TCRAP_Public/080731.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 31, 2008, Vol. 11, No. 151

                            Headlines

A U S T R A L I A

A.C.N. 004 389 539: Members Meeting Slated for August 1
A.C.N. 009 734 570: Members Meeting Set for August 1
A.C.N. 009 788 596: Members Meeting Slated for August 1
A.C.N. 068 637 123: Members and Creditors to Meet on August 5
AGILE CONSULTANTS: Joint Meeting Slated for August 1

AUTOSHOPPER WEEKLY: To Declare Dividend on August 8
BLUE CHIP: Documents Handed to SFO Reveals Tax Defaults
BLUE CHIP: Court Orders Founder to Pay NZ$15.4 Mil.
BOKAHA PTY: To Declare Dividend on August 5
CHIMAERA FINANCIAL: Administrators Appointed for Primebroker

DESIGN CLUBWEAR: Members and Creditors to Meet on August 1
HADEN DRYSYS: Final Members Meeting Set for August 1
JUSTICE FREIGHTERS: Joint Meeting Slated for August 1
PACIFIC SECURITY: Members and Creditors to Meet on August 1
SECURITY CAPITAL: Strikes US$1.8-BB Bailout Deal From XL Capital

SECURITY: Moody's Puts B2 Insurance FS Rating Under Review
STARBUCKS CORP: To Close 61 Stores in Australia
TAMALGAN PTY: To Declare Dividend on August 6


C H I N A

BERYL FINANCE: Fitch Assigns 'BB+' Rating on US$15.03MM Notes
BERYL FINANCE: Fitch Rates US$37.155 Million Notes 'BB'
BERYL FINANCE: Fitch Holds 'BB' US$37.155MM Notes Rating
BERYL FINANCE: Fitch Places 'BB-' Rating on US$49.675MM Notes
BERYL FINANCEL: Fitch Holds & Withdraws 'BB-' US$49.675MM Notes

BERYL FINANCE: Fitch Simultaneously Holds and Withdraws Ratings
BUNGE: Moody's Shifts Ba1 Pref. Stock Rating Outlook to Stable
HUAXIA BANK: Gets Regulatory OK for US$1.7 Bil. Shares Placement


H O N G K O N G

BEST GAIN: Creditors' Proofs of Debt Due on August 11
CYBERSPEED TECHNOLOGY: Placed Under Voluntary Liquidation
DILIGENT WIN: Appoints Wai and Fun as Liquidators
ENKA TECHNOLOGY: Court to Hear Wind-Up Petition on September 3
GLORY CENTRE: Wind-Up Petition Hearing Set for September 3

GOOD SOURCE: Appoints Wai and Fun as Liquidators
LEECO TEXTILE: Creditors' Proofs of Debt Due on August 11
WORLD SKY: Subject to China Agricultural's Wind-Up Petition


I N D I A

HINDUSTAN PETROLEUM: 1st Qtr Net Loss Widens to Rs. 8881.20 Mil.
JET AIRWAYS: Back into the Black in FY 2009 First Quarter
NATIONAL ALUMINIUM: Coal Insufficient, May Close Orissa Refinery


J A P A N

ASTRA ALPHA: Fitch Slashes JPY15BB Notes Rating to BB from AA+
* JAPAN: Moody's Says Outlook for Electronics Sector Stable


K O R E A

KOREA GAS: 2nd Quarter Net Loss Down to KRW4.4 Billion
SSANGYONG MOTOR: Strikes Wage Deal With Labor Union
* KOREA: Farm Trade Deficit May Reach All-Time High This Year


M A L A Y S I A

MALAYAN BANKING: Bank Negara Cancels Sale of PT Bank Int'l Stake


N E W  Z E A L A N D

AAA NEW ZEALAND: Terence Hillson Appointed as Liquidator
ADEL INVESTMENTS: High Court Appointed Liquidators
AUCKLAND LUXURY: High Court Appointed Liquidators
AUTOMAG LIMITED: High Court Appointed Liquidators
BEYER TEXTILES: Shareholders Appointed Liquidators

DORCHESTER PACIFIC: To Finalize Deferred Repayment Plan
EASY CLEAN: Commences Liquidation Proceedings
GUARDIAN TRUST: Freezes Fund Withdrawals Due to Liquidity Crisis
RUAPEHU GROUP: Commences Liquidation Proceedings
SOUTHERN LAKES: High Court Appointed Liquidators

SOUTHLAND TYPEWRITER: Placed Under Liquidation
VASARI HOMES: Placed Under Liquidation


P H I L I P P I N E S

UNITED COCONUT: Govt. OK's Infusion of Php30BB Under Rehab Plan
UNITED PARAGON: SEC Approves Corporate Restructuring


S I N G A P O R E

STATS CHIPPAC: Posts US$22.1MM Net Income in Qtr. Ended June 29


T A I W A N

AU OPTRONICS: May Select Poland or Slovakia for LCD Plant Site


                         - - - - -


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

A.C.N. 004 389 539: Members Meeting Slated for August 1
-------------------------------------------------------
Jason Bettles, A.C.N. 004 389 539 Pty Ltd's state liquidator,
will meet with the company's members at 3:15 p.m. on Aug. 1,
2008, to provide them with property disposal and winding-up
reports.

The liquidator can be reached at:

          Jason Bettles
          Worrells Solvency & Forensic Accountants
          Level 6, 50 Cavill Avenue
          Surfers Paradise Qld 4217
          Australia
          Website: www.worrells.net.au


A.C.N. 009 734 570: Members Meeting Set for August 1
----------------------------------------------------
Jason Bettles, A.C.N. 009 734 570 Pty Ltd's state liquidator,
will meet with the company's members at 3:30 p.m. on Aug. 1,
2008, to provide them with property disposal and winding-up
reports.

The liquidator can be reached at:

          Jason Bettles
          Worrells Solvency & Forensic Accountants
          Level 6, 50 Cavill Avenue
          Surfers Paradise Qld 4217
          Australia
          Website: www.worrells.net.au


A.C.N. 009 788 596: Members Meeting Slated for August 1
-------------------------------------------------------
Jason Bettles, A.C.N. 009 788 596 Pty Ltd's state liquidator,
will meet with the company's members at 3:00 p.m. on Aug. 1,
2008, to provide them with property disposal and winding-up
reports.

The liquidator can be reached at:

          Jason Bettles
          Worrells Solvency & Forensic Accountants
          Level 6, 50 Cavill Avenue
          Surfers Paradise Qld 4217
          Australia
          Website: www.worrells.net.au


A.C.N. 068 637 123: Members and Creditors to Meet on August 5
-------------------------------------------------------------
A.C.N. 068 637 123 Pty Ltd fka Riddle Radcliff Corporation Pty
Ltd will hold a final meeting for its members and creditors at
9:00 a.m. on Aug. 5, 2008.  During the meeting, the company's
liquidator, David H. Scott, will provide the attendees with
property disposal and winding-up reports.

The company's liquidator can be reached at:

          David H. Scott
          Scott Partners Consulting
          Level 1, 173 Burke Road
          Glen Iris VIC 3146
          Australia


AGILE CONSULTANTS: Joint Meeting Slated for August 1
----------------------------------------------------
Agile Consultants Pty Ltd will hold a meeting for its members
and creditors at 9:00 a.m. on Aug. 1, 2008.  During the meeting,
the company's liquidator, R. A. Sutcliffe, will provide the
attendees with property disposal and winding-up reports.

The company's liquidator can be reached at:

          R. A. Sutcliffe
          Ground Floor
          192-198 High Street
          Northcote VIC 3070
          Australia
          Telephone (03) 9482 6277


AUTOSHOPPER WEEKLY: To Declare Dividend on August 8
---------------------------------------------------
Autoshopper Weekly Pty Ltd will declare dividend on August 8,
2008.

Only creditors who where able to file their proofs of debt by
July 22, 2008, were included in the company's dividend
distribution.

The company's liquidator is:

          Andrew Mclellan
          PPB Chartered Accountants
          Level 10, 90 Collins Street
          Melbourne VIC 3000
          Australia


BLUE CHIP: Documents Handed to SFO Reveals Tax Defaults
-------------------------------------------------------
Maria Slade of the New Herald reports that a clandestine meeting
at a public library has resulted in two suitcases full of
original Blue Chip documents being handed in to the Serious
Fraud Office.

According to the Herald, an unidentified man had offered the
apparently stolen papers for sale to property consultant Olly
Newland, who is acting for victims of the Blue Chip collapse.

The documents - 40 or 50 files in their original folders -
reveal that Blue Chip was being pressured by Inland Revenue over
hundreds of thousands of dollars in unpaid tax as far back as
2005, the Herald relates.

Mr. Newland told the Herald that several weeks ago a man calling
himself "Paul" made contact by letter, and included samples of
the documents and a photo of the pile.

Mr. Newland said "Paul" claimed to have come by the documents
legally, and asked several times for money to hand them over.
However, the Herald says, Mr. Newland refused, and managed to
convince him to give the files up to the Serious Fraud Office,
which is investigating Blue Chip.

                    About Blue Chip NZ

Blue Chip New Zealand Ltd. is a financial services company with
offices throughout New Zealand.  It is a subsidiary of Blue Chip
Financial Solutions Limited, now known as Northern Crest
Investments.  Northern Crest operates in two divisions:
financial services and leasing services.  The financial services
division is engaged in the provision of financial structuring
services and investment product to a variety of clients.  The
leasing activities division is engaged in rental of residential
property.

                      *     *     *

As reported by the Troubled Company Reporter-Asia Pacific on
April 15, 2008, Blue Chip New Zealand Ltd. is in voluntary
liquidation, joining 20 other Blue Chip companies that are now
being wound up.  Blue Chip New Zealand is a subsidiary of the
company formerly known as Blue Chip Financial Solutions.


BLUE CHIP: Court Orders Founder to Pay NZ$15.4 Mil.
--------------------------------------------------
Blue Chip founder Mark Bryers has been ordered to pay a
Singapore-based property developer NZ$15.4 million or
potentially face bankruptcy, Maria Slade of the New Herald
reports.

According to the Herald, the High Court ruled that Mr. Bryers
must pay Consolidated Technologies Development NZ$13.6 million
for 49 residential sections he agreed to buy alongside the Gulf
Harbour golf course.

The ruling, by Justice Judith Potter, also orders Mr. Bryers to
pay NZ$6921 a day in interest from October 26, when the deal was
supposed to have been settled - a total NZ$1.8 million, the
Herald relates.

As reported in the Troubled Company Reporter–Asia Pacific on
July 14, 2008, The Dominion Post said Consolidated Technologies
filed a case against Mr. Bryers for breach of a sale and
purchase agreement pertaining to 49 plots of land lining
fairways at Mr. Bryers' Gulf Harbour Country Club and golf
course at Whangaparaoa, north of Auckland.

The case was heard before the High Court at Auckland July 10
with Justice Judith Potter reserving her decision.

The Post said Consolidated Technologies is seeking about NZ$13.6
million in compensation, plus interest of nearly NZ$7000 a day
since late October, amid claims it was stuck with the land
despite agreeing on a sale.

                     About Blue Chip NZ

Blue Chip New Zealand Ltd. is a financial services company with
offices throughout New Zealand.  It is a subsidiary of Blue Chip
Financial Solutions Limited, now known as Northern Crest
Investments.  Northern Crest operates in two divisions:
financial services and leasing services.  The financial services
division is engaged in the provision of financial structuring
services and investment product to a variety of clients.  The
leasing activities division is engaged in rental of residential
property.

                      *     *     *

As reported by the Troubled Company Reporter-Asia Pacific on
April 15, 2008, Blue Chip New Zealand Ltd. is in voluntary
liquidation, joining 20 other Blue Chip companies that are now
being wound up.  Blue Chip New Zealand is a subsidiary of the
company formerly known as Blue Chip Financial Solutions.


BOKAHA PTY: To Declare Dividend on August 5
-------------------------------------------
Bokaha Pty Ltd will declare dividend on August 5, 2008.

Only creditors who where able to file their proofs of debt by
July 22, 2008, were included in the company's dividend
distribution.

The company's liquidator is:

          Geoffrey Ridgeway
          Jenkins Peake
          P.O. Box 1570
          Geelong VIC 3220
          Australia
          Telephone: (03) 5223 1000
          Facsimile: (03) 5221 4938


CHIMAERA FINANCIAL: Administrators Appointed for Primebroker
------------------------------------------------------------
The directors of Primebroker Securities Limited, Chimaera
Financial Group's margin lending business, appointed Messrs.
Laurie Fitzgerald and Michael Humphris as voluntary
administrators.

The directors said the appointment follows the appointment of
receivers and managers by ANZ Bank on July 4, 2008.

The directors consider that the appointment of voluntary
administrators will provide an opportunity for the restructuring
of the business rather than simply allowing the company
to fall into liquidation.  The directors believe that adopting
this course of action would provide an outcome that will be more
advantageous to all stakeholders.

According to Business Day, the directors were not available to
explain how this would work, as ANZ is not expected to recover
its AU$260 million exposure to Primebroker let alone return any
funds for unsecured creditors.

If this is the case, the Business Day relates, then the only
course for the administrators would be to put the company into
liquidation and challenge ANZ's fixed and floating charge,
obtained months before the bank appointed receivers.

According to Primebroker sources cited by Business Day, the
company in liquidation will seek to overturn ANZ's charge as a
preferential payment.  If the action proved successful, ANZ
would rank as an unsecured creditor for the AU$100 million
exposure to Primebroker, which would almost certainly add to its
losses.

As reported in the Troubled Company Reporter–Asia Pacific on
July 7, 2008, ANZ Bank has appointed Paul Kirk and Stephen
Longley of PricewaterhouseCoopers as Receivers and Managers of
Primebroker.

According to the bank, notwithstanding significant efforts by
ANZ and Primebroker, there has been a further deterioration in
Primebroker's position.  This, combined with a lack of
commercially acceptable proposals from Primebroker, has
led to this unfortunate outcome, ANZ said.

ANZ noted that the deterioration in Primebroker's position has
also been to its detriment.  As a result, ANZ anticipated a
provision of approximately AU$50 million.  Total exposure of
AU$260 million is secured by a portfolio of equities and
property.

In April 2008, Chimaera said in a statement that ANZ was
expected to invest AU$55 million following the completion of due
diligence.

In that statement, Chimaera co-founder and director, Sal
Catalano said, "Chimaera has been the subject of unfounded media
speculation about its securities financing business.  The
additional funding will be used to enhance Chimaera's liquidity
during current volatile equity market conditions and to underpin
the expected expansion of its business."

However, on June 30, following completion of the due diligence
review, ANZ has decided not to proceed with an investment in
Chimaera.

Chimaera, which was caught short by sharemarket declines in
February and March, responded that it would survive without the
AU$55 million injection offered by ANZ to halt its demise in
return for a majority stake, Business Day reported.

According to Business Day, Chimaera said in a statement that ANZ
had withdrawn all liquidity under finance facilities
with Primebroker Securities and would not allow a number of
interested parties including a major Asian financial institution
to complete due diligence.

"Notwithstanding ANZ's initial commitment to the overall
recapitalisation plan and extensive due diligence of the
Chimaera Group, it refused to allow the group the opportunity to
raise capital from other sources," Chimaera said in a statement
cited by Business Day.

                          About Chimaera

Headquartered in Melbourne, Australia, The Chimaera Financial
Group -- http://www.chimaeracapital.com/ccl/contact.aspx/-- is
a private merchant bank, which is licensed to conduct business
in the areas of investments, securities financing and trading as
well as providing custodian and Responsible Entity services for
direct investors and managed investment schemes.


DESIGN CLUBWEAR: Members and Creditors to Meet on August 1
----------------------------------------------------------
Design Clubwear Pty Ltd will hold a meeting for its members and
creditors at 9:10 a.m. on Aug. 1, 2008.  During the meeting, the
company's liquidator, R. A. Sutcliffe, will provide the
attendees with property disposal and winding-up reports.

The company's liquidator can be reached at:

          R. A. Sutcliffe
          Ground Floor
          192-198 High Street
          Northcote VIC 3070
          Australia
          Telephone (03) 9482 6277


HADEN DRYSYS: Final Members Meeting Set for August 1
----------------------------------------------------
Stephen Graham Longley and David Laurence Mcevoy, Haden Drysys
Pty Ltd's state liquidators, will meet with the company's
members at 10:00 a.m. on Aug. 1, 2008, to provide them with
property disposal and winding-up reports.

The liquidators can be reached at:

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


JUSTICE FREIGHTERS: Joint Meeting Slated for August 1
-----------------------------------------------------
Justice Freighters Pty Ltd will hold a meeting for its members
and creditors at 9:20 a.m. on Aug. 1, 2008.  During the meeting,
the company's liquidator, R. A. Sutcliffe, will provide the
attendees with property disposal and winding-up reports.

The company's liquidator can be reached at:

          R. A. Sutcliffe
          Ground Floor
          192-198 High Street
          Northcote VIC 3070
          Australia
          Telephone (03) 9482 6277


PACIFIC SECURITY: Members and Creditors to Meet on August 1
-----------------------------------------------------------
Pacific Security Services Pty Ltd will hold a meeting for its
members and creditors at 9:30 a.m. on Aug. 1, 2008.  During the
meeting, the company's liquidator, R. A. Sutcliffe, will provide
the attendees with property disposal and winding-up reports.

The company's liquidator can be reached at:

          R. A. Sutcliffe
          Ground Floor
          192-198 High Street
          Northcote VIC 3070
          Australia
          Telephone (03) 9482 6277


SECURITY CAPITAL: Strikes US$1.8-BB Bailout Deal From XL Capital
----------------------------------------------------------------
Security Capital Assurance Ltd. and its principal operating
subsidiaries, XL Capital Assurance Inc., and XL Financial
Assurance Ltd., entered into a Master Transaction Agreement with
XL Capital Ltd. and certain of XL Capital's affiliates.

The Master Transaction Agreement provides for the termination,
elimination or commutation of certain reinsurance, guarantees
and other agreements with XL Capital and its subsidiaries in
exchange for a payment by XL Capital to SCA of US$1.775 billion
in cash and 8 million shares of XL Capital Class A Ordinary
Shares to SCA's subsidiaries, and the transfer of XL Capital's
46% ownership stake in SCA to a trust.

Certain financial institutions that are counterparties to credit
default swap agreements with XLCA are also parties to the Master
Transaction Agreement.

Concurrent with the Master Transaction Agreement, SCA also
entered into an agreement with Merrill Lynch & Co., Inc. for the
termination of eight credit default swaps and the related
financial guarantee insurance policies that were issued by XLCA.

As of June 30, 2008, due to significant adverse development on
loss reserves, XLCA will report negative statutory surplus and
XLFA will report negative total statutory capital and surplus.
Upon the successful closing of the transactions contemplated by
the Master Transaction Agreement, the Merrill Agreement and
related agreements, XLCA expects to have positive statutory
surplus, and XLFA expects to have positive total
statutory capital and surplus.

SCA and XL Capital have obtained approval from the New York
Insurance Department and the Bermuda Monetary Authority for the
Master Transaction Agreement and the transactions contemplated
thereby.  Other required approvals related to the agreement have
been received from the Delaware Department of Insurance.  The
New York Insurance Department has also approved the Merrill
Agreement and the contemplated transactions.

The XL Capital deal saves SCA from insolvency, various reports
say.

"The agreements with XL Capital and Merrill Lynch represent a
significant step in the restructuring process of SCA and are
critical to our efforts to stabilize the company," commented
Paul S. Giordano, Chief Executive Officer of SCA.  "While we are
very pleased with the progress made to date, our company remains
exposed to potentially significant adverse loss development and
there is still much work to be done.  In the next phase, we will
commence discussions with swap counterparties seeking to
commute, terminate or restructure our remaining credit default
swaps.  The New York Insurance Department, the Bermuda Monetary
Authority, the Delaware Department of Insurance and the UK
Financial Services Authority, as well as our other regulators,
have been extremely supportive in this process, and we look
forward to continuing to work constructively with them in the
future."

                     Master Transaction Agreement

According to the Master Transaction Agreement signed July 28,
2008, a number of reinsurance, guarantees and other arrangements
among SCA and its subsidiaries and XL Capital and its
subsidiaries will be terminated, eliminated or commuted in
return for the payment by XL Capital and certain of its
affiliates of US$1.775 billion in cash, 8 million of XL
Capital's Class A Ordinary Shares to XLCA and XLFA and the
transfer of XL Capital's 46% ownership of SCA into a trust.

The SCA shares currently owned by XL Capital will be transferred
at the closing of the Master Transaction Agreement into a trust
for the benefit of XLCA until such time as an agreement between
XLCA and the Financial Counterparties is reached, and thereafter
such SCA shares will be held for the benefit of the Financial
Counterparties.  To the extent that the required regulatory
approvals for the transfer are not received prior to such
closing, the SCA shares will be deposited into escrow pending
the transfer.  Upon any such deposit into escrow, XL will
irrevocably disclaim any and all voting, economic and other
rights with respect to the SCA shares.  In connection with the
transfer of the SCA shares, XL Capital will no longer have the
right to nominate directors to SCA's Board of Directors.  As a
condition to closing, the four XL Capital-nominated Directors on
SCA's Board of Directors, Messrs. Fred Corrado, Paul Hellmers,
Gardner Grant, Jr. and Jonathan Bank, are expected to resign
from SCA's Board of Directors at closing.

After the closing of the transactions contemplated by the Master
Transaction Agreement, substantially all reinsurance agreements
and guarantees with XL Capital and subsidiaries will be
eliminated.

                       Merrill Agreement

Pursuant to the Merrill Agreement, SCA, XLCA, Merrill Lynch,
Merrill Lynch International and eight trusts affiliated with
SCA, the obligations of which are guaranteed by policies issued
by XLCA, agreed to terminate eight credit default swaps and the
related financial guarantee insurance policies issued by XLCA,
with an insured gross par outstanding as of June 30, 2008 of US
US$3.74 billion, in exchange for a payment by XLCA to Merrill
Lynch of an aggregate amount of US$500 million.

As part of the closing of the transactions contemplated by the
Merrill Agreement, the parties will provide mutual releases of
claims with respect to the Swaps and the related policies.  In
addition, XLCA and MLI have agreed to dismiss, after the closing
of the transaction, the litigation related to seven of the
Swaps.

                  Second Quarter 2008 Developments

SCA has conducted a review of its June 30, 2008 loss reserves.
Based on the preliminary results of this review, SCA believes
that its case reserves will have increased substantially as of
June 30, 2008, primarily due to significant deterioration with
respect to the Company's exposure to collateralized debt
obligations of asset-backed securities and residential mortgage-
backed securities.  As a result, SCA's New York-based insurance
subsidiary, XLCA, will report negative statutory surplus and its
Bermuda-based reinsurance subsidiary, XLFA, will report negative
total statutory capital and surplus as of June 30, 2008.

                       Going Concern Doubt

Upon the successful closing of the transactions contemplated by
the Master Transaction Agreement, the Merrill Agreement and
related agreements, pending the satisfaction of certain
conditions, XLCA expects to have positive statutory surplus and
XLFA expects to have positive total statutory capital and
surplus.  In the absence of the consummation of the transactions
contemplated by the Master Transaction Agreement, the Merrill
Agreement and related agreements, XLCA and XLFA would likely
be subject to regulatory action by their primary regulators, the
New York Insurance Department and the Bermuda Monetary
Authority.  As a result of these developments, there is
substantial doubt about the Company's ability to continue as a
going concern.  Upon the closing of the transactions
contemplated by the Master Transaction Agreement, the Merrill
Agreement and other related agreements, SCA intends to re-assess
whether substantial doubt exists about the Company's ability to
continue as a going concern.

            Closings of the Master Transaction Agreement
                     and the Merrill Agreement

The closings of the transactions contemplated by the Master
Transaction Agreement, the Merrill Agreement, and other
agreements are expected to occur concurrently in early August
2008.

In addition to customary closing conditions, the closings are
also subject to the completion by XL Capital of a registered
public offering of its equity and equity units.  XL Capital
plans to offer approximately US$2.5 billion of securities in a
combination of ordinary shares and equity security units
pursuant to the company's existing shelf registration statement.
Each Equity Security Unit will consist of (i) a forward purchase
contract requiring the holder to purchase, and XL to issue, a
variable number of ordinary shares of XL and (ii) an ownership
interest in a debt security of XL.  It has not yet determined
the exact breakdown between Ordinary Shares and Equity Security
Units, but currently expects that the Ordinary Shares will
constitute approximately US$1.75 to US$2.0 billion of the total.

XL Capital intends to use the net proceeds from the Offerings to
pay US$1.775 billion in connection with the Security Capital
agreement and for general corporate purposes including capital
funding of certain of the company's subsidiaries.

The joint book-running managers for the Offerings are Goldman,
Sachs & Co. and UBS Investment Bank.  Full details of the
Offerings, including a description of the Ordinary Shares and
the Equity Security Units and certain risk factors related to
the Company and these securities, will be contained in a
prospectus supplement that will be available through the
underwriters.

SCA and XL Capital may choose to terminate the Master
Transaction Agreement if the closing does not occur by
August 15, 2008.

Further, concurrent with the execution of the Master Transaction
Agreement, XLFA has entered into an agreement with Financial
Security Assurance to commute all business reinsured by XLFA
under reinsurance agreements between the parties.  XLCA has
agreed to directly reinsure a portion of such commuted business.
In addition, XLFA has entered into agreements to commute certain
other ceded reinsurance contracts.

The negotiations of the Master Transaction Agreement and the
Merrill Agreement, as well as the continuing discussions among
SCA, certain policyholders and other interested parties, have
been facilitated by the New York Insurance Department.  SCA has
also worked closely with the Bermuda Monetary Authority, the UK
Financial Services Authority, the Delaware Department of
Insurance and other relevant authorities regarding these
agreements.

While SCA expects the transactions contemplated by the Master
Transaction Agreement, the Merrill Agreement and the other
related agreements to close by August 15, 2008, there can be no
assurance that all the closing conditions will be satisfied or
waived.  Therefore, there can be no assurance that the
transactions described under the Master Transaction Agreement,
the Merrill Agreement and other related agreements will be
consummated or that the New York Insurance Department and the
Bermuda Monetary Authority, or other regulators, will not take
regulatory action at any time with respect to SCA's operating
subsidiaries.

             Agreement with Financial Counterparties

In consideration of the releases and waivers agreed to by the
Financial Counterparties as part of the Master Transaction
Agreement, XLCA has agreed to hold an aggregate amount of
US$820 million in cash (plus the interest thereon, premiums paid
by the Financial Counterparties from July 28 through October 15,
2008 and any proceeds from the sale by the trust of the SCA
shares, in the event such shares are sold) for the purpose of
commuting, terminating, amending or otherwise restructuring
existing agreements with the Financial Counterparties pursuant
to an agreement to be negotiated with the Financial
Counterparties.  In the event that such agreement is not reached
by October 15, 2008, XLCA has agreed to use such proceeds only
to pay claims under the credit default swaps of the Financial
Counterparties.  In addition, through such date, XLCA and XLFA
have agreed to restrictions on their ability to commute,
terminate, amend or otherwise restructure policies and contracts
to which either is a party.

                      Corporate Name Change

SCA will formally change its corporate name on August 4, 2008,
from Security Capital Assurance Ltd. to Syncora Holdings Ltd.
SCA's operating subsidiaries will also change names on the same
date: XLCA will become Syncora Guarantee Inc. and XLFA will
become Syncora Guarantee Re Ltd.  As of August 4, 2008, SCA is
no longer permitted to use the "XL" name. The Company's stock
ticker symbol will remain "SCA".

                           About XLCA

XL Capital Assurance Inc. (XLCA) delivers credit enhancement for
the obligations of debt issuers worldwide.  It guarantees US
municipal bonds; asset-backed securities; debt backed by
utilities and selected infrastructure projects; specialized
risks, including future flow securitizations and bank deposit
insurance; and collateralized debt obligations (CDOs).  It
provides financial guarantee that is unconditional and
irrevocable and, in the process, help clients overcome a broad
spectrum of strategic, competitive and financial challenges.

                              About SCA

Security Capital Assurance Ltd (SCA) -- http://www.scafg.com/--
through its subsidiaries -- XL Capital Assurance Inc., (XLCA) a
monoline financial guarantee insurance provider, and XL
Financial Assurance Ltd.  (XLFA), a monoline provider of
reinsurance to financial guarantee insurers -- provides credit
enhancement for the obligations of debt issuers worldwide.  As
reported by the Troubled Company Reporter on June 23, 2008,
Moody's Investors Service downgraded to B2, from A3, the
insurance financial strength ratings of XL Capital Assurance
Inc., XL Capital Assurance (U.K.) Limited and XL Financial
Assurance Ltd.  In the same rating action, Moody's also
downgraded the debt ratings of Security Capital Assurance Ltd
(NYSE: SCA -- preference shares to Ca from B3) and a related
financing trust.


SECURITY: Moody's Puts B2 Insurance FS Rating Under Review
----------------------------------------------------------
Moody's Investors Service has placed the B2 insurance financial
strength ratings of XL Capital Assurance Inc., XL Capital
Assurance (U.K.) Limited and XL Financial Assurance Ltd  under
review with direction uncertain.  In the same rating action,
Moody's placed the ratings of Security Capital Assurance Ltd
(NYSE: SCA -- preference shares at Ca) and a related financing
trust on review for possible downgrade.  July 30's rating action
was prompted by SCA's announcement that it has reached an
agreement (the "Master Agreement") with XL Capital Ltd
providing for the termination, elimination or commutation of
certain reinsurance, guarantees and other agreements with XL and
its affiliates in return for a payment by XL of US$1.775 billion
in cash and 8 million shares of XL Class A ordinary shares.  SCA
also announced it has reached an agreement (the "Merrill
Agreement") with Merrill Lynch & Co., Inc. for the termination
of eight credit default swaps on ABS CDOs written by XLCA in
return for a US$500 million cash payment to Merrill Lynch.

Moody's noted that the Master Agreement has been approved by the
New York Insurance Department and the Bermuda Monetary
Authority.  The Merrill Agreement has also been approved by the
New York Insurance Department.  Prior to July 30's rating
action, the rating outlook for SCA and its subsidiaries was
negative.

Moody's ratings on securities that are guaranteed or "wrapped"
by a financial guarantor are generally maintained at a level
equal to the higher of a) the rating of the guarantor (if rated
at the investment grade level), or b) the published underlying
rating.  In accordance with current rating agency policy,
following Moody's June 20, 2008 rating action on XLCA and XLFA
which lowered their ratings to below the investment grade level,
Moody's withdrew ratings on XLCA and XLFA-wrapped securities for
which there was no published underlying rating.  Should the
guarantors' ratings subsequently move back into the investment
grade range or should the agency subsequently publish the
associated underlying rating, Moody's would reinstate previously
withdrawn ratings on those wrapped instruments.

According to Moody's, the review with direction uncertain on the
insurance financial strength ratings of XLCA and XLFA reflects
the significant improvement to SCA's capital adequacy position
and upward pressure on the ratings that would occur following
the successful completion of the aforementioned transactions, as
well as the likelihood of downgrades if the transactions fail to
be completed.  The Master Agreement and Merrill Agreement are
expected to close in early August 2008, and are subject to the
completion of an announced US$2.5 billion capital raise by XL
and other customary closing conditions.  XL announced this
morning that it has priced offerings of its equity and equity
units totaling US$2.5 billion.  If the contemplated transactions
are successfully completed, Moody's will likely change the
rating review from direction uncertain to a review for possible
upgrade.  However, Moody's stated that the insurance financial
strength ratings are likely to remain non-investment grade at
the conclusion of our rating review given the continued
uncertainty with respect to SCA's remaining mortgage-related
exposures and currently impaired franchise.

The review for possible downgrade of SCA's preferred ratings
reflects the potential for the insurance financial strength
ratings to be lowered in the unlikely event that the Master
Agreement and Merrill Agreement fail to close by August 15,
2008, which would have an impact on those ratings due to their
subordinated status relative to policyholder claims.  Upon the
successful closing of the Master Agreement and Merrill
Agreement, Moody's will likely confirm the current ratings on
SCA's preferred securities with a negative outlook.

The rating agency stated that SCA is expected to record
significant reserve charges on its mortgage-related exposures
during 2Q2008, including both second-lien RMBS and ABS CDOs.
This reserving activity will result in both XLCA and XLFA
reporting negative statutory capital at quarter-end.  However,
the transactions contemplated by the Master Agreement and the
Merrill Agreement will, if completed, result in the companies
having positive statutory capital and result in a significant
improvement in their capital adequacy positions, in Moody's
opinion.  In addition, SCA has announced it has commuted its
outbound reinsurance with RAM Reinsurance Company Ltd and a
portion of inbound reinsurance with Financial Security Assurance
Inc.  (the remainder of which will be moved from XLFA to XLCA).
SCA has also earmarked US$820 million for the purpose of
commuting, terminating, amending or restructuring existing
agreements with certain CDS bank counterparties who have signed
the Master Agreement.

Moody's stated that the ratings review will focus on:

1) the successful closing of the Master Agreement and the
   Merrill Agreement;
2) the subsequent risk-adjusted capital adequacy position of
   XLCA and XLFA;
3) prospective dividend capacity of the operating companies and
   preferred share dividend policy going forward; and
4) an assessment of SCA's franchise value and future business
   prospects.

With respect to the Merrill Agreement, Moody's noted that the
negotiated settlement has some elements that are typically
associated with a distressed exchange.  Moody's anticipates that
it will further analyze the terms of the Merrill Agreement to
determine whether a distressed exchange has occurred, though any
conclusions reached from this analysis would not have an impact
on the ratings under review.

                   List of Rating Actions

The following ratings have been placed on review with direction
uncertain:

* XL Capital Assurance Inc. -- insurance financial strength at
  B2;

* XL Capital Assurance (U.K.) Limited -- insurance financial
  strength at B2; and

* XL Financial Assurance Ltd -- insurance financial strength at
  B2.

The following ratings have been placed on review for possible
downgrade:

Security Capital Assurance Ltd -- provisional rating on senior
debt at (P)Caa3, provisional rating on subordinated debt at
(P)Ca and preference shares at Ca; and

Twin Reefs Pass-Through Trust -- contingent capital securities
at Caa2.

Security Capital Assurance Ltd is a Bermuda-domiciled holding
company whose primary operating subsidiaries, XL Capital
Assurance Inc. and XL Financial Assurance Ltd, provide credit
enhancement and protection products to the public finance and
structured finance markets throughout the United States and
internationally.  SCA has announced that it will formally change
its corporate name to Syncora Holdings Ltd on August 4, 2008.
XLCA and XLFA will be renamed Syncora Guarantee Inc. and Syncora
Guarantee Re Ltd, respectively.

The company has operations in Asia and Australia.


STARBUCKS CORP: To Close 61 Stores in Australia
-----------------------------------------------
Starbucks Coffee International, a wholly-owned subsidiary of
Starbucks Coffee Company, plans to restructure its business in
Australia through a geographical refocus on three core cities
and surrounding areas Brisbane, Melbourne and Sydney.

The company's decision will result in the closure of 61 under
performing locations throughout the country by Aug. 3, 2008.

After evaluating several options to strengthen the business in
Australia, the company made this decision to concentrate its
attention and resources on profitable growth, operational
efficiencies and an enhanced experience for customers and
partners (employees) globally.  As part of the restructuring,
Jason Ball, store development manager, Starbucks Australia, will
assume the role of managing director effective Sept. 1, 2008.

In January 2008, we developed strategies to transform the
company for the future," said Howard Schultz, chairman,
president and CEO, Starbucks Coffee Company.  Now, we are well
into the implementation phase of transforming Starbucks and we
believe that this difficult, yet necessary, decision to close
stores in Australia will help support the continued growth of
our international business."

While this decision represents business challenges unique to the
Australian market, it in no way reflects the strong state of
Starbucks business in countries outside of the United States,"
Mr. Schultz continued.  There are no other international markets
that need to be addressed in this manner."

Starbucks has been a part of the Australia market since 2000.
There are currently 84 Starbucks locations throughout the
country, including Brisbane, Canberra, Gold Coast, Melbourne,
South Australia, Sydney, and Tasmania.  23 stores will remain
open in Brisbane, Melbourne, Sydney and surrounding areas.  We
appreciate the exceptional service our partners in Australia
have consistently delivered," said Mr. Schultz.  "We are
thankful and proud of the contributions our partners make every
day and we are committed to treating all of our partners with
respect and dignity."

Starbucks will reach out to customers who are impacted by the
store closures in a variety of ways including directing them to
the company's website: http://www.starbucks.com/australia/and
Customer Care Hotline: 1 800 140 408.  The list of stores that
are scheduled for closure will be posted on
http://www.starbucks.com/australia/and
http://www.starbucks.com/ by July 31, 2008 after all affected
store partners are informed of their store’s status.

Starbucks Corp. (NASDAQ: SBUX) -- http://www.starbucks.com/--
purchases and roasts whole bean coffees and sells them, along
with fresh, rich-brewed coffees, Italian-style espresso
beverages, cold blended beverages, various complementary food
items, coffee-related accessories and equipment, a selection of
premium teas and a line of compact discs, primarily through
company-operated retail stores.


TAMALGAN PTY: To Declare Dividend on August 6
---------------------------------------------
Tamalgan Pty Ltd will declare dividend on August 6, 2008.

Only creditors who where able to file their proofs of debt by
July 23, 2008, were included in the company's dividend
distribution.

The company's liquidator is:

          Aniel P. Juratowitch
          Cor Cordis Chartered Accountants
          406 Collins Street
          Melbourne VIC 3000
          Australia



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

BERYL FINANCE: Fitch Assigns 'BB+' Rating on US$15.03MM Notes
-------------------------------------------------------------
Fitch Ratings has affirmed and simultaneously withdrawn the
'BB+' ratings of Beryl Finance Limited Series 2006-7.  At the
same time, the agency has assigned 'BB+' ratings to the newly
issued Beryl Finance Limited Series 2008-13 notes that have been
issued to replace Beryl 2006-7.  The above mentioned rating
actions are:

Beryl 2006-7:
  -- US$15.03 million notes due 30 December 2011
     (ISIN: XS0259387479): affirmed at 'BB+' and simultaneously
     withdrawn;

Beryl 2008-13:
  -- US$15.03 million notes due 30 December 2011
     (ISIN: XS0372555218): assigned 'BB+' ratings.

Beryl 2006-7 was a static synthetic corporate CDO referencing a
portfolio of primarily investment grade corporate obligations.
On  July 29, 2008, the notes of Beryl 2006-7 are being cancelled
by the issuer, Beryl Finance Limited.  With the consent of
noteholders, Beryl shall simultaneously issue new notes, Beryl
2008-13, as replacements.

The agency's policy on withdrawing ratings is to take into
consideration whether it has access to sufficient information in
assessing the credit quality of the notes.  In this case, as the
Beryl 2006-7 notes are being cancelled as part of a notes
exchange, Fitch has decided to withdraw its ratings.

Beryl 2008-13 is a static synthetic corporate CDO, which
references the same static portfolio and has the same credit
enhancement level as Beryl 2006-7.  The Beryl 2008-13 notes have
the same terms and conditions as the cancelled Beryl 2006-7
notes including the same coupon and maturity date, with the same
CDS counterparty, the same CDS guarantor - Lehman Brothers
Holdings Inc. (rated 'A+'/'F1'/Negative Outlook) and the same
charged asset.

At close in 2006, proceeds from the issuance of Beryl 2006-7
were used to purchase charged assets to collateralize CDS
between the issuer and Lehman Special Financing Inc.,
(guaranteed by Lehman Brothers Holdings Inc.).  The charged
asset of an investment of US$15.03m in shares of Lehman US
Dollar Liquidity Fund Institutional Reserve Accumulation Class
('AAA'/'V1+') has been transferred to the Beryl 2008-13
transaction.

Since Beryl 2006-7 was downgraded to 'BB+' on June 30, 2008, the
portfolio weighted average rating of 'BBB'/'BBB-' has remained
broadly stable.

Fitch released its updated criteria on April 30, 2008 for
corporate CDOs and at that time, noted it would be reviewing its
ratings accordingly to establish consistency for existing and
new transactions.  As part of this review, Fitch makes standard
adjustments for any names on RWN or Negative Outlook, reducing
such ratings for default analysis purposes by two and one notch,
respectively.


BERYL FINANCE: Fitch Rates US$37.155 Million Notes 'BB'
-------------------------------------------------------
Fitch Ratings has affirmed and simultaneously withdrawn the 'BB'
ratings of Beryl Finance Limited Series 2006-2.  At the same
time, the agency has assigned 'BB' ratings to the newly issued
Beryl Finance Limited Series 2008-12 notes that have been issued
to replace Beryl 2006-2.  The above mentioned rating actions
are:

Beryl 2006-2:
  -- US$37.155 million notes due 26 October 2011
     (ISIN: XS0252266159): affirmed at 'BB' and simultaneously
     withdrawn;

Beryl 2008-12:
  -- US$37.155 million notes due 26 October 2011
     (ISIN: XS0372555135): assigned 'BB' ratings.

Beryl 2006-2 was a static synthetic corporate CDO referencing a
portfolio of primarily investment grade corporate obligations.
On July 29, 2008, the notes of Beryl 2006-2 are being cancelled
by the issuer, Beryl Finance Limited.  With the consent of
noteholders, Beryl shall simultaneously issue new notes, Beryl
2008-12, as replacements.

The agency's policy on withdrawing ratings is to take into
consideration whether it has access to sufficient information in
assessing the credit quality of the notes.  In this case, as the
Beryl 2006-2 notes are being cancelled as part of a notes
exchange, Fitch has decided to withdraw its ratings.

Beryl 2008-12 is a static synthetic corporate CDO, which
references the same static portfolio and has the same credit
enhancement level as Beryl 2006-2.  The Beryl 2008-12 notes have
the same terms and conditions as the cancelled Beryl 2006-2
notes including the same coupon and maturity date, with the same
CDS counterparty, the same CDS guarantor - Lehman Brothers
Holdings Inc. (rated 'A+'/'F1'/Negative Outlook) and the same
charged asset.

At close in 2006, proceeds from the issuance of Beryl 2006-2
were used to purchase charged assets to collateralize CDS
between the issuer and Lehman Special Financing Inc.,
(guaranteed by Lehman Brothers Holdings Inc.).  The charged
asset of an investment of US$37.2m in shares of Lehman US Dollar
Liquidity Fund Institutional Reserve Accumulation Class
('AAA'/'V1+') has been transferred to the Beryl 2008-12
transaction.

Since Beryl 2006-2 was downgraded to 'BB' on June 30, 2008, the
portfolio weighted average rating of 'BBB'/'BBB-' has remained
broadly stable.

Fitch released its updated criteria on April 30, 2008 for
corporate CDOs and at that time, noted it would be reviewing its
ratings accordingly to establish consistency for existing and
new transactions.  As part of this review, Fitch makes standard
adjustments for any names on RWN or Negative Outlook, reducing
such ratings for default analysis purposes by two and one notch,
respectively.


BERYL FINANCE: Fitch Holds 'BB' US$37.155MM Notes Rating
--------------------------------------------------------
Fitch Ratings has affirmed and simultaneously withdrawn the 'BB'
ratings of Beryl Finance Limited Series 2006-2.  At the same
time, the agency has assigned 'BB' ratings to the newly issued
Beryl Finance Limited Series 2008-12 notes that have been issued
to replace Beryl 2006-2.  The above mentioned rating actions
are:

Beryl 2006-2:
  -- US$37.155 million notes due 26 October 2011
     (ISIN: XS0252266159): affirmed at 'BB' and simultaneously
     withdrawn;

Beryl 2008-12:
  -- US$37.155 million notes due 26 October 2011
     (ISIN: XS0372555135): assigned 'BB' ratings.

Beryl 2006-2 was a static synthetic corporate CDO referencing a
portfolio of primarily investment grade corporate obligations.
On July 29, 2008, the notes of Beryl 2006-2 are being cancelled
by the issuer, Beryl Finance Limited.  With the consent of
noteholders, Beryl shall simultaneously issue new notes, Beryl
2008-12, as replacements.

The agency's policy on withdrawing ratings is to take into
consideration whether it has access to sufficient information in
assessing the credit quality of the notes.  In this case, as the
Beryl 2006-2 notes are being cancelled as part of a notes
exchange, Fitch has decided to withdraw its ratings.

Beryl 2008-12 is a static synthetic corporate CDO, which
references the same static portfolio and has the same credit
enhancement level as Beryl 2006-2.  The Beryl 2008-12 notes have
the same terms and conditions as the cancelled Beryl 2006-2
notes including the same coupon and maturity date, with the same
CDS counterparty, the same CDS guarantor - Lehman Brothers
Holdings Inc. (rated 'A+'/'F1'/Negative Outlook) and the same
charged asset.

At close in 2006, proceeds from the issuance of Beryl 2006-2
were used to purchase charged assets to collateralize CDS
between the issuer and Lehman Special Financing Inc.,
(guaranteed by Lehman Brothers Holdings Inc.).  The charged
asset of an investment of US$37.2m in shares of Lehman US Dollar
Liquidity Fund Institutional Reserve Accumulation Class
('AAA'/'V1+') has been transferred to the Beryl 2008-12
transaction.

Since Beryl 2006-2 was downgraded to 'BB' on 30 June 2008, the
portfolio weighted average rating of 'BBB'/'BBB-' has remained
broadly stable.

Fitch released its updated criteria on 30 April 2008 for
corporate CDOs and at that time, noted it would be reviewing its
ratings accordingly to establish consistency for existing and
new transactions.  As part of this review, Fitch makes standard
adjustments for any names on RWN or Negative Outlook, reducing
such ratings for default analysis purposes by two and one notch,
respectively.


BERYL FINANCE: Fitch Places 'BB-' Rating on US$49.675MM Notes
-------------------------------------------------------------
Fitch Ratings has affirmed and simultaneously withdrawn the
'BB-' ratings of Beryl Finance Limited Series 2006-1.  At the
same time, the agency has assigned 'BB-' ratings to the newly
issued Beryl Finance Limited Series 2008-11 notes that have been
issued to replace Beryl 2006-1.  The above mentioned rating
actions are:

Beryl 2006-1:
  -- US$49.675 million notes due 3 August 2011
     (ISIN: XS0243184198): affirmed at 'BB-' and
     simultaneously withdrawn;

Beryl 2008-11:
  -- US$49.675 million notes due 3 August 2011
     (ISIN: XS0372554914): assigned 'BB-' ratings.

Beryl 2006-1 was a static synthetic corporate CDO referencing a
portfolio of primarily investment grade corporate obligations.
On 29 July 2008, the notes of Beryl 2006-1 are being cancelled
by the issuer, Beryl Finance Limited.  With the consent of
noteholders, Beryl shall simultaneously issue new notes, Beryl
2008-11, as replacements.

The agency's policy on withdrawing ratings is to take into
consideration whether it has access to sufficient information in
assessing the credit quality of the notes.  In this case, as the
Beryl 2006-1 notes are being cancelled as part of a notes
exchange, Fitch has decided to withdraw its ratings.

Beryl 2008-11 is a static synthetic corporate CDO, which
references the same static portfolio and has the same credit
enhancement level as Beryl 2006-1.  The Beryl 2008-11 notes have
the same terms and conditions as the cancelled Beryl 2006-1
notes including the same coupon and maturity date, with the same
CDS counterparty, the same CDS guarantor - Lehman Brothers
Holdings Inc. (rated 'A+'/'F1'/Negative Outlook) and the same
charged asset.

At close in 2006, proceeds from the issuance of Beryl 2006-1
were used to purchase charged assets to collateralize CDS
between the issuer and Lehman Special Financing Inc.,
(guaranteed by Lehman Brothers Holdings Inc.).  The charged
asset of an investment of US$49.7 million in shares of Lehman US
Dollar Liquidity Fund Institutional Reserve Accumulation Class
('AAA'/'V1+') has been transferred to the Beryl 2008-11
transaction.

Since Beryl 2006-1 was downgraded to 'BB-' on 30 June 2008, the
portfolio weighted average rating of 'BBB-'/ 'BB+' has remained
broadly stable.

Fitch released its updated criteria on April 30, 2008 for
corporate CDOs and at that time, noted it would be reviewing its
ratings accordingly to establish consistency for existing and
new transactions.  As part of this review, Fitch makes standard
adjustments for any names on RWN or Negative Outlook, reducing
such ratings for default analysis purposes by two and one notch,
respectively.


BERYL FINANCEL: Fitch Holds & Withdraws 'BB-' US$49.675MM Notes
---------------------------------------------------------------
Fitch Ratings has affirmed and simultaneously withdrawn the
'BB-' ratings of Beryl Finance Limited Series 2006-1.  At the
same time, the agency has assigned 'BB-' ratings to the newly
issued Beryl Finance Limited Series 2008-11 notes that have been
issued to replace Beryl 2006-1.  The above mentioned rating
actions are:

Beryl 2006-1:
  -- US$49.675 million notes due 3 August 2011
     (ISIN: XS0243184198): affirmed at 'BB-' and
     simultaneously withdrawn;

Beryl 2008-11:
  - US$49.675 million notes due 3 August 2011
     (ISIN: XS0372554914): assigned 'BB-' ratings.

Beryl 2006-1 was a static synthetic corporate CDO referencing a
portfolio of primarily investment grade corporate obligations.
On 29 July 2008, the notes of Beryl 2006-1 are being cancelled
by the issuer, Beryl Finance Limited.  With the consent of
noteholders, Beryl shall simultaneously issue new notes, Beryl
2008-11, as replacements.

The agency's policy on withdrawing ratings is to take into
consideration whether it has access to sufficient information in
assessing the credit quality of the notes.  In this case, as the
Beryl 2006-1 notes are being cancelled as part of a notes
exchange, Fitch has decided to withdraw its ratings.

Beryl 2008-11 is a static synthetic corporate CDO, which
references the same static portfolio and has the same credit
enhancement level as Beryl 2006-1.  The Beryl 2008-11 notes have
the same terms and conditions as the cancelled Beryl 2006-1
notes including the same coupon and maturity date, with the same
CDS counterparty, the same CDS guarantor - Lehman Brothers
Holdings Inc. (rated 'A+'/'F1'/Negative Outlook) and the same
charged asset.

At close in 2006, proceeds from the issuance of Beryl 2006-1
were used to purchase charged assets to collateralize CDS
between the issuer and Lehman Special Financing Inc.,
(guaranteed by Lehman Brothers Holdings Inc.).  The charged
asset of an investment of US$49.7 million in shares of Lehman US
Dollar Liquidity Fund Institutional Reserve Accumulation Class
('AAA'/'V1+') has been transferred to the Beryl 2008-11
transaction.

Since Beryl 2006-1 was downgraded to 'BB-'on June 30, 2008, the
portfolio weighted average rating of 'BBB-'/ 'BB+' has remained
broadly stable.

Fitch released its updated criteria on April 30, 2008 for
corporate CDOs and at that time, noted it would be reviewing its
ratings accordingly to establish consistency for existing and
new transactions.  As part of this review, Fitch makes standard
adjustments for any names on RWN or Negative Outlook, reducing
such ratings for default analysis purposes by two and one notch,
respectively.


BERYL FINANCE: Fitch Simultaneously Holds and Withdraws Ratings
---------------------------------------------------------------
Fitch Ratings has affirmed and simultaneously withdrawn the
'BB+' ratings of Beryl Finance Limited Series 2006-7.  At the
same time, the agency has assigned 'BB+' ratings to the newly
issued Beryl Finance Limited Series 2008-13 notes that have been
issued to replace Beryl 2006-7.  The above mentioned rating
actions are:

Beryl 2006-7:
  -- US$15.03 million notes due 30 December 2011
     (ISIN: XS0259387479): affirmed at 'BB+' and simultaneously
     withdrawn;

Beryl 2008-13:
  -- US$15.03 million notes due 30 December 2011
     (ISIN: XS0372555218): assigned 'BB+' ratings.

Beryl 2006-7 was a static synthetic corporate CDO referencing a
portfolio of primarily investment grade corporate obligations.
On July 29, 2008, the notes of Beryl 2006-7 are being cancelled
by the issuer, Beryl Finance Limited.  With the consent of
noteholders, Beryl shall simultaneously issue new notes, Beryl
2008-13, as replacements.

The agency's policy on withdrawing ratings is to take into
consideration whether it has access to sufficient information in
assessing the credit quality of the notes.  In this case, as the
Beryl 2006-7 notes are being cancelled as part of a notes
exchange, Fitch has decided to withdraw its ratings.

Beryl 2008-13 is a static synthetic corporate CDO, which
references the same static portfolio and has the same credit
enhancement level as Beryl 2006-7.  The Beryl 2008-13 notes have
the same terms and conditions as the cancelled Beryl 2006-7
notes including the same coupon and maturity date, with the same
CDS counterparty, the same CDS guarantor - Lehman Brothers
Holdings Inc. (rated 'A+'/'F1'/Negative Outlook) and the same
charged asset.

At close in 2006, proceeds from the issuance of Beryl 2006-7
were used to purchase charged assets to collateralize CDS
between the issuer and Lehman Special Financing Inc.,
(guaranteed by Lehman Brothers Holdings Inc.).  The charged
asset of an investment of US$15.03m in shares of Lehman US
Dollar Liquidity Fund Institutional Reserve Accumulation Class
('AAA'/'V1+') has been transferred to the Beryl 2008-13
transaction.

Since Beryl 2006-7 was downgraded to 'BB+' on June 30, 2008, the
portfolio weighted average rating of 'BBB'/'BBB-' has remained
broadly stable.

Fitch released its updated criteria on April 30, 2008 for
corporate CDOs and at that time, noted it would be reviewing its
ratings accordingly to establish consistency for existing and
new transactions.  As part of this review, Fitch makes standard
adjustments for any names on RWN or Negative Outlook, reducing
such ratings for default analysis purposes by two and one notch,
respectively.


BUNGE: Moody's Shifts Ba1 Pref. Stock Rating Outlook to Stable
--------------------------------------------------------------
Moody's Investors Service changed the outlook for Bunge Ltd.'s
long-term debt to stable from negative, including the guaranteed
debt of subsidiaries rated Baa2; and the preferred stock of
Bunge Ltd., rated Ba1.  The rating outlook for the senior long-
term debt of Corn Products International, Inc., rated Baa2, also
was changed to stable from negative.  The stabilized rating
outlook is in response to Bunge's improving earnings and cash
flow profile, the expected operating and financial benefits from
its pending acquisition of Corn Products, and an adequate
approach to liquidity management, despite a significant increase
in debt levels associated with rising working capital
requirements.

Bunge's earnings and cash flows, as well as fixed charge
coverage measures, have reached record levels over the past
year, driven primarily by improved agribusiness and fertilizer
results.  In the first half of 2008, earnings and cash flow
before changes in working capital benefited from stronger
margins in agribusiness and improved fertilizer profitability
stemming from record high commodity prices for soybeans and
corn, which have doubled in the past year; an 8% increase (last
twelve months) in overall commodity volumes, led by agribusiness
and food products; and a rebound in the Brazilian farm economy
and strong demand for fertilizer.  Crush margins in oilseed
processing have risen, and price increases have been sustained
in Bunge's wheat milling and edible oils operations, which
should help offset higher input costs.

In addition, the pending acquisition of Corn Products will be
favorable to Bunge's operational and financial position, adding
a strong presence in the corn value chain, broader geographic
and product line diversification, and more than US$4 billion of
equity to the combined balance sheet based on the equity
financing.  Going into the second half of 2008, a strong
performance can be expected for Bunge, although soybean and corn
prices have recently declined modestly, which could adversely
affect fertilizer operations.  However, working capital carrying
costs, rising energy costs, and a potential slow down in demand
by agribusiness customers in response to rising prices could
have a negative impact on results.

Despite the benefit of stronger earnings and cash flow
coverages, Bunge's merchandising and processing operations are
highly working capital intensive, particularly in rising price
markets, requiring financing for inventories and collateral
posting to meet margin calls on its futures hedging activities.
As a result, the company's cash flow from operations after
working capital changes has been consistently negative.  Total
debt has increased significantly, rising more than US$2 billion
since the end of 2006.  As such, working capital management will
continue to be a challenge for Bunge.

At the same time, Bunge's readily marketable inventories (RMI)
have increased in value, and the company's core debt has
remained fairly steady, excluding working capital-related
borrowings.  Moody's analysis recognizes that RMIs provide
liquidity support and that higher working capital needs will
reverse and should self-liquidate in the event of a decline in
commodity prices and reduced merchandising opportunities, as has
happened in the past.

From a leverage perspective, RMIs can also be viewed a providing
some partial offset to rising debt levels and financial
leverage.  Moody's will continue to analyze Bunge's financial
leverage both before and after an adjustment for RMIs, the
latter at an ongoing level of 50% of its total disclosed RMIs.
A haircut to total disclosed RMIs as a debt offset is
appropriate, given the volatility of commodity prices and cash
flows, the need for inventories in Bunge's core oilseed
processing operations, changing working capital needs, and
uncertainty over the timing and realized values in orderly
liquidation scenarios.

In light of market volatility and high working capital demands,
backup liquidity will remain a key element of Bunge's investment
grade profile.  Moody's believes that Bunge manages its
liquidity adequately, primarily via a group of committed bank
credit facilities sized to meet margin calls and other large
stress liquidity events, even as it benefits from the asset
support provided by its RMIs.  However, these facilities have
conditionality features that could affect access to liquidity in
adverse situations.  In addition, changing market and working
capital demands, particularly when commodity prices rise, could
challenge the company's ability to access new funding sources
and expand its merchandising and processing franchises.  Bunge
will have to stay out in front of these rising requirements.  To
date, the company has continued to successfully access new
liquidity, including US$950 million in new three-year financings
during the first quarter of 2008.  In that regard, continued
discipline in managing the level of its merchandising activities
and access to alternative liquidity, as well as adverse
liquidity events, could all be drivers in future outlook or
rating changes for Bunge.

                       About Bunge Limited

Headquartered in White Plains, New York, Bunge Ltd. is a leading
global agribusiness company with operations primarily in
commodity grain processing and fertilizer production.

The company has three soybean operating plants located in China.


HUAXIA BANK: Gets Regulatory OK for US$1.7 Bil. Shares Placement
----------------------------------------------------------------
Huaxia Bank Co. Limited has received approval from China
Securities Regulatory Commission for a placement of ordinary A-
shares aimed to boost its core capital, Sophie Taylor of Reuters
reports.

In March, the report recounts, Huaxia said it was issuing
CNY11.56 billion (US$1.69 billion) worth of new shares with
three institutions in a private placement.

According to Reuters, the company said Germany's Deutsche Bank,
Chinese steelmaker Shougang Group and power grid operator State
Grid Corp will subscribe to the shares in the private placement.

The report relates that the shares will be priced at 90% of the
average price over the 20 trading days up until March 18.

In another Reuters report, the bank said it expects its first-
half 2008 net profit to increase by over 90%, from CNY1.01
billion last year.  The company cites the increase of asset and
decrease in efficient income tax rate as the main reasons for
the change, the report notes.

Headquartered in Beijing, Hua Xia Bank Co., Limited --
http://www.hxb.com.cn-- is a commercial bank that offers
financial services to both corporate and individual clients.  At
the end of 2005, it had 27 branches and 257 offices nationwide.

                          *     *     *

Fitch Ratings affirmed on September 5, 2006, Hua Xia Bank's
Individual D/E and Support 4 ratings.  Fitch said Hua Xia Bank's
Individual D/E rating reflects its weak capital position,
inadequate profitability, and potential asset quality risks
stemming from very rapid loan growth.  Total loans expanded 29%
in 2005, the second fastest growth among local peers.



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

BEST GAIN: Creditors' Proofs of Debt Due on August 11
-----------------------------------------------------
Best Gain Engineering Limited, which is in liquidation, requires
its creditors to file their proofs of debt by August 11, 2008,
to be included in the company's dividend distribution.


CYBERSPEED TECHNOLOGY: Placed Under Voluntary Liquidation
---------------------------------------------------------
Cyberspeed Technology Co., Limited commenced liquidation
proceedings on June 26, 2008.  Edmond Ching Wah Bon and Darach
E. Haughey were appointed as liquidators.

The Liquidators can be reached at:

          Edmond Ching Wah Bon
          Darach E. Haughey
          One Pacific Place, 35th Floor
          88 Queensway
          Hong Kong


DILIGENT WIN: Appoints Wai and Fun as Liquidators
--------------------------------------------------
On July 18, 2008, Li Man Wai and Tsang Lai Fun were appointed
liquidators of Diligent Win Limited.  The company commenced
liquidation proceedings on that same day.

The Liquidators can be reached at:

          Li Man Wai
          Tsang Lai Fun
          Raymond Li & Co., CPA
          Tai Yau Building
          Room 1001, 10th Floor
          181 Johnston Road
          Wanchai, Hong Kong


ENKA TECHNOLOGY: Court to Hear Wind-Up Petition on September 3
--------------------------------------------------------------
A petition to have Enka Technology Limited's operations wound up
will be heard before the High Court of Hong Kong on September 3,
2008, at 9:30 a.m.

Bank of China (Hong Kong) Limited filed the petition against the
company on July 2, 2008.

Bank of China's solicitors are:

          Anthony Chiang & Partners
          Lippo Centre, 3903 Tower 2
          89 Queensway Central
          Hong Kong


GLORY CENTRE: Wind-Up Petition Hearing Set for September 3
----------------------------------------------------------
The High Court of Hong Kong will hear on September 3, 2008, at
9:30 a.m., a petition to have Glory Centre Investment Limited's
operations wound up.

Bank of China (Hong Kong) Limited filed the petition against the
company on July 2, 2008.

Bank of China's solicitors are:

          Anthony Chiang & Partners
          Lippo Centre, 3903 Tower 2
          89 Queensway Central
          Hong Kong


GOOD SOURCE: Appoints Wai and Fun as Liquidators
------------------------------------------------
On July 18, 2008, Li Man Wai and Tsang Lai Fun were appointed
liquidators of Good Source International Enterprise Limited.
The company commenced liquidation proceedings on that same day.

The Liquidators can be reached at:

          Li Man Wai
          Tsang Lai Fun
          Raymond Li & Co., CPA
          Tai Yau Building
          Room 1001, 10th Floor
          181 Johnston Road
          Wanchai, Hong Kong
          Telephone: (852) 2889 8833
          Facsimile: (852) 2889 8433


LEECO TEXTILE: Creditors' Proofs of Debt Due on August 11
---------------------------------------------------------
The creditors of Leeco Textile Limited are required to file
their proofs of debt by August 11, 2008, to be included in the
company's dividend distribution.


WORLD SKY: Subject to China Agricultural's Wind-Up Petition
-----------------------------------------------------------
On July 2, 2008, China Agricultural Finance Company Limited
filed a petition to have World Sky Electronic Limited's
operations wound up.

The petition will be heard before the High Court of Hong Kong on
September 10, 2008, at 9:30 a.m.

China Agricultural's solicitors are:

          Chris H.M. Yuen & Co.
          World-Wide House, Room 804B
          19 Des Voeux Road Central
          Hong Kong



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

HINDUSTAN PETROLEUM: 1st Qtr Net Loss Widens to Rs. 8881.20 Mil.
----------------------------------------------------------------
Hindustan Petroleum Corporation Ltd's net loss for the quarter
ended June 30, 2008, widened to Rs 8881.20 million from Rs
869.30 million in the quarter ended June 30, 2007.

Meanwhile, the company's total income increased to Rs 349172.00
million for the quarter ended June 30, 2008, from Rs 222161.30
million for the quarter ended June 30, 2007.

Gross refining margins for the quarter ended June 30, 2008 were
US$15.23 per BBL (Apr-Jun 2007 : US$9.04 per BBL) for Mumbai
Refinery and US$17.05 per BBL (Apr-June 2007 : US$7.80 per BBL)
for Visakh Refinery.

During the quarter ended June 30, 2008, subsidy claim from
government towards sale of LPG (Domestic) and SKO (PDS)
amounting to Rs 1405.20 million (Apr-Jun 2007:Rs 1318.80
million) has been provisionally accounted at 1/3rd of the
subsidy rates as approved by the Government of India for
2002-03.

According to the company, financial results for the quarter have
been adversely affected due to high crude and product prices,
which could not be fully passed on to consumers.

The under-recovery on MS, HSD, SKO (PDS) and LPG (Domestic) for
the quarter was partially compensated by way of:

   (a) Discounts from upstream oil companies, viz, ONGC and GAIL
       in respect of Crude Oil / LPG / SKO purchased from them
       amounting to Rs 23573.80 million (Apr-Jun 2007 :
       Rs 9009.40 million); and

   (b) In principle approval of the Government of India for
       issuance of Oil Bonds amounting to Rs 51150 million (Apr-
       June 2007 : Nil), which amount has been accounted during
       the current three month period under the head "Sales/
       Income from Operations".

Pending finalization of the salary revision in respect of
management employees w.e.f. January 01, 2007 and amount of
Rs 1629.40 million (net of ad-hoc relief already paid/payable on
estimated basis has been provided under employee's cost during
the quarter.

Based in Mumbai, India, Hindustan Petroleum Corporation Limited
is an integrated oil refining and marketing company.  The
company's two refineries at Mumbai and Visakhapatnam processed
16.66 million metric tons (MMT) of crude oil during the fiscal
year ended March 31, 2007 (fiscal 2007).  During fiscal 2007,
662 outlets were branded as Club HP, taking the total to 3515.
The liquefied petroleum gas (LPG) business line accounts for
approximately 13% of the total volume base of HPCL.  Its
Suraksha rubber hoses were promoted through various means.  It
also introduced a co-branded Green label series of higher
thermal efficiency stoves in India.  The HP Gas Rasoi Ghar
concept was extended at hospitals and forest areas. The company
has launched a Web-based registration system for new and double
bottling connections.  In the industrial/direct segment, the
company focused on sectors, such as railways, coal and steel.


JET AIRWAYS: Back into the Black in FY 2009 First Quarter
---------------------------------------------------------
Jet Airways India Ltd returned to profitability after suffering
a net loss of Rs. 6,538.70 million in the year ended March 31,
2008.

For the first quarter ended June 30, 2008, Jet Airways recorded
profit after tax of Rs. 1,434 million (US$ 33.3 million),
compared to a net profit of Rs. 308.80 million in the same
period last year.

Net loss in the fourth quarter ended March 31, 2008, was
Rs. 2,211.80 million.

Net sales for the current quarter increased 46.2% to
Rs. 28,671.60 million from Rs. 18,066.70 million in the
comparable period last year.

                       Domestic operations

Domestic operations accounted for 52% of operating revenues
(Rs. 14,901 million US$346.26 million) as compared to 76% (or
Rs. 13,708 million, US$336.75) in the first quarter of last
year, reflecting the growing contribution of the company’s
international operations to total revenues.

The company achieved a domestic seat factor of 72.3% in the
quarter ended June 2008 versus 71.2% in the same period a year
ago.

The ratio of its full-fare to discounted fare was approximately
80:20; yields (Incl YQ) have increased by 7.2% YoY for Domestic
operations.

The company recorded a pre-tax profit on domestic operations of
Rs.5,022 million (US$116.7 million) versus a profit of Rs. 1,312
million (US$32.2 million) in the same period a year ago.

The key factors driving the domestic performance in the first
quarter included:

A. Rising fuel prices and slowdown in demand
   in the domestic market

    * The domestic aviation industry in India, which was
      characterized by a huge growth rate over the past few
      years, is in a consolidation phase with airlines
      controlling and reducing capacity.

    * Though the demand has slowed down in the recent few
      months, the medium to long term story remains intact and
      is expected to grow between 12 – 15%. The short term slow
      down is an impact of increase in inflation rates and
      consistent increases in air fares.

    * The results for Q1 were largely impacted by record high
      fuel prices which had peaked at close to USD 140 per
      barrel in June. The average rate of ATF for the quarter
      was Rs. 57.55 per litre.

    * Crude oil prices have cooled since then and the effects of
      the same will be passed on to airlines in the form of
      lower ATF costs starting this August. Though the overall
      industry is expected to will post a loss for the year, the
      situation, the company believes, is set to improve over
      the next quarter due to controlled capacity increases and
      or capacity reduction which will bring about more
      semblance between capacity and demand.

    * The rate of capacity induction during this quarter was a
      mere 13.4% and over the previous quarter, the increase was
      only 1.9%. Starting July 2008, airlines have reduced
      capacity to the extent of 10 – 15%. Jet Airways' capacity
      deployed during this quarter was 1.4% lower than the same
      period last year.

    * Fuel costs were higher by Rs. 2,684 million
      (US$62.4 million) versus the same period a year ago.

B. Increase in other operating costs

    * At the Company level, the average staff numbers increased
      from 10,820 to 13,403 on account of the expansion in level
      of international operations and a large part of these
      additions were pilots, engineers and cabin crew.

    * The increases in all other costs were in line with the
      increase in level of operation and in most instances even
      lower than that of the same period last year and the
      company will continue to closely monitor costs as part of
      the company's turnaround/ improvement program.

                     International operations

Revenues from its International operations now account for 48%
of operating revenues (Rs. 13,770 million, US$320.0 million) as
compared to 24% (Rs. 4,359 million, US$107.1 million) in the
first quarter of last year.

The company achieved a seat factor in international operations
of 64.7% for the quarter (65.6% a year ago).

The pre-tax loss on international operations was
Rs. 2,831 million (US$65.8) as against a pretax loss of
Rs. 817 million (US$20.1million) in the same period last year.
This was largely on account of the start up nature of the new
routes to the USA, Gulf that the company started during the last
few months.

The International results for Q1 were also impacted due to high
fuel prices which have not been fully passed on completely in
the form of higher surcharges.  The impact of higher fuel prices
for the quarter was Rs.1,152 million (USD 26.8 million).  There
is a longer time lag for implementation of surcharges in the
International markets but over the last few weeks, there have
been increases in such surcharges which will help mitigate such
high fuel price impact.

Due to a delay in the start of flights to Shanghai/San
Francisco, the company had, during the quarter incur costs of
idle aircraft and this amounted to Rs.309 million
(US$7.2 million).  These aircrafts have been fully utilized
starting June 2008.

The company also implemented some network initiatives in which
it has right sized some of its capacities to South East Asia and
North America.

The company has not postponed or deferred any aircraft
deliveries and will complete its first phase of International
expansion by October 2008, by which time its wide body fleet
will consist of 22 aircraft – 10 B777–300 ER and 12 A330–200
aircraft.

During this quarter, Jet Airways changed its accounting policy
for charging depreciation on its narrow body aircraft used for
the domestic operations and will now charge depreciation on a
Straight Line (SLM) basis as compared to a Written Down Value
(WDV) basis.  This method is in line with the method that the
company follows to depreciate Wide body aircraft for its
International operations.

The impact on account of this change in method was
Rs. 9,159 million (US$ 213 million) for the quarter at the
company level.

                             Outlook

According to Jet Airways, the current quarter (Q2) is
traditionally a low season but reduction in capacities and the
increases in fares/surcharges will improve the situation to a
large extent.  Crude oil price movements over the last two weeks
will help this cause further.

The company plans to launch flights to Dubai in August & Saudi
Arabia by October 2008, which will complete its first phase of
International expansion.  Forward bookings on international
routes are as per the company's expectations.

         Jet Lite Q1 & Year Ended June 2008 Results

    * Achieved seat factor of 72.4%  (v/s 73.7% for Q1 FY08)

    * Achieved Revenues of Rs. 4,260 million (US $ 98.9 million)
      v/s 3,600 million (US $ 88.5 ) for Q1 FY 2008.

    * Loss after tax of Rs. 1,348 million (US $ 31.3 million)
      v/s Rs. 1,069 million (US $ 26.3 million) for Q1 FY’08

                         About Jet Lite

Jet Lite currently operates a fleet of 24 aircraft, which
includes 17 Boeing B737 and 7 CRJs.  Jet Lite operates around
127 flights daily.

Currently serves 31 destinations within India and also flies to
Colombo and Kathmandu.

                   About Jet Airways India Ltd

Jet Airways India Ltd currently operates a fleet of 85 aircraft,
which includes 10 Boeing 777-300ERs aircraft, 54 classic and
next generation Boeing 737-400/700/800/900 aircraft, 10 Airbus
A330-200 aircraft, and 11 modern ATR 72-500 turboprop aircraft.
With an average fleet age of 4.30 years, the airline has one of
the youngest aircraft fleet in the world.  Jet Airways operates
over 385 flights daily.

Jet Airways currently flies to 62 destinations that span the
length and breadth of India and beyond, including New York (JFK
and Newark), Toronto, Brussels, London Heathrow, Singapore,
Kuala Lumpur, Colombo, Bangkok, Dhaka, Kathmandu, Bahrain,
Kuwait, Doha Muscat, Abu Dhabi, Shanghai, and San Francisco.
The airline plans to extend its international operations to
other cities in North America, Europe, Africa and Asia in phases
with the introduction of wide-body aircraft into its fleet.
Since its inception in May 1993 to June 2008, Jet Airways has
flown over 86.0 million passengers.

                          *     *     *

This concludes the Troubled Company Reporter's coverage of
Jet Airways India Ltd until facts and circumstances, if any,
emerge that demonstrate financial or operational strain or
difficulty at a level sufficient to warrant renewed coverage.


NATIONAL ALUMINIUM: Coal Insufficient, May Close Orissa Refinery
----------------------------------------------------------------
The Financial Express reports that National Aluminium Co (Nalco)
may be forced to shut down its alumina refinery in Orissa within
a few days due to acute paucity of coal.

“We have received no coal from Mahanadi Coalfields Ltd (MCL) for
the past seven days.  Though we have managed to acquire 3,000
tonne of coal via e-auction route, it will only last for next
two days,” The Financial Express quoted Nalco CMD CR Pradahan as
saying.

Mr. Pradahan also pointed out that the quality of coal received
was very poor and contained stones.

According to the report, the refinery uses about 3,000 tonne of
coal everyday to produce 4,500 tonne of alumina, however, its
daily output has more plummeted to 2,000 tonne in the last few
days.

The report relates that Nalco is currently implementing its
expansion plans and has been repeatedly hit by coal shortages.
In June the company faced similar problems with its production
having dipped by about 30%.

Meanwhile, the report says earlier last year, the mines ministry
has sought Prime Minister Manmohan Singh’s intervention in
bailing out the aluminum giant after it had to close down two of
its captive power plants and talked of laying off its employees.

The company's recent fuel supply agreement (FSA) with Coal India
Ltd (CIL) also failed to ensure regular availability of coal,
the report adds.

Based in Bhubaneswar, India, National Aluminium Company Limited
-- http://www.nalcoindia.com/-- is an integrated aluminium
complex, encompassing bauxite mining, alumina refining,
aluminium smelting and casting, power generation, rail and port
operations.  The Company operates in two segments: Chemicals and
Aluminium. Chemicals include calcined alumina, alumina hydrate
and other related products.  Aluminium includes aluminum ingots,
wire rods, billets, strips and other related products.  Bauxite
and power are produced for captive consumption.



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

ASTRA ALPHA: Fitch Slashes JPY15BB Notes Rating to BB from AA+
--------------------------------------------------------------
Fitch Ratings has downgraded the rating of Astra Alpha Limited's
Series 2005-01 JPY15 billion credit-linked notes due September
2009 to 'BB' from 'AA+', removed it from Rating Watch Negative
and simultaneously withdrawn the rating.  This transaction is a
managed synthetic CDO referencing a portfolio of primarily
investment grade corporate obligations.

Fitch received written notification on July 23, 2008 that the
noteholder has requested the rating on the notes to be
withdrawn, and that no ongoing portfolio information will be
provided to Fitch.

The agency's policy on withdrawing ratings is to take into
consideration whether it has access to sufficient information in
assessing the credit quality of the notes.  In this case, as
Fitch has been notified that future portfolio information will
not be provided, it has decided to withdraw the rating on these
notes.

Since the notes were placed on RWN on May 28, 2008, the weighted
average portfolio quality of 'BBB-'/'BB+' has remained broadly
the same.  Based on the latest portfolio information available
to the agency the key drivers of this transaction's credit risk
included the significant percentage of the portfolio rated below
investment grade which has increased to 29.55% from 0% at
closing.  Also, 9.55% of the portfolio is on RWN and 30.45%
assigned a Negative Outlook.  The portfolio also has industry
concentration of 40.46% in the three largest industries, made up
of 24.55% in Banking & Finance, 9.09% in General retail and
6.82% in Telecommunications.

Given Fitch's view of concentration and the current credit
quality of the portfolio, the current level of credit
enhancement of 4.60% for the notes is not sufficient to justify
the current rating of the notes.

Fitch released updated criteria on April 30, 2008 for corporate
CDOs and, at that time, noted it would be reviewing its ratings
accordingly to establish consistency for existing and new
transactions.  As part of this review, this transaction was
placed on RWN on May 28, 2008 and its resolution was subject to
the manager/arranger's plan to modify either the structure or
the portfolio.  In this entire review process, Fitch makes
standard adjustments for any names on RWN or with a Negative
Outlook, reducing such ratings for default analysis purposes by
two and one notch, respectively.


* JAPAN: Moody's Says Outlook for Electronics Sector Stable
-----------------------------------------------------------
Moody's Investors Service says that the outlook for the Japanese
integrated electronics industry over the next 12-18 months is
stable.

"This stable outlook is predicated on Moody's expectation that
these companies will largely mitigate potential adverse factors,
such as the slowing global economy, JPY appreciation, and hikes
in the prices of raw materials," says Shinsuke Tanimoto, a
Moody's Vice President and Senior Credit Officer.

"Their ability to offset such possible adverse factors is
primarily because their core market is mostly domestic and
overseas sales are also diversified regionally," says Tanimoto.

Tanimoto's remarks coincided with the release of his report on
the outlook for Japanese integrated electronics companies, of
which Moody's rates five.  Their ratings range from A1 to Baa1.
The report expresses Moody's expectations for fundamental credit
conditions in the industry over the next 12-18 months.

"Further supports are the fact that the companies continue to
cut costs, while their business activities, such as in social
infrastructure, IT services, and for some products industrial
electronics, remain robust," adds Tanimoto.  "However, as the
prospects for the world economy become increasingly uncertain,
Moody's will carefully monitor these factors and their impact."

"And although a negative impact would result from the downtrend
in the global economy, the implications for ratings could be
limited as long as the companies sustain their competitiveness
in their core businesses and recover their profitability over
the medium term," says Tanimoto.

However, unstable market conditions for primary materials can
impact their businesses, the report says.  Rising prices for raw
materials and natural resources would affect manufacturing
processes and marketing methods in addition to raw material
procurement and manufacturing costs.

They would further affect demand for end-products and the
relative competitiveness of products to alternatives. Such
outcomes may impact business models and competitiveness, and
would represent a risk factor over the medium to long term.



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

KOREA GAS: 2nd Quarter Net Loss Down to KRW4.4 Billion
------------------------------------------------------
State-run Korea Gas Corp. posted a narrower net loss in the
second quarter from a year earlier, reflecting a planned
increase in gas prices, Yonhap New reports.

According to Yonhap News, the company's net loss contracted to
KRW4.4 billion  (US$4.4 million) in the April-June period from a
loss of KRW40.1 billion a year ago.

Meanwhile, a report posted at TradingMarkets.com says the
company's sales rose 64.5 percent to KRW413.4 billion during the
period, and the company posted an operating profit of KRW33.4
billion, a turnaround from an operating loss of KRW28.2 billion
a year ago.

The report relates that the government is expected to raise the
customer gas prices in the second half of the year, reflecting
higher oil costs.

Based in Gyeonggi-Do, South Korea, Korea Gas Corporation --
http://www.kogas.or.kr/-- is engaged in the production and
distribution of natural gas.  The Company imports natural gas
and supplies it to gas utility companies, city gas companies and
power generation plants in Korea.  The Company is also involved
in the building and operation of gas production facilities; the
exploration, import and export of natural gas and liquefied
natural gas (LNG); the construction and operation of LNG
terminals; the operation of a natural gas distribution network,
and other related activities.  During the year ended December
31, 2007, the Company sold a total of 25.46 million tons of
natural gas, of which natural gas for city use accounted for 58%
of the Company's total revenue.  On May 8, 2008, the Company
established an Australia-based subsidiary company KOGAS
AUSTRALIA PTY LTD, which is mainly engaged in the liquefied
natural gas development businesses.


SSANGYONG MOTOR: Strikes Wage Deal With Labor Union
---------------------------------------------------
Workers at Ssangyong Motor Co. voted to approve a new wage
agreement, putting an end to a series of partial strikes at a
time when the automaker is grappling with a plunge in sales,
Yonhap News reports citing the company's labor union.

According to the report, 64% of some 5,200 union members
approved a 4.6 percent increase in monthly basic salary and a
bonus payment of KRW2 million (US$2,000) to encourage them to
"overcome a management crisis."

                         Plant Shutdown

Yonhap News says the approval came a day before Ssangyong is
slated to close its sole plant in Pyeongtaek, 65 kilometers
southwest of Seoul, for 15 days as sales plunged.

The report says the plant shutdown will be the first for
Ssangyong since it idled some of its production lines in May
because of sluggish demand.

During the shutdown period, the report says workers will receive
70 percent of their monthly salary.

Analysts told the news agency that higher diesel prices in South
Korea and a stagnant economy have led Ssangyong to curtail
production.

Last month, Yonhap News relates, Ssangyong saw its domestic
sales plunge 67 percent on-year to 1,902 units, and during the
first six months of this year, the company
sold 26 percent fewer vehicles as consumers shunned its gas-
guzzling sport-utility vehicles.

However, Kevin Lee, a Ssangyong spokesman, told Yonhap News that
the shutdown was aimed at retooling its painting equipment at
the plant, rather than cutting production to reduce its
inventory.

"In the first 20 days of July, our sales rose 120 percent from a
year earlier," Mr. Lee said declining to say how many vehicles
the company sold during the period.

Yonhap News notes that Ssangyong was the only automaker among
the country's five players to post a decline in vehicle sales
last month, and, as local brokerage Shinyoung Securities said,
would find it difficult “to recover its sales under current
business conditions."

                  About Ssangyong Motor Co. Ltd.

Headquartered in Kyeonggi-Do, South Korea, Ssangyong Motor Co.
Ltd. -- http://www.smotor.com/kr/index.jsp/-- is a manufacturer
of automobiles primarily engaged in production of sports utility
vehicles (SUVs) and recreational vehicles (RVs).  The Company's
production is grouped into four lines: SUVs under brand names
REXTON, KYRON and ACTYON; sports utility trucks (SUTs) under the
brand name ACTYON Sports; passenger cars under brand name
Chairman, and multi-purpose vehicles (MPVs) under the brand name
Rodius.  It also provides automobile parts such as coolers,
engine oil filters, headlamp bulb and others. During the year
ended December 31, 2007, the Company had a production capacity
of 219,220 units of vehicles and its actual production output
was 122,857 units of vehicles.  The Company has two
manufacturing factories in Pyeongtaek and Changwon.


* KOREA: Farm Trade Deficit May Reach All-Time High This Year
-------------------------------------------------------------
Korea's trade deficit in agricultural, fishery and livestock
products is expected to exceed US$15 billion this year -- a
record high -- driven by soaring international grain prices and
a strong demand for overseas food products, The Korea Herald
reports citing industry officials.

According to the Herald, data from Korea Agro-Fisheries Trade
Corporation showed that Korea posted a trade deficit of nearly
US$7.7 billion in the sector in the first half of this year,
which is a 20 percent rise from the same period last year.

If the trend continues, the Herald relates, citing Korea Agro-
Fisheries, this year's agricultural trade deficit is likely to
reach US$15.4 billion compared with US$12.7 billion in 2007.

It would mark the sixth consecutive year that the trade gap has
set a record, the report notes.

Market watchers, the report adds, blamed runaway prices of
international agricultural commodities as the major factor
contributing to the deficit.



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

MALAYAN BANKING: Bank Negara Cancels Sale of PT Bank Int'l Stake
----------------------------------------------------------------
Malayan Banking Berhad (Maybank) disclosed with the Bursa Stock
Exchange that Bank Negara Malaysia revoked its given approval
for Maybank's proposed acquisition of the 100% equity in PT Bank
Internasional Indonesia Tbk (BII).

BNM noted that as a result of the recent changes of the new
regulation on Take-Over Rule IX H1 by Badan Pengawas Pasar Modal
and Lembaga Keuangan (Bapepam), Department Keuangan, Republik
Indonesia, which was enacted on June 30, 2008, the Proposal may
result in Maybank potentially incurring material losses from
selling down of the shares and write-down of investment upon the
implementation of the New Take-Over Rule.

Under the New Take-Over Rule, a new controlling shareholder is
obliged to divest to public shareholders, a minimum of 20% and
at least 300 parties within two years after the tender offer is
undertaken.  Maybank had earlier met with Bapepam for a waiver
from complying with the abovementioned ruling to which Bapepam
had informed that the waiver will not be considered.

Maybank is seeking legal and financial advice on this latest
decision from BNM and will further engage with Fullerton
Financial Holdings Pte. Ltd. on the way forward.

The Edge Daily reports that Maybank won the bid to acquire 55.5%
stake in BII from Temasek Holdings for US$2.7 billion or MYR8.8
billion in March.  Maybank planned to spend an additional US$1.2
billion or MYR3.9 billion to buy the remaining shares in BII.

Maybank, a trade name for Malayan Banking Berhad is the largest
bank and financial group in Malaysia, with significant personal
banking operations in Brunei, Singapore and the Philippines as
well.  The bank also has large interests in Islamic banking and
insurance via its Etiqa subsidiary.  Maybank is the largest bank
in Malaysia with 361 domestic branches and 88 international
branches.  Maybank is the second largest listed company on the
Malaysian Stock Exchange, Bursa Malaysia, with a market
capitalisation of over MYR46.3 billion as of mid-December 2007.

                          *     *     *

The Troubled Company Reporter-Asia Pacific reported on March 31,
2008, that Moody's Affirmed 'C' Bank Financial Strength Rating
but its outlook has been changed to negative from stable.



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

AAA NEW ZEALAND: Terence Hillson Appointed as Liquidator
--------------------------------------------------------
Pursuant to section 241(2)(a) of the Companies Act 1993, Terence
Hillson, chartered accountant of Auckland, was appointed
liquidator of AAA New Zealand Limited on June 13, 2008.

Only creditors who were able to file their proofs of debt by
July 14, 2008, were included in the company's dividend
distribution.

Creditors and shareholders may direct their inquiries to:

          Terence Hillson
          PO Box 1240
          Auckland
          Mobile: 027 280 5580


ADEL INVESTMENTS: High Court Appointed Liquidators
--------------------------------------------------
The High Court at Auckland has appointed David Stuart Vance and
Barry Phillip Jordan, chartered accountants, as liquidators of
ADEL Investments Ltd.

Only creditors who were able to file their proofs of debt by
July 18, 2008, were included in the company's dividend
distribution.

Creditors and shareholders may direct their inquiries to:

          Logan Nicholls
          Deloitte
          Deloitte House
          Levels 11-16, 10 Brandon Street
          Wellington
          Postal Address: PO Box 1990
          Wellington
          Telephone: (04) 472 1677
          Facsimile: (04) 472 8023


AUCKLAND LUXURY: High Court Appointed Liquidators
-------------------------------------------------
The High Court at Auckland has appointed Barry Phillip Jordan
and David Stuart Vance, chartered accountants, as liquidators of
Auckland Luxury Shuttles & Car Rental Limited.

Only creditors who were able to file their proofs of debt by
July 11, 2008, were included in the company's dividend
distribution.

Creditors and shareholders may direct their inquiries to:

          Deloitte
          Deloitte House
          Level 7, 8 Nelson Street
          Auckland
          Postal Address: PO Box 33
          Shortland Street, Auckland
          Telephone: (09) 309 4944
          Facsimile: (09) 309 4947


AUTOMAG LIMITED: High Court Appointed Liquidators
-------------------------------------------------
The High Court at Auckland has appointed Barry Phillip Jordan
and David Stuart Vance, chartered accountants, as liquidators of
Automag Limited.

Only creditors who were able to file their proofs of debt by
July 11, 2008, were included in the company's dividend
distribution.

          Deloitte
          Deloitte House
          Level 7, 8 Nelson Street
          Auckland
          Postal Address: PO Box 33
          Shortland Street, Auckland
          Telephone: (09) 309 4944
          Facsimile: (09) 309 4947


BEYER TEXTILES: Shareholders Appointed Liquidators
--------------------------------------------------
In accordance with section 241 of the Companies Act 1993, the
shareholders of Beyer Textiles Limited appointed Gerald Stanley
Rea and Paul Graham Sargison, chartered accountants of Auckland,
as liquidators.

Only creditors who were able to file their proofs of debt by
July 21, 2008, were included in the company's dividend
distribution.

Creditors and shareholders may direct their inquiries to:

          Gerry Rea Partners
          PO Box 3015, Auckland
          Telephone: (09) 377 3099
          Facsimile: (09) 377 3098


DORCHESTER PACIFIC: To Finalize Deferred Repayment Plan
-------------------------------------------------------
Dorchester Finance Ltd, a wholly owned subsidiary of Dorchester
Pacific Limited, issued an update to its debenture and note
holders on the progress in finalizing the company's deferred
repayment plan.

In a letter to investors, Paul Byrnes, Dorchester executive
director stated the it is hoping to get the final plan to
investors in mid-August, with the meeting to vote on it in the
last week of August or early September.

Pending the outcome of the vote, Mr. Byrnes said, the company
will continue to pay interest.

Mr. Byrnes said the company is confident that the plan will
represent the best option for debenture holders and note
holders.   The company has been working on it with the benefit
of independent expert advice from Grant Samuel and Associates
Ltd.  In addition, the company has engaged property specialists
Jones Lang Lasalle to review the company's property finance
assets and timeframes for realisation, he said.

Mr. Byrnes stated that the company has also engaged Colin McCloy
of PricewaterhouseCoopers to subject the plan to critical
scrutiny so as to ensure it will be not only robust but also in
the best interests of debenture holders and note holders.

The company expects shortly to present the plan to the Trustees,
Perpetual Trust Limited and New Zealand Permanent Trustees
Limited, for consideration and review.

In advance of the formal vote, Mr. Byrnes said the company
intends to hold meetings in major centres at which it will
explain and discuss the plan with investors.

                    Deferred Repayment Plan

As reported in the Troubled Company Reporter – Asia Pacific on
June 27, 2008, Dorchester Finance said it will withdraw and not
renew its prospectus and will seek the approval of debenture
holders and note holders to a deferred repayment plan, but with
continued interest payments.

Chairman of Dorchester Finance, Mr. Barry Graham said: As a
result of the rapid decline in the property finance market and a
continuing fall in reinvestment rates the Board has formed the
view that there is now a risk of a cash flow shortfall arising
in future months."

Mr. Graham added: A deferred repayment plan should give us time
to realize property loan positions in an orderly way and ensure
full repayment to debenture holders and note holders."

As at June 24, 2008, Dorchester Finance had NZ$168 million in
debenture stock secured against total assets of NZ$212 million,
including $18 million in cash.  In addition it had NZ$8 million
in subordinated notes on issue.

                    About Dorchester Pacific

Headquartered in Auckland, New Zealand, Dorchester Pacific
Limited (NZE:DPC)-- http://www.dorchester.co.nz--is a financial
solutions provider, offering complementary products and services
across finance, insurance, savings and investments.  The Finance
division provides investment opportunities through secured
debenture stock and subordinated unsecured notes, and financing
solutions for the property, business, equipment, motor vehicle
and personal finance sectors.  Its insurance and savings
division provides a range of savings, life insurance, reverse
annuity mortgages, home equity release loans and other financial
products and services.  The Investment Service division includes
equity investment advisers and sharebrokers, MoneyOnline and NZ
Investor Magazine, which provide professional, independent
investment advice, sharebroking and financial planning services.
Dorchester Pacific holds a 25% shareholding in St. Laurence
Limited, the holding company for a property-based investment and
finance group of companies, which manages assets for over 16,000
investors.


EASY CLEAN: Commences Liquidation Proceedings
--------------------------------------------
The High Court at Christchurch held a hearing on July 21, 2008,
to consider an application putting Easy Clean Systems Limited
into liquidation.

The application was filed on May 23, 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.


GUARDIAN TRUST: Freezes Fund Withdrawals Due to Liquidity Crisis
----------------------------------------------------------------
The New Zealand Guardian Trust Company Limited said that it is
moving to protect investors in one of its funds, the Guardian
Mortgage Fund, by suspending new investments and withdrawals.
It is expected however that income distributions from the Fund
will continue.

Guardian Trust said that due to current liquidity difficulties
in the market, the Fund is currently operating below its target
liquidity rate of 5%.  In such conditions this is not considered
appropriate by the directors.  In the interest of fairness among
unit holders, the directors feel a cautious approach is
necessary.

The Guardian Mortgage Fund was established in May 1986 and
currently holds NZ$249 million among 3,700 investors.  The Fund
invests only in first mortgages, where advances are restricted
to a maximum of 60% of valuations across the commercial, retail,
industrial, farming and residential sectors.

Managing Director Sean Carroll said, Poor liquidity is a feature
of today’s markets.  We need to manage liquidity requirements
very closely in funds such as these, where the assets (primarily
mortgages) cannot be converted to cash quickly.

As is usual for Guardian Trust, we are taking a cautious and
prudent approach.  We will review the situation regularly and
will update investors and the market as appropriate."

                       About Guardian Trust

The New Zealand Guardian Trust Company Limited --
http://www.guardiantrust.co.nz/-- is a wholly owned subsidiary
of Suncorp-Metway, a leading banking, insurance and financial
services company.


RUAPEHU GROUP: Commences Liquidation Proceedings
------------------------------------------------
The High Court at Wellington held a hearing on July 28, 2008, to
consider an application putting Ruapehu Group Limited into
liquidation.

The application was filed on June 10, 2008, by Fidelity Limited.

The plaintiff's address for service is at:

          Chapman Tripp Sheffield Young
          Level 35, ANZ Centre
          23-29 Albert Street
          Auckland

Michael David Arthur is the plaintiff's solicitor.


SOUTHERN LAKES: High Court Appointed Liquidators
------------------------------------------------
The High Court has appointed David Donald Crichton and Keiran
Anne Horne, chartered accountants of Crichton Horne & Associates
Limited, as liquidators of  Southern Lakes Engineering Limited.

Only creditors who were able to file their proofs of debt by
July 21, 2008, were included in the company's dividend
distribution.

Creditors and shareholders may direct their inquiries to:

          Marie Inch
          Crichton Horne & Associates Limited
          Old Library Chambers
          109 Cambridge Terrace (PO Box 3978)
          Christchurch
          Telephone (03) 379 7929


SOUTHLAND TYPEWRITER: Placed Under Liquidation
----------------------------------------------
Pursuant to Section 241(2)(a) of the Companies Act 1993, the
shareholders of Southland Typewriter Company Ltd. resolved that
the company be liquidated and appointed Peter James Heenan,
chartered accountant of Invercargill, as liquidator.

Creditors and shareholders may direct their inquiries to:

          Peter James Heenan
          WHK Cook Adam Ward Wilson,
          62 Deveron Street (Private Bag 90106)
          Invercargill
          Telephone: (03) 211 3355
          Facsimile: (03) 218 3623


VASARI HOMES: Placed Under Liquidation
--------------------------------------
Pursuant to Section 241(2)(a) of the Companies Act 1993, the
shareholders of Vasari Homes Limited resolved that the company
be liquidated and appointed Kevin John Gilligan, of Auckland, as
liquidator.

Creditors and shareholders may direct their inquiries to:

          Kevin J. Gilligan
          PO Box 26022
          Epsom, Auckland 1344
          Telephone: (09) 834 4486
          Facsimile: (09) 834 4990
          Email: kgill@ihug.co.nz



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

UNITED COCONUT: Govt. OK's Infusion of Php30BB Under Rehab Plan
---------------------------------------------------------------
The Philippine government has signed an agreement providing
United Coconut Planters Bank (UCBP) a Php30-billion cash
infusion under UCPB's ten year state-assisted rehabilitation
program, Philippine Daily Inquirer reports citing Finance
Undersecretary Roberto Tan.

The report says under a framework previously approved by the
Monetary Board, the government will get Php30 billion of its
deposits with the central bank and transfer these deposits to
UCPB, which in turn will invest the proceeds in government
securities.  The funds will thus revert to the government, which
will afterward place the money with the central bank.

According to the report, Mr. Tan said that the cash infusion is
intended to help UCPB survive a tougher banking environment.

The Troubled Company Reporter-Asia Pacific reported on July 23,
2008, that UCPB's rehabilitation program also includes the
Philippine Deposit Insurance Corp.'s (PDIC) conversion of Php12
billion in cash advances to UCPB into equity.  The amount
represented the balance of the Php20 billion obtained by UCPB in
2003 from PDIC.

United Coconut Planters Bank -- http://www.ucpb.com/--
provides financial products and services to corporations, middle
market companies, small- and medium- sized businesses, and
consumers in the Philippines.

                         *     *     *

As reported by the Troubled Company Reporter-Asia Pacific on
June 4, 2008, UCPB has incurred financial difficulties due to
its inability to raise new capital and its sequestered status.
In June 2007, UCPB reported a non-performing loans ratio of 29.8
percent and a negative 36.3 percent return on equity.
Accordingly, Manila Standard relates, the bank disposed of
Php8.68 billion in bad assets in November 2007, which reduced
the level of its bad assets by 42 percent to Php12.11 billion.


UNITED PARAGON: SEC Approves Corporate Restructuring
----------------------------------------------------
The Securities and Exchange has approved the corporate re-
structuring of United Paragon Mining Corporation (UPMC), whereby
its authorized capital stock was decreased and subsequently
increased.

As a result of the decrease and increase, the authorized capital
stock of UPMC is now Php4 billion divided into: (a) Common Stock
consisting of 397.32 billion shares of the par value of Php0.01
per share; (b) Class "A" Preferred Stock consisting of
13.5 million shares of the par value of Php0.50 each share; and
(c) Class "B" Preferred Stock consisting of 400,000 shares of
the par value of Php50 each share.

United Paragon Mining Corporation (UPMC) is a Philippine
corporation whose main business is the exploration, development,
exploitation, recovery and sale of gold.  UPMC was the result of
a merger in 1989 between United Asia and Geothermal Resources
(UAR) and Abcar Paragon Mining Corporation, in which UAR became
the surviving corporation.  UAR was then renamed United Paragon
Mining Corporation in 1990.

UPMC's principal mining operation is the Longos Mine at
Paracale, Camarines Norte.  The company operated an open pit
area in the mine from August 1988 to June 1994, and by April
1994, UPM began the commercial operations of the underground
mine at the same site.  However, it was placed under care and
maintenance in December 1998 because of serious depletion of
economic reserves, high operating costs and low metal prices.
In November 2003, the company decided to suspend further
drilling in Longos.  There were no gold and silver recovered in
the years 2004 to 2006 since UPM's mining and milling operations
are still suspended.

Another prospective area for exploration of UPM is San Mauricio
located in Jose Panganiban.  The company has plans of continuing
exploration drilling in San Mauricio once the necessary
clearance from the Department of Environment and Natural
Resources (DENR) is secured.  UPMC is in the process of finding
a strategic partner/investor to help finance the amount required
for the rehabilitation and further development of Longos Mine.

                         *     *     *

Manabat Sanagustin & Co. Expressed substantial doubt about
United Paragon's ability to continue as a going concern after
auditing the company's 2007 Annual Report.

The auditors cited that:

   * The company has suffered recurring losses from operations
     and as of December 31, 2007, has a negative working capital
     of Php2,598.3 million (2006-Php2,471.9 million), an
     accumulated deficit of Php2,426.8 million (2006-
     Php2,298.2 million) and a capital deficiency of
     Php1,539.9 million (2006-Php1,411.3 million), despite the
     capital restructuring made in 1999; and

   * the company’s Board of Directors authorized the suspension
     of the Main Shaft rehabilitation and development in the
     last quarter of 1998 until appropriate financing for its
     further development becomes available.  Likewise, the
     underground Shaft 4 mining operations were discontinued to
     avoid further losses and to preserve the remaining reserves
     for future extraction from the Main Shaft at a profitable
     level and a retrenchment program for its employees was
     commenced.



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

STATS CHIPPAC: Posts US$22.1MM Net Income in Qtr. Ended June 29
---------------------------------------------------------------
STATS ChipPAC Ltd. disclosed with the Singapore Stock Exchange
its results for the second quarter ended June 29, 2008.  Net
income for the second quarter increased by 197.7% to US$22.1
million or US$0.01 per diluted ordinary share, compared to net
income of US$7.4 million or US$0.00 per diluted ordinary share
in the second quarter of 2007.

Tan Lay Koon, President and Chief Executive Officer of STATS
ChipPAC, said, "Revenue for the second quarter of 2008 of US
US$434.1 million increased by 17.3% over the second quarter of
2007 and by 1.6% over prior quarter.  Our second quarter revenue
reflected stable business across most markets despite the
cautious outlook of our customers as a result of the global
macroeconomic uncertainty".

John Lau, Chief Financial Officer of STATS ChipPAC, said, "We
continue to be disciplined in capital spending in the second
quarter of 2008, investing approximately 14.8% of revenue
compared to 15.0% in the second quarter of 2007 and 12.9% of
revenue in the prior quarter.  Due to the higher material and
fuel cost, and Asian currencies appreciation, gross margin for
the second quarter of 2008 was 17.2% compared to 18.1% in the
second quarter of 2007, and 17.4% in the prior quarter.  Our
operating margin for the second quarter of 2008 increased to
8.1% of revenue compared to 6.3% in the second quarter of 2007,
and 7.5% in the prior quarter".

"Our debt balance decreased significantly in the second quarter
of 2008 due to Singapore Technologies Semiconductors Pte Ltd’s
conversion of its outstanding US$134.5 million principal amount
of our 2.5% convertible subordinated notes due 2008 into 145.1
million ordinary shares of the company", Mr. Lau added.

As of June 29, 2008, the company's balance sheet showed
US$2.6 billion in total assets and US$1.15 billion in total
liabilities resulting in a shareholders' equity of US$1.38
billion.

                     About STATS ChipPAC Ltd.

Headquartered in Singapore, STATS ChipPAC Ltd. --
http://www.statschippac.com.-- is a service provider of
semiconductor packaging design, assembly, test and distribution
solutions in diverse end market applications including
communications, digital consumer and computing.  With global
headquarters in Singapore, STATS ChipPAC has design, research
and development, manufacturing or customer support offices in
ten different countries.

                          *     *     *

As reported by the Troubled Company Reporter-Asia Pacific on
June 24, 2008, Standard & Poor's Ratings Services assigned its
'BB+' issue rating to the proposed issue of medium-term
benchmark-sized senior unsecured notes by STATS ChipPAC Ltd.
(BB+/Stable/--).



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

AU OPTRONICS: May Select Poland or Slovakia for LCD Plant Site
--------------------------------------------------------------
Rumors are spreading that AU Optronics Corp. no longer plans to
build its European-based LCD Plant in Czech Republic, evertiq
News reports.

According to the report, the company said it will now opt for
either Poland or Slovakia.  The company already supplies its
production to electronics makers, the report relates.

LG has a new facility in Poland.

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

                          *     *     *

AU Optronics Corporation continues to carry Fitch Ratings'
'BB+' long-term foreign and local currency Issuer Default
ratings.  The Outlook is Positive.


                         *********

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.





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