TCRAP_Public/080929.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

                     A S I A   P A C I F I C

            Monday, September 29, 2008, Vol. 11, No. 193

                            Headlines

A U S T R A L I A

A.C.N. 009 126 569: Joint Meeting Slated for October 9
A.C.N. 075 320 286: Members' Final Meeting Set for October 2
A.C.N. 094 343 138: Members' Final Meeting Set for October 2
APPLEWOOD PTY: To Declare Dividend on October 7
BEMAX RESOURCES: S&P Cuts Corp. Credit & Sr. Notes Ratings to B-

CENTRO PROPERTIES: Obtains Further Debt Extension
DELISLE ENTERPRISES: To Declare Dividend on October 9
DJQ INDUSTRIES: To Declare Dividend on October 10
HUGO'S ENTERPRISES: Joint Meeting Slated for October 10
LEHMAN BROTHERS: Australian Unit in Administration

K & RM MGT: Liquidators to Give Wind-Up Report on October 10
KBPM PTY: Liquidators to Give Wind-Up Report on October 10
PLANT-IT-RITE: To Declare Dividend on October 3
WESTAFF INC: Westaff USA Unit Receives US$1MM Loan from DelStaff
WESTAFF INC: Price Rule Breach Spurs Nasdaq Delistment Warning

* AUSTRALIA: Credit Stable Despite Turmoil, S&P Says


C H I N A

AMDL INC: Closes Convertible Notes' Private Placement
BANK OF EAST ASIA: Chairman Assures Ops. Are "Returning to Normal"
ETERNAL TECHNOLOGIES: Receiver to Collect US$732,290 in Payments
GITI TIRE: S&P Places B+/B- Ratings on on CreditWatch Negative
HUA AN: Temporarily Halts Redemption of Lehman-Related QDII Fund

ICBC: Seeks to Up Income & Loans to Small Firms Amid Low Margins
SCRIPT SECURITSATION: S&P Junks Series 2007-1 CDO Rating at CCC+
SHENZHEN DEV'T BANK: To Sell CNY28BB Bonds to Bolster Capital
* CHINA: Regulator Denies Halting Interbank Lending to U.S. Banks


H O N G K O N G

ACTIVELAND LIMITED: Shareholders' Final Meeting Set for Oct. 31
ANGLO IRISH: Seng and Lo Quit as Liquidators
AMERICAN INT'L: SEC Subpoenas Funds on Share Manipulation
B.M. OPTICAL: Creditors and Contributories to Meet on October 10
CITIBAGS & LUGGAGE: Placed Under Voluntary Liquidation

EASY FASHION: Seng and Lo Cease to Act as Liquidators
HONG KONG FILM: Appoints Mak Yuen Mei as Liquidator
JIA HE: Placed Under Voluntary Liquidation
MAK KEE: Placed Under Voluntary Liquidation
PARAFIELD HOLDINGS: Creditors' Proofs of Debt Due on November 3

WIDERS DEVELOPMENT: Appoints Li Wai Chi Franky as Liquidator


I N D O N E S I A

BANK MANDIRI: Inks Deal With Semen Bosowa to Restructure Loans
* INDONESIA: To Penalize 14 Companies for Breach of Labor Law


I N D I A

GENERAL MOTORS: Delphi Wants to Shift US$3.4BB in Pension Debts
GENERAL MOTORS: May Lack Cash, Hires Outsider to Help Cut Costs
TATA MOTORS: Clarifies Jaguar Land Rover Financial Performance
TATA MOTORS: Sells 1.3% Stake in Tata Steel to Fund JLR Buyout
TATA MOTORS: CRISIL Cuts 3 Securitization Deals, Reaffirms 12


J A P A N

CLAIRE'S STORES: Posts US$16.9 Mil. Net Loss in Qtr. Ended Aug. 2
DELPHI CORP: Gets Green Light to Halt Pension Contributions
SOJITZ CORP: Aims to Win Pipeline Project in Nigeria
* JAPAN: Credit Measure Improvements Halted in 2007, S&P Reports
* JAPAN: S&P Says 1 CMBS May Be Exposed to Re-Plus Bankruptcy


K O R E A

HYNIX SEMICONDUCTOR: Sells China JV Stake to Numonyx for US$100MM
HYUNDAI MOTOR: Reaches Wage Deal With Union to End Dispute
VIRGIN MOBILE: Appoints Two New Board Members From SK Telecom


M A L A Y S I A

UBG: Inks Agreement With Mubadala to Set Up Exploration Company
WELLI MULTI: Significant Losses Prompt Going Concern Doubt


N E W  Z E A L A N D

ANTLER PROPERTY: Liquidators Set October 27 as Claims Bar Date
ARMADILLO ROOFING: Proofs of Debt Due on October 10
BRIDGECORP LIMITED: Liquidators Set October 31 as Claims Bar Date
BRIDGECORP MANAGEMENT: Liquidators Set Oct. 31 as Claims Bar Date
DATASTOR OUTLET: Wind-Up Petition Hearing Set for October 9

GENEVA FINANCE: NZSA Proposes to Replace Three Current Directors
HENSHAW PROPERTIES: Placed Under Liquidation
JANE INTERNATIONAL: Wind-Up Petition Hearing Set for October 31
KARAPIRO MANAGEMENT: Wind-Up Petition Hearing Set for October 31
POSTIE PLUS: Reports NZ$10.8 Mil. Net Loss in FY2008

STEEL SPAN: Proofs of Debt Due on October 10
STRATEGIC FINANCE: Shareholder Vote on Parent Sale Set on Oct. 21
*NEW ZEALAND: Credit Stable Despite Turmoil, S&P Says


X X X X X X X X

* Sovereign Credit Ratings for Emerging Markets Peaking, S&P Says


                         - - - - -


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

A.C.N. 009 126 569: Joint Meeting Slated for October 9
------------------------------------------------------
A.C.N. 009 126 569 Pty Ltd fka Mechanical Project Management will
hold a meeting for its members and creditors at 10:00 a.m. on Oct.
9, 2008.  During the meeting, the company's liquidator, A. H.
Douglas-Brown, will provide the attendees with property disposal
and winding-up reports.

The liquidator can be reached at:

          A. H. Douglas-brown
          Grant Thornton
          Level 1, 10 Kings Park Road
          West Perth WA 6005
          Telephone: (08) 9480 2000


A.C.N. 075 320 286: Members' Final Meeting Set for October 2
------------------------------------------------------------
Christopher R. Campbell and Simon J. Cathro, A.C.N. 075 320 286
Pty Limited fka Australian Strategic Information Services Pty
Ltd's appointed estate liquidators, will meet with the company's
members on Oct. 2, 2008, to provide them with property disposal
and winding-up reports.

The liquidators can be reached at:

         Deloitte Touche Tohmatsu
         Grosvenor Place
         225 George Street
         Sydney NSW


A.C.N. 094 343 138: Members' Final Meeting Set for October 2
------------------------------------------------------------
Christopher R. Campbell and Simon J. Cathro, A.C.N. 094 343 138
Pty Limited fka Acxiom Personnel Pty Limited's appointed estate
liquidators, will meet with the company's members on Oct. 2, 2008,
to provide them with property disposal and winding-up reports.

The liquidators can be reached at:


         Deloitte Touche Tohmatsu
         Grosvenor Place
         225 George Street
         Sydney NSW


APPLEWOOD PTY: To Declare Dividend on October 7
-----------------------------------------------
Applewood Pty Ltd will declare dividend for its creditors on
Oct. 7, 2008.

Creditors who were unable to file their proofs of debt on Sept.
23, 2008, were excluded in the company's dividend distribution.

The company's liquidator is:

          Ken Whittingham
          PKF
          Level 10, 1 Margaret Street
          Sydney NSW 2000


BEMAX RESOURCES: S&P Cuts Corp. Credit & Sr. Notes Ratings to B-
----------------------------------------------------------------
Standard & Poor's Ratings Services has lowered its long-term
corporate credit rating on Bemax Resources Ltd. to 'B-' from
'B+'.  The outlook is negative.  At the same time, S&P lowered
its issue rating on Bemax's US$175 million senior unsecured notes
due 2014 to 'B-' from 'B+'.  The ratings were removed from
CreditWatch with negative implications, where they were placed on
May 28, 2008.

The rating downgrade reflects:

  -- Bemax's weaker-than-expected credit metrics in the first
     half of 2008 and the prospect that these metrics will remain
     weak in the medium term.  The strong Australian dollar,
     escalating costs, and lower-than-expected production have
     resulted in weak earnings and deteriorating credit metrics
     to levels outside S&P's expectation for the 'B+' rating.

  -- Bemax's weak liquidity and lack of committed funding for its
     proposed Snapper mine expansion.  The bond covenants
     restrict Bemax from undertaking additional borrowing of more
     than AU$25 million while its EBITDA interest cover remains
     below 2.5x.  The lack of committed funding sources, together
     with weak earnings, will pose a significant challenge for
     Bemax to meet its funding requirements for the Snapper mine
     expansion.  Nevertheless, cash holdings of about AU$30
     million (in September) should be enough to fund Bemax's next
     interest payment.

  -- Heightened uncertainty over Bemax's growth strategy and its
     financial policy after the takeover by privately owned The
     National Titanium Dioxide Company Ltd. (Cristal), which is
     66% owned by National Industrialization Company and 33% by
     Gulf Investment Corp. G.S.C. (A-/Stable/A-2).  There is
     limited visibility on the financial strength and access to
     liquidity at Cristal; as a result, it is unclear as to the
     extent to which Cristal would be able to provide shareholder
     support to Bemax given its weak credit metrics.  S&P notes
     that Cristal purchased Millennium Inorganic Chemicals
     (B-/Watch Neg/--) in 2007.

"The negative outlook reflects the lack of visibility for a
meaningful recovery in Bemax's credit metrics in the near term,
in the absence of an equity injection to shore-up its stretched
liquidity and weak balance sheet," Standard & Poor's credit
analyst May Zhong said.  The rating could come under further
pressure if the following negative events emerge, resulting in
its liquidity or financial metrics at or weaker than current
levels for a prolonged period:

  -- A significant drop in product prices, together with a strong
     Australian dollar;

  -- Continued reduction in production; and

  -- Escalating cost pressures.

S&P will also review the rating for possible downgrade if Bemax
pulls back its development of the Snapper mine, which has been a
key consideration for the company's long-term credit quality.
The rating outlook could return to stable if the company's
production and earnings show sustained improvement.


CENTRO PROPERTIES: Obtains Further Debt Extension
-------------------------------------------------
Centro Properties Group said that its US lending group has further
extended facilities of US$1.3 billion (AU$1.5 billion) associated
with Centro's joint venture with Centro Retail Trust (CER) until
Dec. 15, 2008.

The company said that an additional liquidity facility of US$25
million has also been provided by the US lending group to the
Centro/CER US joint venture as a part of this extension.

No additional interest margins payable by Centro during the period
of the extension above those previously announced.

US private placement holders and the Australian financiers have
confirmed their satisfaction with Centro's progress towards
recapitalization and that the facilities of US$450 million and
AU$3 billion (AU$2.3 billion current and AU$700 million maturing
post June 30, 2009) respectively, remain extended to December 15,
2008.  There was no requirement to increase the Australian
liquidity facility.

The remaining condition to be met by September 30, 2008, that the
Australian financiers, US private placement noteholders and the US
lending group reach agreement on the terms on which assets can be
sold and the proceeds of such sales applied after that date, has
also been satisfied.

With this extension, Centro said it has now achieved the first
step to better position itself for a longer-term debt
restructuring and continues to work with all lending groups in
this regard.

                    About Centro Properties

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

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

                          *     *     *

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


DELISLE ENTERPRISES: To Declare Dividend on October 9
-----------------------------------------------------
Delisle Enterprises Pty Ltd will declare dividend for its
creditors on Oct. 9, 2008.

Creditors who were unable to file their proofs of debt on
Sept. 11, 2008, were excluded in the company's dividend
distribution.

The company's liquidator is:

          Dean R. McVeigh
          Foremans Business Advisors (Southern) Pty Ltd
          Suite 8, 56-60 Bay Road
          Sandringham VIC 3191


DJQ INDUSTRIES: To Declare Dividend on October 10
-------------------------------------------------
DJQ Industries Pty Ltd will declare dividend for its creditors on
Oct. 10, 2008.

Creditors who were unable to file their proofs of debt on
Sept. 17, 2008, were excluded in the company's dividend
distribution.

The company's liquidator is:

          Brent Kijurina
          Hall Chadwick
          Level 29, 31 Market Street
          Sydney NSW 2000


HUGO'S ENTERPRISES: Joint Meeting Slated for October 10
-------------------------------------------------------
Hugo's Enterprises Pty Limited will hold a meeting for its members
and creditors at 10:00 a.m. on Oct. 10, 2008.  During the meeting,
the company's liquidators, Peter G. Burton and Brian H. Allen,
will provide the attendees with property disposal and winding-up
reports.

The liquidators can be reached at:

          Burton Glenn Allen
          Chartered Accountants
          Level 2, 57 Grosvenor Street
          Neutral Bay NSW 2089
          Telephone: (02) 9904 4644
          Facsimile: (02) 9904 9644


LEHMAN BROTHERS: Australian Unit in Administration
--------------------------------------------------
Lehman Brothers Holdings Inc.'s Lehman Brothers Australia has
appointed Stephen Parbery and Neil Singleton of PPB as
administrators, The Sydney Morning Herald reports.

According to the report, the administrators were appointed to sell
off assets which include a portfolio of AU$300 million in bonds,
mortgage-backed securities and other financial instruments.

The Morning Herald says the administrators will also review other
financial instruments held by LBA which have yet to be valued,
including collateralized debt obligations.

Mr. Parbery said Clayton Utz has been appointed as legal advisers
to the administrators.  A provisional liquidator has also been
appointed to Lehman's Asia operations via KPMG, the report notes.

A creditors' meeting will take place within six days from
September 26, 2008, and a full report to creditors will be
completed by the end of October, Mr. Parbery added.

According to the Morning Herald, PPB said Lehman Brothers'
Australian operations owe the international division of Lehman
Brothers AU$531.6 million.

Meanwhile, the report says, the administrators' appointment comes
just three days after Nomura Holdings agreed to buy the company.

As reported in the Troubled Company Reporter-Asia Pacific on
Sept. 24, 2008, Nomura Holdings Inc. has agreed to acquire Lehman
Brothers' franchise in the Asia Pacific region including Japan and
Australia.

The deal includes all of Lehman Brothers' franchises and
approximately 3,000 employees in multiple locations in the Asia-
Pacific region.  Under the terms of the transaction all employees
in Asia Pacific will be offered employment with Nomura.  The deal
does not include any trading assets or trading liabilities.

According to the Morning Herald, Mr. Parbery said Nomura had
offered to buy only some assets from Lehman Brothers Australia
(LBA), including fixed assets, chattels and computer equipment.
Nomura is also seeking to transfer some key staff of LBA, and is
negotiating employment contracts with LBA's remaining staff in
Sydney and Melbourne.  Staff will remain on the premises, the
report adds citing Mr. Parbery.

The report notes that PPB will employ some of LBA's key employees
to assist with the administration.  LBA employed around 130 staff
in Australia.

                     About Lehman Brothers

Lehman Brothers Holdings Inc. -- http://www.lehman.com-- is the
fourth largest investment bank in the United States.  For more
than 150 years, Lehman Brothers has been a leader in the global
financial markets by serving the financial needs of corporations,
governmental units, institutional clients and individuals
worldwide.  Through its team of more than 25,000 employees, Lehman
Brothers offers a full array of financial services in equity and
fixed income sales, trading and research, investment banking,
asset management, private investment management and private
equity.  Its worldwide headquarters in New York and regional
headquarters in London and Tokyo are complemented by a network of
offices in North America, Europe, the Middle East, Latin America
and the Asia Pacific region.  The firm, through predecessor
entities, was founded in 1850.

Lehman filed for chapter 11 bankruptcy September 15, 2008 (Bankr.
S.D.N.Y. Case No.: 08-13555).  Lehman's bankruptcy petition listed
$639 billion in assets and $613 billion in debts, effectively
making the firm's bankruptcy filing the largest in U.S. history.
The September 15 Chapter 11 filing by Lehman Brothers Holdings,
Inc., does not include any of its subsidiaries.

Subsidiary LB 745 LLC, submitted a Chapter 11 petition on Sept. 16
(Case No. 08-13600).

The Debtors' bankruptcy cases are handled by Judge James M. Peck.
Harvey R. Miller, Esq., Richard P. Krasnow, Esq., Lori R. Fife,
Esq., Shai Y. Waisman, Esq., and Jacqueline Marcus, Esq., at Weil,
Gotshal & Manges, LLP, in New York, represent Lehman.  Epiq
Bankruptcy Solutions serves as claims and noticing agent.

Dennis F. Dunne, Esq., Luc A. Despins, Esq., and Wilbur F. Foster,
Jr., Esq., at MILBANK, TWEED, HADLEY & McCLOY LLP, in New York,
and Paul Aronzon, Esq., and Gregory A. Bray, Esq., at MILBANK in
Los Angeles, California, represent the official unsecured
creditors committee.

                International Operations Collapse

Lehman Brothers International (Europe), the principal UK trading
company in the Lehman group, was placed into administration,
together with Lehman Brothers Ltd., LB Holdings PLC and LB UK RE
Holdings Ltd. These are currently the only UK incorporated
companies in administration.  Tony Lomas, Steven Pearson, Dan
Schwarzmann and Mike Jervis, partners at PricewaterhouseCoopers
LLP, have been appointed as joint administrators to Lehman
Brothers International (Europe) on September 15, 2008. The joint
administrators have been appointed to wind down the business.

Lehman Brothers Japan Inc. and Lehman Brothers Holdings Japan Inc.
filed for bankruptcy in the Tokyo District Court on September 16.
The two units of Lehman Brothers Holdings, Inc., which have filed
for bankruptcy protection in the U.S. Bankruptcy Court for the
Southern District of New York, have combined liabilities of
JPY4 trillion (US$38 billion).  Lehman Brothers Japan Inc.
reported about JPY3.4 trillion ($33 billion) in liabilities in its
petition.  Akio Katsuragi, a former Morgan Stanley executive, runs
Lehman's Japan units.

Lehman Brothers Asia Limited, Lehman Brothers Securities Asia
Limited and Lehman Brothers Futures Asia Limited have suspended
its operations with immediate effect, including ceasing to trade
on the Hong Kong Securities Exchange and Hong Kong Futures
Exchange, until further notice.  The Asian units' asset management
company, Lehman Brothers Asset Management Limited, will continue
to operate on a business as usual basis.  A further notice
concerning the retail structured products issued by or arranged by
any Lehman Brothers group company will be issued as soon as
possible, a press statement said.


K & RM MGT: Liquidators to Give Wind-Up Report on October 10
-----------------------------------------------------------
K & RM Management Pty Limited will hold a meeting for its members
and creditors at 10:30 a.m. on Oct. 10, 2008.  During the meeting,
the company's liquidators, Peter G. Burton and Brian H. Allen,
will provide the attendees with property disposal and winding-up
reports.

The liquidators can be reached at:

          Burton Glenn Allen
          Chartered Accountants
          Level 2, 57 Grosvenor Street
          Neutral Bay NSW 2089
          Telephone: (02) 9904 4644
          Facsimile: (02) 9904 9644


KBPM PTY: Liquidators to Give Wind-Up Report on October 10
----------------------------------------------------------
KBPM Pty Limited will hold a meeting for its members and creditors
at 11:00 a.m. on Oct. 10, 2008.  During the meeting, the company's
liquidators, Peter G. Burton and Brian H. Allen, will provide the
attendees with property disposal and winding-up reports.

The liquidators can be reached at:

          Burton Glenn Allen
          Chartered Accountants
          Level 2, 57 Grosvenor Street
          Neutral Bay NSW 2089
          Telephone: (02) 9904 4644
          Facsimile: (02) 9904 9644


PLANT-IT-RITE: To Declare Dividend on October 3
-----------------------------------------------
Plant-It-Rite (Aus) Pty Ltd will declare dividend for its
creditors on Oct. 3, 2008.

Creditors who were unable to file their proofs of debt on Sept.
18, 2008, were excluded in the company's dividend distribution.

The company's liquidator is:

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


WESTAFF INC: Westaff USA Unit Receives US$1MM Loan from DelStaff
----------------------------------------------------------------
Westaff, Inc. disclosed in a Securities and Exchange Commission
filing that on Sept. 3, 2008, Westaff (USA), Inc., a wholly owned
subsidiary, Westaff Support, Inc. and MediaWorld International,
wholly owned subsidiaries of Westaff (USA), were advanced a loan
in an aggregate principal amount of US$1,000,000 from DelStaff,
LLC under a loan agreement of Aug. 25, 2008 .

John R. Black, Michael R. Phillips and Michael T. Willis, members
of the company's board of directors, are managers of DelStaff, LLC
and also hold positions with H.I.G. Capital, L.L.C., which is an
affiliate of DelStaff, LLC.

                      About Westaff Inc.

Based in Walnut Creek, California, Westaff Inc. (Nasdaq: WSTF)
-- http://www.westaff.com/-- provides staffing services and
employment opportunities for businesses in global markets.
Westaff annually employs in excess of 125,000 people and services
more than 20,000 client accounts from more than 177 offices
located throughout the United States, Australia and New Zealand.

                         *     *     *

The company has incurred operating losses and negative operating
cash flow since the second quarter of fiscal 2007, offset by
slight operating income in the fourth quarter of fiscal 2007.  The
company says it it expects to incur additional losses in the
future, particularly because of current soft economic conditions.

In addition, the company is currently in default under the primary
credit facility that it uses to finance its operations.   If the
company is unable to obtain a waiver or continued forbearance from
the U.S. Bank National Association on acceptable terms, the
company may be unable to access the funds necessary for its
liquidity requirements or may be unable to obtain letters of
credit under the facility needed for the company to obtain
workers' compensation insurance.  In that case, its business and
operating results would be adversely affected.


WESTAFF INC: Price Rule Breach Spurs Nasdaq Delistment Warning
--------------------------------------------------------------
Westaff, Inc. disclosed in a Securities and Exchange Commission
filing that on Sept. 10, 2008, it received a letter from The
Nasdaq Stock Market indicating that, for the last 30 consecutive
business days prior to the date of the letter, the bid price of
Westaff's common stock had closed below the minimum US$1.00 per
share requirement for continued inclusion under Nasdaq Marketplace
Rule 4450(a)(5).  As of Sept. 16, 2008, Westaff's common stock has
not been delisted and continues to be listed on the Nasdaq Global
Market.

In accordance with Nasdaq Marketplace Rule 4450(e)(2), Westaff has
180 calendar days from the date of the Nasdaq letter, or until
March 9, 2009, for the bid price of its common stock to close at
US$1.00 per share or more for a minimum of 10 consecutive business
days to regain compliance.

In the event that Westaff does not regain compliance by
March 9, 2009, Nasdaq will provide notice to Westaff that its
common stock will be delisted.  At that time, Westaff would be
permitted to appeal Nasdaq's determination to delist Westaff's
common stock to a Nasdaq Listing Qualifications Panel.

Alternatively, Nasdaq Marketplace Rule 4310(c) may permit, upon
approval by Nasdaq, Westaff to transfer its common stock to the
Nasdaq Capital Market if Westaff's common stock satisfies all
criteria, other than compliance with the minimum bid price rule,
for initial inclusion on such market.  In the event of such a
transfer, the Nasdaq Marketplace Rules provide that Westaff would
be afforded an additional 180 calendar days to comply with the
minimum closing bid price rule while listed on the Nasdaq Capital
Market.

                      About Westaff Inc.

Based in Walnut Creek, California, Westaff Inc. (Nasdaq: WSTF)
-- http://www.westaff.com/-- provides staffing services and
employment opportunities for businesses in global markets.
Westaff annually employs in excess of 125,000 people and services
more than 20,000 client accounts from more than 177 offices
located throughout the United States, Australia and New Zealand.

                         *     *     *

The company has incurred operating losses and negative operating
cash flow since the second quarter of fiscal 2007, offset by
slight operating income in the fourth quarter of fiscal 2007.  The
company says it it expects to incur additional losses in the
future, particularly because of current soft economic conditions.

In addition, the company is currently in default under the primary
credit facility that it uses to finance its operations.   If the
company is unable to obtain a waiver or continued forbearance from
the U.S. Bank National Association on acceptable terms, the
company may be unable to access the funds necessary for its
liquidity requirements or may be unable to obtain letters of
credit under the facility needed for the company to obtain
workers' compensation insurance.  In that case, its business and
operating results would be adversely affected.


* AUSTRALIA: Credit Stable Despite Turmoil, S&P Says
----------------------------------------------------
Rated consumer-related corporates across Australia and New Zealand
maintained relatively sound credit quality in the past six months,
despite tightening credit markets and the prospect of
a weakening economic environment, according to a report published
by Standard & Poor's Ratings Services titled "Industry Report
Card: Consumer-Related Corporates In Australia And New Zealand
Head Off Market Woes To Maintain Credit Quality".

The report explores key trends affecting the credit quality of
companies involved in the following sectors: agribusiness,
airlines, beverages, media and gaming, retail, telecommunications,
and other consumer products.

"The tightening availability of debt finance, and its flow-on
effects to consumer and business confidence, is likely to remain
a key ratings focus for consumer-related companies," S&P's credit
analyst Paul Draffin said.  "Accordingly, a modestly negative
tone to overall credit quality is likely to persist in the next
12 months.  That said, most of our rated entities have been
proactively managing their capital bases and liquidity and are
well-placed to satisfy upcoming debt maturities and capital-
spending requirements"

Other notable themes affecting the sector's credit quality in the
past six months include:

  -- High interest rates and petrol prices, as well as adverse
     wealth effects from recent sharemarket volatility, are
     adversely affecting consumer confidence and discretionary
     spending;

  -- Rising raw-material prices, a volatile Australian dollar,
     and slowing world economies are continuing to pressure the
     operations of several consumer-products companies;

  -- Water-shortage problems are continuing to hurt Australian
     agribusiness companies;

  -- Regulatory impositions are constraining the gaming and
     wagering sectors, although credit quality is underpinned by
     a favorable licensing position for incumbent operators; and

  -- Regulatory and technological change continues to pose
     challenges for the telecommunications sector.



=========
C H I N A
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AMDL INC: Closes Convertible Notes' Private Placement
-----------------------------------------------------
AMDL, Inc. disclosed in a Securities and Exchange Commission
filing the successful closing and terms of a US$2,510,000 private
placement offering of 10% convertible notes.  The placement agents
for the offering were Jesup & Lamont Securities Corporation and
Dawson James Securities, Inc.

Gary Dreher, President and CEO of AMDL, Inc., said, "This
financing strengthens our cash position and allows us to
accelerate key business initiatives.  We appreciate the financial
support from our investors and their vote of confidence in AMDL's
China and US-led operations."

AMDL sold US$2,510,000 of 10% convertible notes at par value.  The
notes mature at the earlier of 12 months from the completion of a
registered follow-on public offering or 24 months after issuance.
The notes will be repaid either at maturity in cash equal to 150%
of the principal amount of the notes plus an amount equivalent to
10% per annum interest, or upon forced mandatory conversion into
shares of the Company's common stock in the event of a public
offering of at least US$25 million in gross proceeds to AMDL.  At
any time after February 15, 2009, the holders of the notes have
the right to convert the entire principal and interest due into
common stock of the Company.

The conversion price will be at a discount of 50% to:

(i) the price of the Company's common stock on the closing of
     the public offering; or

(ii) the common stock on February 15, 2009; provided, however, in
     no event will the conversion price be less than US$1.20 per
     share.

In the event of a voluntary conversion, the shares issued will not
be registered. The shares issuable on conversion carry "piggy-
back" registration rights should the Company file a registration
statement subsequent to conversion.

In the event of a forced conversion into common shares in the
public offering, note holders will be subject to a lock-up on any
remaining shares not sold in the offering for 90 days after the
public offering.  Upon any conversion of the notes into common
stock of the Company, the Company will also issue warrants to
purchase common stock to the converting investors in the amount
equal to 50% of the number of shares of common stock into which
their notes were converted.  Warrants will have a term of five
years from the date of issuance and shall be exercisable at a
price equal to 120% of the closing price of the Company's common
stock on the date of conversion; provided however, in no event
shall the exercise price of the warrants be less than 120% of the
five day volume average weighted price -- VWAP -- of the Company's
common stock the on closing date of the debt offering.

The placement agents received cash commissions of US$251,000,
representing 10% of the principal amount of the notes purchased,
US$62,750 in non-accountable expenses and due diligence fees --
2-1/2% of the principal amount of the notes purchased -- and five
year warrants to purchase a maximum of 209,167 shares of the
Company's common stock -- which number will be adjusted and
reduced when the initial conversion price of the notes is
determined -- exercisable at US$2.69 per share, representing a
price equal to 115% of the five day VWAP of the common stock of
the Company up to the closing.

AMDL structured the debt financing so the conversion price will be
determined at or about the same time as an anticipated 1st quarter
2009 "at market" public offering.  Prior to this event, the
Company expects to meet certain milestones that it believes will
positively impact the conversion price.  Specifically, AMDL
intends to a secure new comprehensive credit facility in China.
The credit facility is anticipated to include collateralized
mortgage financing, construction financing, as well as lines of
credit for accounts payable and research and development.  AMDL
intends to use proceeds from these financings for, among other
things, the release of new pharmaceutical products in the China
market; to advance business development efforts for the recently
FDA-approved DR-70(R) ELISA cancer monitoring test; accelerate the
product development pipeline for leading products that include
Goodnak(R), the MyHPV Chip Test Kit(R), and Domperidone; and to
fund AMDL's other general working capital needs in China and the
US. No assurances can be given that these milestones can be
achieved or what the timing thereof will be.

                        About AMDL Inc.

Based in Tustin, California, AMDL, Inc., (AMEX: ADL) --
http://www.amdl.com/-- with operations in Shenzhen, Jiangxi, and
Jilin, China, is a vertically integrated specialty pharmaceutical
company.  In combination with its subsidiary Jade Pharmaceutical
Inc., AMDL engages in the research, development, manufacture, and
marketing of diagnostic products.

                      Going Concern Doubt

As reported in the Troubled Company Reporter on April 25, 2008,
KMJ Corbin & Company LLP expressed substantial doubt about AMDL
Inc.'s ability to continue as a going concern after auditing the
company's consolidated financial statements for the year ended
Dec. 31, 2007.  The auditing firm pointed to the company's
significant operating losses and negative cash flows from
operations through Dec. 31, 2007, and accumulated deficit at
Dec. 31, 2007.

The company incurred net losses off US$429,567 and US$2,264,305
during the three months ended June 30, 2008 and 2007,
respectively, and had an accumulated deficit of US$38,788,660 at
June 30, 2008.  In addition, the company used cash in operations
of US$1,348,241 and US$2,876,356 during the six months ended
June 30, 2008 and 2007, respectively.


BANK OF EAST ASIA: Chairman Assures Ops. Are "Returning to Normal"
------------------------------------------------------------------
Bank of East Asia Limited's operations are "quickly returning to
normal" after the bank rejected rumors questioning the company's
stability, prompting some customers to withdraw deposits, Kelvin
Wong of Bloomberg News reports.

The Financial Times recounts that on September 24, thousands of
panicked depositors queued outside Bank of East Asia's branches
across Hong Kong to withdraw their life-savings on rumors that the
lender was in financial trouble.   The same report cited one
member of the queue as saying, "I heard that Bank of East Asia was
in trouble this morning but wasn't so worried until I saw the
queue.  Something must have gone wrong".  The Times relates that
the bank kept some of its branches open for 30 minutes longer than
usual with some customers having to wait for hours to get their
money after a number of branches ran out of cash.

Various reports cited Chairman David Li as saying, "The Hong Kong
Monetary Authority has joined us in unequivocally rejecting these
rumors as false and unfounded."  In a company disclosure, the bank
confirms that the Bank's financial position is sound and stable.
As of June 30, 2008, the total consolidated assets of the bank
stood at HKD396.6 billion.  The Bank's capital adequacy ratio is
14.6%, well above the international required level, the company
said.

According to Bloomberg News, Hong Kong Financial Secretary John
Tsang said the rumors were "unfounded" and the bank has enough
capital to serve its clients.  The Times relates that under the
Hong Kong's banking regulation regime, depositors would receive
compensation of up to HK$100,000 (US$12,900) each if they lost
their savings because of the failure of a licensed bank in Hong
Kong.

HKMA head Joseph Yam urged depositors to stay calm and pumped
liquidity into the city's banking system, while Li Ka- shing, the
billionaire chairman of Cheung Kong (Holdings) Ltd., bought shares
in the bank, Bloomberg News relates.

Recently, Agence France-Presse reports that a Hong Kong man has
been arrested for spreading rumors on the Internet that one of the
city's banks was in financial trouble and a run against it was
likely.  According to AFP, the 34-year-old was arrested after
posting the accusation in an on line forum calling on people to
take out their deposits from the bank.  Police would not reveal
the name of the financial institution in the message linked to the
man's arrest.

However, AFP, citing a South China Morning Post report, points out
that police said the arrest had nothing to do with the Bank of
East Asia.

Bank of East Asia's total outstanding exposures to Lehman Brothers
and AIG are HKD422.8 million and HKD49.9 million, respectively.

                   About Bank of East Asia

Bank of East Asia Limited -- http://www.hkbea.com/ -- is engaged
in providing banking and financial services to its customers in
Hong Kong, Greater China, and overseas. BEA serves customers
through a global network of over 200 outlets covering Hong Kong
and the rest of Greater China, the United States, Canada, the
United Kingdom, the British Virgin Islands, and Southeast Asia.
BEA delivers retail and commercial banking services through its
Personal Banking, Corporate Banking, Wealth Management, Investment
Banking, China, and International divisions.  The products and
services include deposit-taking, foreign currency savings, retail
investment and wealth management services, mortgage loans,
consumer loans, credit cards, Cyberbanking, bancassurance,
Mandatory Provident Fund services, trade finance, syndication
loans, remittances, and foreign exchange margin trading.


ETERNAL TECHNOLOGIES: Receiver to Collect US$732,290 in Payments
--------------------------------------------------------------
Western Securities Corporation disclosed that the U.S. Bankruptcy
Court for the Southern District of Texas has appointed a Receiver
to collect and satisfy the final Judgment and Writ of Execution
in the amount of US$732,290 plus legal and court fees against
Eternal Technologies Group Inc.  The Turnover Order issued by
United States District Judge Vanessa D. Gilmore on Sept. 23, 2008,
is to collect on the unsatisfied Judgment Western Securities
Corporation has against Eternal Technologies Group rendered in
the U.S. District Court of the Southern District of Texas, Civil
Action Number H-O5-02504 on Oct. 31, 2007.

The Turnover Motion states that the Receiver will have and
exercise the fullest and broadest powers under the Rule,
including but not limited to:

"Order the production before him of evidence, including documents,
upon all matters pertaining to Defendant's compliance with this
Order; the assets, location of assets, value of assets and all
other financial matters pertaining to Defendant."

Order that, "all third-parties in possession, or constructive
possession, of assets, including but not limited to cash and
funds on deposit, documentation, property or information
regarding the Defendant, shall turnover or make available for
turnover to the Receiver."

Order that Eternal Technologies Group, "immediately turnover to
the Receiver within ten days from Defendant's receipt of a copy
of this Order any current and future proceeds, checks, cash,
securities and share certificates.  If the share certificates
do not exist, Defendant is hereby ordered to execute share
certificates representing his interests and to turn the share
certificates over to Receiver within ten days after receipt of
a copy of this Order."

The Turnover Motion also stated that, "The Receiver is hereby
authorized necessary to gain access to all storage facilities,
safety deposit boxes, real property, leased premises wherein any
property of Defendant may be situated."

The powers of the Receiver include the right, authority and power
to:

   1. Collect all accounts receivable of Defendant;
   2. Change locks to all premises at which any property is
      situated;
   3. Open all mail directed to Defendant;
   4. Endorse and cash all checks and negotiable instruments
      payable to Defendant;
   5. Hire a real estate broker to sell any real property and
      mineral interest belonging to the Defendants;
   6. Hire any person or company to move and store the property
      of Defendant;
   7. Obtain from any financial institution, bank, credit union,
      or savings and loan any financial records belonging to or
      pertaining to the Defendant;
   8. Hire any person or company necessary to accomplish any
      right or power under this Order;
   9. Sell assets collected from the Defendants upon terms to be
      determined by the Receiver;
  10. Direct any Constable, Sheriff or authorized Peace Officer
      to seize and sell property under Writ of Execution.

              About Eternal Technologies Group Inc.

Eternal Technologies Group Inc. (OTC:ETLT) --
http://www.eternaltechs.com/-- is engaged in agricultural
genetics and medical equipment manufacturing and distribution
operating in the People's Republic of China.  The company is
focused on the development and application of animal husbandry
techniques to produce food products, the development,
manufacturing and marketing of medical equipment and technologies
used in the detection and prevention of breast cancer in humans.
The company's operations are conducted through its wholly owned
subsidiaries, Eternal Technology Group Ltd. and E-Sea Biomedical
Engineering Co. International Ltd. also a BVI company and Willsley
Company Limited.


GITI TIRE: S&P Places B+/B- Ratings on on CreditWatch Negative
--------------------------------------------------------------
Standard & Poor's Ratings Services has placed its 'B+' long-term
corporate credit rating on GITI Tire Pte. Ltd. and the 'B-' issue
rating on the company's US$200 million senior unsecured notes due
2012 on CreditWatch with negative implications.

"The CreditWatch action follows GITI's interim-result announcement
for the six months ended June 30, 2008, which
highlighted that the company's financial risk profile was much
weaker than we expected," said S&P's credit analyst Bei Fu.

S&P previously expected GITI's full-year ratio of debt to EBITDA
to improve to close to 3.5x from more than 5x in 2007.  However,
results for the first half of this year suggest that the ratio is
higher than 6x.  Given the continued increases in raw material
costs in the third quarter of 2008 and the softened domestic and
global economies, which could affect demand for tires in the
future, S&P don't believe a significant improvement in the second
half of 2008 is likely.  In addition, the continued compression
of GiTi's operating margin has demonstrated that the company is
not able to pass on rapidly rising raw material costs to
customers in a timely manner -- it will take some time to do so.

The CreditWatch is likely to be resolved within the next few
weeks, following S&P's discussions with management and a full
analysis of its financial performance and its future operating
financial prospect.  The current rating factors in a material
improvement in GITI's financial metrics this year.  If S&P is
convinced that this is unlikely to happen, the rating will be
lowered by one notch.


HUA AN: Temporarily Halts Redemption of Lehman-Related QDII Fund
----------------------------------------------------------------
Hua An Fund Management Co. has temporarily halted redemptions of
its sole overseas fund Hua An International Balanced Fund offered
under China's Qualified Domestic Institutional Investor (QDII)
program, that has been guaranteed by failed investment bank Lehman
Brothers Holdings Inc., China Knowledge News reports.

Hua An Fund, the report relates, said the company made the
decision, which took effect on Sept. 23, as it is not capable of
making proper evaluation the fund's assets after Lehman Brothers
filed for bankruptcy protection.

As reported by the Troubled Company Reporter on September 16,
2008, Lehman Brothers Holdings Inc. filed a petition under Chapter
11 of the U.S. Bankruptcy Code with the United States Bankruptcy
Court for the Southern District of New York early morning on
September 15.  The report said that none of the broker-dealer
subsidiaries or other subsidiaries were included in the Chapter 11
filing and all of the broker-dealers will continue to operate.

According to the news agency, the firm also said that it will
resume the valuation process, redemptions and inform investors
once the situation returns to normal.

Hua An had said it would assume responsibility for payment of
principal on the QDII funds, and continue to put every effort to
avoid liquidation before the end of the fund's five-year term in
2011, the report adds.

                        About Hua An Fund

Headquartered in the Lujiazui Financial and Trade Zone of
Shanghai, Hua An Fund Management Co., Ltd. was incorporated on
June 4, 1998 under the Provisional Regulations on Securities
Investment Fund of the PRC.  It is one of the first fund
management companies in Mainland China approved and licensed by
the CSRC to pioneer in the fund management business. With a
registered capital of RMB150 million, Hua An's main business
covers fund sponsoring, fund management, and other business
approved by the CSRC.

Hua An has twelve departments including research, investment,
accounting, compliance, auditing, administration, marketing, E-
business, investor account registration, strategic planning,
customer service, and information technology.  In addition, a
branch office was opened in Beijing.  To date, the company has 110
employees, half of whom have Master of Ph.D. degrees, nine with
overseas education background and one foreign employee.  Hua An's
fund managers and industry analysts are well-qualified and
experienced professionals with an average industry experience of
seven years.

                      About Lehman Brothers

Lehman Brothers Holdings Inc. -- http://www.lehman.com-- is the
fourth largest investment bank in the United States.  For more
than 150 years, Lehman Brothers has been a leader in the global
financial markets by serving the financial needs of corporations,
governmental units, institutional clients and individuals
worldwide.  Through its team of more than 25,000 employees, Lehman
Brothers offers a full array of financial services in equity and
fixed income sales, trading and research, investment banking,
asset management, private investment management and private
equity.  Its worldwide headquarters in New York and regional
headquarters in London and Tokyo are complemented by a network of
offices in North America, Europe, the Middle East, Latin America
and the Asia Pacific region.  The firm, through predecessor
entities, was founded in 1850.


ICBC: Seeks to Up Income & Loans to Small Firms Amid Low Margins
----------------------------------------------------------------
The Industrial and Commercial Bank of China is seeking to boost
fee income and loans to small companies after a cut in interest
rates eroded margins, Bloomberg News reports, citing Chairman
Jiang Jianqing.

The report relates that Mr. Jianqing said the central bank's 27
basis-point cut in the benchmark one- year lending rate Sept. 15
will reduce ICBC's profit by as much as CNY500 million (US$73
million) this year.  "The cut will have a CNY400 million to CNY500
million profit impact on us this year.  We are increasing our
pricing ability for loans, boosting fee income and adjusting our
loan structure to remedy the rate cut," he added.

According to the report, Chinese banks were downgraded after the
rate cut at JPMorgan Chase & Co., Credit Suisse Group and Merrill
Lynch & Co., which cited less profitable lending and higher bad-
loan costs in a slowing economy.

Meanwhile, Reuters relates Mr. Jianqing said the bank must be
cautious in exploring U.S. acquisitions during the current
financial turmoil.  ICBC would be selective in its U.S.
investments but would continue to hold U.S. government bonds, he
said.

                           About ICBC

The Industrial and Commercial Bank of China --
http://www.icbc.com.cn/-- is the largest state-owned commercial
bank, and is authorized by the State Council and the People's
Bank of China.  ICBC conducts operations across China as well as
in major international financial centers.

                          *     *     *

ICBC continues to carry Fitch Ratings' Individual D/E rating.

On May 4, 2007, Moody's Investors Service affirmed Industrial &
Commercial Bank of China Ltd's Bank Financial Strength Rating at
D-.  The outlook for BFSR is stable.  The outlook for the long-
term deposit rating is positive.


SCRIPT SECURITSATION: S&P Junks Series 2007-1 CDO Rating at CCC+
----------------------------------------------------------------
Standard & Poor's Ratings Services has lowered its ratings on two
Asia-Pacific (ex-Japan) synthetic CDO transactions and placed the
rating of another transaction on CreditWatch with negative
implications.

These rating actions follow the recent actions taken by S&P on 78
Asia-Pacific (ex-Japan) synthetic CDO tranches on Sept. 23, 2008.

The rating actions on these transactions reflect the impact of
recent credit events and/or rating actions on certain reference
entities in the United States.

Transaction                Rating To      Rating From
-----------                ---------      -----------

Script Securitisation Ltd. Constellation
Series 2007-1             CCC+pNRi        BBpNRi

Signum Vanguard Ltd.

Series 2004-1             AA-             AAA

Signum Platinum I Ltd.
Series 2006-1             BBB/Watch Neg   BBB


SHENZHEN DEV'T BANK: To Sell CNY28BB Bonds to Bolster Capital
-------------------------------------------------------------
Shenzhen Development Bank Company Limited plans to sell as much as
CNY28 billion (US$4.1 billion) of bonds to bolster its capital,
Bloomberg News reports, citing Jiang Jianguo.

The bank, the report relates, plans to sell:

-- CNY10 billion of subordinated debt with five-year to 15-year
   maturities,

-- CNYCNY10 billion of regular bonds maturing between one and 10
   years; and

-- CNY8 billion yuan of hybrid bonds with maturities of at least
   15 years.

According to the report, the bank plans to sell the debt
securities in batches on the domestic or overseas markets in the
next three years.

Headquartered in Shenzhen, Guangdong, People's Republic of
China, Shenzhen Development Bank Company Ltd.'s --
http://www.sdb.com.cn/-- provides local and foreign currency
deposits and loan services.  Other activities include foreign
currencies exchanging, foreign currency deposit and remittances,
acts as an agent for issuing foreign currency value-bearing
securities, management of letters of credit and operation of
both an international and a domestic discounting service.

                         *     *     *

As reported by the Troubled Company Reporter - Asia Pacific on
September 1, 2008, Moody's Investors Service upgraded Shenzhen
Development Bank's (SZDB) bank financial strength rating (BFSR)
from E+ to D-.  At the same time, the rating agency upgraded the
bank's long-term foreign currency deposit rating from Ba3 to Ba2;
its short-term foreign currency deposit rating remains unaffected
at Not-Prime.  The outlook for all ratings is stable.


* CHINA: Regulator Denies Halting Interbank Lending to U.S. Banks
-----------------------------------------------------------------
The China Banking Regulatory Commission denied a media report in
Hong Kong that it has told domestic banks to halt interbank
lending to U.S. banks, Xinhua News reports.

CBRC said in a statement cited by Xinhua News that "the regulator
has never, through any channel, issued a statement or told
domestic commercial banks not to lend to U.S. financial
institutions."

According to Xinhua News, the South China Morning Post reported on
Sept. 25 that the regulator ordered local banks to halt interbank
lending to U.S. banks to avoid possible losses during the
financial crisis.  Xinhua News says the newspaper cited
unidentified sources as saying that the ban applied to interbank
lending of all currencies to U.S. banks but not to banks from
other countries.

The Commission said that the Post had carried an irresponsible
report without seeking verification and they condemned this and
reserved the right to ascertain legal responsibility, Xinhua News
relates.



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

ACTIVELAND LIMITED: Shareholders' Final Meeting Set for Oct. 31
---------------------------------------------------------------
The shareholders of Activeland Limited will hold their final
meeting on October 31, 2008, at 3:30 p.m., at the 24th Floor of
Hang Wai Commercial Building, 231-233 Queen's Road East, in
Wanchai, Hong Kong.

At the meeting, Au Yan Alfred, the company's liquidator, will give
a report on the company's wind-up proceedings and property
disposal.


ANGLO IRISH: Seng and Lo Quit as Liquidators
--------------------------------------------
On September 20, 2008, Natalia K M Seng and Susan Y H Lo ceased to
act as liquidators of Anglo Irish Trade Services Limited.

The company's former Liquidators can be reached at:

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


AMERICAN INT'L: SEC Subpoenas Funds on Share Manipulation
---------------------------------------------------------
The U.S. Securities and Exchange Commission subpoenaed more than
two dozen hedge funds on Sept. 22 as part of its probe on whether
traders were spreading rumors to manipulate shares, Kara Scannell
at The Wall Street Journal reports, citing people familiar with
the matter.

Elizabeth MacDonald at Foxbusiness.com relates that the SEC has
subpoenaed 50 hedge funds to find out if they were engaging in
rumor mongering to drive down shares in 19 financial companies
"they had shorted in naked short sales to book a profit."

According to WSJ, the subpoenas identified these financial
institutions affected by manipulation:

    -- American International Group Inc.,
    -- Goldman Sachs Group Inc.,
    -- Lehman Brothers Holdings Inc.,
    -- Morgan Stanley,
    -- Washington Mutual Inc., and
    -- Merrill Lynch & Co.

WSJ relates that the subpoenas seek trading data -- include
details of funds' positions in stocks, derivatives, swaps and
other financial instruments, when trades were initiated and
settled, and whom they involved -- and e-mail communications
between Sept. 1 and Sept. 19, when certain financial markets came
close to freezing up.

Bloomberg News relates that the Federal Bureau of Investigation is
probing the financial troubles of AIG, Lehman Brothers, Fannie Mae
and Freddie Mac.  Evan Perez at WSJ relates that law enforcement
officials said that the FBI's preliminary inquiries are focusing
on whether fraud helped cause some of the troubles at these four
companies.  According to WSJ, the U.S. Attorney in Brooklyn has
brought charges against brokers who allegedly tricked some
institutional investors into purchasing risky auction-rate
securities.

Based in New York City, American International Group Inc. --
http://www.aig.com/-- (NYSE: AIG) is an international insurance
and financial services organization, with operations in more than
130 countries and jurisdictions.  The company is engaged through
subsidiaries in General Insurance, Life Insurance & Retirement
Services, Financial Services and Asset Management.

The company's British headquarters are located on Fenchurch Street
in London, continental Europe operations are based in La Defense,
Paris, and its Asian HQ is in Hong Kong.  AIG owns Ocean Finance,
a United Kingdom based company providing home owner loans,
mortgages and remortgages.  AIG operates in the UK with the brands
AIG UK, AIG Life and AIG Direct.  It has about 3,000 employees,
and sponsors the Manchester United football club.  In response to
redemption demands, AIG Life (UK) suspended redemptions of its AIG
Premier Bond money market fund on Sept. 19, 2008, in order to
provide an orderly withdrawal of assets.

The Federal Reserve Bank of New York has extended to AIG a
revolving credit facility up to US$85 billion. AIG's borrowings
under the revolving credit facility will bear interest, for each
day, at a rate per annum equal to three-month Libor plus 8.50%.
The revolving credit facility will have a 24-month term and will
be secured by a pledge of assets of AIG and various subsidiaries.
The revolving credit facility will contain affirmative and
negative covenants, including a covenant to pay down the facility
with the proceeds of asset sales.

The summary of terms also provides for a 79.9% equity interest in
AIG. The corporate approvals and formalities necessary to create
this equity interest will depend upon its form.

In a statement, the company said "AIG is a solid company with over
US$1 trillion in assets and substantial equity, but it has been
recently experiencing serious liquidity issues."

Standard & Poor's Ratings Services has revised the CreditWatch
status of most of its ratings on the AIG group of companies --
including its 'A-' long-term counterparty credit ratings on
American International Group Inc. and International Lease Finance
Corp. and the 'A+' counterparty credit and financial strength
ratings on most of AIG's insurance operating subsidiaries -- to
CreditWatch developing from CreditWatch negative.

Fitch Ratings revised its Rating Watch on American International
Group, Inc. to Evolving from Negative.  Fitch viewed this
transaction as a favorable development that alleviates significant
near-term liquidity concerns.

The Troubled Company Reporter reported on Sept. 19, 2008 that that
Edward Liddy replaced Robert Willumstad as AIG's CEO.

                    *     *     *

In a U.S. Securities and Exchange Commission filing dated Aug. 6,
2008, AIG reported a net loss for the second quarter of 2008 of
US$5.36 billion compared to 2007 second quarter net income of
US$4.28 billion.  Second quarter 2008 adjusted net loss was
US$1.32 billion, compared to adjusted net income of US$4.63
billion for the second quarter of 2007.  The continuation of the
weak U.S. housing market and disruption in the credit markets, as
well as global equity market volatility, had a substantial adverse
effect on AIG's results in the second quarter.

Net loss for the first six months of 2008 was US$13.16 billion,
compared to net income of US$8.41 billion in the first six months
of 2007.  Adjusted net loss for the first six months of 2008 was
US$4.88 billion, compared to adjusted net income of US$9.02
billion in the first six months of 2007.


B.M. OPTICAL: Creditors and Contributories to Meet on October 10
----------------------------------------------------------------
The creditors and contributories of B.M. Optical International
Company Limited will hold their annual meeting on October 10,
2008, at 3:00 p.m., at the office of Ferrier Hodgson Limited,
14th Floor of The Hong Kong Club Building, 3A Chater Road, in
Central, Hong Kong.

At the meeting, Roderick John Sutton, the company's liquidator,
will give a report on the company's wind-up proceedings and
property disposal.


CITIBAGS & LUGGAGE: Placed Under Voluntary Liquidation
------------------------------------------------------
At an extraordinary general meeting held on September 18, 2008,
the members of Citibags & Luggage Manufacturing Limited resolved
to voluntarily wind up the company's operations.

The company's liquidator is:

         Lau Kwok Kwong
         Tung Ming Building, Room 1202
         42 Des Voeux Road Central
         Hong Kong


EASY FASHION: Seng and Lo Cease to Act as Liquidators
-----------------------------------------------------
On September 8, 2008, Natalia K M Seng and Susan Y H Lo stepped
down as liquidators of Easy Fashion Company Limited.

The company's former Liquidators can be reached at:

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


HONG KONG FILM: Appoints Mak Yuen Mei as Liquidator
---------------------------------------------------
On September 19, 2008, Mak Yuen Mei was appointed liquidator of
Hong Kong Film & Television Producers Association Limited.

The Liquidator can be reached at:

        Mak Yuen Mei
        Blissful Building, Room 403
        243-247 Des Voeux Road Central
        Hong Kong


JIA HE: Placed Under Voluntary Liquidation
------------------------------------------
At an extraordinary general meeting held on September 26, 2008,
the members of Jia He Company Limited resolved to voluntarily wind
up the company's operations.

Ho Miu Ki was appointed as liquidator.

The Liquidator can be reached at:

         Ho Miu Ki
         Office Tower, Room 4908
         Convention Plaza
         1 Harbour Road
         Wanchai, Hong Kong


MAK KEE: Placed Under Voluntary Liquidation
-------------------------------------------
At an extraordinary general meeting held on September 10, 2008,
the members of Mak Kee Deep Blue Pump Limited agreed to
voluntarily wind up the company's operations.

The company's liquidator is:

         Kwok Yiu Cheong
         Knutsford Commercial Building, Room 1105
         5 Knutsford Terrace
         Kowloon, Hong Kong


PARAFIELD HOLDINGS: Creditors' Proofs of Debt Due on November 3
---------------------------------------------------------------
The creditors of Parafield Holdings Limited are required to file
their proofs of debt by November 3, 2008, to be included in the
company's dividend distribution.

The company's liquidator is:

         Lo Cheng Shu Chin
         Fortune Well Height
         1st Floor, Flat A
         152 Boundary Street
         Kowloon, Hong Kong


WIDERS DEVELOPMENT: Appoints Li Wai Chi Franky as Liquidator
------------------------------------------------------------
At an extraordinary general meeting held on September 23, 2008,
the members of Widers Development Limited appointed Li Wai Chi
Franky as the company's liquidator.

The Liquidator can be reached at:

         Li Wai Chi Franky
         Champion Building, Room 1213
         301-309 Nathan Road
         Jordan, Kowloon
         Hong Kong



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

BANK MANDIRI: Inks Deal With Semen Bosowa to Restructure Loans
--------------------------------------------------------------
Jakarta Post reports that Bank Mandiri signed an agreement with
cement maker PT Semen Bosowa on Sept. 25, 2008, to restructure its
IDR1.7 trillion (US$183.6 million) debt to the bank.

"We have decided to restructure the debt because Bosowa's cement
business is deemed prospective," Bank Mandiri Managing Director
for Special Asset Management Abdul Rachman was quoted by The Post
as saying.

Under the agreement, Semen Bosowa will prioritize the payment of
the loan principal amounting to IDR526 billion until 2012 with an
interest rate of 12% per annum, the report says.

The Post relates that Bosowa will start making installments
starting in 2013 until 2015 for the remaining IDR1.2 trillion,
which include penalties and currency depreciation costs.  Should
Bosowa fail to pay within the schedule, Bank Mandiri has the right
to take 30% of the company's stake.

Bosowa is also required to pay 10% per year of the total penalty
since the loan was disbursed, The Post added.

The deal has not only eased the bad loan of Bank Mandiri, but has
also provided leverage for Bosowa, which is controlled by tycoon
Aksa Mahmud, Vice President Jusuf Kalla's brother-in-law and now
close confidant, the report noted.

According to the report, Bosowa's parent, Bosowa Group, secured
the loans worth IDR526.3 billion in 1996 to build its 1.8-million
ton cement plant in South Sulawesi.  However, after the 1997 Asian
financial crisis, the loans ballooned by 250% to IDR1.7 trillion
following the steep depreciation of the rupiah against the U.S.
dollar, sending the Group into default.

The loan was disbursed by a syndication of three state banks with
Bank Mandiri held the biggest portion of 60%, while Bank Negara
Indonesia 36% and Bang Tabungan Negara 4%, The Post noted.

                           About Bosowa

PT Semen Bosowa, an acronym of three regencies in South Sulawesi;
Bone-Soppeng-Wajo, formed its roots back in the 1970s as the sole
distributor of Mitsubishi vehicles.

                        About Bank Mandiri

PT Bank Mandiri -- http://www.bankmandiri.co.id/-- is
Indonesia's largest and best capitalized bank in terms of
assets, loans and deposits, and provides comprehensive financial
services to more than six million corporate and individual
consumers, as well as small and medium-sized enterprises in
Indonesia.

                        *     *     *

The Troubled Company Reporter-Asia Pacific reported on Dec. 7,
2007, that Fitch Ratings upgraded the Individual Rating of PT
Bank Mandiri (Persero) Tbk (Mandiri) to 'C/D' from 'D', and its
National Long-term rating to 'AA+ (idn)' from 'AA (idn)'.  The
outlook on the national rating remains stable.

At the same time, Fitch affirmed the company's Long-term foreign
and local currency Issuer Default ratings at 'BB-' with a
Positive Outlook, Short-term IDR at 'B' and Support Floor at
'B+'.

On Oct. 19, 2007, Moody's Investors Service raised Bank
Mandiri's foreign currency senior/subordinated debt ratings
to Ba2/Ba2 from Ba3/Ba3 and foreign currency long- term deposit
rating to B1 from B2.


* INDONESIA: To Penalize 14 Companies for Breach of Labor Law
-------------------------------------------------------------
The government of Indonesia will punish 14 companies in West and
Central Java for failure to provide workers' insurance, thus
violating the Labor Law, Jakarta Post reports.

"I have written letter to the minister for state enterprises to
give warnings to the companies," Minister of Manpower and
Transmigration Erman Suparno was quoted by The Post as saying.

Mr. Suparno told The Post that most of the companies were engaged
in cigarette and textile industry, while one is a state-owned
company.

The minister said he gave the companies several months to fulfill
their obligation to their workers before he would give harsher
punishment, the report adds.



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

GENERAL MOTORS: Delphi Wants to Shift US$3.4BB in Pension Debts
-------------------------------------0-------------------------
Delphi Corp will ask the U.S. Bankruptcy Court for the Southern
District of New York to shift US$3.4 billion in pension
liabilities to General Motors Corp., David McLaughlin at Dow Jones
Newswires reports.

According to Dow Jones, the Hon. Robert Drain U.S. Bankruptcy
Court for the Southern District of New York granted Delphi
permission on Tuesday to freeze contributions to pension plans for
hourly and salaried workers, despite an objection by the Committee
of Unsecured Creditors.

Dow Jones relates that Delphi will freeze the pension plan for
salaried workers on Sept. 30,2008.  Delphi, says Dow Jones, will
freeze the pension plan for hourly workers as soon as an agreement
can be reached with labor unions.

Delphi said that it will save US$4 million per quarter by freezing
the pension plan for hourly workers and US$26 million per quarter
by freezing the plan for salaried workers, Dow Jones states.
Christopher Scinta at Bloomberg News reports that court documents
indicate that each month the hourly pension plan costs Delphi
about US$1 million.

Delphi will provide workers with replacement plans based on
defined contributions by the company, Dow Jones says.

According to Dow Jones, Robert Rosenberg, an attorney for the
creditors committee, said that the plan for top executives should
be approved as part of Delphi's bankruptcy plan.  "Of all the
times to lock in a new program given what's going on in the auto
industry and the capital markets with no knowledge of what reality
is going to look like tomorrow let alone in a year, the timing is
just not appropriate," Dow Jones quoted Mr. Rosenberg as saying.

"It would be patently unreasonable" to create replacement plans
for everyone except 460 top executives, Bloomberg says, citing
Delphi attorney John Butler Jr.

Bloomberg relates that the creditors committee is also opposing
revised agreements that increase the financial contributions GM
will make to Delphi as part of its reorganization to US$10.6
billion from US$6 billion.  Attorneys from Latham & Watkins
representing the creditors said in a court filing that Delphi will
"give away control over the Chapter 11 plan process to GM" in
exchange for financing.

Bloomberg reports that the Court must approve the changes by the
end of September if GM is to take on US$3.4 billion of Delphi's
pension liabilities to block the federal Pension Benefit Guaranty
Corp. from putting a lien on Delphi's foreign assets.

The Court adjourned a hearing amending the GM agreements until
Sept. 25, Bloomberg states.

                   About General Motors

Headquartered in Detroit, Michigan, General Motors Corp. (NYSE:
GM) -- http://www.gm.com/-- was founded in 1908.  GM
employs about 266,000 people around the world and manufactures
cars and trucks in 35 countries.  In 2007, nearly 9.37 million GM
cars and trucks were sold globally under the following brands:
Buick, Cadillac, Chevrolet, GMC, GM Daewoo, Holden, HUMMER, Opel,
Pontiac, Saab, Saturn, Vauxhall and Wuling.  GM's OnStar
subsidiary is the industry leader in vehicle safety, security and
information services.

General Motors Corporation offers products under the Chevrolet
brand in India through its wholly owned subsidiary, General Motors
India.  GM India has 95 sales points and over 110 service centers.

General Motors Latin America, Africa and Middle East, with
headquarters in Miramar, Florida, is one of GM's four regional
business units.  GM LAAM employs approximately 37,000 people in
18 countries and has manufacturing facilities in Argentina,
Brazil, Colombia, Ecuador, Egypt, Kenya, South Africa and
Venezuela.  GM LAAM markets vehicles under the Buick,
Cadillac, Chevrolet, GMC, Hummer, Isuzu, Opel, Saab and
Suzuki brands.

At June 30, 2008, the company's balance sheet showed total assets
of US$136.0 billion, total liabilities of US$191.6 billion, and
total stockholders' deficit of US$56.9 billion.  For the quarter
ended June 30, 2008, the company reported a net loss of US$15.4
billion over net sales and revenue of US$38.1 billion, compared to
a net income of US$891.0 million over net sales and revenue of
US$46.6 billion for the same period last year.

                      About Delphi Corp.

Based in Troy, Michigan, Delphi Corporation (PINKSHEETS: DPHIQ)
-- http://www.delphi.com/-- is the single supplier of vehicle
electronics, transportation components, integrated systems and
modules, and other electronic technology.  The company's
technology and products are present in more than 75 million
vehicles on the road worldwide.  Delphi has regional
headquarters in Japan, Brazil and France.

The company filed for Chapter 11 protection on Oct. 8, 2005
(Bankr. S.D.N.Y. Lead Case No. 05-44481).  John Wm. Butler Jr.,
Esq., John K. Lyons, Esq., and Ron E. Meisler, Esq., at Skadden,
Arps, Slate, Meagher & Flom LLP, represent the Debtors in their
restructuring efforts.  Robert J. Rosenberg, Esq., Mitchell A.
Seider, Esq., and Mark A. Broude, Esq., at Latham & Watkins LLP,
represent the Official Committee of Unsecured Creditors.  As of
June 30, 2008, the Debtors' balance sheet showed US$9,162,000,000
in total assets and US$23,742,000,000 in total debts.

The Court approved Delphi's First Amended Joint Disclosure
Statement and related solicitation procedures for the
solicitation of votes on the First Amended Plan on Dec. 20,
2007.  The Court confirmed the Debtors' First Amended Plan on
Jan. 25, 2008.  The Plan has not been consummated after a group
led by Appaloosa Management, L.P., backed out from their
proposal to provide US$2,550,000,000 in equity financing to
Delphi.

(Delphi Bankruptcy News; Bankruptcy Creditors' Service Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


GENERAL MOTORS: May Lack Cash, Hires Outsider to Help Cut Costs
---------------------------------------------------------------
Sharon Terlep at The Wall Street Journal reports that General
Motors Corp. has hired an outside company to help find ways to
reduce spending.  GM didn't name the company.

According to WSJ, GM is acccelerating its US$10 billion cost-
cutting plan.  WSJ relates that GM investors are concerned that
the company's cash is insurricient to withstand the current
downturn, sparked by the company's latest move to draw US$3.5
billion from its credit facilities.  GM's Treasurer Walter Borst
explained that GM made the move because of turmoil in financial
markets and "it seemed like a good time to take the money in house
and make sure it was available if and when we need it," WSJ says.
Mr. Borst said that GM remains on track to boost its liquidity by
US$15 billion by 2009 through cost cuts, asset sales, and by
tapping financial markets, WSJ states.

As part of plans to raise US$4 billion through asset sales, GM is
looking to sell a parts factory in Strasbourg, France, along with
GM's Hummer truck brand, WSJ says, citing Mr. Borst.  According to
the report, Mr. Borst said GM is considering to sell other assets
and will disclose plans in the fourth quarter.

WSJ reports that GM is on schedule with its plan to cut
US$1.5 billion in costs by year-end and will make further custs
in 2008.  GM, says WSJ, has already reduced production,
suspending plans to develop a next generation of pickup truck.

                   About General Motors

Headquartered in Detroit, Michigan, General Motors Corp. (NYSE:
GM) -- http://www.gm.com/-- was founded in 1908.  GM
employs about 266,000 people around the world and manufactures
cars and trucks in 35 countries.  In 2007, nearly 9.37 million
GM cars and trucks were sold globally under the following
brands: Buick, Cadillac, Chevrolet, GMC, GM Daewoo, Holden,
HUMMER, Opel, Pontiac, Saab, Saturn, Vauxhall and Wuling.  GM's
OnStar subsidiary is the industry leader in vehicle safety,
security and information services.

General Motors Corporation offers products under the Chevrolet
brand in India through its wholly owned subsidiary, General Motors
India.  GM India has 95 sales points and over 110 service centers.

General Motors Latin America, Africa and Middle East, with
headquarters in Miramar, Florida, is one of GM's four regional
business units.  GM LAAM employs approximately 37,000 people in
18 countries and has manufacturing facilities in Argentina,
Brazil, Colombia, Ecuador, Egypt, Kenya, South Africa and
Venezuela.  GM LAAM markets vehicles under the Buick,
Cadillac, Chevrolet, GMC, Hummer, Isuzu, Opel, Saab and
Suzuki brands.

At June 30, 2008, the company's balance sheet showed total
assets of US$136.0 billion, total liabilities of US$191.6 billion,
and total stockholders' deficit of US$56.9 billion.  For the
quarter ended June 30, 2008, the company reported a net loss of
US$15.4 billion over net sales and revenue of US$38.1 billion,
compared to a net income of US$891.0 million over net sales and
revenue of US$46.6 billion for the same period last year.

As reported in the Troubled Company Reporter on Sept. 24, 2008,
Fitch Ratings downgraded the Issuer Default Rating of General
Motors by one notch to 'CCC' from 'B-', due to diminishing
liquidity and lack of access to capital.  In Fitch's previous
downgrade, Fitch stated that diminished capacity to refinance
short-term maturities, or Fitch projections that GM would drop
below US$15 billion in cash could be cause for further
downgrades.


TATA MOTORS: Clarifies Jaguar Land Rover Financial Performance
--------------------------------------------------------------
Tata Motors Limited denied media reports that its Jaguar Land
Rover unit incurred a US$383 million loss for the period Jan. 1,
2008, to June 1, 2008.

The automaker clarified that the earnings before interest and tax
(EBIT, prior to adjustments) represents the performance of the
Jaguar Land Rover operations for the period Jan. 1, 2008, to June
1, 2008, and for June 1, 2008, to June 30, 2008.

The relevant EBIT (prior to adjustments) for the period Jan. 1,
2008, to June 1, 2008, was US$625 million.  Relevant EBIT (prior
to adjustments) for the period June 2, 2008, to June 30, 2008, was
US$63 million.

According to Tata Motors, as explained in a letter of offer dated
Sept. 18, 2008, adjustments and provision for tax figures,
indicated below EBIT (prior to adjustments), primarily relate to
Ford Motor consolidation or accounting adjustments and hence are
not reflective of Jaguar Land Rover's business performance.

Tata Motors explains that the acquisition for Jaguar Land Rover's
business, which was part of Ford Motor's operation, was
consummated on June 2, 2008, and the purchase consideration of
US$2.3 billion was decided on a "cash free debt free basis" and
hence such purchase consideration amount remains unaffected by the
payment of dividends to Ford prior to acquisition by Tata Motors.

                       About Tata Motors

India's largest automobile company, Tata Motors Limited --
http://www.tatamotors.com/-- is mainly engaged in the business
of automobile products consisting of all types of commercial and
passenger vehicles, including financing of the vehicles sold by
the company.  The company's operating segments consists of
Automotive and Others.  In addition to its automotive products,
it offers construction equipment, engineering solutions and
software operations.  TML is listed on the Bombay Stock
Exchange, the National Stock Exchange of India and New York
Stock Exchange.  It was ultimately 33.4% owned by the Tata Group
as of December 2007.

Tata Motors has operations in Russia and the United Kingdom.

                          *     *     *

As reported in the Troubled Company Reporter-Asia Pacific on
July 9, 2008, Standard & Poor's Ratings Services kept its 'BB'
corporate credit rating on India's Tata Motors Ltd. on
CreditWatch with negative implications, pending finalization of
the long-term financing plans for funding the company's purchase
of Jaguar and Land Rover from Ford Motor Co. (B/Watch Neg/--).
At the same time, Standard & Poor's ratings on all Tata Motors'
rated debt remain on CreditWatch with negative implications.

The rating on Tata Motors was lowered on April 4, 2008, to 'BB',
from 'BB+', after the announcement of the agreement with Ford
Motor Co. for the purchase of Jaguar and Land Rover.  Tata
Motors has paid about US$2.3 billion in cash for Jaguar and Land
Rover (comprising brands, plants, and intellectual property
rights).  Ford has contributed US$600 million to the Jaguar-Land
Rover (JLR) pension plans.

As reported in the Troubled Company Reporter-Asia Pacific on
June 4, 2008, Moody's Investors Service downgraded the
corporate family rating of Tata Motors Ltd to Ba2 from Ba1
following the completion of its acquisition of Ford's Jaguar
Land Rover.  The rating outlook is negative.


TATA MOTORS: Sells 1.3% Stake in Tata Steel to Fund JLR Buyout
--------------------------------------------------------------
Tata Motors Limited reduced its stake in Tata Steel Limited to 3
percent Friday last week by selling 10 million shares or about 1.3
per cent stake in the steel company, Business Standard reports.
The shares were sold to Tata Sons, the group's holding company, at
Rs 487 apiece.  The automaker raised Rs 487 crore from the
transaction.

Proceeds from the sale will be used to partly fund Tata Motor's
US$2.3-billion acquisition of Ford Motor's UK-based Jaguar-Land
Rover unit.

According to Business Standard, Tata Motors earlier said it would
sell its investment in group companies and other units, raise debt
overseas and sell rights shares to raise money for the
acquisition.

The Economic Times reports that Tata Motors is learnt to have
initiated talks with private equity funds to sell up to 25% stake
each in its six profit-making unlisted subsidiaries Tata Daewoo
Commercial Vehicle Company, HV Excels, HV Transmissions, Tata
Motors Finance, Tata Technologies and Telco Construction
Equipment.  A banker close to the development told The Economic
Times the move is part of the company's plan to raise Rs 3,000
crore through divestment of stakes in its subsidiaries and selling
shares in listed firms.

The same report says the automaker is also raising Rs 4,200 crore
through a simultaneous, but unlinked rights issue to finance the
Jaguar Land Rover acquisition.  The rights offer will open for
subscription today, Sept. 29, 2008,
Business Standard says.

Business Standard relates Tata Motors had earlier planned to raise
Rs 7,200 crore from selling rights shares, but revised the issue
size after market conditions turned volatile.

Tata Motors recently earned a profit of more than Rs 138 crore
after selling 15% stake each in subsidiaries HV Axles and HV
Transmissions to Tata Capital, Business Standard adds.

                         About Tata Steel

Headquartered in Mumbai, India, Tata Steel Limited --
http://www.tatasteel.com/--  is a diversified steel producer.
It has operations in 24 countries and commercial presence in
over 50 countries.  Its operations predominantly relate to
manufacture of steel and ferro alloys and minerals business.
Other business segments comprises of tubes and bearings.  Tata
Metaliks Limited, which is engaged in the business of
manufacturing and selling pig iron, became a subsidiary of the
Company with effect from February 1, 2008.

                          *     *     *

Tata Steel Limited continues to carry a "BB" Standard & Poor's
rating on its of US$750 million and US$500 million senior
unsecured bank loans.

The company also carries a "Ba1" corporate family rating from
Moody's.

                        About Tata Motors

India's largest automobile company, Tata Motors Limited --
http://www.tatamotors.com/-- is mainly engaged in the business
of automobile products consisting of all types of commercial and
passenger vehicles, including financing of the vehicles sold by
the company.  The company's operating segments consists of
Automotive and Others.  In addition to its automotive products,
it offers construction equipment, engineering solutions and
software operations.  TML is listed on the Bombay Stock
Exchange, the National Stock Exchange of India and New York
Stock Exchange.  It was ultimately 33.4% owned by the Tata Group
as of December 2007.

Tata Motors has operations in Russia and the United Kingdom.

                          *     *     *

As reported in the Troubled Company Reporter-Asia Pacific on
July 9, 2008, Standard & Poor's Ratings Services kept its 'BB'
corporate credit rating on India's Tata Motors Ltd. on
CreditWatch with negative implications, pending finalization of
the long-term financing plans for funding the company's purchase
of Jaguar and Land Rover from Ford Motor Co. (B/Watch Neg/--).
At the same time, Standard & Poor's ratings on all Tata Motors'
rated debt remain on CreditWatch with negative implications.

The rating on Tata Motors was lowered on April 4, 2008, to 'BB',
from 'BB+', after the announcement of the agreement with Ford
Motor Co. for the purchase of Jaguar and Land Rover.  Tata
Motors has paid about US$2.3 billion in cash for Jaguar and Land
Rover (comprising brands, plants, and intellectual property
rights).  Ford has contributed US$600 million to the Jaguar-Land
Rover (JLR) pension plans.

As reported in the Troubled Company Reporter-Asia Pacific on
June 4, 2008, Moody's Investors Service downgraded the
corporate family rating of Tata Motors Ltd to Ba2 from Ba1
following the completion of its acquisition of Ford's Jaguar
Land Rover.  The rating outlook is negative.


TATA MOTORS: CRISIL Cuts 3 Securitization Deals, Reaffirms 12
-------------------------------------------------------------
CRISIL has revised its outstanding ratings/credit opinions on
three securitisation transactions originated by Tata Motors
Limited (TML).  The transactions are backed by vehicle loan
receivables.  The credit opinion on acquirer's payouts assigned
under 'Assignment of Receivables - June 2006' transaction has been
revised to 'A(so)' from 'AA(so)'.  The rating on Series A2 and
Series A3 pass through certificates (PTCs ) issued under 'BHPC
Auto Securitisation Trust - August 2006 I' transaction has been
revised to 'A(so)' from 'AAA(so)'.  The credit opinion on
acquirer's payouts assigned under 'Assignment of Receivables – Sep
II 2007' transaction has been revised to 'AA(so)' from 'AAA(so)';
however the credit opinion assigned to the second loss facility
for the transaction has been reaffirmed at 'BBB(so)'.

A rating/credit opinion of 'AA(so)' indicates 'high degree' of
safety regarding timely payment of financial obligations.  A
rating/credit opinion of 'A(so)' indicates 'adequate degree' of
safety regarding timely payment of financial obligations.  A
rating/credit opinion of 'BBB(so)' indicates 'moderate'safety
regarding timely payment of financial obligations.

The two transactions of 2006, where rating/credit opinion has been
revised, have witnessed close to 24 months performance post
securitisation; the cumulative collection ratio (CCR) of these
deals at around 90 per cent is significantly lower than expected.
The weak collection performance has led to higher-than-expected
utilisation at around 40 per cent of the stipulated credit
enhancement.

The September 2007 transaction has witnessed 10 months performance
post securitisation; the CCR at around 90 per cent is lower than
expected.  While the utilisation of the credit enhancement is
currently moderate at around 10 per cent, the delinquency levels
in the pool are relatively high.  Unlike the rated acquirer's
payouts, the second loss facility has an ultimate payment
structure, wherein the second loss facility provider should be
paid off by the legal final maturity of the transaction.
Recoveries from the peak shortfall levels will reduce the ultimate
losses.  This provides protection to the second loss facility.
Based on this structural feature and the available first loss
facility, CRISIL has reaffirmed its credit opinion on the second
loss facility.

CRISIL has revised its ratings/credit opinions on these
transactions given the lower-than-expected collection performance
and higher delinquency levels.

The ratings/credit opinions on the other pools originated by TML
have been reaffirmed as the current credit protection available to
the investor is commensurate with the outstanding ratings/credit
opinions.

CRISIL says the combined retail finance portfolio of TML and Tata
Motors Finance Ltd (TMFL) has witnessed continued weakness.  The
180+ portfolio delinquency increased to 8.7 per cent in August
2008, from 6.2 per cent in September 2007.  The overall
disbursement in the vehicle financing business of TML and TMFL
stood at Rs.103 billion in 2007-08 (refers to financial year,
April 1 to March 31), as against Rs.94 billion in 2006-07.

The ratings/credit opinions reflect CRISIL's current view on the
expected shortfalls in these pools and the credit protection
available to the investors.  The ratings/credit opinions also
factors in some improvement in the collection performance as the
overdues in the pool build up.  A significant and sustained
improvement in collection performance in the transactions, over a
period of time, can potentially lead to an upward movement in the
ratings/credit opinions.  At the same time, a material increase in
expected shortfalls beyond currently envisaged levels could lead
to a further downward revision in the ratings/credit opinions.

                   Details of TML transactions

                    Instrument    Issue Size    Ratings/Credit
Deal Name            Details  (Rs. mn)     Opinions
---------          ----------    ----------    --------------
Assignment                                      AAA(so)
of Receivables      Acquirer's                  Equivalent
November 2005    payouts         3445.6   Reaffirmed

TML's Assignment                                A(so)
of Receivables      Acquirer's                  Equivalent
March 2006          payouts         1387.6   Reaffirmed *

BHPC Auto
Securitisation                                  AAA(so)
Trust May II 2006   Series A         5062.3   Reaffirmed *

                                                A(so)
TML's Assignment                                Equivalent
of Receivables      Acquirer's                  (Revised from AA
June 2006          payouts         3658.8   (so) Equivalent)

BHPC Auto
Securitisation                                  AA (so)
Trust July 2006    Series A3   1434.9   Reaffirmed *

BHPC Auto
Securitisation                                  AA (so)
Trust July 2006    Series A4   257.6   Reaffirmed *

BHPC Auto
Securitisation
Trust August                                   A(so) (Revised
2006 I         Series A2        990.6  from AAA(so))

BHPC Auto
Securitisation
Trust August                                   A(so) (Revised
2006 I         Series A3        447.3  from AAA(so)) *

TML's Assignment
of Receivables     Acquirer's                   AA (so) Equiv'lnt
October 2006   payouts        3533.9  Reaffirmed *

TML's Assignment                               AAA(so) 1
of Receivables     Acquirer's                  Equivalent
July 2007         payouts        1769.1  Reaffirmed

TML's Assignment                               AAA(so)1
of Receivables     Acquirer's                  Equivalent
August I 2007   payouts        3386.4  Reaffirmed

TML's Assignment                               BBB(so) 1
of Receivables     Second Loss                 Equivalent
August I 2007      Facility         362.3  Reaffirmed

BHPC Auto
Securitisation
Trust                                          P1+(so) 1
September 2007-II  Series A1         553.5  Reaffirmed

BHPC Auto
Securitisation
Trust                                          AAA(so) 1
September 2007-II  Series A2        1223.6  Reaffirmed

BHPC Auto
Securitisation                                 BBB(so) 1
Trust              Second Loss                 Equivalent
September 2007-II  Facility         250.5  Reaffirmed

TML's Assignment                               AA(so)1
of Receivables     Acquirer's                  Equivalent
September II 2007  payouts         1849  (Revised from AAA
                                               (so)1Equivalent)

TML's Assignment                               BBB(so)1
of Receivables     Second Loss                 Equivalent
September II 2007  Facility         208.9  Reaffirmed

TML's Assignment                               AAA(so)1
of Receivables     Acquirer's                  Equivalent
September IV 2007  payouts         2293.2  Reaffirmed

TML's Assignment                               BBB(so)1
of Receivables     Second Loss                 Equivalent
September IV 2007  Facility         392.1  Reaffirmed

BHPC Auto
Securitisation
Trust
November                                       AAA(so)1
2007- II         Series A1        1665.9  Reaffirmed

BHPC Auto
Securitisation
Trust
November                                       AAA(so)1
2007- II         Series A2        1159.5  Reaffirmed

BHPC Auto
Securitisation
Trust                                          BBB(so)1
November           Second Loss                 Equivalent
2007- II         Facility         353.2  Reaffirmed

BHPC Auto
Securitisation
Trust
November                                       AAA(so)1
2007- I         Series A1         2347.7  Reaffirmed

BHPC Auto
Securitisation
Trust
November                                       AAA(so)1
2007- I         Series A2         200.1  Reaffirmed

BHPC Auto
Securitisation
Trust                                          BBB(so)1
November           Second Loss                 Equivalent
2007- I         Facility         305.7  Reaffirmed

BHPC Auto
Securitisation
Trust December                                 AAA(so) 1
2007- I         Series A1         2351.2  Reaffirmed

BHPC Auto
Securitisation
Trust-December                                 AAA(so) 1
2007- I         Series A2         1247.5  Reaffirmed

BHPC Auto
Securitisation
Trust-December                                 AAA(so)1
2007- I         Series A3         1003.7  Reaffirmed

BHPC Auto
Securitisation
Trust-December                                 AAA(so)1
2007- I         Series A4         52        Reaffirmed

BHPC Auto
Securitisation                                 BBB(so)1
Trust-December     Second Loss                 Equivalent
2007- I         Facility          451.2  Reaffirmed

* Axis Bank Ltd (ABL) is the trustee / acquirer's representative
for the transaction.  The common independent director on the
boards of CRISIL and Axis Bank Ltd (ABL) did not participate in
the process of assigning this rating / credit opinion.

1 Ratings/Credit opinions are provisional and would become valid
once the legal documentation pertaining to the transaction is duly
executed to the satisfaction of CRISIL.  Consequently, CRISIL will
issue a compliance letter.

                       About Tata Motors

India's largest automobile company, Tata Motors Limited --
http://www.tatamotors.com/-- is mainly engaged in the business
of automobile products consisting of all types of commercial and
passenger vehicles, including financing of the vehicles sold by
the company.  The company's operating segments consists of
Automotive and Others.  In addition to its automotive products,
it offers construction equipment, engineering solutions and
software operations.  TML is listed on the Bombay Stock
Exchange, the National Stock Exchange of India and New York
Stock Exchange.  It was ultimately 33.4% owned by the Tata Group
as of December 2007.

Tata Motors has operations in Russia and the United Kingdom.

                          *     *     *

As reported in the Troubled Company Reporter-Asia Pacific on
July 9, 2008, Standard & Poor's Ratings Services kept its 'BB'
corporate credit rating on India's Tata Motors Ltd. on
CreditWatch with negative implications, pending finalization of
the long-term financing plans for funding the company's purchase
of Jaguar and Land Rover from Ford Motor Co. (B/Watch Neg/--).
At the same time, Standard & Poor's ratings on all Tata Motors'
rated debt remain on CreditWatch with negative implications.

The rating on Tata Motors was lowered on April 4, 2008, to 'BB',
from 'BB+', after the announcement of the agreement with Ford
Motor Co. for the purchase of Jaguar and Land Rover.  Tata
Motors has paid about US$2.3 billion in cash for Jaguar and Land
Rover (comprising brands, plants, and intellectual property
rights).  Ford has contributed US$600 million to the Jaguar-Land
Rover (JLR) pension plans.

As reported in the Troubled Company Reporter-Asia Pacific on
June 4, 2008, Moody's Investors Service downgraded the
corporate family rating of Tata Motors Ltd to Ba2 from Ba1
following the completion of its acquisition of Ford's Jaguar
Land Rover.  The rating outlook is negative.



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

CLAIRE'S STORES: Posts US$16.9 Mil. Net Loss in Qtr. Ended Aug. 2
-----------------------------------------------------------------
Claire's Stores, Inc., reported its financial results for the 2008
second quarter ending August 2, 2008, posting a net loss of
US$16.93 million on net sales of US$359.97 million.  Effective
with the fiscal quarter ended May 3, 2008, the company has changed
its fiscal year naming convention to coincide with the calendar
year in which the fiscal year begins.  Accordingly, the current
fiscal quarter is referred to as the 2008 second quarter and the
comparable prior year quarter is referred to as the 2007 second
quarter.

                    Second Quarter Results

The company reported net sales of US$360.0 million for the 2008
second quarter, a 1.5% decrease from the 2007 second quarter.  The
decrease was primarily attributable to a decline in same store
sales, partially offset by the growth in its new store base and
the effect of foreign currency translation.

Consolidated same store sales declined 5.8% in the 2008 second
quarter.  A decline in average transactions per store of 12.0%,
was partially offset by a 7.5% increase in average sales per
transaction.  The increase in sales per transaction reflects the
company's strategy to increase average ticket through good, better
and best price tiering.  The decline in the number of transactions
reflects both weaker mall traffic and less reliance on low margin,
low dollar value promotional transactions.  In North America, same
store sales decreased 8.1%, with sales at Claire's stores
declining less than at Icing stores.  European same store sales
declined 1.7%.  The company computes same store sales on a local
currency basis, which eliminates any impact from changes in
foreign exchange rates.

Chief Executive Officer Gene Kahn said, "In the second quarter, we
saw an improvement in the tone of business as our comparable store
sales improved during each month of the quarter and our
merchandise margin increased. We also successfully completed phase
one of our Pan-European Transformation project. As a result, we
now have an integrated team managing our European business, and a
more focused North American merchandising team, within which there
are now dedicated groups responsible for each of our Claire's and
Icing brands. We launched our Cost Savings Initiative during the
quarter and are on target to achieve our previously announced
goals of US$15 million of expense reductions this year and an
annualized amount in excess of US$40 million.

"I would also like to note, in the 14 months since the transaction
was completed, we have made significant progress in upgrading our
management team and refining our organizational structure,
creating a strong foundation to sustain us through this difficult
retail environment and positioning us to reach our performance
goals."

The gross profit percentage was flat at 49.9% for both 2008 and
2007 second quarters. A 290 basis point increase in the
merchandise margin was offset by an equal increase in occupancy
and buying costs. Excluding US$1.4 million of non-recurring costs
related to the PET project, gross profit percentage increased to
50.3%.

Selling, general and administrative expenses increased 7.2% to
US$132.4 million in the second quarter of Fiscal 2008 compared to
US$123.5 million in last year's comparable fiscal quarter.
Adjusting for changes in foreign exchange rates and excluding
US$2.0 million of non-recurring PET costs, US$1.7 million of
expense relating to CSI, and US$0.3 million of additional sponsor
management fees this fiscal quarter compared to the 2007 second
quarter, SG&A increased US$0.9 million or 0.7%.

Adjusted EBITDA in the 2008 second quarter was US$58.1 million
compared to US$64.3 million in the 2007 second quarter. The
company defines Adjusted EBITDA as earnings before interest,
income taxes, depreciation and amortization, excluding the impact
of transaction related costs incurred in connection with its May
2007 acquisition and other non-recurring or non-cash expenses, and
normalizing occupancy costs for certain rent-related adjustments.

At August 2, 2008 the company's US$200 million revolving credit
facility was undrawn and fully available aside from an ongoing
US$5.9 million letter of credit in connection with the company's
self-insured workers' compensation program. Cash and cash
equivalents were US$35.2 million.

During the 2008 second quarter, cash used in operating activities
was US$12.0 million, compared with cash used in operating
activities of US$59.5 million during the 2007 second quarter. The
change in cash used in operating activities was impacted by an
increase in operating income, due primarily to a decrease in
transaction-related costs, and a decrease in working capital,
partially offset by higher interest expense paid on the debt
incurred to fund the acquisition of the company. Capital
expenditures during the 2008 second quarter were US$16.0 million,
of which US$9.2 million related to new store openings and
remodeling projects. Capital expenditures during the 2007 second
quarter were US$24.6 million.

As of Aug. 2, 2008, the company's balance sheet showed
US$3,342,990,000 in total assets, US$2,542,492,000 in total
liabilities and US$568,759,000 in total stockholders' equity.

A full-text copy of the company's financial statements on Form 10-
Q is available for free at http://researcharchives.com/t/s?3282

                Amendment to Stock Incentive Plan

On September 9, 2008, the board of directors and stockholders of
Claire's Inc., the parent of Claire's Stores, Inc. adopted an
amendment to Parent's Amended and Restated Stock Incentive Plan to
increase the number of shares available for issuance to 8,200,000
shares.

                      About Claire's Stores

Headquartered in Pembroke Pines, Florida, Claire's Stores Inc.
(NYSE: CLE) -- http://www.clairestores.com/-- is a specialty
retailer of value-priced jewelry and accessories for girls and
young women through its two store concepts: Claire's and Icing.
While the latter operates only in North America, Claire's operates
worldwide.  As of May 3, 2008, Claire's Stores, Inc. operated
3,053 stores in North America and Europe.  Claire's Stores Inc.
also operates through its subsidiary, Claire's Nippon Co. Ltd.,
201 stores in Japan as a 50:50 joint venture with AEON Co. Ltd.
The company also franchises 169 stores in the Middle East, Turkey,
Russia, South Africa, Poland and Guatemala.

                         *     *     *

As reported in the Troubled Company Reporter on May 6, 2008,
Standard & Poor's Ratings Services lowered its corporate credit
rating on Claire's Stores Inc. to 'B-' from 'B'.  At the same
time, S&P lowered the ratings on the company's US$1.65 billion
senior secured credit facilities to 'B' from 'B+', its
US$600 million senior unsecured notes to 'CCC+' from 'B-', and its
US$335 million senior subordinated notes to 'CCC' from 'CCC+'.
The outlook is negative.

The TCR reported on July 29, 2008, that Moody's Investors Service
downgraded Claire's Stores, Inc.'s, ratings, including its
probability of default rating to Caa1 from B3 and speculative
grade liquidity rating to SGL-4 from SGL-3.  In addition, Claire's
long term ratings were placed on review for further possible
downgrade. The downgrade to Caa1 reflects Claire's weak operating
performance over the past two quarters that has led to
deterioration in its debt protection measures.  In particular,
EBITA to interest expense fell to 0.9 times for the lagging twelve
month period ending May 3, 2008. The review for further possible
downgrade reflects the high likelihood that Claire's debt
protection measures will get worse given the challenging economic
environment which makes the company highly susceptible to further
earnings and cash flow pressure.


DELPHI CORP: Gets Green Light to Halt Pension Contributions
-----------------------------------------------------------
David McLaughlin at Dow Jones Newswires reports that the Hon.
Robert Drain U.S. Bankruptcy Court for the Southern District of
New York granted Delphi Corp. permission on Tuesday to freeze
contributions to pension plans for hourly and salaried workers,
despite an objection by the Committee of Unsecured Creditors.

Dow Jones relates that Delphi will freeze the pension plan for
salaried workers on Sept. 30,2008.  Delphi, says Dow Jones, will
freeze the pension plan for hourly workers as soon as an agreement
can be reached with labor unions.

Delphi said that it will save US$4 million per quarter by freezing
the pension plan for hourly workers and US$26 million per quarter
by freezing the plan for salaried workers, Dow Jones states.
Christopher Scinta at Bloomberg News reports that court documents
indicate that each month the hourly pension plan costs Delphi
about US$1 million.

Delphi will provide workers with replacement plans based on
defined contributions by the company, Dow Jones says.

According to Dow Jones, Robert Rosenberg, an attorney for the
creditors committee, said that the plan for top executives should
be approved as part of Delphi's bankruptcy plan.  "Of all the
times to lock in a new program given what's going on in the auto
industry and the capital markets with no knowledge of what reality
is going to look like tomorrow let alone in a year, the timing is
just not appropriate," Dow Jones quoted Mr. Rosenberg as saying.

"It would be patently unreasonable" to create replacement plans
for everyone except 460 top executives, Bloomberg says, citing
Delphi attorney John W. Butler Jr., Esq.

Delphi will also ask the Court to shift US$3.4 billion in pension
liabilities to General Motors Corp., Dow Jones says.  Bloomberg
relates that the creditors committee is also opposing revised
agreements that increase the financial contributions GM will make
to Delphi as part of its reorganization to US$10.6 billion from
US$6 billion.  Attorneys from Latham & Watkins representing the
creditors said in a court filing that Delphi will "give away
control over the Chapter 11 plan process to GM" in exchange for
financing.

Bloomberg reports that the Court must approve the changes by the
end of September if GM is to take on US$3.4 billion of Delphi's
pension liabilities to block the federal Pension Benefit Guaranty
Corp. from putting a lien on Delphi's foreign assets.

The Court will hold a hearing amending the GM agreements until
Sept. 25, Bloomberg states.

                   About General Motors

Headquartered in Detroit, Michigan, General Motors Corp. (NYSE:
GM) -- http://www.gm.com/-- was founded in 1908.  GM
employs about 266,000 people around the world and manufactures
cars and trucks in 35 countries.  In 2007, nearly 9.37 million GM
cars and trucks were sold globally under the following brands:
Buick, Cadillac, Chevrolet, GMC, GM Daewoo, Holden, HUMMER, Opel,
Pontiac, Saab, Saturn, Vauxhall and Wuling.  GM's OnStar
subsidiary is the industry leader in vehicle safety, security and
information services.

General Motors Corporation offers products under the Chevrolet
brand in India through its wholly owned subsidiary, General Motors
India.  GM India has 95 sales points and over 110 service centers.

General Motors Latin America, Africa and Middle East, with
headquarters in Miramar, Florida, is one of GM's four regional
business units.  GM LAAM employs approximately 37,000 people in
18 countries and has manufacturing facilities in Argentina,
Brazil, Colombia, Ecuador, Egypt, Kenya, South Africa and
Venezuela.  GM LAAM markets vehicles under the Buick,
Cadillac, Chevrolet, GMC, Hummer, Isuzu, Opel, Saab and
Suzuki brands.

At June 30, 2008, the company's balance sheet showed total assets
of US$136.0 billion, total liabilities of US$191.6 billion, and
total stockholders' deficit of US$56.9 billion.  For the quarter
ended June 30, 2008, the company reported a net loss of US$15.4
billion over net sales and revenue of US$38.1 billion, compared to
a net income of US$891.0 million over net sales and revenue of
US$46.6 billion for the same period last year.

                      About Delphi Corp.

Based in Troy, Michigan, Delphi Corporation (PINKSHEETS: DPHIQ)
-- http://www.delphi.com/-- is the single supplier of vehicle
electronics, transportation components, integrated systems and
modules, and other electronic technology.  The company's
technology and products are present in more than 75 million
vehicles on the road worldwide.  Delphi has regional
headquarters in Japan, Brazil and France.

The company filed for Chapter 11 protection on Oct. 8, 2005
(Bankr. S.D.N.Y. Lead Case No. 05-44481).  John Wm. Butler Jr.,
Esq., John K. Lyons, Esq., and Ron E. Meisler, Esq., at Skadden,
Arps, Slate, Meagher & Flom LLP, represent the Debtors in their
restructuring efforts.  Robert J. Rosenberg, Esq., Mitchell A.
Seider, Esq., and Mark A. Broude, Esq., at Latham & Watkins LLP,
represent the Official Committee of Unsecured Creditors.  As of
June 30, 2008, the Debtors' balance sheet showed US$9,162,000,000
in total assets and US$23,742,000,000 in total debts.

The Court approved Delphi's First Amended Joint Disclosure
Statement and related solicitation procedures for the
solicitation of votes on the First Amended Plan on Dec. 20,
2007.  The Court confirmed the Debtors' First Amended Plan on
Jan. 25, 2008.  The Plan has not been consummated after a group
led by Appaloosa Management, L.P., backed out from their
proposal to provide US$2,550,000,000 in equity financing to
Delphi.

(Delphi Bankruptcy News; Bankruptcy Creditors' Service Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


SOJITZ CORP: Aims to Win Pipeline Project in Nigeria
----------------------------------------------------
Sojitz Corporation will conduct a feasibility study with state-run
Nigerian National Petroleum Corp. for a Nigerian natural gas
pipeline project with the aim of winning the whole contract which
is seen to be worth tens of billions of yen, Jiji Press reports.

The project, the report relates, calls for constructing a 100-
kilometer-long pipeline in southwestern Nigeria to supply natural
gas to the African country's western region that includes the
biggest city of Lagos.  The natural gas will be used as energy for
power generation.

According to the report, Sojitz Corp. will help Nigeria improve
its power supply abilities.

The planned pipeline represents the first project under the
Nigeria Gas Master Plan 2008, which the country drew up in
February, the report says.

                     About Sojitz Corporation

Headquartered in Tokyo, Japan, Sojitz Corporation --
http://www.sojitz.com/en/index.html-- is a trading company with
eight offices across the U.S.  Sojitz operates in approximately
50 countries around the world through roughly 500 subsidiaries
and affiliated companies.  Sojitz's business activities are
wide-ranging, from machinery and aerospace to textiles and food.

                           *     *     *

Sojitz Corporation still carries Makuni Credit Ratings' "B"
Mortage Debt Rating and "B" Senior Debt Rating.


* JAPAN: Credit Measure Improvements Halted in 2007, S&P Reports
----------------------------------------------------------------
The steady long-term improvement in the credit measures of
Japanese corporates came to a halt in fiscal 2007 with generally
flat year-on-year results, according to an annual survey by
Standard & Poor's Rating Services.  The annual survey of corporate
credit trends in Japan covers the key credit measures of 230
Japanese corporate entities, including 111 rated by S&P
(excluding general trading companies, financial institutions,
and nonbanks).  It also comprises corporate entities included in
the S&P/TOPIX 150 and the Mid100 indices, which are both part of
the S&P Japan 500 index (excluding general trading companies,
financial institutions, and nonbanks), over the five-year period
from fiscal 2003 to fiscal 2007 (mostly ended March 31, 2008).

Although Japanese corporates maintained year-on-year credit
measure levels in fiscal 2007, debt-related measures showed
marginal deterioration.  The pace in improvement of the five key
median financial ratios of all the companies analyzed in the
survey decelerated in fiscal 2005 and fiscal 2006.  As such, S&P
believes that the results of the fiscal 2007 annual survey
reflect the end of the continued trend of improvement in the
financial ratios of Japanese corporates, which began in fiscal
2002.

In fiscal 2007, corporate earnings were largely pressured by
rising energy and raw material prices, the downturn in the U.S.
economy triggered by the U.S. subprime loan issue, and plummeting
Japanese consumer confidence.  The impact of these factors was
particularly pronounced during the second half of fiscal 2007.
However, earnings measures did not take a significant beating
owing to Japanese corporates' heightened resistance toward
external factors, bolstered by efforts to enhance their business
and financial franchises over the last few years through
operational restructuring and structural reforms.

Meanwhile, debt-related measures, which include the ratio of funds
from operations to total debt and total debt to capital ratio,
deteriorated mainly due to rising debt levels.  Companies
are now more inclined to increase capital expenditures and
business investments to achieve strategic growth over the next
three to five years following improvements to their earnings base
through business restructuring, structural reforms, and debt
reduction over the past few years.  Many corporations have
launched strategic measures in response to the contraction of the
domestic market caused by the falling birthrate and the graying of
the Japanese population.  These measures include entry into
developing markets with the potential for demand growth, the shift
to higher value-added businesses, and the streamlining of
operations through the enhancement or renewal of facilities.

In the first quarter of fiscal 2008, the increasing impact of
rising oil prices, the stronger yen, and the economic slowdown
placed downward pressure on corporate earnings and the credit
measures of Japanese corporate entities.  This was due to the
increasing possibility that returns on investments made over the
last two years may now take longer than initially assumed to
recover.  This is against the backdrop of limited prospects for a
prompt improvement in the external business environment.

Nevertheless, S&P believes it unlikely that the credit measures
of Japanese corporate entities will deteriorate substantially over
the next two to three years and takes the view that their
credit quality will remain generally stable.  In fact, the
outlooks on the credit ratings of 92 of the 111 rated companies
surveyed are stable as of Sept. 23, 2008 (eight were positive, 10
were negative, and one was on CreditWatch with negative
implications).


* JAPAN: S&P Says 1 CMBS May Be Exposed to Re-Plus Bankruptcy
-------------------------------------------------------------
Standard & Poor's Ratings Services said that only one loan related
to failed re-plus inc. (not rated) is involved in a rated Japanese
CMBS transaction, according to information obtained through
interviews with servicers.  On Sept. 24, 2008, re-plus inc., an
asset manager of real estate funds and a rent guarantee provider,
filed for bankruptcy protection with the Tokyo District Court.
Bankruptcy proceedings commenced on the same day.

S&P conducted interviews with servicers to understand the possible
impact of re-plus inc.'s bankruptcy and to confirm if
there are rated CMBS transactions backed by loans related to the
company or its affiliates.  Generally, detailed information on
loans backing CMBS transactions is not disclosed.  This media
release aims to shed light on the potential impact of re-plus
inc.'s bankruptcy filing on rated CMBS transactions.

Through its interviews, S&P found that re-plus inc. or the
company's affiliate acted as a sponsor or asset manager in one
loan (with a current outstanding balance of JPY4.67 billion in the
rated portion) backing a rated CMBS transaction.  S&P will
examine the impact of re-plus inc.'s bankruptcy filing on the
transaction, based on various information including reports from
the loan's servicer.

In addition to managing real estate funds, re-plus inc. also
provided rent guarantee services, which were adopted in the
leasing agreements of some of the residential properties involved
in rated CMBS transactions.  However, this would have no impact on
the ratings of the relevant transactions because rent guarantors'
credit quality is not factored into S&P's rating analysis of the
transactions.



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

HYNIX SEMICONDUCTOR: Sells China JV Stake to Numonyx for US$100MM
-----------------------------------------------------------------
Hynix Semiconductor Inc. will sell its 10% stake in a Chinese
joint venture for US$100 million to Numonyx, as Numonyx seeks to
raise its control over the Hynix-led chip plant to one third,
Reuters reports.

After the sale, the report relates, Hynix will see its stake in
the Wuxi plant cut to 72.3% from 83.3%.

According to the report, Numonyx is also working with Hynix in a
five-year tie-up to develop NAND flash memory chips, used in hand-
held devices including cellphones, digital music players and
cameras.  Hynix said the transaction will be completed by the end
of this year.

                   About Hynix Semiconductor

Hynix Semiconductor Inc. (HSI) of Icheon, Korea --
http://www.hynix.com/-- is a memory semiconductor supplier
offering Dynamic Random Access Memory chips ("DRAMs") and Flash
memory chips to a wide range of established international
customers.  The company's shares are traded on the Korea Stock
Exchange, and the Global Depository shares are listed on the
Luxemburg Stock Exchange.

                          *     *     *

As reported by the Troubled Company Reporter-Asia pacific on
August 6, 2008, Moody's Investors Service changed to negative from
stable the outlook for both Hynix Semiconductor Inc's Ba2
corporate family rating and senior unsecured bond rating.


HYUNDAI MOTOR: Reaches Wage Deal With Union to End Dispute
----------------------------------------------------------
Hyundai Motor Company has reached agreement with its union to end
an employee strike, which costs the company more than US$600
million dollars in lost production, Agence France-Presse reports.

The report says some 95% of the 45,000 union members voted on the
deal covering working conditions and wages and endorsed it by a
54-43 margin.

On August 29, 2008, the Troubled Company Reporter-Asia Pacific,
citing Reuters, reported that unionized workers at Hyundai and Kia
Motors Corp launched another round of partial strikes over a wage
deal and working conditions.  Union members then told Reuters they
also planned to stage further partial strikes if they fail to
reach agreements with management.

That report said Hyundai's unionized workers started a two-
hour walkout on Aug. 27 which was expected to cost the company
1,998 vehicles in lost production.

"This year's negotiation was tougher than ever as we had some
difficult issues to resolve.   We will continue our efforts to
improve labor-management relations and establish a mature
negotiating culture by further developing a spirit of mutual
understanding and conciliation between the two sides," AFP cited a
Hyundai spokesman as saying.

According to the report, under the deal, the company will abolish
its all-night shift system in September next year, raise the
monthly base salary by 5.61% and pay a bonus equivalent to three
months' salary, and give a lump-sum payment of KRW3 million
(almost US$2,600).

The company's second-quarter net profit fell 10.6% year-on-year
despite record sales, due to foreign exchange losses on debt
repayments, while  April-June net profit was KRW546.9 billion
(US$475 million), down from KRW611.5 billion a year earlier, the
report says.

                     About Hyundai Motor

Headquartered in Seoul, South Korea, Hyundai Motor Company
-- http://www.hyundai-motor.com/-- has been selling cars in the
US since 1986, but it only started selling its heavy trucks
stateside in 1998.  Hyundai produces 14 models of cars, SUVs,
and minivans, as well as trucks, buses, and other commercial
vehicles.  The company reestablished itself as South Korea's
leading carmaker in 1998 by acquiring a 51% stake in Kia Motors
(since reduced to about 43%).  Hyundai's models for the North
American market include the Accent and Sonata; models sold
elsewhere include the GRD and Equus.  The company also
manufactures machine tools for factory automation and material-
handling equipment.

The Troubled Company Reporter-Asia Pacific reported that the
Hyundai Automotive Group is facing its deepest crisis since
chairman Chung Mong-koo took over in 1999, with problems like
the steep drop of the United States dollar, high oil prices and
union demands aggravated by a sweeping criminal investigation
regarding the carmaker's alleged creation of slush funds that
were used by at least two lobbyists to bribe government
officials for business favors, including having KRW55 billion of
Hyundai's bad debts written off.

Chairman Chung was indicted early in May 2006 for fraud charges.

Some of the group's official business has been on hold since the
probe on the slush fund started and several top executives were
summoned for questioning.

On Feb. 5, 2007, a South Korean court handed down the sentence
to Mr. Chung for illegally raising US$110 million in slush funds
and bribing government officials.  Mr. Chung was released on
bond and continues to run the auto conglomerate.

In May 2008, Yonhap News reported that a group of the company's
shareholders filed a civil case against Mr. Chung to claim
damages for heavy losses allegedly suffered through his
mismanagement and other corporate shenanigans.

According to the report, the shareholders, led by a civic group
called Solidarity for Economic Reform, filed the lawsuit with
the Seoul Central District Court, asking Mr. Chung to pay
KRW563 billion (US$537 million) in damages to Hyundai Motor.

The lawsuit came a day after prosecutors again demanded a six-
year jail term for Mr. Chung for embezzlement and breach of
trust, Yonhap said.


VIRGIN MOBILE: Appoints Two New Board Members From SK Telecom
-------------------------------------------------------------
Virgin Mobile USA, Inc., disclosed on Sept. 16, 2008, the
appointment of Richard Chin and Sungwon Suh to its board of
directors following Virgin Mobile USA's recent acquisition of
Helio LLC and SK Telecom's related investment in Virgin Mobile
USA.

"The addition of SK Telecom as a key strategic partner and
subsequent appointment of Sungwon and Richard to our board will
provide us with additional insight and experience with innovative
services, opening new avenues for Virgin Mobile USA to strengthen
its position in the market," said Dan Schulman, Virgin Mobile USA
CEO. "SK Telecom is the leading wireless provider in Korea and
known around the world for advancing the industry on a global
scale. We look forward to tapping into this expertise and personal
contributions of Sungwon and Richard. Both gentlemen have valuable
telecom industry experience that we are eager to acquire."

Richard Chin is President of SK Telecom Americas, a U.S.
subsidiary of SK Telecom. In this role, he oversees all U.S.
businesses, with a goal of developing various opportunities to
access and penetrate the market. In addition to developing a U.S.
market entrance strategy, Chin leads development in organic growth
engine solutions as well as new business opportunities in and
outside of the telecom industry. Prior to heading SK Telecom
Americas, he held several positions at Motorola, including
Corporate Vice President of Global Product Marketing and Business
Ventures & Development. Chin has also held senior positions at
Searle Pharmaceuticals, NutraSweet Company, Kraft Foods, and
Accenture; he holds a J.D. from John Marshall Law School and a
Bachelor's Degree from the University of Chicago.

Sungwon Suh is Executive Vice President, Head of Global Strategy
and Investment for SK Telecom. In this role, Sungwon oversees SK
Telecom's overall globalization drive via partnerships and M&A
activities. He was also a member of the board for Helio. Formerly
Senior Vice President of Corporate Development for SK Telecom, Suh
also served as Senior Vice President of Strategic Planning for SK
Group, one of Korea's leading conglomerates with interests in
energy, telecommunications, trading and distribution.  Prior to
joining SK Group, he was an associate partner at McKinsey
Consulting. Suh holds an MBA degree from Kellogg School,
Northwestern University.

The Troubled Company Reporter reported on Sept. 23, 2008, that SK
Telecom Co., Ltd. disclosed in a Securities and Exchange
Commission filing that it may be deemed to beneficially own
52,040,314 shares of Virgin Mobile USA, Inc.'s common stock,
representing 63.1% of the shares issued and outstanding.

                        About SK Telecom

SK Telecom -- http://www.sktelecom.com/-- is a wireless
communication provider in Korea, where it has more than 22 million
subscribers taking up more than 50% of the total market.  The
company established in 1984, reached KRW 11.28 trillion in revenue
in 2007.  SK Telecom was the first to launch and commercialize
CDMA, CDMA 2001x, CDMA EV-DO and HSDPA networks, and it currently
provides cellular, wireless internet, mobile media, global roaming
service and more.

                    About Virgin Mobile USA Inc.

Headquartered in Warren, New Jersey, Virgin Mobile USA Inc. (NYSE:
VM) -- http://www.virginmobileusa.com/-- is a provider of
wireless, pay-as-you-go communications services without annual
contracts.  Voice pricing plans range from monthly options with
unlimited nights and weekends to by-the-minute offers, allowing
consumers to adjust how and what they pay according to their
needs.  Virgin Mobiles full slate of handsets, including the Wild
Card, Super Slice and Cyclops, are available at top retailers in
more than 35,000 locations nationwide and online, with Top-Up
cards available at more than 130,000 locations.

As reported in The Troubled Company Reporter on Aug. 18, 2008, at
June 30, 2008, the company's balance sheet showed total assets of
US$255.1 million and total liabilities of US$656.1 million,
resulting in a US$400.9 million stockholders' deficit.



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

UBG: Inks Agreement With Mubadala to Set Up Exploration Company
---------------------------------------------------------------
On September 25, 2008, UBG Berhad entered into an Agreement with
Mubadala Development Company PJSC for a proposed joint venture to
set up a Malaysian exploration and production project company.
The equity ownership proportion between the two companies will be
50% each.

The proposed joint venture agreement is to explore for, develop,
operate, produce, treat and sell petroleum within Malaysia with an
initial focus in the States of Terengganu, Sarawak and Sabah.  It
is the intention of Mubadala and UBG to procure the respective
State Governments to co-invest in the project company.  UBG and
Mubadala will undertake negotiations to finalize the joint venture
agreement and shareholders' agreement in due course.

Mubadala Development Company (Mubadala) is a Public Joint Stock
Company headquartered in Abu Dhabi, capital of the United Arab
Emirates.  Its focus is on developing and managing an extensive
and economically diverse portfolio of commercial initiatives.  It
does this either independently or in partnership with leading
international organizations.  Mubadala's commercial strategy is
fundamentally built on long term capital intensive investments
that deliver strong financial returns.

Formerly known as Utama Banking Group Berhad, UBG Berhad's
principal activities are banking and related financial services.
Other activities include investment holding and provision of
nominees services.  Operations of the Group are carried out in
Malaysia.

                          *     *     *

The company is classified under Amended Practice Note 17 of the
Bursa Malaysia Securities Bhd's Listing Requirements after it
completed the disposal of its entire investment in Rashid
Hussain Berhad, leaving UBG with no significant business
operations.


WELLI MULTI: Significant Losses Prompt Going Concern Doubt
----------------------------------------------------------
Moore Stephens Chartered Accountants raised substantial doubt
about the ability of Welli Multi Corporation Berhad to continue as
a going concern after auditing the company's financial statements
for the year ended March 31, 2008.  The auditors cited these
factors:

   a) The plant and machinery of the group with a carrying amount
      of MYR33,001,438 was last revalued in 2004 using the "open
      market value on existing use" basis.  During the financial
      year, all of the group's oil mills discontinued their
      operations.  This is an indication that the plant and
      machinery could have been impaired ad may not realize its
      carrying amount.  In view of the tight cash flow of the
      group, no recent independent valuation of the plant and
      machinery was performed.  The auditors were unable to obtain
      sufficient appropriate  audit evidence to satisfy ourselves
      as to whether an impairment loss need to be made in the
      financial statements of the group.

   b) The group and the company incurred net losses of
      MYR51,386,733 and MYR8,322,366 respectively for the
      financial year ended March 31, 2008.  As at that date, the
      group's and the company's current liabilities exceeded their
      current assets by MYR175,640,659 and MYR8,575,952
      respectively.  The group and the company had a deficit in
      shareholders' equity of MYR99,366,945 and MYR7,673,479,
      respectively.

In addition, the group and the company have defaulted in their
loan principal and interest repayment obligations and breached
certain clauses of the banking facilities during the financial
year ended March 31, 2008.

Subsequent to financial year ended, one of its major subsidiary
company, Welli Edible oil Sdn. Bhd., has also been served with a
petition for a wind-up by its creditors on July 25, 2008, and the
group and the company was designated as an affected listed issuer
pursuant to the Pratise Note No. 17/2005 of the Bursa Malaysia
Securities Berhad on September 11, 2008.  The group and their
advisers are in the process of formulating a restructuring scheme
to be submitted to the relevant regulatory authorities.

   c) Five trade and other creditors have instituted legal
      proceedings against a wholly-owned subsidiary company, Welli
      Edible Oil Sdn. Bhd., for the recovery of amount outstanding
      of MYR2,644,422.  The penalty interest and other possible
      costs, which may arise from the legal proceedings cannot be
      ascertained at this juncture as the legal proceedings are
      still ongoing.

   d) A bank has instituted legal proceedings against a subsidiary
      company, Welli Business Ventures Sdn. Bhd., for recovery of
      amount outstanding of MYR4,877,828.  The penalty interest
      and other possible costs, which may arise from legal
      proceedings cannot be ascertained at this juncture as the
      legal proceedings are still ongoing.

The ability of the group and of the company to continue as going
concerns is dependent on the support of their bankers and
creditors; and the successful formulation and implementation of a
restructuring scheme.

Welli Multi Corporation Berhad (WMCB) is an investment holding
company engaged in the provision of management services.  Its
subsidiaries include: Fourseason Foodstuff Industries (M) Sdn.
Bhd., which is engaged in the manufacture and distribution of all
kinds of foodstuff; Fourseason Trading Sdn. Bhd., which is
involved in the trading and distribution of foodstuff and toys;
Welli Edible Oil Sdn. Bhd., which is engaged in the processing of
copra and palm kernel, and trading of palm kernel oil, coconut
oil, palm kernel cake and copra cake; Welli Business Ventures Sdn.
Bhd., which is engaged in the importing, exporting, distribution
and general trading of flexible packaging, plastic sheet products,
plastic lighting diffuser, consumer products and health-related
food, and Welli Bio-Tech Sdn. Bhd., which is dormant.



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

ANTLER PROPERTY: Liquidators Set October 27 as Claims Bar Date
--------------------------------------------------------------
Pursuant to section 241(2)(c) of the Companies Act 1993, the High
Court has appointed John Howard Ross Fisk, chartered accountant,
and Craig Alexander Sanson, insolvency practitioner, both of
Wellington, as liquidators of Antler Property Development Limited.

The Liquidators set Oct. 27,  2008, as the last day for creditors
to file their proofs of debt.

Creditors and shareholders may direct their inquiries to:

          Attn: Carl P. Messerschmidt
          PricewaterhouseCoopers
          113-119 The Terrace (PO Box 243)
          Wellington
          Telephone: (04) 462 7044
          Facsimile: (04) 462 7492


ARMADILLO ROOFING: Proofs of Debt Due on October 10
---------------------------------------------------
Pursuant to Section 241(2)(c) of the Companies Act 1993, the High
Court has appointed John Howard Ross Fisk, chartered accountant,
and Craig Alexander Sanson, insolvency practitioner, both of
Wellington, as liquidators of Armadillo Roofing  Limited.

The liquidators set Oct. 10, 2008, as the last day for creditors
to file their proofs of debt.

Creditors and shareholders may direct their inquiries to:

    Attn: Sandra Pearson
          PricewaterhouseCoopers
          113-119 The Terrace (PO Box 243)
          Wellington
          Telephone: (04) 462 7489
          Facsimile: (04) 462 7492


BRIDGECORP LIMITED: Liquidators Set October 31 as Claims Bar Date
-----------------------------------------------------------------
Pursuant to Section 241(2)(c)(iv) of the Companies Act 1993, John
M. Scutter and Kevin D. Newson, chartered accountants of
Wellington, were appointed liquidators of Bridgecorp Limited on
Aug.  29, 2008.

Creditors are required to file their proofs of debt by Oct. 31,
2008, to be included in the company's dividend distribution.

Creditors and shareholders may direct their inquiries to:

          Active Chartered Accountants
           Level 2, 330 High Street (PO Box 31047)
           Lower Hutt
           Telephone: (04) 586 4645
           Facsimile: (04) 586 7641


BRIDGECORP MANAGEMENT: Liquidators Set Oct. 31 as Claims Bar Date
-----------------------------------------------------------------
Pursuant to Section 241(2)(c)(iv) of the Companies Act 1993, John
M. Scutter and Kevin D. Newson, chartered accountants of
Wellington, were appointed liquidators of Bridgecorp Management
Services Limited on Aug.  29, 2008.

Creditors are required to file their proofs of debt by Oct. 31,
2008, to be included in the company's dividend distribution.

Creditors and shareholders may direct their inquiries to:

          Active Chartered Accountants
           Level 2, 330 High Street (PO Box 31047)
           Lower Hutt
           Telephone: (04) 586 4645
           Facsimile: (04) 586 7641


DATASTOR OUTLET: Wind-Up Petition Hearing Set for October 9
-----------------------------------------------------------
The High Court at Auckland will hold a hearing on Oct. 9, 2008, at
10:00 a.m., to consider putting Datastor Outlet Disposals Limited
fka Wincentre Limited into liquidation.

The application was filed on July 10, 2008, by Datastor (NZ)
Limited.

The plaintiff's address for service is at:

          Corporate Collections Limited
          187 Mt Eden Road
          Mt Eden, Auckland

C. N. Lord is the plaintiff's solicitor.


GENEVA FINANCE: NZSA Proposes to Replace Three Current Directors
----------------------------------------------------------------
The New Zealand Shareholders Association has written to all
shareholders of Geneva Finance Limited, proposing the removal of
Brian Walsh, Peter Francis and David O'Connell as existing
directors of the company and the appointment of Tony Boswell, June
McCabe and Bruce Sheppard as new directors.

In the letter, New Zealand Shareholders Association Chairman
Bruce Sheppard said that the association is concerned that the
board of Geneva is unchanged from the private company board that
led the company into the position it now finds itself in.  That
board, Mr. Sheppard said, has a number of interconnections which
in effect mean the board is in the association's view under the
control of the original owners who are now by far the minority
owners.

Further, Mr. Sheppard said they believe that Geneva is continuing
to operate its lending business and is making fresh advances, and
as a result is maintaining an overhead structure that has the
effect of reducing the cash available to repay debenture holder
quickly.

The Dominion Post reports that the net effect of the move was for
the company's incumbent directors to pass majority control to
investors - 82 per cent.  However, the company continues to be run
by the same board, except for two independent directors elected in
July, the report says.

According to the Post, the association is adamant that
shareholders need to make a concerted decision to take some
ownership of the company and is seeking 5 per cent support from
shareholders for an EGM.

In short, Mr. Sheppard said he would accelerate loan repayments
ahead of schedule and shrink the balance sheet quickly to a debt
ratio of 50:50.  Once complete, shareholders would then vote on
re-entering the consumer finance market.

"If they vote 'yes' we rebuild.  If they vote 'no' we liquidate
the book and liquidate the company," the Post quotes Mr. Sheppard
as saying.

                      About Geneva Finance

Geneva Finance Limited -- http://www.genevafinance.co.nz/--
provides finance and financial services to the consumer credit
and small to medium business markets.  The company provides hire
purchase finance and personal loans secured by registered
security interests over personal assets such as motor vehicles,
household goods and residential property.  Geneva Finance's
loans are originated through three distribution channels
(Direct, Retail and Dealer), processed by the central sales desk
and mobile sign-up managers then administered through a national
operations centre located at Mt Wellington, Auckland.

                          *     *     *

As reported in the Troubled Company Reporter-Asia Pacific on
May 1, 2008, Standard & Poor's Ratings raised its long-term
counterparty credit rating on New Zealand finance company Geneva
Finance Ltd. (Geneva) to 'CCC' from 'CC'.  The three-rating-
notch upgrade follows Geneva debtholders' acceptance of a
recapitalization and new funding proposal, and Geneva's banker
support to the proposal.  The proposal will provide more funding
certainty in the short term, and will materially strengthen the
company's capitalization.   At the same time, the rating was
removed from CreditWatch with developing implications, where it
was initially placed on Nov. 5, 2007.  The outlook on the rating
is negative.


HENSHAW PROPERTIES: Placed Under Liquidation
---------------------------------------------
Pursuant to Section 241(2)(a) of the Companies Act 1993, the
shareholders of Henshaw Properties Limited resolved that the
company be liquidated and appointed Bruce Stormer, chartered
accountant of Wellington, as liquidator.

Creditors and shareholders may direct their inquiries to:

          Bruce Stormer
          Level 2, 354 Lambton Quay
          Wellington
          Telephone: (04) 472 4815
          Facsimile: (04) 473 7011


JANE INTERNATIONAL: Wind-Up Petition Hearing Set for October 31
---------------------------------------------------------------
The High Court at Auckland will hold a hearing on Oct. 31, 2008,
at 10:45 a.m., to consider putting Jane International Limited into
liquidation.

The application was filed on July 18, 2008, by  Hertz New Zealand
Limited.

The plaintiff's address for service is at:

         Kevin McDonald & Associates
         Level 11, Takapuna Towers
        19-21 Como Street
        Takapuna, Auckland
        Telephone: (09) 486 6827
        Facsimile: (09) 486 5082

Kevin Patrick McDonald is the plaintiff's solicitor.


KARAPIRO MANAGEMENT: Wind-Up Petition Hearing Set for October 31
----------------------------------------------------------------
The High Court at Auckland will hold a hearing on Oct. 31, 2008,
at 10:00 a.m., to consider putting Karapiro Management Limited
into liquidation.

The application was filed on July 8, 2008, by Hot Group Limited
(trading as Hot Creative).

The plaintiff's address for service is at:

          Gaze Burt
          44 Corinthian Drive
          Albany, North Shore City 0632

R. M. Dillon is the plaintiff's solicitor.


POSTIE PLUS: Reports NZ$10.8 Mil. Net Loss in FY2008
----------------------------------------------------
Postie Plus Group said that the company ended the toughest year in
its trading history with a net loss after tax of NZ$10.8 million
against a backdrop of bad news stories, falling consumer spending,
squeezed margins and discounting as retailers nationwide fought
for sales and market share.

The full year result, released Thursday, Sept. 25, 2008, also
reflected investment in critical cost and efficiency improvements
and development of a new consumer offering to position the company
strongly in the current testing retail environment with a return
to profitability targeted in 2008-09, Group CEO, Ron Boskell said.

"The Board and Executive believe the company is now well equipped
to meet the challenges of the times to maintain market share and
capture any upturn in trading conditions.  While little
improvement in sales is expected in the short term and Postie Plus
Group shares the chill of recession with the rest of retail,
longer term the outlook is positive."

                          Financial Results

Mr. Boskell said the full benefits of this new competitive
strategic retail model that is currently being rolled out could
not mitigate the generally poor financial results for the year
under review and there would be no dividend paid to shareholders.

The reported loss was slightly higher than the August market
guidance, attributable to goodwill and stock write-downs of
NZ$2.8 million associated with the final settlement of the sale of
the Arbuckles chain of stores.  The final result includes
adjustments made under IFRS (International Financial Reporting
Standards).

Total Group operating revenue was down 3.5% to NZ$131.3 million
from NZ$136 million the previous year and EBITDA dropped to
(NZ$5.2m) from NZ$9.3 million.

The key contributor to the negative earnings result was a
NZ$10 million loss in margins from heavy discounting and two
winter sales to reduce high stock levels in a fiercely competitive
retail climate.

"A major achievement was the promised, significant reduction at
year end of inventories of unsold stock which came down 42% to
NZ$21 million from NZ$36.2 million previously despite the retail
slowdown," Mr. Boskell said.

Operating overheads were up 4.5% to NZ$64.2 million with increases
in wages and rentals.  Also included were restructuring costs
relating to the now successfully completed centralisation of
warehousing and distribution to a single site in Christchurch.
Annual savings of over NZ$1 million are targeted from this supply
chain rationalisation.

Cashflow from operating activities dramatically improved by
NZ$10 million, company borrowings reduced by NZ$6.8 million and
interest costs were set to reduce further as a result of the
increase in stock turns and impact of other efficiency gains.

The divestment of the Arbuckles manchester and homeware chain,
which posted a pretax loss for the year of NZ$3.3 million, would
also bring benefits to the Postie Plus Group.

                  Profit Improvement Strategy

Mr. Boskell said that while the Board and Executive were
disappointed to have delivered a full year loss, the platform to
return Postie Plus Group to sustainable profitable growth through
right sizing the business, cost savings and an attractive down to
earth consumer offering was in place and gaining traction.

Key features are to:

   -- Continue to reduce inventory levels to restore margins
      and reduce working capital;

   -- drive further efficiencies and cost savings from the
      operation of the new national distribution and warehousing
      centre in Christchurch - Drive cost efficiencies in
      purchasing, store operations, logistics and corporate
      expenses;

   -- launch a web retail channel;

   -- introduce a new loyalty programme;

   -- Refresh the Postie Plus brand story to appeal directly
      to women who want to dress and buy smart for themselves
      and their family; and

   -- continue to expand Baby City and SchoolTex brands.

                         Outlook

"Given current inflationary pressures and falling discretionary
spending that is dulling sales, Postie Plus Group aims to do the
basics brilliantly," Mr. Boskell said.

"We are determined to drive down our costs, lift our supply and
delivery chain efficiencies and reignite the appeal of our brand
by helping New Zealanders look good for less."

He said the Group was in a good position.  Inventory levels and
margins were now at a healthier level, the brand offering was
compelling and supported by an efficient, integrated delivery
chain and information and reporting systems.  The business now
operates a lower cost structure, had good forward cover on the
main purchasing currencies and a committed and capable team
across the organisation.

"We are cautious and there are many factors still beyond our
control, but at this point we are on track to deliver a modest
profit in 2008-09 with performance steadily improving in future
years," Mr. Boskell said.  "Postie Plus Group is ready to take on
the market and fulfill its potential for shareholders, staff and
consumers."

                    About Postie Plus

Postie Plus Group Limited (NZE:PPG) -- http://www.ppgl.co.nz/--
comprises the retail businesses of Postie+, Baby City and
Arbuckles.  The company offers a range of products for all age
groups.  Postie+ sells casual family clothing through a chain of
75 stores.  During the fiscal year ended July 31, 2007, Postie+
focused on fashionable womenswear.  Baby City caters for the
needs of babies through a chain of retail stores; and the
Arbuckle's business operates a chain of 36 manchester and
homeware stores.  Postie Plus Group Limited has a total of over
117 stores.  Baby City operates a chain of approximately 15
nursery retail stores throughout New Zealand.  The range of
products Baby City sells includes clothing, toys, books, cots,
prams, high chairs, car seats, bedding, aids for nursing
mothers, health and safety products, and a range of accessories.
Most stores features include information panels and interactive
touch screens and access to the Baby City Website.


STEEL SPAN: Proofs of Debt Due on October 10
--------------------------------------------
Pursuant to Section 241(2)(c) of the Companies Act 1993, the High
Court has appointed John Howard Ross Fisk, chartered accountant,
and Craig Alexander Sanson, insolvency practitioner, both of
Wellington, as liquidators of Steel Span Limited.

The liquidators set Oct. 10, 2008, as the last day for creditors
to file their proofs of debt.

Creditors and shareholders may direct their inquiries to:

    Attn: Sandra Pearson
          PricewaterhouseCoopers
          113-119 The Terrace (PO Box 243)
          Wellington
          Telephone: (04) 462 7489
          Facsimile: (04) 462 7492


STRATEGIC FINANCE: Shareholder Vote on Parent Sale Set on Oct. 21
-----------------------------------------------------------------
Strategic Finance Limited has set Oct. 21, 2008, as the date
wherein Allco HIT shareholders will vote on whether to sell
its parent, Strategic Investment Group Limited, to a division of
bank HBOS International, The National Business Review reports.

The report relates that Strategic’s debenture investors will also
need to vote on the sale as the sale deal agreed to by HBOS
involves debenture investors signing up to a delayed repayment
plan and converting some of their money into company bonds.

As reported in the Troubled Company Reporter-Asia Pacific on
Sept. 2, 2008, Strategic Finance said that a Sale and Purchase
Agreement has been signed on Aug. 29, 2008, by the purchasing
consortium comprising the former owners and senior management of
Strategic Finance and Uberior Ventures (Asia) Pty Limited an
investment vehicle of BOS International (Australia) Limited and
Allco HIT (AHL)and its relevant subsidiaries, Strategic Investment
Group Limited and Strategic Finance Limited.

                     Key Transaction Terms

   - Clarence Investments Limited has agreed terms and
     conditions with Allco HIT Limited to purchase
     100% of the shares in Strategic Investment Group Limited
     which is the parent company of Strategic Finance Limited.

   - Clarence Investments will be owned by the previous owners
     and existing senior management of Strategic Finance
     (80.01%) and Uberior Ventures Asia Pty Limited, an
     investment vehicle of BOS International (Australia) Limited
     which is a member of the HBOS Group, one of the world's
     largest financial services organization providing services
     to more than 23 million customers.  Uberior will have the
     option to increase its shareholding to 49.99% to reflect
     its financial contribution to Clarence Investments.

   - Under the agreement:

   1. Clarence Investments will pay AHL purchase price of
      NZ$25 million in cash plus transfer 8.0 million shares
      in AHL currently held by various Strategic Finance
      executives.

   2. Clarence will inject NZ$15.0 million of new funds into
      Strategic Finance in a form which will be subordinated
      to Strategic Finance's existing debenture, subordinated
      notes and perpetual preference shares.

   3. BOS International (Australia) Limited will increase its
      current debt facilities to Strategic Finance from
      NZ$100.0 million to NZ$150.0 million.

   4. Strategic Finance and AHL have historically co-participated
      in a number of loans that were originated by Strategic
      Finance. Strategic Finance will acquire these loans on
      Completion Date (face value approx NZ$67.3M) for NZ$50.2
      million, with NZ$10.0 million of the purchase price being
      deferred.

   5. The parties have entered into a binding Sale and Purchase
      Agreement and the transaction is conditional upon:

      * A waiver being received under the New Zealand Takeovers
        Code in respect to Strategic Finance perpetual preference
        shares.

      * Overseas Investment Office approval.

      * Approval of AHL shareholders at a Special Meeting to be
        convened.

   - A Special Meeting of the holders of Strategic Finance
     perpetual preference shares approving by special resolution
     the release of the existing guarantee provided by AHL in
     respect of the perpetual preference shares with effect from
     Completion of the transaction.

   - Special Meetings of the holders of Strategic Finance
     debenture stock and subordinated notes approving by
     extraordinary resolution a capital restructure of existing
     debenture and subordinated note investments.

   - Approval of Perpetual Trust Limited, as trustee under
     Strategic Finance's debenture trust deed.

   - Completion of a tax due diligence to the satisfaction of
     the purchaser.

   - The Shareholders Agreement entered into by the purchasing
     consortium being unconditional.

   - Strategic Finance issuing debenture stock to AHL to secure
     the deferred payment of part of the co-investment loan
     purchase price

   - AHL and BOS International (Australia) Limited entering into
     a new facility agreement.

   - The current Strategic Finance employee share scheme being
     wound up.

   6. The intention is for the meetings of the AHL shareholders
      and the security holders in Strategic Finance to be held
      in October 2008 with a targeted completion date for the
      transaction of shortly thereafter subject to receiving the
      required approvals.

                     About Strategic Finance

Headquartered in Wellington, New Zealand, Strategic Finance
Limited (NZE:SFLHA) -- http://www.strategicfinance.co.nz/--
operates as a specialist finance company offering financial
services, primarily to the property sector.  It has four main
business activities: Lending within the property sector; Non-
property lending and investments; Corporate advisory and
management services, and Underwriting services. Lending within
the property sector is its primary activity with a focus on
providing finance for property development and property
investment activities.  It was offering motor vehicle lending
under non-property lending and investments.  The Company, and in
some circumstances through its wholly owned subsidiary Strategic
Advisory Limited, provides specialist advisory and management
services to the property and corporate sectors for which it
receives fee income.  It may provide underwriting services.
These services include the underwriting of property related
share or debt securities offered by a promoter through a
registered prospectus.  It receives fees for such services.

Strategic Finance Limited's parent company, Strategic Investment
Group, is wholly owned by Australian-based finance company Allco
HIT Limited.

                          *     *     *

The TCR-AP reported on Sept. 23, 2008, that Strategic Finance
Limited has been publicly censured by New Zealand Stock Exchange
(NZX) and ordered to pay a NZ$20,000 penalty for breaching market
disclosure rules.

A TCR-AP report on Sept. 12, 2008, said Strategic Finance Limited
is continuing to progress its plan to submit a capital restructure
proposal to securityholders.  Strategic Finance did not make
interest payment payable Sept. 15, 2008, on debenture stock,
subordinated notes and deposits.  The company's board also
resolved that the company will not pay the next dividend payable
on the perpetual preference shares on Oct. 15, 2008.

Strategic Finance Limited reported a net loss after tax of
NZ$15.7 million for the year ended June 30, 2008, compared with a
net profit after tax of NZ$29.4 million in the previous year ended
June 30, 2007.

As reported in the Troubled Company Reporter-Asia Pacific on
Aug. 8, 2008, Strategic Finance Limited suspended redemptions of
its secured debenture stock and subordinated notes.  It also
ceased accepting subscriptions for debenture stock and
subordinated notes under its current prospectus and investment
statement.


*NEW ZEALAND: Credit Stable Despite Turmoil, S&P Says
-----------------------------------------------------
Rated consumer-related corporates across Australia and New Zealand
maintained relatively sound credit quality in the past six months,
despite tightening credit markets and the prospect of
a weakening economic environment, according to a report published
by Standard & Poor's Ratings Services titled "Industry Report
Card: Consumer-Related Corporates In Australia And New Zealand
Head Off Market Woes To Maintain Credit Quality".

The report explores key trends affecting the credit quality of
companies involved in the following sectors: agribusiness,
airlines, beverages, media and gaming, retail, telecommunications,
and other consumer products.

"The tightening availability of debt finance, and its flow-on
effects to consumer and business confidence, is likely to remain
a key ratings focus for consumer-related companies," S&P's credit
analyst Paul Draffin said.  "Accordingly, a modestly negative
tone to overall credit quality is likely to persist in the next
12 months.  That said, most of our rated entities have been
proactively managing their capital bases and liquidity and are
well-placed to satisfy upcoming debt maturities and capital-
spending requirements"

Other notable themes affecting the sector's credit quality in the
past six months include:

  -- High interest rates and petrol prices, as well as adverse
     wealth effects from recent sharemarket volatility, are
     adversely affecting consumer confidence and discretionary
     spending;

  -- Rising raw-material prices, a volatile Australian dollar,
     and slowing world economies are continuing to pressure the
     operations of several consumer-products companies;

  -- Water-shortage problems are continuing to hurt Australian
     agribusiness companies;

  -- Regulatory impositions are constraining the gaming and
     wagering sectors, although credit quality is underpinned by
     a favorable licensing position for incumbent operators; and

  -- Regulatory and technological change continues to pose
     challenges for the telecommunications sector.



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

* Sovereign Credit Ratings for Emerging Markets Peaking, S&P Says
-----------------------------------------------------------------
The trend of improving credit fundamentals in emerging market
sovereigns that has prevailed since 2003 appears to have run its
course, according to an article published by Standard & Poor's
Ratings Services titled, "Emerging Market Sovereign Credit: At The
Top Looking Down."

"The credit quality of most of these governments has improved
during this five-year period, and we have raised the ratings most
of them, including six in the last six months," said S&P's credit
analyst John B. Chambers, chairman of the Sovereign Ratings
Committee.  "We think that these gains in credit quality will not
be lost, and we are signaling that view with stable outlooks on 33
of 43 emerging market sovereigns," he continued.  "However, we do
not see much further upside to the overall credit standing of this
asset class, and a pronounced downside is beginning to appear."

At present, only Poland and the Slovak Republic have positive
outlooks among the emerging market sovereigns covered in this
report.  The Dominican Republic, El Salvador, Hungary, Kazakhstan,
Pakistan, Serbia, Sri Lanka, and Vietnam have negative outlooks.
The forecasts for most emerging market sovereigns call for lower
growth, higher inflation, and deteriorating current accounts.

"We've cautioned that global conditions may become less benign,
putting emerging market policymakers to the test," Mr. Chambers
said.  "As dislocations in the credit markets of industrialized
nations persist, clouding prospects for the growth of world trade,
that trial is now upon us.  If our analysis is correct, this
emerging market class as a whole has peaked in credit quality."

The article includes data on rating trends, rating distribution,
and default experience.  It also contains a comment on the factors
that could change a rating or outlook on each of the 43 emerging
market sovereigns discussed, and a bibliography of research
published on emerging market sovereigns by S&P.  The article will
appear in the Oct. 8 special issue on emerging markets published
by S&P's CreditWeek.




                         *********

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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