/raid1/www/Hosts/bankrupt/TCRAP

/raid1/www/Hosts/bankrupt/TCRAP_Public/091230.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 Wednesday, December 30, 2009, Vol. 12, No. 256 Headlines C H I N A AOKELAI POWER: Battery Plant Closed as 40 Children Lead Poisoned H O N G K O N G BERMORY LIMITED: Lam and Toohey Step Down as Liquidators BLUM STRATEGIC: Members' Final Meeting Set for January 29 BRILLIANT HARVEST: Members' Final Meeting Set for January 26 CIGOL (J): Placed Under Voluntary Wind-Up Proceedings CIGOL (K): Placed Under Voluntary Wind-Up Proceedings CIGOL (L): Placed Under Voluntary Wind-Up Proceedings CIGOL (M): Placed Under Voluntary Wind-Up Proceedings CIGOL (N): Placed Under Voluntary Wind-Up Proceedings CIGOL (O): Placed Under Voluntary Wind-Up Proceedings CIGOL (Q): Placed Under Voluntary Wind-Up Proceedings CLIMAX MARKETING: Court to Hear Wind-Up Petition on February 10 DBA INTERNATIONAL: Creditors Get 12.426% Recovery on Claims FULL PROFIT: Court to Hear Wind-Up Petition on January 27 GARTLETT INVESTMENTS: Creditors' Proofs of Debt Due January 7 L&C LIGHTING: Court Enters Wind-Up Order KEYS INTERNATIONAL: Li and Tsang Appointed as Liquidators MODERN APEX: Ng and Lui Appointed as Liquidators NEW AGE: Court to Hear Wind-Up Petition on February 3 ORIENT POWER: Borrelli and Walsh Appointed as Liquidators TEAM MART: Court to Hear Wind-Up Petition on February 10 VILLAWOOD DEVELOPMENTS: Lai and Haughey Appointed as Liquidators WINSON HANDTAPS: Kong and Lo Appointed as Provisional Liquidators I N D I A BADDI PRINT: CRISIL Assigns 'D' Ratings on Various Bank Debts BANMORE FOAM: CRISIL Rates INR40 Mil. Cash Credit at 'BB-' CAPITAL DISTRIBUTORS: Fitch Assigns 'B+' National Long-Term Rating GAJRA DIFFERENTIAL: Delay in Loan Payment Cues CRISIL Junk Ratings GLOBE FOREX: CRISIL Puts INR97 Mil. Cash Credit at 'BB' GOVINDA IMPEX: Fitch Assigns National Long-Term Rating at 'B' GRADUATE AGRO: Low Net Worth Prompts CRISIL 'BB-' Ratings MAIHAR ALLOYS: Weak Liquidity Prompts CRISIL Junk Ratings NOBLE DISTILLERIES: CRISIL Puts 'D' Ratings on Various Bank Debts SREE PAVAN: CRISIL Assigns 'D' Ratings on INR50MM Cash Credit J A P A N JAPAN AIRLINES: Lenders Reject Bankruptcy Proposal PIONEER CORP: To Again Postpone New Shares Allotment to Honda K O R E A HYUNDAI MOTOR: Plans to Repurchase 2.21 Mil. Shares of Stock KT CORP: Reduces 16% of Workforce to Save KRW460 Bil. Labor Cost KUMHO ASIANA: Lenders to Swap Debt for Equity to Ease Cash Deficit N E W Z E A L A N D SOUTH CANTERBURY: Appoints New Chief Executive Officer S I N G A P O R E AIMS-AMP CAPITAL: Moody's Upgrades Corp. Family Rating to 'Ba2' X X X X X X X X * Upcoming Meetings, Conferences and Seminars - - - - - ========= C H I N A ========= AOKELAI POWER: Battery Plant Closed as 40 Children Lead Poisoned ---------------------------------------------------------------- A battery factory in south China has been closed after more than 40 children living nearby were found to have excessive lead levels in their blood, Xinhua News Agency reports. The news agency, citing an official with Qingyuan Municipal government, relates that Aokelai Power Co Ltd, formerly Zeliang Battery Factory, was just 30 meters from the staff quarters of Jicheng Aluminum Factory, where the children were living in Yinyuan industrial district, Longtang town in Qingyuan city economic zone, Guangdong province. According to Xinhua, Zhang Ling, a fruit vendor at the gateway of Yunyuan community, said her year-old son, Liangliang, was tested after he lost his appetite. The lead level in her son's blood was 320 micrograms a liter, far exceeding the recommended maximum safe level of 100 micrograms a litre, the report says. Xinhua reporters visited 10 families in the area and nine had members who were found to have excessive blood lead levels. In one family of four, three members had excessive lead levels. The report recalls that an investigation by Nanfang Daily newspaper early this month found 44 children had excessive lead levels. Residents told Xinhua the number could be much higher as many families with children had moved away. An official said the municipal government Monday began to organize health examinations for the children, Xinhua relates. ================ H O N G K O N G ================ BERMORY LIMITED: Lam and Toohey Step Down as Liquidators -------------------------------------------------------- Rainier Hok Chung Lam and John James Toohey stepped down as liquidators of Bermory Limited on December 18, 2009. BLUM STRATEGIC: Members' Final Meeting Set for January 29 --------------------------------------------------------- Members of Blum Strategic III BT Hong Kong Limited, which is in members' voluntary liquidation, will hold their final meeting on January 29, 2010, at 9:00 a.m., at 27/F, Alexandra House, 18 Chater Road, Central, in Hong Kong. At the meeting, Patrick Cowley, the company's liquidator, will give a report on the company's wind-up proceedings and property disposal. BRILLIANT HARVEST: Members' Final Meeting Set for January 26 ------------------------------------------------------------ Members of Brilliant Harvest Company Limited will hold their final general meeting on January 26, 2010, at 10:30 a.m., at the 1-7-12, Shinonome, Koto-ku, Tokyo, in Japan. At the meeting, Chan Wai Hei, the company's liquidator, will give a report on the company's wind-up proceedings and property disposal. CIGOL (J): Placed Under Voluntary Wind-Up Proceedings ----------------------------------------------------- At an extraordinary general meeting held on December 17, 2009, creditors of Cigol (J) Company Limited resolved to voluntarily wind up the company's operations. The company's liquidator is: Chiu Wai Hon Hang Seng Wanchai Building Rooms 603-4, 6/F 200 Hennessy Road Wanchai, Hong Kong CIGOL (K): Placed Under Voluntary Wind-Up Proceedings ----------------------------------------------------- At an extraordinary general meeting held on December 17, 2009, creditors of Cigol (K) Company Limited resolved to voluntarily wind up the company's operations. The company's liquidator is: Chiu Wai Hon Hang Seng Wanchai Building Rooms 603-4, 6/F 200 Hennessy Road Wanchai, Hong Kong CIGOL (L): Placed Under Voluntary Wind-Up Proceedings ----------------------------------------------------- At an extraordinary general meeting held on December 17, 2009, creditors of Cigol (L) Company Limited resolved to voluntarily wind up the company's operations. The company's liquidator is: Chiu Wai Hon Hang Seng Wanchai Building Rooms 603-4, 6/F 200 Hennessy Road Wanchai, Hong Kong CIGOL (M): Placed Under Voluntary Wind-Up Proceedings ----------------------------------------------------- At an extraordinary general meeting held on December 17, 2009, creditors of Cigol (M) Company Limited resolved to voluntarily wind up the company's operations. The company's liquidator is: Chiu Wai Hon Hang Seng Wanchai Building Rooms 603-4, 6/F 200 Hennessy Road Wanchai, Hong Kong CIGOL (N): Placed Under Voluntary Wind-Up Proceedings ----------------------------------------------------- At an extraordinary general meeting held on December 17, 2009, creditors of Cigol (N) Company Limited resolved to voluntarily wind up the company's operations. The company's liquidator is: Chiu Wai Hon Hang Seng Wanchai Building Rooms 603-4, 6/F 200 Hennessy Road Wanchai, Hong Kong CIGOL (O): Placed Under Voluntary Wind-Up Proceedings ----------------------------------------------------- At an extraordinary general meeting held on December 17, 2009, creditors of Cigol (O) Company Limited resolved to voluntarily wind up the company's operations. The company's liquidator is: Chiu Wai Hon Hang Seng Wanchai Building Rooms 603-4, 6/F 200 Hennessy Road Wanchai, Hong Kong CIGOL (Q): Placed Under Voluntary Wind-Up Proceedings ----------------------------------------------------- At an extraordinary general meeting held on December 17, 2009, creditors of Cigol (Q) Company Limited resolved to voluntarily wind up the company's operations. The company's liquidator is: Chiu Wai Hon Hang Seng Wanchai Building Rooms 603-4, 6/F 200 Hennessy Road Wanchai, Hong Kong CLIMAX MARKETING: Court to Hear Wind-Up Petition on February 10 --------------------------------------------------------------- A petition to wind up the operations of Climax Marketing Company Limited will be heard before the High Court of Hong Kong on February 10, 2010, at 9:30 a.m. Champion Basic International Limited filed the petition against the company. The Petitioner's solicitors are: Louis K.Y. Pau & Company The Chinese Club Building, 4/F Nos. 21-22 Connaught Road Central, Hong Kong DBA INTERNATIONAL: Creditors Get 12.426% Recovery on Claims ----------------------------------------------------------- DBA International Logistics Limited, which is in liquidation, will pay the first and final dividend to its creditors on or after January 4, 2010. The company will pay 12.426104992235% to all received claims. The company's liquidators are: Lai Kar Yan (Derek) Darach E. Haughey One Pacific Place, 35th Floor 88 Queensway Hong Kong FULL PROFIT: Court to Hear Wind-Up Petition on January 27 --------------------------------------------------------- A petition to wind up the operations of Full Profit Industrial Limited will be heard before the High Court of Hong Kong on January 27, 2010, at 9:30 a.m. GARTLETT INVESTMENTS: Creditors' Proofs of Debt Due January 7 ------------------------------------------------------------- Creditors of Gartlett Investments Limited, which is in liquidation, are required to file their proofs of debt by January 7, 2010, to be included in the company's dividend distribution. The company's liquidators are: Roderick John Sutton Desmond Chung Seng Chiong c/o Ferrier Hodgson Limited The Hong Kong Club Building, 14/F 3A Chater Road Central, Hong Kong L&C LIGHTING: Court Enters Wind-Up Order ---------------------------------------- The High Court of Hong Kong entered an order December 14, 2009, to wind up the operations of L&C Lighting (H.K.) Limited. The company's acting official receiver is Lee Mei Yee May. KEYS INTERNATIONAL: Li and Tsang Appointed as Liquidators --------------------------------------------------------- Li Man Wai and Tsang Lai Fun on December 7, 2009, were appointed as liquidators of Keys International Limited. The liquidators may be reached at: Li Man Wai Tsang Lai Fun Raymond Li & Co., CPA Tai Yau Building, Room 1001 10th Floor Wanchai, Hong Kong MODERN APEX: Ng and Lui Appointed as Liquidators ------------------------------------------------ Ng Kwok Wai and Lui Chi Kit on October 7, 2009, were appointed as liquidators of Modern Apex Arts Limited The liquidators may be reached at: Ng Kwok Wai Lui Chi Kit Eric Ng C.P.A. Limited JCG Building 16 Unit A 14/F Mongkok Road Mongkok, Kowloon Hong Kong NEW AGE: Court to Hear Wind-Up Petition on February 3 ----------------------------------------------------- A petition to wind up the operations of New Age International Limited will be heard before the High Court of Hong Kong on February 3, 2010, at 9:30 a.m. ORIENT POWER: Borrelli and Walsh Appointed as Liquidators --------------------------------------------------------- Cosimo Borrelli and G Jacqueline Fangonil Walsh on October 20, 2009, were appointed as liquidators of Orient Power Car Stereos Limited. The liquidators may be reached at: Cosimo Borrelli G Jacqueline Fangonil Walsh Borrelli Walsh Limited Level 17 Tower 1 Admiralty Centre 18 Hardcourt Road Hong Kong TEAM MART: Court to Hear Wind-Up Petition on February 10 -------------------------------------------------------- A petition to wind up the operations of Team Mart International Limited will be heard before the High Court of Hong Kong on February 10, 2010, at 9:30 a.m. VILLAWOOD DEVELOPMENTS: Lai and Haughey Appointed as Liquidators ---------------------------------------------------------------- Lai Kar Yan (Derek) and Darach E. Haughey on May 12, 2009, were appointed as liquidators of Villawood Developments Limited. The company's registered office is at P.O. Box 71, Craigmuir Chambers Road, Town Tortola, British Virgin Islands. The liquidators may be reached at: Lai Kar Yan (Derek) Darach E. Haughey Deloitte Touche Tohmatsu One Pacific Place, 35th Floor 88 Queensway Hong Kong WINSON HANDTAPS: Kong and Lo Appointed as Provisional Liquidators ----------------------------------------------------------------- Kong Chi How Johnson and Lo Siu Ki on January 14, 2009, were appointed as liquidators of Winson Handtaps Company Limited. The liquidators may be reached at: Kong Chi How Johnson Lo Siu Ki Wing On Centre 111, 25/F Connaught Road Central, Hong Kong ========= I N D I A ========= BADDI PRINT: CRISIL Assigns 'D' Ratings on Various Bank Debts ------------------------------------------------------------- CRISIL has assigned its ratings of 'D/P5' to Baddi Print Packs Pvt Ltd's bank facilities. The ratings reflect delay by BPPPL in repayment of term loan obligations owing to weak liquidity. Facilities Ratings ---------- ------- INR31.5 Million Cash Credit Limit D (Assigned) INR103.0 Million Term Loan D (Assigned) INR73.0 Million Proposed Long Term D (Assigned) Bank Loan Facility INR7.5 Million Foreign Letter of P5 (Assigned) Credit INR4.2 Million Bank Guarantee P5 (Assigned) BPPPL, incorporated in 2005, commenced commercial operations in October 2006. The company was promoted initially by Mr. V. Subha Rao, and the entire shareholding was acquired by Mr. A. Olaganathan in February 2009. BPPPL provides integrated packaging solutions. It manufactures corrugated boxes and undertakes pre- press and post-press printing to manufacture carton labels and leaflets mainly for the pharmaceutical industry. The company has capacity to manufacture one billion cartons per annum, 750 million labels per annum, and 500 million leaflets/inserts per annum at its two factories at Baddi (Himachal Pradesh). BPPPL reported a net loss of INR5.7 million on net sales of INR163.3 million for 2008-09 (refers to financial year, April 1 to March 31), as against a net loss of INR2.6 million on net sales of INR109.1 million for 2007-08. BANMORE FOAM: CRISIL Rates INR40 Mil. Cash Credit at 'BB-' ---------------------------------------------------------- CRISIL has assigned its ratings of 'BB-/Stable/P4' to the bank facilities of Banmore Foam Pvt Ltd. Facilities Ratings ---------- ------- INR40.0 Million Cash Credit Limit BB-/Stable (Assigned) INR10.0 Million Letter of Credit* BB-/Stable (Assigned) INR20.0 Million Letter of Credit P4 (Assigned) * Interchangeable with Cash Credit Limit The ratings reflect BFPL's weak financial risk profile, and exposure to risks relating to intense competition and small scale of operations in the polyurethane (PU) foam industry, and to fluctuations in raw material prices. These weaknesses are, however, partially offset by the benefits that the company derives from promoters' experience in the PU foam manufacturing and marketing business, its brand presence, and established relationships with its customers. For arriving at the ratings, CRISIL has combined the financials risk profiles of BFPL and its group company, Shri Jai Jagdambe Plastic Industries Pvt Ltd. This is because both BFPL and SJJPIPL have been merged with effect from April 1, 2009, are in the same line of business, and under a common management. Outlook: Stable CRISIL believes that BFPL will maintain a stable credit risk profile over the medium term, supported by promoters' experience in the PU foam manufacturing and marketing business and relationships with customers. The outlook may be revised to 'Positive' if the company achieves high business growth, and if its capital structure improves through equity infusion. Conversely, the outlook may be revised to 'Negative' if the company's revenue and profitability decline sharply, and if it undertakes large debt-funded capital expenditure, resulting in an overall deterioration in its credit risk profile. Incorporated in 1988 by Mr. Yogesh Mittal, BFPL manufactures PU foam sheets, foam rolls, and other foam products, which find application in furniture, leather, garment, automobile, footwear, and packaging industry. BFPL sells its products under its Cozymate (retail brand for mattresses, pillows and cushions), Lexus, Shagun, Oxford, and Banmore Foam (industrial brands for thin foam sheets) brands. BFPL reported a profit after tax (PAT) of INR2.0 million on net sales of INR200.4 million for 2008-09 (refers to financial year, April 1 to March 31), as against a PAT of INR1.3 million on net sales of INR163.4 million for 2007-08. CAPITAL DISTRIBUTORS: Fitch Assigns 'B+' National Long-Term Rating ------------------------------------------------------------------ Fitch Ratings has assigned India's Capital Distributors a National Long-term rating of 'B+(ind)' with a Stable Outlook. Fitch has also assigned rating of 'B+(ind)' to Capital's fund based limits aggregating INR130.0 million. The National Long-term rating reflects the proprietorship concern's small scale of operations, the trading nature of its business (as reflected in its consistently low EBITDA margin in the range of 1%-2% over the past four years (2006-2009) and high working capital requirements. The growth in business volumes over the years (2006-2009) were supported by debt-led funds -- a trend which is expected to keep financial leverage high. During the past four years (2006-2009), inventory levels were considerably high (70-75days) resulting into higher working capital requirements; the risk however is partly mitigated by Capital's right to return goods back to the suppliers in the event of damage or expiry of the product, as per terms of the agreement. Financial leverage has also deteriorated with total adjusted debt net of cash/operating EBITDA increasing to 2.89x in FY09 (FY08: 2.11x), on the back of an increase in working capital requirements, which are expected to further increase in the short-to-medium term. Fitch notes that there are concerns regarding the proprietorship nature of Capital's business, which constrains the ability to raise additional capital, coupled with the risk of having to service liabilities unrelated to the business. However, these risks are partially mitigated by the proprietor's other sources of income such as rent, interest, dividends and other business profits. The ratings take into account Capital's track record in the distribution business of pharmaceuticals, exclusive rights for distribution in the State of West Bengal for major pharmaceutical companies, locational advantage (good connectivity for road transportation), long-established relationships with big pharmaceuticals, strong financial background and adequate manpower. A negative rating trigger would include an increase in total debt, coupled with deterioration in EBITDA which would push net debt/EBITDA above 6.0x on a sustainable basis. Capital achieved revenues of INR1237.9 million in FY09 (FY08: INR1008.3 million), with EBIDTA margins remaining at 2.1% in FY09. Capital had total debt of INR86.0 million in FY09 (FY08: INR52.2 million), comprising working capital debt from banks of INR69.2 million and an unsecured loan of INR16.8 million. The proprietorship concern reported negative net free cash flow of INR27.0 million in FY09 (FY08: INR11.6 million), mainly due to an increase in operating working capital requirements; Fitch expects the net free cash flow to remain negative in the short-to-medium term. GAJRA DIFFERENTIAL: Delay in Loan Payment Cues CRISIL Junk Ratings ------------------------------------------------------------------ CRISIL has assigned its ratings of 'D/P5' to the bank facilities of Gajra Differential Gears Pvt Ltd. Facilities Ratings ---------- ------- INR90.0 Million Cash Credit D (Assigned) INR55.7 Million Rupee Term Loan D (Assigned) INR10.0 Million Proposed Long Term D (Assigned) Bank Loan Facility INR10.0 Million Letter of Credit P5 (Assigned) INR2.0 Million Bank Guarantee P5 (Assigned) The ratings reflect delay by GDGPL in meeting term loan obligations, owing to weak liquidity. Set up in 1991, GDGPL manufactures a wide range of crown wheel and pinions, bevel gears, bevel pinions, spider kit assemblies, and differential cages and housings. The company manufactures gears with applications in commercial vehicles, jeeps, and tractors. The company's manufacturing plant at Dewas (Madhya Pradesh) has the capacity to produce around 3200 tonnes of automobile gears annually. GDGPL reported a profit after tax (PAT) of INR7.6 million on net sales of INR297.2 million for 2008-09 (refers to financial year, April 1 to March 31), as against a net loss of INR33.6 million on net sales of INR250.2 million for 2007-08. GLOBE FOREX: CRISIL Puts INR97 Mil. Cash Credit at 'BB' ------------------------------------------------------- CRISIL has assigned its ratings of 'BB/Stable/P4+' to Globe Forex & Travels Ltd's bank facilities. Facilities Ratings ---------- ------- INR97 Million Cash Credit BB/Stable (Assigned) INR20 Million Bank Guarantee P4+ (Assigned) The ratings reflect GFTL's stretched financial risk profile, and exposure to risks relating to adverse external events, and intense competition in the travel industry. These rating weaknesses are partially offset by the benefits that GFTL derives from its presence in the travel management segment with a strong corporate and retail customer base. Outlook: Stable CRISIL believes that GFTL will maintain an established market presence in the travel management segment. The outlook may be revised to 'Positive' if the company's capital structure improves, or if substantial scaling up of operations leads to better than anticipated cash accruals, resulting in improved financial risk profile. Conversely, the outlook may be revised to 'Negative' if the company undertakes major unanticipated debt-funded capital expenditure program, leading to further deterioration in capital structure. About Globe Forex Incorporated in 1994 by Mr. Sanjoy Kumar Sett, GFTL is one of the leading travel agencies in the eastern part of the country. GFTL's range of services include ticket booking, hotel reservations, car rental, visa documentation, railway bookings, foreign exchange, and cargo services. GFTL reported a profit after tax (PAT) of INR108.8 million on net sales of INR6985.2 million for 2008-09 (refers to financial year, April 1 to March 31), as against a PAT of INR276.1 million on net sales of INR6562.6 million for 2007-08. GOVINDA IMPEX: Fitch Assigns National Long-Term Rating at 'B' ------------------------------------------------------------- Fitch Ratings has assigned India's Govinda Impex Limited a National Long-term rating of 'B(ind)'. The Outlook is Stable. Fitch has also assigned National Long-term ratings of 'B(ind)' to GIL's outstanding long-term bank loans aggregating INR45.6 million, and to its cash credit aggregating INR180 million, as well as a National Short-term rating of 'F4(ind)' to its non-fund based limits of INR100 million. The ratings reflect GIL's relatively small size of operations in the domestic steel sector which, coupled with its exposure to raw material volatility and the commodity-based nature of its product profile, exposes it to relatively high business risks. Over the past few years, the company's trading revenues have increased steadily except in FY09, when the company tried to improve their revenue from manufacturing front (Trading income in FY09: INR1184 million, FY08: INR1394.7 million and FY07: INR1305.3 million). However, Fitch remains concerned over the low capacity utilization of its manufacturing facilities in the past few years, though it is substantially higher in FY09 (FY09: 45%, FY08: 20% and FY07: 21.5%). GIL is a single product company; it manufactures sponge iron with a current capacity of 60,000MTPA. The major component of its sales constitutes trading income, with most of the trading done through the promoters' established contacts. The EBITDA margin over the last four years has remained stable at around 5% from FY06-FY08 with a dip in FY09 to 1.5%, mainly on the back of inventory losses which the company suffered in H209. Fitch notes that an increase in capacity utilization, along with a sustained improvement in operating margins of over 5%, and significant reduction in net leverage may lead to a rating upgrade. GIL had a turnover of INR1471.5 million in FY09 (FY08: INR1494.9 million). It had total debt of INR247.9 million at FYE09 (FYE08: INR297.8 million). The company's financial leverage (Total adjusted net debt/Op. EBITDAR) stood at 13.9x in FY09 (FY08: 5.8x), while its interest coverage (Op. EBITDAR/Net interest expenses) was 0.6x in FY09 (FY08: 1.8x). GRADUATE AGRO: Low Net Worth Prompts CRISIL 'BB-' Ratings --------------------------------------------------------- CRISIL has assigned its ratings of 'BB-/Stable/P4+' to Graduate Agro & Mechanical Engineers' bank facilities. Facilities Ratings ---------- ------- INR25 Million Cash Credit BB-/Stable (Assigned) INR24.5 Million Term Loan BB-/Stable (Assigned) INR35 Million Bank Guarantee P4+ (Assigned) INR15 Million Letter of Credit P4+ (Assigned) The ratings reflect Graduate Agro's low net worth, weak financial risk profile, and vulnerability to cyclicality in the end-user iron and steel industry. These rating weaknesses are partially offset by the benefits that Graduate Agro derives from its promoters' experience in fabrication business, and strong order book. Outlook: Stable CRISIL believes that Graduate Agro will maintain a stable business risk profile, supported its promoters' industry experience, and established customer base. The outlook may be revised to 'Positive' if the firm reports substantial growth in its revenues and profitability, or if its net worth improves led by equity infusion. Conversely, the outlook may be revised to 'Negative' if the firm reports low profit margins, or undertakes large debt- funded capital expenditure programs. About Graduate Agro Set up in 1977, as a partnership firm by Mr. Ashok Kumar Gupta and his cousin, Mr. Vinay Kumar Agarwal, Graduate Agro manufactures structural fabrication units for steel plants. Its products include water-cooled parts for furnaces, grab buckets, ladle transfer cars, and tundish transfer cars. The firm has a plant in Bhilai (Chhattisgarh), and has handled single assemblies of up to 54 tonnes. Graduate Agro reported a profit after tax (PAT) of INR9.6 million on net sales of INR279 million for 2008-09 (refers to financial year, April 1 to March 31), as against a PAT of INR2.5 million on net sales of INR128 million for 2007-08. MAIHAR ALLOYS: Weak Liquidity Prompts CRISIL Junk Ratings --------------------------------------------------------- CRISIL has assigned its ratings of 'D/P5' to the bank facilities of Maihar Alloys Pvt Ltd. The ratings reflect delay by Maihar Alloys in repayment of its term loan obligations owing to weak liquidity. Facilities Ratings ---------- ------- INR60 Million Cash Credit D (Assigned) INR3.6 Million Term Loan D (Assigned) INR0.75 Million Proposed Long D (Assigned) Term Facility INR3.55 Million Letter of Credit P5 (Assigned) Set up in 2004 by Mr. Dhananjay Kumar, Maihar Alloys manufactures mild steel ingots. The company's unit at Ramgarh (Jharkhand) has capacity to manufacture 32,000 tonnes of ingots per annum. Maihar Alloys reported a profit after tax (PAT) of INR0.07 million on net sales of INR327 million for 2008-09 (refers to financial year, April 1 to March 31), as against a PAT of INR0.08 million on net sales of INR414 million for 2007-08. NOBLE DISTILLERIES: CRISIL Puts 'D' Ratings on Various Bank Debts ----------------------------------------------------------------- CRISIL has assigned its ratings of 'D/P5' to Noble Distilleries & Powers Ltd's (NDPL; part of the Noble group) bank facilities. The ratings reflect delay by NDPL in servicing its term loan obligations, owing to weak liquidity. Facilities Ratings ---------- ------- INR302.20 Million Long Term Loan D (Assigned) INR80.00 Million Cash Credit D (Assigned) INR220.00 Million Proposed Long D (Assigned) Term Bank Loan Facility INR200.00 Million Bill Purchase P5 (Assigned) Discounting Facility For arriving at its ratings, CRISIL has combined the business and financial risk profiles of NDPL, and Sree Pavan Traders (SPT), together referred to as the Noble group; this is because both the companies have common promoters, are in the similar lines of business, and have fungible funds. About the group Established in 2004 by Mr. S Basavaraj, NDPL manufactures sponge iron. The company's facility at Bellary (Karnataka) has a capacity of 200 tonnes per day (tpd). In October, 2009, NDPL set up a thermo mechanically treated (TMT) bar manufacturing unit with a capacity of 380 tpd. The company is also setting up an 8 mega watt co-generation power plant, which is expected to commence operations in 2010-11. Set up in 2006 by Mr.S Basavaraj, SPT is engaged in trading of coal and sells 60 percent of its coal sales to NDPL. Noble group posted a profit after tax (PAT) of INR51.0 million on net sales of INR989.1 million for 2008-09 (refers to financial year, April 1 to March 31), as against a PAT of INR15.9 million on net sales of INR365.4 million for 2007-08. SREE PAVAN: CRISIL Assigns 'D' Ratings on INR50MM Cash Credit ------------------------------------------------------------- CRISIL has assigned its ratings of 'D/P5' to Sree Pavan Traders (SPT; part of the Noble group) bank facilities. Facilities Ratings ---------- ------- INR50.00 Million Cash Credit D (Assigned) INR100.00 Million Letter of Credit P5 (Assigned) The rating reflects SPT's overdrawn working capital limits, owing to weak liquidity. For arriving at its ratings, CRISIL has combined the business and financial risk profiles of SPT, and Noble Distilleries & Powers Ltd (NDPL), together referred to as the Noble group; this is because both the companies have common promoters, are in the similar lines of business, and have fungible funds. Set up in 2006 by Mr.S Basavaraj, SPT is engaged in trading of coal and sells 60 percent of its coal sales to NDPL. Established in 2004 by Mr.S Basavaraj, NDPL manufactures sponge iron. NDPL's facility at Bellary (Karnataka) has a capacity of 200 tonnes per day (tpd). In October, 2009, NDPL set up a thermo mechanically treated (TMT) bar manufacturing unit with a capacity of 380 tpd. The company is also setting up an 8 mega watt co-generation power plant, which is expected to commence operations in 2010-11. Noble group posted a profit after tax (PAT) of INR51.0 million on net sales of INR989.1 million for 2008-09 (refers to financial year, April 1 to March 31), as against a PAT of INR15.9 million on net sales of INR365.4 million for 2007-08. ========= J A P A N ========= JAPAN AIRLINES: Lenders Reject Bankruptcy Proposal -------------------------------------------------- Bloomberg News' Go Onomitsu in Tokyo, citing the Yomiuri newspaper, reports that Japan Airlines Corp.?s lenders rejected a proposal to place JAL in bankruptcy. According to Bloomberg, the lenders said at a meeting on Dec. 29 with the Enterprise Turnaround Initiative Corp., that bankruptcy protection would increase JAL's losses and disrupt air travel. Kyodo News, citing union sources, has reported that JAL's largest labor union plans to accept a company proposal to cut its pension benefits substantially to help the ailing airline turn itself around. The sources told Kyodo News that the 9,500-strong union, known as JAL Friendship & Improvement Organization, or JALFIO, has reached the decision as it sees that changing the pension system is "a necessary step" at present and cuts in pension benefits would help the recovery of the airline. Meanwhile, a person familiar with the matter told Dow Jones Newswires' Yoshio Takahashi that JAL, its major lenders and ETIC are studying a bankruptcy filing for the carrier if it doesn't win concessions from retirees. That source, according to Dow Jones, said JAL is still considering an out-of-court restructuring, as it indicated last month, but the prospect of a court-led turnaround procedure is likely to add pressure on the company's retirees to accept a proposed cut in their pension allowances. According to Dow Jones, JAL is seeking to persuade more than two- thirds of about 8,800 retirees -- the necessary ratio to change its corporate pension system under the current law -- to accept a benefits-reduction plan. Dow Jones says one group, the Japan Cabin Crew Union, said it wouldn't comment unless it had confirmed the discussions with company management. Other unions couldn't be reached, Dow Jones notes. Dow Jones also relates JAL retirees are in the process of voting whether to accept a 30% reduction in their benefits proposed by the carrier. Dow Jones says the voting on the pension reduction will end on Jan. 12. According to Dow Jones, the desired agreement on the revised pension program will be crucial for JAL's revival, as it aims to slash its net debt and legacy pension costs of more than one trillion yen, or roughly $11 billion. About Japan Airlines Japan Airlines Corporation -- http://www.jal.co.jp/-- is a Japan- based holding company that is active in five business segments through its 225 subsidiaries and 82 associated companies. The Air Transportation segment is engaged in the operation of passenger and cargo planes. The Air Transportation-Related segment is engaged in the transportation of passengers and cargoes, the preparation of in-flight food catering, the maintenance of aircraft and land equipment, as well as the fueling business. The Travel Planning and Marketing segment is involved in the planning and sale of travel packages. The Card and Leasing segment is engaged in the provision of finance, cards and leasing services. The Others segment is involved in businesses related to hotels, resorts, logistics, wholesale, retail, real estate, printing, construction, manpower dispatch, as well as information and communication. The Company has numerous global operating locations. JAL International Co. Ltd. is a wholly owned operating subsidiary of Japan Airlines Corporation. * * * As reported in the Troubled Company Reporter-Asia Pacific on December 4, 2009, Standard & Poor's Ratings Services lowered to 'SD' (selective default) from 'CC' its long-term corporate credit ratings on Japan Airlines Corp. and Japan Airlines International Co. Ltd., its wholly owned subsidiary, and removed the ratings from CreditWatch. At the same time, Standard & Poor's maintained its senior unsecured debt ratings on both companies at 'CCC' and kept the ratings on CreditWatch with developing implications. On Sept. 18, 2009, S&P placed the corporate credit and senior unsecured debt ratings on both companies on CreditWatch with negative implications and maintained the CreditWatch status on Oct. 16, 2009, and Nov. 4, 2009. On Nov. 13, 2009, S&P maintained its CreditWatch status on the corporate ratings on both companies and revised to developing its CreditWatch status on the senior unsecured debt ratings. The TCR-AP reported on Nov. 3, 2009, that Moody's Investors Service downgraded the long-term debt rating and issuer rating of Japan Airlines International Co., Ltd. to Caa1 from B1, and will continue to review both ratings for further possible downgrade. PIONEER CORP: To Again Postpone New Shares Allotment to Honda ------------------------------------------------------------- Kyodo News reports that Pioneer Corp. will postpone a third-party allotment of new shares to Honda Motor Co. for the third time as negotiations with other potential financial partners continue. The report says Pioneer put off the issuance of new shares to the automaker on June 19 and Sept 28. According to Kyodo, the deal with Honda, which is part of Pioneer's plan to raise JPY20 billion to finance its medium-term business plan, was scheduled to be completed by the end of this month as a result of the second postponement. Pioneer has yet to wrap up negotiations with other potential sponsors, the report says. Despite the delay, Honda's intention to buy some JPY2.5 billion worth of new shares remains unchanged, Kyodo relates citing Pioneer's statement. Pioneer Corporation (TYO:6773) -- http://www.pioneer.jp/-- is a Japan-based company engaged in the manufacturing and sale of electronic products. The Company operates in three business segments. The Car Electronics segment offers navigation systems, stereos, audio systems, speakers and peripheral products for automobile uses. The Home Electronics segment offers plasma televisions, digital versatile disc players/recorders/drives, blu- ray disc players/drives, audio systems, telephones, cable television-related machines and peripheral equipment. The Others segment offers electroluminescence (EL) displays, factory automation (FA) equipment, electronic components and commercial audio and visual (AV) systems. * * * As reported in the Troubled Company Reporter-Asia Pacific on October 6, 2009, Moody's Investors Service downgraded to B2 from B1 the local currency issuer rating for Pioneer Corporation. The rating outlook is negative. ========= K O R E A ========= HYUNDAI MOTOR: Plans to Repurchase 2.21 Mil. Shares of Stock ------------------------------------------------------------ Hyundai Motor Co. said Monday it will repurchase about 2.21 million shares of its stock to give them to workers as part of a wage deal, according to Yonhap News. The news agency relates that the 45,000-member union of Hyundai Motor last week approved a wage agreement for this year, making 2009 Hyundai's first strike-free year in 15 years. Headquartered in Seoul, South Korea, Hyundai Motor Company (SEO:005380) -- http://www.hyundai-motor.com/-- is an automobile manufacturer. The company markets the Genesis, Genesis Coupe, Azera, Sonata, Elantra, Accent, Getz, i30, i30cw, i20 and i10 passenger cars; the Veracruz, Santa Fe, Tucson, Matrix, H-1 recreational vehicles, and commercial vehicles, which include medium and heavy duty trucks, van trucks, tank lorries, bulk cement carriers, bulk cement tractors and others. * * * As reported by the Troubled Company Reporter-Asia Pacific on Nov. 13, 2009, Moody's Investors Service revised to stable from negative the outlook of the Baa3 issuer and senior unsecured bond ratings for Hyundai Motor Company and its guaranteed subsidiary Hyundai Motor Manufacturing Alabama LLC. Moody's also revised the Ba1 Corporate Family Rating outlook of Kia Motors Corp. to stable from negative. The TCR-AP reported on Dec. 11, 2009, that Fitch Ratings revised the Outlook on Hyundai Motor's and Kia Motors' foreign currency Long-term Issuer Default Ratings to Positive from Negative, and simultaneously affirmed them at 'BB+'. The agency also affirmed the 'BB+' rating on both companies' senior unsecured debt and the Short-term IDRs at 'B'. KT CORP: Reduces 16% of Workforce to Save KRW460 Bil. Labor Cost ---------------------------------------------------------------- Song Jung-a at The Financial Times reports that KT Corp. has unveiled its biggest job cuts yet, with 16% of its workforce set to leave this week through an early retirement programme. The FT relates the company said on Monday 5,992 staff were to quit the organization on Wednesday. According to the report, KT, which is struggling to boost profits, estimates that the early retirement program will help it save about KRW460 billion (US$393 million) in annual labor costs. The retirement package is being offered to workers who have spent more than 15 years with the company and 65% of those leaving are in their fifties, the FT states. The FT relates that KT hopes that the job cuts will help breathe fresh life into the organization as it plans to attract younger employees. The company, the FT says, will hire about 700 new workers and interns partly to replace those who leave. "The retirement package will serve as a trigger for KT, which was seen as a slow dinosaur, to become a fast, efficient and strong organization," the quoted Kim Han-suk, KT's vice-president in charge of human resources, as saying. "We will continue to reform our management to become a global convergence leader." KT made 5,500 workers redundant in 2003 through a similar scheme to streamline its organization, the FT notes. About KT Corp KT Corporation (SEO:030200) -- http://www.kt.com/eng/main.jsp-- is a telecommunications service provider in Korea. As an integrated telecommunications service provider, its principal services include telephone services, including local, domestic long-distance and international long-distance fixed-line telephone services and interconnection services to other telecommunications companies; broadband Internet access service and other Internet- related services, including Internet protocol television (IP-TV) services; personal communications system (PCS) mobile telecommunications service and third-generation High Speed Downlink Packet Access (HSDPA)-based IMT-2000 wireless Internet and video multimedia communications services, and various other services, including leased line service and other data communication service, satellite service and information technology and network services. In addition, it operates nationwide PCS and HSDPA-based IMT-2000 networks. KUMHO ASIANA: Lenders to Swap Debt for Equity to Ease Cash Deficit ------------------------------------------------------------------ Bloomberg News, citing Herald Business Newspaper, reports that Kumho Asiana Group's creditors may swap part of its KRW18 trillion (US$15.4 billion) debt for equity to improve the group's shortage of cash. According to Bloomberg, the Korean newspaper said that swapping KRW2 trillion debt for equity may be the only way to rescue the Korean industrial group as Kumho had little success raising cash through asset sales. Meanwhile, the Korea Economic Daily reports that financial authority sources said the government has proposed taking over Daewoo Engineering & Construction Co Ltd from Kumho Asiana Group through the state-owned Korea Development Bank at KRW18,000 per share, while Kumho Group is insisting on selling the builder via the market. The Troubled Company Reporter-Asia Pacific, citing The Korea Herald, reported on August 6, 2009, that Kumho Asiana has been suffering from a liquidity crisis, which observers describe as a typical case of acquisition indigestion. In a bid to ease a cash shortage, the conglomerate in July decided to re-sell the controlling stakes and management rights of Daewoo Engineering & Construction, three years after acquiring it for KRW6.4 trillion, according to the Korea Herald. Bloomberg News reported Kumho Asiana has sold properties and stakes in affiliates to help it repay debt stemming from its 2006 purchase of Daewoo Engineering. Bloomberg said creditors including Shinhan Bank may force the company to repay KRW3.9 trillion (US$3.2 billion) by June if they exercise an option to sell Daewoo Engineering shares they hold back to Kumho Asiana. Kumho Asiana is seeking to sell between 50% and 72% of the builder, Bloomberg said citing people with knowledge of the matter. Established in 1946, Kumho Asiana Group is a large South Korean conglomerate, with subsidiaries in the automotive, industry, leisure, logistic, chemical and airline fields. The group is headquartered at the Kumho Asiana Main Tower in Sinmunno 1-ga, Jongno-gu, Seoul, South Korea. ==================== N E W Z E A L A N D ==================== SOUTH CANTERBURY: Appoints New Chief Executive Officer ------------------------------------------------------ South Canterbury Finance Ltd. has appointed Sandy Maier as the Company's Chief Executive Officer. Mr. Maier has been contracted by South Canterbury Finance's parent company, Southbury Group Limited, under a consultancy arrangement which sees him assuming the role of Group CEO and CEO of South Canterbury Finance. Mr. Maier's role will include making recommendations to the Board with respect to the restructuring of Group financial affairs and overseeing South Canterbury Finance's loan portfolio. Mr. Maier replaces Mr. Nigel Gormack, interim CEO since 1 December. Since his successful engagement as Statutory Manager of the Development Finance Corporation from 1990-92, Mr. Maier has led several restructures across a wide range of sectors. The Boards of Southbury and South Canterbury Finance have confidence that Mr. Maier's appointment will assist them in making effective decisions particularly in relation to the ongoing efforts regarding the restructuring and recapitalization of South Canterbury Finance. "I welcome the appointment of Sandy Maier and also want to thank Nigel Gormack for stepping in to the CEO role at such short notice and seeing the company through an important transitional period," South Canterbury Finance Chairman Allan Hubbard, major shareholder of the Group, said in a statement. About South Canterbury Based in New Zealand, South Canterbury Finance Limited (NZE:SCFHA) -- http://www.scf.co.nz/-- is engaged in the provision of financial services. The Company's principal activities are borrowing funds from public and institutional investors and on- lending those funds to the business, plant and equipment, property, rural and consumer sectors. It typically advances funds by means of hire purchase, floor plans, leasing of plant, vehicles and equipment, personal loans, business term loans and revolving credit facilities, mortgages against property, and other financial instruments, including consumer loan insurance. Southbury Group Limited holds a controlling interest in the Company. Its subsidiaries include Ashburtin Finance Ltd, Auckland Finance Ltd, Canterbury Finance Ltd, Coversure Guarantee Ltd, Face Finance Ltd, Helicopter Nominees Ltd, Hotnchurch Ltd, Otage Finance Ltd, Palmerston North Finance Ltd, Rental cars Ltd, ZSCFG Systems Ltd, Walkato Finance Ltd and Wellington Finance Ltd. * * * As reported in the Troubled Company Reporter-Asia Pacific on December 29, 2009, Standard & Poor's Ratings Services affirmed its 'BB+' long-term and 'B' short-term counterparty credit ratings on South Canterbury Finance Ltd. At the same time, the 'BB+' rating was removed from CreditWatch Negative, where it was initially placed on Sept. 20, 2009. The outlook is negative. ================= S I N G A P O R E ================= AIMS-AMP CAPITAL: Moody's Upgrades Corp. Family Rating to 'Ba2' --------------------------------------------------------------- Moody's Investors Service has upgraded AIMS-AMP Capital Industrial REIT's (formerly known as MacarthurCook Industrial REIT or "MI- REIT") corporate family rating to Ba2 from Caa1. The rating outlook is stable. This concludes the rating review initiated on November 9, 2009. "The upgrade reflects AIMSAMPIReit's remarkably improved liquidity profile and capital structure following the successful completion of its recapitalization plan and refinance of the maturing Singapore dollar loan," says Kaven Tsang, a Moody's AVP/Analyst. "The issuance of new units -- including the new issuances to AMP Capital and other cornerstone investors, as well as the subsequent rights issues -- have materially enhanced the REIT's capital structure, with its debt/capitalization leverage falling to 30% currently from 47% as of September 2009," says Tsang. "AIMSAMPIReit has applied part of the new proceeds from the issuances to complete the acquisition of the 4A International Business Park, and will also acquire four new properties from AMP. These new properties are cash flow generative and will to some extent support its income diversification and debt service coverage," he adds. In addition, its liquidity profile has substantially improved without material refinancing needs in the near term. The new S$175 million term loan is its major borrowing and will be due in December 2012. Moody's expects AIMSAMPIReit's projected debt/EBITDA and EBITDA interest coverage to improve in the coming 1-2 years to 5.5-6x from 6.5-7x historically and to 3-3.5x from 2.5-3x. Though this set of ratios are comparable with some investment grade S-REITs, they are tempered by the REIT's small operating scale, weak track record in liquidity management, and limited financial flexibility given its narrow banking relationship and the fact that the majority of its assets are encumbered. While AMP's established market presence and solid track record in real estate investment and management could benefit AIMSAMPIREIT as it pursues growth and seeks new funding, AMP still needs to establish a track record in managing the REIT's business as planned. The stable outlook reflects Moody's expectation that AIMSAMPIReit will maintain a prudent capital structure while it expands, such that adjusted debt/total assets will be maintained at below 35% over time. For the rating to be upgraded, the REIT will have to 1) demonstrate a sustained track record in managing its business growth with a prudent mix of long-term debt and equity financing; 2) substantially strengthen its business scale; and 3) successfully spread out its debt maturity profile. On the other hand, rating downgrade pressure could emerge if AIMSAMPIReit fails to term out its debt maturity profile in the coming two years, such that its exposure to refunding risk increases as the majority of its debt and a material portion of its leases will mature at the same in FY2012/13. The last rating action with regard to AIMSAMPIReit was taken on 9 November 2009 when the REIT's corporate family rating was put on review for possible upgrade. Headquartered in Singapore, AIMSAMPIReit is a real estate investment trust that owns and invests in a portfolio of industrial properties. The company reported investment property assets of approximately S$494 million as at 30 September 2009. =============== X X X X X X X X =============== * Upcoming Meetings, Conferences and Seminars --------------------------------------------- January 27-29, 2010 TURNAROUND MANAGEMENT ASSOCIATION Distressed Investing Conference, Bellagio, Las Vegas Contact: http://www.turnaround.org/ Feb. 21-23, 2010 INSOL International Annual Regional Conference Madinat Jumeirah, Dubai, UAE Contact: 44-0-20-7929-6679 or http://www.insol.org/ April 20-22, 2010 TURNAROUND MANAGEMENT ASSOCIATION Sheraton New York Hotel and Towers, New York, NY Contact: http://www.turnaround.org/ Apr. 29-May 2, 2010 AMERICAN BANKRUPTCY INSTITUTE Annual Spring Meeting Gaylord National Resort & Convention Center, Maryland Contact: 1-703-739-0800; http://www.abiworld.org/ June 17-20, 2010 AMERICAN BANKRUPTCY INSTITUTE Central States Bankruptcy Workshop Grand Traverse Resort and Spa, Traverse City, Michigan Contact: 1-703-739-0800; http://www.abiworld.org/ July 7-10, 2010 AMERICAN BANKRUPTCY INSTITUTE Northeast Bankruptcy Conference Ocean Edge Resort, Brewster, Massachusetts Contact: 1-703-739-0800; http://www.abiworld.org/ July 14-17, 2010 AMERICAN BANKRUPTCY INSTITUTE Southeast Bankruptcy Conference The Ritz-Carlton Amelia Island, Amelia, Fla. Contact: http://www.abiworld.org/ Aug. 5-7, 2010 AMERICAN BANKRUPTCY INSTITUTE Mid-Atlantic Bankruptcy Workshop Hyatt Regency Chesapeake Bay, Cambridge, Maryland Contact: 1-703-739-0800; http://www.abiworld.org/ Oct. 6-8, 2010 TURNAROUND MANAGEMENT ASSOCIATION TMA Annual Convention JW Marriott Grande Lakes, Orlando, Florida Contact: http://www.turnaround.org/ Dec. 2-4, 2010 AMERICAN BANKRUPTCY INSTITUTE 22nd Annual Winter Leadership Conference Camelback Inn, Scottsdale, Arizona Contact: 1-703-739-0800; http://www.abiworld.org/ Mar. 31-Apr. 3, 2011 AMERICAN BANKRUPTCY INSTITUTE Annual Spring Meeting Gaylord National Resort & Convention Center, Maryland Contact: 1-703-739-0800; http://www.abiworld.org/ June 9-12, 2011 AMERICAN BANKRUPTCY INSTITUTE Central States Bankruptcy Workshop Grand Traverse Resort and Spa Traverse City, Michigan Contact: http://www.abiworld.org/ October 25-27, 2011 TURNAROUND MANAGEMENT ASSOCIATION Hilton San Diego Bayfront, San Diego, CA Contact: http://www.turnaround.org/ Dec. 1-3, 2011 AMERICAN BANKRUPTCY INSTITUTE 23rd Annual Winter Leadership Conference La Quinta Resort & Spa, La Quinta, California Contact: 1-703-739-0800; http://www.abiworld.org/ ********* 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. Valerie C. Udtuhan, Marites O. Claro, Rousel Elaine C. Tumanda, Joy A. Agravante, 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. *** End of Transmission ***