TCRAP_Public/090622.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

                     A S I A   P A C I F I C

           Monday, June 22, 2009, Vol. 12, No. 121

                            Headlines

A U S T R A L I A

ABC LEARNING: Receivers Sell UK Unit to Knowledge Universe
KIMBERLEY SECURITIES: Court Places Firm in Liquidation
MAX TRUST: S&P Changes CreditWatch on Note Ratings to Developing
TIMBERCORP: Administrators Recommend Winding-Up Units


C H I N A

CHAODA MODERN: Moody's Upgrades Corporate Family Rating to 'Ba3'


H O N G  K O N G

AMERICAN TELECOM: Court to Hear Wind-Up Petition on July 15
ASIA ALUMINUM: Receives Last-Minute Bid from Norsk Hydro
CITY TELECOM: Moody's Affirms Corporate Family Rating at 'Ba3'
GREAT CHOICE: Court to Hear Wind-Up Petition on July 22
KENTOYS LIMITED: Court to Hear Wind-Up Petition on August 5

KING SUCCESS: Court to Hear Wind-Up Petition on August 5
LA-FAYET: Court to Hear Wind-Up Petition on July 29
MIKO BUILDING: Court to Hear Wind-Up Petition on July 15
TOP WORLD: Court to Hear Wind-Up Petition on July 8
XINHUA FINANCE: S&P Affirms Corporate Credit Rating at 'B-'


I N D I A

AIR INDIA: Hikes Fuel Surcharge by INR400 on Domestic Sector
ANINDITA TRADES: CRISIL Rates INR65 Million Term Loan at 'BB'
BAGHAULI SUGAR: Delay on Interest Payment Cues CRISIL 'D' Rating
CANARA OVERSEAS: CRISIL Places 'BB-' Ratings on Various Bank Loans
JAI DURGA: CRISIL Assigns 'BB+' Rating on INR39.9 Mln Term Loan

MAYTAS INFRA: State Gov't. May Scrap Metro Rail Contract
PINK STAR: Low Net Worth Prompts CRISIL to Assign 'P4' Ratings
SPICEJET LTD: Raises Fuel Surcharge by INR400
SRI VENKATESH: CRISIL Puts 'BB+' Rating on INR200 Mln Term Loan
SUBBURAJ COTTON: Delay in Loan Payment Cues CRISIL 'D' Rating

SUBBURAJ SPINNING: Weak Liquidity Prompts 'D' Ratings
YAMUNA CABLE: CRISIL Assigns 'BB+' Rating on INR80 Mln Cash Credit


I N D O N E S I A

PT PAKUWON: Fitch Downgrades Issuer Default Rating to 'CC'
* INDONESIA: Gov't. to Sell INR2-Trillion Bonds on June 23


J A P A N

APROCEED CO: Moody's Changes Ratings on Various Classes of Bonds
CITIGROUP INC: Settles Lawsuit Against Former Nikko Executives
GODO KAISHA: Moody's Changes Ratings on Various Classes of Notes
J-CORE FL1: Moody's Changes Ratings on Class D and E Certificates
JPM-JC8 TRUST: Moody's Changes Ratings on Various Trust Certs.

NOMURA HOLDINGS: To Acquire 35% Stake in LIC
* JAPAN: Plans to Set Up Fund to Aid REITs


K O R E A

* SOUTH KOREA: 800 Troubled SMEs Under Creditor Banks' Microscope


M A L A Y S I A

PRIME UTILITIES: Bourse to Suspend Trading of Shares Today


N E W  Z E A L A N D

BRIDGECORP: Hearing on Rod Nielsen's Bankruptcy Adjudication Moved


T A I W A N

POWERCHIP SEMICONDUCTOR: Bondholders Approve New Terms
* Moody's Takes Multiple Rating Actions on Two Taiwanese Banks


V I E T N A M

* VIETNAM: Gov't. Fails to Sell VND1-Trillion Local Currency Bonds


                         - - - - -


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ABC LEARNING: Receivers Sell UK Unit to Knowledge Universe
----------------------------------------------------------
The receiver of ABC Learning Centres has sold the child-care
group's UK arm for an undisclosed sum, The Sydney Morning Herald
reports.

The report, citing Chris Honey of McGrathNicolin in a statement,
says ABC's UK business, called Busy Bees Group, was purchased by
Singapore-based company Knowledge Universe Education.

According to the Herald, Mr. Honey said Busy Bees Group, which is
the UK's largest children's nursery group, will continue to be
operated by its existing senior management.

Mr. Honey, as cited by the report, said Busy Bees Group was in a
similar situation to ABC's business in New Zealand, as it was not
itself in  receivership and had continued to trade profitably.

The sale of the ABC in New Zealand was progressing well and that
strong interest from a number of bidders had led to an extension
of the sale timetable, Mr. Honey said.

Mr. Honey said no decision had been made yet on a timetable for
the sale of the Australian business.

                    About ABC Learning Centres

ABC Learning Centres Limited (ASX: ABS) --
http://www.childcare.com.au/ -- provides childcare services and
education in more than 1,200 centres in Australia, New Zealand,
the United States and the United Kingdom.  The company's
subsidiaries include ABC Developmental Learning Centres Pty Ltd,
ABC Early Childhood Training College Pty Ltd, Premier Early
Learning Centres Pty Ltd, ABC  Developmental Learning Centres (NZ)
Ltd., ABC New Ideas Pty. Ltd., ABC Land Holdings (NZ) Limited and
Child Care Centres Australia Ltd.

                           *     *     *

As reported in the Troubled Company Reporter-Asia Pacific on
November 6, 2008, ABC Learning Centres Limited appointed
Peter Walker and Greg Moloney of Ferrier Hodgson as voluntary
administrators of the company and a number of its subsidiaries.

ABC said subsequent to the appointment of administrators, the
company's banking syndicate appointed Chris Honey, Murray Smith
and John Cronin of McGrathNicol as receivers.


KIMBERLEY SECURITIES: Court Places Firm in Liquidation
------------------------------------------------------
The Sydney Morning Herald reports that a Supreme Court judge
ordered the liquidation of Kimberley Securities.  Justice Reg
Barrett's decision came after he rejected a last-minute request to
wait until a AU$24 million contract dispute was heard next month,
the report says.

The contract case, according to the report, was filed by Grocon
Constructors, a member of Daniel Grollo's Grocon Pty Ltd
construction group.

The report, citing Kimberley's barrister, Tom Jucovic, QC, says
the immediate liquidation could delay the longstanding case, which
has already been put off several times, because a liquidator would
need time to decide how to deal with it.

The report relates that Justice Barrett said the yet-to-be-
appointed liquidator will be able to examine "potentially very
fertile lines of inquiry" about transactions involving Kimberley's
directors Nati Stoliar and Gabriel Lorentz.

Kimberley, which now owes its creditors AU$19 million, responded
to trading difficulties as a listed company by returning to
private ownership in 2005, the Herald notes.  The report discloses
that the company's three directors called in voluntary
administrators on December 19, 2009.

Kimberley Securities Limited is a Sydney-based property
development company.


MAX TRUST: S&P Changes CreditWatch on Note Ratings to Developing
----------------------------------------------------------------
Standard & Poor's Ratings Services said that it had revised its
CreditWatch on the ratings of the notes issued by Max Trust
(formerly known as Allco Max Securities and Mortgage Trust) to
CreditWatch with developing implications.  The ratings were on
CreditWatch negative, where they had been initially placed on
Oct. 2, 2008.  This rating action follows S&P's review of the
proposed restructure of the notes issued by Max Trust, which is
expected to be completed on June 22, 2009.

Based on S&P's review, S&P believes the proposed restructure may
result in the raising of the ratings to 'A-' from 'BBB-' on the
execution of the restructure.  S&P's review considers these
factors in the proposed restructure:

  -- The overcollateralization to absorb defaults and foreign
     exchange exposure upon termination of partially hedged swaps;

  -- The current credit support available to absorb the estimated
     loss at Standard & Poor's 'A-' rating stress;

  -- The credit risk of the underlying portfolio, which has a
     weighted-average credit rating of 'BB+';

  -- The ability to use principal collections to meet timely
     payment of interest and expense if required;

  -- The availability of a liquidity reserve to meet timely
     payment of interest and expenses if required;

  -- The availability of an unscheduled expense reserve to cover
     extraordinary expenses, which is to be topped up if drawn;

  -- The ability to use excess spread to repay principal and
     increase the overcollateralization;

  -- The ability to sell assets to accelerate repayment to
     noteholders, provided the sale of assets does not result in
     an adverse impact to noteholders or the credit quality of the
     portfolio;

  -- The transaction's cash flow structure; and

  -- The rating stability consideration factored into the analysis
     and stress assumptions.

                      Creditwatch Revision

                            Max Trust

            Class     To               From
            -----     --               ----
            2005-1T   BBB-/Watch Dev   BBB-/Watch Neg
            2006-1T   BBB-/Watch Dev   BBB-/Watch Neg


TIMBERCORP: Administrators Recommend Winding-Up Units
-----------------------------------------------------
The Sydney Morning Herald reports that the administrators of
Timbercorp Ltd have recommended the winding up of companies within
the group.

The report relates that the administrators said the group does not
have enough cash to either fund a restructure or maintain its
operations.

"It is our opinion that it would be in creditors' interests for
each company within the group to be wound up," the report cited
administrators KordaMentha as saying in their second report to
Timbercorp creditors.

"No DOCA (deed of company arrangement) has been proposed, and it
is not in creditors' interests to bring the administrations to an
end."

According to the Herald, KordaMentha said it was not in a position
yet to comment on the estimated return to creditors from a
winding-up of the companies in the group, or the likely timing of
a return.

As reported in the Troubled Company Reporter-Asia Pacific on
April 24, 2009, Timbercorp called in voluntary administrators to
the company and its subsidiaries.  The company appointed Mark
Korda and Leanne Chesser of KordaMentha as voluntary
administrators.  "The company had been hurt by the combined impact
of declining global asset values, tightening credit, the economic
downturn and drought," according to a statement issued by
Kordamentha.

The administrators would implement this three-point plan:

  1. suspend forestry and horticulture operations while funding
     options are determined;

  2. develop a strategy for each forestry and horticulture
     product, project by project, then execute; and

  3. attend to statutory reporting, investigation, creditor
     and shareholder liaison.

Timbercorp had previously announced that the company's business
model was no longer appropriate in the current environment due to
the capital intensity of the projects and was in the process of
transforming the business into an integrated agribusiness company.
Unfortunately these plans, which included asset sales, could not
be executed in the timeframe to meet the company's debt
obligations.

In the full year accounts issued in November 2008, Timbercorp
reported current debt of AU$568 million, net debt of AU$903.1
million and net assets of AU$595 million.

                        About Timbercorp

Based in Melbourne, Australia, Timbercorp Limited (ASX:TIM) --
http://www.timbercorp.com.au/-- is engaged in the establishment,
development, marketing and management of primary industry-based
projects, the acquisition of land, water rights and infrastructure
to support these projects, and the provision of finance to growers
in these projects.  The company is also involved in eucalypt and
olive oil processing operations, asset development, asset
management, the sale of agricultural assets and holding
investments in agricultural-related enterprises.  The company is
organized in four business segments: Horticulture, Forestry,
Finance and Asset development.  Horticulture segment is engaged in
orchard / vineyard establishment, including securing access to
land, water rights and other infrastructure.  Forestry segment is
engaged in land acquisition and management.  Finance segment is
engaged in the provision of loan finance to new and existing
project grower investors.  Asset development segment develops and
manages orchards and vineyards under contract to third parties.


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CHAODA MODERN: Moody's Upgrades Corporate Family Rating to 'Ba3'
----------------------------------------------------------------
Moody's Investors Service has upgraded Chaoda Modern Agriculture
(Holdings) Ltd's corporate family and foreign currency debt
ratings to Ba3 from B1.  The outlook on the ratings is stable.

This rating action concludes the review for possible downgrade
initiated on April 30, 2009.

"The rating action is in response to Chaoda's completion of a
US$229 million share placement that was announced on June 17, 2009
with net proceeds earmarked for debt repayment and general working
capital requirements," says Ken Chan, a Moody's Vice President.

"Such a sizable equity placement for debt repayment is rating
positive, as it substantially enhances Chaoda's liquidity profile
and mitigates the refinancing risk for the company's US$225
million high-yield bonds which mature in February 2010, and which
was the main concern for the original rating review," says Chan,
also Moody's lead analyst for the company.

Chaoda also repaid its HKD1.56 billion convertible bonds on time
in May/June 2009.  These two developments together have largely
alleviated refinancing pressure on the company.

While Chaoda needs to exercise prudent financial management
regarding its growth, its overall financial profile -- including
strong credit metrics with net cash position post share placement
as well as resilient business model -- supports the Ba3 rating.
The company also turned free cash flow positive in fiscal year
1H2009.

The stable outlook reflects the company's enhanced liquidity
position against its near-term maturing debt, and its resilient
cash flow generation ability over the economic cycle.

Upward rating pressure will arise if the company continues to
manage its growth expansion prudently while maintaining a sound
financial profile and sufficient balance sheet liquidity to meet
its operating cash needs and debt repayment on a rolling 12-18
months basis.

On the other hand, downward ratings pressure will arise if there
is a substantial deterioration in Chaoda's balance sheet liquidity
due to 1) aggressive capex spending or acquisitions; 2) large cash
dividend payment; and/or 3) evidence emerging of cash leakages to
fund related companies, such that the company's cash on hand falls
short of its maturing bonds in February 2010.

Moody's last rating action with respect to Chaoda was taken on
April 30, 2009, when the company's corporate family and foreign
currency debt ratings were downgraded to B1 from Ba3 and were
placed on review for further possible downgrade.

Chaoda's ratings were assigned by evaluating factors Moody's
believe are relevant to the credit profile of the issuer, such as
the company's i) business risk and competitive position compared
to others within the industry; ii) capital structure and financial
risk; iii) projected performance over the near to intermediate
term; and iv) management's track record and tolerance for risk.

These attributes were compared against other issuers both within
and outside of Chaoda's core industry; Chaoda's ratings are
believed to be comparable to those of other issuers of similar
credit risk.

Chaoda Modern Agriculture (Holdings) Ltd is a vertically-
integrated agricultural company.  It produces and distributes
fruit and vegetables in China and is also involved in livestock
breeding and sales.


================
H O N G  K O N G
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AMERICAN TELECOM: Court to Hear Wind-Up Petition on July 15
-----------------------------------------------------------
A petition to have American Telecom Services, (Hong Kong)
Limited's operations wound up will be heard before the High Court
of Hong Kong on July 15, 2009, at 9:30 a.m.

Chan Ka Chun Timothy filed the petition against the company on
May 4, 2009.


ASIA ALUMINUM: Receives Last-Minute Bid from Norsk Hydro
--------------------------------------------------------
Norsk Hydro ASA has made a last-minute approach to acquire Asia
Aluminum Holdings Limited, the Financial Times reports.  The
report says that Norsk Hydro's late intervention throws a
potential lifeline to offshore investors lobbying against a
restructuring plan that they fear will wipe out their holdings.

FT relates that Norsk Hydro at the weekend was scrambling to bid
for Asia Aluminum, in a deal which it believed could secure jobs,
develop the company and represent an attractive alternative offer
for creditors.

Citing people familiar with the matter, FT says that Norsk Hydro
has declare its "strong" interest in bidding for the company  and
hopes to make an indicative non-binding bid within seven days.

According to the report, Rod Sutton, executive director of Ferrier
Hodgson, said Norsk Hydro would have to "put their money where
their mouth is" to stand a chance of acquiring Asia Aluminum.

As reported in the Troubled Company Reporter-Asia Pacific on
March 19, 2009, Bloomberg News said that Asia Aluminum Holdings
named provisional liquidators after some bondholders opposed a
debt-restructuring plan.  The High Court in Hong Kong has
appointed Ferrier Hodgson as provisional liquidators to the
company.

Citing Asia Aluminum in an e-mailed statement, Bloomberg News
related Ferrier Hodgson is "undertaking an urgent assessment of
the financial position and operations" of the company.

Bloomberg News said directors Vincent Fok and Rod Sutton will lead
the review.

Meanwhile, FinanceAsia reported that subsequent to the appointment
of provisional liquidators, Asia Aluminum has terminated its
tender offer.

                   Discounted Debt Buyback

As reported in the Troubled Company Reporter-Asia Pacific on
March 4, 2009, The Wall Street Journal said the chairman of Asia
Aluminum pleaded with investors to allow the company to buy back
US$1.2 billion in debt at a substantial discount.

According to the Journal, Chairman Kwong Wui Chun said unless
investors take the deal, the company's suppliers and creditors on
the mainland will move to push the company into bankruptcy.

The Journal related Mr. Kwong said he approached several entities
about a rescue but hasn't received the support needed to avoid the
buyback.

Bank of China Ltd. and China Construction Bank have agreed to
extend a lifeline, provided foreign debt holders comply with the
existing offer, the company said as cited by the Journal.

Bloomberg News related Mr. Kwong on Feb. 27 sent a letter to
investors offering his shares in Asia Aluminum's parent if
investors accept the bond buyback offer.

                           Tender Offer

As reported in the Troubled Company Reporter-Asia Pacific, on
Feb. 13, Asia Aluminum and its parent AA Investments Company
Limited ("AAI") said they intend to commence a tender offer and
consent solicitation for:

   -- any and all of Asia Aluminum's outstanding
      US$450,000,000 8.00% Senior Notes due 2011
      (the "AAH Notes");

   -- any and all of AAI's outstanding US$355,000,000 12.00%
      Senior PIK Notes due 2012 and AAI's outstanding
      US$180,000,000 14.00% Senior PIK Notes due 2012
      together, the "PIK Notes") as well as 1,706,987 Warrants
      originally issued with the PIK Notes ("Warrants"); and

   -- solicitation of consents to a one-time waiver of, and
      amendments to, certain of the provisions of, the indentures,
      as amended and supplemented, under which the AAH Notes and
      the PIK Notes were issued.

The Group expects to offer up to US$275 per US$1,000 principal
amount for AAH Notes and up to US$135 per US$1,000 principal
amount of PIK Notes including Warrants.

The AAH Notes and the PIK Notes are listed on the Singapore
Exchange Securities Trading Limited.

Currently, there are US$450,000,000 principal amount of AAH Notes
outstanding and US$727,529,000 principal amount of PIK Notes
outstanding (which amount includes PIK Notes issued as payment-in-
kind for interest).

On Feb. 26, Trade association EMTA and Aberdeen Asset Management
Plc hosted a call for holders of the 8 percent notes in which all
participants agreed not to sell at the offer price, Bloomberg News
reported citing Bondcritic.com analyst Warut Promboon.

Since the tender offer was made, the Journal said investors have
been arguing that they don't have adequate information about the
company's financial health.

The company hasn't provided specific earnings figures for the six
months ended Dec. 31, the Journal noted.

The International Herald Tribune stated Asia Aluminum has been
hit, like most resources companies, by falling demand.  But unlike
most, the news agency said the company bears a mountain of debt
dating from a leveraged management buyout.

In a statement last month, Asia Aluminum said "due largely to
adverse global macroeconomic conditions, the Group have
experienced declining revenues and cash flow as well as increasing
pressure on available working capital facilities at a
time when the Group need increased financing to enable their
aluminum rolled products manufacturing facility to begin
commercial production."

According to the statement, the deteriorating conditions have
adversely affected the Group's business in various ways,
including:

   -- a decline of approximately 20% in sales volume for the
      six months ended December 31, 2008 as compared to the same
      period in 2007;

   -- higher cost of sales per tonne;

   -- increased overall expenses as a result of preparing their
      aluminum rolled products manufacturing facility for
      commercial production;

   -- significantly longer accounts receivable days as many of
      their customers have also experienced constraints on
      working capital; and

   -- increasing difficulties maintaining sufficient sources
      of working capital financing.

             About Asia Aluminum Holdings Limited

Based in Kowloon, Hong Kong, Asia Aluminum Holdings Limited ---
http://www.asiaalum.com/--- makes aluminum extrusion and
stainless steel products serving the construction, transportation,
industrial, and home-improvement sectors.  It also provides design
and testing services for aluminum products and is building its
capabilities in the aluminum flat-rolled products sector.  Asia
Aluminum has five aluminum extrusion plants in Nanhai and another
in Zhaoqing.  Though it once was publicly traded, the company was
taken private by founder and chairman Kwong Wui Chun in 2006.
Asia Aluminum announced plans to go public again in 2009.

                          *     *     *

As reported in the Troubled Company Reporter-Asia Pacific on
March 19, 2009, Standard & Poor's Ratings Services lowered its
long-term corporate credit rating on Asia Aluminum Holdings Ltd.
to 'D' from 'CC'.  At the same time, S&P also lowered its issue
rating on the company's US$450 million senior unsecured notes due
2011 to 'D' from 'C'.

The TCR-AP also reported on March 19, 2009, that Moody's Investors
Service downgraded to Ca from Caa1 the corporate family rating and
to C from Ca the senior unsecured rating of Asia Aluminum Holdings
Ltd.  The outlook for the ratings remains negative.


CITY TELECOM: Moody's Affirms Corporate Family Rating at 'Ba3'
--------------------------------------------------------------
Moody's Investors Service has affirmed City Telecom (H.K.)
Limited's Ba3 senior unsecured and corporate family ratings; the
outlook on the ratings remains stable.

The affirmation is in response to CTI's announcement that it plans
to launch a cash-funded tender offer and consent solicitation, at
an all-in 95 cents on the dollar, for its outstanding US$72.4
million 8.75% senior notes due 2015, which account for
substantially all of CTI's outstanding debt.

"CTI continues to generate free cash flow and accumulate cash and
thus can fully fund the tender offer and eliminate the negative
carry for its cash on hand," says Laura Acres, a Moody's Vice
President

If successful, the tender offer will result in CTI having
negligible leverage, as measured by adjusted debt/EBITDA. In
addition, given its policy of funding capex out of EBITDA, it will
also have very strong interest cover metrics as measured by
(EBITDA-capex)/interest for its Ba3 rating.  The tender offer will
substantially reduce CTI's liquid resources, although this risk is
tempered by CTI's ability to, and policy of, self funding capex.
Furthermore, in Moody's view, the company should, if the need
arises, be able to raise funds given its current strong financial
profile.

In addition to launching a tender offer, CTI has solicited consent
from note holders to amend certain provisions under the notes
indenture which would eliminate substantially all restrictive
covenants.

"While Moody's recognize the increased financial and operational
flexibility CTI would enjoy following the elimination of these
restrictive covenants, Moody's are uncertain about CTI's long-term
optimum capital structure, and what financial policies and
guidelines the company will adhere to without such covenant
disciplines," adds Acres, also Moody's Lead Analyst for CTI,
adding, "However such concerns are mitigated by CTI's extremely
strong financial profile, which provides the company with
flexibility at its current Ba3 rating level."

The last rating action was on June 2, 2009, when Moody's upgraded
CTI's senior unsecured and corporate family rating to Ba3 with a
stable outlook.

Through its wholly-owned subsidiary, Hong Kong Broadband Network
Ltd, CTI provides broadband service), telephony, IP-TV and
corporate data services through its self-built Metro Ethernet IP
network.  HKBN is the largest alternative operator for residential
voice and broadband services in Hong Kong.  As of February 2009,
it had 1.5 million home residential passes representing 60% of HK
households, and a total of 872,000 subscribers for its triple-play
of voice, broadband and pay-TV services.


GREAT CHOICE: Court to Hear Wind-Up Petition on July 22
-------------------------------------------------------
A petition to have Great Choice Limited's operations wound up will
be heard before the High Court of Hong Kong on July 22, 2009, at
9:30 a.m.

Hang Seng Bank Limited filed the petition against the company on
May 8, 2009.

The Petitioner's solicitors are:

          Messrs. Li, Kwok & Law
          Man Yee Building, Units 1204-06
          68 Des Voeux Road Central
          Hong Kong


KENTOYS LIMITED: Court to Hear Wind-Up Petition on August 5
-----------------------------------------------------------
A petition to have Kentoys Limited's operations wound up will be
heard before the High Court of Hong Kong on August 5, 2009, at
9:30 a.m.

Lee Oi Ha filed the petition against the company on May 25, 2009.


KING SUCCESS: Court to Hear Wind-Up Petition on August 5
--------------------------------------------------------
A petition to have King Success International Holdings Limited's
operations wound up will be heard before the High Court of
Hong Kong on August 5, 2009, at 9:30 a.m.

Lam Yuk Sim Betty filed the petition against the company on
May 25, 2009.


LA-FAYET: Court to Hear Wind-Up Petition on July 29
---------------------------------------------------
A petition to have La-Fayet (Viet-Nam Restaurant) Limited's
operations wound up will be heard before the High Court of
Hong Kong on July 29, 2009, at 9:30 a.m.

Cheung Oi Lin filed the petition against the company on May 18.
2009.


MIKO BUILDING: Court to Hear Wind-Up Petition on July 15
--------------------------------------------------------
A petition to have Miko Building Materials Limited's operations
wound up will be heard before the High Court of Hong Kong on July
15, 2009, at 9:30 a.m.

Lee Siu Lin Ivy filed the petition against the company on May 4,
2009.


TOP WORLD: Court to Hear Wind-Up Petition on July 8
---------------------------------------------------
A petition to have Top World (Hong Kong) Limited's operations
wound up will be heard before the High Court of Hong Kong on July
8, 2009, at 9:30 a.m.

Yeung Yuk Ha Christine filed the petition against the company on
April 22, 2009.


XINHUA FINANCE: S&P Affirms Corporate Credit Rating at 'B-'
-----------------------------------------------------------
Standard & Poor's Ratings Services said that it had affirmed its
'B-' long-term corporate credit rating on Xinhua Finance Ltd. and
the 'B-' issue rating on the company's US$100 million senior
unsecured notes due 2011 (US$9.4 million is currently outstanding
following redemptions made at par in 2008 and 2009).  S&P later
withdrew the rating at the company's request.  The outlook on the
corporate credit rating at the time of the withdrawal was
negative.

The rating affirmation reflected the substantial deterioration in
Xinhua Finance's business profile following its restructuring, the
company's weakened earnings and cash flow generation ability, and
its track record of corporate governance issues.  Two of Xinhua
Finance's remaining three segments, ratings and financial
solutions, are in the early stage of development and therefore
require investment.  These weaknesses were tempered by its
profitable index business.


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AIR INDIA: Hikes Fuel Surcharge by INR400 on Domestic Sector
------------------------------------------------------------
The Economic Times reported that Air India raised its fuel
surcharge on tickets starting June 19, following similar moves by
other carriers.

"We are increasing the fuel surcharge by INR400 effective tomorrow
(Friday)," the report quoted Air India spokesman as saying.  The
higher fares were for both long and short haul routes on the
domestic sector, the spokesman said.

As reported in the Troubled Company Reporter-Asia Pacific on
June 19, 2009, The Hindustan Times said that Air India has been
bleeding due to excess capacity, lower yield, a drop in passenger
numbers, an increase in fuel prices and the effects of the global
slowdown.

Air India's losses have almost doubled to over INR4,000 crore in
2008-09 (INR2,226 crore in 2007-08) and it does not have the money
to foot the INR350-crore monthly salary bill of its 31,500
employees, according to the Hindustan Times.

Citing a report by The Financial Express, the TCR-AP said on
June 10, 2009, that the National Aviation Company of India Ltd
(Nacil), the company that operates Air India, is seeking INR14,000
crore in equity infusion, soft loans and grants.

                         About Air India

Air India -- http://www.airindia.com/-- transports passengers
throughout India and to more than 40 destinations throughout the
world.  Affiliate Air India Express operates as a low-fare
carrier, mainly between India and destinations in the Middle East,
and Air India Cargo provides freight transportation.  The
government of India has merged Air India with another state-
controlled carrier, Indian Airlines, which has focused on domestic
routes.  The combined airline, part of a new holding company
called National Aviation Company of India, uses the Air India
brand.  The new Air India and its affiliates have a fleet of more
than 110 aircraft altogether.


ANINDITA TRADES: CRISIL Rates INR65 Million Term Loan at 'BB'
--------------------------------------------------------------
CRISIL has assigned its rating of 'BB/Stable/P4' to the bank
facilities of Anindita Trades & Investments Ltd (Anindita).

   INR80 Million Cash Credit *    BB/Stable(Assigned)
   INR65 Million Term Loan**      BB/Stable(Assigned)
   INR25 Million Bank Guarantee   P4(Assigned)

   * Includes proposed limit of INR30 Million
   ** Includes proposed limit of INR21.5 Million

The rating reflects Anindita's marginal market share in the steel
industry, large working capital requirements, and exposure to
risks relating to cyclicality in the steel industry.  These
weaknesses are, however, partially offset by Anindita's average
gearing and debt protection measures.

Outlook: Stable

CRISIL believes Anindita will maintain an average financial risk
profile.  The outlook may be revised to 'Positive' if the
company's revenues and profitability improve substantially, or if
it attains greater integration in operations.  Conversely, the
outlook may be revised to 'Negative' if the company undertakes
large, debt-funded capital expenditure.

                        About Anindita Trades

Incorporated as a financing company in 1995, the company remained
non-operational till 2005.  The company changed its line of
business in 2005 to manufacturing sponge iron.  Its manufacturing
unit in Jharkhand has capacity to produce 300 tonnes of sponge
iron per day.  Anindita reported a profit after tax (PAT) of
INR13 million on net sales of INR163 million for 2007-08 (refers
to financial year, April 1 to March 31), as against a PAT of
INR(4)million on net sales of INR129 million for 2006-07.


BAGHAULI SUGAR: Delay on Interest Payment Cues CRISIL 'D' Rating
----------------------------------------------------------------
CRISIL has assigned its rating of 'D' to the term loan facility of
Baghauli Sugar & Distillery Ltd (BSDL).

   INR1150 Million Term Loan     D (Assigned)

The rating reflects delay by BSDL in the interest payment on its
term loan, which was due in April 2009.

                      About Baghauli Sugar

BSDL was incorporated in 2006 and is setting up a 5000-tonne of
cane crushed per day integrated sugar plant with a bagasse-based
18-megawatt (MW) cogeneration power plant and a 100-kilolitre per
day distillery and blending unit at Hardoi, Uttar Pradesh.  The
sugar and power plants have been commissioned, and the company is
in the process of setting up the distillery unit.  The company has
got a licence from the Government of Uttar Pradesh for
manufacturing and supplying country liquor to government channels
in the state; hence, it is also setting up a small bottling unit
in an annex to the distillery unit.  The company is also setting
up a steel unit in the same complex, for manufacturing ingots by
melting scrap and sponge iron, to utilise the surplus power
generated by the cogeneration plant. The project cost of INR2.19
billion is funded in a debt-to-equity ratio of 1.8:1.


CANARA OVERSEAS: CRISIL Places 'BB-' Ratings on Various Bank Loans
------------------------------------------------------------------
CRISIL has assigned its ratings of 'BB-/Stable/P4' to the bank
facilities of Canara Overseas Ltd (Canara Overseas).

   INR50.0 Million Cash Credit      BB-/Stable (Assigned)
   INR50.0 Million Proposed Long    BB-/Stable (Assigned)
         Term Bank Loan Facility
   INR100.0 Million Packing Credit  P4 (Assigned)

The ratings reflect Canara Overseas' modest scale of operations in
the export of iron ore fines, and cyclicality in the end-user
industry (Steel) and geographic concentration of its revenues.
These weaknesses are, however, partially offset by Canara
Overseas' moderate financial risk profile, marked by above-average
gearing, and the benefits it derives from the experience of its
promoters in the iron ore business.

Outlook: Stable

CRISIL believes that Canara Overseas will maintain a stable
business risk profile backed by its promoters' experience in the
business.  The outlook may be revised to 'Positive' if the company
scales up its operations while maintaining current profitability;
or to 'Negative' if the company undertakes large, debt-funded
capital expenditure, leading to deterioration in financial risk
profile, or faces adverse changes in government policy on iron ore
exports.

                      About Canara Overseas

Incorporated in 2003, Canara Overseas procures and exports iron
ore fines. The company is promoted by Mr. Pradeep Wodeyar, Mr. G
Lakshminarayana, and Ms. K M Sujathaprabhu.  Canara Overseas
reported a profit after tax (PAT) of INR2.1 million on net sales
of INR420 million for 2007-08 (refers to financial year, April 1
to March 31), as against a PAT of INR1.3 million on net sales of
INR430 million for 2006-07.


JAI DURGA: CRISIL Assigns 'BB+' Rating on INR39.9 Mln Term Loan
---------------------------------------------------------------
CRISIL has assigned its ratings of 'BB+/Stable/P4' to the bank
facilities of Jai Durga Iron Pvt Ltd (Jai Durga).

   INR67.5 Million Cash Credit      BB+/Stable(Assigned)
   INR39.9 Million Term Loan*       BB+/Stable(Assigned)
   INR10.1 Million Standby Line     P4(Assigned)
                 of Credit
   INR22.5 Million Bank Guarantee   P4(Assigned)

   *Includes proposed limit of INR2.3 Million

The ratings reflect Jai Durga's aggressive debt-funded expansions,
leading to deterioration in financial profile, and its marginal
market share, and vulnerability to cyclicality, in the steel
industry.  These weaknesses are, however, partially offset by Jai
Durga's average operating efficiency, and the benefits it derives
from forward-integration initiatives.

To arrive at the ratings, CRISIL has combined the business and
financial profiles of Jai Durga and Sri Venkatesh Iron & Alloy
(India) Ltd (SVIAL); this is because the two companies, together
referred to as the Jai Durga group, are in the same line of
business and have similar business profiles, and a common
management.

Outlook: Stable

CRISIL expects the Jai Durga group to maintain an average business
risk profile on the back of improved operational efficiency,
following stabilisation of new capacities.  However, the group's
credit risk profile may remain constrained by its aggressive
expansion plans for the medium term.  The outlook may be revised
to 'Positive' if the group's financial profile improves
substantially as a result of higher cash accruals or equity
infusions than anticipated; or to 'Negative' if low capacity
utilisation weakens operating margins, or if the company
undertakes large, unexpected debt-funded capital expenditure.

                         About Jai Durga

Jai Durga, the flagship company of the Jai Durga group, is
promoted by Mr. Mahesh Periwal, Mr. Pradip Kedia, Mr. Binod Kumar
Bajaj, and Mr. Krishna Kumar Agarwal.  Jai Durga and its group
company, SVIAL (which was acquired by the promoters in 2007)
manufacture sponge iron.  Jai Durga set up an ingot-manufacturing
unit in 2005, and integrated forward in 2008, by acquiring a
rolling mill.  Currently, Jai Durga is an integrated steel unit,
with production capacities of 48,000 tonnes of sponge iron, 30,000
tonnes of ingot and 24,000 tonnes of thermo-mechanically treated
bars.

The group reported a profit after tax (PAT) of INR25 million on
net sales of INR456 million for 2007-08 (refers to financial year,
April 1 to March 31), as against a PAT of INR4 million on net
sales of INR250 million for 2006-07.


MAYTAS INFRA: State Gov't. May Scrap Metro Rail Contract
--------------------------------------------------------
The Andhra Pradesh state government is looking for alternatives to
execute the INR12,100 crore Hyderabad Metro Rail project on its
own after finding Maytas Infrastructures Ltd might not be able to
execute the project, the Business Standard reports.

The Business Standard relates the project was awarded to Maytas, a
firm promoted by the kin of Satyam Computer B. Ramalinga Raju.
However, Maytas failed to achieve financial closure for the
project as per schedule in March 2009 and asked the government for
six months grace time.

Citing unnamed sources, the report says that top officials from
the government met recently and were in favour of cancelling the
project to Maytas and look at alternatives available.

The Business Standard relates that Hyderabad Metro Rail Limited
(HMRL) chairman CVSK Sarma, however, said that "no decision is
taken on this matter."

Meanwhile, The Times of India reports that the Karnataka cabinet
on Thursday terminated all its agreements with Maytas Infra-led
consortium for delay in implementing the two greenfield airport
projects at Gulbarga and Shimoga it had bagged as part of a
consortium.

"We gave them enough time but they failed to prove their mettle in
executing the projects.  So we decided to terminate the
agreements," law and parliamentary affairs minister Suresh Kumar
was quoted by the Times as saying.

As reported in the Troubled Company Reporter-Asia Pacific on
Feb. 20, 2009, the Financial Express said the government called on
the Company Law Board to supercede the present boards of Maytas
Infra Ltd and Maytas Properties Ltd.  "In order to prevent
further acts of fraud against the said companies (two Maytas
companies) and to safeguard operations of these companies in
public interest, the government has moved the CLB to remove the
existing directors of these companies," the Financial Express
quoted Corporate Affairs Minister Prem Chand Gupta as saying.

The Hindu Busines Line related that the application to the CLB was
based on the information given by the Serious Fraud Investigation
Office (SFIO), which showed that the present management of the two
companies had worked with fraudulent intent, breached
stakeholders' trust, persistently neglected its obligations and
functions 'to the serious detriment of the business and operations
of these two companies and stakeholders'.  According to the Hindu
Business Line, the board of Maytas Infra comprises Dr. R. P. Raju
(Independent director), Mr. B. Teja Raju (Vice- Chairman and son
of Mr B. Ramalinga Raju), and Mr. B. Narasimha Rao (who was
inducted on January 30, 2009).

                     Receivership Application

As reported in the TCR-AP on Feb. 18, 2009, India Infoline, citing
a report, said the Bombay High Court has rejected an application
made by IDBI Bank and ICICI Bank seeking appointment of a court
receiver to oversee the administration of Maytas Infra Limited.

According to Infoline, Maytas is carrying out 62 infrastructure
projects and has INR40.45 billion debt outstanding, in term loans
and working capital facilities from various banks.

Infoline said Maytas's financial health and its ability to
complete the ongoing projects is crucial for the banks.

On February 9, Infoline said a High Court judge had refused to
grant ad-interim relief sought by the two banks.

                       About Maytas Infra

Maytas Infra Limited -- http://www.maytasinfra.com/--  is an
India-based construction and infrastructure developer.  The
company is primarily engaged in the business of construction of
roads, irrigation projects, buildings, industrial structures, oil
and gas infrastructure, railway infrastructure, power transmission
and distribution lines, including rural electrification, power
plants, and development of airports and seaports.  The company's
construction business is classified into four sub-segments:
transportation, which includes roads and railways; water projects;
buildings and structures, and energy.  Its infrastructure business
is also classified into four sub-segments: power, ports, roads and
airports.


PINK STAR: Low Net Worth Prompts CRISIL to Assign 'P4' Ratings
--------------------------------------------------------------
CRISIL has assigned its rating of 'P4' to the bank facilities of
Pink Star.

   INR40.00 Million Export Packing Credit    P4 (Assigned)
   INR220.00 Million Post Shipment Credit*   P4 (Assigned)

   * Includes INR50 million completely interchangeable
     with export packing credit.

The rating reflects the expected deterioration in Pink Star's
profitability and revenues owing to the current economic slowdown,
and its weak financial risk profile marked by weak debt protection
measures, high gearing, and low net worth. These weaknesses are
partially offset by the benefits the firm derives from its
promoters' experience in the diamond cutting and polishing
business.

                          About Pink Star

Established in 1977, Pink Star is the flagship entity of the
Shreeji group of companies, which is a family-run business, is
engaged in manufacturing and exporting cut and polished diamonds.
The firm is currently managed by brothers, Mr. Pravin Shah and
Mr. Vinod Shah.  Pink Star reported a profit after tax (PAT) of
INR6 million on net sales of INR612 million for 2007-08 (refers
to financial year, April 1 to March 31), as against a PAT of
INR5 million on net sales of INR561 million for 2006-07.


SPICEJET LTD: Raises Fuel Surcharge by INR400
---------------------------------------------
SpiceJet Limited increased fuel surcharge by INR400 effective
June 18, a day after private domestic airlines Jet Airways and
Kingfisher Airlines announced their decision, The Economic Times
reports.

The Economic Times says the increase in fuel surcharge by the
airlines comes on the back of an over 12 percent increase in the
aviation turbine fuel prices by oil marketing companies on
June 15.

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

                          *     *     *

SpiceJet Limited booked annual net losses of INR707.43 million in
2007 and INR1,335.07 million in 2008.


SRI VENKATESH: CRISIL Puts 'BB+' Rating on INR200 Mln Term Loan
---------------------------------------------------------------
CRISIL has assigned its ratings of 'BB+/Stable/P4' to the bank
facilities of Sri Venkatesh Iron & Alloys India Ltd (SVIAL).

   INR120 Million Cash Credit     BB+/Stable(Assigned)
   INR200 Million Term Loan       BB+/Stable(Assigned)
   INR20 Million Bank Guarantee   P4(Assigned)

The ratings reflect SVIAL's aggressive debt-funded expansions,
leading to deterioration in financial profile, and its marginal
market share, and vulnerability to cyclicality, in the steel
industry.  These weaknesses are, however, partially offset by
SVIAL's average operating efficiency, and the benefits it derives
from forward-integration initiatives.

To arrive at the ratings, CRISIL has combined the business and
financial profiles of SVIAL and Jai Durga Iron Pvt Ltd (Jai
Durga); this is because the two companies, together referred to as
the Jai Durga group, are in the same line of business and have
similar business profiles, and a common management.

Outlook: Stable

CRISIL expects the Jai Durga group to maintain an average business
risk profile on the back of improved operational efficiency,
following stabilisation of new capacities.  However, the group's
credit risk profile may remain constrained by its aggressive
expansion plans for the medium term.  The outlook may be revised
to 'Positive' if the group's financial profile improves
substantially as a result of higher cash accruals or equity
infusions than anticipated; or to 'Negative' if low capacity
utilisation weakens operating margins, or if the company
undertakes large, unexpected debt-funded capital expenditure.

                        About Jai Durga

Jai Durga, the flagship company of the Jai Durga group, is
promoted by Mr. Mahesh Periwal, Mr. Pradip Kedia, Mr. Binod Kumar
Bajaj, and Mr. Krishna Kumar Agarwal.  Jai Durga and its group
company, SVIAL (which was acquired by the promoters in 2007)
manufacture sponge iron.  Jai Durga set up an ingot-manufacturing
unit in 2005, and integrated forward in 2008, by acquiring a
rolling mill.  Currently, Jai Durga is an integrated steel unit,
with production capacities of 48,000 tonnes of sponge iron, 30,000
tonnes of ingot and 24,000 tonnes of thermo-mechanically treated
bars.

The group reported a profit after tax (PAT) of INR25 million on
net sales of INR456 million for 2007-08 (refers to financial year,
April 1 to March 31), as against a PAT of INR4 million on net
sales of INR250 million for 2006-07.


SUBBURAJ COTTON: Delay in Loan Payment Cues CRISIL 'D' Rating
-------------------------------------------------------------
CRISIL has assigned its ratings of 'D/P5' to the bank facilities
of Subburaj Cotton Mills Pvt Ltd (Subburaj Cotton).  This is
because the company has delayed its term loan obligations, owing
to weak liquidity.  Subburaj Cotton has approached the banks for
restructuring the term loan instalments, which is still pending
approval.  The company has not paid the term loan instalments from
February 2009.

   INR460.70 Million Long Term Loan     D (Assigned)
   INR267.50 Million Cash Credit        D (Assigned)
   INR10.00 Million Overdraft Facility  D (Assigned)
   INR5.00 Million Line of Credit       D (Assigned)
   INR40.00 Million Bank Guarantee      P5 (Assigned)

                       About Subburaj Cotton

Established in 1980 as a partnership firm by Mr. K Venkadaswamy,
Subburaj Cotton was converted to a private limited company in
1995.  It manufactures cotton yarn, and has capacity of 65,000
spindles. For 2007-08 (refers to financial year, April 1 to
March 31), Subburaj Cotton reported a profit after tax (PAT) of
INR14.3 million on net sales of INR800.2 million, as against a PAT
of INR53 million on net sales of INR660 million for 2006-07.


SUBBURAJ SPINNING: Weak Liquidity Prompts 'D' Ratings
-----------------------------------------------------
CRISIL has assigned its ratings of 'D/P5' to the bank facilities
of Subburaj Spinning Mills Pvt Ltd (Subburaj Spinning).  This is
because the company has delayed its term loan obligations, owing
to weak liquidity.  Subburaj Spinning has approached the banks for
restructuring the term loan instalments, which is still pending
approval.  The company has not paid the term loan instalments from
February 2009.

   INR123.20 Million Long Term Loan     D (Assigned)
   INR46.00 Million Packing Credit      P5 (Assigned)
   INR10.00 Million Foreign Bills       P5 (Assigned)
                      Purchase
   INR148.00 Million Line of Credit     P5 (Assigned)
   INR1.50 Million Bank Guarantee       P5 (Assigned)
   INR16.00 Million Letter of Credit    P5 (Assigned)

As part of this rating exercise, CRISIL has combined the business
and financial risk profiles of Subburaj Spinning and Subburaj
Textile Mills Pvt Ltd (Subburaj Textiles).  This is because both
the companies, together referred to as the Subburaj group, are
engaged in the same line of business, share a common management,
have centralised raw material procurement and marketing
arrangements, and commercial transactions, though at arm's length.

                         About the Group

Set up in 1994 by Mr. K Venkadaswamy and Mr. Subburaj, the
Subburaj group manufactures cotton and polyester yarn.  It has
capacity of around 62,400 spindles, and also has yarn processing
facility for gassing and mercerising.  The group has modernised
its machinery under the Government of India's Technology
Upgradation Fund (TUF) scheme.

The Subburaj group reported a profit after tax (PAT) of INR13.9
million on net sales of INR1.05 billion for 2007-08 (refers to
financial year, April 1 to March 31), as against a PAT of
INR280.4 million on net sales of INR1.07 billion for 2006-07.


YAMUNA CABLE: CRISIL Assigns 'BB+' Rating on INR80 Mln Cash Credit
------------------------------------------------------------------
CRISIL has assigned its ratings of 'BB+/Stable/P4' to the bank
facilities of Yamuna Cable Accessories Pvt Ltd (YCA), a Yamuna
group entity.

   INR80 Million Cash Credit*           BB+/Stable (Assigned)
   INR10 Million Standby Line of Credit BB+/Stable (Assigned)
   INR20 Million Proposed Term Loan     BB+/Stable (Assigned)
   INR50 Million Letter of Credit       P4 (Assigned)
   INR40 Million Bank Guarantee         P4 (Assigned)
   INR20 Million Standby Letter of      P4 (Assigned)
                  Credit

   *Includes a sub-limit of INR40 million export packaging
    credit facility and INR20 million Foreign bill purchase
    loan.

The ratings reflect the Yamuna group's working capital-intensive
operations, resulting in high utilisation of bank lines, and
customer concentration in the project segment.  These weaknesses
are mitigated by the extensive industry experience of YCA's
promoters and their established relationships with clients.

For arriving at its ratings, CRISIL has combined the business and
financial risk profiles of YCA and its group companies, Yamuna
Power & Infrastructure Ltd (YPIL) and YGC Projects Ltd (YGC); this
is because the three companies have common promoters, are in
similar lines of business, and are likely to extend financial
support to one another in case of exigency, or to extend corporate
guarantees or unsecured loans to meet short-term fund
requirements.  YPIL, YCA, and YGC are together referred to,
herein, as the Yamuna group.

Outlook: Stable

CRISIL expects the Yamuna group to maintain its credit risk
profile on the back of its longstanding presence in the industry.
The outlook may be revised to 'Positive' if the group posts
higher-than-expected revenue growth and profitability, resulting
in better cash accruals, while maintaining its capital structure.
Conversely, the outlook may be changed to 'Negative' in case of
larger-than-expected debt-funded capital expenditure, or decline
in operating margins, resulting in higher leverage and
deterioration in debt coverage indicators.

                          About Yamuna Cable

YCA, formerly Bhatuloi Reinforce Pvt Ltd, was incorporated in 1996
by Mr. Sham Sunder Sardana.  The company is in the business of
manufacturing cable joining kits and accessories for power cables
of up to 400 kilovolts (KV), and for telecom cables.  Its
manufacturing facilities are located at Yamunanagar, Haryana.  YCA
was a 100 per cent subsidiary of YPIL. From September 2008, YCA
ceased to be YPIL subsidiary.

For 2007-08 (refers to financial year, April 1 to March 31), the
Yamuna group reported a profit after tax of INR21.2 million on net
sales of INR734 million, against INR59 million and INR685 million,
respectively, in the previous year.


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


PT PAKUWON: Fitch Downgrades Issuer Default Rating to 'CC'
----------------------------------------------------------
Fitch Ratings has downgraded PT Pakuwon Jati Tbk's ratings, and
placed them on Rating Watch Negative:

  -- Long-term foreign and local currency Issuer Default Ratings
     downgraded to 'CC' from 'CCC'; on RWN;

  -- National Long-term rating downgraded to 'CC(idn)' from
     'B(idn)'; on RWN;

  -- USD110 million senior notes due 2011 downgraded to 'CC'
     from 'CCC'; Recovery rating affirmed at 'RR4'; and

  -- Senior Bond I (outstanding IDR71.4 billion) due 2011
     downgraded to 'CC(idn)' from 'B(idn)'.

The rating downgrades reflect the continued weak pre-sales from
Pakuwon's superblock development project at Gandaria in Jakarta,
and the increased likelihood of a debt restructuring this year.
Fitch notes that Pakuwon's management still plans to complete the
construction of the Gandaria project.  However, given that the
project has been significantly delayed, the company plans to
prioritise its cash balance for the construction of the project to
avoid further delays.

At end-March 2009, Pakuwon had unrestricted cash balance of IDR393
billion, compared with its short-term debt of IDR192 billion.  The
company also had restricted cash of IDR188 billion, of which IDR35
billion was to be disbursed for Gandaria's capex needs, with the
rest placed in an escrow account set up for the interest payment
of the USD Notes.  Although the company may have enough cash to
meet the first amortization of its USD Notes, amounting to
USD13.75 million, in November 2009, it plans to restructure its
debt so that its cash balance, potential cash inflow from its pre-
sales, and recurring cash flow from Superblock Tunjungan City, can
be employed to fund the completion of the Gandaria project.

Fitch expects to resolve the RWN once further details of the debt
restructuring plan become available.  In evaluating the plan, the
agency will consider whether it amounts to a Coercive Debt
Exchange (CDE) in accordance with Fitch's CDE criteria published
on March 3, 2009.

Pakuwon is a listed property company in Indonesia with a presence
in commercial property investment and development, as well as
residential property development, primarily in Surabaya but is
expanding into Jakarta.  Pakuwon achieved revenues of
IDR454 billion and EBITDA of IDR210 billion in 2008.  Founder
Alexander Tedja's family has a 72.7% beneficial interest in the
company.


* INDONESIA: Gov't. to Sell INR2-Trillion Bonds on June 23
----------------------------------------------------------
The Indonesian government plans to sell INR2 trillion (US$196
million) worth of bonds on June 23, The Jakarta Post reports
citing the Finance Ministry.

The report says the government will sell SPN20100610 bills
maturing on June 20, 2010; FR0030 bonds maturing on May 15, 2016,
yielding 10.75 percent; FR0044 maturing on Sept. 15, 2024,
yielding 10 percent.

According to the Post, the sales are part of the government's plan
to plug this year's estimated budget deficit of IDR139.5 trillion.


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


APROCEED CO: Moody's Changes Ratings on Various Classes of Bonds
----------------------------------------------------------------
Moody's Investors Service has changed the ratings for the Class A
through D Bonds issued by Aproceed Co., Ltd.  The final maturity
of these Bonds is in February 2012.

The individual rating actions are listed below.

  -- Class A, confirmed at Aaa; previously, Aaa placed under
     review for possible downgrade on April 14, 2009

  -- Class B, downgraded to Aa3 from Aa2; previously, Aa2 placed
     under review for possible downgrade on April 14, 2009

  -- Class C, downgraded to Baa1 from A2; previously, A2 placed
     under review for possible downgrade on April 14, 2009

  -- Class D, downgraded to Ba2 from Baa2; previously, Baa2 placed
     under review for possible downgrade on April 14, 2009

"CMBS transaction-Aproceed Co., Ltd.," effected in March 2007,
represents the securitization of a portfolio of 5 trust
certificates.

Moody's has updated its key surveillance assumptions for the
monitoring of Japanese CMBS ratings and on April 14, 2009, started
reviewing for possible downgrade 228 tranches in 50 Japanese CMBS
deals.

As a result, the number of tranches on review for possible
downgrade comes to 339, in 57 deals -- including deals that had
already been on review for possible downgrade.  This is one of the
transactions that had been placed under review because of the
update.

In light of Japan's current liquidity crisis, Moody's is concerned
that refinancing possibilities for existing CMBS borrowers are
declining precipitously, and that real estate prices will remain
stressed.

Moody's is thus applying higher stress to its recovery assumptions
for those loans that are more likely to default than in normal
market conditions.  To incorporate this influence into its CMBS
ratings, Moody's has classified all CMBS loans into three
categories -- plus special servicing loans -- according to the
likelihood of refinancing.

Moody's has also re-evaluated recovery assumptions for other loans
that are not characterized as having a high likelihood of default,
based on collateral performance such as rents and occupancy rates.

For more information about the category definitions, please see
Moody's Rating Methodology, "Methodology Update: Surveillance
Assumptions for Japanese CMBS" (April 2009).

                        Category 1 Loans

                       0% of the loan pool

Moody's considers these loans as having a high likelihood of
refinancing based on (1) the sponsor's characteristics, (2) the
quality of the collateral, and (3) the amount of leverage.

                        Category 2 Loans

                      100% of the loan pool

Moody's considers these loans as having a high likelihood of
default, based on the sponsor's characteristics and the short
period until maturity.

                        Category 3 Loans

                       0% of the loan pool

These are loans that do not fit the criteria for Categories 1 and
2.

                     Special Servicing Loans

                       0% of the loan pool

Moody's received relevant information such as PM reports and rent
rolls.  Moody's also interviewed the asset manager regarding its
refinancing and disposition plan policies, as well as its leasing
and expense management.  Accordingly, Moody's estimated recovery
stress of 17%, in light of these factors.

1) Rents and occupancy rates, among others, for some of the
   properties are less than originally assumed.

2) These bonds will mature in February 2010 and will have to be
   refinanced in what Moody's believes will be a stressed market.


CITIGROUP INC: Settles Lawsuit Against Former Nikko Executives
--------------------------------------------------------------
Citigroup Inc. said it has settled a lawsuit against three former
executives of subsidiary Nikko Cordial Corp., ending a two-year
court battle stemming from an accounting scandal at the firm,
Bloomberg News reports.

The report, citing Nikko Citi Holdings Inc. spokesman Yoshito
Shimoyama, says Citigroup settled with Junichi Arimura, the former
chief executive officer of Nikko Cordial, and two other former
managers, on June 10.

According to court documents seen by Bloomberg News at the Tokyo
District Court, Arimura, who resigned in 2006 after the company
was accused of inflating profits, will pay JPY62.2 million.

The documents, as cited by Bloomberg, show that ex-Chief Financial
Officer Hajime Yamamoto agreed to pay JPY70 million while Hirofumi
Hirano, the then-chairman of Nikko Principal Investments Japan
Ltd., will pay JPY100 million.

Nikko Cordial filed a lawsuit in April 2007 against the three
executives for JPY3.4 billion, the report recounts.

Based in New York, Citigroup Inc. (NYSE: C) --
http://www.citigroup.com/-- is organized into four major segments
-- Consumer Banking, Global Cards, Institutional Clients Group,
and Global Wealth Management.  Citigroup had US$2.0 trillion in
total assets on US$1.9 trillion in total liabilities as of
September 30, 2008.

As reported in the Troubled Company Reporter on November 25, 2008,
the U.S. government entered into an agreement with Citigroup to
provide a package of guarantees, liquidity access, and capital.
As part of the agreement, the U.S. Treasury and the Federal
Deposit Insurance Corporation will provide protection against the
possibility of unusually large losses on an asset pool of
approximately US$306 billion of loans and securities backed by
residential and commercial real estate and other such assets,
which will remain on Citigroup's balance sheet.  As a fee for this
arrangement, Citigroup issued preferred shares to the Treasury and
FDIC.  The Federal Reserve agreed to backstop residual risk in the
asset pool through a non-recourse loan.

Citigroup is one of the banks that, according to results of the
government's stress test, need more capital.


GODO KAISHA: Moody's Changes Ratings on Various Classes of Notes
----------------------------------------------------------------
Moody's Investors Service has changed the ratings for the Class A
through F and X Notes issued by Godo Kaisha Orso Funding CMBS 6.
The final maturity of the Notes will take place in November 2013.

The individual rating actions are listed below.

  -- Class A, confirmed at Aaa; previously, Aaa placed Under
     Review for Possible Downgrade on April 14, 2009

  -- Class B, Downgraded to Aa3 from Aa2; previously, Aa2 placed
     Under Review for Possible Downgrade on April 14, 2009

  -- Class C, Downgraded to Baa1 from A2; previously, A2 placed
     Under Review for Possible Downgrade on April 14, 2009

  -- Class D, Downgraded to Ba1 from Baa2; previously, Baa2 placed
     Under Review for Possible Downgrade on April 14, 2009

  -- Class E, Downgraded to B2 from Ba2; previously, Ba2 placed
     Under Review for Possible Downgrade on April 14, 2009

  -- Class F, Downgraded to B3 from Ba3; previously, Ba3 placed
     Under Review for Possible Downgrade on April 14, 2009

  -- Class X, confirmed at Aaa; previously, Aaa placed Under
     Review for Possible Downgrade on April 14, 2009

Godo Kaisha Orso Funding CMBS 6, effected in March 2007,
represents the securitization of two non-recourse loans and four
TMK bonds.  The transaction is currently secured by four TMK
bonds.

Moody's has updated its key surveillance assumptions for the
monitoring of Japanese CMBS ratings and on April 14, 2009, started
reviewing for possible downgrade 228 tranches in 50 Japanese CMBS
deals.

As a result, the number of tranches on review for possible
downgrade comes to 339, in 57 deals -- including deals that had
already been on review for possible downgrade.  This is one of the
transactions that had been placed under review because of the
update.

In light of Japan's current liquidity crisis, Moody's is concerned
that refinancing possibilities for existing CMBS borrowers are
declining precipitously, and that real estate prices will remain
stressed.

Moody's is thus applying higher stress to its recovery assumptions
for those loans that are more likely to default than in normal
market conditions.  To incorporate this influence into its CMBS
ratings, Moody's has classified all CMBS loans into three
categories -- plus special servicing loans -- according to the
likelihood of refinancing.

Moody's has also re-evaluated recovery assumptions for other loans
that are not characterized as having a high likelihood of default,
depending on a necessity based on collateral performance such as
rents and occupancy rates.

                        Category 1 Loans

                       0% of the loan pool

Moody's considers these loans as having a high likelihood of
refinancing based on (1) the sponsor's characteristics, (2) the
quality of the collateral, and (3) the amount of leverage.

                        Category 2 Loans

                       19% of the loan pool

Moody's considers these loans as having a high likelihood of
default, based on the sponsor's characteristics and the short
period until maturity.

                        Category 3 Loans

                      81% of the loan pool

These are loans that do not fit the criteria for Categories 1 and
2.

                     Special Servicing Loans

                       0% of the loan pool

Moody's received relevant information such as PM reports and rent
rolls.  Moody's also interviewed the asset manager regarding its
refinancing and disposition plan policies, as well as its leasing.
Accordingly, Moody's estimated recovery stress in the range of 11%
to 21% and 13% for the weighted average (excluding the specially
serviced loans), in light of these factors.

1) Among other things, rents, occupancy rates, and cash flows from
   facility operations for the properties are less than originally
   assumed.

2) Given stressed environment for the commercial real estate
   market, cash flow volatility is likely to make less attractive
   to potential buyers.


J-CORE FL1: Moody's Changes Ratings on Class D and E Certificates
-----------------------------------------------------------------
Moody's Investors Service has changed the ratings for the Class D
and E trust certificates issued by J-CORE FL1 Trust.  The final
maturity of the trust certificates will take place in April 2012.

The individual rating actions are listed below.

  -- Class D, downgraded to B1 from Baa1; previously, Baa1 placed
     under review for possible downgrade on April 14, 2009

  -- Class E, downgraded to B3 from Ba2; previously, Ba2 placed
     under review for possible downgrade on April 14, 2009

J-CORE FL1 Trust, effected in December 2006, represents the
securitization of a loan and other securities backed by a
portfolio of four assets, comprising specified bonds and non-
recourse loans secured by four properties.  Three assets have been
paid in full, and the transaction is currently secured by one
asset.

Moody's has updated its key surveillance assumptions for the
monitoring of Japanese CMBS ratings and on April 14, 2009, started
reviewing for possible downgrade 228 tranches in 50 Japanese CMBS
deals.

As a result, the number of tranches on review for possible
downgrade comes to 339, in 57 deals -- including deals that had
already been on review for possible downgrade.  This is one of the
transactions that had been placed under review because of the
update.

In light of Japan's current liquidity crisis, Moody's is concerned
that refinancing possibilities for existing CMBS borrowers are
declining precipitously, and that real estate prices will remain
stressed.

Moody's is thus applying higher stress to its recovery assumptions
for those loans that are more likely to default than in normal
market conditions.  To incorporate this influence into its CMBS
ratings, Moody's has classified all CMBS loans into three
categories -- plus special servicing loans -- according to the
likelihood of refinancing.

Moody's has also re-evaluated its recovery assumptions for other
loans that are not characterized as having a high likelihood of
default, based on collateral performance such as rents and
occupancy rates.

                        Category 1 Loans

                       0% of the loan pool

Moody's considers these loans as having a high likelihood of
refinancing based on (1) the sponsor's characteristics, (2) the
quality of the collateral, and (3) the amount of leverage.

                        Category 2 Loans

                      100% of the loan pool

Moody's considers these loans as having a high likelihood of
default, based on the sponsor's characteristics and the short
period until maturity.

                        Category 3 Loans

                       0% of the loan pool

These are loans that do not fit the criteria for Categories 1 and
2.

                     Special Servicing Loans

                       0% of the loan pool

Moody's received relevant information from the Asset Trustee.
Accordingly, Moody's estimated recovery stress at 27% in light of
these factors.

1) 100% of the loan portfolio will mature in 2010.  Loans that
   will need to be refinanced in a stressed market account for a
   higher percentage of the loan pool.

2) Given the stressed environment for the commercial real estate
   market, this property is likely to be less attractive to
   potential buyers in terms of property type and location.


JPM-JC8 TRUST: Moody's Changes Ratings on Various Trust Certs.
--------------------------------------------------------------
Moody's Investors Service has changed the ratings for the Class C
through F trust certificates issued by JPM-JC8 Trust.  The final
maturity of the trust certificates will take place in April 2013.

The individual rating actions are listed below.

  -- Class C, confirmed at A2; previously, A2 placed under review
     for possible downgrade on April 14, 2009

  -- Class D, downgraded to Baa2 from Baa1; previously, Baa1
     placed under review for possible downgrade on April 14, 2009

  -- Class E, downgraded to Baa3 from Baa2; previously, Baa2
     placed under review for possible downgrade on April 14, 2009

  -- Class F, confirmed at Ba2; previously, Ba2 placed under
     review for possible downgrade on April 14, 2009

JPM-JC8 Trust, effected in June 2005, represents the
securitization of five non-recourse loans and three specified
bonds backed by real estate properties and properties in trust.

Moody's has updated its key surveillance assumptions for the
monitoring of Japanese CMBS ratings and on April 14, 2009, started
reviewing for possible downgrade 228 tranches in 50 Japanese CMBS
deals.

As a result, the number of tranches on review for possible
downgrade comes to 339, in 57 deals -- including deals that had
already been on review for possible downgrade.  This is one of the
transactions that had been placed under review because of the
update.

In light of Japan's current liquidity crisis, Moody's is concerned
that refinancing possibilities for existing CMBS borrowers are
declining precipitously, and that real estate prices will remain
stressed.

Moody's is thus applying higher stress to its recovery assumptions
for those loans that are more likely to default than in normal
market conditions.  To incorporate this influence into its CMBS
ratings, Moody's has classified all CMBS loans into three
categories -- plus special servicing loans -- according to the
likelihood of refinancing.

Moody's has also re-evaluated its recovery assumptions for other
loans that are not characterized as having a high likelihood of
default, based on collateral performance such as rents and
occupancy rates.

                        Category 1 Loans

                       0% of the loan pool

Moody's considers these loans as having a high likelihood of
refinancing based on (1) the sponsor's characteristics, (2) the
quality of the collateral, and (3) the amount of leverage.

                        Category 2 Loans

                      34% of the loan pool

Moody's considers these loans as having a high likelihood of
default, based on the sponsor's characteristics and the short
period until maturity.

                        Category 3 Loans

                      66% of the loan pool

These are loans that do not fit the criteria for Categories 1 and
2.

                     Special Servicing Loans

                       0% of the loan pool

Moody's received relevant information such as PM reports and rent
rolls.  Accordingly, Moody's estimated recovery stress in the
range of 5% to 14% and 7% for the weighted average in light of
These factor.

∑ 34% of the loan portfolio will mature in 2010, and will need to
be refinanced in a stressed market.


NOMURA HOLDINGS: To Acquire 35% Stake in LIC
--------------------------------------------
The asset management company of state-owned Life Insurance Corp.
of India Ltd (LIC), LIC Mutual Fund Asset Management Co. Ltd has
agreed to sell a 35% stake to Nomura Holdings Inc, a report posted
at livemint.com says.

Citing people familiar with the development, the report relates
that the stake has been valued at INR306 crore, or about 3% of LIC
Mutual Fundís assets under management.

The people, as cited by the report, said Nomura will initially
acquire 10% in LIC Mutual Fund through fresh equity and would
eventually raise its stake to 35%.

As reported in the Troubled Company Reporter-Asia Pacific on
April 28, 2009, MarketWatch said Nomura Holdings posted a bigger-
than-expected annual loss partly due to the company's Lehman
Brothers-related acquisition expenses.  Nomura posted a net loss
of JPY709.4 billion or US$7.3 billion for the fiscal year ended
March 2009, compared with a loss of JPY67.8 billion in the
year-ago period, MarketWatch related.

According to MarketWatch, Nomura said the loss included a one-time
trading hit of JPY150 billion, write-downs on Merchant Banking and
real estate-related illiquid assets of JPY150 billion, and a
JPY230 billion in one-off expenses including costs related to
Lehman Brothers acquisitions.

                    About Nomura Holdings Inc.

Incorporated on December 25, 1925, Nomura Holdings Inc. (NYSE:NMR)
-- http://www.nomura.com/-- is a securities and investment
banking firm in Japan and has worldwide operations.  Nomura is a
holding company.  The services it provides include trading,
underwriting, and offering securities, asset management services,
and others.  As of March 31, 2008, it operated offices in about 30
countries and regions, including Japan, the United States, the
United Kingdom, Singapore and Hong Kong through its subsidiaries.
The Companyís customers include individuals, corporations,
financial institutions, governments and governmental agencies.
Nomura operates in five business divisions: domestic retail,
global markets, global investment banking, global merchant banking
and asset management.  In February, 2007, Nomura acquired Instinet
Incorporated.

In October 2008, Nomura closed the acquisition of most parts of
Lehman Brothers' Asia Pacific franchise, including Hong Kong,
Singapore, Australia, India, Thailand, as well as Japan.
Effective October 1, 2008, Nomura acquired Lehman Brothers
Holdings Inc.'s European equities and investment-banking business,
and decided not to take on the fixed-income unit.  On Sept. 30,
2008, Lehman Brothers Holdings Inc. announced that the acquisition
of its Asia operations by Nomura does not include structured
products transactions, done by the Wall Street firm in India.  On
October 7, 2008, Nomura announced the acquisition of three more
affiliates of Lehman Brothers in India, including the business
process outsourcing (BPO) unit in Powai.  The acquisition covers
Lehman Brothers Services India, Lehman Brothers Financial Services
(India) and Lehman Brothers Structured Finance Services.

                         *     *     *

As reported in the Troubled Company Reporter-Asia Pacific on
April 29, 2009, Fitch Ratings affirmed Nomura Holdings Inc.'s and
Nomura Securities Co., Ltd.'s ratings:

  -- NHI: Long-term foreign and local currency Issuer Default
     ratings at 'BBB' with Stable Outlook, Short-term foreign and
     local currency IDRs at 'F2', Individual rating at 'C',
     Support rating at '5' and Support Rating Floor at 'NF'.

  -- Nomura Securities: Long-term foreign and local currency IDRs
     at 'BBB+' with Stable Outlook, Short-term foreign and local
     currency IDRs at 'F2', Individual rating at 'C', Support
     rating at '4' and Support Rating Floor at 'B'.


* JAPAN: Plans to Set Up Fund to Aid REITs
------------------------------------------
Japan will set up a fund worth "hundreds of billions of yen"
within the next few months to aid real estate investment trusts
hurt by the global credit crisis, Sachiko Sakamaki and Katsuyo
Kuwako at Bloomberg News report citing a ruling party lawmaker.

According to the report, ruling Liberal Democratic Party lawmaker
Takumi Nemoto said the fund, financed by real estate companies and
the state-run Development Bank of Japan, will provide loans to the
trusts, known as J-REITs, with the aim of reviving the real estate
market.  They may also purchase a portion of the REITs' debt,
Bloomberg News says.

"J-REITs triggered the decline of land prices and pulled down the
Japanese economy," Bloomberg News quoted Mr. Nemoto as saying in
an interview at his office in Tokyo.  "The failure of the market
must be addressed by policies."

Bloombeg News says that a preparatory panel will be established in
July to discuss the fund, to which private firms as well as Japan
Post Holdings Co. may extend loans.  Mr. Nemoto said the fund is
unlikely to purchase property directly and may operate for three
to five years, the report relates.

Bloomberg News states that according to data compiled by IB
Research and Consulting Inc., an independent real estate research
company, Japanese REITs, corporations that pool investor funds to
buy real estate, purchased no properties in May, the first month
without any such deals since January 2003.

Overseas investors, the report notes, withdrew from the J-REIT
market last year as the U.S. financial crisis worsened.  The
market value of 40 listed J-REITs fell to JPY2.67 trillion ($27.6
billion) as of June 18 from JPY6.79 trillion at the peak on May 31
2007, when the Tokyo Stock Exchange REIT index hit a high of
2612.98, according to Bloomberg News.


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


* SOUTH KOREA: 800 Troubled SMEs Under Creditor Banks' Microscope
-----------------------------------------------------------------
Creditor banks will complete their corporate credit evaluation of
more than 800 small and medium-sized firms by mid-July, The Korea
Herald reports citing the Financial Supervisory Service.

The Herald says the creditor banks have initially evaluated about
5,000 companies with liabilities of over KRW5 billion (US$3.95
million).  The 800 SMEs are those suffering financial problems,
the report relates.

"The corporate evaluation of the small and medium-sized companies
doesn't mean that we will reduce the support for that type of
company," FSS Governor Kim Jong-chang was quoted by the report as
saying.  "We will continue to help competitive smaller companies
when they suffer short-term liquidity problems, but will weed out
companies that have kept losing money or those littered with moral
problems."

These SMEs do not include foreign or state-owned firms, as well as
companies which are already under corporate workout programs, the
report notes.


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


PRIME UTILITIES: Bourse to Suspend Trading of Shares Today
----------------------------------------------------------
Bursa Malaysia Securities Berhad will suspend trading of Prime
Utilities Berhad's securities today, June 22, 2009, due to the
failure of the company to submit its regularisation plan to the
Securities Commission and other relevant authorities for approval
by June 15, 2009, the timeframe stipulated by Bursa Securities.

Prime Utilities, in a regulatory filing, disclosed that:

   * it has been accorded five market days by Bursa Securities
     to make written representations to Bursa Securities,
     supported by documentary evidence, as to why its securities
     should not be removed from the Official List of Bursa
     Securities;

   * in the event Bursa Securities decides to de-list the
     company, its securities will be removed from the Official
     List of Bursa Securities upon the expiry of seven market
     days from the date of notification of the decision to de-
     list the company or other date as may be specified by Bursa
     Securities unless an appeal is made within the prescribed
     timeframe; and

   * in the event Bursa Securities decides not to de-list
     the company, other appropriate action/penalty(ies) may be
     imposed pursuant to paragraph 16.17 of the LR.

Prime Utilities Berhad is a Malaysia-based investment holding
company.  Through its subsidiaries, the company is engaged in
property development.  The company's wholly owned subsidiaries
include PUB Properties Sdn. Bhd. and PUB Development Sdn. Bhd.  In
addition, Prime Utilities Berhad has a 52 % interest in Supreme
Annexe Sdn. Bhd., Berkat Gagah Sdn. Bhd. and LBCN Development Sdn.
Bhd.

                          *     *     *

Prime Utilities Berhad has been classified as an affected issuer
under Amended Practice Note No. 17/2005 of the Bursa Malaysia
Securities Bhd's Listing Requirements for having an insignificant
business or operations.


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

BRIDGECORP: Hearing on Rod Nielsen's Bankruptcy Adjudication Moved
------------------------------------------------------------------
Lucy Craymer at The National Business Review reports that
Bridgecorp Ltd's application to have property developer Rod
Nielsen adjudicated bankrupt was adjourned until next month.

The report relates that Bridgcorp believed Mr. Nielsen, who is
also facing one application brought by brother Greg, has defaulted
on personal guarantees worth a considerable amount.

At the High Court at Auckland, the report says, Mr. Nielsen's
lawyer argued that his client was blameless for the loss that the
finance company had taken as a result of his failed companies.

Bridgecorp case has been adjourned off until mid-July.

Meanwhile, the Business Review says Mr. Nielsenís company World
Capital PartnersĖLa Piazza has filed for Chapter 11 bankruptcy in
Nevada in the US, leaving numerous mum and dad investors who
bought off-the-plan apartments fearing they will lose everything.

In the last six months, the report adds, numerous property
development companies owned or directed by Rod Neilsen or Greg
Neilsen have been forced into liquidation.

                       About Bridgecorp

New Zealand-based Bridgecorp Ltd was placed in receivership on
July 2, 2007, after failing to pay principal due to debenture
holders.  John Waller and Colin McCloy, partners at
PricewaterhouseCoopers, were appointed as receivers.  The
company owes around 1,800 debenture holders, which liquidators
estimate hold approximately NZ$500 million.


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

POWERCHIP SEMICONDUCTOR: Bondholders Approve New Terms
------------------------------------------------------
Powerchip Semiconductor Corp. said Thursday that most of its
bondholders had accepted the company's offer to reset the terms of
its outstanding overseas convertible bonds, China Knowledge
reports.

According to the report, Powerchip said holders of 89% of its
US$157.85 million worth of outstanding overseas convertible bonds
have agreed the company's offer, which will be extended to
June 25.

The bonds are issued five years ago and had allowed the
bondholders to convert the bond into Powerchip shares at NT$20.17
from June 17, 2009, China Knowledge relates.

As reported in the Troubled Company Reporter-Asia Pacific on
May 15, 2009, The Taipei Times said that Powerchip approached
bondholders on May 4 about adjusting the terms, including
extending the conversion date to June 26 from June 17 and
resetting the conversion price by June 26.  According to the
Times, the company hired Citigroup Global Markets Ltd to discuss
the matter with bondholders.

Without approval, the Times stated, Powerchip will have to convert
the corporate bonds into common shares at NT$20.17 per share under
the original terms, undercutting the firm's efforts to reduce its
financial burden.

The Troubled Company Reporter-Asia Pacific, citing Dow Jones
Newswires, reported on May 4, 2009, that Powerchip Semiconductor
posted a net loss of NT$6.29 billion in the first quarter, its
eighth straight quarterly loss, compared with a net loss of
NT$9.74 billion a year earlier.

Powerchip's first-quarter revenue fell 74% to NT$3.92 billion from
NT$14.84 billion a year earlier, according to monthly company
statements obtained by Dow Jones.

Based in Hsinchu, Taiwan, Powerchip Semiconductor Corp. is
principally engaged in the research, development, manufacture and
sale of integrated circuits (ICs).  The company offers dynamic
random access memory (DRAM) products, including synchronous
dynamic random access memory (SDRAM) products, double-data rate
(DDR) DRAM products, DDR2 DRAM products, Data Flash products, as
well as wafer foundry services.  The company's products are
applied in computer telecommunication and consumer electronic
industries.  During the year ended December 31, 2007, the company
obtained approximately 82% and 18% of its total revenue from its
package elements and wafers, respectively.  The company primarily
distributes its products in Asia.  As of December 31, 2007, the
company had five major subsidiaries, including three wholly owned
subsidiaries.


* Moody's Takes Multiple Rating Actions on Two Taiwanese Banks
--------------------------------------------------------------
Moody's Investors Service has taken multiple rating actions on two
banks and one financial holding company in Taiwan to reflect the
stresses arising from the financial crisis.

The institutions are SinoPac Financial Holding Company, Hua Nan
Commercial Bank, and Taiwan Cooperative Bank.

Specifically, these rating actions were taken, as announced by
Cherry Huang, a Moody's Vice President and Senior Analyst.

(1) SinoPac Financial Holding Company: Foreign currency issuer
    rating is confirmed at Baa2 with negative outlook. This
    concludes Moody's review for possible downgrade of SinoPac
    FHC's rating initiated on December 22, 2008.

(2) Hua Nan Commercial Bank: Outlook on D bank financial strength
    rating, A3 local and foreign currency deposit ratings, Aa2.tw
    national scale deposit rating and P-1 short-term local and
    foreign currency deposit ratings is changed to negative from
    stable .

(3) Taiwan Cooperative Bank: Outlook on D BFSR, A2 local and
    foreign currency deposit ratings, Aa1.tw national scale
    deposit rating is changed to negative from stable.

                     Rating Actions on BFSRs

The BFSR outlook changes for both banks reflect Moody's concern
that their core capital levels could be further weakened by the
expected deterioration in asset quality.  In determining the
BFSRs, Moody's assessed each bank's capital level after
incorporating expected losses from risk assets using scenario
analysis.  The application of a forward-looking view on the banks'
capital ratios is in line with Moody's reports "Calibrating Bank
Ratings in the Context of the Global Financial Crisis" and
"Moody's Approach to Estimating Bank Credit Losses and their
Impact on Bank Financial Strength Ratings", published in February
and May respectively this year. Both are available on
www.moodys.com.

In general, for Taiwanese banks, weakening earnings and rising
credit costs will pressure their already moderate to weak capital
adequacy levels, while capital raisings have proved challenging in
a less favorable market environment.

The system NPL ratio rose to 1.63% in April 2009 from 1.54% at
end-2008 and the NPL balance has yet to incorporate the
restructured loans initiated by the government's debt-relief
program.  Credit costs are expected to continue rising, based on
Moody's forecast of a 5.2% contraction for Taiwan's GDP in 2009.

The system's net interest margin came under pressure and narrowed
to 1.15% in 1Q2009 from 1.84% in 3Q2008 following consecutive rate
cuts by 2.375 percentage points by the central bank to 1.25% since
last September.  The contraction in interest margins is unlikely
to reverse until 2H2009 when the re-pricing of costly time
deposits will mostly occur.

             Rating Action on Hua Nan Commercial Bank

The change of outlook to negative from stable of HNCB's BFSR
reflects the bank's relatively weaker levels of capitalization and
asset quality when compared to its D rated peers in Taiwan.  Its
NPLs are rising and grew by 12% in 1Q2009.  Stress testing also
considered its cash dividend policy and potential liabilities
arising from sales of PEMG-related investment products.

As a result of the BFSR outlook change, the outlook on HNCB's A3
deposit rating, Aa2.tw national scale deposit rating and P-1
short-term deposit rating was changed to negative from stable.

             Rating Action on Taiwan Cooperative Bank

The change of outlook to negative from stable of TCB's BFSR also
reflects the bank's relatively weaker levels of capitalization and
asset quality when compared to its D rated peers in Taiwan.  Its
NPLs are rising and grew by 10% in 1Q2009. Stress testing also
considered its cash dividend policy.

As a result of the BFSR outlook change, the outlook on TCB's A2
deposit rating and Aa1.tw national scale deposit rating was
changed to negative from stable.

                  Rating Action on SinoPac FHC

SinoPac FHC's issuer rating was confirmed at Baa2 with negative
outlook to reflect moderation in losses incurred by its two main
operating subsidiaries, namely Bank SinoPac and SinoPac
Securities.  Accessibility to long-term wholesale funding,
including syndication and FRCP maturing in two to four years, also
helped reinforce its debt servicing capability.

However, the D+ BFSR and Baa1 long-term deposit ratings of BSP
continue to carry a negative outlook to incorporate the
expectation of further margin compression, weakening asset quality
as well as potential liabilities associated with BSP's sale of
PEMG-related products.

Further, the negative outlook on SinoPac FHC's Baa2 issuer rating
aligns with the negative outlook on BSP's Baa1 deposit rating with
the one notch differential representing structural subordination
of creditors at holding company to those at the operating company
level.

        Previous Rating Actions & Principal Methodologies

The last rating action on SinoPac Holdings was taken on
December 22, 2008, when its Baa2 foreign currency issuer rating
was placed on review for possible downgrade.

The last rating action on Hua Nan Commercial Bank was taken on
Nov. 2, 2007, when Moody's affirmed its D BFSR, A3/P-1 local and
foreign currency deposit ratings, and long-term/short-term Taiwan
national scale deposit ratings of Aa2.tw/TW-1, as a result of a
merger with its sister company - Hua Nan Bills Finance Company.
The outlook for all ratings was stable.

The last rating action on Taiwan Cooperative Bank was taken on
December 7, 2007, when Moody's assigned first-time ratings.  Its
long-term/short-term local and foreign currency deposit ratings
were A2 and Prime-1 and bank financial strength rating was D.  At
the same time, Moody's Taiwan Corporation has assigned the bank
national scale ratings: Aa1.tw for its long-term deposit rating
and TW-1 for its short-term deposit rating.  The outlook for all
ratings -- global and NSR -- was stable.

Moody's Taiwan Corporation used "National Scale Ratings in Taiwan"
(October 2003) methodology in assigning both issuers' national
scale ratings.

SinoPac Holdings, headquartered in Taipei, Taiwan, had assets of
NT$1.08 trillion as of end-March 2009 on a consolidated basis.

Hua Nan Commercial Bank, headquartered in Taipei, Taiwan, had
assets of NT$1.65 trillion as of end-March 2009.

Taiwan Cooperative Bank, headquartered in Taipei, Taiwan, had
assets of NT$2.49 trillion as of end-March 2009.

The detailed ratings and actions are listed below:

SinoPac Group

  -- SinoPac FHC's foreign currency issuer rating: confirmed at
     Baa2 with negative outlook

Bank SinoPac:

  -- D+ BFSR and local and foreign currency short-term deposit
     rating of P-2: stable outlook unchanged

  -- Baa3 BCA (baseline credit assessment) and Baa1 local and
     foreign currency deposit ratings: negative outlook unchanged

Hua Nan Commercial Bank --

  -- D BFSR, A3 local and foreign currency deposit rating, Aa2.tw
     national scale deposit rating and P-1 short-term local and
     foreign currency deposit rating: outlook changed to negative
     from stable

   -- TW-1 national scale short-term deposit rating: stable
     outlook unchanged

Taiwan Cooperative Bank --

  -- D BFSR, A2 local and foreign currency deposit rating, Aa1.tw
     national scale deposit rating: outlook changed to negative
     from stable

  -- P-1 short-term local and foreign currency deposit rating and
     TW-1 national scale short-term deposit rating: stable outlook
     unchanged

Moody's Taiwan Corporation's National Scale Ratings are intended
as relative measures of creditworthiness among debt issues and
issuer within Taiwan, enabling market participants to better
differentiate relative risks.  NSRs in Taiwan are designated by
the ".tw" suffix.  NSRs differ from the global scale ratings, as
assigned by Moody's Investors Service, in that they are not
globally comparable to the full universe of Moody's-rated
entities, but only with other rated entities within the same
country.


=============
V I E T N A M
=============


* VIETNAM: Gov't. Fails to Sell VND1-Trillion Local Currency Bonds
------------------------------------------------------------------
Bloomberg News reports that Vietnam's State Treasury failed to
sell 1 trillion dong (US$56 million) of local-currency bonds for
the second time this month after investors demanded higher rates
than the government was willing to pay.

Citing a statement posted on the Web site of the Hanoi Securities
Trading Center, Bloomberg News relates that the government offered
a maximum coupon of 9 percent for three-year notes, lower than the
9.5 percent sought by bidders.  The 9.1 percent the government
offered for five-year securities was less than the 10 percent
investors demanded, the report notes.

Vietnam also was unable to sell 1 trillion dong of bonds on June
4, joining Latvia, Romania and Hungary among emerging-market
countries that have struggled to sell local-currency government
bonds, Bloomberg News recalls.

Luis Costa, an emerging-market debt strategist at Commerzbank AG
in London, was cited by Bloomberg News as saying investors are
demanding higher yields to protect against declines in developing
nations' currencies even as inflation slows.

"Despite the deflation cycle in most of these countries,"
invertors are pricing in "significant currency risk in holding
local debt," Bloomberg News quoted Mr. Costa as saying in an
interview.


                         *********

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,
electronic re-mailing and photocopying) is strictly prohibited
without prior written permission of the publishers.
Information contained herein is obtained from sources believed
to be reliable, but is not guaranteed.

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





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