TCRAP_Public/100111.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, January 11, 2010, Vol. 13, No. 006

                            Headlines



A U S T R A L I A

FORTESCUE METALS: Names Stephen Pearce as Chief Financial Officer
GRIFFIN COAL: Bondholders Form Group, Tap Bingham McCutchen
GRIFFIN COAL: May Receive Asset Bids from China, India
ROCKSTEAD: Gets Recapitalization Bid, Administrators Appointed


C H I N A

NEW ENERGY SYSTEMS: Holds Investor Conferences on Fin'l Results
VENETIAN MACAU: Bank Debt Trades at 4% Off in Secondary Market


H O N G  K O N G

CHEUNG FUNG: Creditors' Proofs of Debt Due January 22
HILLINGTON LIMITED: Creditors' Proofs of Debt Due January 25
JW CONSRV: Creditors' Meeting Set for January 15
JWSRV LIMITED: Creditors' Meeting Set for January 15
LIFUNG DISTRICENTERS: Blaauw, Osborn and Lam Step Down

SUN SHING: Court to Hear Wind-Up Petition on January 27
TALENT MORE: Court to Hear Wind-Up Petition on January 27
VICSENSE LIMITED: Members' Final Meeting Set for February 3
VIDPRO PACIFIC: Members' Final Meeting Set for February 5
WELCOM FORNIX: Members' Final General Meeting Set for Feb. 1

WESTERGREN COMPANY: Placed Under Voluntary Wind-Up Proceedings
WIDE HARVEST: Creditors' Proofs of Debt Due February 1
WILMAX DEVELOPMENT: Creditors' Proofs of Debt Due January 25
WORLD HARVEST: Chan Man Cheung Appointed as Liquidator
YOSHINO INVESTMENTS: Seng and Lo Appointed as Liquidators


I N D I A

ALPHA CARBONLESS: CRISIL Reaffirms 'BB+' Ratings on INR17.4MM Loan
ASIS LOGISTICS: CRISIL Rates INR180 Mil. Cash Credit at 'BB+'
BHOOMI FASHION: CRISIL Assigns 'B' Ratings on INR132.8MM Term Loan
CAPITAL FOODS: ICRA Assigns 'LBB+' Rating on INR110MM Term Loans
CAPITAL FOODS: ICRA Rates INR15 Million Term Loans at 'LBB+'

DASSNAGAR PRECISION: CRISIL Cuts Rating on Cash Credit to 'B+'
FORTUNE GARMENTS: Loan Default Prompts CRISIL Junk Ratings
GULATI EXPORT: Delay in Loan Repayment Prompts CRISIL 'C' Rating
GULATI INTERNATIONAL: Weak Liquidity Cues CRISIL 'D' Ratings
GULATI HOSPITALITY: CRISIL Puts 'B-' Rating on INR171.8MM Loan

GULATI RETAIL: Loan Default Prompts CRISIL Junk Ratings
HARISH CHAND: Delay in Loan Repayment Cues CRISIL Junk Ratings
J.M. MHATRE: CRISIL Assigns 'BB+' Rating on INR60MM Bank Debts
JMM INFRA: CRISIL Rates INR105 Million Term Loan at 'B+'
LEEBO METALS: Low Net Worth Prompts CRISIL 'BB+' Ratings

M. M. CERAMICS: CRISIL Places 'BB+' Rating on INR150MM Cash Credit
MAYTAS INFRA: Two Infra Firms Offer to Acquire Maytas
MAYTAS INFRA: Gov't. Vows to Help Buyers Get Their Apartment
SATYAM COMPUTER: CBI Files New Charges Against Raju, Five Others
SUPREME HOUSING: CRISIL Rates INR900 Mil. Cash Credit at 'BB'

SHREE RAM: CRISIL Assigns 'BB-' Rating on INR210MM Cash Credit
TATA STEEL: India Sales Up 73% in December 2009
VIPUL CHEMICALS: CRISIL Reaffirms Rating on INR7.2MM LT Bank Loan


I N D O N E S I A

CENTRAL PROTEINAPRIMA: Fitch Cuts Issuer Default Rating to 'C'
GARUDA INDONESIA: Resumes Flights to Timika, Papua
PERUSAHAAN LISTRIK: Secures US$230 Mil. Loan from Japan Bank


J A P A N

JAPAN AIRLINES: May File Bankruptcy in Tokyo on January 19
JAPAN AIRLINES: Prefers Business Tie-Up, Not Merger
SPANSION INC: To Purchase Distribution Business of Japan Unit
* Japan Economy to Slow But Double Dip Unlikely, Says S&P Report
* JAPAN: May Face Risk of Second Recession, Sony Vice-Chair Says


K O R E A

KIA MOTORS: Workers to Launch Partial Strike This Week
KOREA EXCHANGE: New Business Operations at Japan Suspended


N E W  Z E A L A N D

* NEW ZEALAND: Imports and Exports Value Falls in November 2009


P H I L I P P I N E S

* PHILIPPINES: Fitch Assigns 'BB' Rating on Sovereign Debt


S I N G A P O R E

AML CONSTRUCTION: Court to Hear Wind-Up Petition on January 22
GLOBAL SOURCE: Creditors' Meeting Set for January 26
KIMBLELIT INTERNATIONAL: Court to Hear Wind-Up Petition on Jan. 15
MAINZ HOLDING: Creditors' Proofs of Debt Due February 8
OSCELMARINE PTE: Creditors' Meeting Set for January 29

ROLLS-ROYCE FUEL: Creditors' Proofs of Debt Due February 8
SINGAPORE EXPLORER: Court to Hear Wind-Up Petition on January 22


T A I W A N

AU OPTRONICS: 2009 Consolidated Revenue Down 15.2% at NT$359.60BB


X X X X X X X X

* S&P Says 2009 Ends With 265 Defaults; 4 Issuers Default In 2010




                         - - - - -


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


FORTESCUE METALS: Names Stephen Pearce as Chief Financial Officer
-----------------------------------------------------------------
Fortescue Metals Group Ltd. has appointed Stephen Pearce as the
company's Chief Financial Officer effective March 2, 2010.

Mr. Pearce has held the role of Managing Director for Southern
Cross Electrical Engineering Limited for the past 18 months.  He
also held senior appointments with Alinta, Woodside Petroleum Ltd
and Sons of Gwalia.

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

                           *     *     *

As reported in the Troubled Company Reporter-Asia Pacific on
September 4, 2009, Moody's Investors Service lowered to B2 from B1
the Senior Secured rating of FMG Resources (August 2006) Pty Ltd
(previously FMG Finance Pty Ltd), the financing arm of the
Fortescue Metals Group.  The outlook for the rating is negative.
This completes the rating review for possible downgrade commenced
in May 2009 in view of weakness in the iron ore market and
operating challenges at FMG's mining and processing operations.


GRIFFIN COAL: Bondholders Form Group, Tap Bingham McCutchen
-----------------------------------------------------------
In connection with the appointment of voluntary administrators for
The Griffin Coal Mining Company Pty Ltd., a working group of
holders of 2016 9-1/2% Senior Notes has been formed to discuss
certain issues of mutual interest.  The Working Group and other
holders aligned with it hold a majority of the 2016 Notes.

At the request of the Working Group, Corrs Chambers Westgarth and
Caliburn, the Australian legal and financial advisors to the
Working Group, have been on the ground in Perth this week engaging
in discussions with KordaMentha, the voluntary administrators
appointed to Griffin, and other key parties to ensure the
Noteholders' interests are protected.  Based upon such
discussions, the Working Group has formed preliminary
recommendations regarding KM, Griffin's Australian Administration
Proceeding and the formation of the Committee of Creditors, which
will be selected at the first creditors meeting that is scheduled
to be held on January 13, 2010 at 11:30 am Perth time (which is
10:30 p.m. NY time on January 12, 2010).  Members of the Working
Group and its advisors are available to speak with other
interested Noteholders regarding Griffin's administration
proceedings and the group's preliminary recommendations.

Initial proofs of claim and proxies for Noteholders unable to
attend the first creditors' meeting in person must be filed with
KM by 4:00 p.m. Perth time on January 12, 2010 (which is 3:00 a.m.
NY time on January 12, 2010).  The Working Group has arranged for
Naomi Moore, Esq., a partner at Bingham McCutchen LLP (U.S.
Counsel to the Working Group), and Kirsty Sutherland, Esq., a
partner at Corrs Chambers Westgarth (Australian Counsel to the
Working Group), to act as backup proxy to vote on behalf of
Noteholders who are unable to attend the meeting in person.

Bingham McCutchen LLP is available to help Noteholders complete
and submit their proxies and initial proofs of claim and to
coordinate discussions with interested Noteholders and members of
the Working Group.  U.S. based Noteholders may contact Jeff Black
via email at jeffery.black@bingham.com or via telephone at
212.705.7446.  Noteholders based in Asia may contact Naomi Moore
via email at naomi.moore@bingham.com or via telephone at
852.3182.1700 or Chris Bland via email at chris.bland@bingham.com
or via telephone at 852.3182.1700.

The Troubled Company Reporter-Asia Pacific, citing Bloomberg News,
reported on January 4, 2010, that Griffin Coal Mining Co.
appointed Kordamentha as administrator with total debts amounting
to about AU$700 million.

Bloomberg said the coal supplier defaulted on an interest payment
last month to bondholders owed US$475 million and also missed a
payment to Australia's tax authority.

Based in Australia, The Griffin Coal Mining Company Pty Ltd --
http://www.griffincoal.com.au/-- is engaged in coal mining and
processing.  Griffin Coal operates major mines in the Collie area,
approximately 220 kilometers south east of Perth.  The Company is
producing more than three million tons of coal per year. Griffin
Coal has operations at Ewington Mine, Muja Mine and Buckingham
Mine.


GRIFFIN COAL: May Receive Asset Bids from China, India
------------------------------------------------------
Bloomberg News, citing the Australian Financial Review, reports
that the administrators of Griffin Coal Mining Co. may receive
bids for the company's assets from Chinese and Indian companies.

According to Bloomberg, the newspaper said more than 20 parties
have registered interest in buying the Western Australian coal
miner's assets, with a shortlist to be decided this week.

Meanwhile, Bloomberg News reports that the International Swaps &
Derivatives Association said Griffin Coal credit-default swaps
have been triggered by a so-called bankruptcy credit event.

The Troubled Company Reporter-Asia Pacific, citing Bloomberg News,
reported on January 4, 2010, that Griffin Coal Mining Co.
appointed Kordamentha as administrator with total debts amounting
to about AU$700 million.

Bloomberg said the coal supplier defaulted on an interest payment
last month to bondholders owed US$475 million and also missed a
payment to Australia's tax authority.

Based in Australia, The Griffin Coal Mining Company Pty Ltd --
http://www.griffincoal.com.au/-- is engaged in coal mining and
processing.  Griffin Coal operates major mines in the Collie area,
approximately 220 kilometers south east of Perth.  The Company is
producing more than three million tons of coal per year. Griffin
Coal has operations at Ewington Mine, Muja Mine and Buckingham
Mine.


ROCKSTEAD: Gets Recapitalization Bid, Administrators Appointed
--------------------------------------------------------------
Greg Moloney of Ferrier Hodgson, the liquidator of Rockstead
Financial Services Ltd, appointed Christopher Darin and Michael
Hird of Worrells Solvency & Forensic Accountants as the company's
voluntary administrators on December 23, 2009, following receipt
of a recapitalization proposal.

On August 29, 2007, Rockstead Financial appointed voluntary
administrators and subsequently executed a Deed of Company
Arrangement on September 24, 2007.  The Deed of Company
Arrangement was terminated on June 30, 2009, and the company was
placed into liquidation.

"There is a proposal that has been put forward by Winning
Corporate Services Pty Ltd for the recapitalization of the company
which has prompted our appointment as administrators by the
Liquidator," Messrs. Darin and Hird said in a letter to creditors
last month.

"We have been advised by the Liquidator that the company is now
without assets and that all assets of the company have been
realized and disbursed during the course of the previous voluntary
administration, Deed of Company Arrangement and subsequent
liquidation of the company."

"We have been advised by the Liquidator that they have received
proofs of debts from the creditors of the company totaling
approximately $23,850,000," Messrs. Darin and Hird said.

                     About Rockstead Financial

Based in Subiaco, Australia, Rockstead Financial Services
Limited (ASX:RKS), formerly First Capital Group Limited, acts as
an investor in a range of businesses in the funds management,
property development and lending sectors.  On Feb. 8, 2007, the
company acquired a 30% interest in Explorer Group Limited (EGL).
On May 24, 2007, the company acquired a further 10% interest in
EGL bringing the company's total shareholding in EGL to 40%.
Subsequent to June 30, 2007, the company sold its 40%
shareholding in EGL to Ascalon Capital Managers Limited.  Some
of its subsidiaries include First Capital Securities Limited,
First Capital Services Pty Ltd, First Capital Investments Pty
Ltd, First Capital New Zealand Limited and TaxBreak Calculators
Pty Ltd.


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


NEW ENERGY SYSTEMS: Holds Investor Conferences on Fin'l Results
---------------------------------------------------------------
From January 4, 2010 through January 7, 2010, New Energy Systems
Group held investor conferences to discuss the Company's results
for the year ended December 31, 2009, and financial outlook for
fiscal 2010.

New Energy Systems projects 2009 earnings per share of $0.91 to
$1.00 and 2010 EPS of at least $1.23.  New Energy Systems said
2010 results will benefit from recent acquisitions and continued
organic growth.

A full-text copy of the Company's presentation is available at no
charge at http://ResearchArchives.com/t/s?4cf0

               About New Energy Systems Group

With offices in New York and Shenzhen, China, New Energy Systems
Group (OTCBB: NEWN) -- http://www.chinadigitalcommunication.com/
-- manufactures and distributes lithium ion batteries.  The
company assembles and distributes finished batteries through its
sales network and channel partners.  The company also sells high-
quality lithium-ion battery shell and cap products to major
lithium-ion battery cell manufacturers in China. The company's
products are used to power mobile phones, MP3 players, laptops,
digital cameras, PDAs, camera recorders and other consumer
electronic digital devices.

On November 17, 2009, China Digital obtained approval from FINRA
to change its name to New Energy Systems Group.  In conjunction
with the name change, the company's CUSIP number was changed to
643847106 and the stock began trading under the ticker symbol
"NEWN" on November 18.

At September 30, 2009, the Company had US$17,622,130 in total
assets against US$3,197,717 in total liabilities, all current.  At
September 30, 2009, the Company had accumulated deficit of
US$4,660,858 and stockholders' equity of US$14,424,413.

                        Going Concern

In its quarterly report on Form 10-Q, the Company said it believes
it has sufficient cash to continue its current business through
September 30, 2010, due to expected increased sales revenue and
net income from operations.  "However we have suffered recurring
losses in the past and have a large accumulated deficit.  These
conditions raise substantial doubt about the Company's ability to
continue as a going concern," the Company said.

The Company has taken certain restructuring steps to provide the
necessary capital to continue its operations. These steps included
1) acquire profitable operations through issuance of equity
instruments, and 2) to continue actively seeking additional
funding and restructure the acquired subsidiaries to increase
profits and minimize the liabilities.


VENETIAN MACAU: Bank Debt Trades at 4% Off in Secondary Market
--------------------------------------------------------------
Participations in a syndicated loan under which Venetian Macau US
Finance Co., LLC, is a borrower traded in the secondary market at
96.43 cents-on-the-dollar during the week ended Friday, Jan. 8,
2010, according to data compiled by Loan Pricing Corp. and
reported in The Wall Street Journal.  This represents increase of
2.13 percentage points from the previous week, The Journal
reports.  The Company pays 550 basis points above LIBOR to borrow
under the facility.  The bank loan matures on May 25, 2011, and
carries Moody's B3 rating and Standard & Poor's B- rating.

Meanwhile, participations in a syndicated loan under which Las
Vegas Sands Corp. is a borrower traded in the secondary market at
89.66 cents-on-the-dollar during the week ended Friday, Jan. 8,
2010, according to data compiled by Loan Pricing Corp. and
reported in The Wall Street Journal.  This represents increase of
2.66 percentage points from the previous week, The Journal
reports.  The Company pays 175 basis points above LIBOR to borrow
under the facility.  The bank loan matures on May 1, 2014, and
carries Moody's B3 rating and Standard & Poor's B- rating.

The loans are two of the biggest gainers and losers among the 160
widely quoted syndicated loans with five or more bids in secondary
trading for the week ended Jan. 8, 2010.

Venetian Macau US Finance Co., LLC (also known as VML US Finance
LLC), and Venetian Macau Limited are wholly owned subsidiaries of
Las Vegas Sands.  VML owns the Sands Macau in the People's
Republic of China Special Administrative Region of Macau and is
also developing additional casino hotel resort properties in
Macau.

Based in Las Vegas, Nevada, Las Vegas Sands Corp. (NYSE: LVS) --
http://www.lasvegassands.com/-- owns and operates The Venetian
Resort Hotel Casino, The Palazzo Resort Hotel Casino, and an expo
and convention center.  The company also owns and operates the
Sands Macao, the first Las Vegas-style casino in Macao, China.

As reported by the TCR on Aug. 4, 2009, Moody's placed Las Vegas
Sands Corp.'s ratings, including its 'B3' Corporate Family Rating,
on review for possible downgrade.  Moody's cited weak operating
results and heightened concern regarding the Company's ability to
maintain compliance with financial covenants, among other things.

The Company also carries 'B-' issuer credit ratings from Standard
& Poor's.


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


CHEUNG FUNG: Creditors' Proofs of Debt Due January 22
-----------------------------------------------------
Creditors of Cheung Fung Technology (Holdings) Limited, which is
in creditors' voluntary liquidation, are required to file their
proofs of debt by January 22, 2010, to be included in the
company's dividend distribution.

The company's liquidators are:

         Alan C W Tang
         Wong Kwok Man
         Nexxus Building, 6th Floor
         41 Connaught Road
         Central, Hong Kong


HILLINGTON LIMITED: Creditors' Proofs of Debt Due January 25
------------------------------------------------------------
Creditors of Hillington Limited, which is in members' voluntary
liquidation, are required to file their proofs of debt by Jan. 25,
2010, to be included in the company's dividend distribution.

The company commenced wind-up proceedings on December 31, 2009.

The company's liquidator is:

         Ngan Lin Chun Esther
         1902 MassMutual Tower
         38 Goucester Road
         Wanchai, Hong Kong


JW CONSRV: Creditors' Meeting Set for January 15
------------------------------------------------
Creditors of JW CONSRV Limited will hold their meeting on Jan. 15,
2010, at 2:30 p.m., for the purposes provided for in Sections 241,
242, 243, 244 of the Companies Ordinance.

The meeting will be held at 2001 A2 Nam Fung Centre, 264-298
Castle Peak Road, Tsuen Wan, New Territories, in Hong Kong.


JWSRV LIMITED: Creditors' Meeting Set for January 15
----------------------------------------------------
Creditors of JWSRV Limited will hold their meeting on January 15,
2010, at 10:30 a.m., for the purposes provided for in Sections
241, 242, 243, 244 of the Companies Ordinance.

The meeting will be held at 2001 A2 Nam Fung Centre, 264-298
Castle Peak Road, Tsuen Wan, New Territories, in Hong Kong.


LIFUNG DISTRICENTERS: Blaauw, Osborn and Lam Step Down
------------------------------------------------------
Jan G.W. Blaauw, Donald Edward Osborn and Rainier Hok Chung Lam,
stepped down as liquidators of Lifung Districenters Trading
Limited on December 21, 2009.


SUN SHING: Court to Hear Wind-Up Petition on January 27
-------------------------------------------------------
A petition to wind up the operations of Sun Shing Machinery &
Construction Co., Limited, will be heard before the High Court of
Hong Kong on January 27, 2010, at 9:30 a.m.

The Petitioner's Solicitors are:

          Jimmie K.S. Wong & Partners
          Double Building, 3/F
          22 Stanley Street
          Central, Hong Kong


TALENT MORE: Court to Hear Wind-Up Petition on January 27
---------------------------------------------------------
A petition to wind up the operations of Talent More Limited will
be heard before the High Court of Hong Kong on January 27, 2010,
at 9:30 a.m.

The Petitioner's Solicitors are:

          S.H. Leung & Co.
          Aon China Building
          Room 502, 5th Floor
          29 Queen's Road Central
          Hong Kong


VICSENSE LIMITED: Members' Final Meeting Set for February 3
-----------------------------------------------------------
Members of Vicsense Limited, will hold their final general meeting
on February 3, 2010, at 9:00 a.m., at the 21/F, Fee Tat
Commercial Centre, No. 613 Nathan Road, Kowloon, in Hong Kong.

At the meeting, Li Kwai Wing, the company's liquidator, will give
a report on the company's wind-up proceedings and property
disposal.


VIDPRO PACIFIC: Members' Final Meeting Set for February 5
---------------------------------------------------------
Members of Vidpro Pacific Rim Sports, Limited, will hold their
final general meeting on February 5, 2010, at 10:45 a.m., at
Level 28, Three Pacific Place, 1 Queen's Road East, in Hong Kong.

At the meeting, Natali K M Seng, the company's joint and several
liquidator, will give a report on the company's wind-up
proceedings and property disposal.


WELCOM FORNIX: Members' Final General Meeting Set for Feb. 1
------------------------------------------------------------
Members of Welcom Fornix Group Company Limited, which is in
members' voluntary liquidation, will hold their final general
meeting on February 1, 2010, at 9:30 a.m., at Flat C, 4/F., Good
Luck Industrial Building, 105 How Ming Street, Kwun Tong, Kowloon,
in Hong Kong.

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


WESTERGREN COMPANY: Placed Under Voluntary Wind-Up Proceedings
--------------------------------------------------------------
At an extraordinary general meeting held on December 18, 2009,
creditors of Westergren Company Limited resolved to voluntarily
wind up the company's operations.

The company's liquidators are:

         Chow Cheuk Lap
         Cheng Siu Hang
         China Insurance Group Building
         141 Des Voeux Road Central
         Hong Kong


WIDE HARVEST: Creditors' Proofs of Debt Due February 1
------------------------------------------------------
Creditors of Wide Harvest Development Limited, which is in
members' voluntary liquidation, are required to file their proofs
of debt by February 1, 2010, to be included in the company's
dividend distribution.

The company commenced wind-up proceedings on December 16, 2009.

The company's liquidator is:

          Patrick Yuen Sik Ming
          Greenwich Centre, 6/F
          260 King's Road
          North Point, Hong Kong


WILMAX DEVELOPMENT: Creditors' Proofs of Debt Due January 25
------------------------------------------------------------
Creditors of Wilmax Development Limited, which is in members'
voluntary liquidation, are required to file their proofs of debt
by January 25, 2010, to be included in the company's dividend
distribution.

The company commenced wind-up proceedings on December 30, 2009.

The company's liquidator is:

         Ngan Lin Chun Esther
         1902 MassMutual Tower
         38 Gloucester Road
         Wanchai, Hong Kong


WORLD HARVEST: Chan Man Cheung Appointed as Liquidator
------------------------------------------------------
Fan Sai Yee on December 23, 2009, was appointed as liquidator of
World Harvest Development Limited.

The liquidator may be reached at:

          Fan Sai Yee
          K. Wah Centre
          Room 1009-1012, 10th Floor
          191 Java Road, North Point
          Hong Kong


YOSHINO INVESTMENTS: Seng and Lo Appointed as Liquidators
---------------------------------------------------------
Natalia K M Seng and Susan Y H Lo on December 18, 2009, were
appointed as liquidators of Yoshino Investments Limited.

The liquidators may be reached at:

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


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


ALPHA CARBONLESS: CRISIL Reaffirms 'BB+' Ratings on INR17.4MM Loan
------------------------------------------------------------------
CRISIL's ratings on the bank facilities of Alpha Carbonless Paper
Manufacturing Co Pvt Ltd, part of Alpha-Vipul combine continue to
reflect the combine's product concentration in revenue profile,
and small scale of operations.  These weaknesses are partially
offset by the combine's modest financial risk profile, and the
benefits derived from synergies generated from intra-group
linkages.

   Facilities                           Ratings
   ----------                           -------
   INR17.4 Million Term Loan            BB+/Stable (Reaffirmed)
   (Reduced from INR24.4 Million)

   INR85.0 Million Cash Credit*         BB+/Stable
   (Enhanced from INR53.5 Million)

   INR11.3 Million Proposed LT Bank     BB+/Stable (Reaffirmed)
   Loan (Reduced from INR38.3 Mil.)

   INR10.0 Million Letter of Credit     P4+
      (Enhanced from INR7.5 Million)

  *Includes INR10 million standby line of credit.

For arriving at its ratings, CRISIL has combined the financials of
Alpha and Vipul Chemicals (India) Pvt Ltd, together referred to as
the Alpha-Vipul combine.  Paper manufactured by Alpha is used by
Vipul to test its coating agents, and to demonstrate their
effectiveness to clients, thereby ensuring product quality and
value addition for clients.

Outlook: Stable

CRISIL believes that the Alpha-Vipul combine will continue to
benefit from the steady demand for its products.  The combine's
revenues are expected to increase over the medium term, as Vipul
has recently increased its capacity.  The outlook may be revised
to 'Positive' if the Alpha-Vipul combine scales up its operations,
and if its operating margin and debt protection measures improve.
Conversely, the outlook may be revised to 'Negative' if the
combine undertakes large, debt-funded capital expenditure
programme, or if there is decline in demand for its products.

                      About Alpha Carbonless

Alpha was established as a partnership firm in 1990, with Mr. L V
Kadam, Mr. R V Kadam, Mr. A V Kadam, and Mr. Jawale as partners.
It was converted into a private limited company in 1996.  Alpha
manufactures carbonless paper and heat-sensitive thermal paper;
the company has a unit in Navi Mumbai with an installed capacity
to produce 4500 tonnes per annum of paper.  The company derives
around 80 per cent of its revenues from the sale of thermal paper,
and the balance from carbonless paper.

Alpha reported a profit after tax (PAT) of INR19.4 million on net
sales of INR365.9 million for 2008-09 (refers to financial year,
April 1 to March 31), against a PAT of INR16.1 million on net
sales of INR300.2 million for 2007-08.


ASIS LOGISTICS: CRISIL Rates INR180 Mil. Cash Credit at 'BB+'
-------------------------------------------------------------
CRISIL has reclassified its short-term rating on the bank
facilities of Asis Logistics Ltd, as 'P4+', from the earlier 'P4';
the long-term rating has been reaffirmed.

   Facilities                       Ratings
   ----------                       -------
   INR180.0 Million Cash Credit     BB+/Stable
    (Enhanced from INR100 mil.)
   INR20.0 Million Term Loan        BB+/Stable (Reaffirmed)
   INR5.0 Million Bank Guarantee    P4+ (Reclassified from 'P4')

The ratings continue to reflect ALL's large working capital
requirements, the increasing share of the low-margin
transportation business in its revenue mix, and the susceptibility
of its operating margin to economic downturns.  These weaknesses
are partially offset by the company's healthy financial risk
profile marked by comfortable gearing and adequate debt protection
measures, strong revenue growth, and its integrated business model
in consulting, transportation, and custom house agent (CHA)
services.

Outlook: Stable

CRISIL believes that ALL will maintain a healthy financial risk
profile on the back of healthy cash accruals and moderate capital
expenditure (capex) plans.  The outlook may be revised to
'Positive' if ALL improves its working capital management, and
reduces its reliance on external borrowing.  Conversely, the
outlook may be revised to 'Negative' if its operating margin
declines, or if the company undertakes large debt-funded capex
programs, leading to deterioration in its financial risk profile.

                       About Asis Logistics

Incorporated in 1993, ALL began operations by offering foreign
trade and investment advisory services.  It started offering
transport services in 2004, and warehousing and material-handling
facilities in 2006.  In 2006-07 (refers to financial year, April 1
to March 31), ALL took over the operations of one of its group
companies, Asis Overseas (C&F) Pvt Ltd, which was engaged in
customs clearing and forwarding.  In 2007-08, Shirdi Industries
Ltd (SIL) and Asis Industries Ltd, ALL's group companies, acquired
equity shares of 43 per cent and 40 per cent, respectively, in
ALL. Subsequently, in 2008-09, SIL sold its investment in ALL
(within the promoter group), while AIL's share reduced to 16 per
cent after a bonus issue to other shareholders.

For 2008-09, ALL reported a profit after tax (PAT) of INR48
million on net revenue of INR997 million, against a PAT of INR47
million on net revenue of INR618 million the previous year.


BHOOMI FASHION: CRISIL Assigns 'B' Ratings on INR132.8MM Term Loan
------------------------------------------------------------------
CRISIL has assigned its rating of 'B/Stable' to Bhoomi Fashion Pvt
Ltd's bank facilities.

   Facilities                           Ratings
   ----------                           -------
   INR20.0 Million Cash Credit Limit    B/Stable (Assigned)
   INR132.8 Million Term Loan           B/Stable (Assigned)

The rating reflects BFPL's weak financial risk profile marked by
high gearing and weak debt protection measures, and its small
scale of operations in the intensely competitive textile industry.
These weaknesses are partially offset by the benefits that BFPL
derives from its promoters' experience in the textile industry.

Outlook: Stable

CRISIL believes that BFPL will continue to benefit from its
promoters' strong track record in the textile industry.  The
outlook may be revised to 'Positive' if the company successfully
stabilizes its expanded capacity, scales up its operations and
shows sustained improvement in its debt protection measures.
Conversely, the outlook may be revised to 'Negative' if increase
in raw material prices results in sharp decline in the company's
operating margin, thereby weakening its financial risk profile.

                       About Bhoomi Fashion

Incorporated in 1996, BFPL was acquired by the current owners Mr.
Lalit Agarwal, Mr. Pawankumar Saraf and Mr. Raghunath Mittal in
2008. A Surat (Gujarat)-based company, BFPL is a processing house
that undertakes dyeing and printing of cotton and synthetic
fabrics.  The company will have processing capacity of 100,000 to
150,000 meters of fabric per day by the end of 2009-10 (refers to
financial year, April 1 to March 31), following the completion of
a INR244 million capital expenditure programme being undertaken by
the new owners.

BFPL reported a loss after tax of INR0.7 million on net sales of
INR60.6 million for 2008-09, against a loss after tax of INR0.04
million on net sales of INR0.8 million for 2007-08.


CAPITAL FOODS: ICRA Assigns 'LBB+' Rating on INR110MM Term Loans
----------------------------------------------------------------
ICRA has assigned 'LBB+' rating to INR120 million fund based bank
limits and INR110 million term loans of Capital Foods Limited.
The rating carries stable outlook.  ICRA has also assigned 'A4+'
rating to INR30 million non fund based bank limits of CFL.

The ratings are constrained by CFL's low operating margins
resulting from the highly competitive nature of the processed
foods industry, susceptibility of margins to adverse fluctuation
in the raw (mainly commodities) material prices, stretched net
profitability resulting in low cash accruals, weak debt coverage
indicators and high gearing. However, the ratings derive comfort
from the experience of CFL's promoters, its presence in the niche
Chinese noodles & processed foods segment, wide range of product
profile aided by strong in-house manufacturing operations and pan
India presence enabled by organized distribution network.  While
rating this entity, ICRA has consolidated M/s. Capital Foods
Exportts Pvt. Ltd., the holding company of CFL.

                        About Capital Foods

Incorporated in 1995, Capital Foods Limited is engaged in the
business of manufacture and marketing of ethnic food ingredients
and food items. The manufacturing operations are carried out from
plants in Nashik (Maharashtra) and Vapi (Gujarat).  While the
Nashik plant is engaged in the manufacture of a wide variety of
processed foods viz. tomato ketch up, garlic & ginger pastes,
sauces, chutneys, soups, baked beans etc. in different variants,
the Vapi plant is dedicated to manufacture instant and hakka
noodles. The company was promoted by Mr. Ajay Gupta (current MD)
and it sells its products under the brand names of Ching's Secret,
Smith & Jones, Mama Maria, Kaeng Thai & Raji.

The company is a subsidiary of M/s. Capital Foods Exportts Pvt.
Ltd.  The holding company, CFEPL, is also in the similar line of
processed foods industry as that of CFL.  It is a 100% Export
Oriented Unit and has its own production facility at Kandla
Special Economic Zone in Gujarat.

For the first half ended September 2009, the company reported a
Net Profit of INR19.7 million on an operating income of INR356.2
million.


CAPITAL FOODS: ICRA Rates INR15 Million Term Loans at 'LBB+'
------------------------------------------------------------
ICRA has assigned 'LBB+' rating to INR15 million term loans of
Capital Foods Exports Private Limited.  The rating carries a
stable outlook.  ICRA has also assigned 'A4+' rating to INR82.5
million fund based bank limits and INR30 million non fund based
bank limits of CFEPL.

The ratings are constrained by CFEPL's presence in highly
competitive export processed foods industry, susceptibility of
margins to adverse fluctuation in the raw (mainly commodities)
material prices, exposure of revenues and profitability to adverse
fluctuations in the foreign exchange rates, client  & geographic
concentration risks, weak debt coverage indicators and high
working capital intensity.  However, the ratings derive comfort
from the experience of CFEPL's promoters, wide range of product
profile aided by strong in-house manufacturing operations and
favorable capital structure.

While assigning the rating, ICRA has consolidated the performance
of its subsidiary Capital Foods Ltd., which is also into
manufacture and marketing of processed foods.

                    About Capital Foods Exports

Incorporated in 2003, Capital Foods Exportts Private Limited is
engaged in the business of manufacture and export of ethnic
packaged food ingredients and food items.  The company is a 100%
export oriented unit and was promoted by Mr. Ajay Gupta who is
currently the managing director of the company.  The manufacturing
operations are carried out from its plant in Kandla, SEZ, Gujarat.
The Kandla facility is engaged in the manufacture of a wide
variety of ethnic packaged foods which include Ready to Eat (RTE)
Indian delicacies, frozen nashta & meals and other food products.
CFEPL manufactures and exports its products to USA, Canada,
Australia, UK, Middle East, etc. both under its own brands as well
as under private labels.

CFEPL has a subsidiary in the name of Capital Foods Ltd., in which
it holds a stake of around 98.32%. CFL is also engaged in
manufacture and marketing of processed food products, primarily in
the domestic market.

For the half year ended September 2009, the company reported a
Net Profit of INR6.1 million on an operating income of INR105.8
million.


DASSNAGAR PRECISION: CRISIL Cuts Rating on Cash Credit to 'B+'
--------------------------------------------------------------
CRISIL has downgraded its ratings on Dassnagar Precision
Engineering Pvt Ltd's bank facilities to 'B+/Negative/P4' from
'BB-/Stable/P4+'.

   Facilities                           Ratings
   ----------                           -------
   INR120 Million Cash Credit Limit     B+/Negative (Downgraded
                                              from 'BB-/Stable')
   INR80 Million Bank Guarantee         P4 (Downgraded from 'P4+')

The downgrade reflects deterioration in DPEPL's financial risk
profile following decline in its profitability, coupled with
significant increase in working capital requirements, leading to
its weak liquidity; the company utilized nearly all its bank
limits during the 11 months ended November 2009.  The downgrade
also reflects CRISIL's belief that DPEPL's liquidity will remain
constrained in the medium term because of the slowdown in its
order book and the proposed debt-funded capital expenditure
(capex).

The ratings reflect DPEPL's weak financial risk profile, large
working capital requirements, and susceptibility to cyclicality in
the end-user sheet metal processing industry.  These rating
weaknesses are partially offset by the company's promoters'
industry experience, and its established customer base.

Outlook: Negative

CRISIL believes that DPEPL's financial risk profile, particularly
liquidity, could deteriorate further over the medium term, given
the company's large inventory pile-up, and the delayed payments by
its customers.  The rating may be downgraded in case of steeper-
than-expected deterioration in the financial risk profile.
Conversely, the outlook may be revised to 'Stable' if DPEPL's
generates higher-than-expected cash accruals and improves its
liquidity, or if its capex borrowings are lower than expected.

                     About Dassnagar Precision
Incorporated in 1965, DPEPL provides coil processing lines on
turnkey basis ? it designs, manufactures, erects, commissions and
services coil processing lines and equipment for the sheet metal
processing industry.  The company has three manufacturing units at
Howrah (West Bengal).

For 2008-09 (refers to financial year, April 1 to March 31), DPEPL
reported a profit after tax (PAT) of INR3 million on net sales of
INR443 million, against a PAT of INR6 million on net sales of
INR116 million for 2007-08.


FORTUNE GARMENTS: Loan Default Prompts CRISIL Junk Ratings
----------------------------------------------------------
CRISIL has assigned ratings of 'D/P5' to the bank facilities of
Fortune Garments Ltd.  The ratings reflect default by FGL on its
term loan obligations owing to weak liquidity.

   Facilities                           Ratings
   ----------                           -------
   INR28.0 Million Cash Credit Limit    D (Assigned)
   INR191.1 Million Term Loan           D (Assigned)
   INR5.0 Million Bank Guarantee        P5 (Assigned)

For arriving at its ratings, CRISIL has combined the business and
financial risk profiles of FGL and FGL's group companies, Gulati
Export House, Gulati Retail India Ltd, Gulati Hospitality Ltd and
Gulati International Ltd.  This is because these entities,
collectively referred to as the Gulati group, have common
promoters and senior management, and extend financial support to
each other.  FGL does knitting and dyeing for GEH on job-work
basis; GEH operates out of premises owned by GIL (which does not
have any operations).  GRIL sells readymade women's garments under
its brand, Penny Lane, while GHL is setting up a four-star hotel
in Gurgaon; both GRIL and GHL enjoy financial and management
support from GEH.

                         About the Group

The Gulati group (refers to GEH, GRIL, GIL, GHL, and FGL) entered
the readymade garments export industry through FGL.  However, this
business was later transferred to GEH.

                      About Fortune Garments

Set up in early 1990s, FGL initially exported readymade garments.
Currently FGL undertakes job-work based processing of fabric; this
includes embroidery, knitting, printing, and washing and derives
almost 60% of its business from GEH.


GULATI EXPORT: Delay in Loan Repayment Prompts CRISIL 'C' Rating
----------------------------------------------------------------
CRISIL has assigned its ratings of 'C/P4' to the bank facilities
of Gulati Export House, which is part of the Gulati group.

   Facilities                          Ratings
   ----------                          -------
   INR263.5 Million Term Loan          C (Assigned)
   INR190.0 Million Packing Credit     P4 (Assigned)
   INR55.0 Million Bill Discounting    P4 (Assigned)
   INR25.0 Million Letter of Credit    P4 (Assigned)

The ratings reflect delays by three of Gulati group companies
(Gulati Retail India Ltd, Gulati International Ltd, and Fortune
Garments Ltd in repayment of their term loan installments on
account of the group's stretched liquidity position. The ratings
also factor in the firm's exposure to risks relating to customer
and geographic concentration in revenue profile, and to volatility
in the value of the Indian rupee.  These weaknesses are, however,
partially offset by the benefits that the firm derives from its
promoters' experience in the readymade garments and home
furnishings export industry.

For arriving at its ratings, CRISIL has combined the business and
financial risk profiles of GEH and GEH's group companies, GRIL,
GIL, FGL, and Gulati Hospitality Ltd.  This is because these
entities collectively referred to as the Gulati group, have common
promoters and senior management, and extend financial support to
each other.

                          About the Group

The Gulati group entered the readymade garment exports business
through FGL.  However, this business was transferred to GEH, while
FGL undertook job-work-based processing of fabric such as
embroidery and knitting.

GIL was set up to take care of the increasing order flow at GEH.
However, due to the economic downturn setting in and demand from
export markets declining GIL could not start operations.  The
assets of GIL (mainly land and building) are being currently used
by GEH and GIL does not have any other operations as on date.

GRIL manufactures and sells readymade women's garments in India
under its brand, Penny Lane; while GHL is setting up a 54 room
four-star hotel with a restro-bar and banquet hall in Gurgaon.

                       About Gulati Export

Set up as a partnership firm in February 1999 by Gulati Family,
GEH manufactures and exports readymade garments and home
furnishings, largely to USA. GEH is a recognized export house and
has an established clientele, comprising JC Penny and Macy's.

GEH reported a profit after tax (PAT) of INR20.3 million on net
sales of INR1086.1 million for 2007-08 (refers to financial year,
April 1 to March 31), as against a PAT of INR34.5 million on net
sales of INR1150.1 million for 2006-07.


GULATI INTERNATIONAL: Weak Liquidity Cues CRISIL 'D' Ratings
------------------------------------------------------------
CRISIL has assigned ratings of 'D/P5' to the bank facilities of
Gulati International Ltd.  The ratings factor in default by GIL on
its term loan obligations owing to the Group's weak liquidity
position.

   Facilities                       Ratings
   ----------                       -------
   INR192.1 Million Term Loan       D (Assigned)
   INR5.0 Million Bank Guarantee    P5 (Assigned)

For arriving at its ratings, CRISIL has combined the business and
financial risk profiles of GIL and GIL's group entities, Gulati
Export House, Gulati Retail India Ltd, Gulati Hospitality Ltd, and
Fortune Garments Ltd.  This is because these entities collectively
referred to as the Gulati group, have common promoters and senior
management, and extend financial support to each other. FGL does
knitting and dyeing for GEH on job-work basis; GEH operates out of
premises owned by GIL (which does not have any operations).  GRIL
sells readymade women's garments under its brand, Penny Lane,
while GHL is setting up a four-star hotel in Gurgaon; both GRIL
and GHL enjoy financial and management support from GEH.

                          About the Group

The Gulati group (refers to GEH, GRIL, GIL, GHL, and FGL) entered
the readymade garment exports business through FGL.  However, this
business was transferred to GEH, while FGL undertook job-work-
based processing of fabric such as embroidery and knitting.

                    About Gulati International

GIL was set up in 2006 by the Gulati group in order to execute
surplus orders from GEH.  However, due to the economic slowdown
and decline in demand from export markets, GIL is yet to begin
operations.  GIL's assets, mainly land and building, are being
currently used by GEH.  Since GIL currently does not generate any
cash accruals therefore its term loans are being serviced by GEH
as well.


GULATI HOSPITALITY: CRISIL Puts 'B-' Rating on INR171.8MM Loan
--------------------------------------------------------------
CRISIL has assigned its ratings of 'B-/Negative/P4' to the bank
facilities of Gulati Hospitality Ltd, which is part of the Gulati
group.

   Facilities                        Ratings
   ----------                        -------
   INR171.8 Million Term Loan        B-/Negative (Assigned)
   INR6.5 Million Bank Guarantee     P4 (Assigned)

The rating reflects GHL's high funding and implementation risk -
around 40 per cent of total project funding is yet to be tied up,
and exposure to risks relating to cyclicality in the hotel
industry, and to the promoters' lack of experience in the
hospitality business.  These weaknesses are, however, partially
offset by the benefits that the company is expected to derive from
the healthy demand prospects in Delhi (National Capital Region).

Outlook: Negative

CRISIL believes that GHL has a weak credit risk profile because of
pending financial closure for its existing four-star hotel
project.  The ratings may be downgraded if GHL is unable to
achieve financial closure on its additional funding requirement of
INR100 million.  The rating may also be downgraded if there are
further delays in the implementation of the company's ongoing
project resulting into delays in cash accruals, which would
ultimately lead to pressure on timely term debt repayments.
Conversely, the outlook may be revised to 'Stable' if GHL
commissions its project without significant time and cost
overruns, and attains expected occupancies at its hotel.

                          About the Group

The Gulati group (refers to Gulati Export House, Gulati Retail
India Ltd, Gulati International Ltd, Gulati Hospitality Ltd, and
Fortune Garments Ltd entered the readymade garment exports
business through FGL.  However, this business was transferred to
GEH, while FGL undertook job-work-based processing of fabric such
as embroidery and knitting.

GIL was set up to take care of the increasing order flow at GEH.
However, due to the economic downturn setting in and demand from
export markets declining GIL could not start operations.  The
assets of GIL (mainly land and building) are being currently used
by GEH and GIL does not have any other operations as on date.

GRIL manufactures and sells readymade women's garments in India
under its brand, Penny Lane.

                     About Gulati Hospitality

GHL, part of the Gulati group, is constructing a 54 rooms four-
star hotel, with a restro-bar and banquet hall, at Gurgaon
(Haryana), at a total outlay of around INR250 million, to be
funded in a debt-to-equity ratio of 2.33:1.


GULATI RETAIL: Loan Default Prompts CRISIL Junk Ratings
-------------------------------------------------------
CRISIL has assigned rating of 'D' to the bank facilities of Gulati
Retail India Ltd.  The rating reflects default by GRIL on its term
loan obligations owing to its stretched liquidity.

   Facilities                           Ratings
   ----------                           -------
   INR90.0 Million Cash Credit Limit    D (Assigned)
   INR113.2 Million Term Loan           D (Assigned)

For arriving at its ratings, CRISIL has combined the business and
financial risk profiles of GRIL and GRIL's group companies, Gulati
Export House, Gulati International Ltd, Gulati Hospitality Ltd,
and Fortune Garments Ltd.  This is because these entities
collectively referred to as the Gulati group, have common
promoters and senior management, and extend financial support to
each other.

                          About the Group

The Gulati group entered the readymade garment exports business
through FGL.  However, this business was transferred to GEH, while
FGL undertook job-work-based processing of fabric such as
embroidery and knitting.

GIL was set up to take care of the increasing order flow at GEH.
However, due to the economic downturn setting in and demand from
export markets declining GIL could not start operations. The
assets of GIL (mainly land and building) are being currently used
by GEH and GIL does not have any other operations as on date.

GHL is setting up a 54 room four-star hotel with a restro-bar and
banquet hall in Gurgaon.

                        About Gulati Retail

Set up in 2007-08, GRIL undertakes domestic retailing for
readymade garments under its own brand, Penny Lane targeting
premium customers.  The company manufactures only women's garments
and operates through 24 retail stores in Delhi, Ludhiana,
Chandigarh, Jalandhar, Mumbai, Surat, and Dehradun. Of these, GRIL
operates 17 stores, four of which are its own.

GRIL reported a net loss of INR21.7 million on net sales of
INR28.5 million for 2007-08 (refers to financial year, April 1 to
March 31).


HARISH CHAND: Delay in Loan Repayment Cues CRISIL Junk Ratings
--------------------------------------------------------------
CRISIL has assigned its 'D' rating to Harish Chand Maina Devi
Memorial Trust Society's bank facilities.  The rating reflects
delay by HCMD in servicing its term loan, on account of weak
liquidity.

   Facilities                           Ratings
   ----------                           -------
   INR10.0 Million Cash Credit Limit    D (Assigned)
   INR106.8 Million Term Loan           D (Assigned)

HCMD operates institutes that provide degree courses in technical
education.  HCMD operates a senior secondary school, set up in
1984, and five colleges offering courses in law, pharmacy, and
engineering.  These institutions are located on HCMD's 900,000-
square-foot campus in Meerut (Uttar Pradesh).  The society's
colleges take in nearly 1600 students per year, under the degree
courses, while its school has a strength of about 2500 students.

HCMD reported a surplus of INR9.7 million on revenues of INR71
million for 2008-09 (refers to financial year, April 1 to
March 31), as against a surplus of INR7.4 million on revenues of
INR22 million for 2007-08.


J.M. MHATRE: CRISIL Assigns 'BB+' Rating on INR60MM Bank Debts
--------------------------------------------------------------
CRISIL has assigned its ratings of 'BB+/Stable/P4+' to M/s. J.M.
Mhatre's bank facilities.  JMM is part of the Mhatre group.

   Facilities                         Ratings
   ----------                         -------
   INR60.0 Million Bank Overdraft     BB+/Stable (Assigned)
   INR150.0 Million Bank Guarantee    P4+ (Assigned)

The ratings reflect the Mhatre group's skewed debt profile, and
exposure to risks relating to clustering of its projects in and
around the Navi Mumbai and Raigad region of Maharashtra.  These
weaknesses are partially offset by the group's track record in the
civil construction business.

For arriving at its ratings, CRISIL has combined the business and
financial risk profiles of JMM, with its special purpose vehicle
(SPV), JMM Infra Projects Pvt Ltd.  This is because the two
entities (together referred to as the Mhatre group) are in similar
lines of business, and have operational and business synergies,
and common management and promoters.  The SPV has given the road
improvisation contract to JMM.  Further, JMM and its partners have
guaranteed the SPV's debt.

Outlook: Stable

CRISIL believes that the Mhatre group will maintain its stable
business risk profile on the back of its established presence and
healthy order book in the civil construction space.  The outlook
may be revised to 'Positive' if the Mhatre group significantly
improves its revenue growth while maintaining its profitability
and capital structure.  Conversely, the outlook may be revised to
'Negative' if the group's financial risk profile deteriorates,
owing to reduced margins or large, debt-funded capex plans.

                          About the Group

The Mhatre group was set up in 1986 by Mr. Janardhan M Mhatre and
his family.  JMM undertakes various civil construction activities
such as earthwork for roads, dams, canals, bridges, and build-
operate-transfer (BOT) projects.  JMMIPPL, an SPV, was floated by
the group for toll collection from its BOT projects for
improvement of the Alibaug-Pen-Khopoli Road in 2006.

JMM reported a profit after tax (PAT) of INR90.1 million on net
sales of INR1295.1 million for 2008-09 (refers to financial year,
April 1 to March 31), as against a PAT of INR75.1 million on net
sales of INR1083.4 million for 2007-08.


JMM INFRA: CRISIL Rates INR105 Million Term Loan at 'B+'
--------------------------------------------------------
CRISIL has assigned its rating of 'B+/Negative' to JMM Infra
Projects Pvt Ltd's term loan facility.

   Facilities                      Ratings
   ----------                      -------
   INR105.0 Million Term Loan      B+/Negative (Assigned)

The rating reflects JMMIPPL's constrained financial risk profile,
and geographical concentration of its operations.  These
weaknesses are partially offset by the technical support from JM
Mhatre (JMM), the Mhatre group's flagship firm, and promoters'
experience in civil construction.

Outlook: Negative

CRISIL expects JMMIPPL's financial risk profile and liquidity to
remain constrained over the near term due to subdued toll
collections from its build-operate-transfer (BOT) project.  The
rating may be downgraded if the company's toll collection
declines, impacting its ability to service its term debt
obligations. Conversely, the outlook may be revised to 'Stable' in
case of more-than-expected increase in traffic volumes leading to
higher toll collections.

                          About JMM Infra

JMMIPPL was set up in 2006 by the Mhatre family as a special
purpose vehicle for toll collection in a BOT project, awarded to
the Mhatre group by the Public Works Department (PWD),
Maharashtra.  The company had been awarded the project for
improving the 28.35-kilometre Alibaug-Pen-Khopoli road in Raigad
(Maharashtra) in 2004.  Toll collections commenced in July 2007.

JMMIPPL reported a profit after tax (PAT) of INR4.4 million on net
sales of INR21.1 million for 2008-09 (refers to financial year,
April 1 to March 31), as against a PAT of INR5.5 million on net
sales of INR19.0 million for 2007-08.


LEEBO METALS: Low Net Worth Prompts CRISIL 'BB+' Ratings
--------------------------------------------------------
CRISIL has assigned its ratings of 'BB+/Stable/P4+' to the bank
facilities of Leebo Metals Pvt Ltd.

   Facilities                        Ratings
   ----------                        -------
   INR70.0 Million Cash Credit       BB+/Stable (Assigned)
   INR30.0 Million Rupee Term Loan   BB+/Stable (Assigned)
   INR7.5 Million Stand-by Line of   BB+/Stable (Assigned)
                  Credit
   INR20.0 Letter of Credit*         P4+ (Assigned)
   INR6.0 Million Bank Guarantee*    P4+ (Assigned)

  * Complete inter-changeability between Letter of Credit
    and Bank Guarantee facilities

The ratings reflect LMPL's exposure to risks relating to its
modest scale of operations, low net worth, and volatility in raw
material prices.  These weaknesses are partially mitigated by
LMPL's improved financial risk profile backed by moderate gearing,
established market position, and favorable demand prospects driven
by investments in power and telecommunications sectors.

Outlook: Stable

CRISIL believes that LMPL will maintain its business risk profile
over the medium term on the back of increasing turnover owing to
healthy demand for copper.  The outlook may be revised to
'Negative' if LMPL's financial risk profile deteriorates because
of losses on account of volatility in copper prices or any large
debt funded capital expenditure.  Conversely, the outlook may be
revised to 'Positive' if the company's financial risk profile
improves materially because of equity infusion or greater-than-
expected growth in revenue and profitability.

                        About Leebo Metals

Incorporated in 1995, LMPL manufactures copper-based products such
as wires, rods, strips, section, and bus bars at its manufacturing
facilities at Daman and Taloja (Maharashtra).  The company has an
installed capacity of 6000 tonnes per annum.  LMPL sells primarily
to companies in the power and telecommunication sector and to some
extent to the engineering and construction sector as well.  The
company is promoted by Mr. Rajesh Kumar Agarwal along with his
father, Mr. Navin Kumar Agarwal, and his mother, Mrs. Usharani
Agarwal.

LMPL reported a profit after tax (PAT) of INR63.0 million on net
sales of INR532.3 million for 2008-09 (refers to financial year,
April 1 to March 31), against a PAT of INR77.6 million on net
sales of INR636.5 million for 2007-08.


M. M. CERAMICS: CRISIL Places 'BB+' Rating on INR150MM Cash Credit
------------------------------------------------------------------
CRISIL has assigned its ratings of 'BB+/Stable/P4+' to M/s. M. M.
Ceramics and Ferro Alloys' bank facilities.

   Facilities                           Ratings
   ----------                           -------
   INR150.0 Million Cash Credit         BB+/Stable (Assigned)
   INR80.0 Million Letter of Credit     P4+ (Assigned)

The ratings reflect MMFA's average financial risk profile, and
exposure to risks related to volatility in ferro-alloy prices.
These weaknesses are partially offset by the firm's efficient
working capital management, and its promoters' industry
experience.

Outlook: Stable

CRISIL believes that MMFA will continue to benefit from the
promoters' experience and established relationships with
customers.  The outlook may be revised to 'Positive' if there is a
significant and sustainable improvement in firm's operating margin
and debt protection measures.  Conversely, the outlook may be
revised to 'Negative' if the firm undertakes large, debt-funded
capital expenditure programme, or if its operating margin, debt
protection measures or operating cycle deteriorate substantially.

                       About M. M. Ceramics

Set up in 2002 as a partnership firm by Mr. Narendra Mehta and his
brother Mr Sanjay Mehta, MMFA is engaged in the trading of ferro
alloys. Mr Maganlal, father of Mr. Narendra, and Mr. Manoj,
brother of Mr. Narendra, were inducted as partners in 2007.  The
firm has offices in Mumbai, Ahmedabad, Bengaluru, and Chennai, and
a godown in Kalamboli (Maharashtra).

MMFA reported a profit after tax (PAT) of INR11.8 million on net
sales of INR1182.5 million for 2008-09 (refers to financial year,
April 1 to March 31), against a PAT of INR11.2 million on net
sales of INR841.4 million for 2007-08.


MAYTAS INFRA: Two Infra Firms Offer to Acquire Maytas
-----------------------------------------------------
Corporate affairs minister Salman Khursheed said on Thursday that
two infrastructure companies have offered to take over the
troubled Maytas Properties Ltd and complete its projects,
livemint.com reports.

The report relates that Maytas Properties, promoted by the family
of B. Ramalinga Raju, the jailed founder of Satyam Computer
Services Ltd, is late by about two years in completing its maiden
residential project, Maytas Hill County, on Hyderabad's outskirts.

"Maytas Properties has enough value for its properties.  What they
lack is the cash flow," livemint.com quoted Mr. Khursheed as
saying.  "We are looking at arranging that."

The report states that Maytas Properties' government-appointed
chairman Ved Jain had earlier said the firm had raised around
Rs650 crore from customers for the Rs1,100 crore Hill County
project.

According to the report, a former senior executive with Maytas
Properties, on condition of anonymity, said the firm's management
had parked most of the advances collected from Hill County
customers as inter-corporate deposits with some of the family-
owned non-banking financial companies (NFBCs).

The executive told livemint.com that "These funds could not be
recovered after the fraud surfaced at Satyam Computer and its
spillover problems for Maytas Properties."

According to livemint.com, Maytas Infra has started recovering
with Infrastructure Leasing and Financial Services Ltd (IL&FS)
acquiring a majority stake in it, as has Satyam Computer, now
Mahindra Satyam, after it found a buyer in Tech Mahindra Ltd.

Maytas Properties, however, is still struggling to find its feet,
the report notes.

Meanwhile, livemint.com reports that a local court passed an order
in November barring the company from using land as collateral for
loans.

The report relates that two private equity firms, the Nimesh
Kampani-owned JM Financial and Mauritius-based SRS Orion
Investments, had moved the court alleging Maytas Properties had
misused over INR250 crore of their investment by transferring the
money out and misleading them over the use of the funds.  The PE
firms had invested Rs600 crore in Maytas Properties in early 2008.

As reported in the Troubled Company Reporter-Asia Pacific on
Feb. 20, 2009, the government called on the Company Law Board to
supersede 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," Corporate Affairs Minister Prem Chand Gupta said.

The Hindu Business Line said the application to the CLB was based
on the information given by the Serious Fraud Investigation
Office, 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).

The TCR-AP, citing Reuters, reported on Sept. 4, 2009, that Salman
Khurshid, the Union Minister for Corporate Affairs, said Monday
that Infrastructure Leasing and Financial Services Ltd will be the
new promoter of Maytas Infra Ltd following an order of the Company
Law Board.

According to Reuters, IL&FS will increase its holding in Maytas to
37.1% from 14.5% by invoking a 22.6% stake pledged with it by the
firm's promoters.  The CLB, as cited by Reuters, said IL&FS will
offer to buy another 20% from shareholders, as per Indian law, and
inject INR55 crore into Maytas within three months.  IL&FS would
retain the management of Maytas Infra for at least two years,
Reuters noted.

                         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.


MAYTAS INFRA: Gov't. Vows to Help Buyers Get Their Apartment
------------------------------------------------------------
The India government has refused to bailout Maytas Properties but
said it would help persons of Indian origin and non-residents who
purchased apartments in Maytas' Hill County project and are
awaiting delivery, according to The Hindu Business Lines.

According to the report, several persons of Indian origin and non-
residents complained about the non-delivery of flats sold to them
by the company.

The Corporate Affairs Minister, Mr. Salman Khursheed, told
Business Line, "We should not be lumped with responsibility that
is not ours.  But in this case, we are doing it out of goodness
and out of a sense of responsibility.  We will help them (the
affected people).  But I can't do it as fast as they want it
done."

The Minister was confident that the issue would be resolved. "We
don't see any major problem in finding a solution to this. We are
talking to real estate and infrastructure companies and I have
even made personal requests to some of them. My commitment is we
will ensure that they (the affected people) get relief."

Maytas Properties is still struggling to get a strategic partner
for its INR1,100-crore Hill County project near Hyderabad, the
report says.  The report notes this residential and commercial
project was to construct 840 apartments and 326 independent villas
for prices ranging from INR50 lakh to INR2.5 crore.

As reported in the Troubled Company Reporter-Asia Pacific on
Feb. 20, 2009, the government called on the Company Law Board to
supersede 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," Corporate Affairs Minister Prem Chand Gupta said.

The Hindu Business Line said the application to the CLB was based
on the information given by the Serious Fraud Investigation
Office, 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).

The TCR-AP, citing Reuters, reported on Sept. 4, 2009, that Salman
Khurshid, the Union Minister for Corporate Affairs, said Monday
that Infrastructure Leasing and Financial Services Ltd will be the
new promoter of Maytas Infra Ltd following an order of the Company
Law Board.

According to Reuters, IL&FS will increase its holding in Maytas to
37.1% from 14.5% by invoking a 22.6% stake pledged with it by the
firm's promoters.  The CLB, as cited by Reuters, said IL&FS will
offer to buy another 20% from shareholders, as per Indian law, and
inject INR55 crore into Maytas within three months.  IL&FS would
retain the management of Maytas Infra for at least two years,
Reuters noted.

                         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.


SATYAM COMPUTER: CBI Files New Charges Against Raju, Five Others
----------------------------------------------------------------
The Central Bureau of Investigation has filed another charges
against Satyam Computer Services founder B Ramalinga Raju and five
others for allegedly filing false income tax returns that resulted
in a loss of INR1.26 billion to the company.

The Business Standard relates that the CBI, which is investigating
the Satyam accounting fraud case, filed its third chargesheet on
January 7 before the additional chief metropolitan magistrate
court in Hyderabad.

According to the Standard, the CBI accused Raju and others,
including former managing director B Rama Raju, former chief
financial officer Srinivas Vadlamani and two Price Waterhouse
auditors Srinivas Talluri and S Gopalakrishnan, of criminal
conspiracy, criminal breach of trust, cheating, forgery for the
purpose of cheating, use of forged documents and falsification of
accounts.

The Standard notes the CBI said the accused had inflated the
revenue of the company by infusing fictitious sales invoices and
showed them as deposited in various scheduled banks.  The inflated
revenue has increased the company's overseas tax liability to
INR5.26 billion, the Standard adds.

The CBI said the accused have "dishonestly" made tax payments by
way of self assessment tax and in some cases have not made lawful
claim for refund of tax deducted at source, according to the
Standard.

The CBI had filed its first chargesheet on April 7 and the
supplementary chargesheet on November 24, last year.

                         Fraud Revelation

As reported in the Troubled Company Reporter-Asia Pacific, former
Satyam Chairman Ramalinga Raju resigned in January 2009 after
admitting he manipulated the company's accounts, including
inflating cash and bank balances, understating liabilities and
overstating debtors position.  Mr. Raju's confession prompted
investigations into the company by different entities including
Andhra Pradesh state police, the U.S. Securities and Exchange
Commission and the Securities and Exchange Board of India.  A
three-member board was subsequently created by the government,
which appointed KPMG and Deloitte Touche Tohmatsu to reevaluate
the software company's books.  Several groups considered filing
class action suits against the company.

Mr. Raju was later found to have invented more than one quarter
of Satyam's workforce and used fictitious names to siphon INR200
million (US$4.1 million) a month out of the company.

The TCR-AP reported on March 9, 2009, that Satyam won approval to
sell a stake in the company, as it seeks to restore investor
confidence and stem client defections.

Satyam said it received approval from the Securities and Exchange
Board of India to facilitate a global competitive bidding process
which, subject to receipt of all approvals, contemplates the
selection of an investor to acquire a 51% interest in the company.

On April 14, 2009, the TCR-AP reported that Tech Mahindra Limited
emerged as the top bidder with an offer of INR58 a share for a 31%
stake in Satyam Computer, beating strong rival L&T.  Tech Mahindra
acquired the stake in an all-cash deal, followed by an open offer
for a 20% stake to take management control of the company.

On June 21, 2009, Satyam unveiled its new brand identity,
"Mahindra Satyam."

                      About Satyam Computer

Headquartered in Secunderabad, India, Satyam Computer Services
Limited (BOM:500376) -- http://www.mahindrasatyam.net/-- is a
global information technology (IT) services provider, offering a
range of services, including systems design, software development,
system integration and application maintenance.  Satyam offers a
range of IT services to its customers, including application
development and maintenance, consulting and enterprise business
solutions, extended engineering solutions and infrastructure
management services.  The Company provides services to customers
from various industries, including insurance, banking and
financial services, manufacturing, telecommunications,
transportation and engineering services.  Satyam BPO Limited
(Satyam BPO), a majority-owned subsidiary of the Company is
engaged in providing business process outsourcing (BPO) services.
Satyam operates in two segments: IT services and BPO services.  As
of July 6, 2009, Tech Mahindra Limited had acquired roughly
31.04% of the Company's outstanding shares of common stock.


SUPREME HOUSING: CRISIL Rates INR900 Mil. Cash Credit at 'BB'
-------------------------------------------------------------
CRISIL has assigned its rating of 'BB/Negative' to the various
bank facilities of Supreme Housing & Hospitality Pvt Ltd.

   Facilities                          Ratings
   ----------                          -------
   INR900.0 Million Cash Credit        BB/Negative (Assigned)
   INR570.0 Million Working Capital    BB/Negative (Assigned)
                    Demand Loan

The rating reflects SHHPL's exposure to risks relating to
implementation and completion of its information technology park
project, and limited visibility about demand from its end-users,
the IT and IT-enabled services industries.  The ratings also
reflect SHHPL's exposure to risk relating to timely repayment of
its debt obligations.  These weaknesses are, however, partially
offset by SHHPL's achievement of financial closure for its IT park
project.

Outlook: Negative

CRISIL expects Supreme Housing & Hospitality Pvt Ltd's business
risk profile to be constrained over the short term on account of
the initial implementation phase of the ongoing IT project
resulting in low revenue visibility.  The outlook may be revised
to 'Stable', if the company completes the project within the
scheduled time and cost parameters, and is able to successfully
demonstrate expected revenue visibility. Conversely the rating may
be downgraded in case of significant delays and cost overruns in
the project.

                       About Supreme Housing

Incorporated in 2007 and promoted by the Sharma family, SHHPL is a
group concern of Supreme Infrastructure India Ltd.  SHHPL is
currently developing an IT park at Powai, Mumbai.  The lease
rentals or sales proceeds from the IT Park are expected from the
financial year 2010-11.


SHREE RAM: CRISIL Assigns 'BB-' Rating on INR210MM Cash Credit
--------------------------------------------------------------
CRISIL has assigned its ratings of 'BB-/Stable/P4' to Shree Ram
Electro Cast Pvt Ltd's bank facilities.

   Facilities                         Ratings
   ----------                         -------
   INR210.0 Million Cash Credit       BB-/Stable (Assigned)
   INR135.0 Million Proposed LT       BB-/Stable (Assigned)
             Bank Loan Facility
   INR75.0 Million Term Loan          BB-/Stable (Assigned)
   INR80.0 Million Letter of Credit   P4 (Assigned)

The ratings reflect SRPL's exposure to risks relating to the
commoditized nature of its product, and the promoters' limited
demonstrated track record in the manufacturing domain in steel
industry.  These weaknesses are partially offset by the benefits
that SRPL can expect to derive from the established presence of
promoters in varied businesses and the expected financial support
from promoter's group companies.

Outlook: Stable

CRISIL believes that SRPL will continue to draw support from
promoter group entities.  The outlook may be revised to 'Positive'
if the company achieves significant improvement in net cash
accruals from its current operations.  Conversely, the outlook may
be revised to 'Negative' if the company generates significantly
lower than expected accruals or undertakes significant capital
expenditure leading to deterioration in its debt protection
indicators.

                         About Shree Ram

SRPL has been jointly promoted by Shree Ram group and Kushal group
of companies, with each having an equal stake in it.  The company
was incorporated in 2004 in order to execute the group's project
of setting up a steel plant to manufacture Pig Iron at Bellary in
Karnataka.  It has an installed capacity of 1, 20,000 TPA of
manufacturing Pig Iron.  The day to day operations of the company
are managed by Mr. Pradeep Kumar Sonthalia and Mr. Nityanand
Sonthalia, both representing the Shree Ram group of companies.


SRPL reported a profit after tax (PAT) of INR 5.3 million on net
sales of INR57.7 million for 2008-09 (refers to financial year,
April 1 to March 31), as against a PAT of INR8.4 million on net
sales of INR79 million for 2007-08.


TATA STEEL: India Sales Up 73% in December 2009
-----------------------------------------------
Tata Steel Ltd said sales from its Indian operations rose 73% in
December to 636,000 tonnes from a year earlier while India sales
for the December quarter rose 49% to 1.60 million tonnes, Reuters
reports.

Reuters relates Tata Steel said sales of flat products, used in
automobiles and consumer durables, surged 90% in December, while
sales of long products, primarily used in construction, rose 56%.
The company's crude steel production, on the other hand, rose 21%
for the month, the report notes.

Headquartered in Mumbai, India, Tata Steel Limited --
http://www.tatasteel.com/-- is a diversified steel producer.  It
has operations in 24 countries and commercial presence in over 50
countries.  Its operations predominantly relate to manufacture of
steel and ferro alloys and minerals business. Other business
segments comprises of tubes and bearings.  On April 2, 2007, Tata
Steel UK Limited (TSUK), a subsidiary of Tulip UK Holding No.1,
which in turn is a subsidiary of Tata Steel completed the
acquisition of Corus Group plc.  Tata Metaliks Limited, which is
engaged in the business of manufacturing and selling pig iron,
became a subsidiary of the Company with effect from February 1,
2008.  In September 2008, the Company acquired a 7.3% interest in
Riversdale Mining Ltd.

                           *     *     *

As reported in the Troubled Company Reporter-Asia on June 10,
2009, Moody's Investors Service downgraded the corporate family
rating of Tata Steel Ltd to Ba3 from Ba2.  Moody's said the rating
outlook is stable.


VIPUL CHEMICALS: CRISIL Reaffirms Rating on INR7.2MM LT Bank Loan
-----------------------------------------------------------------
CRISIL has reaffirmed its rating on the long-term bank facilities
of Vipul Chemicals (India) Pvt Ltd, part of the Alpha-Vipul
combine, at 'BB+/Stable', and has reclassified the rating on the
company's short-term facility as 'P4+' from 'P4'. The ratings
continue to reflect the combine's product concentration in revenue
profile, and small scale of operations. These rating weaknesses
are partially offset by the combine's moderate financial risk
profile, and the benefits the combine derives from synergies
generated from intra-group linkages.

   Facilities                              Ratings
   ----------                              -------
   INR85.0 Million Term Loan (Enhanced     BB+/Stable
              from INR41.7 Million)

   INR25.0 Million Cash Credit (Enhanced   BB+/Stable
                   from INR20 Million)

   INR7.2 Million Proposed LT Bank Loan    BB+/Stable (Reaffirmed)
   Facility (Reduced from INR55.5 Mil.)

   INR3.0 Million Letter of Credit         P4+ (Reclassified from
                                                'P4')

For arriving at its ratings, CRISIL has combined the business and
financial risk profile of Vipul and Alpha Carbonless Paper
Manufacturing Co Pvt Ltd, together referred to as the Alpha-Vipul
combine.  Paper manufactured by Alpha is used by Vipul to test its
coating agents, and to demonstrate their effectiveness to clients,
thereby ensuring product quality and value addition for clients.

Outlook: Stable

CRISIL believes that the Alpha-Vipul combine will continue to
benefit from the steady demand for its products.  The combine's
revenues are expected to increase over the medium term, as Vipul
has recently increased its capacity.  The outlook may be revised
to 'Positive' if the combine scales up its operations, and if its
operating margin and debt protection measures improve.
Conversely, the outlook may be revised to 'Negative' if the
combine undertakes large, debt-funded capital expenditure
programme, or if there is decline in demand for its products.

                       About Vipul Chemicals

Vipul was established in 1999 as a partnership firm, and was
converted into a private limited company the same year.  It
manufactures various coating agents used in the manufacture of
paper. Vipul reported a profit after tax (PAT) of INR9.9 million
on net sales of INR119.3 million for 2008-09 (refers to financial
year, April 1 to March 31), against a PAT of INR10.4 million on
net sales of INR118.3 million for 2007-08.


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


CENTRAL PROTEINAPRIMA: Fitch Cuts Issuer Default Rating to 'C'
--------------------------------------------------------------
Fitch Ratings has downgraded Indonesia's PT Central Proteinaprima
Tbk's Long-term foreign currency Issuer Default Rating to 'C' from
'CC'.  Fitch has also downgraded the rating of CPP's
US$325 million senior unsecured notes due 2012, issued by Blue
Ocean Resources Pte Ltd and guaranteed by CPP and its
subsidiaries, to 'C' from 'CC'.  The ratings remain on Rating
Watch Negative.  The recovery rating of the US$ Notes is 'RR4'.

These rating actions follow CPP's failure to pay the semi-annual
coupon on the US$ notes on 28 December 2009.  Fitch has now
received sufficient evidence of the non-payment of the coupon
following Fitch's comment on CPP on 06 January 2010 ("Fitch:
Unable to Determine Coupon Payment by Central Proteinaprima").

CPP's operating cash generation is still significantly affected by
a virus contamination of its ponds.  The virus has been difficult
to contain and is spreading across its farms.  As such, a
significant improvement in shrimp production is not expected in
the near-term, which will result in further haemorrhaging of cash
and weakening of its liquidity position.

Furthermore, CPP had limited cash balances of around US$21m at
end-September 2009.  Its liquidity is further hampered by
difficulties it faced when renewing bank working capital
facilities.  Thus, Fitch remains concerned over CPP's liquidity
position and its ability to pay the coupon within the 30-day grace
period to avoid a default, as reflected in the RWN.

A further negative rating action will be taken if CPP fails to
make a payment within the grace period leading to a default, and
following a review of CPP's debt sources and debt restructuring,
if any.


GARUDA INDONESIA: Resumes Flights to Timika, Papua
--------------------------------------------------
Antara News reports that PT Garuda Indonesia has resumed its
regular flights to Timika, Papua, after halting them for two days
following an Aviation Turbo Fuel (Avtur) shortage at Timika
airport.

According to Antara, Garuda Indonesia spokesman Pudjo Broto said
the decision to reopen Garuda flights to Timika was made after a
meeting with PT Freeport Indonesia, the Timika airport chief, and
Garuda Indonesia at the Transportation Ministry.

"Starting from Friday, January 8, 2010, Garuda is again serving
its Jarta-Denpasar-Timika-Jayapura route," Antara quoted Mr. Pudjo
as saying.

The Jakarta Post discloses that Garuda halted flights to Timika
after Freeport refused to supply avtur fuel to one of its jets
during a stop on Jan. 3.  The incident, the Post relates, followed
Garuda's refusal to take the Freeport boss and his colleagues from
Jayapura to Timika, because they were not in the manifest.
Freeport denied the claim, saying it fell short of fuel because of
the increased Christmas and New Year holiday demand.

The Post notes Mr. Gumay said that in future, fuel suppliers
should notify airline companies a few days in advance of shortages
of stock, if any.  The government had also asked the Mozes
Kilangin airport operator to open the possibility for other fuel
suppliers, including state oil and gas company Pertamina, to set
up a depot there, he added.

As reported in the Troubled Company Reporter-Asia Pacific on
Sept. 1, 2009, Jakarta Globe said Bank Mandiri will take an 11%
stake in PT Garuda Indonesia under a debt-to-equity conversion
agreed to by all parties involved, including the central bank.
Bank Mandiri will convert US$100 million of the state-owned
carrier's bond debt into equity.  The deal could be concluded
before Garuda's planned initial public offering, scheduled for the
middle of next year.

The TCR-AP reported on Aug. 13, 2009, that Garuda Indonesia
expects to raise as much as US$400 million from its much-awaited
Initial Public Offering in June, next year.  The expected launch,
however, is based on a positive outlook of the market condition,
vis-a-vis investor sentiment.

According to analysts, market response to the IPO will largely
depend on the company's ability to settle its US$670 million in
debts.  Garuda's total debts as of the end of last December
reached US$670 million ? US$450 million to the European Credit
Agency (ECA), US$100 million to Bank Mandiri, and the rest to
other creditors.

On May 29, 2009, the TCR-AP reported that Garuda Indonesia reached
a debt restructuring agreement with several of its creditors to
pay its debts.  Restructuring the airline's debt into a manageable
package is a major prerequisite for holding its initial public
offering.

                      About Garuda Indonesia

Headquartered in Jakarta, Indonesia, government-owned airline PT
Garuda Indonesia -- http://www.garuda-indonesia.com/--
currently has a fleet of about 77 aircraft offering service to
some 27 domestic and 33 international destinations.  Under its
Citilink brand, it serves 10 other domestic routes.  Garuda also
ships about 200,000 tons of cargo a month and operates a
computerized tracking system.


PERUSAHAAN LISTRIK: Secures US$230 Mil. Loan from Japan Bank
------------------------------------------------------------
The Jakarta Post reports that PT Perusahaan Listrik Negara (PLN)
will secure a loan worth US$230 million from the Japan Bank for
International Cooperation (JBIC) to finance the construction of a
hydro-power plant in North Sumatra.

The Post relates PLN's director for planning and technology Nasri
Sebayang told reporters Thursday the power plant is the third
Asahan Power Plant with a total power capacity of 180 megawatts
(MW).

"JBIC will finance all the project except for land [acquisition]
and environment," the report quoted Nasri as saying.

                           Bond Offering

The Capital Market and Financial Institutions Supervisory Board
(Bapepam-LK) has allowed PT PLN to double the value of its bonds
offered to IDR3 trillion, according to Antara News.

The news agency relates PLN Finance Director Setio Anggoro said
Bapepam allowed PLN to do so after the bonds were oversubscribe.

As reported in the Troubled Company Reporter-Asia Pacific on
Dec. 11, 2009, PT PLN plans to issue IDR1.5 trillion of bonds
consisting of bonds XI worth IDR1 trillion and sharia bonds IV
worth IDR500 billion this year.

Citing PLN's prospectus, Antara News disclosed that the fixed rate
bonds XI consist of series A and B, each maturing seven years and
10 years.  It will be offered at 100% of their principal value and
the coupon of the bonds will be paid every quarter, Antara said.
The sharia bonds, on the other hand, also consist of series A and
B, each maturing seven years and 10 years.  The yield of the
sharia bonds will be paid every quarter.

Nearly 50% of proceeds from the issuance of the bonds will be used
to replenish internal funds spent on transmission projects this
year, and the remaining 50% will be used to finance similar
projects in 2010, according to Antara.

PLN has appointed PT Mandiri Sekuritas, PT Bahana Securities, and
PT Danareksa Sekuritas as bond issue underwriters.

PLN and the underwriters expect to officially register the bonds
at the Indonesia Stock Exchange by Jan. 13, 2010.

The TCR-AP reported on Nov. 30, 2009, that PT PLN is projecting a
net profit this year of IDR7 trillion, a reversal from a loss of
IDR12.3 trillion in 2008.  PLN President Director Fahmi Mochtar
said the rise in net profit was supported by the increase of
corporate profit to IDR14 trillion from the previous period when
the company suffered a corporate loss of IDR3.6 trillion.  "From
2004 to 2008 PLN had always experienced net losses," Mr.Mochtar
said.

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

                           *     *     *

As reported in the Troubled Company Reporter-Asia Pacific on
September 18, 2009, Moody's Investors Service upgraded to Ba2 from
Ba3 the corporate family rating and senior unsecured bond rating
of PT Perusahaan Listrik Negara.  This rating action follows
Moody's decision to upgrade to Ba2 from Ba3 the Indonesian
government's long-term foreign-currency and local-currency
ratings.  The ratings outlook is stable, consistent with the
outlook on the government ratings.


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


JAPAN AIRLINES: May File Bankruptcy in Tokyo on January 19
----------------------------------------------------------
The Wall Street Journal, citing a January 8 report from the
Nikkei, said that the Japanese government favors the use of court-
led bankruptcy protection for Japan Air Lines Corp., and will make
a decision as early as Jan. 12.  The report says the airline will
file a petition with the Tokyo District court under the Corporate
Rehabilitation Law around Jan. 19.

The Nikkei said the transport minister expects the state-backed
Enterprise Turnaround Initiative Corp., which JAL has asked for
help, to decide to support the airline's revival by the end of the
month, the Journal relates.

                 Kyocera Chairman Asked to Lead JAL

The Japanese government and the ETIC have asked Kazuo Inamori,
chairman emeritus of Kyocera Corp., to be chief executive officer
of Japan Airlines Corp. during restructuring process, The Wall
Street Journal reports citing The Nikkei on its January 10 issue.

The Journal relates the Nikkei said Mr. Inamori is expected to
respond to the proposal within a week.

According to the Journal, ETIC will formally decide to support the
carrier's rehabilitation immediately after JAL files for
bankruptcy.  After that, the Journal notes, the majority of JAL's
current directors, including President Haruka Nishimatsu, will
resign from their positions.

The Nikkei said that ETIC had been looking to choose as CEO
someone from the private sector with no ties to JAL, the Journal
relates.  ETIC has also decided to search for the company's future
chief operating officer within the carrier's ranks.

                       JAL's Banks Acceptance

Finbarr Flynn, Chris Cooper and Kiyotaka Matsuda at Bloomberg News
report that Japan Airlines' largest banks are set to agree to
JAL's bankruptcy.

Citing four people familiar with the matter, Bloomberg says
Mitsubishi UFJ Financial Group Inc., Sumitomo Mitsui Financial
Group Inc. and Mizuho Financial Group Inc. are prepared to go
along with a proposed court-led reconstruction while the state-
owned Development Bank of Japan already agreed to the bankruptcy.

JAL owed JPY429 billion (US$4.6 billion) to its four largest
creditors at the end of March, Bloomberg notes.

The Tokyo-based carrier will file for bankruptcy in the week
starting Jan. 18, and the ETIC will agree to provide financial aid
to Japan Air the same day, Bloomberg discloses citing a person
familiar with the negotiations, who declined to be named.

                             About JAL

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.


JAPAN AIRLINES: Prefers Business Tie-Up, Not Merger
---------------------------------------------------
The Wall Street Journal, citing the Nikkei, reports that Japan
Airlines Corp. and the state-backed Enterprise Turnaround
Initiative Corp. have decided to limit a possible alliance with
either one of the two interested U.S. carriers to a business tie-
up, rather than a partnership that includes equity ownership.

According to the report, JAL and the ETIC have apparently
concluded that at least for the time being, a capital tie-up with
a foreign airline would do more harm than good if JAL wants to
quickly implement restructuring measures under the aegis of the
government and ETIC.

The Journal relates that the ETIC originally planned to pick a
partner from the two U.S. suitors -- AMR Corp.'s American Airlines
and Delta Air Lines Inc. -- by the end of this month, but has now
decided to spend more time on the selection process in order to
best determine which partnership would generate greater synergy.
A final decision will come no earlier than February, the report
notes.

                          AMR Capacity Cut

Chris Cooper and Kiyotaka Matsuda at Bloomberg News report that
American Airlines said it may cut capacity on routes to Japan if
partner Japan Airlines Corp. switches into an alliance with Delta
Air Lines Inc.

Will Ris, senior vice president of government affairs at AMR
Corp.'s American told Bloombeg that "It's hard to imagine we could
sustain operations without JAL."  Mr. Ris said working without JAL
would mean the carrier couldn't access flights between Japan and
Asia, which would reduce its potential customer base, Bloomberg
relates.

"One hundred percent of our passengers that fly beyond Japan go
with JAL," Bloomberg quoted Mr. Ris as saying.  "We're willing to
invest regardless of whether JAL has a voluntary restructuring or
goes through bankruptcy," he added.

On December 17, 2009, the Troubled Company Reporter-Asia Pacific,
citing The Wall Street Journal's Mariko Sanchanta and Dow Jones
Newswires' Doug Cameron, reported that American Airlines said it
may increase a proposed capital investment in Japan Airlines and
draw on financial support from other members of their Oneworld
alliance.

According to the report, Gerard Arpey, chairman and chief
executive of American parent AMR Corp., also offered to make JAL
the airline's "exclusive partner" in the region, as it intensified
efforts to fend off a rival offer from Delta Air Lines Inc.

Early in December, AMR said it could inject $1.1 billion into JAL
with its partner TPG Inc., the private-equity group, and support
from members of its Oneworld alliance.  According to the Journal,
the pledged support had previously been in the form of logistical
and management help for JAL, but Mr. Arpey hinted the partners
could also provide capital.  The TCR-AP reported last week AMR
increased its investment offer into Japan Airlines by US$300
million to US$1.4 billion.

Delta and its partners in the rival SkyTeam alliance have said
they may revise their proposal to inject $500 million into JAL and
provide a $200 million loan and a $300 million revenue guarantee.
Delta hasn't said whether other SkyTeam members would inject funds
into JAL.  The Journal said Richard Anderson, Delta's CEO, met
with Seiji Maehara, Japan's Minister of Land, Infrastructure,
Transport and Tourism, early in December to explain his company's
proposal in more detail.

The Oneworld alliance includes British Airways, Qantas, Cathay
Pacific, Iberia, LAN, Finnair and Mexicana.

                          About AMR Corp.

Headquartered in Forth Worth, Texas, AMR Corporation (NYSE:
AMR) operates with its principal subsidiary, American Airlines
Inc. -- http://www.aa.com/-- a worldwide scheduled passenger
airline.  At the end of 2006, American provided scheduled jet
service to about 150 destinations throughout North America, the
Caribbean, Latin America, including Brazil, Europe and Asia.
American is also a scheduled airfreight carrier, providing
freight and mail services to shippers throughout its system.

Its wholly owned subsidiary, AMR Eagle Holding Corp., owns two
regional airlines, American Eagle Airlines Inc. and Executive
Airlines Inc., and does business as "American Eagle."  American
Beacon Advisors Inc., a wholly owned subsidiary of AMR, is
responsible for the investment and oversight of assets of AMR's
U.S. employee benefit plans, as well as AMR's short-term
investments.

                          *     *     *

AMR carries a 'CCC' issuer default rating from Fitch Ratings.  It
has 'Caa1' corporate family and probability of default ratings
from Moody's.  It has 'B-' corporate credit rating, on watch
negative, from Standard & Poor's.

                       About Delta Air Lines

With its acquisition of Northwest Airlines, Atlanta, Georgia-based
Delta Air Lines (NYSE: DAL) -- http://www.delta.com/or
http://www.nwa.com/-- became the world's largest airline
following merger with Northwest Airlines in 2008.  From its hubs
in Atlanta, Cincinnati, Detroit, Memphis, Minneapolis-St. Paul,
New York-JFK, Salt Lake City and Tokyo-Narita, Delta, its
Northwest subsidiary and Delta Connection carriers offer service
to more than 376 destinations worldwide in 66 countries and serves
more than 170 million passengers each year.   The merger closed on
October 29, 2008.

Northwest and 12 affiliates filed for Chapter 11 protection on
September 14, 2005 (Bankr. S.D.N.Y. Lead Case No. 05-17930).
On May 21, 2007, the Court confirmed the Northwest Debtors'
amended plan.  That amended plan took effect May 31, 2007.

Delta and 18 affiliates filed for Chapter 11 protection on
September 14, 2005 (Bankr. S.D.N.Y. Lead Case No. 05-17923).
Marshall S. Huebner, Esq., at Davis Polk & Wardwell, represented
the Delta Debtors in their restructuring efforts. On April 25,
2007, the Court confirmed the Delta Debtors' plan.  That plan
became effective on April 30, 2007.

(Bankruptcy Creditors Service Inc. publishes Delta Air Lines
Bankruptcy News, http://bankrupt.com/newsstand/or 215/945-7000).

                           *     *     *

Delta Air Lines has $44,480,000,000 in assets against total debts
of $43,500,000,000 in debts as of June 30, 2009.

Delta Air Lines and Northwest Airlines carry a 'B/Negative/--'
corporate ratings from Standard & Poor's.  They also continue to
carry 'B2' corporate family ratings from Moody's.

                             About JAL

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.


SPANSION INC: To Purchase Distribution Business of Japan Unit
-------------------------------------------------------------
Spansion Inc. has reached verbal agreement to acquire the
distribution business of its former subsidiary, Spansion Japan,
that is the subject of a proceeding under the Japanese Corporate
Reorganization Law pending in the Tokyo District Court.  Spansion
also verbally approved a new foundry services agreement which
would include wafer and sort services from Spansion Japan.  In a
hearing before the U.S. Bankruptcy Court today, a representative
of GE Financial Services Corporation, the agent for Spansion
Japan's syndicate of secured lenders, announced their support for
the agreements, subject to final approval of the syndicate
members.  The agreements remain subject to completion of
definitive agreements and approval by the U.S. Bankruptcy Court
with jurisdiction over Spansion's chapter 11 case as well as the
Tokyo District Court.

"Upon court approval, these agreements finalize Spansion's plan
for manufacturing services and on-going support for Japanese
customers as it continues its planned emergence from Chapter 11 in
the first quarter of 2010," said John Kispert, Spansion president
and CEO.  "We are pleased that this agreement will also help
enable Spansion Japan to reorganize as a stand-alone entity."

Spansion Japan would retain certain unsecured claims against
Spansion Inc. that could be compromised under Spansion's proposed
plan of reorganization.  Any awards related to these claims would
be treated as pre-petition obligations and would not affect the
company's capital structure upon emergence from Chapter 11
bankruptcy.  The complete definitive terms and conditions of the
settlement will be filed with the U.S. Bankruptcy Court on or
before January 15, 2010. The U.S. Bankruptcy Court has scheduled a
hearing to consider approval of the settlement on January 29,
2010.

                     About Spansion Inc.

Spansion Inc. (NASDAQ: SPSN) -- http://www.spansion.com/-- is a
Flash memory solutions provider, dedicated to enabling, storing
and protecting digital content in wireless, automotive,
networking and consumer electronics applications.  Spansion,
previously a joint venture of AMD and Fujitsu, is the largest
company in the world dedicated exclusively to designing,
developing, manufacturing, marketing, selling and licensing Flash
memory solutions.

Spansion Inc., Spansion LLC, Spansion Technology LLC, Spansion
International, Inc., and Cerium Laboratories LLC filed voluntary
petitions for Chapter 11 on March 1, 2009 (Bankr. D. Del. Lead
Case No. 09-10690).  On February 9, 2009, Spansion's Japanese
subsidiary, Spansion Japan Ltd., voluntarily entered into a
proceeding under the Corporate Reorganization Law (Kaisha Kosei
Ho) of Japan to obtain protection from its creditors as part of
the company's restructuring efforts. None of Spansion's
subsidiaries in countries other than the United States and Japan
are included in the U.S. or Japan filings.  Michael S. Lurey,
Esq., Gregory O. Lunt, Esq., and Kimberly A. Posin, Esq., at
Latham & Watkins LLP, have been tapped as bankruptcy counsel.
Michael R. Lastowski, Esq., at Duane Morris LLP, is the Delaware
counsel.  Epiq Bankruptcy Solutions LLC, is the claims agent.
The United States Trustee has appointed an official committee of
unsecured creditors in the case.  As of September 30, 2008,
Spansion disclosed total assets of US$3,840,000,000, and total
debts of US$2,398,000,000.

Spansion Japan Ltd. filed a Chapter 15 petition on April 30, 2009
(Bankr. D. Del. Case No. 09-11480).  The Chapter 15 Petitioner's
counsel is Gregory Alan Taylor, Esq., at Ashby & Geddes.  It said
that Spansion Japan had US$10 million to US$50 million in assets
and US$50 million to US$100 million in debts.

Bankruptcy Creditors' Service, Inc., publishes Spansion Bankruptcy
News.  The newsletter tracks the Chapter 11 proceeding
undertaken by Spansion Inc. and its affiliates
(http://bankrupt.com/newsstand/or 215/945-7000)


* Japan Economy to Slow But Double Dip Unlikely, Says S&P Report
----------------------------------------------------------------
Japan's economic recovery (on a quarter-on-quarter basis) is
likely to slow after its benign recovery in the second and third
quarters of 2009 (April 1, 2009, to Sept. 30, 2009), although the
pace of recovery may pick up again later in 2010 if the global
economy continues improving, Standard & Poor's Ratings Services
said in a report published Friday.  S&P expects Japan's 2010 real
GDP growth to be between 1.0%-1.5%.

The key reasons for a near-term slowdown include:

    * The Democratic Party of Japan is likely to reduce public
      investment under the slogan "From Concrete To Human." Public
      investment cuts could negatively impact some economic
      parameters, at least temporarily.

    * Although consumer confidence improved after January 2009, it
      deteriorated in November and is likely to have fallen in
      December. Consumer confidence may suffer as the government
      announced on November 20 that Japan is experiencing
      deflation again, and employee December bonuses decreased
      compared with the previous year.

On the other hand, S&P does not expect Japan's economy to fall
into negative growth in 2010 because:

    * The global economy is likely to remain the key driver and
      S&P does not expect it to slow sharply in its main scenario.

    * Excess inventory fell gradually in 2009.

    * Corporate profits have improved, indicating an upside for
      the corporate sector in 2010, although companies remain
      cautious on increasing investment.

    * The Hatoyama cabinet appears keen to avoid a double-dip
      recession, as evidenced by a ?7.2 trillion economic stimulus
      package, announced Dec. 2, 2009, which includes increasing
      an employment adjustment subsidy and the extension of the
      "eco-point" program and "eco-car" subsidy to Dec. 31, 2010,
      and Sept. 30, 2010, respectively. These measures are aimed
      at supporting consumer spending.


* JAPAN: May Face Risk of Second Recession, Sony Vice-Chair Says
----------------------------------------------------------------
Sony Corp. Vice Chairman Ryoji Chubachi said Japan may face a
second economic contraction as falling prices squeeze earnings at
the nation's manufacturers, Jason Clenfield and Yoshinori Eki at
Bloomberg News report.

"There's a risk of a double-dip recession," Bloomberg quoted
Mr. Chubachi as saying at a New Year's party attended by
government officials and business leaders in Tokyo on January 5.
"For companies, the most difficult position to be in is when
prices keep dropping and demand doesn't increase."

According to Bloomberg, Suzuki Motor Corp. Chairman Osamu Suzuki
said he doesn't expect the global economy to recover this year,
while JFE Steel Corp. President Hajime Bada said the Japanese
economy may take two to three years to recover.  Prime Minister
Yukio Hatoyama said last month he's concerned the economy has
slipped back into a deflationary spiral like the one that caused
wages to fall 10% in the decade through 2007, Bloomberg notes.

Sony's Chubachi said Japanese exporters should also expect to see
earnings eroded by a stronger yen, Bloomberg relates.  Japan's
currency has gained 14% against the dollar, the most among 16
major currencies tracked by Bloomberg, since Lehman Brothers
Holdings Inc. filed for bankruptcy protection in September 2008.


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


KIA MOTORS: Workers to Launch Partial Strike This Week
------------------------------------------------------
Yonhap News reports that unionized workers at Kia Motors Corp.
will stage a partial strike this week to protest the management's
wage proposal.

According to the news agency, the union said that 28,000 workers
at Kia will lay down their tools for four hours a day starting
today, January 11, at the company's three domestic plants.

Yonhap says the union is demanding Kia pay a hefty bonus and other
one-time payouts received by Hyundai workers.  Under a wage deal
reached without a strike last year, Yonhap relates, Hyundai
workers receive more than KRW10 million each, including a 300%
bonus and 40 shares of the automaker.

Citing media reports, Yonhap says Kia offered to pay a 300% bonus
plus a one-time payout of KRW4.6 million in return for freezing
wages for 2010, but the union refused the offer.

Separately, Yonhap News reports that Kia Motors said Friday it
targets capturing a 35% of the local market with new models.

Yonhap notes Kia, which increased its share of the domestic market
to 29.6% last year from 27.4% in 2008, said it plans to unveil two
new models at home this year.

                            About Kia Motors

Kia Motors Corporation (SEO:000270) -- http://www.kia.com/-- is a
Korea-based automobile manufacturer.  The Company provides its
products under three categories: sport utility vehicles (SUVs) and
multipurpose vehicles (MPVs), passenger vehicles and commercial
vehicles. Its SUVs and MPVs include leisure vehicles under the
brand name Carens, Carnival, Sportage, Mohave and Sorento. Its
passenger vehicles include passenger cars under the brand name
Soul, Picanto, Rio, Cerato, Magentis, Optima, Opirus and Amanti.
Its commercial vehicles include trucks and buses.  The Company
also offers concept vehicles and automobile parts.  The Company's
products are distributed in both domestic and overseas markets.

                          *     *     *

The Troubled Company Reporter-Asia Pacific reported on April 23,
2009, that Moody's Investors Service downgraded Kia Motors Corp's
issuer rating to Ba1 from Baa3 and withdrawn the rating.  At the
same time, Moody's has assigned a Ba1 Corporate Family Rating to
KMC.  The rating outlook is negative.  This concludes Moody's
review for downgrade initiated on January 21, 2009.


KOREA EXCHANGE: New Business Operations at Japan Suspended
----------------------------------------------------------
Japan's Financial Services Agency on Thursday suspended Korea
Exchange Bank's new business operations at its Japan branches for
three months due to breaches of compliance and governance rules,
Kyodo News reports.  Suspension order is effective from Jan. 14,
2010 to April 13, 2010.

The news agency relates that the financial watchdog said the
bank's former Osaka branch manager helped a client deposit JPY400
million in March 2007, which had been borrowed from a person
connected to gangsters.  The branch manager, who has left the
lender in punitive dismissal, also concealed the deal from the
authorities, the report adds.

Korea Exchange Bank -- http://www.keb.co.kr/-- established in
1967, is one of seven national banks in South Korea with over
300 domestic branches and 28 overseas networks, including
Canada, the United States, Panama and Germany, constituting the
most extensive global banking network of any Korean bank.  KEB
Futures -- http://www.kebf.com/-- is a clearing member of KOFEX
and is a subsidiary of Korea Exchange Bank, the official F/X
settlement bank for Korean Futures Exchange.

                           *     *     *

The Troubled Company Reporter-Asia Pacific reported on May 8,
2007, that as part of the application of its refined joint
default analysis and updated bank financial strength rating
methodologies, Moody's Investors Service upgraded Korea
Exchange's Bank Financial Strength Rating to C- from D.

On November 7, 2008, Moody's Investors Service changed the outlook
on the C- bank financial strength rating (BFSR) of Korea Exchange
Bank (KEB) to negative from stable.  Its debt and deposit ratings
are unaffected and carry a stable outlook.


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


* NEW ZEALAND: Imports and Exports Value Falls in November 2009
---------------------------------------------------------------
The value of New Zealand's merchandise imports and exports both
fell in November 2009 compared with November 2008, down 22.0% and
16.7%, respectively, according to New Zealand statistics agency.
This is the eighth consecutive monthly fall for imports and the
sixth consecutive month that exports have fallen compared with the
same month of the previous year, the Statistics New Zealand said.

The import and export trends (which remove seasonal and irregular
fluctuations) have continued to decline since peaking in the
latter half of 2008.  The imports trend has fallen 25.7% since
peaking in August 2008, although the rate of decline in the trend
has been easing in recent months.  The trend in export values has
fallen 15.5% since peaking in October 2008.

Most commodity categories contributed to the $938 million fall in
imports in November 2009.  The largest contribution came from
mechanical machinery and equipment (down $137 million or 25.9
percent).  Petroleum and products was the next largest decrease
and was led by falls in crude oil and automotive diesel, both
mainly due to lower prices.

Similarly, most commodity categories contributed to the $614
million fall in exports in November 2009.  Milk powder, butter,
and cheese, the largest export category (down $250 million or
24.9%), was the largest decrease.  This fall was led by
unsweetened whole milk powder, despite quantities being 48.0%
higher than in November 2008.

The November 2009 trade balance was a deficit of $269 million or
8.8% of exports.  This compares with an average November deficit
of 27.6% of exports for the previous five years.


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


* PHILIPPINES: Fitch Assigns 'BB' Rating on Sovereign Debt
----------------------------------------------------------
Fitch Ratings has assigned the sovereign debt issues by the
Philippines a rating of 'BB', in line with the sovereign's Long-
term foreign currency Issuer Default Rating.  The Philippines is
raising a total of US$1.5 billion by reopening two US$ denominated
instruments: the 6.5% coupon January 2020 bond (US$650 million)
and the 6.375% coupon October 2034 bond (US$850 million).  The new
issues bring the total size of the 2020 bond to US$1.4 billion,
and the 2034 bond to US$1.85 billion.  The Philippines' Long-term
foreign currency IDR is 'BB', and the Long-term local currency IDR
is 'BB+', both with Stable Outlooks.  The Short-term IDR is 'B'
and the Country Ceiling is 'BB+'.

"The ratings of the Philippines balance a manageable external
financing requirement against weaknesses in the public finances,
including a low revenue base and high debt ratios.  The budget
deficit seems to be on track to come in around or slightly below
Fitch's projection for 2009, supporting ratings at their current
levels," said Andrew Colquhoun, Director in Fitch's Asia-Pacific
Sovereigns group.

Fitch estimates the Philippines national government budget deficit
to be PHP324 billion for 2009 (4.1% of GDP), excluding
privatization revenues, with risks weighted towards a lower
deficit outturn.  The agency does not expect significant fiscal
consolidation during the election year in 2010, and forecasts the
deficit at PHP320bn, or 3.8% of GDP.

Relatively high public debt continues to weigh on the ratings.
Fitch projects the general government debt-to-GDP ratio to be at
57% at end-2009 compared to the 'BB' range median of 38%.  The
divergence is more marked in the debt-to-revenue ratio, projected
by Fitch to be about 400% for end-2009 against the 'BB' range
median of 167%.  This reflects the Philippines' low revenue base
(revenues are projected at just 14.4% of GDP in 2009), which is a
rating weakness.  The agency forecasts the government debt ratios
to drop modestly up to 2011, consolidating the declines seen since
the mid-2000s.  A return to rising debt ratios would put downward
pressure on the ratings.  Conversely, should fiscal tightening be
more rapid than Fitch's expectations and consistent with
macroeconomic stability, this would be positive for the ratings,
particularly if it was driven by sustainable revenue-raising
reforms.

The US$1.5bn issues cover about 20% of the Philippines' projected
2010 deficit.  Prospects for financing in 2010 will depend partly
on the inflation outlook and the currency.  The economy appears to
have escaped recession, with growth running at 0.8% in Q3 2009,
year-on-year.  Consumer price inflation picked up to 4.4% in
December, year-on-year, taking the annual average rate to 3.2%,
which is below the mid-point of the central bank's target range at
3.5%.  The PHP remains supported by remittance inflows which
appear to have held up well amid the global slowdown, although
Fitch regards rising dependence on remittances as a potential
concern in the longer-term.  Official reserves were US$44.1bn at
end-November 2009, up 23% over end-2008.


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


AML CONSTRUCTION: Court to Hear Wind-Up Petition on January 22
--------------------------------------------------------------
A petition to wind up the operations of AML Construction Pte Ltd
will be heard before the High Court of Singapore on January 22,
2010, at 10:00 a.m.

Lion (S) Pte Ltd filed the petition against the company on
December 30, 2009.

The Petitioner's solicitor is:

     Rodyk & Davidson LLP
     80 Raffles Place
     #33-00 UOB Plaza 1
     Singapore 048624


GLOBAL SOURCE: Creditors' Meeting Set for January 26
----------------------------------------------------
Global Source Merchandising Pte Ltd, will hold their meeting for
its creditors' on January 26, 2010, at 9:30 a.m., at 4 Shenton Way
#04-01 SGX Centre 2, in Singapore 068807.

Agenda of the meeting includes:

   a. to receive a statement of the position of the Company's
      affairs together with a list of creditors of the Company and
      the estimated amount of their claims prepared by the
      provisional liquidators appointed by the Board of Directors
      of the Company;

   b. to nominate and confirm Messrs Low Sok Lee Mona and Teo Chai
      Choo, both of 4 Shenton Way #04-01 SGX Centre 2, Singapore
      068807 to be liquidators for the purpose of winding-up the
      affairs and distributing the assets of the Company pursuant
      to the Companies Act;

   c. to appoint members of the committee of inspection of not
      more than 5 members, if thought fit;

   d. that pursuant to Section 320(3)(c) of the Companies Act,
      Cap. 50, the books and papers of the Company and of the
      liquidators that are relevant to the affairs of the Company
      at or subsequent to the commencement of the winding up of
      the Company be destroyed three (3) months after the
      dissolution of the Company; and

   e. discuss other business.

The company's liquidators are:

          Messrs. Low Sok Lee Mona
          Teo Chai Choo
          4 Shenton Way
          #04-01 SGX Centre 2
          Singapore 068807


KIMBLELIT INTERNATIONAL: Court to Hear Wind-Up Petition on Jan. 15
------------------------------------------------------------------
A petition to wind up the operations of Kimblelit International
Pte Ltd formerly known as Kimblelit Renovation Private Limited
will be heard before the High Court of Singapore on January 15,
2010, at 10:00 a.m.

Sapphire Mineral Resources Pte Ltd formerly known as Sapphire
Offshore Engineering Pte Ltd filed the petition against the
company on November 20, 2009.

The Petitioner's solicitors are:

          Messrs Pereira & Tan LLC
          141 Middle Road
          #04-02/03 GSM Building
          Singapore 188976


MAINZ HOLDING: Creditors' Proofs of Debt Due February 8
-------------------------------------------------------
Mainz Holding Pte Ltd, which is in members' voluntary liquidation,
requires its creditors to file their proofs of debt by February 8,
2010, to be included in the company's dividend distribution.

The company's liquidator is:

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


OSCELMARINE PTE: Creditors' Meeting Set for January 29
------------------------------------------------------
Oscelmarine Pte Ltd, will hold their meeting for its creditors' on
January 29, 2010, at 10:00 a.m., at 8 Cross Street #17-00, PWC
Building, Singapore 048424.

Agenda of the meeting includes:

   a. to lay before the meeting a report of the liquidators
      showing how the winding-up was conducted;

   b. to authorize the liquidators to transfer the remaining
      receivables of the Company to its creditors;

   c. to approve the remuneration of the liquidators and
      disbursements; and

   d. discuss other matters.

The company's liquidator is:

          Goh Thien Phong
          c/o Price Water House Coopers LLP
          8 Cross Street
          #17-00 PWC Building
          Singapore 048424


ROLLS-ROYCE FUEL: Creditors' Proofs of Debt Due February 8
----------------------------------------------------------
Rolls-Royce Fuel Cell Systems Pte Ltd, which is in members'
voluntary liquidation, requires its creditors to file their proofs
of debt by February 8, 2010, to be included in the company's
dividend distribution.

The company's liquidators are:

          Andrew Grimmett
          Lim Loo Khoon
          6 Shenton Way #32-00
          DBS Building Tower Two
          Singapore 068809


SINGAPORE EXPLORER: Court to Hear Wind-Up Petition on January 22
----------------------------------------------------------------
A petition to wind up the operations of Singapore Explorer Pte Ltd
will be heard before the High Court of Singapore on January 22,
2010, at 10:00 a.m.

Mecpec Trading CO Pte Ltd filed the petition against the company
on December 8, 2009.

The Petitioner's solicitors are:

          Trinity Law Corporation
          10 Ubi Crescent
          Ubi Techpark
          #04-44 Lobby C
          Singapore 408564


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


AU OPTRONICS: 2009 Consolidated Revenue Down 15.2% at NT$359.60BB
-----------------------------------------------------------------
AU Optronics Corp. announced its preliminary consolidated December
2009 revenue of NT$37,104 million, down by 3.4% from the previous
month but up 151.8% from the same period last year.  For the year
ended December 31, 2009, unaudited consolidated revenue totaled
NT$359,599 million, resulting in a 15.2% Y-o-Y decrease.

The large-sized panel shipments for December 2009, with
applications on desktop monitor, notebook PC, and LCD TV, were
close to 9.1 million units, a decrease of 2.4 % from November
2009.  As to small and medium-sized panels, the shipments were
about 15.8 million units, down by 13.7% from last month since some
applications are in seasonal slowdown.

Preliminary shipments of large-sized panels for the fourth quarter
of 2009 exceeded 27.37 million units, up 2.5% from last quarter, a
significant Y-o-Y increase of 81.5%.  Shipments for small- and
medium-sized panels reached around 60.08 million units, down by
7.3% from the third quarter, but representing a Y-o-Y increase of
26.8 %.

In terms of the 2009 full-year unit shipments, large-sized panels
reached 89.64 million units, up 12.5% from 2008.  Meanwhile, small
and medium-sized panels exceeded 228.64 million units,
representing an increase of 21.6% from last year.

Based in Taiwan, AU Optronics Corp. -- http://www.auo.com/--
designs, develops, manufactures, assembles and markets flat panel
displays. The Company's principal products are thin-film
transistor-liquid crystal display (TFT-LCD) panels.  Its panels
are used in computer products, such as notebook computers and
desktop monitors; consumer electronics products, such as mobile
phones, digital photo frames, digital still cameras, portable
navigation display, portable digital video disc players, LCD
televisions, and industrial displays.  The Company sells its
panels primarily to original equipment manufacturing service
providers or brand customers.  The Company groups its business
into three marketing channels: Information Technology Displays,
Consumer Products Displays and Television Displays.  In March 2008
and June 2008, the Company acquired 45% and 26% of equity
interests in Verticil Electronic Corp. and Dazzo Technology
Corporation, respectively.

                          *     *     *

As reported in the Troubled Company Reporter-Asia Pacific on
Dec. 14, 2009, Fitch Ratings upgraded AU Optronics Corporation's
Long-term foreign and local currency Issuer Default Ratings to
'BB-' from 'B+', and its National Long-term rating to 'BBB(twn)'
from 'BBB-(twn)'.  The Outlook is revised to Stable from Negative.


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


* S&P Says 2009 Ends With 265 Defaults; 4 Issuers Default In 2010
-----------------------------------------------------------------
Standard & Poor's on Friday said global corporate defaults totaled
265 in full-year 2009 -- the highest annual tally since the
ratings agency's series began in 1981.  It even exceeds the 229
defaults recorded in 2001 (the most recent recession), said an
article published Friday by Standard & Poor's, titled "Global
Corporate Default Update (Jan. 4 - 7, 2010) (Premium)."

By region, the U.S. led default activity with 193 defaults,
followed by the emerging markets with 36, Europe with 19, and the
other developed region (Australia, Canada, Japan, and New Zealand)
with 17.  These tallies are all roughly twice their respective
regional default totals recorded in 2008.

"Distressed exchanges led default activity, accounting for 103
defaults," said Diane Vazza, head of Standard & Poor's Global
Fixed Income Research  Group. "Missed interest or principal
payments came in second with 88 defaults, followed by 69
bankruptcy-related defaults and five defaults stemming from other
reasons, including regulatory or government takeovers."

So far in 2010, three U.S.-based issuers and one Canadian issuer
have defaulted.  Two of the defaults resulted from distressed
exchanges and two were due to missed interest and principal
payments.

Despite unprecedented turbulence in the credit markets and record-
high default volume since 2008, the ability of corporate credit
ratings to serve as an effective measure of relative default risk
remains intact.  This is evidenced by several factors, such as 87%
of the issuers that defaulted in 2009 were rated speculative grade
('BB+' and lower) prior to default, investment-grade-rated issuers
('BBB-' and above) have a 99% survival rate within a one-year time
horizon, and the majority of defaults in 2009 stemmed from the
weakest end of the credit spectrum, known as weakest links.
Globally, 278 issuers are weakest links (entities rated 'B-' and
lower with a negative outlook or ratings on CreditWatch negative),
and the regional distribution of weakest links closely mirrors the
default experience in 2009.

Of the global corporate defaulters in 2009, 40% of issues with
available recovery ratings had recovery ratings of '6' (indicating
S&P's expectation for negligible recovery of 0%-10%), 15% of
issues had recovery ratings of '5' (modest recovery prospects of
10%-30%), 12% had recovery ratings of '4' (average recovery
prospects of 30%-50%), and 11% had recovery ratings of '3'
(meaningful recovery prospects of 50%-70%). And for the remaining
two rating categories, 12% of issues had recovery ratings of '2'
(substantial recovery prospects of 70%-90%) and 10% of issues had
recovery ratings of '1' (very high recovery prospects of 90%-
100%).


                         *********

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 2010.  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 ***