TCRAP_Public/090423.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

                     A S I A   P A C I F I C

           Thursday, April 23, 2009, Vol. 12, No. 79

                            Headlines

A U S T R A L I A

CITY PACIFIC: Slater & Gordon Mulls Class Action
FORTESCUE METALS: ASIC's Closing Submissions Expected Next Week
FORTESCUE METALS: Valin Deal Gets China NDRC's Approval
HIH INSURANCE: Liquidator Seeks Settlement With Gen Re
VALAD PROPERTY: Replies to ASX's Query on Sudden Stock Price Hike


C H I N A

GREENTOWN CHINA: To Buyback 2013 Senior Notes


H O N G  K O N G

BEAUTY SQUARE ET AL: Members' and Creditors' Meeting Se for May 18
BEST WESTERN: Members' Meeting Set for May 19
DE SEDE: Members' Meeting Set for May 18
DEBTTRADERS LIMITED: Inability to Pay Debts Prompts Wind-Up
EASTERN ALPHA ET AL: Annual Meetings Set for May 12

KONG WAH: Creditors' Meeting Set for April 24
PAK LEE: Members' Meeting Set for May 18
STAR CRUISES: Moody's Withdraws 'B1' Corporate Family Rating
TOP SUN: Creditors' Meeting Set for May 5
YUE KING: Members' Meeting Set for May 18


I N D I A

ICICI BANK: Cuts Lending Rates to 16.25%
KASHI VISHWANATH: CRISIL Assigns 'B' Rating on Rs.473.5MM LT Loan
KINGFISHER AIRLINES: More Pilots Consider Resigning
MESO PRIVATE: CRISIL Rates Rs.120MM Export Packing Loan at 'BB'
PATEL KENWOOD: CRISIL Puts 'BB' Rating on Various Bank Facilities

SATHYASREE DEVELOPERS: CRISIL Rates Rs.80MM Long Term Loan at 'B'
TIRUPATI INFRA: CRISIL Puts 'B+' Rating on Rs.3000 Mln Term Loan
VIKRAM HOSPITAL: CRISIL Places 'BB+' Rating on Rs.510.2MM LT Loan
WANBURY LTD: Fitch Downgrades National Long-Term Rating to 'BB+'
WANBURY LTD: Fitch Corrects Press Release; Cuts Rating to 'BB+'


I N D O N E S I A

BANK IFI: Central Bank Revokes Operating License
BANK IFI: Executives Banned from Travelling; Gov't. To Probe Case
CP PRIMA: Bapepam Allows 50% Shareholders' Attendance at Meeting
UOB BUANA: Workers to Take Strike Action by end of April
PERTAMINA: To Transfer Management of 5 Subsidiaries to PPA


PERUSAHAAN LISTRIK: Seeking Hedging Facilities From Banks


J A P A N

CUBIC ONE: S&P Puts BB Rating on Class D of Notes on WatchNeg.
DTC EIGHT: Fitch Affirms Ratings on Six Classes of Notes
DTC THREE: Fitch Affirms Ratings on Seven Classes of Notes
ELPIDA MEMORY: Mulls 50% Price Hike in May
JAPAN AIRLINES: Seeking JPY200-Bln Loan From Gov't. Bank

KENEDIX REALTY: Moody's Downgrades Senior Debt Ratings to 'Ba1'
L-JAC 7: S&P Junks Ratings on Two Classes of Certificates
L-JAC FIVE: S&P Cuts Rating on Class G-2 of Certs. to 'B-'
L-JAC 8: S&P Puts Low-B Ratings on 6 Classes on Negative Watch
PIONEER CORP: May Seek Gov't Aid to Boost Finances

* Moody's Downgrades Ratings on 13 Real Estate Investment Trusts


K O R E A

KIA MOTORS: Moody's Downgrades Issuer Rating to 'Ba1' from 'Baa3'


N E W  Z E A L A N D

MRS CHRISTMAS: Placed in Liquidation


P H I L I P P I N E S

ACCORD SAVINGS: Place Under Receivership
PERMANENT PLANS: SEC Cancels Pre-Need Dealership License


S I N G A P O R E

BEST SYSTEMS: Creditors' Proofs of Debt Due on May 20


                         - - - - -



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

CITY PACIFIC: Slater & Gordon Mulls Class Action
------------------------------------------------
The Australian reports that law firm Slater & Gordon is
considering a class action against City Pacific Limited over its
management of the mortgage fund.

The report says a Slater & Gordon spokesman confirmed the group
had fielded "inquiries" from investors in the City Pacific First
Mortgage Fund, but declined to comment further.

Slater & Gordon, The Australian notes, is waiting until after a
May 1 meeting of unitholders to gauge whether it will launch an
action.

Meanwhile, the report says City Pacific founder Phil Sullivan is
resigning as a consultant to the group.

According to the report, managing director John Ellis said the
consultancy contract had been "terminated by mutual agreement".
Mr. Sullivan would continue to have some indirect control over
the group because he owned "about one-third" of City Pacific,
Mr. Ellis said.

The Troubled Company Reporter-Asia Pacific, citing a previous
report from The Australian, said City Pacific agreed to reduce its
management fee to 2.5 per cent, and asked unitholders not to
support the 1.5 per cent fee sought by holders who have forced a
special meeting on May 1.

The fee cut had resulted from a review of the structure and cost
of operating the fund, the report cited City Pacific as saying in
a statement to the Australian Securities Exchange.

"As a result of the company's review, the board and management
team have determined they are supportive of the majority of
amendment proposed by unitholders," the statement said.

City Pacific, as cited by the report, said the board believed a
2.5 per cent fee would enable it to continue to manage the fund.

As reported in the TCR-AP on August 18, 2008, City Pacific said it
took the necessary steps to preserve the value of the Fund's
assets and protect unitholders investments in light of the rapidly
changing market conditions.

As a result of the significant market changes, City Pacific made
the decision in March 2008 to defer the payment of redemptions
from the Fund while continuing the payment of distributions to
unitholders.

City Pacific Limited (ASX: CIY) -- http://www.citypac.com.au/
-- is a diversified financial services company, providing
finance and investment products.  City Pacific, a non-bank loan
provider, has AU$5 billion in mortgage assets under advice,
comprising over AU$1 billion funds under management in the City
Pacific First Mortgage Fund, City Pacific Income Fund, City
Pacific Managed Fund and City Pacific Private Fund, a residential
loan book of AU$3.3 billion and commercial mortgage assets under
management of approximately AU$800 million.  City Pacific
originates nearly AU$3 billion per annum in loans to fund
residential property, property development, commercial
property investment, plant & equipment and business
finance.

                          *     *     *

City Pacific reported a net loss after tax of AU$139.53 million
for the financial year ended June 30, 2008, compared with a net
profit of AU$73.21 million in the previous year.  The company also
reported an operating profit before impairment and tax of
AU$55.5 million down 58.4% from previous year's operating profit
of AU$133.42 million.


FORTESCUE METALS: ASIC's Closing Submissions Expected Next Week
---------------------------------------------------------------
Closing submissions for the corporate watchdog's civil court case
against Fortescue Metals Group Ltd are expected to be made late
next week, The Age reports.

According to the report, the hearing held yesterday, April 22, was
told fewer witnesses than initially indicated would be called.

Fortescue executives, including chief executive Andrew "Twiggy"
Forrest and executive director Graeme Rowley, did not give
evidence, the report says.

As reported in the Troubled Company Reporter-Asia Pacific, the
Australian Securities & Investments Commission ("ASIC") commenced
proceedings against Fortescue Metals and its CEO Andrew Forrest,
in Perth, on April 6, 2009.  The hearing is before Justice Gilmour
and is set down for five weeks.

Tony D'Aloisio, Chairman of ASIC, said the case will examine the
responsibility of listed companies and its executives to keep the
market properly informed in relation to disclosable agreements.

"Keeping markets properly informed underpins confidence in the
integrity of our markets and in doing so, it assists in keeping
the cost of capital low which is important as our companies
recapitalise," Mr. D'Aloisio said in a statement.

The regulator said the case centers on a series of announcements
Fortescue made to the market between August 23, 2004 and
November 9, 2004 concerning certain framework agreements with
three major state owned Chinese companies.

ASIC alleged that Fortescue engaged in misleading and deceptive
conduct by overstating the substance and effect of agreements with
the three Chinese companies, in announcements and media releases
made to the market and investors.

ASIC also alleged Fortescue failed to comply with its continuous
disclosure obligations under the Corporations Act (the Act) by
failing to correct the misleading announcements and disclose the
contents of the agreements.

In relation to Mr. Forrest, ASIC alleged that he was involved in
FMG's alleged contravention and also, that he breached his duty as
a director to exercise care and diligence under the Act by failing
to ensure that Fortescue complied with its obligations under the
Act.

ASIC said it is seeking civil penalties against the company and
Mr. Forrest.  The maximum penalties that Fortescue and Mr. Forrest
could be ordered to pay is $6 million and $4.4 million,
respectively.   ASIC has also asked the Federal Court to consider
disqualifying Mr. Forrest from as acting as a director.

                      About Fortescue Metals

Headquartered in West Perth, Western Australia, Fortescue Metals
Group Limited (ASX: FM) -- http://fmgl.com.au/-- is involved in
the exploration of iron ore through a project to mine iron ore
in the Chichester Ranges, in the Pilbara region of Western
Australia and exporting it from Port Hedland.

                          *     *     *

Fortescue reported consecutive net losses for the past three
fiscal years.  Net loss for the year ended June 30, 2008, was
AU$2.52 billion, while net losses for FY2007 and FY2006 were
AU$192.26 million and AU$2.15 million, respectively.


FORTESCUE METALS: Valin Deal Gets China NDRC's Approval
-------------------------------------------------------
Fortescue Metals Group Ltd said it has received China's National
Development and Reform Commission ("NDRC")'s approval on its
investment agreement with Hunan Valin Iron and Steel Group Company
Ltd in the company.

"The NDRC approval was the key milestone for the transaction and
paves the way for the Chinese Ministry of Commerce and the State
Administration of Foreign Exchange to formalise the Agreement,"
Fortescue said in a statement.

"Once this is done, all conditions under the Agreement will have
been satisfied to enable Valin to proceed with its acquisition of
260 million new Fortescue shares issued at a subscription price
AU$2.48 per share to raise AU$644.8 million in new equity
capital."

The placement, combined with Valin's recent acquisition of 275
million existing shares from Harbinger Capital Partners, will take
Valin's holding in Fortescue to 535 million shares, making it the
second largest shareholder at 17.33% of total issued capital.

Approval from the NDRC follows the approval from the Australian
Federal Treasurer in March.

                        About Hunan Valin

China-based Hunan Valin Iron & Steel Group Co. Ltd. --
http://www.chinavalin.com/-- makes steel pipes, bars, wires,
sectional products, and hot-rolled steel plates along with copper
plate pipes and inner-twisted pipes.  Its annual output is about 9
million tons of steel and 8 million tons of steel products; hot-
rolled steel plate is the company's biggest revenue generator.
Hunan Valin products are distributed in mainland China and
exported throughout much of Asia as well as to the US.  It was
formed in 1999.  In 2005, the company sold about a one-third stake
in publicly listed subsidiary Hunan Valin Steel Tube & Wire
Company to what is now ArcelorMittal.

                     About Fortescue Metals

Headquartered in West Perth, Western Australia, Fortescue Metals
Group Limited (ASX: FM) -- http://fmgl.com.au/-- is involved in
the exploration of iron ore through a project to mine iron ore
in the Chichester Ranges, in the Pilbara region of Western
Australia and exporting it from Port Hedland.

                          *     *     *

Fortescue reported consecutive net losses for the past three
fiscal years.  Net loss for the year ended June 30, 2008, was
AU$2.52 billion, while net losses for FY2007 and FY2006 were
AU$192.26 million and AU$2.15 million, respectively.


HIH INSURANCE: Liquidator Seeks Settlement With Gen Re
------------------------------------------------------
Andrew Main at The Australian reports that HIH Insurance Limited
liquidator Tony McGrath is trying to settle all outstanding
reinsurance business involving General Reinsurance Australia for
$95 million.

The report relates Mr. McGrath's lawyer, Ray Mainsbridge, of Blake
Dawson, on Tuesday, April 21, put up a settlement to judge Reg
Barrett of the NSW Supreme Court for the judge's ratification,
allowing the two parties to declare "case closed" on a raft of
long-tail reinsurance policies that each company took out with the
other.

According to the report, General Re, the third-biggest reinsurer
in Australia after Swiss Re and Munich Re, was a major reinsurer
to HIH and has been paying out steadily on reinsurance policies
since the HIH collapse in 2001, as the policies matured.

However, the report notes, the settlement case will allow both
sides to close the file.

HIH Insurance Limited was a publicly listed company in
Australia.  Prior to its collapse in 2001, the HIH Group was the
second largest general insurer in Australia and had operations
in many other countries.

On March 15, 2001, HIH Insurance Limited and a number of its
subsidiaries were placed into provisional liquidation.
Subsequently, on Aug. 27, 2001, the companies that were in
provisional liquidation were placed into liquidation.

Schemes of Arrangement are now in place for eight of those
companies.  The eight licensed insurance companies within the
group were placed into Schemes of Arrangement in Australia  on
May 30, 2006.  Four of these companies were also placed into
Schemes of Arrangement in the UK on June 13, 2006.

The Scheme Administrators have made initial payments to certain
creditors and will make further payments over the coming years,
HIH said on its Web site.


VALAD PROPERTY: Replies to ASX's Query on Sudden Stock Price Hike
-----------------------------------------------------------------
Valad Property has told the Australian Securities Exchange that it
has no idea of the reasons behind the sudden increase in its
securities price, The Age reports.

According to the report, Valad was issued on Tuesday, April 21,
with a price query after its rise from 4.2 cents on the close
Thursday, April 16 to a close April 21 of 5.8 cents on higher-
than-average turnover.

The Age relates that there has been persistent speculation that,
at these prices, Valad is a sitting takeover target.  Competitors,
such as Dexus Property, have been named as possible suitors, but
so far nothing has emerged, the report says.

For the first half ended December 2008, Valad reported a loss of
$821 million and reduced executives' pay by 20%.  The report notes
the group also confirmed it has secured an 11th-hour deal with its
bankers.

As reported by The Troubled Company Reporter-Asia Pacific on
October 15, 2008, Valad Property Group said it has withdrawn its
earnings guidance of 7 to 9 cents per stapled security given in
August 2008 as a result of the on-going unprecedented
deterioration in financial and other markets, particularly over
the past two weeks.  The company said it is not comfortable
providing a forecast to the market until there is more stability
in the markets within which it operates.

Additionally, the company said it has decided to cancel the
interim distribution payable in February 2009, and will assess the
payment of a final distribution in August 2009, closer to that
time, taking account of the then prevailing market conditions.

Citing various reports, the TCR-AP reported on October 13, 2008,
that Valad's shares fell 50% to 12.5 cents on October 9, 2008,
after the company revealed a AU$31.1 million exposure to Brisbane
developer Petrac.

Valad's exposure to these projects is AU$31.1 million by way of
preferred equity which is secured by second mortgages.  Valad had
further undrawn commitments of AU$3.9 million relating to these
projects, however the appointment of receivers has effectively
cancelled this obligation.

In addition to these projects, Valad said it has a total of
AU$44.4 million invested in three other Petrac projects and five
retirement joint venture vehicles with Petrac and Harvest.
Valad's undrawn commitment associated with these projects is
AU$49.8 million.

Valad reported a net loss of AU$249.7 million for the year ended
June 30, 2008, compared with a net income of AU$109.1 million in
the prior year.

                       About Valad Property

Valad Property Group (ASX:VPG) -- http://www.valad.com.au -- is
engaged in passive property ownership, property development and
trading, property funds management and capital services.  The
company operates in four segments.  It owns rental income
producing passive properties throughout Australia, New Zealand and
Europe.  These include long term hold investments producing a
recurring stream of income to the company.  Most of the passive
property ownership interests are held in Valad Property Trust.
The property development and trading segment develops and trades
assets and also creates a pipeline of products for Valad's managed
funds.  The funds management establishes and manages listed and
unlisted property funds.  The Valad capital services segments
provides property structured finance and investment banking
services to external parties, and has invested in a portfolio
across asset classes, including commercial, retail, industrial,
residential and retirement.  In July 2007, it acquired Scarborough
Group and Valad (Hurst) Limited.



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C H I N A
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GREENTOWN CHINA: To Buyback 2013 Senior Notes
---------------------------------------------
Chia-Peck Wong at Bloomberg News reports Greentown China Holdings
Ltd. is seeking to repurchase all US$400 million of 9 percent
senior notes due in 2013 at 85 cents on the dollar.

The company will fund the purchase from "internal resources,"
including proceeds from the partial sale of its stakes in two
units to a trust, Greentown said in a stock exchange statement
obtained by Bloomberg News.

The report recalls Greentown last week said it will transfer its
stakes in two units to a trust to cut debt and aid financing.
Delays in the completion of some projects and the adverse effect
of the slowdown in China's property market had led Greentown to
"significantly increase" bank loans in China last year, the
company said as cited in the report.

According to Bloomberg News, China's property prices fell by a
record in March and new construction tumbled in the first quarter,
squeezing cash at some builders, including Greentown, whose
interest expenses more than tripled in the first half of last
year.

As reported in the Troubled Company Reporter-Asia Pacific on
Apr. 20, 2009, Standard & Poor's Ratings Services said its "BB-"
rating and Negative outlook on Greentown were not immediately
affected by the company's partial disposal of two property
development projects to a trust for financing.  In S&P's view, the
higher borrowing cost of the trust loans compared with
construction/project loans are mitigated by a more flexible usage
of the loans other than for construction.  An extensive use of the
trust loans could, however, affect the average borrowing cost and
may significantly reduce Greentown's profitability, the rating
agency said.

A TCR-AP report on Apr. 17, 2009 said Moody's Investors Service
put Greentown China Holdings Limited's "B1" corporate family
rating and "B2" senior unsecured bond rating on review for
possible downgrade after Greentown's announcement that it has
entered into an agreement to obtain a high-cost trust financing.

                      About Greentown China

Hong-Kong based Greentown China Holdings Limited (HKG:3900) ---
http://www.chinagreentown.com/--- is an investment holding
company.  The Company together with its subsidiaries is engaged in
the property development in the People's Republic of China.  The
subsidiaries of the Company are Zhejiang Jiahe Industrial Co.,
Ltd. (Zhejiang Jiahe), Nanjing Tianpu Real Estate Co., Ltd.
(Nanjing Tianpu), Hangzhou Qiandaohu Greentown Real Estate Co.,
Ltd. (Hangzhou Qiandaohu), Tonglu Jiuzhou Real Estate Co., Ltd.
(Tonglu Jiuzhou), Yangshengtang Zhejiang Qiandaohu Real Estate
Development Co., Ltd., Zhongji Group (HK) Int'l Financial
Investment Limited (Zhongji Group), De He International Industrial
Limited (De He), Zhoushan Ruifeng Real Estate Development Co.,
Ltd. ( Zhoushan Ruifeng), Zhoushan Shunfan Real Estate Development
Co., Ltd.( Zhoushan Shunfan), Zhoushan Zhuocheng Real Estate
Development Co., Ltd. (Zhoushan Zhuocheng) and Zhoushan Mingcheng
Real Estate Development Co., Ltd. (Zhoushan Mingcheng).



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

BEAUTY SQUARE ET AL: Members' and Creditors' Meeting Se for May 18
------------------------------------------------------------------
On May 18, 2009, Chan Kin Hang Danvil will give a report on the
comapanies' wind-up proceedings and property disposal to the
members and creditors of:

   -- Beauty Square Limited
   -- Jet River Limited;
   -- JHT Capital Limited;
   -- Peplink Limited;
   -- Unitech Computer Systems Limited;
   -- Hotel Tycoon Travel Limited;
   -- EMH Transportation Limited;
   -- Chek V'Go Spring Metal Co Limited; and
   -- Higashi (H.K.) Corporation Limited.

The meeting will be held at Founder's Room, 3rd Floor of South
Tower, 41 salisbury Road, YMCA of Hong Kong Tsimshatsui, in
Kowloon, Hong Kong.


BEST WESTERN: Members' Meeting Set for May 19
---------------------------------------------
The members of Best Western (Hong Kong) Limited will hold their
meeting on May 18, 2009, at 9:30 a.m., at the 35th Floor of One
Pacific Place, in 88 Queensway, Hong Kong.

At the meeting, Lai Kar Yan, Derek and Darach Eoghan Haughey, the
company's liquidators, will give a report on the company's wind-up
proceedings and property disposal.


DE SEDE: Members' Meeting Set for May 18
----------------------------------------
The members of De Sede Hong Kong Limited will hold their meeting
on May 18, 2009, at 10:00 a.m., at Level 28 of Three Pacific
Place, in 1 Queen's Road East, Hong Kong.

At the meeting, Ying Hing Chiu, the company's liquidator, will
give a report on the company's wind-up proceedings and property
disposal.


DEBTTRADERS LIMITED: Inability to Pay Debts Prompts Wind-Up
-----------------------------------------------------------
At an extraordinary general meeting held on April 6, 2009, the
members of Debttraders, Limited resolved to voluntarily wind up
the company's operations due to its inability to pay debts when it
fall due.

The company's liquidators are:

          Lai Kar Yan (Derek)
          Darach E. Haughey
          One Pacific Place, 35th Floor
          88 Queensway
          Hong Kong


EASTERN ALPHA ET AL: Annual Meetings Set for May 12
---------------------------------------------------
On May 12, 2009, Jacky CW Muk, will give a report on the companies
wind-up proceedings and property disposal to the members and
creditors of:

   -- Eastern Alpha Investment Limited at 9:00 a.m. and
      10:00 a.m., respectively;
   -- Eastern Wood Investment Limited at 9:15 a.m. and 10:30 a.m.,
      respectively;
   -- Regent Bonus Investment Limited at 9:30 a.m. and 11:00 a.m.,
      respectively; and
   - World Universal Investment Limited at 9:45 a.m. and
      11:30 a.m. respectively.

The meetings will be held at the 27th Floor of Alexandra House, 18
Chater Road, in Central, Hong Kong.


KONG WAH: Creditors' Meeting Set for April 24
---------------------------------------------
The creditors of Kong Wah Industrial (China) Investment Company
Limited will hold their meeting on April 24, 2009, at 2:30 p.m.,
for the purposes set out in Sections 241, 242, 243, 244, 251(a),
255A(2) and 283 of the Companies Ordinance.

The meeting will be held at  1401, Level 14, Tower 1 of Admiralty
Centre, in 18 Harcourt Road, Hong Kong.


PAK LEE: Members' Meeting Set for May 18
----------------------------------------
The members of Pak Lee Stock Company Limited will hold their
meeting on May 18, 2009, at 10:00 a.m., at Suite 1807 of The
Gateway, Tower II, 25 Canton Road, Tsimshatsui, in Kowloon,
Hong Kong.

At the meeting, Lam Chung Wah, David, the company's liquidator,
will give a report on the company's wind-up proceedings and
property disposal.


STAR CRUISES: Moody's Withdraws 'B1' Corporate Family Rating
------------------------------------------------------------
Moody's Investors Service has withdrawn the B1 corporate family
rating of Star Cruises Limited.

Moody's has withdrawn this rating for business reasons.

The last rating action with regard to SCL was taken on Sept. 5,
2008, when the company's B1 rating was confirmed with a negative
outlook.

Star Cruises Limited, publicly listed in Hong Kong, is 19.3% owned
by Resorts World Bhd, which is, in turn, 48.41% owned by Genting
Berhad.


TOP SUN: Creditors' Meeting Set for May 5
-----------------------------------------
The creditors of Top Sun Manufacturing Company Limited will hold
their meeting on May 5, 2009, at 10:00 a.m. for the purposes set
out in Sections 241, 242, 243, 244, 251(a), 255A(2) and 283 of the
Companies Ordinance.

The meeting will be held at the 8th Floor of Li Po Chun Chambers,
189 Des Voeux Road, in Central, Hong Kong.


YUE KING: Members' Meeting Set for May 18
-----------------------------------------
The members of Yue King Enterprises Limited will hold their
meeting on May 18, 2009, at 11:00 a.m., at Flat G, 7th Floor of
New Lucky House, in 300-306 Nathan Road, Kowloon.

At the meeting, Chan Shu Kin and Chow Chi Tong, the company's
liquidators, will give a report on the company's wind-up
proceedings and property disposal.



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I N D I A
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ICICI BANK: Cuts Lending Rates to 16.25%
----------------------------------------
ICICI Bank Ltd has slashed its benchmark lending rate by 50 basis
points, a move that would benefit millions of home, consumer and
corporate loan borrowers, The Economic Times reports.

The report, citing ICICI Bank in a statement, says the benchmark
advance rate will be reduced by 50 basis points to 16.25 per cent
effective April 22.

The bank, according to the report, also decided to reduce deposit
rates by 25-50 basis points across various tenors with effect from
April 24, 2009.

The report says the bank has also reduced the floating reference
rate by half a percentage point to 13.25 per cent.

Headquartered in Mumbai, India, ICICI Bank Limited (NYSE:IBN) --
http://www.icicibank.com/-- is a private sector bank with
consolidated total assets of US$121 billion as of March 31,
2008.  ICICI Bank's subsidiaries include India's leading private
sector insurance companies and among its largest securities
brokerage firms, mutual funds and private equity firms.  ICICI
Bank's presence currently spans 19 countries, including India.

                          *     *     *

As reported in the Troubled Company Reporter-Asia Pacific on
November 21, 2008, Fitch Ratings affirmed ICICI Bank Ltd.'s Long-
term Foreign Currency Issuer Default Rating at 'BBB-, Short-term
Foreign Currency IDR at 'F3' and Support Rating Floor at 'BBB-'.
Simultaneously the Individual rating and Support ratings were
affirmed at 'C' and '2', respectively, although both these ratings
face downward pressure.  The agency also affirmed its Long-
term senior debt rating at 'BBB-' and Long-term rating of its
perpetual hybrid debt and Upper Tier 2 subordinated debt at 'BB'.
The Outlook is Stable.


KASHI VISHWANATH: CRISIL Assigns 'B' Rating on Rs.473.5MM LT Loan
-----------------------------------------------------------------
CRISIL has assigned its ratings of 'B/Negative/P4' to the various
bank facilities of Kashi Vishwanath Textile Mill Ltd (KVTML).

   Rs.473.5 Million Long Term Loan   B/Negative (Assigned)
   Rs.120 Million Cash Credit        B/Negative (Assigned)
   Rs.1.5 Million Letter of Credit   P4 (Assigned)
   Rs.15 Million Bank Guarantee      P4 (Assigned)

The ratings reflect KVTML's weak financial profile marked by high
gearing and weak debt coverage indicators, small scale of
operations, and exposure to risks relating to cyclicality in the
textile industry.  These weaknesses are, however, partially offset
by KVTML's ability to cater to small volumes in diverse product
categories in the North Indian market.

Outlook: Negative

CRISIL believes that KVTML's liquidity position will remain
strained on account of low cash accruals and large working capital
requirements.  The outlook may be revised to 'Stable' if the
company reports higher-than-expected increase in revenues and
profitability, and significant equity infusions, leading to
improvement in overall liquidity.  Conversely, the rating may be
downgraded if the company reports substantial deterioration in
profitability, or undertakes large, debt-funded capital
expenditure.

                      About Kashi Vishwanath

Incorporated by Mr. Yogesh Kumar Jindal in 1996, KVTML
manufactures grey and dyed, 100 per cent polyester, polyester
viscose (PV), and polyester acrylic (PA) yarn.  The company is
part of the KVS group, which has interests in the steel business.
The company is based in Kashipur (Uttarakhand).  KVTML reported a
profit after tax (PAT) of Rs. 16.0 million on net sales of Rs. 546
million for 2007-08 (refers to financial year, April 1 to
March 31), as against a PAT of Rs. 17.2 million on net sales of
Rs. 389 million for 2006-07.


KINGFISHER AIRLINES: More Pilots Consider Resigning
---------------------------------------------------
The Hindu Business Line reports that 20 pilots from Kingfisher
Airlines have tendered their resignation from the company and 16
more are likely to quit in the next few months.

The report, citing a company source, says the pilots were unhappy
with the deteriorating service conditions and the recent
restructuring in their pay scales.

According to the report, the source said Kingfisher in February,
slashed salaries of its pilots by 15-20 per cent amounting to a
cut in the range of Rs 50,000 to Rs 75,000 a month based on the
company's productivity-linked compensation structure.

Citing an affected pilot, the report relates Kingfisher justified
salary cut saying it depended on the number of flying hours, which
has come down to about 25-30 hours against the 70 hours mentioned
in the contract.  "But it is not pilots' fault.  It's the airline
that is cutting down on aircraft," the pilot said.

Some exiting pilots are believed to have received offer letters
from competing airlines, the report says.

The Troubled Company Reporter-Asia Pacific, citing The Financial
Express, reported on April 21, 2009, that about a dozen pilots of
Kingfisher Airlines have petitioned the Directorate General of
Civil Aviation ("DGCA") seeking a directive to the airline to
waive the mandatory six-month notice before quitting.

The report relates the pilots said they are seeking the waiver as
the airline has already breached their contracts by altering some
service conditions including changes in the salary structure.

According to the Express, Kingfisher Airline pilots have been up
in arms against the management for quite some time now over
alleged changes in their service contracts, especially after the
airline slashed their salaries by Rs 80,000 in February this year.

Headquartered in Mumbai, India, Kingfisher Airlines --
http://www.flykingfisher.com/ -- formerly known as Deccan
Aviation Ltd, serves about 35 domestic destinations with a fleet
of more than 40 aircraft, including Airbus jets and ATR 72
turboprops.  It maintains bases in major cities such as Delhi and
Mumbai.  Kingfisher Airlines is a unit of UB Holdings, best known
for its United Breweries unit, and the carrier shares the
Kingfisher brand with a popular Indian beer.  UB Holdings also
owns a stake in another domestic carrier, Air Deccan, whose
operations it combined with Kingfisher Airlines in mid-2008.
Kingfisher Airlines began flying in 2005.

                          *     *     *

In the financial year ended June 30, 2007, Deccan Aviation
reported a net loss of INR4.2 billion, up 23% from the
INR3.41 billion loss incurred in FY 2006.

In the financial year ended March 31, 2008, Kingfisher Airlines
reported a net loss of INR1.89 billion.


MESO PRIVATE: CRISIL Rates Rs.120MM Export Packing Loan at 'BB'
---------------------------------------------------------------
CRISIL has assigned its ratings of 'BB/Stable/P4' to the bank
facilities of MESO Pvt Ltd (MPL).

   Rs.120 Million Export Packing     BB/Stable (Assigned)
                   Credit Facility
   Rs.30 Million Letter of Credit    P4 (Assigned)

The ratings reflect MPL's working capital-intensive operations,
and exposure to risks relating to customer concentration in its
revenue profile.  These weaknesses are partially offset by MPL's
strong financial risk profile, marked by low gearing and
comfortable net worth, and its established presence in key markets
for perfumes and cosmetic products.

Outlook: Stable

CRISIL expects MPL's operating margins to remain constrained over
the near to medium term because of the slowdown in its end-user
markets.  The outlook may be revised to 'Positive' if MPL
increases its sales while maintaining stable operating margins.
Conversely, the outlook may be revised to 'Negative' if the
company reports delay in recovery of receivables, posts decline in
margins, or undertakes large debt-funded capital expenditure,
thereby impacting its debt-servicing ability.

                          About MESO Pvt

Incorporated in 1997, MPL (formerly, Mercantile Essential Oil
Company) manufactures and exports perfumes and cosmetic products.
The business, originally a partnership, was converted to a private
limited company in 1997.  The company's products include beauty
and make-up preparations, hair care products, and fragrances.  The
company has a manufacturing facility at Kandla (Gujarat).

For 2007-08 (refers to financial year, April 1 to March 31), MPL
reported a profit after tax (PAT) of Rs.33 million on net sales of
Rs.379 million, as against a PAT of Rs.44 million on net sales of
Rs.412 million for 2006-07.


PATEL KENWOOD: CRISIL Puts 'BB' Rating on Various Bank Facilities
-----------------------------------------------------------------
CRISIL has assigned its ratings of 'BB/Stable/P4' to the bank
facilities of Patel Kenwood Private Limited (PKPL).

   Rs.40.1 Million Long-Term Loan        BB/Stable (Assigned)
   Rs.14.0 Million Cash Credit Limits   BB/Stable (Assigned)
   Rs.7.5 Million Letter of Credit      P4 (Assigned)

The ratings reflect PKPL's stable business risk profile supported
by high operating margins, good off-take, and stable relationships
with customers.  These rating strengths are partially offset by
the company's average financial risk profile marked by a high
gearing despite the recent equity infusion, and the commoditised
nature of its business segment, which is marked by low entry
barriers.

Outlook: Stable

CRISIL believes that PKPL will maintain its overall credit risk
profile on the back of its promoter's experience and expected
revenues from the windmill.  The outlook could be revised to
'Positive' if PKPL improves its financial risk profile, especially
its gearing.  Conversely, the outlook may be revised to 'Negative'
in case of deterioration in the company's financial risk profile
because of large debt-funded capital expenditure, or decrease in
operating profitability, or impact of economic slowdown on
operating margins.

                       About Patel Kenwood

Incorporated in 1997, PKPL manufactures wood-free particle boards
in Surat, Gujarat.  It was promoted by the Ankleshwar-based Patel
family, headed by Mr. Chhaganbhai Patel.  Between 1997 and 2006,
Patel Kenwood was engaged in importing and trading of wood.  The
wood trading business has been stopped to set-up a particle board
unit. For 2007-08 (refers to financial year, April 1 to March 31),
PKPL reported a profit after tax of Rs.9.1 million on net sales of
Rs.87.5 million, as against Rs.0.1 million and Rs.50.5 million,
respectively, in the preceding year.


SATHYASREE DEVELOPERS: CRISIL Rates Rs.80MM Long Term Loan at 'B'
-----------------------------------------------------------------
CRISIL has assigned its rating of 'B/Negative' to the term loan
facility of Sathyasree Developers Pvt Ltd (SDPL).

   Rs.80.0 Million Long Term Loan   B/Negative (Assigned)

The rating reflects SDPL's exposure to risks inherent to real
estate projects and geographical concentration in revenues.  These
rating weaknesses are mitigated by the extensive experience of
SDPL's promoters in the real estate development business.

Outlook: Negative

CRISIL believes that SDPL's liquidity will remain constrained
because of the uncertainty in its cash flows in the wake of the
ongoing slowdown in real estate demand.  The rating may be
downgraded in case of deterioration in SDPL's financial risk
profile, because of lower-than-expected revenues from, or time and
cost overruns in, its ongoing realty project.  Conversely, the
outlook may be revised to 'Stable' if SDPL completes its ongoing
project on schedule and finalises sale contracts of all saleable
units without diluting the realisations.

                   About Sathyasree Developers

Promoted in April 2007 by Mr. J Chandrashekhar, Mr. R Durgaram,
and Mr. Arun Vijaay Malli, SDPL is developing a residential
apartments project named "Satya Elite" at Madurai comprising of 92
flats with a total built up area of 155222 square feet.


TIRUPATI INFRA: CRISIL Puts 'B+' Rating on Rs.3000 Mln Term Loan
----------------------------------------------------------------
CRISIL has assigned its rating of 'B+/Negative' on the term loan
bank facility of Tirupati Infraprojects Pvt Ltd (TIPL).

   Rs.3000.0 Million Term Loan     B+/Negative (Assigned)

The rating reflects TIPL's exposure to risks relating to time and
cost overruns on its ongoing business-hotel-cum-shopping-mall
project at Paschim Vihar, New Delhi.  The rating is also
constrained by the fact that the revenue agreements for the
project are yet to be tied up.  These weaknesses are, however,
partially offset by the benefits that TIPL derives from the strong
growth prospects of the hospitality and entertainment sectors in
India.

Outlook: Negative

CRISIL's negative outlook reflects high project implementation
risks and high financial risks as the revenue agreements are yet
to be tied up.  The rating may be downgraded in case of
significant time and cost overruns leading to delays in completion
of construction.  Conversely, the outlook may be revised to
'Stable' in case of revenue tie ups for the project and scheduled
construction progress ensuring timely completion.

                            About TIPL

Promoted by Mr. Subhash Dabas, TIPL is part of the Mera Baba
Realty and Associates group.  The group has interests in
businesses such as real estate development, and construction of
public schools and shopping malls.  TIPL has been formed as part
of the group's plan to enter the hospitality segment.  The company
is currently constructing a business hotel cum shopping mall
complex at Paschim Vihar, New Delhi.  The project is expected to
cost Rs.5.41 billion, and is expected to be completed by April
2010.


VIKRAM HOSPITAL: CRISIL Places 'BB+' Rating on Rs.510.2MM LT Loan
-----------------------------------------------------------------
CRISIL has assigned its rating of 'BB+/Stable' to the bank
facilities of Vikram Hospital Pvt Ltd (VHPL).

   Rs.510.2 Million Long Term Loan      BB+/Stable (Assigned)
   Rs.36.6 Million Cash Credit Limit    BB+/Stable (Assigned)


The rating reflects VHPL's small scale of operations and exposure
to risks relating to geographical concentration of revenues and
project implementation.  These weaknesses are partially offset by
VHPL's established presence in the tertiary health care segment,
and its healthy operating efficiencies.

Outlook: Stable

CRISIL believes that VHPL will maintain its stable business and
financial risk profiles over the medium term supported by its
established brand name, efficient operations, and experienced
management.  The outlook may be revised to 'Positive' if the
company's financial risk profile improves as a result of
successful implementation of the ongoing expansion project.
Conversely, the outlook may be revised to 'Negative' if there is a
significant deterioration in VHPL's financial risk profile due to
time or cost overruns in the proposed expansion project, or if it
undertakes large debt-funded capital expenditure.

                      About Vikram Hospital

Incorporated in 2002 by Dr. S B Vikram in Mysore, VHPL specialises
in tertiary healthcare besides providing other healthcare-related
services.  Its infrastructure consists of a 104-bed hospital with
four operation theatres, a pharmacy, and blood bank.  VHPL
reported a profit after tax (PAT) of Rs.23.7 million on net sales
of Rs.273.8 million for 2007-08 (refers to financial year, April 1
to March 31), as against a net loss of Rs.1.2 million on net sales
of Rs.201 million for 2006-07.


WANBURY LTD: Fitch Downgrades National Long-Term Rating to 'BB+'
----------------------------------------------------------------
Fitch Ratings has downgraded India-based Wanbury Ltd's National
Long-term rating to 'BB+' from 'BBB(ind)'.  The Outlook is Stable.
Fitch has simultaneously downgraded Wanbury's rated instruments
outstanding as on May 2008:

  -- INR2,852 million long-term bank loans to 'BB+' from
     'BBB(ind)';

  -- INR410 million fund-based cash credit limits to 'BB+' from
     'BBB(ind)';

  -- INR140 million fund-based limits to 'F4' from 'F3(ind)'; and

  -- INR302 million non fund-based limits to 'F4' from 'F3(ind)'.

The rating action reflects the deterioration in Wanbury's earnings
as compared to earlier expectations; a bulk of this deterioration
was due to provisions for unrealized losses created upon
revaluation of euro-denominated foreign currency convertible bonds
and partly due to cash losses on account of foreign exchange
contracts.  The company currently has outstanding foreign exchange
contracts lasting till May 2010, which could expose the company to
additional risks in the event of further volatility in exchange
rates.  The ratings further reflect the liquidity pressures
Wanbury faced in FY08 due to a delay in the receipt of bank
sanctions for incremental working capital, which has impacted
operating cash flow.

The ratings also reflect the delay in the realization of
integration benefits and earnings from the Cantabria acquisition
undertaken by the company in FY08.  In lieu of the performance,
the company has reached a non cash settlement with the erstwhile
owner of Cantabria through the transfer of a brand valued at
approximately EUR3.5 million for a payout of approx EUR8 million.
This has resulted in a reduction in the consideration paid for the
acquisition, and a draw down of EUR23 million, instead of the
earlier anticipated amount of EUR34 million.  The company is
currently negotiating with the lenders to reduce the repayments
accordingly, while at the same time extending the maturity of the
loan; the extended maturities should provide Cantabria with
additional liquidity to support its operating business.  Although
Wanbury had provided a back stop to Cantabria's loans by way of a
guarantee, the agency understands that the same has not been
invoked.

A combination of these factors has resulted in lower than expected
improvements in the company's leverage.  For FY08, the company's
consolidated adjusted debt/EBITDA was 8.0x on an annualized basis.
The agency notes that at the time of assigning the rating, less
than anticipated improvements in leverage, and/or a delay in the
realization of benefits from the Cantabria acquisition were
stipulated as negative rating factors.

Fitch has maintained a Stable Outlook on the rating mainly due to
the strength of Wanbury's growing domestic business, with its
established position in the API market, leading market share in
Metformin (anti-diabetic), Tramadol (anti- analgesic) and the
growing formulation business.  The agency also notes that the
company has been focusing on improving the operations at
Cantabria, including restructuring the sales force and the launch
of new molecules, which could result in improvements in earnings
and leverage when these benefits are realized.  On a consolidated
basis, with a strong product pipeline lined up for Cantabria, the
company could see a stronger performance in the future.  However,
the agency would like to see a demonstration of the same before
factoring the full benefit into the rating.

For the 18-month period ending 30 September 2008 (FY08), the
company reported consolidated revenues INR6.1 billion, with an
EBITDA margin of 13.8%.  The adjusted debt/EBITDA for the period
was 5.3x, whilst EBITDA/ interest was 2.3x.  For Q1FY09, Wanbury's
standalone revenues grew to INR836 million (INR561 million in
Q1FY08), whilst EBITDA margins reduced to 11% in Q1FY09 (15% in
Q1FY08) primarily due to the exchange related losses.


WANBURY LTD: Fitch Corrects Press Release; Cuts Rating to 'BB+'
---------------------------------------------------------------
This announcement replaces the announcement published earlier.  It
corrects the ratings to National ratings:

Fitch Ratings has downgraded India-based Wanbury Ltd's National
Long-term rating to 'BB+(ind)' from 'BBB(ind)'. The Outlook is
Stable.  Fitch has simultaneously downgraded Wanbury's rated
instruments outstanding as on May 2008,:

  -- INR2,852 million long-term bank loans to 'BB+(ind)' from
     'BBB(ind)';

  -- INR410 million fund-based cash credit limits to 'BB+(ind)'
     from 'BBB(ind)';

  -- INR140 million fund-based limits to 'F4(ind)' from 'F3(ind)';
     and

  -- INR302 million non fund-based limits to 'F4(ind)' from
     'F3(ind)'.

The rating action reflects the deterioration in Wanbury's earnings
as compared to earlier expectations; a bulk of this deterioration
was due to provisions for unrealized losses created upon
revaluation of Euro denominated FCCB's and partly due to cash
losses on account of foreign exchange contracts.  The company
currently has outstanding foreign exchange contracts lasting till
May 2010, which could expose the company to additional risks in
the event of further volatility in exchange rates. The ratings
further reflect the liquidity pressures Wanbury faced in FY08 due
to delay in receipt of bank sanctions for incremental working
capital, which has impacted operating cash flow.

The ratings also reflect the delay in the realization of
integration benefits and earnings from the Cantabria acquisition
undertaken by the company in FY08.  In lieu of the performance,
the company has reached a non cash settlement with the erstwhile
owner of Cantabria through the transfer of a brand valued at
approx EUR3.5 million for a payout of approx EUR8 million.  This
has resulted in a reduction in the consideration paid for the
acquisition, and a draw down of EUR23 million, instead of the
earlier anticipated amount of EUR34 million.  The company is
currently negotiating with the lenders to reduce the repayments
accordingly, whilst at the same time extending the maturity of the
loan; the extended maturities should provide Cantabria with
additional liquidity to support its operating business.  Although
Wanbury had provided a back stop to Cantabria's loans by way of a
guarantee, the agency understands that the same has not been
invoked.

A combination of these factors has resulted in lower than expected
improvements in the company's leverage.  For FY08, the company's
consolidated adjusted debt/EBITDA was 8.0x on an annualized basis.
The agency notes that at the time of assigning the rating, less
than anticipated improvements in leverage, and/or a delay in the
realization of benefits from the Cantabria acquisition were
stipulated as negative rating factors.

Fitch has maintained a Stable Outlook on the rating mainly due to
the strength of Wanbury's growing domestic business, with its
established position in the API market, leading market share in
Metformin (anti-diabetic), Tramadol (anti- analgesic) and the
growing formulation business.  The agency also notes that the
company has been focusing on improving the operations at
Cantabria, including restructuring the sales force and the launch
of new molecules, which could result in improvements in earnings
and leverage when these benefits are realized. On a consolidated
basis, with a strong product pipeline lined up for Cantabria the
company could see a stronger performance in the future.  However,
the agency would like to see a demonstration of the same before
factoring the full benefit into the rating.

For the 18-month period ending 30 September 2008 (FY08), the
company reported consolidated revenues INR6.1 billion, with an
EBITDA margin of 13.8%.  The adjusted debt/EBITDA for the period
was 5.3x, whilst EBITDA/ interest was 2.3x.  For Q1FY09, Wanbury's
standalone revenues grew to INR836 million (INR561 million in
Q1FY08), while EBITDA margins reduced to 11% in Q1FY09 (15% in
Q1FY08) primarily due to the exchange related losses.



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

BANK IFI: Central Bank Revokes Operating License
------------------------------------------------
The Jakarta Post's Aditya Suharmoko reports Bank Indonesia ("BI"),
the country's central bank, revoked the operating license of Bank
IFI after the bank's capital dropped due to a rise in non-
performing loans (NPLs).

According to the report, Bank IFI, a small lending bank based in
Jakarta, had been under BI supervision since last September as its
gross NPLs rose to 24 percent and its capital adequacy ratio (CAR)
dropped to below 8 percent, the minimum required.  The maximum
tolerance of NPLs under BI rules is 5 percent, the report notes.

The report relates as of March, IFI had Rp 355.8 billion of third-
party funds in 9,669 accounts.  The bank's loans stood at Rp 261.9
billion.

The report discloses up to Rp 164.6 billion worth of deposits will
be fully guaranteed by the LPS, but the remaining Rp 191.2 billion
were in the form of savings above Rp 2 billion which are not
guaranteed by the Deposit Insurance Corporation (LPS).


BANK IFI: Executives Banned from Travelling; Gov't. To Probe Case
-----------------------------------------------------------------
The Indonesian immigration office has imposed a travel ban on Bank
IFI's five executives including Bambang Rachmadi (a shareholder),
Bambang Arianto (IFI president director) and Agus Suyanto
(director of compliance), after the bank went into liquidation,
Jakarta Post reports.

The government may also launch an investigation into the case of
the liquidated bank, the report adds.

"From the governance side, if there is misconduct, there will be
an investigation by the Deposit Insurance Corporation (LPS), in
cooperation with the (National) Police," Finance Minister Sri
Mulyani Indrawati was quoted by The Post as saying.

According to The Post, Bank Indonesia ("BI"), the country's
central bank, revoked the operating license of Bank IFI after the
bank's capital dropped due to a rise in non-performing loans
(NPLs).

The report relates that Bank IFI, a small lending bank based in
Jakarta, had been under BI supervision since last September as its
gross NPLs rose to 24 percent and its capital adequacy ratio (CAR)
dropped to below 8 percent, the minimum required.  The maximum
tolerance of NPLs under BI rules is 5 percent, the report notes.


CP PRIMA: Bapepam Allows 50% Shareholders' Attendance at Meeting
----------------------------------------------------------------
The Capital Market and Financial Institutions Supervisory Agency
(Bapepam-LK) has allowed a minimum of 50 percent of PT Central
Proteinaprima Tbk's (CP Prima) independent shareholders to attend
a second shareholders meeting to approve a contentious rights
issue, Jakarta Globe reports.

Bapepam's recent decision was considered more accomodating as it
earlier cancelled CP Prima's IDR1.75 trillion rights issue on the
grounds that the company had failed to satisfy the attendance
quorum for minority shareholders, the Troubled Company Reporter-
Asia Pacific reported on March 17, 2009, citing the Jakarta Globe.

On the other hand, Bapepam-LK asked the company to address two
more issues - the conversion of a subordinated loan from PT Surya
Hidup Satwa and a 2007 loan agreement between CP Prima and
creditor Surya Hidup, saying that CP Prima would have to secure
shareholder approval for recent amendments to this agreement, the
report adds.

PT Central Proteinaprima, headquartered in Jakarta, is Indonesia's
largest exporter of frozen shrimp to the US, the world's largest
market.  It is Indonesia's leader in shrimp fry, shrimp feed and
fish feed production.  Its products also include poultry feed,
day-old chicks and probiotics.

                          *     *     *

As reported by the Troubled Company Reporter-Asia Pacific on
March 6, 2009, Moody's Investors Service downgraded to B3 from B2
the corporate family rating and senior secured bond rating of PT
Central Proteinaprima.  At the same time, PT Moody's Indonesia
downgraded CPP's national scale issuer rating to Ba1.id from
Baa2.id.  The outlook on all ratings is negative.

The TCR-AP also reported on March 2, 2009, that Fitch Ratings
affirmed Indonesia's PT Central Proteinaprima Tbk's Long-term
foreign currency Issuer Default Rating and senior unsecured
ratings at 'B'.  The Outlook is Negative.


UOB BUANA: Workers to Take Strike Action by end of April
--------------------------------------------------------
The UOB Buana Bank workers union is planning another strike action
by the end of this month, The Jakarta Post reports.

"We plan another strike.  It may happen by late April as we need
to send notification to the management and the related ministry,"
UOB labor union secretary general Endang Sutisna told The Jakarta
Post over the phone.

According to the Post, Endang said that the decision for another
strike was taken after the latest meeting with the bank, a local
subsidiary of Singapore-based United Overseas Bank Ltd, had failed
to reach an agreement.

He said that the top management in Singapore had not answered the
workers' demands, including a pay rise and annual bonus payment.

The report relates that the planned strike will be the follow-up
to the first strike that was launched on April 6-8, disrupting the
bank's operations nationwide with 4,000 workers from 23 branches
joining in.

Established in 1956, Buana is ranked among the 20 largest banks in
Indonesia.  UOB first acquired a 23% stake in Buana in June 2004
and later raised it to 98.997% in October 2008 through a tender
offer.  The bank currently employs 5,800 workers and operates 35
branches nationally.


                         *     *     *

As reported by the Troubled Company Reporter-Asia Pacific on
Nov. 14, 2008, Fitch Ratings affirmed PT Bank UOB Buana Tbk's
Long-term foreign and local currency Issuer Default Ratings at
'BB' with a Stable Outlook, Short-term foreign currency IDR at
'B', National Long-term Rating at 'AA+(idn)' with a Stable
Outlook, Individual Rating at 'C/D' and Support Rating at '3'.


PERTAMINA: To Transfer Management of 5 Subsidiaries to PPA
----------------------------------------------------------
Jakarta Post reports that PT Pertamina has signed an agreement
with Asset Management Company (PT PPA), in which the company will
transfer to PPA the management of its five subsidiaries namely:

   -- PT Pelita Air Service;
   -- PT Patra Jasa;
   -- PT Patra Dok Dumai;
   -- PT Usayana; and
   -- PT Seamless Pipe Indonesia Jaya.

"These companies are not in Pertamina's core business.  In this
agreement, we are not selling these companies to PPA, but we are
asking PPA to manage our shares in the companies", The Post quoted
Pertamina's Corporate Secretary Toharso as saying.

Pertamina also transfered the management of 11 of its property
assets to PPA, The Post noted.

                        About PT Pertamina

PT Pertamina (Persero) -- http://www.pertamina.com/-- is a
wholly state-owned enterprise.  The enactment of Oil and Gas Law
No. 22/2001 in November 2001 and Government Regulation
No.31/2003 has changed its legal status from a special state
owned enterprise into a Limited Liability Company.  In carrying
out its activities, PT Pertamina implements an integrated system
from upstream to downstream.  Pertamina operates seven oil
refineries with a total output capacity of around 1 million
barrels per day.  However, these refineries only cover about
three-quarters of domestic oil demand, the rest is supplied by
imports.

                         *     *     *

In August 2005, Pertamina's debt to United States firm Karaha
Bodas Company rose from IDR2.54 trillion to IDR2.99 trillion.
The debt had increased when, in 2003, a U.S. court ordered the
Company to pay compensation to KBC, relating to an international
arbitration decision, when the Indonesian Government halted a
geothermal project in Karaha Bodas, East Java.  Since that time,
the debt has steadily risen due to the Company's failure to pay
the compensation immediately.

A report by the Troubled Company Reporter-Asia Pacific on
Aug. 21, 2008, said the company owes more than IDR300 billion
(US$32.72 million) to Indonesian Steel Cylinder Producers
Association (Asitab), and the Indonesian Gas Stove Producers
Association (Apkogi).


PERUSAHAAN LISTRIK: Seeking Hedging Facilities From Banks
---------------------------------------------------------
PT Perusahaan Listrik Negara (PLN) will invite banks to assist
with debt hedging, The Jakarta Post reports citing a PT PLN senior
official.

According to the report, PLN's finance director Setio Anggoro Dewo
said that hedging was needed to anticipate further losses that may
be suffered by the firm due to Rupiah depreciation.

A selection process has been opened for local as well as overseas
banks to provide hedging facilities for up to US$3.3 billion of
company debts, Mr. Setio said as cited in the report.  He said the
first transaction is expected to be done within two months.

"We have not decided  the portion of the debts we will hedge, but
normally a company can only hedge up to 50 percent of its debt,"
the report quoted Mr. Setio as saying.

PLN's outstanding US dollar debts were US$6.6 billion, the report
relates citing Mr. Setio.

Indonesian state utility firm PT Perusahaan Listrik Negara --
http://www.pln.co.id/-- transmits and distributes electricity
to around 30 million customers, roughly 60% of Indonesia's
population.  The Indonesian Government decided to end PLN's
power supply monopoly to attract independents to build more
capacity for sale directly to consumers, as many areas of the
country are experiencing power shortages.

                          *     *     *

PT Perusahaan Listrik Negara continues to carry a Ba3 corporate
family rating -dom curr with stable outlook.



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

CUBIC ONE: S&P Puts BB Rating on Class D of Notes on WatchNeg.
--------------------------------------------------------------
Standard & Poor's Ratings Services placed on CreditWatch with
negative implications its ratings on the class A to D limited
recourse secured floating rate credit-linked securities issued
under CuBic One Ltd.'s global corporate synthetic CLO notes series
2007-1 transaction.  CuBic One is a special-purpose company
incorporated in the Cayman Islands.

This is a synthetic balance sheet CLO transaction.  The portfolio
refers to loans originally extended to 128 non-Japanese global
entities and originated by Mizuho Corporate Bank Ltd. or MCB's
wholly owned overseas subsidiaries.  For the purpose of S&P's
rating analysis, S&P analyzed the internal scores assigned by MCB
and mapped them to Standard & Poor's ratings, and used the mapped
ratings for the reference entities that were not rated by Standard
& Poor's.

The CreditWatch placements reflect Standard & Poor's view that the
current ratings on the aforementioned class A to D notes may not
be maintained due to deterioration in the creditworthiness of some
of the entities in the reference pool.  Since some of the
aforementioned reference entities that have experienced
deterioration in their creditworthiness are unrated by Standard &
Poor's, S&P intends to increase its focus on information
concerning those entities, reexamine and reanalyze the
transaction, and resolve the CreditWatch placements or review
S&P's ratings accordingly.

                 Ratings On Creditwatch Negative

                         CuBic One Ltd.
        Global corporate synthetic CLO notes series 2007-1
      JPY25.3 billion limited recourse secured floating-rate
                 credit-linked securities due 2011

             Class   To              From   Amount
             -----   --              ----   ------
             A       AAA/Watch Neg   AAA    JPY14.1 bil.
             B       AA/Watch Neg    AA     JPY5.5 bil.
             C       BBB/Watch Neg   BBB    JPY3.7 bil.
             D       BB/Watch Neg    BB     JPY2.0 bil.


DTC EIGHT: Fitch Affirms Ratings on Six Classes of Notes
--------------------------------------------------------
Fitch Ratings has affirmed six classes of notes issued by DTC
Eight Funding Limited, due November 2038, removed the Class A to E
notes from Rating Watch Negative and assigned Outlooks:

  -- JPY30.73 billion* Class A notes affirmed at 'AAA'; Outlook
     Negative;

  -- JPY1.78 billion* Class B notes affirmed at 'AA'; Outlook
     Negative;

  -- JPY1.62 billion* Class C notes affirmed at 'A'; Outlook
     Negative;

  -- JPY1.21 billion* Class D notes affirmed at 'BBB'; Outlook
     Negative;

  -- JPY0.24 billion* Class E notes affirmed at 'BB'; Outlook
     Negative; and

  -- JPY2.78 billion* Class N notes affirmed at 'BBB'; Outlook
     Stable.

  * as of April 20, 2009

The rating actions reflect the agency's view of liquidity risk
given the current status and expected outcome of proceedings on
the replacement of the advancing agent in the transaction.

The transaction is a securitization of the loans backed by multi-
family apartment properties.  Considering the number of underlying
loans, geographic distribution and collateral property
characteristics, the risk of cash flows from all properties
stopping at the same time should be limited.  However, Fitch is
concerned over the liquidity risk of the transaction should a
credit event occur to the master lessee of the collateral
properties, who is also the property manager and the loan paying
agent.  Under this scenario, the agency believes that cash flows,
which mainly consist of rental unit income, are likely to cease
temporarily.

A note interest reserve provides liquidity enhancement to the
transaction and the agency has examined whether the interest
reserve can support timely note interest payments, until the loan
payments to be made by the borrowers recover to a sufficient
level.  In this analysis, the contingency plan provided by the
servicer in response to such events and the borrower profiles were
taken into consideration when assuming the timeframe and the pace
of the recovery.  Based on the analysis, the agency believes that
the interest reserve mitigates the liquidity risk even if a
certain degree of interest rate increase is to be assumed.

However, since the possibility of liquidity risk materializing in
cases including when interests rate rise sharply beyond
expectations cannot be ruled out, Negative Outlooks have been
assigned to classes A to E.  Fitch will continue to monitor
interest rate trends, transition of loan outstanding balance, as
well as efforts to be continued by the transaction parties to
replace the advancing agent.  Since the rating of Class N
addresses ultimate payment of interest and principal, the rating
is not affected by liquidity risk.  As such, the rating of Class N
has been affirmed and assigned a Stable Outlook.

The ratings on the Class A to E notes were placed on RWN on 9
October 2008, due to uncertainty related to the replacement of the
advancing agent following the bankruptcy of the initial advancing
agent, Lehman Brothers Japan Inc., in September 2008.  Despite the
efforts of the transaction parties, an alternative advancing agent
has not been found to date.  Fitch had analyzed the transaction
assuming the absence of the advancing agent, reflecting the
agency's view that the advancing agent is not likely to be
replaced in near future.

The notes were issued in March 2007, and the transaction was
initially a securitization of 256 loans, 15 of which have been
fully repaid to date.

Rating Outlooks have been published for all newly issued Asia
Pacific Structured Finance tranches since June 2008, and
concurrently with rating actions for tranches issued prior to
June 2008.  Unlike a Rating Watch which notifies investors there
is a reasonable probability of a rating change in the short term
as a result of a specific event, rating Outlooks indicate the
likely direction of any rating change over a one- to two-year
period.


DTC THREE: Fitch Affirms Ratings on Seven Classes of Notes
----------------------------------------------------------
Fitch Ratings has affirmed seven classes of notes issued by DTC
Three Funding Limited, due February 2036, removed the Class A-1 to
E notes from Rating Watch Negative and assigned Outlooks as
follows.

  -- JPY5.27 billion* Class A-1 notes affirmed at 'AAA'; Outlook
     Negative;

  -- JPY3.6 billion* Class A-2 notes affirmed at 'AAA'; Outlook
     Negative;

  -- JPY0.87 billion* Class B notes affirmed at 'AA'; Outlook
     Negative;

  -- JPY0.54 billion* Class C notes affirmed at 'A'; Outlook
     Negative;

  -- JPY0.69 billion* Class D notes affirmed at 'BBB'; Outlook
     Negative;

  -- JPY0.78 billion* Class E notes affirmed at 'BB'; Outlook
     Negative; and

  -- Class X** notes affirmed at 'AAA'; Outlook Stable.

   * as of April 20, 2009
   ** Interest-only

The rating actions reflect the agency's view of liquidity risk
given the current status and expected outcome of proceedings on
the replacement of the advancing agent in the transaction.

The transaction is a securitization of loans backed by multifamily
apartment properties.  Considering the number of underlying loans,
geographic distribution and collateral property characteristics,
the risk of cash flows from all properties stopping at the same
time should be limited.  However, Fitch is concerned over the
liquidity risk of the transaction should a credit event occur to
the master lessee of the collateral properties, who is also the
property manager and the loan paying agent.  Under this scenario,
the agency believes that cash flows, which mainly consist of
rental unit income is likely to cease temporarily.

A note interest reserve provides liquidity enhancement to the
transaction and the agency has examined whether the interest
reserve can support timely note interest payments until the loan
payments to be made by the borrowers recover to a sufficient
level.  In this analysis, the contingency plan provided by the
servicer in response to such events and the borrower profiles were
taken into consideration when assuming the timeframe and the pace
of the recovery.  Based on the analysis, the agency believes that
the interest reserve mitigates the liquidity risk even if a
certain degree of interest rate increase is to be assumed.

However, since the possibility of liquidity risk materializing in
cases, including when interests rate rise sharply beyond
expectations can not be ruled out, Negative Outlooks have been
assigned to classes A-1 to E.  Fitch will continue to monitor
interest rate trends, transition of loan outstanding balance, as
well as efforts to be continued by the transaction parties to
replace the advancing agent.  Since the rating of interest-only
Class X addresses solely the likelihood of receiving interest
payments while principal on the related notes remains outstanding,
the rating is not affected by liquidity risk.  Therefore the
rating of Class X has been affirmed and assigned a Stable Outlook.

The ratings on the Class A-1 to E notes were placed on RWN on 9
October 2008, due to uncertainty related to the replacement of the
advancing agent, following the bankruptcy of the initial advancing
agent, Lehman Brothers Japan Inc., in September 2008.  Despite the
efforts of the transaction parties, an alternative advancing agent
has not been found to date, and Fitch had analyzed the transaction
assuming the absence of the advancing agent and to reflect its
view that the advancing agent is not likely to be replaced in the
near future.

The notes were issued in February 2004, and the transaction was
initially a securitization of 196 loans, 38 of which have been
fully repaid to date.

Rating Outlooks have been published for all newly issued Asia
Pacific Structured Finance tranches since June 2008, and
concurrently with rating actions for tranches issued prior to June
2008.  Unlike a Rating Watch which notifies investors there is a
reasonable probability of a rating change in the short term as a
result of a specific event, rating Outlooks indicate the likely
direction of any rating change over a one- to two-year period.


ELPIDA MEMORY: Mulls 50% Price Hike in May
------------------------------------------
Bloomberg News reports Elpida Memory Inc said it plans to raise
prices as much as 50 percent next month after industry-wide
production cuts eased a glut that drove chipmakers to record
losses.

The report relates President Yukio Sakamoto said in an interview
the company plans to charge customers about US$1.50 per gigabit of
memory starting next month for selling prices to cover production
costs.

DRAM makers lost a record US$12.5 billion from 2007 until the end
of 2008, the report notes citing Andrew Norwood, an analyst in
London at Gartner Inc., an industry researcher.

Elpida may ask the Japanese government for about JPY50 billion
(US$508 million) in funding in exchange for preferred stock, the
report says citing the Nikkei newspaper.

                       5th Quarterly Loss

As reported in the TCR-AP on Feb. 10, 2009, Elpida posted its
fifth straight quarterly loss after "an accelerated fall in
consumer spending, manufacturing adjustments and higher rates of
unemployment resulting from the intensified financial crisis
worsened global economy drastically in the third quarter."

The company's net loss for the third quarter ended Dec. 31, 2008,
widened to JPY72.3 billion (US$795 million) from JPY12.1 billion
in the same period in 2007.

Sales dropped 34 percent to JPY61.8 billion from JPY94.0 billion.

The company incurred gross losses of JPY42.9 billion (compared
with an JPY8 billion  loss in the previous quarter) and operating
losses of JPY57.9 billion (a JPY24.5 billion yen loss in the
previous quarter) since selling prices continued to run well below
manufacturing costs and the yen grew stronger, Elpida said in a
Feb. 6 statement.

Ordinary losses came to JPY66.1 billion (a JPY30.3 billion loss in
the previous quarter) partly due to equity method investment
losses of JPY7.4 billion that mainly concerned Rexchip Electronics
Corporation ("Rexchip").

An extraordinary loss of JPY5.4 billion in connection with an
accrued provision to cover litigation settlement costs was a
factor in a net loss of JPY72.3 billion (a JPY31.9 billion loss in
the previous quarter).

                        Rating Downgrade

As reported in the TCR-Asia Pacific on Feb. 23, 2009, Standard &
Poor's Ratings Services lowered to 'B+' from 'BB-' its long-term
corporate credit and senior unsecured ratings on Elpida Memory
Inc., and placed the ratings on CreditWatch with negative
implications.

According to the rating agency, the downgrade and CreditWatch
placement reflect the material weakening of the company's
financial soundness, due to continued losses stemming from
deteriorating market conditions and uncertainty over the company's
short-term liquidity.

                          About Elpida

Elpida Memory Inc. (TYO:6665) -- http://www.elpida.com/ja/-- is a
Japan-based company principally engaged in the development,
design, manufacture and sale of semiconductor products, with a
focus on dynamic random access memory (DRAM) silicon chips.  The
main products are DDR3 SDRAM, DDR2 SDRAM, DDR SDRAM, SDRAM, Mobile
RAM and XDR DRAM, among others.  The Company distributes its
products to both domestic and overseas markets, including the
United States, Europe, Singapore, Taiwan, Hong Kong and others.
The company has eight subsidiaries and two associated companies.


JAPAN AIRLINES: Seeking JPY200-Bln Loan From Gov't. Bank
--------------------------------------------------------
Japan Airlines Corp. has applied for a JPY200 billion ($2 billion)
loan from the Development Bank of Japan amid weak travel demand,
Bloomberg News reports citing The Asahi newspaper.

The carrier hasn't been told when it will receive an answer on its
application, Bloomberg News cited Taro Namba, a spokesman for the
airline, in an interview in Tokyo.

According to the report, Japan Air has JPY35 billion of bonds
maturing over the next four months.

The report says the airline flew 18.2 percent fewer passengers
overseas in December, the biggest monthly decline since August
2003.

As reported in the Troubled Company Reporter-Asia Pacific on
Feb. 10, 2009, for the third quarter ended Dec. 31, Japan Airlines
incurred a net loss of JPY38.50 billion, compared with a JPY13.1
billion net income in the year-ago period.  The company incurred
an operating loss of JPY39 billion, reversed from an operating
profit of JPY25.9 billion in the year-ago period.  Third quarter
operating revenue stood at JPY485.70 billion, slightly lower than
the JPY558.20 revenue it reported in the same period in 2007.

Japan Airlines expects operating revenue to decline by JPY116
billion to JPY1,977 billion in FY2008.  The airline also expects
to post an operating loss of JPY37 billion, an ordinary loss of
JPY63 billion, and net loss of JPY34 billion.

                       About Japan Airlines

Japan Airlines Corporation -- http://www.jal.co.jp/-- is a Japan-
based holding company that is active in five business segments
through its 225 subsidiaries and 82 associated companies.  The Air
Transportation segment is engaged in the operation of passenger
and cargo planes.  The Air Transportation-Related segment is
engaged in the transportation of passengers and cargoes, the
preparation of in-flight food catering, the maintenance of
aircraft and land equipment, as well as the fueling business.  The
Travel Planning and Marketing segment is involved in the planning
and sale of travel packages.  The Card and Leasing segment is
engaged in the provision of finance, cards and leasing services.
The Others segment is involved in businesses related to hotels,
resorts, logistics, wholesale, retail, real estate, printing,
construction, manpower dispatch, as well as information and
communication.  The Company has numerous global operating
locations.

JAL International Co. Ltd. is a wholly owned operating subsidiary
of Japan Airlines Corporation.

                          *     *     *

As reported in the Troubled Company Reporter-Asia Pacific on
Feb. 11, 2009, Moody's Investors Service changed the outlook on
the Ba3 long-term debt rating and issuer rating of Japan Airlines
International Co. Ltd. to negative from positive.  The outlook
change reflects Moody's view that JALI's profitability is likely
to remain pressured amid the recent sharp decline in airline
passenger
demand.

As reported in the Troubled Company Reporter-Asia Pacific on
Apr. 17, 2008, Fitch Ratings revised the Outlook on Japan Airlines
Corporation and its wholly owned operating subsidiary, JAL
International Co. Ltd.'s Long-term Issuer Default ratings to
Stable from Negative.  At the same time, Fitch affirmed both
companies' Long-term IDRs and ratings of outstanding bonds at
'BB-'.  The Outlook revision follows JAL's operational turnaround
and better liquidity.

Japan Airlines Corporation continues to carry Standard & Poor's
Ratings 'B+' LT Foreign & Local Issuer Credit.  The outlook is
positive.


KENEDIX REALTY: Moody's Downgrades Senior Debt Ratings to 'Ba1'
---------------------------------------------------------------
Moody's Investors Service has downgraded to Ba1 from Baa2 the
issuer and senior unsecured long-term debt ratings of the Kenedix
Realty Investment Corporation.  The ratings had been under review
for possible downgrade.  The ratings outlook is negative. This
concludes the review initiated on January 15, 2009.

The downgrade reflects Moody's concern that KRI's financial
flexibility will be stressed due to the credit crunch plaguing the
real estate market.  The ratings also take into account that KRI's
rated bonds are subordinated to its loans.

The negative ratings outlook reflects Moody's view that KRI will
need some time to recover its financial flexibility.

Given an environment in which financial institutions are growing
increasingly reluctant to extend loans to J-REITs, Moody's
believes that these institutions will determine whether to extend
loans to KRI based not just on its financial results and
statements, but also on the performance of the company's main
sponsor -- a non-zaibatsu real estate company.  Thus, Moody's is
concerned that the company's financial flexibility could be
stressed by tighter funding conditions.

KRI has taken measures to improve its fund-raising ability, having
taken out a new long-term loan from Development Bank of Japan Inc.
in February 2009, as well as its decision (announced in March
2009) that it would start discussions with its banks on providing
collateral.  KRI's relationships with its main banks have not
changed; they are maintaining their support, such as covering
refinancing shortfalls when other banks do not roll over loans.

In addition, KRI's financial management is relatively
conservative, as evidenced by a ratio of debt to total assets
(including "released deposits" -- tenant deposits that can be used
for temporary liquidity) of roughly 44%.  The company plans to
implement additional measures, including disposing of property, to
reduce leverage and bolster liquidity.

Meanwhile, KRI is facing shorter borrowing terms, a declining
ratio of long-term debt to total debt, and a rising spread in
refinancing, which may stress KRI's financial flexibility in the
future.  Additionally, KRI's liquidity is limited, given in part
the lack of a commitment line.  And with continuous declines in
real estate prices and in the liquidity of real estate assets,
uncertainty over reducing leverage by disposing of property is
also of concern to Moody's.

KRI's mid-level office portfolio in the Tokyo area is well
diversified, consisting of 69 properties and worth JPY 225 billion
(based on acquisition prices, and including the price of a
property it has already contracted to purchase).  The portfolio
provides steady cash flow -- attesting to the expertise of its
asset management company.  Therefore, Moody's believes that any
impact on KRI's near-term cash flows during this economic downturn
will be limited.

Moody's previous rating action on KRI took place on March 6, 2009,
when the agency downgraded its issuer and senior unsecured long-
term debt ratings to Baa2 from Baa1, and continued its review for
a further possible downgrade.

Kenedix Realty Investment Corporation is a Japanese real estate
investment trust investing in and managing mainly mid-level office
properties.  Its operating revenues totaled approximately JPY 8.5
billion for the fiscal half-year ended October 2008.


L-JAC 7: S&P Junks Ratings on Two Classes of Certificates
---------------------------------------------------------
Standard & Poor's Ratings Services lowered its ratings on eight
classes of trust certificates (classes D-1 to K-1) issued under
the L-JAC 7 Trust Beneficial Interest and Trust Loan transaction
and removed the ratings from CreditWatch with negative
implications, where they had been placed on Oct. 16, 2008.  At the
same time, Standard & Poor's affirmed its ratings on the class A
to C trust certificates and the trust loan issued under the L-JAC
7 transaction and removed the ratings from CreditWatch with
negative implications, where they had also been placed on Oct. 16,
2008.  In addition, S&P affirmed S&P's ratings on the class D-2 to
J-2 trust certificates and class X trust certificates.

On Oct. 16, 2008, Standard & Poor's had placed its ratings on L-
JAC 7's classes D-1 to K-1, classes A to C, and trust loan on
CreditWatch with negative implications, citing possible increases
in interest rate mismatch and liquidity risks.  The rating actions
followed Lehman Brothers Holdings Inc.'s Chapter 11 filing on
Sept. 15, 2008.  A Lehman Brothers affiliate had served as an
interest hedge counterparty and advancing agent for the L-JAC 7
transaction, and as a result of the Chapter 11 filing, a new
interest rate counterparty/advancing agent had to be appointed for
the transaction.

The downgrades of the class D-1 to K-1 trust certificates are
based on what S&P view as uncertainty over the recovery prospects
of the collateral property relating to one of the underlying loans
(representing about 9.8% of the transaction's initial issue
amount) that defaulted in March 2009.  S&P believes that the
recovery prospects are uncertain because of the recent
deterioration in real estate market conditions.

On the other hand, the CreditWatch resolutions on classes A to C
and classes D-1 to K-1 are based on S&P's following opinions: (1)
in the absence of a new appropriate advancing agent, liquidity
support has been secured at such a level that, S&P believe, may
cover a portion of the interest payments on the class A trust
certificates; (2) the trust certificates are backed by several
real estate properties, and S&P expects interest collections from
the loan pools to maintain a certain degree of stability supported
by good portfolio diversification in terms of properties and
tenants; and (3) S&P believes that interest mismatch risk is
mitigated based on information from the trustee showing that an
interest rate cap agreement has been signed with an eligible
institution.

Based on this transaction's servicing agreements, collection
procedures relating to the sale of the collateral property backing
the aforementioned defaulted loan are in progress.  Therefore,
Standard & Poor's intends to continue to monitor progress in the
sale of the collateral property.

This deal is a multi-borrower CMBS transaction backed by four
specified bonds and four nonrecourse loans that were originally
extended to eight obligors.  The specified bonds and nonrecourse
loans were originally secured by 16 real estate properties and
real estate beneficial interests.  The transaction was arranged by
Lehman Brothers Japan Inc.  Premier Asset Management Co. is the
transaction servicer.

        Ratings Lowered, Removed From Creditwatch Negative

         L-JAC 7 Trust Beneficial Interest and Trust Loan
                Trust certificates due October 2014

Class  To   From            Initial issue amount    Coupon type
-----  --   ----            --------------------    -----------
D-1    BB+  BBB/Watch Neg   JPY1.88 bil.             Floating Rate
E-1    BB   BBB-/Watch Neg  JPY0.61 bil.             Floating Rate
F-1    BB-  BB+/Watch Neg   JPY0.8 bil.              Floating Rate
G-1    B+   BB/Watch Neg    JPY0.71 bil.             Floating Rate
H-1    B    BB-/Watch Neg   JPY0.68 bil.             Floating Rate
I-1    B-   B+/Watch Neg    JPY0.65 bil.             Floating Rate
J-1    CCC  B/Watch Neg     JPY0.5 bil.              Floating Rate
K-1    CCC  B-/Watch Neg    JPY0.15 bil.             Floating Rate

       Ratings Affirmed, Removed From Creditwatch Negative

Class       To   From          Initial issue amount Coupon type
-----       --   ----          -------------------- -----------
A           AAA  AAA/Watch Neg JPY11.75 bil.        Floating Rate
Trust Loan  AAA  AAA/Watch Neg JPY8.50 bil.         Floating Rate
B           AA   AA/Watch Neg  JPY3.15 bil.         Floating Rate
C           A    A/Watch Neg   JPY3.14 bil.         Floating Rate

                         Ratings Affirmed

      Class   Rating   Initial issue amount   Coupon type
      -----   ------   --------------------   -----------
      D-2     BBB      JPY1.10 bil.             Floating Rate
      D-3     BBB      JPY0.60 bil.             Floating Rate
      E-2     BBB-     JPY0.56 bil.             Floating Rate
      E-3     BBB-     JPY0.27 bil.             Floating Rate
      F-2     BB+      JPY0.49 bil.             Floating Rate
      F-3     BB+      JPY0.26 bil.             Floating Rate
      G-2     BB       JPY0.48 bil.             Floating Rate
      G-3     BB       JPY0.26 bil.             Floating Rate
      H-2     BB-      JPY0.64 bil.             Floating Rate
      H-3     BB-      JPY0.30 bil.             Floating Rate
      I-2     B+       JPY0.62 bil.             Floating Rate
      I-3     B+       JPY0.33 bil.             Floating Rate
      J-2     B        JPY0.53 bil.             Floating Rate
      X       AAA      JPY38.96 bil. (notional principal)


L-JAC FIVE: S&P Cuts Rating on Class G-2 of Certs. to 'B-'
----------------------------------------------------------
Standard & Poor's Ratings Services lowered its ratings on the
class D-2 to G-2 trust certificates issued under the L-JAC Five
Trust Beneficial Interest transaction.  At the same time, Standard
& Poor's affirmed its ratings on the class A to C, class D-1 to J-
1, and class D-3 trust certificates.  In addition, S&P removed the
ratings on all 15 classes (class A to C, class D-1 to J-1, class
D-2 to G-2, and class D-3) from CreditWatch with negative
implications.  S&P also affirmed its 'AAA' rating on the class X
certificates as the rating addresses the fact that interest on
this class is paid only when available on the due dates.

Standard & Poor's had placed its ratings on L-JAC Five's
aforementioned 15 classes of trust certificates on CreditWatch on
Oct. 16, 2008, citing a possible increase in interest rate
mismatch risk and liquidity risk.  On Sept. 15, 2008, Lehman
Brothers Holdings Inc., whose affiliates had served as interest
hedge counterparty and/or advancing agent for the L-JAC Five
transaction, filed for Chapter 11 protection, and a new interest
rate counterparty/advancing agent had to be appointed for the
transaction.

The downgrades of the class D-2 to G-2 certificates reflect these:
1) one of the two remaining underlying loans (representing about
16% of the transaction's initial issue amount) defaulted in March
2009; and 2) mounting uncertainty over the repayment of the other
underlying loan (representing about 12% of the transaction's
initial issue amount) that is due to mature in July 2009, given
the recent deterioration in real estate market conditions and
uncertainty over the recovery prospects of the collateral
properties relating to that loan.

The removal of the ratings on the class A to J-1 trust
certificates from CreditWatch reflects S&P's belief that interest
mismatch risk is mitigated based on information from the trustee
showing that an interest rate cap agreement has been signed with
an eligible institution.  Initially, the ratings on the class A to
J-1 trust certificates addressed the full and timely payment of
interest on the respective due dates.  However, changes were made
upon the issuer's request, and the ratings now address the full
payment of interest and ultimate payment of principal by the
transaction's legal final maturity date.

Based on this transaction's servicing agreements, collection
procedures relating to the sale of the collateral properties
backing the aforementioned defaulted loan are in progress.
Therefore, Standard & Poor's intends to continue to monitor
progress in the sale of the collateral properties backing the
defaulted loan and progress in the repayment in the other
underlying loan that is due to mature soon.

This deal is a multi-borrower CMBS transaction that is essentially
backed by 13 loans extended to 13 obligors. The loans were
originally secured by 81 real estate properties and real estate
beneficial interests.  The transaction was arranged by Lehman
Brothers Japan Inc.  Premier Asset Management Co. is the
transaction servicer.

      Ratings Lowered And Removed From Creditwatch Negative

               L-JAC Five Trust Beneficial Interest
        Floating-rate trust certificates due August 2015

Class    To    From            Initial issue amount  Coupon type
-----    --    ----            --------------------  -----------
D-2      BB+   BBB/Watch Neg   JPY1.75 bil.          Floating Rate
E-2      BB-   BBB-/Watch Neg  JPY0.8 bil.           Floating Rate
F-2      B+    BB+/Watch Neg   JPY0.58 bil.          Floating Rate
G-2      B-    BB/Watch Neg    JPY0.4 bil.           Floating Rate


      Ratings Affirmed And Removed From Creditwatch Negative
               L-JAC Five Trust Beneficial Interest

Class    To    From            Initial issue amount  Coupon type
-----    --    ----            --------------------  -----------
A        AAA   AAA/Watch Neg   JPY41.5 bil.          Floating Rate
B        AA    AA/Watch Neg    JPY7.2 bil.           Floating Rate
C        A     A/Watch Neg     JPY6.1 bil.           Floating Rate
D-1      BBB   BBB/Watch Neg   JPY1.7 bil.           Floating Rate
D-3      BBB   BBB/Watch Neg   JPY0.64 bil.          Floating Rate
E-1      BBB-  BBB-/Watch Neg  JPY0.5 bil.           Floating Rate
F-1      BB+   BB+/Watch Neg   JPY0.5 bil.           Floating Rate
G-1      BB    BB/Watch Neg    JPY0.5 bil.           Floating Rate
H-1      BB-   BB-/Watch Neg   JPY0.53 bil.          Floating Rate
I-1      B+    B+/Watch Neg    JPY0.56 bil.          Floating Rate
J-1      B     B/Watch Neg     JPY0.37 bil.          Floating Rate

                         Rating Affirmed

               L-JAC Five Trust Beneficial Interest

    Class   Rating          Initial issue amount
    -----   ------          --------------------
    X       AAA             JPY63.63 bil. (notional principal)


L-JAC 8: S&P Puts Low-B Ratings on 6 Classes on Negative Watch
--------------------------------------------------------------
Standard & Poor's Ratings Services placed on CreditWatch with
negative implications its ratings on eight classes of trust
certificates issued under the L-JAC 8 Trust Beneficial Interest
transaction (classes D to K. At the same time, Standard & Poor's
affirmed its rating on the class A certificates and removed the
rating from CreditWatch with negative implications, where it had
been placed on Oct. 16, 2008.  S&P also affirmed its ratings on
the class B, C, and X certificates.

Standard & Poor's had placed its rating on the class A trust
certificates, which addresses the full and timely payment of
interest on the due dates, on CreditWatch on Oct. 16, citing a
possible increase in liquidity risk.  On Sept. 15, Lehman Brothers
Holdings Inc., whose affiliate had served as an advancing agent
for the L-JAC 8 transaction, filed for Chapter 11 protection, and
a new advancing agent had to be appointed for the transaction.

The rating actions relating to the class A trust certificates are
based on these opinions held by Standard & Poor's: (1) in the
absence of a new appropriate advancing agent, a certain level of
liquidity support has been secured, which S&P believes may cover a
portion of the interest payments on the class A trust
certificates; and (2) ample reserves are funded in the real estate
trust reserve account or lender's account, which could provide
liquidity support to the transaction.  S&P may review its rating
on the class A trust certificates if the relevant parties reach an
agreement with respect to a number of matters, including using the
reserves to repay principal on the trust certificates, and if S&P
foresee an increased likelihood of a shortfall in liquidity
support.

Meanwhile, the CreditWatch placements relating to the class D to K
trust certificates are based on what S&P views as: (1) mounting
uncertainty over the repayment by the due date of one of the
underlying loans that is due to mature soon, given the recent
deterioration in real estate financing conditions; and (2)
uncertainty over the recovery prospects of the collateral property
relating to that loan.

The affirmation of the ratings on the class B and C trust
certificates reflect S&P's view of these: (1) the recovery
prospects of the collateral properties; and (2) credit support
provided for the senior tranches by the lower tranches through the
senior/subordinate transaction structure.  Meanwhile, S&P affirmed
S&P's rating on the class X trust certificates because the rating
addresses the fact that interest on this class is paid only when
available on the due dates.

The aforementioned underlying loan that is due to mature soon
accounts for about 74.6% of the transaction's initial issue amount
and is backed by a suburban retail property.  Standard & Poor's
intends to scrutinize information provided by the servicer
relating to the loan repayment and the recovery prospects of the
collateral property, and plans to review its ratings accordingly.

This deal is a multi-borrower CMBS transaction backed by two loans
extended to two obligors.  The loans were originally secured by
one real estate beneficial interest and one real estate property.
The transaction was arranged by Lehman Brothers Japan Inc.
Premier Asset Management Co. is the transaction servicer.

             Ratings Placed On Creditwatch Negative

               L-JAC 8 Trust Beneficial Interest
              Trust certificates due January 2013

Class  To              From   Initial issue amt    Coupon type
-----  --              ----   -----------------    -----------
D      BBB/Watch Neg   BBB    JPY1.68 bil.         Floating rate
E      BBB-/Watch Neg  BBB-   JPY0.79 bil.         Floating rate
F      BB+/Watch Neg   BB+    JPY0.76 bil.         Floating rate
G      BB/Watch Neg    BB     JPY0.77 bil.         Floating rate
H      BB-/Watch Neg   BB-    JPY0.87 bil.         Floating rate
I      B+/Watch Neg    B+     JPY0.84 bil.         Floating rate
J      B/Watch Neg     B      JPY0.6 bil.          Floating rate
K      B-/Watch Neg    B-     JPY0.32 bil.         Floating rate

        Rating Affirmed, Removed From Creditwatch Negative

  Class  To   From           Initial issue amount    Coupon type
  -----  --   ----           --------------------    -----------
  A      AAA  AAA/Watch Neg  JPY8.78 bil.            Floating rate

                         Ratings Affirmed

    Class  Rating    Initial issue amount          Coupon type
    -----  ------    --------------------          -----------
    B      AA        JPY1.68 bil.                  Floating rate
    C      A         JPY1.68 bil.                  Floating rate
    X      AAA       JPY18.77 bil.  (notional principal)


PIONEER CORP: May Seek Gov't Aid to Boost Finances
--------------------------------------------------
Pioneer Corp said it may seek an injection of public funds, amid
reports the government is considering pumping about 300 million
dollars into the company, the AFP reports.

According to the report, Pioneer spokesman Akio Omachi said one of
the management's top priorities is to boost the company's
finances.

"We are considering seeking public funds as one possible measure,"
the report quoted Mr. Omachi as saying.  But nothing definite had
been decided yet, he said.

AFP says Pioneer has forecast a net loss of JPY130 billion for the
last financial year which ended in March, its biggest ever.

                           About Pioneer

Headquartered in Tokyo, Japan, Pioneer Corporation (TYO:6773) --
http://www.pioneer.co.jp/-- manufactures and sells electronic
products.  The company operates in four business segments.  The
Home Electronics segment offers plasma televisions, digital
versatile disc players/recorders/drives, blu-ray disc
players/drives, audio systems, telephones, cable television-
related machines and peripheral equipment.  The Car Electronics
segment offers navigation systems, stereos, audio systems,
speakers and peripheral products for automobile uses.  The Special
Permission segment offers license agreement for optical discs.
The Others segment offers electroluminescence (EL) displays,
factory automation (FA) equipment, electronic components and
commercial audio and visual (AV) systems.  The company has a
global network.  The company merged with its subsidiary, Pioneer
Design Corporation and another Tokyo-based subsidiary, on Dec. 1,
2008.

                          *     *     *

As reported by the Troubled Company Reporter-Asia Pacific on
April 22, 2009, Moody's Investors Service downgraded to B1 from
Ba3 the local currency issuer rating for Pioneer Corporation.  The
ratings outlook is negative.  This concludes the review for
possible downgrade initiated on October 31, 2008.

The rating action takes into account the subordination of the
company's unsecured debt to its loans.  The negative outlook
reflects Moody's concerns that Pioneer's core business will
continue to face severe market conditions and that the company
will need some time before it can improve its profitability and
financial position.  At the same time, Moody's notes that the
potential capital/business alliances or financial partnerships the
company is seeking may expedite the recovery of its
competitiveness and financial stability.


* Moody's Downgrades Ratings on 13 Real Estate Investment Trusts
----------------------------------------------------------------
Moody's Investors Service has downgraded the ratings of 13 real
estate investment trusts and confirmed one.  These actions
conclude the reviews initiated on January 15, 2009.

The individual rating actions follow:

  -- Japan Real Estate Investment Corporation: downgraded to A1
     from Aa3 (under review for possible downgrade) both the
     issuer rating and the senior unsecured long-term debt rating;
     outlook is stable.

  -- Japan Retail Fund Investment Corporation: downgraded to A2
     from A1 (under review for possible downgrade) both the issuer
     rating and the senior unsecured long-term debt rating and
     confirmed P-1 short-term debt rating; outlook is negative.

  -- Nippon Accommodations Fund Inc.: downgraded to A2 from A1
      (under review for possible downgrade) both the issuer rating
     and the senior unsecured long-term debt rating; outlook is
     negative.

  -- Nomura Real Estate Residential Fund, Inc.: downgraded to A2
     from A1 (under review for possible downgrade) the issuer
     rating; outlook is negative.

  -- Frontier Real Estate Investment Corporation: downgraded to A2
     from A1 (under review for possible downgrade) the issuer
     rating; outlook is negative.  This action concludes the
     review initiated on February 19, 2008.

  -- TOKYU REIT, Inc.: confirmed A2 (under review for possible
     downgrade) both the issuer rating and senior unsecured long-
     term debt rating; outlook is negative.

  -- Japan Excellent, Inc.: downgraded to A3 from A2 (under review
     for possible downgrade) the issuer rating; outlook is
     negative.

  -- Hankyu REIT, Inc.: downgraded to A3 from A2 (under review for
     possible downgrade) the issuer rating; outlook is negative.

  -- Top REIT, Inc.: downgraded to A3 from A2 (under review for
     possible downgrade) the issuer rating; outlook is negative.

  -- United Urban Investment Corporation: downgraded to Baa1 from
     A3 (under review for possible downgrade) the issuer rating;
     outlook is stable.

  -- Premier Investment Company: downgraded to Baa1 from A3 (under
     review for possible downgrade) both the issuer rating and the
     senior unsecured long-term debt rating; outlook is stable.

  -- MORI HILLS REIT INVESTMENT CORPORATION: downgraded to Baa1
     from A3 (under review for possible downgrade) both the issuer
     rating and the senior unsecured long-term debt rating;
     outlook is negative.

  -- Japan Hotel and Resort, Inc.: downgraded to Baa3 from Baa2
      (under review for possible downgrade) the issuer rating;
     outlook is stable.

  -- Kenedix Realty Investment Corporation: downgraded to Ba1 from
     Baa2 (under review for possible downgrade) both the issuer
     rating and the senior unsecured long-term debt rating;
     outlook is negative.

The global credit crunch and financial crises have adversely
affected the Japanese real estate investment trusts, particularly
their ability to raise funds.  Many are finding it increasingly
difficult to raise funds from the stagnant equity market. In
addition, financial institutions are growing reluctant to extend
them loans, which has raised funding costs and shortened borrowing
terms.  The bond market has been nervous to the point that J-
REITs' opportunities to issue bonds will be very limited.  Some of
the J-REITs have even been forced to dispose of properties to make
partial payments upon refinancing.

The turbulence in the financial market has affected the real
economy, accelerating the economic slowdown, as evidenced by the
projection for negative GDP growth.  Moody's has observed a rise
-- albeit a slow one -- in vacancy rates and a decline in offering
rents in the rental office market.  Given financial institutions'
growing reluctance to finance real estate properties, property
prices are also declining.  Official prices (from the Japanese
government) as of January 2009 for both commercial and residential
land were down, as were the appraisal values of properties owned
by the REITs, regardless of asset type.  Worsening real estate
fundamentals look to continue in the near future, which will
stress the J-REITs' business performance and financial results.

Thus, on January 15, 2009, Moody's placed the ratings of 14 J-
REITs on review for possible downgrade.

In its review, Moody's focused on certain factors for both
individual issuers and the sector, and its findings are stated
below.  Moody's believes that, in the J-REIT sector, these 14 J-
REITs have high credit quality, and has no general concerns over
their ability to raise funds from financial institutions at this
point.

(1) Likelihood of raising funds from equity and leverage

Given the difficulties of raising funds from equity, Moody's
believes that J-REITs may have to adopt even more conservative
financial policies.  Their policies -- already conservative -- may
be stressed, given the high debt ratios relative to historical
leverage and the difficulty of paying down debt by issuing new
equity.  The financial policies of many of the J-REITs reviewed
have experienced some stress, and this is one of the factors
driving the downgrades or the changes to outlooks.

(2) Relationships with banks and liquidity

As a result of the review, Moody's finds at this point that it has
no immediate concerns over the 14 rated J-REITs' relationships
with their banks, which allows for stable access to funds.
However, Moody's assume that the banks will remain cautious, and
remain selective about lending to the sector for some time.
Moreover, many of the J-REITs have limited amounts of cash (or
cash equivalents) to cover debt maturing in the next 12 to 18
months, which will be a challenge to achieving financial
stability.

(3) Debt profiles, i.e., the proportion of long- and short-term
    debt, as well as average funding terms

The debt management of most of the 14 rated J-REITs is more
conservative than of others in the sector.  However, their
flexibility in finance policies may be stressed due to tighter
funding conditions, i.e., rising funding costs, the growing
proportion of short-term debt, and shorter funding periods, in an
environment in which financial institutions are already taking
increasingly conservative positions in extending loans to J-REITs.

(4) Impact of the economic slowdown on the stability of cash flow
    from rents and on real estate prices

In Moody's opinion, when the diversity in the portfolio, the
quality and tenant attractiveness of the properties in the
portfolio, tenant turnover, the structure of leases, and rents are
taken into account, the economic downturn is having only a limited
impact on the near-term cash flows of most the 14 rated J-REITs.
However, Moody's assumes that the decline in offering rents for
office buildings will become more marked.  Moreover, cash flows
may be pressured if a J-REIT's portfolio contains a significant
proportion of performance-based rents for retail properties and
hotels, or if the portfolio is dominated by luxury rental
apartments.

The decline in property prices is affecting the portfolios of all
the J-REITs.  Moody's is concerned that the J-REITs are going to
raise their market-value-based leverage, if the gap between
appraisal values and acquisition prices (unrealized gains) is
small at this point.  According to the financial covenants of many
of the loan agreements, appraisal values are used to calculate
leverage.  If the safety margin in the covenants were to decline,
financial flexibility may be strained.

(5) Portfolio strategies

J-REITs may have to revamp their portfolio growth strategies if
equity prices remain stagnant.  For a J-REIT whose rating
incorporates expectations for portfolio growth or mitigation of
asset concentration risk, Moody's re-examined it based on the size
and diversity of the portfolio at this point, as well as the J-
REIT's ability to raise funds from the equity market.  Thus, the
fact that alleviating concentration may take some time led in part
to the downgrades of some of the rated J-REITs.

In December 2008, the Japanese government and the Bank of Japan
implemented a program to support the J-REIT sector.  Development
Bank of Japan Inc., as a designated financial institution, has
already started providing loans to cope with the damage caused by
the crisis, while the BOJ expanded the definition of "eligible
collateral" to include J-REITs' loans and bonds.

The direct effect of these measures on the most of 14 rated J-
REITs' credit quality has been limited up to this point, because
their ability to raise funds from financial institutions has not
been a concern.  Moody's expects the government's proactive
support to ease funding may improve the funding environment and
will likely mitigate the financial stress across the J-REIT
industry.

Rationales for each of the rating actions are provided on the
individual press releases.  For more information regarding the
individual J-REITs, please refer to their Credit Opinions, which
will be published in the near future.

Moody's previous rating actions:

  -- Japan Real Estate Investment Corporation: placed the Aa3
     issuer and senior unsecured long-term debt ratings on review
     for possible downgrade on January 15, 2009.

  -- Japan Retail Fund Investment Corporation: placed the A1
     issuer and senior unsecured long-term debt ratings on review
     for possible downgrade on January 15, 2009.

  -- Nippon Accommodations Fund Inc.: placed the A1 issuer and
     senior unsecured long-term debt ratings on review for
     possible downgrade on January 15, 2009.

  -- Nomura Real Estate Residential Fund, Inc.: placed the A1
     issuer rating on review for possible downgrade on January 15,
     2009.

  -- Frontier Real Estate Investment Corporation: placed the A1
     issuer rating on review for possible downgrade on January 15,
     2009.

  -- TOKYU REIT, Inc: placed the A2 issuer and senior unsecured
     long-term debt ratings on review for possible downgrade on
     January 15, 2009.

  -- Japan Excellent, Inc.: placed the A2 issuer rating on review
     for possible downgrade on January 15, 2009.

  -- Hankyu REIT, Inc.: placed the A2 issuer rating on review for
     possible downgrade on January 15, 2009.

  -- Top REIT, Inc.: placed the A2 issuer rating on review for
     possible downgrade on January 15, 2009.

  -- United Urban Investment Corporation: placed the A3 issuer
     rating on review for possible downgrade on January 15, 2009.

  -- Premier Investment Company: placed the A3 issuer and senior
     unsecured long-term debt ratings on review for possible
     downgrade on January 15, 2009.

  -- MORI HILLS REIT INVESTMENT CORPORATION: placed the A3 issuer
     and senior unsecured long-term debt ratings on review for
     possible downgrade on January 15, 2009.

  -- Japan Hotel and Resort, Inc.: downgraded to Baa2 from Baa1
     its issuer rating, and continued its review for a further
     possible downgrade on January 21, 2009

  -- Kenedix Realty Investment Corporation: downgraded to Baa2
     from Baa1 its issuer and senior unsecured long-term debt
     ratings, and continued its review for a further possible
     downgrade on March 6, 2009



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

KIA MOTORS: Moody's Downgrades Issuer Rating to 'Ba1' from 'Baa3'
-----------------------------------------------------------------
Moody's Investors Service has downgraded Kia Motors Corp's issuer
rating to Ba1 from Baa3 and withdrawn the rating.  At the same
time, Moody's has assigned a Ba1 Corporate Family Rating to KMC.
The rating outlook is negative.  This concludes Moody's review for
downgrade initiated on January 21, 2009.

"The rating action primarily reflects KMC's limited ability to
turn around its weak financial profile amid the highly challenging
operating environment, despite its continued out-performance in
terms of auto sales compared to global rivals," says Chris Park, a
Moody's Vice President and Senior Analyst.

Despite a modest earnings improvement on the back of a healthy
8.4% YoY growth in shipments in 2008, KMC's key credit metrics
remain weak due to hefty negative free cash flow and inflated debt
stemming from depreciation of the Korean won.  While KMC's
aggressive pricing strategy and robust new model launches should
allow it to continue out-performing the market on the back of the
weak won, its profitability will likely remain pressured due to
elevated price cuts and lower utilization.  Coupled with large
capex requirements, the company's leverage and cash flow measures
should remain weak for its rating over the next 1-2 years.

The rating also considers lingering concerns over KMC's heavy
dependence on short-term debt, though some comfort is derived from
the supportive banking sector and the company's ability to raise
funds in local capital markets.

On the other hand, KMC's final Ba1 rating factors in two-notch
uplift based on the high willingness and financial capability of
its parent, Hyundai Motor Company (rated Baa3/negative), to render
financial support to the company in a distressed scenario.

The negative outlook reflects significant challenges and
uncertainty facing KMC, including volatile exchange rate
movements, risk of a more severe downturn in the global auto
industry, and sustainability of market out-performance.  This also
reflects the likelihood that KMC's key financial metrics will
remain inconsistent with its stand-alone rating in the
intermediate term.

The rating outlook could be stabilized if KMC (i) improves its
liquidity profile through reducing its dependence on short-term
debt; and/or (ii) strengthens its financial profile on the back of
sustained market out-performance, market recovery and/or
disciplined capex/working capital management.  This could be
evidenced by retained cash flow/net debt of above 15-17% and debt/
EBITDA of below 6-6.5x on a sustained basis.

On the other hand, the rating could be downgraded if the company's
operating cash flow substantially deteriorates as a result of
worse than anticipated market conditions, or KMC's inability to
out-perform the market and contain working capital deficits.  This
could be evidenced by its retained cash flow/net debt dropping
below 10-13% and debt/EBITDA rising above 7x on a sustained basis.
Downward pressure may also arise from further deterioration in its
liquidity position

Moody's last rating action on KMC was taken on January 21, 2009,
when the company's Baa3 rating was placed under review for
possible downgrade.

Established in 1944, KMC is the second largest automaker in Korea
and, together with HMC, commands the fifth largest position in the
global automotive market.



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

MRS CHRISTMAS: Placed in Liquidation
------------------------------------
The High Court at Auckland has placed hamper company Mrs Christmas
under liquidation, The National Business Review reports.  The
report says the court appointed Damien Grant and Steven Khov of
Waterstone Insolvency as the company's liquidators.

According to the report, the decision came after Mrs Christmas
withdrew its opposition to an application for liquidation filed by
courier company Post Haste.

"The evidence establishes that the defendant is indeed insolvent,"
the report quoted Associate Judge David Robinson as saying.

The Business Review relates that the company is understood to owe
more than $5 million to a raft of creditors, including Westpac and
suppliers DB Breweries, Independent Liquor and Nestle.

Mrs Christmas -- http://www.mrschristmas.co.nz is New Zealand-
based hamper company.



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

ACCORD SAVINGS: Place Under Receivership
----------------------------------------
The Philippine Deposit Insurance Corp. (PDIC) took over the
operations of a branch of Accord Savings Bank Inc. (ASBI) in Cebu
City, Philippines, the Philippines Daily Inquirer reports.

The report says the move came after the Bangko Sentral ng
Pilipinas (BSP) put all the bank's branches nationwide under PDIC
receivership.

In a memorandum issued on April 17, the BSP said it decided to
prohibit the Accord Savings Bank, Inc. from doing business in the
Philippines and to place its assets and affairs under receivership
pursuant to Section 30 of R.A. No. 7653.

GMA News relates Accord's financial problems were "deep and long-
standing" with disputes regarding its ownership aggravating its
problems.

"We have been working with them quietly to put a proper
rehabilitation program in place but ultimately to no avail.  It
hasn't helped that there were ownership disputes," BSP Deputy
Governor Nestor Espenilla Jr. was quoted by GMA News as saying.

According to GMA News, Mr. Espenilla said Accord's owners failed
to "restore the bank's financial health and viability despite
considerable time and due process given to them."

Meanwhile, the BSP also placed the Bangko Rural ng Kalumpit
(Bulacan), Inc., under receivership.


PERMANENT PLANS: SEC Cancels Pre-Need Dealership License
--------------------------------------------------------
The Securities and Exchange Commission (SEC) has cancelled the
dealership license of Permanent Plans Inc., the Philippine Daily
Inquirer reports.

The report relates Permanent Plans, however, said the SEC decision
to suspend its license was no longer necessary.

According to the Inquirer, Permaplans president Juan Miguel
Vazquez said his company had already informed the SEC of its
intention to stop selling new pre-need plans because it no longer
believed in the viability of the pre-need industry as currently
set up amid the economic downturn.

"A major factor to this decision was a 35-percent loss of our
trust funds last year as a result of the ongoing global financial
crisis," the report quoted Mr. Vazquez as saying.

Mr. Vasquez said Permanent Plans would increase its capital and
trust fund with additional assets in order to settle fully all the
claims of its plan holders. "We expect to pay all our plan holders
in the form of cash and other assets in the next four to six
months," he said.

The Inquirer relates SEC Secretary Gerard Lukban said Permaplans'
license was suspended because the regulator did not approve of its
proposal to offer alternative modes of payment to plan holders.

"They were proposing a dacion en pago (payment in kind) but their
plans have to be serviced in cash.  This (proposal) wasn't
approved in their registration statement," the report cited
Mr. Lukban as saying.

According to GMA News, Jose P. Aquino, acting director for non-
traditional securities and instruments department, said these
alternative payment arrangements are disallowed under rules 12.1
and 12.6 of the New Rules on the Registration and Sale of Preneed
Plans.

Under the said rules, GMA News relates, no pre-need contract
should be amended or modified without the SEC's prior approval.

Based in Makati, Philippines, Permanent Plans Inc. --
http://www.permaplans.com/-- is a pre-need company.



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

BEST SYSTEMS: Creditors' Proofs of Debt Due on May 20
-----------------------------------------------------
The creditors of Best Systems Corporation Pte Ltd are required to
file their proofs of debt by May 20, 2009, to be included in the
company's dividend distribution.

The company's liquidator is:

          Lau Chin Huat
          c/o 6 Shenton Way #32-00
          DBS Building Tower Two
          Singapore 068809



                         *********

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.  Pius Xerxes V. Tovilla, Valerie C. Udtuhan,
Marites O. Claro, Rousel Elaine C. Tumanda, Joy A. Agravante,
Marie Therese V. Profetana, Frauline S. Abangan, and Peter A.
Chapman, Editors.

Copyright 2009.  All rights reserved.  ISSN: 1520-9482.

This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding,
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without prior written permission of the publishers.
Information contained herein is obtained from sources believed
to be reliable, but is not guaranteed.

TCR-AP subscription rate is US$625 for 6 months delivered via e-
mail.  Additional e-mail subscriptions for members of the same
firm for the term of the initial subscription or balance
thereof are US$25 each.  For subscription information, contact
Christopher Beard at 240/629-3300.





                 *** End of Transmission ***