125
square feet.
SHANGHAI PUDONG: Plans to Invest in Laishang Bank
-------------------------------------------------
Shanghai Pudong Development Bank Co. plans to invest in Laishang
Bank as it expands beyond its home base, Jiang Jianguo and Luo
Jun of Bloomberg News reports.
According to the report, Laishang Bank, with 22 outlets in the
city of Laiwu, had CNY12.9 billion (US$1.9 billion) of assets
and CNY307 million of net income in 2007. No details of the
planned transactions was mentioned.
Meanwhile, the report relates, Pudong Bank will also invest as
much as CNY37.5 million to establish a rural bank in Mianzhu
city in southwestern Sichuan province, which will result to
Pusong Bank owning no more than 75% of the unit.
Pudong Bank is expanding to generate more profit from other
regions, and is aiming for a 50% increase in profit to
CNY10 billion in 2008, the report says.
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 continues to carry Moody's Investors Service's "Ba1"
long-term bank deposit rating and “D” bank financial strength
rating. It also carries Fitch Ratings' "D" individual rating.
===============
H O N G K O N G
===============
ASCENTIAL HONG KONG: Shareholder's Final Meeting Set for Aug. 8
---------------------------------------------------------------
A final general meeting will be held for the sole shareholder of
Ascential Hong Kong Limited on August 8, 2008, at 10:00 a.m., at
the 8th Floor & 10-13th Floor of PCCW Tower, Taikoo Place, 979
King's Road, Hong Kong.
At the meeting, Chan Wah Tip, Michael and Ho Man Kei, Keith –
the company's liquidators -- will give a report on the
company's wind-up proceedings and property disposal.
CITIC RESOURCES: Ex-Banker Faces Insider Dealing Charges
--------------------------------------------------------
Former Morgan Stanley managing director, Du Jun, has been
arrested and charged with insider trading in Hong Kong, The
Associated Press reports, citing the local securities watchdog.
Jeffrey Hodgson of Reuters reports that the insider dealing
charges was linked to trades in CITIC Resources Holdings Ltd.
Mr. Jun, Market Watch News relates, is accused of buying 26.7
million shares of Citic Resources, for about HK$86 million
(US$11.02 million), from Feb. 15 to April 30, 2007, at the same
time he was advising the Chinese company on the US$1 billion
purchase of an oil field in Kazakhstan.
"On 30 April 2007, the last day Du was alleged to have bought
CITIC Resources shares, the share price of CITIC Resources
closed at HK$3.68. The price rose by 13.86 percent to HK$4.19
on the day of the announcement," Reuters cited the Chinese
regulator as saying.
According to The Press, Morgan Stanley dismissed Du and reported
the alleged incident to the SFC. Morgan Stanley said: "The
alleged wrongdoing by a former employee of our firm is an
egregious violation of Morgan Stanley's values and policies.
This conduct was identified by the firm's own compliance systems
and reported to the SFC in May 2007. Morgan Stanley expects all
of our employees to uphold the highest ethical standards. We
will continue to provide any assistance sought by the
authorities in its prosecution of those who take personal
advantage of the trust of our clients and the firm."
Mr. Jun couldn't be reached for comment, while Citic Resources
refused to comment, Market News says.
According to Hong Kong's Securities and Futures Ordinance, a
person who commits insider dealing faces a fine of up to
HK$10 million and up to 10 years in jail.
About CITIC Resources
Incorporated in Bermuda in 1997, CITIC Resources has its shares
listed on the Hong Kong Stock Exchange. The company positions
itself as an integrated provider of key commodities and
strategic natural resources with particular focus in oil
business. The principal activities of the company and its
subsidiaries are in the fields of oil, aluminium, coal, import
and export of commodities, manganese and iron ore. CITIC Group
(formerly China International Trust and Investment Corporation)
became the majority controlling shareholder of the Company in
March 2004, indirectly holding interest in the Company of over
54%.
* * *
The Troubled Company Reporter-Asia Pacific reported on June 3,
2008, that Moody's Investors Service affirmed the Ba2 corporate
family rating on CITIC Resources Holdings Ltd (CITIC Resources)
and the Ba2 rating on the US$1 billion in 7-year unsecured
senior notes issued by CITIC Resources Finance (2007) Ltd and
guaranteed by CITIC Resources. The ratings outlook is stable.
The company continues to carry Standard & Poor's Ratings
Services' 'BB+' rating.
CITY SPARKLE: Commences Liquidation Proceedings
-----------------------------------------------
At an extraordinary general meeting held on June 24, 2008, the
members of City Sparkle Limited resolved to voluntarily
liquidate the company'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
JFAC CORPORATED: Appoints Soutar and Jackson as Liquidators
-----------------------------------------------------------
Graham Soutar and Mr. Jackson were appointed liquidators of JFAC
Corporate Finance Limited on June 27, 2008, by the company's
members.
The Liquidators can be reached at:
Graham Soutar
Mr. Jackson
One Hysan Avenue, Room 1601-1602, 16th Floor
Causeway Bay
Hong Kong
JOHN & MIKE: Members to Receive Wind-Up Report on August 5
----------------------------------------------------------
The members of John & Mike Enterprise Limited will hold their
final meeting on August 5, 2008, at 11:00 a.m., to hear the
liquidator's report on the company's wind-up proceedings and
property disposal.
The Liquidator can be reached at:
Lau Kwok Kwong Arthur
Tung Ming Building, Room 1202
42 Des Voeux Road Central
Hong Kong
KAM KUEN: Creditors' Proofs of Debt Due on July 20
--------------------------------------------------
The creditors of Kam Kuen Construction Company Limited are
required to file their proofs of debt by July 20, 2008, to be
included in the company's dividend distribution
The company's liquidators are:
Andrew George Hung
Yau Sun Yu, Sonia
Grand Centre, Room 1603, 16th Floor
8 Humphreys Avenue
Tsimshatsui, Hong Kong
LEE GARDENS: Members to Meet on August 5
----------------------------------------
A final general meeting will be held on August 5, 2008, at
10:00 a.m., for the members of:
-- Lee Gardens Company Limited;
-- Lee Gardens Hotel Management (China) Company Limited; and
-- Lee Gardens Hotel Management (Hong Kong) Company Limited
At the meeting, Ying Hing Chiu and Chung Miu Yin, Diana, the
company's liquidators, will give a report on the company's wind-
up proceedings and property disposal.
LIGHTSCAPE TECH: FY2008 Revenue Drops 56%, Posts US$9.4MM Loss
--------------------------------------------------------------
Lightscape Technologies Inc.'s total net revenue for the year
ended March 31, 2008, dropped 56% to US$6,032,423 from the total
net revenue of US$13,629,406 for the year ended March 31, 2007,
while its operating expenses, consisting of selling and
marketing expenses and general and administrative expenses, for
the year ended March 31, 2008, increased 27% to US$5,734,128
from US$4,510,897 in the prior year period.
The company attributed the decrease in net revenues to the
decrease in sales and contract revenue of LED solutions by
Lightscape Macau and Lightscape Greater China and the decrease
in sales of lighting source products by subsidiary Beijing
Illumination.
For the year ended March 31, 2008, the company incurred a net
loss of US$9,416,075 compared to a net profit of US$1,079,891
for the year ended March 31, 2007. Net loss from continuing
operations for the year ended March 31, 2008 was US$6,830,273
compared to a net profit of US$1,737,751 in the previous year
while net loss arising from discontinued operations totaled
US$2,585,802 for the year ended March 31, 2008 as compared to a
net loss of US$657,860 for the year ended March 31, 2007.
According to Lightscape, the decrease in profit from continuing
operations is primarily attributable to the decrease in sales
and contract revenue from LED solutions and lighting source
products, and the increase in up-front staff and business
development costs incurred to support the increasing number of
LED solutions projects expected in the foreseeable future and
the ramp-up of its LED outdoor advertising business unit.
Expenses from continuing operations, which are not expected to
be recurring, also contributed to its net loss, the company
said.
During the year ended March 31, 2008, impairment losses on
intangible assets were US$689,204 and impairment losses on
goodwill were US$526,863, compared to US$nil for each during the
year ended March 31, 2007. These losses are related to write-
downs of intangible assets and goodwill associated with our
acquisition of 76.8% of subsidiary Beijing Illumination in 2006,
Lightscape said.
As to the increase in net loss from discontinued operations,
Lightscape said it is due to the discontinuation of operations
in its energy-savings solutions business unit during the year
ended March 31, 2008, specifically operations of its wholly
owned subsidiaries Tomi Fuji Energy Management Services Limited
(TFEMS) and Tech Team Development (Zhuhai) Limited.
The company said that its decision to discontinue operations in
the energy-savings business was intended to more effectively
utilize its financial and human resources by focusing on LED
outdoor advertising and LED systems business units which it
considers to have more promising potential for revenue and
margin growth.
A full-text copy of the company's financial statements is
available for free at http://researcharchives.com/t/s?2f87
About Lightscape Technologies
Hong Kong-based Lightscape Technologies Inc. --
http://www.lightscapetech.com.hk/-- formerly Global Innovative
Systems Inc., is a holding company. The company, along with its
subsidiaries, is engaged in the provision of light emitting
diode (LED) lighting solutions, lighting source products and
energy-savings solutions. Its subsidiaries include Tech Team
Holdings Limited (TTHL), Tech Team Investment Limited (TTIL),
Tech Team Development (Zhuhai) Limited (TT (Zhuhai)), Tech Team
Development Limited (TTDL), Luminous Lighting Technology (Asia)
Limited (LLTL), Grandplex Development Limited (GDL), Tech Team
(China) Limited (TTCL), Tomi Fuji Energy Management Services
Consultants Limited (TFEMS), Beijing Illumination (Hong Kong)
Limited (Beijing Illumination), Beijing Aihua New Enterprise
Lighting Appliance Company Limited (Beijing Aihua), Tomi Fuji
Energy Pte. Limited (TFEPL), Powerland Technology Limited (PTL),
Lightscape Technologies (Macau) Limited (Lightscape Macau) and
Lightscape Technologies (Greater China) Limited.
LUEN BONG: Members' Final General Meeting Set for August 6
----------------------------------------------------------
The members of Luen Bong Association Limited will hold their
final general meeting on August 6, 2008, at 2:00 p.m., to
receive the liquidator's report on the company's wind-up
proceedings and property disposal.
The company's liquidator is:
Yuen Shu Tong
Malaysia Building, 3rd Floor
50 Gloucester Road
Wanchai, Hong Kong
OVADIA DIAMONDS: Appoints Chan Kin Hang as Liquidator
-----------------------------------------------------
The creditors of Ovadia Diamonds China Limited met on
November 23, 2007, and appointed Chan Kin Hang, Danvil as the
company's 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
PRD ELECTRONICS: Members' Final General Meeting Set for Aug. 5
--------------------------------------------------------------
The members of PRD Electronics Limited will hold their final
general meeting on August 5, 2008, at 10:00 a.m., at the Three
Pacific Place, 1 Queen's Road East, Hong Kong.
At the meeting, Ying Hing Chiu and Chung Miu Yin, Diana, the
company's liquidators, will give a report on the company's wind-
up proceedings and property disposal.
REUNITED LIMITED: Names Lee King Yue as Liquidator
--------------------------------------------------
On June 27, 2008, Lee King Yue was appointed liquidator of
Reunited Limited, which is in members' voluntary liquidation.
The Liquidator can be reached at:
Lee King Yue
Two International Finance Centre, 72-76th Floor
8 Finance Street
Central, Hong Kong
SINO STATES: Creditors' Proofs of Debt Due on July 20
-----------------------------------------------------
The creditors of Sino States Development Limited are required to
file their proofs of debt by July 20, 2008, to be included in
the company's dividend distribution.
The company's liquidators:
Andrew George Hung
Yau Sun Yu, Sonia
Grand Centre, Room 1603, 16th Floor
8 Humphreys Avenue
Tsimshatsui
Hong Kong
TISCO SECURITIES: Placed Under Voluntary Liquidation
----------------------------------------------------
Tisco Securities Hong Kong Limited was placed under members'
voluntary liquidation on June 26, 2008.
The company's liquidators are:
Cosimo Borrelli
G Jacqueline Fangonil Walsh
Borrelli Walsh Limited
Admiralty Centre, Tower 1
Unit 1401, 14th Floor
18 Harcourt Road
Hong Kong
TOPWEALTH INTERNATIONAL: Creditors' Meeting Set for July 18
-----------------------------------------------------------
The creditors of Topwealth International Holdings Limited will
meet on July 18, 2008, at 11:15 a.m., at Room 203, 2nd Floor of
Duke of Winsor Social Service Building, No. 15 Hennessy Road, in
Wan Chai, Hong Kong. The purpose of the meeting is provided for
in Sections 241, 242, 243 and 244 of the Companies Ordinance.
UNIVERSAL VENTURE: Liquidators Quit Post
----------------------------------------
Natalia Seng Sze Ka Mee and Cynthia Wong Tak Yee quit their post
as liquidators of Universal Venture Development Limited on
June 24, 2008.
The former Liquidators can be reached at:
Natalia Seng Sze Ka Mee
Cynthia Wong Tak Yee
Three Pacific Place, Level 28
1 Queen's Road East
Hong Kong
=========
I N D I A
=========
GENERAL MOTORS: Inks Training Partnership Deal W/ Gujarat Gov't
---------------------------------------------------------------
General Motors India, a subsidiary of General Motors Corp.,
signed a memorandum of understanding with the government of
Gujarat for a public-private partnership to train students of
the Tarsali Industrial Training Institute in Vadodara, the Times
of India reports.
According to the Times, GM India would develop and provide
technical courses on automotive technology through Tarsali ITI.
“The automotive industry is one of the key drivers of Gujarat’s
economy. The public-private partnership would enable us to
share to share the cost required for upgrading facilities for
introducing new courses, providing training to students, and
assisting in designing the course content and securing external
facility. We would sponsor trainees as apprentices in our
organization,” Karl Slym, president and MD, was cited by the
Times as saying.
GM India
General Motors Corp. offers products under the Chevrolet
brand in India through its wholly owned subsidiary, General
Motors India. GM India has 95 sales points and over 110 service
centers.
About General Motors
Headquartered in Detroit, Michigan, General Motors Corp. (NYSE:
GM) -- http://www.gm.com/-- was founded in 1908. GM employs
about 266,000 people around the world and manufactures cars and
trucks in 35 countries. In 2007, nearly 9.37 million GM cars
and trucks were sold globally under the following brands: Buick,
Cadillac, Chevrolet, GMC, GM Daewoo, Holden, HUMMER, Opel,
Pontiac, Saab, Saturn, Vauxhall and Wuling. GM's OnStar
subsidiary is the industry leader in vehicle safety, security
and information services.
At March 31, 2008, GM's balance sheet showed total assets of
US$145,741,000,000 and total debts of US$186,784,000,000,
resulting in a stockholders' deficit of US$41,043,000,000.
Deficit, at Dec. 31, 2007, and March 31, 2007, was
US$37,094,000,000 and US$4,558,000,000, respectively.
* * *
As reported in the Troubled Company Reporter on June 24, 2008,
DBRS has placed the ratings of General Motors Corporation and
General Motors of Canada Limited Under Review with Negative
Implications. The rating action reflects the structural
deterioration of the company's operations in North America
brought on by high oil prices and a slowing U.S. economy.
Standard & Poor's Ratings Services is placing its corporate
credit ratings on the three U.S. automakers, General Motors
Corp., Ford Motor Co., and Chrysler LLC, on CreditWatch with
negative implications, citing the need to evaluate the financial
damage being inflicted by deteriorating U.S. industry conditions
—largely as a result of high gasoline prices. Included in the
CreditWatch placement are the finance units Ford Motor Credit
Co. and DaimlerChrysler Financial Services Americas LLC, as well
as GM's 49%-owned finance affiliate GMAC LLC.
As related in the Troubled Company Reporter on June 5, 2008,
Standard & Poor's Ratings Services said that its ratings on
General Motors Corp. (B/Negative/B-3) are not immediately
affected by the company's announcement that it will cease
production at four North American truck plants over the next two
years. These closures are in response to the re-energized shift
in consumer demand away from light trucks. GM previously said
only one shift was being eliminated at each of the four truck
plants. Production is being increased at plants producing small
and midsize cars, but the cash contribution margin from these
smaller vehicles is far less than that of light trucks.
GENERAL MOTORS: To Bolster Liquidity by US$15 Bil. Through 2009
---------------------------------------------------------------
General Motors Corp. said it is taking further steps to adapt
its business to rapidly changing market conditions, marked by
the weak U.S. economy, record high fuel prices, shifts in
consumer vehicle preferences, and the lowest U.S. industry sales
volumes in a decade.
"We are responding aggressively to the challenges of today's
U.S. auto market," said GM Chairman and CEO, G. Richard Wagner,
Jr. "We will continue to take the steps necessary to align our
business structure with the lower vehicle sales volumes and
shifts in sales mix. We remain committed to bringing to market
great products that target changing consumer preferences for
more fuel-efficient vehicles." Mr. Wagoner noted that 11 of
GM's 13 most recent major U.S. product launches, and 18 of its
next 19 launches, are cars and crossovers, which are key growth
areas.
"Today's actions, combined with those of the past several years,
position us not only to survive this tough period in the U.S.,
but to come out of it as a lean, strong and successful company,"
Mr. Wagoner said.
For liquidity planning purposes, GM is using assumptions of U.S.
light vehicle industry volumes of 14.0 million units in 2008-
2009 which are significantly below trend. Other planning
assumptions include lower U.S. share of approximately 21 percent
and continued elevated average oil price estimates ranging from
US$130 to US$150 per barrel by 2009. Based on those
assumptions, GM is taking actions to further reduce structural
cost, and generate cash, with the goal of maximizing liquidity.
GM Has Ample Liquidity to Fund 2008 Costs
At the end of the first quarter 2008, GM had liquidity of
US$23.9 billion, with access to U.S. credit facilities of an
additional US$7 billion. While the company has ample liquidity
to meet its 2008 funding requirements, it is taking additional
measures to bolster liquidity to protect against a prolonged
U.S. downturn. The actions include a combination of operating
and related actions, as well as asset sales and capital market
activities. The cumulative impact on cash through 2009 is
projected to be approximately US$15 billion:
Cash Impact Through Year End 2009
Operating and Other Actions ~US$10 billion
Asset sales ~US$2-4 billion
Capital markets activities ~US$2-3 billion
---------------
Total ~US$15 billion
US$10 Bil. in Cash Improvements By End of 2009
Through a number of internal operating changes and other
actions, GM expects to generate approximately US$10 billion of
cumulative cash improvements by the end of 2009, versus original
plans.
Estimated
Reductions Internal Operating Changes and Other Actions
---------- --------------------------------------------
US$1.5 bil. GM plans further salaried headcount reductions in
in benefits the U.S. and Canada in the 2008 calendar year,
reduction in which will be achieved through normal attrition,
2009 early retirements, mutual separation programs
and other separation tools. In addition, health
care coverage for U.S. salaried retirees over 65
will be eliminated, effective January 1, 2009.
Affected retirees and surviving spouses will
receive a pension increase from GM's over funded
U.S. salaried plan to help offset costs of
Medicare and supplemental coverage. And there
will be no new base compensation increases for
U.S. and Canadian salaried employees for the
remainder of 2008 and 2009.
Beyond these moves, which also impact GM
executives, additional actions are being taken.
There will be no annual discretionary cash
bonuses for the company's executive group in
2008. With the elimination of the annual cash
bonus, combined with GM's long-term incentives
which are driven by GM stock price performance
to assure alignment with its stockholders,
GM's executive group will have a significant
reduction in their cash compensation opportunity
for 2008. For the company's top executive
officers, it represents a reduction in their
cash compensation opportunity of 75 to
84 percent.
These benefit changes, salaried headcount
reductions and other related savings will result
in an estimated reduction in cash costs of more
than 20 percent, or US$1.5 billion in 2009.
US$2.5 bil. Additional structural cost reductions of
structural approximately US$2.5 billion are expected in
cost cuts GM North America. The reductions will be
in 2009; partially achieved through further adjustments
US$6-7 bil. in truck capacity and related component,
by 2010 stamping and powertrain capacity in response to
lower U.S. industry volume. Truck capacity is
expected to be reduced by 300,000 units by the
end of 2009, half of which is from acceleration
of prior announced actions, and half from new
capacity actions.
In addition, GM will reduce and consolidate sales
and marketing budgets, with a focus on protecting
launch products and brand advertising.
Engineering spending in 2008 and 2009 will be
held at 2006-2007 levels, substantially lower
than original plans. These operating actions,
combined with the benefits of the 2007 GM-UAW
labor agreement, are targeted to reduce North
American structural cost from US$33.2 billion in
2007 to approximately US$26-US$27 billion in 2010,
a reduction of US$6-7 billion.
US$1.5 bil. GM is revising its capital spending plan and
Capital reducing approximately US$1.5 billion in
Expenditure expenditures versus prior plans. Capital
Reductions expenditures are now estimated to total
US$7 billion in 2009 versus prior plans of
US$8.5 billion. The figures do not include the
US$1 billion in capital spending planned in both
2008 and 2009 in China, which is self-funded by
the GM joint ventures, to support growth in that
market. A major part of the reductions is related
to the delay of the next generation large pickup
and SUV program, as well as V-8 engine
development and associated capacity.
Spending for non-product programs will also be
significantly reduced, while powertrain spending
will be increased to support the development of
alternative propulsion and fuel economy
technologies and small displacement engines. The
revised 2009 capital spending plan is higher than
the average capital expenditures in 2005-2007,
excluding large pickup and SUV-related spending.
Excluding China, GM expects capital expenditures
to run in the US$7-7.5 billion range beyond 2009.
US$2.0 bil. GM said aggressive actions are being taken to
working cap improve working capital by approximately
improvements US$2 billion in North America and Europe,
primarily related to the reduction of raw
material, work-in-progress and finished goods
inventory levels as well as lean inventory
practices at parts warehouses.
US$1.7 bil. GM will defer approximately US$1.7 billion of
VEBA payment payments that had been scheduled to be made to a
deferrals temporary asset account over the balance of 2008
and 2009 for the establishment of the new UAW
VEBA.
US$0.8 bil. The GM Board of Directors has decided to suspend
Dividend future dividends on common stock, effective
Suspension immediately, which is expected to improve
liquidity by approximately US$800 million through
2009.
Up to US$7 Bil. in Asset Sales, Financing Activities
In addition to the operating changes and other actions, GM
expects to raise additional liquidity of US$4-US$7 billion
through asset sales and financing activities.
Target
Amount Details on Company's Plan
------ -------------------------
US$2-4 bil. GM is undertaking a broad global assessment of its
in sales assets for possible sale or monetization, which
is expected to generate approximately US$2-US$4
billion of additional liquidity. The company
believes there is significant liquidity potential
from asset sales, without impacting the strategic
direction of the company. Outside advisors are
currently engaged in evaluating alternatives.
A strategic analysis of the Hummer brand is
underway, and GM is continuing to focus on profit
improvement initiatives across all remaining GM
brands.
US$2-3 bil. GM will continue to opportunistically access
in financing global markets to raise additional liquidity. The
company is initially targeting at least
US$2-3 billion of financing. The company has gross
unencumbered assets of over US$20 billion, which
could support a significant secured debt offering,
or multiple offerings, that would far exceed the
initial target. Examples of such assets include
stock of foreign subsidiaries, brands, stake in
GMAC, and real estate.
GM said the outlined actions comprehend the anticipated impact
of second quarter results, which the company plans to announce
in the near future. GM anticipates it will report a significant
second quarter loss, driven in part by the previously disclosed
negative impact of the American Axle and local union strikes in
North America, as well as the continued weakness in the U.S.
auto market and adverse vehicle segment mix.
In addition, the company expects to record significant charges
or expenses related to its previously announced hourly attrition
program in the U.S., the recently announced North American truck
capacity actions, valuation of GMAC stock, lease assets, Delphi
recoveries, the American Axle settlement, the Canadian labor
contract, and others.
GM is highly confident that the initiatives, in conjunction with
the current cash position and its US$4-5 billion of committed
U.S. credit lines, will provide the company with ample liquidity
to meet its operational needs through 2009.
"The actions announced today are difficult decisions, but
necessary to respond to the current auto market conditions,"
said Mr. Wagoner. "Even under conservative planning scenarios,
GM is well-positioned to withstand the U.S. market downturn and
emerge a stronger company. We have a solid position in the
rapidly growing emerging markets, a global operating framework
that allows us to respond to changes in the U.S. market, a
commitment to technology leadership, and an ever stronger and
competitive product line-up."
A full-text copy of GM's fact sheet related to its turnaround
plan is available at no charge at:
http://ResearchArchives.com/t/s?2f82
Mr. Wagoner, Frederick A. Henderson, GM's President and Chief
Operating Officer and Ray G. Young, GM's Executive Vice
President and Chief Financial Officer, gave a presentation for
the media and securities analysts entitled "Aligning the
Business with Current Market Conditions" on July 15. A full-
text copy of that presentation is available at no charge at:
http://ResearchArchives.com/t/s?2f83
About General Motors
Headquartered in Detroit, Michigan, General Motors Corp. (NYSE:
GM) -- http://www.gm.com/-- was founded in 1908. GM employs
about 266,000 people around the world and manufactures cars and
trucks in 35 countries. In 2007, nearly 9.37 million GM cars
and trucks were sold globally under the following brands: Buick,
Cadillac, Chevrolet, GMC, GM Daewoo, Holden, HUMMER, Opel,
Pontiac, Saab, Saturn, Vauxhall and Wuling. GM's OnStar
subsidiary is the industry leader in vehicle safety, security
and information services.
General Motors Corporation offers products under the Chevrolet
brand in India through its wholly owned subsidiary, General
Motors India. GM India has 95 sales points and over 110 service
centers.
At March 31, 2008, GM's balance sheet showed total assets of
US$145,741,000,000 and total debts of US$186,784,000,000,
resulting in a stockholders' deficit of US$41,043,000,000.
Deficit, at Dec. 31, 2007, and March 31, 2007, was
US$37,094,000,000 and US$4,558,000,000, respectively.
* * *
As reported in the Troubled Company Reporter on June 24, 2008,
DBRS has placed the ratings of General Motors Corporation and
General Motors of Canada Limited Under Review with Negative
Implications. The rating action reflects the structural
deterioration of the company's operations in North America
brought on by high oil prices and a slowing U.S. economy.
Standard & Poor's Ratings Services is placing its corporate
credit ratings on the three U.S. automakers, General Motors
Corp., Ford Motor Co., and Chrysler LLC, on CreditWatch with
negative implications, citing the need to evaluate the financial
damage being inflicted by deteriorating U.S. industry conditions
—largely as a result of high gasoline prices. Included in the
CreditWatch placement are the finance units Ford Motor Credit
Co. and DaimlerChrysler Financial Services Americas LLC, as well
as GM's 49%-owned finance affiliate GMAC LLC.
As related in the Troubled Company Reporter on June 5, 2008,
Standard & Poor's Ratings Services said that its ratings on
General Motors Corp. (B/Negative/B-3) are not immediately
affected by the company's announcement that it will cease
production at four North American truck plants over the next two
years. These closures are in response to the re-energized shift
in consumer demand away from light trucks. GM previously said
only one shift was being eliminated at each of the four truck
plants. Production is being increased at plants producing small
and midsize cars, but the cash contribution margin from these
smaller vehicles is far less than that of light trucks.
GENERAL MOTORS: S&P Retains Negative Watch After Cost Reductions
----------------------------------------------------------------
Standard & Poor's Ratings Services said that its 'B' corporate
credit and senior unsecured debt ratings and 'BB-' senior
secured debt rating on General Motors Corp. remain on
CreditWatch with negative implications, where they were placed
June 20, 2008. The update follows GM's announcement of a series
of cost reductions and other initiatives aimed at saving US$10
billion in cash from operations by the end of 2009. GM also
announced plans to obtain US$4 billion to US$7 billion in cash
from capital market transactions and asset sales.
"We view these announcements as being absolutely necessary steps
for maintaining liquidity," said Standard & Poor's credit
analyst Robert Schulz, "given the magnitude of the company's
expected cash use caused by currently dismal market conditions
in the U.S. automotive market." Still, execution timing is
considerable, and most of the benefits from cost reductions will
be reaped throughout the course of 2009. GM's focus is to
preserve adequate liquidity for the next 18 months and continue
to attempt to align its cost structure with the North American
light-vehicle market, which appears to have been permanently
altered by high gas prices.
The continuing CreditWatch review, which S&P are also
undertaking with Ford Motor Co. and Chrysler LLC, reflects its
concerns about the financial damage being inflicted by
deteriorating U.S. industry conditions-largely as a result of
high gasoline prices. The difficulty GM and the other Michigan-
based automakers are having in anticipating the pace of market
deterioration--and the likely prolonged tenor of the downturn--
has led to another round of announcements of cost reductions and
actions to bolster liquidity. These follow other aggressive
cost-saving measures taken during the past several years that
have proved insufficient.
S&P will review GM's business and financial prospects, including
liquidity, in light of GM's announcement, and the general U.S.
and global automotive industry conditions to resolve the
CreditWatch review. GM currently has adequate liquidity through
at least the end of 2008--US$23.9 billion of unrestricted cash
and short-term investments at March 31, 2008, and an unused
US$4.48 billion bank facility and significant unencumbered
assets. S&P intend to resolve the CreditWatch reviews on GM,
Ford, and Chrysler by the end of July. Given the severe risks
created by weak prospects for U.S. auto demand for the rest of
2008 and for 2009, the possibility of a downgrade of more than
one notch cannot be dismissed for any of the companies. GM to
Bolster Liquidity by US$15 Billion through 2009
* Operating and related actions to generate approximately
US$10 billion in cash improvements
* More than 20 percent reduction in salaried employment cash
costs
* Dividend on common stock suspended
* Asset sales and capital market activities to raise
US$4-7 billion of additional liquidity
GENERAL MOTORS:
General Motors Corp. said it is taking further steps to adapt
its business to rapidly changing market conditions, marked by
the weak U.S. economy, record high fuel prices, shifts in
consumer vehicle preferences, and the lowest U.S. industry sales
volumes in a decade.
"We are responding aggressively to the challenges of today's
U.S. auto market," said GM Chairman and CEO, Rick Wagoner. "We
will continue to take the steps necessary to align our business
structure with the lower vehicle sales volumes and shifts in
sales mix. We remain committed to bringing to market great
products that target changing consumer preferences for more
fuel-efficient vehicles." Mr. Wagoner noted that 11 of GM's 13
most recent major U.S. product launches, and 18 of its next 19
launches, are cars and crossovers, which are key growth areas.
"Today's actions, combined with those of the past several years,
position us not only to survive this tough period in the U.S.,
but to come out of it as a lean, strong and successful company,"
Wagoner said.
For liquidity planning purposes, GM is using assumptions of U.S.
light vehicle industry volumes of 14.0 million units in 2008-
2009 which are significantly below trend. Other planning
assumptions include lower U.S. share of approximately 21 percent
and continued elevated average oil price estimates ranging from
US$130 to US$150 per barrel by 2009. Based on those assumptions,
GM is taking actions to further reduce structural cost, and
generate cash, with the goal of maximizing liquidity.
Ample Liquidity to Fund 2008 Costs
At the end of the first quarter 2008, GM had liquidity of
US$23.9 billion, with access to U.S. credit facilities of an
additional US$7 billion. While the company has ample liquidity
to meet its 2008 funding requirements, it is taking additional
measures to bolster liquidity to protect against a prolonged
U.S. downturn. The actions include a combination of operating
and related actions, as well as asset sales and capital market
activities. The cumulative impact on cash through 2009 is
projected to be approximately US$15 billion.
US$10 Bil. in Cash Improvements By End of 2009
Through a number of internal operating changes and other
actions, GM expects to generate approximately US$10 billion of
cumulative cash improvements by the end of 2009, versus original
plans.
* GM plans further salaried headcount reductions in the U.S.
and Canada in the 2008 calendar year, which will be
achieved through normal attrition, early retirements,
mutual separation programs and other separation tools. In
addition, health care coverage for U.S. salaried retirees
over 65 will be eliminated, effective January 1, 2009.
Affected retirees and surviving spouses will receive a
pension increase from GM's over funded U.S. salaried plan
to help offset costs of Medicare and supplemental
coverage. And there will be no new base compensation
increases for U.S. and Canadian salaried employees for the
remainder of 2008 and 2009.
Beyond these moves, which also impact GM executives,
additional actions are being taken. There will be no
annual discretionary cash bonuses for the company's
executive group in 2008. With the elimination of the
annual cash bonus, combined with GM's long-term incentives
which are driven by GM stock price performance to assure
alignment with its stockholders, GM's executive group will
have a significant reduction in their cash compensation
opportunity for 2008. For the company's top executive
officers, it represents a reduction in their cash
compensation opportunity of 75 to 84 percent.
These benefit changes, salaried headcount reductions and
other related savings will result in an estimated
reduction in cash costs of more than 20 percent, or
US$1.5 billion in 2009.
* Additional structural cost reductions of approximately
US$2.5 billion are expected in GM North America (GMNA).
The reductions will be partially achieved through further
adjustments in truck capacity and related component,
stamping and powertrain capacity in response to lower U.S.
industry volume. Truck capacity is expected to be reduced
by 300,000 units by the end of 2009, half of which is from
acceleration of prior announced actions, and half from new
capacity actions.
In addition, GM will reduce and consolidate sales and
marketing budgets, with a focus on protecting launch
products and brand advertising. Engineering spending in
2008 and 2009 will be held at 2006-2007 levels,
substantially lower than original plans. These operating
actions, combined with the benefits of the 2007 GM-UAW
labor agreement, are targeted to reduce North American
structural cost from US$33.2 billion in 2007 to
approximately US$26-27 billion in 2010, a reduction of
US$6-7 billion.
* GM is revising its capital spending plan and reducing
approximately US$1.5 billion in expenditures versus prior
plans. Capital expenditures are now estimated to total
US$7 billion in 2009 versus prior plans of US$8.5 billion
(these figures do not include the US$1 billion in capital
spending planned in both 2008 and 2009 in China, which is
self-funded by the GM joint ventures, to support growth in
that market). A major part of the reductions is related
to the delay of the next generation large pickup and SUV
program, as well as V-8 engine development and associated
capacity.
Spending for non-product programs will also be
significantly reduced, while powertrain spending will be
increased to support the development of alternative
propulsion and fuel economy technologies and small
displacement engines. The revised 2009 capital spending
plan is higher than the average capital expenditures in
2005-2007, excluding large pickup and SUV-related
spending. Excluding China, GM expects capital
expenditures to run in the US$7-7.5 billion range beyond
2009.
* Aggressive actions are being taken to improve working
capital by approximately US$2 billion in North America and
Europe, primarily related to the reduction of raw
material, work-in-progress and finished goods inventory
levels as well as lean inventory practices at parts
warehouses.
* GM will defer approximately US$1.7 billion of payments
that had been scheduled to be made to a temporary asset
account over the balance of 2008 and 2009 for the
establishment of the new UAW VEBA.
* The GM Board of Directors has decided to suspend future
dividends on common stock, effective immediately, which is
expected to improve liquidity by approximately
US$800 million through 2009.
Asset Sales and Financing Activities
In addition to the operating changes and other actions, GM
expects to raise additional liquidity of US$4-7 billion through
asset sales and financing activities.
* GM is undertaking a broad global assessment of its assets
for possible sale or monetization, which is expected to generate
approximately US$2-4 billion of additional liquidity. The
company believes there is significant liquidity potential from
asset sales, without impacting the strategic direction of the
company. Outside advisors are currently engaged in evaluating
alternatives. A strategic analysis of the Hummer brand is
underway, and GM is continuing to focus on profit improvement
initiatives across all remaining GM brands.
* GM will continue to opportunistically access global
markets to raise additional liquidity. The company is initially
targeting at least US$2-3 billion of financing. The company has
gross unencumbered assets of over US$20 billion, which could
support a significant secured debt offering, or multiple
offerings, that would far exceed the initial target. Examples of
such assets include stock of foreign subsidiaries, brands, stake
in GMAC, and real estate.
Actions outlined today comprehend the anticipated impact of
second quarter results, which the company plans to announce in
the near future. GM anticipates it will report a significant
second quarter loss, driven in part by the previously disclosed
negative impact of the American Axle and local union strikes in
North America, as well as the continued weakness in the U.S.
auto market and adverse vehicle segment mix.
In addition, the company expects to record significant charges
or expenses related to its previously announced hourly attrition
program in the U.S., the recently announced North American truck
capacity actions, valuation of GMAC stock, lease assets, Delphi
recoveries, the American Axle settlement, the Canadian labor
contract, and others.
GM is highly confident that the initiatives announced today, in
conjunction with the current cash position and its US$4-5
billion of committed U.S. credit lines, will provide the company
with ample liquidity to meet its operational needs through 2009.
"The actions announced today are difficult decisions, but
necessary to respond to the current auto market conditions,"
said Wagoner. "Even under conservative planning scenarios, GM is
well-positioned to withstand the U.S. market downturn and emerge
a stronger company. We have a solid position in the rapidly
growing emerging markets, a global operating framework that
allows us to respond to changes in the U.S. market, a commitment
to technology leadership, and an ever stronger and competitive
product line-up."
GENERAL MOTORS: Moody's Reviews Ratings for Possible Downgrade
--------------------------------------------------------------
Moody's Investors Service is reviewing the ratings of General
Motors Corporation for possible downgrade. Ratings under review
include its B3 Corporate Family Rating, B3 Probability of
Default Rating, Ba3 rating for secured debt, and Caa1 rating for
senior unsecured debt. The review is focusing on the degree to
which GM's recently announced initiatives to boost liquidity by
US$15 billion, combined with its US$24 billion in cash and US$7
billion in committed credit facilities, will cover the
substantial cash requirements the company will face until it
adequately adjusts it production and pricing structure to
accommodate the US auto market's shift away from trucks and
SUVs. The company must also contend with the possibility of
overall automotive demand remaining depressed through 2009 due
to continued record-high fuel costs, a soft economy, and
deteriorating consumer confidence.
GM's Speculative Grade Liquidity rating was lowered to SGL-2
from SGL-1. The lower rating reflects Moody's view that despite
the fact that the company's liquidity is more than adequate to
cover all requirements over the coming twelve months and could
be further enhanced, the magnitude and duration of the company's
operating cash burn will not be supportive of the highest
Speculative Grade Liquidity rating.
The ratings of GMAC (B3/Negative) and ResCap (Ca/Rev. Pos.
downgrade) are not affected by these actions.
Bruce Clark, Senior Vice President with Moody's said, "Despite
the very constructive nature of the initiatives announced by GM,
the company will continue to face the significant challenge of
building enough profitability in its car and crossover portfolio
to make up for the earnings that will no longer be generated on
the truck and SUV side." Clark went on to say, "Establishing an
adequate level of profitability throughout a car portfolio that
has historically been priced at a significant discount relative
to competing models from Asia will be a difficult and long-term
undertaking. GM will likely face a sizable cash burn until it
gets this part of the equation right."
About General Motors
General Motors Corporation, headquartered in Detroit, Michigan,
is the world's second-largest automotive manufacturer.
TATA MOTORS: To Raise US$1 Bil. Through Debt or Equity Issue
------------------------------------------------------------
Tata Motors Limited's shareholders approved raising US$1 billion
through debt or equity from overseas market as well as raising
the company's borrowing limit to Rs 20,000 crore (about US$5
billion), The Times of India reports.
The Times says as part of Tata Motors' long-term funding plans,
it would raise Rs 7,200 crore through three simultaneous but
separate rights issues to part-finance its US$2.3 billion buyout
of British luxury brands Jaguar and Land Rover.
Earlier, the Times says the company had sought the shareholders'
consent for rising up to US$1 billion through issue of Foreign
Currency Convertible Bonds (FCCBs) or equity shares in the
international market.
The company also received approval for increasing the authorised
share capital to Rs 3,900 crore, comprising of ordinary shares
aggregating to Rs 700 crore, and 'A' ordinary shares worth Rs
200 crore and convertible cumulative preference shares of Rs
3,000 crore, the report relates.
According to the report, under its rights issue, Tata Motors
would issue 'A' ordinary shares carrying differential voting
rights for up to Rs 2,000 crore on rights basis. 'A' shares
would have voting rights at rate of one vote for every 10 'A'
ordinary shares.
Shares would rank same as ordinary shares of company and would
be entitled for dividend, bonus issue among others, the report
notes.
Meanwhile, Tata Motors said a meeting of its Board of Directors
will be held on Wednesday, July 30, 2008, at the registered
office of the company to consider, inter alia, the audited
results for the first quarter ended June 30, 2008 of the
accounting year 2008-09.
About Tata Motors
India's largest automobile company, Tata Motors Limited --
http://www.tatamotors.com/-- is mainly engaged in the business
of automobile products consisting of all types of commercial and
passenger vehicles, including financing of the vehicles sold by
the company. The company's operating segments consists of
Automotive and Others. In addition to its automotive products,
it offers construction equipment, engineering solutions and
software operations. TML is listed on the Bombay Stock
Exchange, the National Stock Exchange of India and New York
Stock Exchange. It was ultimately 33.4% owned by the Tata Group
as of December 2007.
Tata Motors has operations in Russia and the United Kingdom.
* * *
As reported in the Troubled Company Reporter-Asia Pacific on
July 9, 2008, Standard & Poor's Ratings Services kept its 'BB'
corporate credit rating on India's Tata Motors Ltd. on
CreditWatch with negative implications, pending finalization of
the long-term financing plans for funding the company's purchase
of Jaguar and Land Rover from Ford Motor Co. (B/Watch Neg/--).
At the same time, Standard & Poor's ratings on all Tata Motors'
rated debt remain on CreditWatch with negative implications.
The rating on Tata Motors was lowered on April 4, 2008, to 'BB',
from 'BB+', after the announcement of the agreement with Ford
Motor Co. for the purchase of Jaguar and Land Rover. Tata
Motors has paid about US$2.3 billion in cash for Jaguar and Land
Rover (comprising brands, plants, and intellectual property
rights). Ford has contributed US$600 million to the Jaguar-Land
Rover (JLR) pension plans.
As reported in the Troubled Company Reporter-Asia Pacific on
June 4, 2008, Moody's Investors Service downgraded the
corporate family rating of Tata Motors Ltd to Ba2 from Ba1
following the completion of its acquisition of Ford's Jaguar
Land Rover. The rating outlook is negative.
TTL LIMITED: CARE Rates at Long-Term Bank Facilities at ‘BB+’
-------------------------------------------------------------
CARE assigned ‘CARE BB+’ (double B plus) rating to the long-term
bank facilities of TTL Ltd. (TTL). This rating is applicable
for facilities having tenure of over one year. In addition,
CARE assigned ‘PR4’ (PR four) rating to the short-term bank
facilities of TTL. This rating is applicable for facilities
having tenure up to one year. The total long-term facilities
rated include fund based facilities of Rs 35 crore and non fund
based facilities of Rs 60 crore.
The ratings account weak operating performance and financial
position, limited scale of operations and longer working capital
cycle reflected by consistent operating losses as well as longer
collection period. The ratings also factor support from strong
promoter group and good business prospects as a result of
increased focus on power sector reforms by government.
TTL Ltd., a part of the Havells group, is a closely held company
engaged in manufacturing of energy meters. The company was
originally incorporated as M/s Towers & Transformers Ltd. in
December 1971 to manufacture transformers and aluminium
conductor steel reinforced conductors. It was taken over by
Havells Group in September 1983. TTL started manufacturing
energy meters in March 1984 and converted into a public limited
company in 1998 with the present name. The company tied up with
a German multinational company, Deutsche Zahler Gesellschaft
(DZG) in 1998 for production of single phase and three phase
meters to cater to the premium quality market in India. In
March 1999, it setup a new plant at existing unit at Sahibabad,
U.P. to manufacture premium quality meters. TTL received ISO-
9001 certification in September 2000.
The current product portfolio include kilo-watt-hour (Kwh)
energy meters, both single and three phase (conventional
electromechanical, premium quality electromechanical and
electronic meters). TTL had installed capacity of 4.7 lakh
meters as on Mar. 31, 2007. The main clients are state
electricity boards (SEBs) like SEBs of Tamil Nadu, Karnataka,
Chattisgarh, Andhra Pradesh etc. The main raw materials
required for production are copper strips, aluminum, steel,
brass, polycarbonate, electronic components plastic etc.
available in the domestic market. The company imports integrated
circuits, crystals etc for electronic meters mainly from China.
Total income of the company rose at a CAGR of 13% over the last
four years. Net sales grew by 26% in FY07 (due to increased
sales volume of electronic meters to utilities) from Rs 16.3
crore in FY06 to Rs 58.7 crore in FY07. The company’s major
product, electromechanical meter, is in less demand by
electricity boards and is being replaced by electronic meters
which have better features in terms of accurate reading and lack
of tempering risk. PAT for FY07 increased from Rs 0.9 crore in
FY06 to Rs 2.3 crore in FY07 due to other income of Rs 3.9 crore
on account of interest on deposits and profit on sale of assets
of amalgamated entities.
The overall gearing rose from 0.6 times in FY06 to 0.9 times in
FY07 due to increased bank borrowings for working capital.
Interest coverage is poor at 0.81 times; however, cash cover is
at 1.22 for FY07. Average collection period is high at about
six months. Nine-monthly unaudited results posted total income
of Rs 58 crore with PBILDT margin of 6.6% and PAT margin of
0.18%. High interest expenses and reduction of other income
resulted in lower PAT margin.
UJJAIN MUNICIPAL: Fitch Assigns 'BB(ind)' Nat'l Long-Term Rating
----------------------------------------------------------------
Fitch Ratings has assigned a National Long-term Issuer rating of
'BB(ind)' to Ujjain Municipal Corporation. The Outlook on the
rating is Stable.
The rating reflects UMC's weak financials, its limited revenue
generating ability, heavy dependence on state transfers, poor
civic services delivery and capacity issues. The Stable Outlook
reflects its potential to flourish as a tourist destination, the
agency's expectation that there will not be material incremental
leveraging and the state government of Madhya Pradesh's
initiatives to better civic service delivery in the state.
Fitch notes that the cost recovery on services is poor and that
there is marked reluctance to increase user fees. One positive
factor is that the entire planned capital investments come in
the form of state and/or central government/s grants. However,
the scope for private investments in civic services is limited.
There are not many medium or large industries in UMC, although
it has a number of small trade establishments serving both
locals and tourists. Ujjain derives its economic importance
from tourism and related activities. The state government plans
to develop Ujjain as an international tourist destination, given
its historical attractions. Currently, agriculture is the main
occupation of the city.
UMC reported revenue deficits consistently in FY05 to FY07, even
after taking into account government transfers, which is about
55% of the total revenue. The tax revenue grew at a CAGR of
8.57% over the last five years from INR65.38million in FY03 to
INR90.82 million in FY07. Establishment expenses form, on
average, 54% of the total expense in the revenue budget.
Operations and maintenance expenses form 43% of the revenue
expenses. Fitch observes that UMC has no debt in its books as
on date, though debt service might have been constrained had
there been borrowings.
UMC's tax collection efficiency is generally poor. Fitch also
notes that the city generally lags behind other cities in the
implementation of the JNNURM mandated reforms. That said, many
reform initiatives have already started and the capacity issues
are being addressed.
* CRISIL: Liquidity Pressures in Realty Could Lead to Shakeout
--------------------------------------------------------------
CRISIL believes that a number of medium-sized and small real
estate developers could face a liquidity crunch in the months
ahead. Many such developers have stretched themselves
operationally, and borrowed heavily, to benefit from the real
estate upturn of the past three years. The current slowdown in
demand for realty, coupled with declining internal accruals and
reduced funding options, exposes them to the downside of this
aggressive strategy: there are large amounts of debt already on
their balance sheets, and external funds are increasingly hard
to come by. CRISIL foresees delays in many ongoing and planned
real estate projects, thereby leading to the possibility of sale
of projects or even enterprises. This will result in some
consolidation in the sector. From among the larger developers,
those that are not over-leveraged operationally are well placed
to tide over the current crisis and even emerge stronger.
These trends are in line with CRISIL’s prognostication, early in
2007, about the likely consequences of over-leveraging in this
sector. CRISIL in its evaluation of the realty sector has
always emphasised cash flows and liquidity, alongside the
player’s growth and financing strategies.
CRISIL says the increasing real estate prices over the last
three to four years resulted in a large number of developers
acquiring land at high rates in anticipation of a further
increase in prices, and scaling up their operations multifold.
While some developers have managed to finance this growth
through a prudent debt-equity mix, most medium-sized and small
developers have relied heavily on debt.
The current situation exposes the pitfalls of such a strategy.
There has been a slowdown in the sale of real estate projects
across India since early 2008, across the residential,
commercial, and retail segments. Demand has moderated with the
sharp increase in real estate prices, coupled with rising
interest rates that have made housing loans progressively
expensive. In particular, residential projects, which have been
funded largely by customer advances, have been severely hit by
the slowdown in bookings. Further, the sharp increase in the
cost of land and construction materials (primarily steel and
cement) has pushed up input costs by 20 to 30 per cent over the
past two years.
This combination of sluggish sales and rising costs is expected
to adversely affect the profitability and cash accruals of real
estate companies in the near to medium term.
Declining internal cash generation has been accompanied by a
progressive drying up of funding options. Stringent Reserve
Bank of India (RBI) norms for bank loans to real estate, and
high interest costs for most corporates, have made bank
borrowings less attractive. The restrictions on external
commercial borrowings (ECBs) and classification of preference
shares as debt, announced in May 2007, have cut down two other
funding sources. Foreign direct investment (FDI) norms do not
allow real estate investments below a certain size and value.
Compounding the effect, the recent fall in equity markets has
derailed the plans of many real estate companies to access the
domestic or international market for equity issues.
These unfavourable real estate and financial market conditions
have coincided with a sharp increase in the scale and size of
projects executed and planned over the past two years. As a
result, many builders—mainly small and medium-sized ones—are
operationally at full stretch, besides being financially
leveraged. Added to this, some projects have been funded
through high-cost short-term borrowings, weakening the
developers’ financial risk profiles even further. These
developers will be the most vulnerable to the current slowdown
in real estate, resulting in delayed or stalled projects.
Over the long term, CRISIL expects the sector to revert to its
strong uptrend, and perform in line with the overall economy.
In the short to medium term, the current slowdown creates a very
real risk of a shakeout among medium-sized and small players.
The extent of the shakeout would depend upon the duration and
depth of the current trough in the sector’s performance; CRISIL
believes that it will also create opportunities for
consolidation in this highly fragmented sector, and aid the
emergence of operationally and financially strong players that
have the resources and management capability to tide over the
current crisis. Such strong players, CRISIL believes, will be
able to acquire unfinished project assets or potentially
distressed companies, and eventually emerge stronger from the
present downturn.
* CRISIL: Import Duty Removal Will Not Lower Cotton Prices
----------------------------------------------------------
The recent government initiative to scrap the 14 per cent import
duty on cotton and withdraw the 1 per cent export incentive is
unlikely to cause a fall in prices. According to CRISIL
Research, this is because a significant portion of India's
cotton consumption is of the short to medium staple variety, a
segment in which the country is self-sufficient, cost
competitive and has an exportable surplus. The current domestic
prices of the said varieties are at a significant discount to
the landed cost.
Mr. Sridhar Chandrasekhar, Head, CRISIL Research elaborated,
“Raw cotton exports are expected to increase despite the
withdrawal of export incentives, as global cotton output will
continue to decline in the cotton season 2008-09. This is due
to a sharp drop in US cotton output on account of shifting
acreage towards corn and climbing global demand from large
consumers including China where demand will outpace supply.
India's output is expected to exceed consumption resulting in an
exportable surplus. Consequently, we expect exports to China to
continue to increase – thus keeping cotton prices firm and
putting pressure on the margins of spinning companies.”
* India's Investment Credit Rating Risks Downgrade
--------------------------------------------------
Fitch Ratings has lowered its outlook on India's long-term local
currency issuer default rating (IDR) to 'negative' from 'stable'
citing the 'considerable deterioration' in the government's
fiscal position in fiscal year 2008-09, combined with an
increase in government debt issuance to finance subsidies not
captured in the federal budget, Thomson Financial News reports.
“Risks to the economic outlook include the possibility of
additional upward pressure on prices -- especially if inflation
expectations become entrenched -- and weaker economic growth if
real interest rates increase on the back of higher inflation and
additional public sector debt financing,” Fitch said in a
release cited by Thomson Financial.
According to Thomson Financial, the rating agency has revised
downward its fiscal year 2009 GDP growth forecast to 7.7 percent
and forecasted that the central government deficit may increase
to 4.5 percent of GDP in fiscal year 2009 from 2.8 percent of
GDP in fiscal year 2008, driven by higher on-budget subsidies,
interest payments and public wages.
Thomson Financial relates that Fitch expects the country's trade
deficit to widen further in fiscal year 2009, to 8.2 percent of
GDP, but the current account deficit is projected to be broadly
unchanged.
Thomson Financial says Fitch also affirmed India's long-term
local currency issuer default rating at 'BBB-' and the country's
long-term foreign currency issuer default rating at 'BBB-', with
a stable outlook; short-term foreign currency issuer default
rating at 'F3' and country ceiling at 'BBB-'.
Meanwhile, Joel Rebello of DNA Money says India's hard-earned
investment rating received barely 18 months ago is under threat
due to the deterioration in the central government's fiscal
position this year.
Mr. Rebello said though India's rating still stands at BBB,
Fitch's lowest investment grade, the revised outlook means that
the country is a whisker away from being rated 'speculative',
which is euphemism for junk rating.
Bloomberg News reports that India's rupee declined 0.7 percent
to 43.235 per dollar at the 5 p.m. close of trading in Mumbai,
on news of Fitch's rating action.
The decrease, which is the country's lowest in two months, was
also fueled by
speculation oil prices near a record high and stock sales by
overseas funds will boost capital outflows, Bloomberg News says.
“Foreign investors who focus on ratings will become more
cautious to invest in India after Fitch cut the rating outlook,”
Krishnamurthy Harihar, head of treasury at Mumbai-based
Development Credit Bank Ltd, told Bloomberg News. “The rupee
will weaken further because of capital outflows.”
Last week, Standard & Poor's said it may cut India's credit
rating to speculative grade, warning that soaring inflation and
worsening fiscal and current account deficits pose challenges
for the economy, according to Polya Lesova of MarketWatch.
India's credit profile has worsened in the past 12 months, but
the upside and downside risks to its BBB- rating are currently
balanced, Standard & Poor's credit analyst Takahira Ogawa said
in a report cited by MarketWatch.
"This assumes, however, that the reasons for credit
deterioration are temporary," Mr. Ogawa said. "If we conclude
that they are longer lasting, India's credit ratings could be
lowered again to speculative grade."
S&P raised India's rating to investment grade in January 2007.
=========
J A P A N
=========
FORD MOTOR: Maintains Negative Outlook on Company Ratings
---------------------------------------------------------
Moody's Investors Service said it is maintaining its negative
outlook on the ratings of Ford Motor Company (Corporate Family
Rating B3) and Ford Motor Credit Company (Senior Unsecured
Rating B1). The business prospects for the North American auto
industry continue to deteriorate as the economy weakens and fuel
prices are sustained at record high levels. With product
offerings overly weighted in trucks and SUV's, the Big-3 U.S.
auto makers, including Ford, are particularly vulnerable in this
environment.
Moody's ratings and outlook for Ford have considered the
likelihood that the company will not be able to achieve break-
even earnings through 2009, and that the company will continue
to experience a combined automotive operating cash burn for 2008
and 2009 that will exceed US$12 to US$14 billion. The ratings
have also considered that Ford's US$40.6 billion liquidity
position, consisting of US$28.7 billion in cash and US$11.9
billion in availability under committed credit facilities,
provides an incremental level of financial flexibility for the
company during this challenging period.
Moody's will continue to monitor developments in Ford's efforts
to adjust its business profile to contend with the evolving
market conditions. The rating outlook remains negative. Absent
developments that indicate that Ford will be able to maintain an
adequate liquidity profile, while implementing restructuring
actions that improve earnings and cash flow and rebuild its long
term product competitiveness, the ratings could be subject to
downgrade.
About Ford Motor
Headquartered in Dearborn, Michigan, Ford Motor Co. (NYSE: F) --
http://www.ford.com/-- manufactures or distributes automobiles
in 200 markets across six continents. With about 260,000
employees and about 100 plants worldwide, the company's core and
affiliated automotive brands include Ford, Jaguar, Land Rover,
Lincoln, Mercury, Volvo, Aston Martin, and Mazda. The company
provides financial services through Ford Motor Credit Company.
The company has operations in Japan in the Asia Pacific region,
through Ford Japan Limited.
In Europe, the company maintains a presence in Sweden, and the
United Kingdom. The company also distributes its brands in
various Latin American regions, including Argentina and Brazil.
NIPPON STEEL: Increases Plate Prices to Offset Production Costs
---------------------------------------------------------------
Nippon Steel Corp. raised prices of plate used by shipbuilders
and machinery makers for the third time this year to pass along
surging costs for energy, ore and other materials, Bloomberg
News reports.
Masato Suzuki, a company spokesman, told Bloomberg News that
steel plate sold through wholesalers on an immediate- delivery
basis will increase JPY10,000 (US$95) a metric ton on Aug. 1.
Prices have jumped 50% since the quarter ended March, when the
company said its average product price was JPY80,200 a ton, he
said
According to the report, Nippon Steel needs to raise prices to
offset a tripling of costs for coking coal and a surge of as
much as 97% in iron ore.
The company, the report says, raised spot plate-delivery prices
by about 10% to 110,000 yen a ton as of June. That gain
followed a JPY20,000increase in April.
About Nippon Sheet
Headquartered in Tokyo, Nippon Sheet Glass Company, Limited --
http://www.nsg.co.jp-- Company operates in four business
divisions. Its Glass and Construction Material division
manufactures, processes and sells various types of glasses, such
as float plate, polished wire, heat absorbing, heat reflecting,
reinforced, laminated, double-layer, vacuum, fireproof,
template, mirror and ornamental glass, as well as sashes. It
also supplies construction materials, and interior accessories
for stores. The Information and Electronics division offers
optical products, fine glass products, industrial glass
products, liquid crystal display (LCD) products and others. Its
Glass Fiber division is engaged in the manufacture, processing
and sale of special glass fiber products, air filter-related
items and others. The Others division is involved in the
facility engineering and the test analysis businesses, among
others.
* * *
Nippon Sheet continues to carry Mikuni Credit Rating's “BB”
rating.
* S&P Withdraws Unsolicited Ratings on Six Japanese Issuers
-----------------------------------------------------------
Standard & Poor's Ratings Services has withdrawn its
unsolicited long-term issuer and senior unsecured ratings
on Brother Industries Ltd., Mitsubishi Chemical Corp., Central
Glass Co. Ltd., Mitsubishi Chemical Holdings Corp., and Isetan
Co. Ltd., and its unsolicited long-term issuer rating on JGC
Corp.
S&P has objective selection standards, which determine the
coverage of unsolicited ratings on Japanese companies. The
standards for corporate entities include a focus on the
largest 100 issuers in terms of the face value of bonds
outstanding and major issues traded in credit derivative
markets (see related media release "Ratings Coverage In Japan
Revised", dated Jan. 9, 2007), and the companies that meet the
coverage standards will change over time.
As such, S&P reviews the ratings coverage approximately once a
year, and the ratings withdrawal is the result of such a
review. In reviewing the ratings coverage, the rating agency
takes into consideration the intervals at which new ratings
are assigned and existing ratings withdrawn, to avoid carrying
out repeated and excessive ratings actions. When a public
rating assigned by S&P on a guaranteed debt or securitization
transaction is largely dependent on an unsolicited rating that
S&P has also assigned, the unsolicited rating is not withdrawn
even if it no longer falls within the scope of the
above-mentioned coverage standards.
S&P will announce new rating assignments, as determined by the
coverage review, when appropriate.
Ratings withdrawn as of July 15, 2008:
Security Code Company
-------------------------------------------------------
6448 Brother Industries Ltd.
Unlisted Mitsubishi Chemical Corp.
4044 Central Glass Co. Ltd.
4188 Mitsubishi Chemical Holdings Corp.
1963 JGC Corp.
Unlisted Isetan Co. Ltd.
===============
M A L A Y S I A
===============
HALIFAX CAPITAL: Bourse to Remove Securities on July 25
-------------------------------------------------------
The Bursa Securities has resolved to disallow Halifax Capital
Berhad’s appeal and to de-list the securities of the company as
it does not have an adequate level of financial condition and
operations to warrant continued listing on the Official List of
Bursa Securities.
Accordingly, the securities of Halifax will be removed from the
Official List of Bursa Securities on July 25, 2008.
Headquartered in Kuala Lumpur, Malaysia, Halifax Capital Berhad
-- fka. Setron (Malaysia) Berhad -- is principally engaged in
investment holding, and assembly and sale of electrical and
electronic products. Setron Sales & Service (M) Sdn. Bhd., the
company's wholly owned subsidiary, is engaged in the
distribution of electrical and electronic products. Its
subsidiaries also include Al-Marsa Worldtrade Sdn. Bhd.,
Affluent Capital Sdn. Bhd., Setin Sdn. Bhd., Setron Electronic
Industries Sdn. Bhd., Meltron Multimedia Sdn. Bhd., VA
Advertising & Promotion Sdn. Bhd., ASH Creative Sdn. Bhd.,
Darulmas Manufacturing Services Sdn. Bhd., Setron Lyngso (M)
Sdn. Bhd., Setron Mathews Sdn. Bhd. and Setron Timber Industries
Sdn. Bhd. All of these subsidiaries have ceased their business
operations. In April 2006, it announced that Zecon Engineering
Berhad has a 25.48% interest in the company.
* * *
The company is considered an Affected Listed Issuer, as its
shareholders' equity on consolidated basis is less than 25% of
the issued and paid-up share capital of the listed issuer and
such shareholders' equity is less than the minimum issued and
paid up share capital.
MANGIUM IND: Securities to be Removed from Bourse on July 25
------------------------------------------------------------
The Bursa Securities has resolved to de-list the securities of
Mangium Industries Bhd. as the company does not have an adequate
level of financial condition and operations to warrant continued
listing on the Bourse' Official List.
This was after Mangium had failed to submit its regularisation
plans to the Securities Commission and other relevant
authorities for approval within the stipulated timeframe.
About Mangium Industries Berhad
Mangium Industries Berhad's principal activities are the
manufacture and trade of timber and timber related products.
Other activities include provision of printing services,
publisher, printer consultants and advertisers, trading of
alcoholic beverages, general trading of office furniture,
operation and development of the plantation and investment
holding. Operations of the Group are carried out in Malaysia.
* * *
The TCR-AP reported that Mangium Industries, on May 22, 2007,
became an affected listed issuer pursuant to the provisions of
Amended Practice Note 17/2005, as its shareholders' equity on
consolidated basis is less than 25% of its issued and paid-up
capital. As an affected listed issuer, Mangium is required to
formulate and implement a plan to regularize its financial
condition within a time frame stipulated by relevant
authorities.
PECD BERHAD: Faces F.H. Bertling's Wind-Up Petition
---------------------------------------------------
On July 15, 2008, PECD Berhad noted the service of a winding up
petition by F.H. Bertling (M) Sdn. Bhd. under Section 218 of the
Companies Act, 1965 at the company’s registered address.
The winding up petition was presented at the High Court of Shah
Alam on May 9, 2008. F.H. Bertling has claimed for a sum of
USD8,631,277 as at April 16, 2008. At all material times, there
is no claim made with regard to interest under the Petition.
Circumstances Leading to the Filing of the Petition
(1) The company received a notice on April 16, 2008, from the
Petitioner’s solicitors, Messrs. Shearn Delamore & Co.,
demanding payment of USD8,631,277.00 being allegedly due
and owing pursuant to the terms of the Corporate
Guarantee dated September 27, 2007;
(2) The Petition was presented when payments were made;
(3) On May 9, 2008, the company had obtained a restraining
order from the court pursuant to section 176(10) of the
Companies Act, 1965 to stay all further proceedings in
any action or proceeding, suits, winding-up, execution
and arbitration proceedings as well as well as any
intended or future proceedings against the company for a
period of 60 days from the date of the restraining order;
and
(4) On July 14, 2008, the court dismissed the company’s
application for an extension of the Order and the company
is taking all reasonable steps to appeal against the
same.
The exact quantum of losses arising from the Petition cannot be
determined at this juncture.
The Share Capital of the company is MYR254,168,256.00.
The Petition is not expected to have any major impact on the
financial position and operations of the company in view of the
steps taken by the company to appeal against the said decision.
PECD also appointed a specialist advisor to assess its current
financial position and initiate a corporate restructuring
exercise to plan the Group’s way forward.
About PECD Berhad
PECD Berhad is engaged in investment holding and provision of
management services. The company operates in four business
segments: construction, EPCC oil and gas, property development
and others. Its wholly owned subsidiaries include Peremba
Construction Sdn. Bhd., which is engaged in general construction
and investment holding and Wong Heng Engineering Sdn. Bhd.,
which is engaged in investment holding and engineering,
procurement, construction and commissioning emphasizing in the
oil and gas, as well as the power sectors. PECD Berhad's 70%-
owned subsidiary is Peremba Jaya Holdings Sdn. Bhd., which is
engaged in property development, construction and investment
holding.
* * *
Malaysian Rating Corp. Bhd downgraded PECD Berhad's
MYR200-million serial fixed rate bonds to BB+ from BBB-.
The rating outlook remains negative.
The downgrade reflects the major operational and strategic
challenges currently faced by PECD as well as continued
deterioration in its credit metrics, and recognizes the
increased execution challenges confronting management as it
pursues its turnaround strategy.
The Troubled Company Reporter-Asia Pacific reported on
March 7, 2008, that the company was classified as an Affected
Listed Issuer under Practice Note No. 17/2005 of the Listing
Requirements of Bursa Malaysia Securities Berhad, since the
company's shareholders' equity deficit reached MYR914.9 million
as at December 31, 2007.
WEMBLEY IND: Securities to be Removed from Bourse on July 25
------------------------------------------------------------
Wembley Industries Holdings Berhad's securities will be removed
from the Official List of Bursa Securities on July 25, 2008.
The removal of the company's securities was due to the rejection
of the Appeals Committee for the company’s further appeal for an
extension of time of six months from July 1, 2008, to Dec. 31,
2008, for the Revised Development Agreement to be signed.
Headquartered in Sarawak Malaysia, Wembley Industries Holdings
Berhad is a developer of commercial properties and investment
holding. Its other activities are the development of the inter-
state bus and taxi terminal, the retail podium and the budget
hotel.
The company has been placed under the Practice Note 4 category
due to its tight cash flow position. On January 7, 2003,
Malaysia's Foreign Investment Committee approved the company's
regularization plan. Subsequently, on April 7, 2003, the FIC
revised its approval to include the possible participation of
Daewoo Corporation, the former turnkey contractor of Plaza
Rakyat Project in the company's Proposed Debt Restructuring.
The company's ability to continue as a going concern hinges on
the successful implementation of the Scheme.
====================
N E W Z E A L A N D
====================
BARBADOES CONSTRUCTION: Wind-Up Petition Hearing Set for Aug. 27
----------------------------------------------------------------
The High Court at Auckland will convene a hearing on Aug. 27,
2008, to consider an application putting Barbadoes Construction
Limited into liquidation.
The application was filed on May 7, 2008, by the Commissioner
of Inland Revenue.
The plaintiff's address for service is at:
Inland Revenue Department
Legal and Technical Services
1st Floor Reception
224 Cashel Street (PO Box 1782)
Christchurch 8140
Telephone: (03) 968 0807
Facsimile: (03) 977 9853
Julie Newton is the plaintiff's solicitor.
C P WELLINGTON: Commences Liquidation Proceedings
-------------------------------------------------
The High Court at Auckland convened a hearing on July 2, 2008,
to consider an application putting C P Wellington Holdings
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.
CIVENCO CONSTRUCTION: Liquidator Sets July 18 as Claims Bar Date
----------------------------------------------------------------
Pursuant to Section 241 (2) of the Companies Act 1993, the
shareholders of Civenco Construction Bay of Plenty Ltd. resolved
that the company be liquidated and that Clive Ashley Johnson,
insolvency practitioner of Auckland, be appointed liquidator.
The Liquidator sets July 18, 2008, as the last day for creditors
to file their proofs of debt.
Creditors and shareholders may direct their inquiries to:
C. A. Johnson
PO Box 33171
Auckland
Telephone: (09) 377 5536
Facsimile: (09) 377 5537
DENIM PARNELL: Liquidator Sets July 18 as Claims Bar Date
---------------------------------------------------------
Pursuant to Section 241 (2) of the Companies Act 1993, the
shareholders of Denim Parnell Limited resolved that the company
be liquidated and that Clive Ashley Johnson, insolvency
practitioner of Auckland, be appointed liquidator.
The Liquidator sets July 18, 2008, as the last day for creditors
to file their proofs of debt.
Creditors and shareholders may direct their inquiries to:
C. A. Johnson
PO Box 33171
Auckland
Telephone: (09) 377 5536
Facsimile: (09) 377 5537
EVERGREEN PROPERTIES: Wind-Up Petition Hearing Set for August 27
----------------------------------------------------------------
The High Court at Auckland will convene a hearing on Aug. 27,
2008, to consider an application putting Evergreen Properties NZ
Limited into liquidation.
The application was filed on May 6, 2008, by Manukau Water
Limited.
The plaintiff's address for service is at:
Kelly Flavell
18 Uxbridge Road
Howick, Auckland
Documents for service on the plaintiff may be left at that
address for service or may be:
(a) posted to the plaintiff’s solicitor at PO Box 39056,
Howick, Auckland; or
(b) may be transmitted to the plaintiff’s solicitor by
facsimile on (09) 535 2151.
Kelly Flavell Solicitor is the plaintiff's solicitor.
SAI CONSTRUCTION: Wind-Up Petition Hearing Set for August 22
------------------------------------------------------------
The High Court at Auckland will convene a hearing on Aug. 22,
2008, to consider an application putting Sai Construction
Limited into liquidation.
The application was filed on May 16, 2008, by Hi Prop 2000
Limited.
The plaintiff's address for service is at:
Brookfields
Lawyers
2nd Floor, 3 Osterley Way
Manukau City
P. Moodley is the plaintiff's solicitor.
SPMM HOLDINGS: Liquidator Sets July 18 as Claims Filing Deadline
----------------------------------------------------------------
Pursuant to Section 241 (2) of the Companies Act 1993, the
shareholders of SPMM Holdings Limited resolved that the company
be liquidated and that John Albert Price, insolvency
practitioner of Auckland, be appointed liquidator.
The Liquidator sets July 18, 2008, as the last day for creditors
to file their proofs of debt.
Creditors and shareholders may direct their inquiries to:
J. A. Price
Horton Price Limited
PO Box 9125
Newmarket, Auckland
Telephone: (09) 366 3700
Facsimile: (09) 366 3705
Email: jprice@hortonprice.co.nz
SYDENHAM AUTO: Liquidators Sets July 18 as Claims Bar Date
----------------------------------------------------------
Pursuant to Section 255 (2) of the Companies Act 1993, the
shareholders of Sydenham Auto Electrics Limited has appointed
Richard Nicholas Ineson and Andrew James Brady, chartered
accountants of Christchurch, as the company's liquidators .
The Liquidators set July 18, 2008, as the last day for creditors
to file their proofs of debt.
Creditors and shareholders may direct their inquiries to:
Nelson Gardiner
Markhams
Level 5, 144 Kilmore Street
Christchurch
Telephone: (03) 379 6710
Facsimile: (03) 366 6754
Email: nelson.gardiner@markhams.co.nz
TASMAN CLEANING: Proofs of Debt Due on July 18
----------------------------------------------
D. C. Parsons, Tasman Cleaning Limited's appointed liquidator,
sets July 18, 2008, as the last day for creditors to file their
proofs of debt to be included from any dividend distribution.
The liquidator can be reached at:
Indepth Forensic Limited
Insolvency Practitioners
PO Box 278
Hamilton
Telephone: (07) 957 8674
Facsimile: (07) 957 8677
URBAN LAND: Commences Liquidation Proceedings
----------------------------------------------
The High Court at Auckland convened a hearing on July 4, 2008,
to consider an application putting Urban Land Limited (as
trustee of The Urban Land Trust) into liquidation.
The application was filed on April 1, 2008, by the Commissioner
of Inland Revenue.
The plaintiff's address for service is at:
Simon John Eisdell Moore
Meredith Connell
Level 17, Forsyth Barr Tower
55-65 Shortland Street
(PO Box 2213 or DX CP 24063)
Auckland
Simon John Eisdell Moore is the plaintiff's solicitor.
=====================
P H I L I P P I N E S
=====================
PSI TECHNOLOGIES: Auditor Expresses Going Concern Doubt
-------------------------------------------------------
SyCip Gorres Velayo & Co has expressed substantial doubt about
PSi Technologies Holdings Inc.'s ability to continue as a going
concern after auditing the company's financial statements for
the years ended December 31, 2007 and 2006.
The auditing firm pointed to the company's recurring losses from
operations and negative net working capital.
PSi Technologies incurred three consecutive net losses from
continuing operations: for the year ended December 31, 2007,
US$9,713,785, for the year ended December 31, 2006,
US$10,816,189 and for the year ended December 31, 2005,
US$14,873,586.
The company's revenues increased by US$3.8 million (4.2%) from
US$89.7 million in 2006 to US$93.5 million in 2007 while it
achieved a gross profit of US$4.7 million in 2007 as compared to
gross profit of US$3.7 million in 2006.
The company's balance sheet as of December 31, 2007, showed
total assets of US$49,778,658, total liabilities of
US$40,930,227 and total stockholders’ equity of US$8,848,431.
As at December 31, 2007, the company's balance sheet also showed
strained liquidity with US$22,178,850 in total current assets
available to pay US$37,427,604 in total current liabilities.
A full-text copy of the company's financial statements is
available for free at http://researcharchives.com/t/s?2f8a
About PSi Technologies
Headquartered in Metro Manila, Philippines, PSi Technologies
Holdings Inc. (NASDAQ:PSIT) -- http://www.psitechnologies.com/
-- provides comprehensive power semiconductor assembly, test and
drop shipment services.
=================
S I N G A P O R E
=================
ENZER CORPORATION: Schedules Annual Meeting on July 30
------------------------------------------------------
Enzer Corporation Limited will hold its annual general meeting
at Conference Room, Block 4012, Ang Mo Kio Avenue 10, #06-08
Techplace I, Singapore 569628 on July 30, 2008, at 9:00 a.m.,
to:
* receive and adopt the company's audited accounts for the
financial year ended March 31, 2008, and the report of the
Directors and Auditors thereon;
* re-elect these directors retiring under Article 108 of the
company's Articles of Association:
-- Dr. Tan Ah Mee;
-- Jonathan Lim Keng Hock;
-- Wong Yen Siang; and
-- Tay Gim Sin Leonard
* approve Directors’ fees of SGD113,708 for the financial
year ended March 31, 2008;
* re-appoint Baker Tilly TFWLCL as the company's Auditors and
to authorize the Directors to fix their remuneration; and
* transact any other business that may be transacted at an
Annual General Meeting.
Special Business
* consider and, if thought fit, to pass these resolutions as
an Ordinary Resolution, with or without modifications:
"That pursuant to Section 161 of the Companies Act, Cap. 50 and
the listing rules of the Singapore Exchange Securities Trading
Limited, authority be and is hereby given to the Directors to
allot and issue:
-- shares in the company's capital; or
-- convertible securities; or
-- additional convertible securities arising from adjustments
made to the number of convertible securities previously
issued in the event of rights, bonus or capitalism issues;
or
-- shares arising form the conversion of convertible
securities.
About Enzer Corporation
Enzer Corporation Limited operates in three business segments:
electronic components, consumer products and retail
distribution. The electronic components segment supplies
electronic components to a spectrum of industries, which
includes computer hard disk makers, integrated circuits module
makers and medical equipment makers. The electronic components
supplied include capacitors, inductors, integrated circuits,
relays, switches, printed circuit boards and liquid crystal
display modules. In the consumer products segment, Enzer
supplies home entertainment system, boom box, mini hi-fi,
compact disc players, digital versatile disc players, speaker
systems and digitally enhanced cordless telephones to retailers
and distributors worldwide under its own house brand ENZER. The
retail distribution segment is an integrator and reseller of hi-
fi systems and home entertainment systems. In August 2007, the
Company acquired 51% stake in Shanghai Jianhua Telecommunication
Satellite Co., Ltd.
* * *
As reported in the Troubled Company Reporter-Asia Pacific on
July 15, 2008, Baker Tilly TFWLCL said it has significant doubt
on Enzer Corporation Limited's ability to continue as a going
concern citing the liquidation of Enzer Electronics Pte Ltd, a
major subsidiary of the Enzer group of companies, resulting in
the discontinuance of the group's electronics components and
consumer products business.
According to the auditing firm, the closure of these businesses,
which contributed 95% of the Group’s 2007 revenue, left the
Group with only its retail distribution represented by the
continuing activities of two subsidiary companies, both of which
incurred losses totaling SG$434,395 for the year and had capital
deficiency totaling SG$2,647,679 at March 31, 2008.
The auditors warned that in the event of failure to secure
additional adequate capital funds, the Group and company will no
longer be able to continue as going concerns and may not be able
to realize their assets and discharge theirs liabilities in the
normal course of business.
INFORMATICS EDUCATION: 25th Annual Meeting Set for July 31
----------------------------------------------------------
Informatics Education Ltd. will hold its 25th annual general
meeting at Informatics Campus, 12 Science Centre Road, Singapore
609080 on July 31, 2008, at 1:30 p.m., to:
-- receive and adopt the Audited Financial Statements for the
year ended March 31, 2008, together with the reports of
the Directors and Auditors;
-- approve the payment of Directors’ Fees of SGD176,417 for
the year ended March 31, 2008, (2006: SGD165,000);
-- re-elect these Directors who are retiring pursuant to
Article 71 of the company’s Articles of Association:
* Mr. Ung Gim Sei; and
* Professor Chew Soon Beng @ Teo Soon Beng
-- re-elect these Directors who are retiring pursuant to
Article 75 of the company’s Articles of Association:
* Datuk Zainun Aishah Binti Ahmad; and
* Mr. Ho Kwok Sum
-- re-appoint Messrs. Ernst & Young LLP (conversion of Ernst
& Young) as auditors of the company and to authorize the
Directors to fix their remuneration;
-- transact any other business that may be transacted at an
annual general meeting of which due notice shall
have been given
Special Business:
-- consider and, if thought fit, to pass these resolutions as
ordinary Resolutions, with or without modifications:
* General Mandate to Directors to issue Shares; and
* Mandate to Directors to issue Scheme Shares
About Informatics Education
Singapore-based Informatics Education Ltd. is engaged in
investment holding, and franchising for computer and commercial
training centres. It also operates as an examination
facilitator. The company operates under the names Informatics
International, Informatics Academy, Informatics Consulting,
Thames Academy, Thames International, Informatics Higher
Education, Informatics Corporate Learning and Informatics Uni.
It operates in three segments: the Global Higher Education
segment, which offers diploma, advanced diploma, degree, masters
and doctorate qualifications in a range of business, engineering
and technological subjects, to college going students and life
long learners; the Informatics Professional Skills Development
segment, which provides training and skills upgrading and
enhancement to the general workforce, in both technical and non-
technical areas, and the e-Learning segment, which offers
courses through online virtual campus platform for e-learners.
* * *
As reported in the Troubled Company Reporter-Asia Pacific on
July 10, 2008, Ernst & Young LLP has expressed significant doubt
on Informatics Education Ltd.'s ability to continue as a going
concern citing the company's financial statements wherein
Informatics and its group of companies incurred a net loss of
SG$3,604,000 (2007: SG$5,815,000) for the financial year ended
March 31, 2008, and as at that date, the Group's total current
liabilities and total liabilities exceeded its total current
assets and total assets by SG$7,488,000 (2007: SG$21,827,000)
and SG$4,798,000 (2007: SG$17,664,000) respectively.
Ernst & Young warned that if the Group and the company are
unable to continue its operational existence for the foreseeable
future, the Group and the Company may be unable to discharge
their liabilities in the normal course of business and
adjustments may have to be made to reflect the situation that
assets may need to be realized other than in the normal course
of business and at amounts which could differ significantly from
the amounts at which they are currently recorded in the balance
sheets.
In addition, the auditing firm said the Group and the Company
may have to reclassify non-current assets and liabilities as
current assets and liabilities. No such adjustments have been
made to the financial statements, it noted.
INTELSAT: Moody's Affirms Caa1 Corporate Family Rating
------------------------------------------------------
Moody's Investors Service assigned ratings to approximately
US$1.2 billion of new debt instruments issued by Intelsat
Corporation, an indirect wholly-owned subsidiary of Intelsat,
Ltd. (Intelsat). At the same time, Moody's also affirmed
Intelsat's Caa1 corporate family rating, Caa1 probability of
default rate and SGL-3 speculative grade liquidity rating
(indicating adequate liquidity) while maintaining the stable
ratings outlook. The rating action was prompted by refinance
activity resulting from required change of control offers
applicable to debt instruments that were outstanding prior to
Intelsat's recent acquisition by private equity investors. This
third and final step in a multi-stage transaction, with steps
one and two having been the subject of Moody's June 24, 2008,
and July 1, 2008, press releases, in the names of Intelsat
(Bermuda), Ltd., and Intelsat Jackson Holdings, Ltd.,
respectively. As was the case in the initial two steps, since
this transaction substitutes debt being "put" back to Intelsat
Corporation with similarly sized and structured replacements
(albeit with minor modifications to coupons that increase by 25
basis points in each instance), the transaction is assessed as
being neutral to Intelsat's Caa1 CFR, Caa1 PDR and SGL-3
speculative grade rating, with no consequent modification to
existing ratings or loss given default assessments of individual
debt instruments. Applicable ratings on debt instruments being
completely refinanced will be withdrawn in due course. With no
change to the credit profile of the company expected to occur
over the near term, the outlook continues to be stable.
Instruments rated:
Issuer: Intelsat Corporation
.... US$658 million 9.25% Senior Notes due August 15, 2014,
Rated B3 (LGD3, 32%)
.... US$581 million 9.25% Senior Notes due June 15, 2016, Rated
B3 (LGD3, 32%)
Intelsat, Ltd. -- http://www.intelsat.com/-- offers telephony,
corporate network, video and Internet solutions around the globe
via capacity on 25 geosynchronous satellites in prime orbital
locations. Customers in approximately 200 countries rely on
Intelsat's global satellite, teleport and fiber network for
high-quality connections, global reach and reliability.
Intelsat has sales offices in Bermuda, Australia, China, Japan,
and Singapore.
NEXGEN PETROLEUM: Losses Prompt Auditors' Going Concern Doubt
-------------------------------------------------------------
Maddox Ungar Silberstein PLLC expressed substantial doubt about
Nexgen Petroleum Corp.'s ability to continue as a going concern
after auditing the company's
financial statements for the years ended March 31, 2008 and
2007.
According to the auditing firm, the company has limited working
capital, has not yet received revenue from sales of products or
services, and has incurred losses from operations.
Since its inception on April 17, 2006, the company has not
generated any revenues from its operations and has been
incurring consecutive net losses:
Period Net Loss
------ --------
Year ended March 31, 2008 US$(128,230)
Period from Inception to
March 31, 2007 US$(81,059)
Period from Inception to
March 31, 2008 US$(209,289)
The company attributed the increase in the net loss to an
increase in professional fees.
According to the company, professional fees increased to
US$119,850 in the year ended March 31, 2008 from US$47,719 in
the year ended March 31, 2007 due to the increased costs of
legal and accounting services for preparation of quarterly and
annual financial statements and public filings and the cost of
legal fees incurred in connection with the merger of DGT Corp.
with Blackrock Petroleum Corp. and the subsequent merger of
Blackrock Petroleum Corp. with Nexgen Petroleum Corp.
Nexgen's balance sheet as of March 31, 2008, showed total assets
of US$2,053,954,
total liabilities of US$1,699,339 and total stockholders' equity
of US$354,615.
The company's balance sheet as of March 31, 2008, also showed
strained liquidity with only US$8,008 in total current assets
available to pay US$51,839 in total current liabilities.
Nexgen said its US$8,008 cash as of March 31, 2008, is not
enough to meet its projected expenditures in the next 12 months,
thus, to meet its capital needs, the company will most likely
need to raise funds from other sources to remain in business.
At the present time, Nexgen said it is contemplating raising
additional money through a private placement, however, there can
be no assurance that it will be able to raise additional money
in the future.
“If we need additional capital and cannot raise the necessary
amount, we will either be required to suspend activities until
we do raise the cash or cease activity entirely,” Nexgen noted.
A full-text copy of the company's financial statements is
available for free at http://researcharchives.com/t/s?2f88
About Nexgen Petroleum Corp.
Nexgen Petroleum Corp., fka Blackrock Petroleum Corp., is an
exploration stage company in the oil and gas industry. The
company maintains a business office in Las Vegas, Nevada but its
directors and officers reside principally in Singapore.
*********
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 ***