TCRAP_Public/100112.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

           Tuesday, January 12, 2010, Vol. 13, No. 007

                            Headlines



A U S T R A L I A

AERO INVENTORY: Qantas, Tax Office to Suffer Losses From Collapse
INDOPHIL RESOURCES: Australian Gov't. Okays Zijin Takeover Offer
TSUBI PTY: Placed Into Administration; Grant Thornton on Board


C H I N A

NORTEL NETWORKS: Gets Nod for Side Agreement With Nortel China
SINOENERGY CORP: Crowe Horwath Raises Going Concern Doubt


H O N G  K O N G

186C COMPANY: Court Enters Wind-Up Order
3CM MEDIA: Creditors' Meeting Set for February 1
ACADEMY OF CONTINUING: Court Enters Wind-Up Order
AERO INVENTORY: Placed Under Voluntary Wind-Up Proceedings
ASCENT CHAMP: Court Enters Wind-Up Order

ASIA PACIFIC: Members' Final General Meeting Set for February 8
BABOR COSMETIC: Creditors' Proofs of Debt Due February 9
BAYLIS & HARDING: Creditors' Proofs of Debt Due February 8
BEAUTY CHINA:  Lai and Yeung Appointed as Liquidators
CARNEBY LIMITED: Members' Final Meeting Set for February 8

CATTENWOOD COMPANY: Members' Final Meeting Set for February 12
CHECKERS LIMITED: Court Enters Wind-Up Order
CHINA HK: Tung Sai Cheong Steps Down as Liquidator
CHINA RESOURCES: Commences Wind-Up Proceedings
CITIBAGS PRODUCTION: Members' Final Meeting Set for February 8

OMNILIFE ASIA: Creditors' Proofs of Debt Due January 29
SHELL NANHAI: Creditors' Proofs of Debt Due January 29
SHELL TREASURY: Creditors' Proofs of Debt Due January 29


I N D I A

AANJANEYA BIOTECH: CRISIL Raises Ratings on LT Loan to 'B'
CLASSIC DIAMONDS: CRISIL Upgrades Rating on INR0.4BB Loan to 'B'
CLEANCITIES BIODIESEL: Loan Default Cues CRISIL 'D' Ratings
GOVIND RUBBER: Fitch Assigns National Long-Term Rating at 'B'
GS ALLOY: CRISIL Rates INR50 Mil. Cash Credit Limit at 'B+'

HST STEELS: CRISIL Rates INR1 Billion Cash Credit at 'BB+'
MAYTAS INFRA: Appoints Vimal Kaushik as New CEO
MAYTAS INFRA: Mahindra Satyam Files Caveat Petition
ORIENT FASHIONS: Fitch Affirms 'BB+' National Long-Term Rating
SRI NACHAMMAI: CRISIL Assigns 'B+' Rating on INR120.80MM Term Loan

UNIVERSAL PRECISION: CRISIL Rates INR57.5MM Term Loan at 'BB-'
YAMUNA CABLE: CRISIL Reaffirms 'BB+' Ratings on Various Bank Debts
YAMUNA POWER: CRISIL Reaffirms 'BB+' Rating on INR245M Cash Credit


I N D O N E S I A

CENTRAL PROTEINAPRIMA: Moody's Cuts Corp. Family Rating to 'Ca'
CP PRIMA: Explanation on Unit's US$325-Mln Bond Default Sought
GARUDA INDONESIA: Wins Investors' Approval to Restructure Debt


J A P A N

CITIGROUP INC: Peterson Leaves Japan Unit, Returns to NY Office
JAPAN AIRLINES: JCR Cuts Ratings on Outstanding Bonds to 'CCC'
JAPAN AIRLINES: May Dissolve Pension Fund for Retirees
JAPAN AIRLINES: To Cut 30% Workforce Under Rehabilitation Plan
JAPAN AIRLINES INT'L.: JCR Cuts Ratings on Senior Debts to 'CCC'

SPANSION INC: Strikes Deals With Japanese Ex-Subsidiary


K O R E A

HYUNDAI MOTOR: Beats Renault in 2009 Sales in Turkey, Yonhap Says


M A L A Y S I A

HO HUP: Begins Defamation Suit Against Low Chee & Dato' Low Tuck
HO HUP: Commences Legal Suit Against Managing Director
HO HUP: Low Chee, Choo Soo Har Seek to Remove Some Directors
OILCORP BERHAD: Defaults on MYR60-Mil. Outstanding MUNIF Notes
OILCORP BERHAD: Unit Defaults on MYR120-Mil. MUNIF Notes

WONDERFUL WIRE: Total Default Reaches MYR81.69 Mil. as of Dec. 31


N E W  Z E A L A N D

SOUTH CANTERBURY: Announces Business Integration, Capital Raising


X X X X X X X X

* BOND PRICING: For the Week to January 4, 2010 to January 8, 2010




                         - - - - -


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


AERO INVENTORY: Qantas, Tax Office to Suffer Losses From Collapse
-----------------------------------------------------------------
Matt O'Sullivan at The Sydney Morning Herald reports that Qantas
Airways and the Australian Taxation Office have emerged as two of
the largest creditors of Aero Inventory plc.

According to SMH, a report from the administrators shows Qantas is
owed GBP1.46 million (US$2.54 million) and the Tax Office more
than GBP930,000.

SMH says although preferential creditors of Aero Inventory will be
repaid in full, the administrators said unsecured creditors such
as Qantas were likely to receive just 1.1 pence in the pound.

Aero Inventory has a facility in Melbourne that is being wound up,
the report notes.

As reported by the Troubled Company Reporter-Europe on Nov. 18,
2009, The Financial Times said Aero called in administrators after
the sharp downturn in the aviation industry hit its cash flow and
existing financial backers, spooked by delayed results, improperly
valued stock and the suspension of its shares, refused to provide
emergency funding.  The FT disclosed company had net debt of
US$466.2 million (GBP280 million) at the half-year and is
extremely cash intensive.

Aero Inventory plc -- http://www.aero-inventory.com/-- is a
holding company to its subsidiary undertakings.  Aero Inventory
(UK) Limited is primarily engaged in procurement and inventory
management for the aerospace industry.  Aero Inventory (Hong Kong)
Limited, Aero Inventory (Switzerland) AG, Aero Inventory
(Australia) Pty Limited, Aero Inventory (Canada) Inc., Aero
Inventory (Bahrain) SPC and Aero Inventory Japan KK provide
customer support in relation to the activities of Aero Inventory
(UK) Limited. Aero Inventory (USA) Inc. provides services to Aero
Inventory (UK) Limited in relation to the procurement and
purchasing of aircraft parts, logistics and the sale of parts to
non-contract customers in the United States.  The Company
principally operates in the United Kingdom, rest of Europe and
Middle East, America and Asia Pacific.


INDOPHIL RESOURCES: Australian Gov't. Okays Zijin Takeover Offer
----------------------------------------------------------------
Indophil Resources NL said that the Australian Government's
Federal Treasurer on recommendation from the Foreign Investment
Review Board (FIRB) formally approved Zijin Mining Group takeover
offer for Indophil.

"Indophil welcomes the Australian Government's approval, and the
timely manner in which it was considered and delivered.
Australian Government approval was one of the key conditions of
the Zijin bid for Indophil, and it has now been met," Indophil
said in a statment

Zijin's bid for Indophil at AU$1.28 per share values Indophil at
approximately AU$545 million on a fully-diluted basis.  The bid
has been recommended by Indophil's Directors in the absence
of a superior offer.

Indophil has been advised by Zijin that its offer formally opens
on January 18, 2010, with dispatch to Indophil shareholders of the
offer documents including Zijin's Bidder' Statement on that date.
Indophil's Target's Statement containing the Directors' detailed
reasons for accepting the offer will be included in this mail-out.
These documents will be dispatched to all those registered as
Indophil shareholders at 7:00 p.m. (Melbourne time) on January 13,
2010.  Zijin's offer will close at 7:00 p.m. (Melbourne time) on
March 19, 2010, unless extended.

"Indophil welcomes Zijin's decision to open an Institutional
Acceptance Facility (IAF) to accommodate early acceptance by
professional investors (as defined under section 9 of the
Corporations Act) who hold 500,000 or more Indophil shares,"
Indophil said.

"Prompt acceptance into the IAF by professional investors will
significantly assist in securing a successful outcome and timely
payment to all shareholders."

Zijin Mining Group Company Limited is the largest gold producer
and third largest copper producer in China.

                     About Indophil Resources

Headquartered in Melbourne, Australia, Indophil Resources NL
-- http://www.indophil.com/-- conducts exploration and
development of gold and copper-gold opportunities in South East
Asia.  The Company is a joint venture partner in the Tampakan
Copper-Gold Project in the Southern Philippines.  The two segments
of the Company are Australia and the Philippines.  The Company has
other exploration interests in the Philippines apart from the
Tampakan project.

                           *     *     *

Indophil Resources NL reported two consecutive net losses of
$14.84 million and $985,107 for the years ended Dec. 31, 2008 and
Dec. 31, 2007, respectively.


TSUBI PTY: Placed Into Administration; Grant Thornton on Board
--------------------------------------------------------------
Tsubi Pty Ltd, the Australian company behind local denim fashion
label ksubi, has been placed into voluntary administration, The
Sydney Morning Herald reports.  Paul Billingham and Said Jahani at
Grant Thornton Australia were appointed as the company's
administrators, the report says.

The Herald relates co-founders Dan Single and George Gorrow said
they had been "struggling to achieve the margin necessary to fund
the growth and development of the brand".

According to the report, Messrs. Single and Gorrow said in a
statement that putting the company into voluntary administration
was the "only way to ensure the future of Ksubi".  The label would
go into voluntary administration as part of a restructure of the
Tsubi Pty Ltd group of companies, they added.

Mr. Billingham said that all ksubi's stores will remain open for
the time being and will operate as "business as usual."

"Our job is to try and preserve the inherent value of the business
and we will be working closely with the directors and key
stakeholders to do this," the report quoted Mr. Billingham as
saying.

It was understood that Westpac had pushed for administrators to be
appointed, the Herald says.

The report notes that ksubi was believed to be in the market last
year trying to find a buyer, but was unsuccessful.

Created in 2000, the ksubi label is well known for its jeans and
denim range. The company employs about 20 people and operates
three stores Australia and one in New York.


=========
C H I N A
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NORTEL NETWORKS: Gets Nod for Side Agreement With Nortel China
--------------------------------------------------------------
Nortel Networks Inc. and its affiliated debtors obtained approval
from the U.S. Bankruptcy Court for the District of Delaware of a
"side agreement" with Nortel Networks (China) Ltd. and Nortel
Networks Ltd.

The parties hammered out the Side Agreement in connection with
the sale of their Code Division Multiple Access (CDMA) business
and Long Term Evolution (LTE) assets to Telefonaktiebolaget LM
Ericsson.  The deal is intended to ensure that Nortel China
receives at least the minimum necessary consideration for the
sale of its assets.

The key terms of the Side Agreement are:

  (1) In the event the "required purchase price" or the amount
      of sale proceeds to be allocated to Nortel China as
      consideration for its assets exceeds the amount of sale
      proceeds allocated to the company pursuant to the protocol
      for resolving disputes over the allocation of sale
      proceeds, NNL and NNI will each pay to Nortel China an
      "adjustment amount" equal to 50% of the difference between
      the required purchase price and the allocated purchase
      price.

  (2) The required purchase price will be determined by an
      independent third-party valuation expert retained by
      Nortel China at its own expense, in consultation with NNL
      and NNI.  If either NNL or NNI objects to the valuation
      provided by the valuation expert within 30 days of receipt
      of notice, two additional valuation experts will be
      retained and the required purchase price will be the
      average of the three.

  (3) Any payment by NNL or NNI of its portion of the adjustment
      amount will be considered to be a corresponding deduction
      in the amount of sale proceeds allocated to NNL and NNI
      for the sale of their respective CDMA and LTE assets.

  (4) If NNL or NNI objects to the valuations provided by the
      additional valuation experts within 30 days of receipt of
      written notification of the additional valuation amounts,
      the parties will submit the determination of the
      adjustment amount to arbitration in Beijing under the
      auspices of the China International Economic and Trade
      Arbitration Commission.

  (5) In the event that subsequent to the payment of the
      adjustment amount Nortel China makes one or more dividend
      payments, distributions or other payments to NNL in its
      capacity as a shareholder of Nortel China, NNL will pay
      50% of the after-tax amounts of those distributed amounts
      to NNI upon actual receipt of the distributed amounts,
      provided that those payments to NNI will not in the
      aggregate exceed the portion of the adjustment amount paid
      by NNI to Nortel China.

A full-text copy of the Nortel China Side Agreement is available
without charge at:

       http://bankrupt.com/misc/Nortel_AgreementNNChina.pdf

                       About Nortel Networks

Nortel Networks (OTCBB:NRTLQ) -- http://www.nortel.com/--
delivers communications capabilities that make the promise of
Business Made Simple a reality for the Company's customers.  The
Company's next-generation technologies, for both service provider
and enterprise networks, support multimedia and business-critical
applications.  Nortel's technologies are designed to help
eliminate the barriers to efficiency, speed and performance by
simplifying networks and connecting people to the information they
need, when they need it.

Nortel Networks Corp., Nortel Networks Inc., and other affiliated
corporations in Canada sought insolvency protection under the
Companies' Creditors Arrangement Act in the Ontario Superior Court
of Justice (Commercial List).  Ernst & Young has been appointed to
serve as monitor and foreign representative of the Canadian Nortel
Group.  The Monitor also sought recognition of the CCAA
Proceedings in the Bankruptcy Court under Chapter 15 of the
Bankruptcy Code.

Nortel Networks Inc. and 14 affiliates filed separate Chapter 11
petitions on January 14, 2009 (Bankr. D. Del. Case No. 09-10138).
Judge Kevin Gross presides over the case.  James L. Bromley, Esq.,
at Cleary Gottlieb Steen & Hamilton, LLP, in New York, serves as
general bankruptcy counsel; Derek C. Abbott, Esq., at Morris
Nichols Arsht & Tunnell LLP, in Wilmington, serves as Delaware
counsel.  The Chapter 11 Debtors' other professionals are Lazard
Freres & Co. LLC as financial advisors; and Epiq Bankruptcy
Solutions LLC as claims and notice agent.

The Chapter 15 case is Bankr. D. Del. Case No. 09-10164.  Mary
Caloway, Esq., and Peter James Duhig, Esq., at Buchanan Ingersoll
& Rooney PC, in Wilmington, Delaware, serves as Chapter 15
petitioner's counsel.

Certain of Nortel's European subsidiaries have also made
consequential filings for creditor protection.  The Nortel
Companies related in a press release that Nortel Networks UK
Limited and certain subsidiaries of the Nortel group incorporated
in the EMEA region have each obtained an administration order
from the English High Court of Justice under the Insolvency Act
1986.  The applications were made by the EMEA Subsidiaries under
the provisions of the European Union's Council Regulation (EC)
No. 1346/2000 on Insolvency Proceedings and on the basis that
each EMEA Subsidiary's centre of main interests is in England.
Under the terms of the orders, representatives of Ernst & Young
LLP have been appointed as administrators of each of the EMEA
Companies and will continue to manage the EMEA Companies and
operate their businesses under the jurisdiction of the English
Court and in accordance with the applicable provisions of the
Insolvency Act.

Several entities, particularly, Nortel Government Solutions
Incorporated have material operations and are not part of the
bankruptcy proceedings.

As of September 30, 2008, Nortel Networks Corp. reported
consolidated assets of $11.6 billion and consolidated liabilities
of $11.8 billion.  The Nortel Companies' U.S. businesses are
primarily conducted through Nortel Networks Inc., which is the
parent of majority of the U.S. Nortel Companies.  As of
September 30, 2008, NNI had assets of about $9 billion and
liabilities of $3.2 billion, which do not include NNI's guarantee
of some or all of the Nortel Companies' about $4.2 billion of
unsecured public debt.

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


SINOENERGY CORP: Crowe Horwath Raises Going Concern Doubt
---------------------------------------------------------
Crowe Horwath LLP, in Sherman Oaks, Calif., expressed substantial
doubt about Sinoenergy Corporation and subsidiaries' ability to
continue as a going concern after auditing the Company's
consolidated financial statements as of and for the year ended
September 30, 2009.

The independent public accounting firm reported that the Company
has incurred a significant loss and negative operating cash flows
for the year ended September 30, 2009, and as of September 30,
2009, there is negative working capital of US$9.1 million.

Sinoenergy Corporation reported a net loss of US$13.1 million on
net sales of US$41.8 million for the year ended September 30,
2009, compared to net income of US$16.1 million on net sales of
US$40.9 million for the year ended September 30, 2008.

Cost of sales for the 2009 was approximately US$32.4 million, an
increase of approximately 26% from approximately US$25.6 million
for the 2008.

General and administrative expenses increased approximately
US$7.8 million, or 160%.

Interest expense for 2009 was approximately US$7.3 million, as
compared with US$3.5 million for 2008.

                          Balance Sheet

At September 30, 2009, the Company's consolidated balance sheets
showed total assets of US$180.6 million, total liabilities of
US$117.3 million, minority interests of US$17.1 million, and total
shareholders' equity of US$46.2 million.

The Company's consolidated balance sheets at September 30, 2009,
also showed strained liquidity with US$80.8 million in total
current assets available to pay US$89.9 million in total current
liabilities.

A full-text copy of the Company's Form 10-K is available at no
charge at http://researcharchives.com/t/s?4d33

                 Liquidity and Capital Resources

At September 30, 2009, the Company had cash of approximately
US$19.7 million (including restricted cash of US$1.4 million),
compared to approximately US$9.4 million (including restricted
cash of US$523,000) at September 30, 2008.  At September 30, 2009,
the Company had a working capital deficiency of approximately
US$9.1 million and shareholders' equity of approximately
US$46.2 million, compared with positive working capital of
approximately US$35.0 million and shareholders' equity of roughly
US$55.2 million at September 30, 2008.

At September 30, 2009, the Company was not in compliance with the
financial covenants in the indentures relating to its 12% senior
notes due 2012 in the principal amount of US$16,000,000 and 3.0%
senior convertible notes due 2012 in the principal amount of
US$14,000,000.  The noteholders waived compliance with the
covenants at September 30, 2009, and through March 31, 2010.

Since September 30, 2009, the Company has paid US$14 million in
principal to the holders of its 12% senior notes, with an
additional approximately US$2 million being due by December 31,
2009, and the Company has agreed to pay the US$14,000,000 plus
interest on the 3% convertible notes following the completion of
the merger with Skywide Capital Management Limited.  In the event
the merger with Skywide is not completed, the Company cannot
assure that its lenders will not require the Company to accelerate
payments of the 3% senior convertible notes in the principal
amount of US$14 million.

                      About Sinoenergy Corp.

Based in Beijing, China, Sinoenergy Corporation Sinoenergy
Corporation (Nasdaq: SNEN) --
http://www.sinoenergycorporation.com/-- is a developer and
operator of retail compressed natural gas (CNG) stations as well
as a manufacturer of CNG transport truck trailers, CNG station
equipment, and natural gas fuel conversion kits for automobiles,
in China.  In addition to its CNG related products and services,
the Company designs and manufactures a wide variety of customized
pressure containers for use in the petroleum and chemical
industries.

On October 12, 2009, the Company entered into an agreement with
Skywide Capital Management Limited, pursuant to which the Company
will be merged with and into Skywide.  Upon the effectiveness of
the merger, each issued and outstanding share of the Company's
common stock, other than shares owned by Skywide, will
automatically be converted into the right to receive US$1.90 per
share.  Skywide, which is owned by the Company's chairman, Mr.
Tianzhou Deng, and its chief executive officer, Mr. Bo Huang, is
the Company's largest shareholder, owning approximately 39.06% of
the Company's outstanding common stock.


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


186C COMPANY: Court Enters Wind-Up Order
----------------------------------------
The High Court of Hong Kong entered an order on December 23, 2009,
to wind up the operations of 186C Company Limited.

The official receiver is E T O'Connell.


3CM MEDIA: Creditors' Meeting Set for February 1
------------------------------------------------
Creditors of 3CM Media Limited will hold their meeting on Feb. 1,
2010, at 4:00 p.m., for the purposes provided for in Sections 199,
241, 242, 243, 244 251, 255A and 283 of the Companies Ordinance.

The meeting will be held at the offices of Borrelli Walsh Limited
at level 17, Tower 1, Admiralty Centre, 18 Harcourt Road, in
Hong Kong.


ACADEMY OF CONTINUING: Court Enters Wind-Up Order
-------------------------------------------------
The High Court of Hong Kong entered an order on December 30, 2009,
to wind up the operations of Academy of Continuing Limited.

The official receiver is E T O'Connell.


AERO INVENTORY: Placed Under Voluntary Wind-Up Proceedings
----------------------------------------------------------
At an extraordinary general meeting held on December 22, 2009,
creditors of Aero Inventory (Hong Kong) Limited resolved to
voluntarily wind up the company's operations.

The company's liquidators are:

         Edward Simon Middleton
         Patrick Cowley
         KPMG, 8th Floor
         Prince's Building
         10 Chater Road
         Central, Hong Kong


ASCENT CHAMP: Court Enters Wind-Up Order
----------------------------------------
The High Court of Hong Kong entered an order on December 23, 2009,
to wind up the operations of Ascent Champ Limited.

The official receiver is E T O'Connell.


ASIA PACIFIC: Members' Final General Meeting Set for February 8
---------------------------------------------------------------
Members of The Asia Pacific CPVC Institute Limited, which is in
members' voluntary liquidation, will hold their final general
meeting on February 8, 2010, at 2:30 p.m., at Room 1107-1110, Shui
On Center, 6-8 Harbour Road, Wanchai, in Hong Kong.

At the meeting, Leung Mei Fan, the company's liquidator, will give
a report on the company's wind-up proceedings and property
disposal.


BABOR COSMETIC: Creditors' Proofs of Debt Due February 9
--------------------------------------------------------
Creditors of Babor Cosmetic Asia Pacific Limited, which is in
members' voluntary liquidation, are required to file their proofs
of debt by February 9, 2010, to be included in the company's
dividend distribution.

The company commenced wind-up proceedings on December 29, 2009.

The company's liquidator is:

         Johnson Kong Chi How
         Wing On Centre, 25th Floor
         111 Connaught Road
         Central, Hong Kong


BAYLIS & HARDING: Creditors' Proofs of Debt Due February 8
----------------------------------------------------------
Baylis & Harding (Asia) Limited, 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 commenced wind-up proceedings on December 30, 2009.

The company's liquidator is:

         Vettoretti Alberto
         Unit 904, 9th Floor
         Wharf T&T Centre
         Harbour City
         7 Canton Road
         Tsim Sha Tsui, Kowloon


BEAUTY CHINA:  Lai and Yeung Appointed as Liquidators
-----------------------------------------------------
Lai Kar Yan (Derek) and Yeung Lui Ming (Edmund) on December 16,
2009, were appointed as liquidators of Beauty China Holdings
Limited.

The liquidators may be reached at:

          Lai Kar Yan (Derek)
          Yeung Lui Ming (Edmund)
          One Pacific Place, 35/F
          88 Queensway
           Hong Kong


CARNEBY LIMITED: Members' Final Meeting Set for February 8
----------------------------------------------------------
Members of Carneby Limited, which is in members' voluntary
liquidation, will hold their final meeting on February 8, 2010, at
10:00 a.m., at 8th Floor, Gloucester Tower, The Landmark, 15
Queen's Road Central, in Hong Kong.

At the meeting, Iain Ferguson Bruce, the company's liquidator,
will give a report on the company's wind-up proceedings and
property disposal.


CATTENWOOD COMPANY: Members' Final Meeting Set for February 12
--------------------------------------------------------------
Members of Cattenwood Company Limited, which is in members'
voluntary liquidation, will hold their final general meeting on
February 12, 2010, at 2:00 p.m., at 23rd Floor, Wheelock House, 20
Pedder St., in Hong Kong.

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


CHECKERS LIMITED: Court Enters Wind-Up Order
----------------------------------------------
The High Court of Hong Kong entered an order on December 23, 2009,
to wind up the operations of Checkers Limited.

The official receiver is E T O'Connell.


CHINA HK: Tung Sai Cheong Steps Down as Liquidator
--------------------------------------------------
Tung Sai Cheong stepped down as liquidator of China Hong Kong
Petrochemical Logistics Technology Association Limited on Dec. 21,
2009.


CHINA RESOURCES: Commences Wind-Up Proceedings
----------------------------------------------
Members of China Resources Snow Breweries (Wuxi) Investments
Limited, on January 8, 2010, passed a resolution to voluntarily
wind-up the company's operations.

The company's liquidator is:

         Heng Poi Cher
         China Resources Building, 4304, 43/F
         26 Harbour Road
         Wanchai, Hong Kong


CITIBAGS PRODUCTION: Members' Final Meeting Set for February 8
--------------------------------------------------------------
Members of Citibags Production Limited, which is in members'
voluntary liquidation, will hold their final meeting on Feb. 8,
2010, at 11:00 a.m., at Room 806, Tung Ming Building, 42 Des Voeux
Road Central, Hong Kong.

At the meeting, Lau Kwok Kwong Arthur, the company's liquidator,
will give a report on the company's wind-up proceedings and
property disposal.


OMNILIFE ASIA: Creditors' Proofs of Debt Due January 29
-------------------------------------------------------
Omnilife Asia Limited, which is in members' voluntary liquidation,
requires its creditors to file their proofs of debt by January 29,
2010, to be included in the company's dividend distribution.

The company's liquidators are:

         Ying Hing Chiu
         Chan Mi Har
         Three Pacific Place, Level 28
         1 Queen's Road East
         Hong Kong


SHELL NANHAI: Creditors' Proofs of Debt Due January 29
------------------------------------------------------
Shell Nanhai Limited, which is in members' voluntary liquidation,
requires its creditors to file their proofs of debt by January 29,
2010, to be included in the company's dividend distribution.

The company commenced wind-up proceedings on December 28, 2009.

The company's liquidators are:

         Ying Hing Chiu
         Chan Mi Har
         Three Pacific Place, Level 28
         1 Queen's Road East
         Hong Kong


SHELL TREASURY: Creditors' Proofs of Debt Due January 29
--------------------------------------------------------
Shell Treasury Hong Kong Limited, which is in members' voluntary
liquidation, requires its creditors to file their proofs of debt
by January 29, 2010, to be included in the company's dividend
distribution.

The company commenced wind-up proceedings on December 28, 2009.

The company's liquidators are:

         Ying Hing Chiu
         Chan Mi Har
         Three Pacific Place, Level 28
         1 Queen's Road East
         Hong Kong


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AANJANEYA BIOTECH: CRISIL Raises Ratings on LT Loan to 'B'
----------------------------------------------------------
CRISIL has upgraded its rating on the bank facilities of Aanjaneya
Biotech Pvt Ltd to 'B/Stable' from 'D'.

   Facilities                       Ratings
   ----------                       -------
   INR244 Million Cash Credit       B/Stable (Upgraded from 'D')
   INR117 Million Long-Term Loan    B/Stable (Upgraded from 'D')

The upgrade reflects an improvement in Aanjaneya's capital
structure and liquidity, following equity infusion by the
promoters.  The promoters have infused equity of INR120 million in
the first half of 2009-10 (refers to financial year April 1 to
March 31).  In addition, Aanjaneya's cash credit facilities ?
enhanced in September 2009 to INR400 million from INR290 million ?
will help the company manage increasing working capital
requirements that has resulted from growth in its business
volumes.  The upgrade also reflects CRISIL's belief that the fund
infusion, enhanced bank lines, and increased business volumes will
ease the downward pressure on Aanjaneya's cash flows, and help the
company service debt obligations on time.

Outlook: Stable

CRISIL believes that Aanjaneya will benefit from an improved
capital structure (backed by the promoters' recent equity
infusion) and growing business volumes, over the medium term.  The
outlook may be revised to 'Positive' if strong growth in revenues
leads to healthy cash accruals for Aanjaneya; or to 'Negative' in
case the company contracts any further debt to fund expansions, or
faces a decline in cash accruals.

                      About Aanjaneya Biotech

Set up in 2006 by Mr. K V Vishwanathan and his son, Mr. Kannan
Vishwanath, Aanjaneya manufactures anti-malarial active
pharmaceutical ingredients (APIs) from natural extracts.  The
company commenced commercial production at its facility at Mahad
(Maharashtra) in October 2008. Aanjaneya extracts anti-malarial
APIs such as quinine sulphate and quinine hydrochloride from the
bark of cinchona ledgeriana trees.  The promoters had earlier set
up Benzochem LifeSciences Pvt Ltd in 1978 for manufacturing basic
chemicals and bulk drugs, which they sold to Arch Pharmalabs Ltd
in 2008.

Aanjaneya reported a profit after tax (PAT) of INR52 million on
net sales of INR901 million for 2008-09 (refers to financial year,
April 1 to March 31), against a PAT of INR23 million on net sales
of INR219 million for the previous year.


CLASSIC DIAMONDS: CRISIL Upgrades Rating on INR0.4BB Loan to 'B'
----------------------------------------------------------------
CRISIL has upgraded its ratings on the bank facilities of Classic
Diamonds India Ltd to 'B/Stable/P4' from 'D/P5'.

   Facilities                       Ratings
   ----------                       -------
   INR0.4 Billion Term Loan         B/Stable (Upgraded from 'D')

   INR3.3 Billion Export Packing    P4 (Upgraded from 'P5')
   Credit/Post-Shipment Credit*

   INR0.04 Billion Bank Guarantee   P4 (Upgraded from 'P5')

   *Interchangeable with packing credit and post-shipment credit.

The rating upgrade reflects the fact that Classic Diamonds has
paid its last two term loan installments on time, backed by
reduced receivables ? to 150-180 days in 2009-10 (refers to
financial year, April 1 to March 31) from more than 200 days in
2008-09 -- and consequently, improved liquidity.  The upgrade also
reflects CRISIL's belief that Classic Diamonds will continue to
service debt obligations in a timely manner over the medium term,
backed by its improved liquidity.

Outlook: Stable

CRISIL believes that Classic Diamonds will maintain its market
position in the low-value diamonds business, while expanding its
diamond jewellery exports, over the medium term.  The outlook may
be revised to 'Positive' if the company's liquidity continues to
improve and it continues to service its debt in a timely manner.
Conversely, the outlook may be revised to 'Negative' in case
Classic Diamond's debt protection metrics deteriorate.

                      About Classic Diamonds

Classic Diamonds, promoted by Mr. Kumar Bhansali and his father,
Mr. Chandrakant Bhansali, began operations as a public limited
company in 1986.  The company is in the business of manufacturing
low-value diamonds (between 0.01 carats and 0.05 carats), and
exporting diamond jewellery.  The company's jewellery
manufacturing units are located in Mumbai, and its diamond
processing units are located at Surat.

Classic Diamonds reported a profit after tax (PAT) of INR35.7
million on net sales of INR6.7 billion for 2008-09 (refers to
financial year, April 1 to March 31), against a PAT of INR311
million on net sales of INR7.1 billion for 2007-08.  For the six
months ended September 30, 2009, the company reported a PAT of
INR104 million on net sales of INR3.5 billion, against a PAT of
INR91 million on net sales of INR3.7 billion for the corresponding
period of the previous year.


CLEANCITIES BIODIESEL: Loan Default Cues CRISIL 'D' Ratings
-----------------------------------------------------------
CRISIL has assigned its ratings of 'D/P5' to the various bank
facilities of Cleancities Biodiesel India Ltd.  The ratings
reflect the default by CBIL in repayment of its term loan
obligations, owing to weak liquidity.

   Facilities                           Ratings
   ----------                           -------
   INR990.00 Million Long Term Loan     D (Assigned)
   INR84.00 Million Cash Credit         D (Assigned)
   INR916.00 Million Packing Credit*    P5 (Assigned)
   INR600.00 Million Letter of Credit   P5 (Assigned)

   *Fully interchangeable with Foreign Bill Discounting

CBIL was promoted by Mr. Srinivas Prasad Moturi in February 2006
to set up a bio-diesel plant at Vishakhapatnam.  The unit, with
capacity to produce 2.5 lakh tonnes of bio-diesel per annum,
commenced commercial production in November 2008.  The company
markets bio-diesel under the registered brand, Cleancities
Biodiesel.


GOVIND RUBBER: Fitch Assigns National Long-Term Rating at 'B'
-------------------------------------------------------------
Fitch Ratings has assigned India's Govind Rubber Limited an
expected National Long-term rating of 'B(ind)' with a Stable
Outlook.  The final rating is contingent upon receipt of final
documents conforming to information already received, and
disbursement of sanctioned loans from banks.  The agency has also
assigned these expected ratings to its bank loans:

  - Existing term loans amounting to INR390.2m: 'B(ind)';

  - Fund-based working capital limits amounting to INR550m:
    'B(ind)'/'F4(ind)'; and

  - Non fund-based working capital limits amounting to INR250m:
    'F4(ind)'.

GRL's ratings reflect its stretched financial profile due to the
recently completed debt restructuring, currently low capacity
utilization rates and tight liquidity due to shortage of working
capital limits compared to the size of the company.  Concerns also
arise from the company's poor operational history, intense
competition in the industry, the inherent cyclicality in the tyres
and tubes industry, and the volatility in raw material and final
product prices.  GRL's liquidity position has been stretched in
the past four financial years as reflected in its more than 100%
utilization of working capital limits resulting in an overdraft
position on a consistent basis, and due to substantial
restructured term loan repayment outflows during the period.

The ratings find support in the fact that there is no further
capital expenditure planned and additional working capital limits
have been granted by its banking consortium to ease the company's
liquidity problems.  These are however, yet to be disbursed.
GRL's location in the midst of Punjab resulting in easy supply of
raw materials, strategic support from the Siyaram Poddar group,
and the stable revenues and profitability are seen as comforting
factors for the assigned ratings.  Fitch also expects an improving
business profile for the company once the liquidity situation
improves on account of the planned diversification into auto tubes
and tyres segment.

GRL has a relatively stretched financial profile with its total
adjusted net debt/op.  EBITDAR standing at 6.85x at FY09, on
account of relatively high debt and high working capital
requirements.  This has improved gradually from 7.4x in FY06.  The
total debt at the end of FY09 stood at INR869.9 million and the
cash and cash equivalents totalled INR2.11 million.  The company
needs to repay INR48.3 million of its term loans in FY10.  For
FY09, the company reported revenues of INR2472 million with an op.
EBITDAR and net income of INR172 million and INR14.37 million,
respectively.

Positive ratings triggers include a significant improvement in
GRL's financial leverage, increased operational efficiency and
capacity utilization, and a sustained track record of growth.
However, any further deterioration in financial leverage or
coverage and/or a weak liquidity position even after disbursal of
additional working capital facilities could negatively affect the
ratings.

GRL is primarily involved in the production of bicycle, auto tyres
and tubes.  The company is a part of the Siyaram Poddar group.
The group is engaged in the business of diverse products like
tyres, textiles and paper products.


GS ALLOY: CRISIL Rates INR50 Mil. Cash Credit Limit at 'B+'
-----------------------------------------------------------
CRISIL's ratings on the bank facilities of GS Alloy Castings Ltd
continue to reflect GS Alloy's below-average financial risk
profile, and exposure to risks relating to customer concentration
in revenue, intense competition in the alloy and stainless steel
castings industry, and volatile raw material prices.  These rating
weaknesses are partially offset by GS Alloy's longstanding
presence in the castings industry.

   Facilities                             Ratings
   ----------                             -------
   INR50.0 Million Cash Credit Limit      B+/Negative (Reaffirmed)
   INR5.0 Million Letter of Credit Limit  P4 (Reaffirmed)

Outlook: Negative

CRISIL believes that GS Alloy's liquidity will remain weak,
because of the pressure on the company's cash accruals, over the
medium term.  The ratings may be downgraded if there is decline in
profitability margins, thereby leading to further deterioration in
the debt protection measures.  Conversely, the outlook may be
revised to 'Stable' if GS Alloy's financial risk profile improves
on the back of increasing revenue and improving profitability.

                          About GS Alloy

Incorporated in 1987 by Mr. Prasada Rao, GS Alloy manufactures
alloy and steel castings that are used in the heavy engineering
industry.  Its manufacturing unit in Vijayawada (Andhra Pradesh)
has capacity to produce 18,000 tonnes of castings per annum.

GS Alloy reported a net loss of INR1.0 million on net sales of
INR583 million for 2007-08 (refers to financial year, April 1 to
March 31), against a net loss of INR2.4 million on net sales of
INR528 million for 2007-08.


HST STEELS: CRISIL Rates INR1 Billion Cash Credit at 'BB+'
----------------------------------------------------------
CRISIL's rating on the bank facilities of HST Steels Pvt Ltd
continue to reflect HST's weak financial risk profile marked by
weak debt protection metrics, and low operating margin; the margin
is under pressure because of intense market competition.  These
rating weaknesses are partially offset by HST's wide product range
in the iron and steel trading business, and the management's
extensive industry experience.

   Facilities                         Ratings
   ----------                         -------
   INR1000 Million Cash Credit*       BB+/Stable (Reaffirmed)

  * Includes standby line of credit of INR50 million
    and proposed facility of INR300 million.

Outlook: Stable

CRISIL believes that HST's profitability will remain at current
levels, and the company will continue to benefit from the
promoters' ability and willingness to infuse equity, over the
medium term.  The outlook may be revised to 'Positive' in case of
a significant and sustained improvement in the company's financial
risk profile, most likely through better profitability or regular
equity infusions. Conversely, higher reliance on debt could result
in the outlook being revised to 'Negative'.

                        About HST Steels

HST, incorporated in 1995, is promoted by the Gaggar family, which
has been into iron and steel trading for more than four decades.
HST trades in iron and steel products such as hot-rolled (HR) and
cold-rolled (CR) coils/sheets, and mild steel plates, angles,
channels, and flats.  The company procures the material regularly
from Jindal Vijayanagar Steels Ltd, Steel Authority of India Ltd
(SAIL), Essar Steel Ltd, Ispat Industries Ltd, and IISCO. HST is
the authorised distributor of Jindal Vijayanagar Steels Ltd's
products in Andhra Pradesh, an authorized agent of Lloyds Steels
Ltd in Andhra Pradesh, and the exclusive distributor for Essar
Steel Ltd and Prakash Steel Industries in Andhra Pradesh.  HST
also trades in rolling mill products. The company has entered into
a memorandum of understanding with its supplier Tata Steel Ltd for
fixed off-take of around 2000 tonnes per month.

For 2008-09 (refers to financial year, April 1 to March 31), HST
reported a profit after tax (PAT) of INR21 million on operating
income of INR6102 million, against a PAT of INR21 million on net
sales of INR5694 million for 2007-08.


MAYTAS INFRA: Appoints Vimal Kaushik as New CEO
-----------------------------------------------
Maytas Infra Ltd has appointed Vimal Kaushik, former managing
director of infrastructure firm Punj Lloyd Ltd, as its new
managing director and chief executive officer (CEO), livemint.com
reports.

The report says the post had been vacant since January, after
previous CEO P.K. Madhav was arrested on charges of cheating
depositors of Nagarjuna Finance Ltd.

Meanwhile, The Press Trust of India reports that foreign fund
house CLSA (Mauritius) has cut its stake in Maytas Infra to 3.52%
by selling shares worth INR14.31 crore in open market deals.

The news agency, citing Maytas' disclosure to the Bombay Stock
Exchange, relates that CLSA sold 8.54 lakh shares, representing
1.45% stake in Maytas, for about INR14.31 crore on January 4.

After the sell off, the PTI notes, CLSA holds a 3.52% stake in the
company, down from the earlier nearly five per cent stake.

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, the two firms previously promoted by the kin of
Satyam Computer B. Ramalinga Raju.  "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 previous 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'.  Maytas Infra's former
board 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, according to the Hindu Business Line.

The TCR-AP, citing Reuters, reported on Sept. 4, 2009, that Salman
Khurshid, the Union Minister for Corporate Affairs, said that
Infrastructure Leasing and Financial Services Ltd will be the new
promoter of Maytas Infra 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: Mahindra Satyam Files Caveat Petition
---------------------------------------------------
The Times of India reports that Mahindra Satyam, formerly known as
Satyam Computer, has filed a caveat petition in the Andhra Pradesh
High Court against Maytas Infra as well as IL&FS, Maytas' new
promoter.

The move follows ongoing tussle between Maytas Infra and Mahindra
Satyam over refund claims of INR392 crore that Maytas alleges were
made to Satyam during former Satyam Chairman B Ramalinga Raju's
reign.

Citing Satyam's caveat petition filed on December 21, 2009, the
report discloses that Mahindra Satyam apprehended that IL&FS and
Maytas Infra may approach the HC and try to obtain an ex-parte
interim order discreetly and that any orders passed without
hearing them would result in Mahindra Satyam suffering
"irreparable loss and injury".

According to the report, Mahindra Satyam has also admitted in the
petition that it had received emails dated October 27 and De. 2,
2009, from Maytas and IL&FS seeking recovery of monies and that
Mahindra Satyam had denied the claims as "frivolous and vexatious"
in their reply dated November 6, 2009.

Maytas Infra had for the first time provided documentary evidence
of transfer of funds into Satyam accounts, the report notes.
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, the two firms previously promoted by the kin of
Satyam Computer B. Ramalinga Raju.  "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 previous 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'.  Maytas Infra's former
board 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, according to the Hindu Business Line.

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


ORIENT FASHIONS: Fitch Affirms 'BB+' National Long-Term Rating
--------------------------------------------------------------
Fitch Ratings has affirmed India's Orient Fashions Exports Private
Limited's National Long-term rating at 'BB+(ind)'.  The Outlook is
Stable.  The agency has also affirmed Orient's INR500m fund based
working capital bank lines, INR100m working capital lines
(interchangeable between export packing credit and letter of
credit) and non-fund-based working capital limits of INR40m at
'BB+(ind)/F4(ind)'.

Orient's ratings are underpinned by the resilience shown by the
company to the industry downturn in FY09.  Orient has been able to
successfully grow its sales -22% yoy to INR2135m in FY09 and
continues to grow as demonstrated by a good order book position
(at end-October 2009: INR941m).  Fitch notes the company's
conservative financial strategy and significant reduction in
leverage, posting a net debt/EBITDA ratio of 2.8x (FY08: 4.6x),
which also looks sustainable given it has no future capex plans.

The ratings are supported by Orient's more than 35 years of
experience in garment exports and its long-standing relationships
with a reputable clientele.  The ratings are further supported by
Orient's sound liquidity profile -- it does not have term loans or
major capex programmes, and has access to promoter funding.

Fitch notes that the company has been able to reduce its working
capital requirements considerably by successfully implementing an
efficiency improvement programme and by showing good cost-control
discipline.

However, Fitch notes the relatively small size of Orient's
operations, combined with low barriers to entry in the segment,
which renders the company vulnerable to competition from larger
peers and from countries such as Cambodia, Vietnam and Bangladesh.

The ratings continue to be constrained by the low profitability,
vulnerability to forex movements, high customer concentration and
geographic concentration risks.  While signs of a slow recovery
are visible, Fitch's outlook on a complete revival of export
demand in the short term is cautious.  Other risks include
business seasonality.

Positive ratings triggers include a continuous improvement in
revenues and profitability along with the sustaining of leverage
at the current level.  Negative rating drivers could be further
increase in the raw material prices and Orient's inability to pass
on input cost hikes to its customers, or a loss of any of the key
customers.

After two years of degrowing revenues, Orient posted an increase
of 22% in its revenues to INR2135m in FY09.  Despite lower
realisations the company has been able to improve its EBITDA
margins by 60 basis points to 5.5%, led by cost control measures.
Established in 1973, Orient specializes in creating and
manufacturing apparel.


SRI NACHAMMAI: CRISIL Assigns 'B+' Rating on INR120.80MM Term Loan
------------------------------------------------------------------
CRISIL has assigned its 'B+/Negative/P4' ratings to Sri Nachammai
Cotton Mills Ltd's above-mentioned bank facilities.

   Facilities                             Ratings
   ----------                             -------
   INR120.80 Million Term Loan*           B+/Negative (Assigned)
   INR120.00 Million Cash Credit          B+/Negative (Assigned)
   INR120.00 Million Letter of Credit     P4 (Assigned)
   INR20.00 Million Letter of Guarantee   P4 (Assigned)

   * Includes a proposed limit of INR7.00 Million

The ratings reflect SNCML's weak financial risk profile marked by
its low cash accruals, working capital intensive nature of
operations and its vulnerability to volatility in raw material
prices.  These rating weaknesses are partially offset by the
benefits that SNCML derives from its promoter's industry
experience.

Outlook: Negative

CRISIL believes SNCML's liquidity will remain constrained over the
medium term due to company's low profitability and cash accruals.
The ratings may be downgraded if the company undertakes a large,
debt-funded capital expenditure programme, leading to further
deterioration in its financial risk profile. Conversely, the
outlook may be revised to 'Stable' if SNCML's revenues and
profitability increase substantially, resulting in an improvement
in the company's liquidity and overall financial risk profile.

                        About Sri Nachammai

Incorporated in 1980 by Mr. P Palaniappan, Tamil Nadu-based SNCML
manufactures cotton yarn.  The company manufactures three
varieties of cotton yarn: hosiery yarn, warp yarn, and hank yarn
with counts ranging from 10s to 80s, which are used for
manufacturing garments.  The company has two manufacturing
facilities, and a total capacity of 36,912 spindles.  SNCML has
leased another manufacturing unit in Salem (Tamil Nadu) from its
subsidiary, Supreme Yarn Spinners Ltd, equipped with 10,536
spindles and 504 rotors. Furthermore, SNCML plans to add 8000
spindles to its facilities by April 2010.

SNCML reported a net loss of INR27 million on net sales of INR793
million for 2008-09 (refers to financial year, July 1 to June 30),
against a net loss of INR16 million on net sales of INR825 million
for 2007-08.


UNIVERSAL PRECISION: CRISIL Rates INR57.5MM Term Loan at 'BB-'
--------------------------------------------------------------
CRISIL has assigned its 'BB-/Stable/P4+' ratings to Universal
Precision Screws' bank facilities.

   Facilities                         Ratings
   ----------                         -------
   INR57.50 Million Term Loan         BB-/Stable (Assigned)
   INR7.0 Million Proposed LT         BB-/Stable (Assigned)
           Bank Loan Facility
   INR20.0 Million Foreign Bill       P4+ (Assigned)
           Discounting
   INR10.0 Million Export Packing     P4+ (Assigned)
                           Credit
   INR30.0 Million Letter of Credit   P4+ (Assigned)
   INR5.0 Million Bank Guarantee      P4+ (Assigned)

The ratings reflect UPS's small scale of operations, customer
concentration in revenue profile, and vulnerability to adverse
change in regulations and to downtrends in demand from the end-
user industry.  These rating weaknesses are partially offset by
UPS's comfortable financial risk profile, and healthy operating
efficiency, and the benefits that the firm derives from its
promoters' experience in the fasteners business.

Outlook: Stable

CRISIL believes that UPS will maintain a comfortable financial
risk profile and strong relationships with its export customers.
The firm will continue to benefit from group company Lakshmi
Precision Screws Ltd's longstanding presence in the fastener
industry.  The outlook may be revised to 'Positive' if UPS's scale
of operations improves, while its financial risk profile remains
comfortable. Conversely, the outlook may be revised to 'Negative'
if UPS undertakes a large debt-funded capital expenditure (capex)
programme, or if its profitability and cash accruals come under
pressure.

                    About Universal Precision

UPS was started by Mr. Lalit Kumar Jain, his brothers Mr. Vijay
Kumar Jain and Mr. Rajesh Jain, and cousin Mr. Dinesh Kumar Jain,
in 2006. UPS is a 100-per cent export-oriented unit manufacturing
and exporting fasteners for the automobile industry.  Since 2007-
08 (refers to financial year, April 1 to March 31), the firm has
also been supplying anchor brush to Enercon India Ltd with special
permission from the excise department.  The firm is primarily into
manufacturing shoulder bolts and dowel pins.  The firm has one
manufacturing facility at Rohtak, Haryana having a capacity of 150
tonnes per month.

UPS's promoters have extensive experience in the fastener business
through group company LPS, which manufactures high-tensile
strength fasteners for sale in both domestic and overseas markets.
UPS reported a profit after tax (PAT) of INR32.4 million on net
sales of INR80.8 million for 2008-09, as against a PAT of INR25.8
million on net sales of INR80.0 million for 2007-08.


YAMUNA CABLE: CRISIL Reaffirms 'BB+' Ratings on Various Bank Debts
------------------------------------------------------------------
CRISIL's ratings on the bank facilities of Yamuna Cable
Accessories Pvt Ltd, a Yamuna group entity, continue to reflect
the group's large working capital requirements, resulting in high
utilization of bank lines, and its customer concentration. These
weaknesses are partially offset by the industry experience of
YCA's promoters and by their established relationships with
clients.

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

   * Includes sub-limits: INR40-million export packaging credit
     facility, and INR20-million foreign bill purchase loan.

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

Outlook: Stable

CRISIL believes that the Yamuna group will continue to benefit
from an established position in the cable accessories market.  The
outlook may be revised to 'Positive' if the group reports strong
revenue growth and profitability, resulting in higher cash
accruals, while maintaining a stable capital structure.
Conversely, the outlook may be revised to 'Negative' if the
company undertakes larger-than-expected debt-funded capital
expenditure programme, resulting in increase in its leverage and
deterioration in debt coverage indicators, or if the company's
operating margin declines.

                         About the Group

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

For 2008-09 (refers to financial year, April 1 to March 31), YCA
reported a standalone profit after tax of INR0.29 million on net
sales of INR39.6 million, against INR1.8 million and INR70
million, respectively, previous year.

YPIL, formerly Yamuna Gases & Chemicals Ltd, was incorporated in
1973.  The company is engaged in the manufacture of cable
accessories, such as power and telecom cable joining kits,
polymeric insulators, and vacuum-circuit breakers.  The company
also undertakes projects for erecting power-transmission lines and
for sub-station building and cable laying.  The manufacturing
facilities are located in Yamunanagar, Haryana.

For 2008-09, YPIL reported standalone PAT of INR12.8 million on
net sales of INR672 million, against a PAT of INR17.2 million on
net sales of INR647 million in the previous year.


YAMUNA POWER: CRISIL Reaffirms 'BB+' Rating on INR245M Cash Credit
------------------------------------------------------------------
CRISIL's ratings on the bank facilities of Yamuna Power &
Infrastructure Ltd, a Yamuna group entity, continue to reflect the
group's large working capital requirements, resulting in high
utilization of bank lines, and its customer concentration.  These
weaknesses are partially offset by the industry experience of
YPIL's promoters and by their established relationships with
clients.

   Facilities                         Ratings
   ----------                         -------
   INR245 Million Cash Credit*        BB+/Stable (Reaffirmed)
   INR50 Million Letter of Credit     P4+ (Reaffirmed)
   INR250 Million Bank Guarantee      P4+ (Reaffirmed)

   * Includes a sub-limit of INR25 million export packaging
     credit facility, INR64 million FCNRB) loan, and INR1 million
     demand draft purchase facility.

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

Outlook: Stable

CRISIL believes that the Yamuna group will continue to benefit
from an established position in the cable accessories market.  The
outlook may be revised to 'Positive' if the group reports strong
revenue growth and profitability, resulting in higher cash
accruals, while maintaining a stable capital structure.
Conversely, the outlook may be revised to 'Negative' if the
company undertakes larger-than-expected debt-funded capital
expenditure programme, resulting in increase in its leverage and
deterioration in debt coverage indicators, or if the company's
operating margin declines.

                         About Yamuna Power

YPIL, formerly Yamuna Gases & Chemicals Ltd, was incorporated in
1973 by Mr. Sham Sunder Sardana.  The company is engaged in the
manufacture of cable accessories such as power and telecom cable
joining kits, polymeric insulators, and vacuum-circuit breakers.
The company also undertakes projects for erecting power-
transmission lines and for sub-station building and cable laying.
The manufacturing facilities are located in Yamunanagar, Haryana.

For 2008-09 (refers to financial year, April 1 to March 31), YPIL
reported standalone profit after tax (PAT) of INR12.8 million on
net sales of INR672 million, against a PAT of INR17.2 million on
net sales of INR647 million in the previous year.

YCA, formerly Bhatuloi Reinforce Pvt Ltd is in the business of
manufacture of cable-joining kits, and accessories for power
cables of up to 400 kilovolts (KV) and for telecom cables.  The
company's manufacturing facilities are located in Yamunanagar,
Haryana. YCA was a 100 per cent subsidiary of YPIL. From September
2008, YCA ceased to be YPIL subsidiary.

For 2008-09 (refers to financial year, April 1 to March 31), YCA
reported a standalone profit after tax of INR0.29 million on net
sales of INR39.6 million, against INR1.8 million and INR70
million, respectively, previous year.


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


CENTRAL PROTEINAPRIMA: Moody's Cuts Corp. Family Rating to 'Ca'
---------------------------------------------------------------
Moody's Investors Service has downgraded to Ca from Caa1 the
corporate family rating and senior secured bond rating of PT
Central Proteinaprima.  The outlook for the ratings is negative.

"The rating action reflects a missed coupon payment by CPP on
December 28, 2009, on its US$325 million senior notes.  Moody's
believe that the prospects of the company being able to pay the
coupon within the 30-day grace period are limited," says Ken Chan,
a Moody's Vice President.

CPP's liquidity profile remains weak with cash on hand of around
US$20 million as of September, 2009.  The company's near-term cash
flow generation will remain hampered until the virus contamination
at its ponds is fully resolved.  Moreover, the ability for CPP to
raise new bank facilities is limited by its earlier non-compliance
with its financial covenants.

The negative outlook reflects the expectation of non-payment
within the grace period and a low visibility on operating
performance over the next few quarters.

The last rating action with regard to CPP was taken on July 13,
2009, when the company's corporate family and senior secured bond
ratings were downgraded to Caa1 from B3 with a negative outlook.

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


CP PRIMA: Explanation on Unit's US$325-Mln Bond Default Sought
--------------------------------------------------------------
The Capital Market and Financial Institutions Supervisory Agency
(Bapepam-LK) is demanding an explanation from PT Central
Proteinaprima over reports suggesting the subsidiary of the local
shrimp producer has failed to repay bond coupons worth US$325
million, The Jakarta Post reports.

According to the report, Bapepam real sector division chief Anis
Baridwan said Friday that his office had sent letter to CP Prima
management asking for further clarification in relation to its
Blue Ocean Resources Ltd. bond default.

The Post relates Anis said the move was triggered by reports
published in the media, quoting information from Fitch Ratings
that decided to downgrade CP Prima's credit rating to C, because
of the company's inability to repay its bond coupons due last
December.

Aside from demanding an explanation, says the Post, the letter
also requested the company explain its next move in handling the
situation.

CP Prima corporate communications manager Fajar Reksoprodjo said
the company could not comment on the Fitch report at this stage,
the Post notes.

                     Credit Ratings Downgrade

As reported in the Troubled Company Reporter-Asia Pacific on
Jan. 11, 2010, Fitch Ratings said it downgraded PT Central
Proteinaprima Tbk's Long-term foreign currency Issuer Default
Rating to 'C' from 'CC'.  Fitch 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'.

Fitch said that these rating actions follow CPP's failure to pay
the semi-annual coupon on the US$ notes on December 28, 2009.
Fitch said it has now received sufficient evidence of the non-
payment of the coupon following Fitch's comment on CPP on
Jan. 6, 2010 ("Fitch: Unable to Determine Coupon Payment by
Central Proteinaprima").

According to Fitch, 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$21 million
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," Fitch said in a statement.

                           About CP Prima

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

                           *     *     *

As reported by the Troubled Company Reporter-Asia Pacific on
July 15, 2009, Moody's Investors Service downgraded to Caa1 from
B3 the corporate family rating and senior secured bond rating of
PT Central Proteinaprima.  The outlook for the ratings is
negative.


GARUDA INDONESIA: Wins Investors' Approval to Restructure Debt
--------------------------------------------------------------
Katrina Nicholas at Bloomberg News reports that PT Garuda
Indonesia won bondholder permission for a debt restructuring at a
meeting in Singapore on January 11.

Eddy Porwanto, Garuda's executive vice president for finance, told
Bloomberg that investors approved the state-owned carrier's plan
to buy back US$122 million and IDR146.4 billion (US$16 million) of
outstanding bonds.  Garuda will pay a maximum of 70 cents on the
dollar and results of the buyback will be announced Jan. 13,
Bloomberg relates.

The agreement is a "very important milestone for us," Bloomberg
quoted Mr. Porwanto as saying.  "Having completed our debt
restructuring we will be in a much better position in terms of our
balance sheet for the IPO."

Garuda, Bloomberg recalls, struck an agreement on Dec. 30 with PT
Bank Mandiri to convert the bank's IDR967 billion of debt into a
10.61% equity stake. In October, the airline restructured US$76
million of debt owed to PT Pertamina, Indonesia's state oil and
gas company, the report adds.

                            Planned IPO

The Jakarta Post reports that State SOE Minister Mustafa Abubakar
said the government would privatizate Garuda Indonesia through an
initial public offering in the first quarter of 2010.

"Let's pray for positive market response, so that the shares that
we sell will meet our target," the Post quoted Mustafa as saying
during the launch of a green campaign involving Garuda and Leuser
International Foundation in Banda Aceh on Saturday.

Garuda will privatize 25% of its shares to raise US$300 million it
needs to buy new planes and improve services, the Post says.

According to the Post, Garuda president director Emirsyah Satar
said the company would purchase nearly 50 planes to strengthen its
fleet of 67 planes by 2014.

As reported in the Troubled Company Reporter-Asia Pacific on
Aug. 13, 2009, Garuda Indonesia expects to raise as much as US$400
million from its much-awaited Initial Public Offering in June this
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.


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


CITIGROUP INC: Peterson Leaves Japan Unit, Returns to NY Office
---------------------------------------------------------------
According to The Wall Street Journal's Alison Tudor, a person
familiar with the matter said Sunday, Douglas Peterson, who heads
Citigroup Inc.'s operations in Japan, is returning to New York
after overseeing the swift sale of assets in Japan to help Citi
repay the U.S. government for its bailout loan.

The report says Mr. Peterson will be succeeded by Darren Buckley,
head of Citibank Japan Ltd.

Based in New York, Citigroup Inc. (NYSE: C) -- is a global
diversified financial services holding company whose businesses
provide a broad range of financial services to consumer and
corporate customers.  Citigroup has roughly 200 million customer
accounts and does business in more than 140 countries.
Citigroup's businesses are aligned in three reporting segments:
(i) Citicorp, which consists of Regional Consumer Banking (in
North America, EMEA, Asia, and Latin America) and the
Institutional Clients Group (Securities and Banking, including the
Private Bank, and Transaction Services); (ii) Citi Holdings, which
consists of Brokerage and Asset Management, Local Consumer
Lending, and a Special Asset Pool; and (iii) Corporate/Other.

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

Citigroup, the third-biggest U.S. bank, received $45 billion in
bailout aid.  Other bailed-out banks, including Bank of America
Corp., Wells Fargo & Co., have pledged to repay TARP money.
JPMorgan Chase & Co., Goldman Sachs Group Inc. and Morgan Stanley,
repaid TARP funds in June.  Citigroup is selling assets to repay
the bailout funds.

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


JAPAN AIRLINES: JCR Cuts Ratings on Outstanding Bonds to 'CCC'
--------------------------------------------------------------
Japan Credit Ratings Agency, Ltd., has downgraded the rating on
senior debts of Japan Airlines Corporation from B to CCC,
maintaining it on Credit Monitor with Negative direction (from
#B/Negative to #CCC/Negative).  JCR has similarly downgraded the
ratings on the outstanding bonds and shelf registration
(preliminary) from B- to CCC, maintaining them on Credit Monitor
with Negative direction (from #B-/Negative to #CCC/Negative).

Senior debts: #CCC/Negative

             Amount
  Issues     (Bln)   Issue Date  Due Date   Coupon  Rating
  ------    ------   ---------   --------   ------  ------
bonds no.1  JPY10    12/18/2003  12/18/2013 2.94%   #CCC/Negative
bonds no.3  JPY10    02/04/2004  02/04/2011 1.92%   #CCCNegative

   (bonds no.1 and no.3 are guaranteed by Japan Airlines
    International.)

Shelf Registration: preliminary #CCC/Negative
Maximum: JPY150 billion
Valid: two years effective from January 31, 2008

Rationale

Arguments about support from Enterprise Turnaround Initiative
Corporation of Japan to Japan Airlines Corporation (JAL) are
entering a final phase.  JAL's operating performance is worsening
owing to decline in its operating revenue.  In its rehabilitation
process, drastic restructuring measures might be carried out, and
value of its flight equipment might fall further.  JCR considers
that it is now more certain that impairment of financial
institutions' claims will expand more than expected, taking into
consideration burdens associated with the process.  A number of
discussions on the methods for its rehabilitation are now being
conducted, and it appears that there are discussions on a scheme
on the premise of JAL's filling for protection under the Corporate
Rehabilitation Law.  JCR downgraded the ratings on JAL to "CCC"
and maintains them on Credit Monitor, because its operations
deteriorated more than JCR's previous expectations and the chances
of shift to JAL's filing for bankruptcy protection are increasing.


JAPAN AIRLINES: May Dissolve Pension Fund for Retirees
------------------------------------------------------
Japan Airlines Corp. may dissolve its pension fund if retirees
reject a proposed 30% cut in payouts, Kiyotaka Matsuda at
Bloomberg News reports citing two people familiar with the matter.

Bloomberg's sources said the Enterprise Turnaround Initiative
Corp., the state-run agency restructuring Japan Air, aims to close
the fund if the airline doesn't win the needed agreement of more
than two-thirds of 9,000 retirees.  That would result in benefits
being slashed by about 65%, they said, declining to be named
before any decision is made public.

According to the report, JAL has lobbied retirees to accept lower
pensions as the carrier's largest creditors are set to agree on a
court-led bankruptcy.  Bloomberg says the carrier has already won
approval from current employees for a 50% reduction in pension
benefits as it is forecast to post a record loss.

"The company hasn't decided anything," Bloomberg quoted Satoru
Tanaka, a Japan Airlines spokesman, as saying.  "It is making
every effort to get approval."

The former employees have until Jan. 22 to accept or reject the
proposed cuts, Bloomberg notes.  About 45% had accepted them as of
Jan. 9.

                          Delta-JAL Deal

The Associated Press reports that the Business Travel Coalition, a
group representing business travelers, opposes a proposed tie up
between Japan Airlines Corp. and Delta Air Lines and as bad for
competition.

BTC Chairman Kevin Mitchell told the AP that the proposed SkyTeam
alliance would likely create a monopoly, controlling 62% of the
market share on routes between Japan and the U.S., up from a
third.

The AP relates Mr. Mitchell said the group, which represents 300
global corporations, thinks Japan Airlines should remain in the
Oneworld alliance with American Airlines.

Mr. Mitchell, the AP says, expressed doubts that a Delta-JAL tie-
up would clear US antitrust regulations.

Citing BTC's letter to Japan Transport Minister Seiji Maehara, the
AP says the group noted the importance of Japan-US air routes,
which carry 6.3 million passengers a year, and warned a Delta-JAL
tie-up would be too dominant.  "JAL remaining in the Oneworld
alliance with American Airlines is obviously best for competition
and consumer choice," the AP cited the letter.

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.


JAPAN AIRLINES: To Cut 30% Workforce Under Rehabilitation Plan
--------------------------------------------------------------
Japan Airlines Corp. is expected to cut 15,600 jobs, or about 30%
of its group workforce, by the business year through March 2013
under a rehabilitation plan being compiled by state-backed
Enterprise Turnaround Initiative Corp. of Japan, Kyodo News
reports citing sources familiar with the matter.

Sources told Kyodo that the layoffs, along with cuts in benefits
and wages, will be carried out together with the sale of its
subsidiaries including JAL Hotels Co.  JAL's workforce will be
trimmed to about 36,000 employees by fiscal 2012, Kyodo relates.

According to Kyodo, the ETIC plans to decide on its bailout
package for JAL as early as Jan 19, at the same time the airline
is expected to file for court-backed bankruptcy proceedings.

Kyodo's sources said that ETIC estimatd JAL's liabilities exceed
its assets by over JPY860 billion.  By using the option, Kyodo
notes, ETIC plans to reduce JPY730 billion of JAL's liabilities.
It also plans to invest JPY300 billion in the carrier, Kyodo adds.

Even after bankruptcy proceedings, the state-backed body will
guarantee over JPY470 billion in receivables for payments of fuel
and other commercial transactions necessary to keep JAL flying,
Kyodo's sources said.

The company's creditor banks will be required to waive about
JPY350 billion, out of an approximate JPY430 billion in unsecured
bank loans, Kyodo states.

According to the report, ETIC estimated JAL's consolidated
operating loss to expand to about JPY265.1 billion for the current
business year through March, compared with a year-earlier loss of
JPY50.88 billion, due to a drop in the number of passengers.

Through restructuring measures to be carried out under the ETIC's
rehabilitation plan, JAL will aim to achieve JPY115.7 billion in
operating profit by fiscal 2012, the sources said.

                            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 INT'L.: JCR Cuts Ratings on Senior Debts to 'CCC'
----------------------------------------------------------------
Japan Credit Ratings Agency, Ltd., has downgraded the rating on
senior debts of Japan Airlines International Co. from "B" to
"CCC", maintaining it on Credit Monitor with Negative direction
(from #B/Negative to #CCC/Negative).

Japan Airlines International Co. is a core operating company of
JAL Group, generating the majority of the Group's cash flow on a
consolidated basis.  JCR said that all executive officers and
directors of the holding Company, Japan Airlines Corporation,
concurrently serve as executive officers and directors of the
Company.  As the Company's oneness to the Group is strong, its
credit capacity is considered equivalent to that of Japan Airlines
Corporation.  Therefore, JCR downgraded the rating on the Company
to "CCC" and maintains it on Credit Monitor in the same way as JCR
did for JAL.


SPANSION INC: Strikes Deals With Japanese Ex-Subsidiary
-------------------------------------------------------
Law360 reports that Spansion Inc. said Friday that it would
acquire the distribution business of Spansion Japan Ltd., its
former subsidiary, and that it had approved a new foundry services
agreement that would include wafer and sort services from the
Japanese company.

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)


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


HYUNDAI MOTOR: Beats Renault in 2009 Sales in Turkey, Yonhap Says
-----------------------------------------------------------------
Yonhap News reports that Hyundai Motor Co. said Monday it has
unseated Renault SA of France as the largest car seller in Turkey
due to rising demand for its small cars.

The news agency notes Hyundai said it sold a total of 60,645 cars
in Turkey last year, accounting for 16.4% of the Turkish market,
compared with a 16% market share held by Renault for the same
period.

Headquartered in Seoul, South Korea, Hyundai Motor Company
(SEO:005380) -- http://www.hyundai-motor.com/-- is an automobile
manufacturer.  The company markets the Genesis, Genesis Coupe,
Azera, Sonata, Elantra, Accent, Getz, i30, i30cw, i20 and i10
passenger cars; the Veracruz, Santa Fe, Tucson, Matrix, H-1
recreational vehicles, and commercial vehicles, which include
medium and heavy duty trucks, van trucks, tank lorries, bulk
cement carriers, bulk cement tractors and others.

                          *     *     *

As reported by the Troubled Company Reporter-Asia Pacific on
Nov. 13, 2009, Moody's Investors Service revised to stable from
negative the outlook of the Baa3 issuer and senior unsecured bond
ratings for Hyundai Motor Company and its guaranteed subsidiary
Hyundai Motor Manufacturing Alabama LLC.  Moody's also revised the
Ba1 Corporate Family Rating outlook of Kia Motors Corp. to stable
from negative.

The TCR-AP reported on December 11, 2009, that Fitch Ratings
revised the Outlook on Hyundai Motor's and Kia Motors' foreign
currency Long-term Issuer Default Ratings to Positive from
Negative, and simultaneously affirmed them at 'BB+'.  The agency
also affirmed the 'BB+' rating on both companies' senior unsecured
debt and the Short-term IDRs at 'B'.

HMC's and Kia's Long-term IDR was downgraded to 'BB+' with
Negative Outlook in January 2009, due to concerns that the global
auto market downturn would negatively impact the profitability and
key credit metrics of the companies to an extent that is not
commensurate to investment grade levels.


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


HO HUP: Begins Defamation Suit Against Low Chee & Dato' Low Tuck
----------------------------------------------------------------
Ho Hup Construction Company Berhad disclosed in a regulatory
filing that the company's has instructed its solicitors to
commence legal proceedings against Low Chee & Sons Sdn. Bhd. and
Dato' Low Tuck Choy for defaming the Company.

Ho Hup said the defamation suit against Low Chee & Sons Sdn. Bhd.
and Dato' Low Tuck Choy results from the notices advertised by Low
Chee & Sons Sdn. Bhd. in "The Star" and "Sin Chew Daily"
newspapers on December 25 and December 28, 2009, and the interview
given by Dato' Low Tuck Choy to "The Edge Financial Daily"
newspaper on December 28, 2009 and the Company's announcement to
Bursa Malaysia Securities Berhad on December 29, 2009, in relation
to:

   (a) Proposed Disposal by Ho Hup of all that piece of freehold
       vacant land held under Lot No. P.T. 4150, H.S.(D) 812,
       Mukim of Cheras, District of Hulu Langat, State of Selangor
       measuring approximately 5.5 acres to Kentlee (M) Sdn. Bhd.
       for a cash consideration of MYR7,200,000; and

   (b) Proposed Disposal by Bukit Jalil Development Sdn. Bhd., a
       70%-owned subsidiary of Ho Hup, of all that piece of
       freehold vacant land held under Lot No. 39868, Geran 53418,
       Mukim of Petaling, District of Kuala Lumpur, State of
       Wilayah Persekutuan Kuala Lumpur measuring approximately
       2.6 acres to Etnik Masyhur Sdn. Bhd. (now known as Lifomax
       Land Sdn. Bhd.) for a cash consideration of MYR5,678,046.

The Company's solicitors have filed the writ endorsed with a
Statement of Claim on January 7, 2010.

Ho Hup Construction Company Berhad is engaged in foundation
engineering, civil engineering, building contracting works and
hire of plant and machinery.  The Company operates in four
segments: construction, which is engaged in foundation and civil
engineering, building contracting works and engineering,
procurement, construction and commissioning of pipeline system;
property development, which includes the development of
residential and commercial properties, manufacturing, which
includes manufacturing and distribution of ready-mixed concrete,
and other business segment, which represents hire of plant and
machinery.  The Company's subsidiaries include H2Energy
Corporation Sdn Bhd, Tru-Mix Concrete Sdn Bhd, Bukit Jalil
Development Sdn Bhd and Ho Hup Equipment Rental Sdn Bhd.

                           *     *     *

Ernst & Young expressed a disclaimer opinion in the Company's 2007
audited financial statements.  As a result, the Company became an
affected listed issuer pursuant to paragraph 2.1 of the PN17/2005.
The auditors cited factors that indicate the existence of material
uncertainties, which may cast significant doubt on the ability of
the group and the company to continue as a going concern.


HO HUP: Commences Legal Suit Against Managing Director
------------------------------------------------------
Ho Hup Construction Company Berhad said it has instructed its
solicitors to commence legal proceedings against Dato' Low Tuck
Choy for among others, breach of his fiduciary duties owed to the
Company during his tenure as Managing Director of the Company.

The Company's solicitors have filed the Writ endorsed with a
Statement of Claim on January 8, 2010.  In the Suit, the Company
has claimed for, among others, damages amounting to MYR235.6
million and legal costs.

Ho Hup Construction Company Berhad is engaged in foundation
engineering, civil engineering, building contracting works and
hire of plant and machinery.  The Company operates in four
segments: construction, which is engaged in foundation and civil
engineering, building contracting works and engineering,
procurement, construction and commissioning of pipeline system;
property development, which includes the development of
residential and commercial properties, manufacturing, which
includes manufacturing and distribution of ready-mixed concrete,
and other business segment, which represents hire of plant and
machinery.  The Company's subsidiaries include H2Energy
Corporation Sdn Bhd, Tru-Mix Concrete Sdn Bhd, Bukit Jalil
Development Sdn Bhd and Ho Hup Equipment Rental Sdn Bhd.

                           *     *     *

Ernst & Young expressed a disclaimer opinion in the Company's 2007
audited financial statements.  As a result, the Company became an
affected listed issuer pursuant to paragraph 2.1 of the PN17/2005.
The auditors cited factors that indicate the existence of material
uncertainties, which may cast significant doubt on the ability of
the group and the company to continue as a going concern.


HO HUP: Low Chee, Choo Soo Har Seek to Remove Some Directors
------------------------------------------------------------
Ho Hup Construction Company Berhad received on January 5, 2010, a
copy of the Special Notice pursuant to Sections 128 and 153 of the
Act on removal and appointment of directors (together with the
calling of an Extraordinary General Meeting pursuant to Section
145 of the Act) from the shareholders of the Company collectively
holding not less than one-tenth of the issued share capital of Ho
Hup.

On January 7, Ho Hup also received these documents from
shareholders, Low Chee & Sons Sdn. Bhd. and Choo Soo Har:

   a) Notice of Intention to move resolutions requiring special
      notice and Notice of intention to remove persons from
      office and to propose persons for election to office of
      director;

  (b) Notice of Extraordinary General Meeting dated Jan. 7, 2010,
      calling for the EGM to be held on Feb. 4, 2010, together
      with a Form of Proxy; and

  (c) Letter to shareholders of the Company dated Jan. 7, 2010,
      attaching (as Appendix A) Resumes of the 6 candidates being
      proposed as new directors, and (as Appendix B) the Proposed
      Alternative Regularization Plan.

Ho Hup Construction Company Berhad is engaged in foundation
engineering, civil engineering, building contracting works and
hire of plant and machinery.  The Company operates in four
segments: construction, which is engaged in foundation and civil
engineering, building contracting works and engineering,
procurement, construction and commissioning of pipeline system;
property development, which includes the development of
residential and commercial properties, manufacturing, which
includes manufacturing and distribution of ready-mixed concrete,
and other business segment, which represents hire of plant and
machinery.  The Company's subsidiaries include H2Energy
Corporation Sdn Bhd, Tru-Mix Concrete Sdn Bhd, Bukit Jalil
Development Sdn Bhd and Ho Hup Equipment Rental Sdn Bhd.

                           *     *     *

Ernst & Young expressed a disclaimer opinion in the Company's 2007
audited financial statements.  As a result, the Company became an
affected listed issuer pursuant to paragraph 2.1 of the PN17/2005.
The auditors cited factors that indicate the existence of material
uncertainties, which may cast significant doubt on the ability of
the group and the company to continue as a going concern.


OILCORP BERHAD: Defaults on MYR60-Mil. Outstanding MUNIF Notes
--------------------------------------------------------------
Oilcorp Berhad said it is unable to redeem the outstanding MUNIF
Notes totaling MYR60,000,000.00 on the redemption date of
January 7, 2010, pursuant to Oilcorp's Murabahah Underwritten
Notes Issuance Facility/Islamic Medium Term Notes Facility of up
to MYR70,000,000.00 dated September 15, 2004 between Oilcorp
("Issuer"), Oilfab Sdn. Bhd., D' Tiara Corp. Sdn. Bhd., MIDF
Amanah Investment Bank Berhad ("Lead Arranger and Facility Agent"
and "Issuing Agent and Paying Agent") and the Eligible
Investor(s), namely MIDF Amanah Investment Bank Berhad
("Underwriters").

Oilcorp said it will formulate a restructuring plan to regularise
its financial condition as a measure to address the default.  The
Company has on even date appointed Public Investment Bank Berhad
as the Principal Adviser for the restructuring plan.

The legal implication of the default is that its trustee, OSK
Trustee Berhad may at its discretion and shall if instructed by
the MUNIF/IMTN Noteholders by Special Resolution, declare an Event
of Default, and may declare by notice in writing to Oilcorp that
notwithstanding the maturity dates stated on the MUNIF/IMTN Notes,
the face amount of all outstanding MUNIF/IMTN Notes together with
all sums payable to the MUNIF/IMTN Noteholders, shall become
immediately due and payable.

According to the Company, such a default will have an impact on
the business, financial and operational aspects of the Company in
so far as it relates to the securing of new contracts or raising
finance for new projects.

The Company said it is seeking legal advice whether such a default
does constitute an Event of Default under the agreements with
other financiers.

                           About Oilcorp

Oilcorp Berhad is a Malaysia-based investment holding company.
The Company operates in five segments: oil and gas and
engineering, which includes engineering, procurement, construction
and contract-related services in oil and gas related industries;
property investment/resort, which includes property and resort
operations and related activities and services; investment
holding, which includes investment holding; fisheries, which
includes deep sea fishing operations and related activities, and
overseas special project (construction), which includes
engineering, procurement, construction and contract-related
sources in non oil and gas industries related industries.  Its
wholly owned subsidiaries include Oil-Line Engineering &
Associates Sdn. Bhd., D'Tiara Corp Sdn. Bhd., Layar Visi Sdn. Bhd.
and D'Tiara Corp Limited.

Oilcorp Berhad has been classified as an Affected Listed Issuer
under Practice Note 17/2005 of Bursa Malaysia Securities Berhad
as the Company is unable to provide a solvency declaration to
Bursa Securities following a default in its interest payments
pursuant to Practice Note 1/2001.


OILCORP BERHAD: Unit Defaults on MYR120-Mil. MUNIF Notes
--------------------------------------------------------
Oilcorp Berhad disclosed that Straight A's Portfolio Sdn. Bhd.,
the Company's indirect wholly-owned subsidiary, is unable to
redeem another outstanding MUNIF Note totaling MYR12,000,000.00 on
the redemption date of December 31, 2009, pursuant to SAP's
Murabahah Underwritten Notes Issuance Facility of up to MYR200
million dated March 26, 2007, between SAP ("Issuer"), MIDF Amanah
Investment Bank Berhad ("Lead Arranger and Facility Agent" and
"Issuing Agent") and the Eligible Investors, namely MIDF Amanah
Investment Bank Berhad and Bank Kerjasama Rakyat Malaysia Berhad
("Underwriters").

Oilcorp said it will formulate a restructuring plan to regularise
its financial condition as a measure to address the default.

The legal implication of the default is that OSK Trustee Berhad
may at its discretion and shall if instructed by the MUNIF
Noteholders by Special Resolution, declare an Event of Default,
and may declare by notice in writing to SAP that notwithstanding
the maturity dates stated on the MUNIF Notes, the face amount of
all outstanding MUNIF Notes together with all sums payable to the
MUNIF Noteholders, shall become immediately due and payable. The
total face amount of all outstanding MUNIF Notes is
MYR80,000,000.00 and this includes this particular MUNIF Note of
MYR12,000,000.00 and also the MUNIF Note of MYR24,000,000.00
defaulted as announced on December 14, 2009.

According to Oilcorp, such a default will have an impact on the
business, financial and operational aspects of the Company in so
far as it relates to the securing of new contracts or raising
finance for new projects.

There is a debenture executed by and between SAP and the Trustee.
The Trustee may appoint a receiver when the security becomes
enforceable upon a declaration of an Event of Default under the
Trust Deed.

The Company said it is seeking legal advice whether such a default
does constitute an Event of Default under the agreements with
other financiers.

The Default is in respect of SAP which is not a major subsidiary
and is a special purpose vehicle incorporated for sole purpose of
issuing MYR200 million nominal value private debt securities on
behalf of Oil-Line Engineering & Associates Sdn. Bhd. the
immediate holding company under a trust relationship.  OLEA is a
wholly-owned company of Oilcorp.

                           About Oilcorp

Oilcorp Berhad is a Malaysia-based investment holding company.
The Company operates in five segments: oil and gas and
engineering, which includes engineering, procurement, construction
and contract-related services in oil and gas related industries;
property investment/resort, which includes property and resort
operations and related activities and services; investment
holding, which includes investment holding; fisheries, which
includes deep sea fishing operations and related activities, and
overseas special project (construction), which includes
engineering, procurement, construction and contract-related
sources in non oil and gas industries related industries.  Its
wholly owned subsidiaries include Oil-Line Engineering &
Associates Sdn. Bhd., D'Tiara Corp Sdn. Bhd., Layar Visi Sdn. Bhd.
and D'Tiara Corp Limited.

Oilcorp Berhad has been classified as an Affected Listed Issuer
under Practice Note 17/2005 of Bursa Malaysia Securities Berhad
as the Company is unable to provide a solvency declaration to
Bursa Securities following a default in its interest payments
pursuant to Practice Note 1/2001.


WONDERFUL WIRE: Total Default Reaches MYR81.69 Mil. as of Dec. 31
-----------------------------------------------------------------
Wonderful Wire Berhad disclosed with the Bursa Stock Exchange that
the company's total default reached MYR81,690,129.17 as of
December 31, 2009, which comprises of:

Wonderful Wire's loans:
                                            Principal & Interest
    Lender                    Facility          Outstanding (MYR)
    -------                   --------        --------------------
CIMB Bank Berhad          Short Term Advance      11,192,401.27
                          Overdraft                2,509,186.60

CIMB Factor Lease Berhad  Leasing                  4,292,135.19

Malayan Banking Berhad    Term Loan               34,683,538.07
                            Overdraft              5,637,246.03

RHB Islamic Bank Berhad   Term Financing          20,687,021.45
                           Revolving Credit        2,334,080.92

Bank Muamalat Malaysia    Hire Purchase Car Loan      20,386.00

Orix Rentec (M)           Rental of office
Sdn. Bhd.                 equipment                   71,144.00
                                                  -------------
                                         Total:   81,427,139.53

WWC Oil & Gas (Malaysia) Sdn. Bhd.'s loan:

                                              Principal & Interest
    Lender                    Facility          Outstanding (MYR)
    -------                   --------        --------------------
  CIMB Factor Lease Bhd.      Leasing                262,989.64

                       About Wonderful Wire

Wonderful Wire & Cable Berhad is a Malaysia-based company that
is engaged in the manufacture and trading of all kinds of
electrical wires and cables.  The principal activities of the
company's subsidiaries include the investment holding, provision
for oil, gas and petroleum engineering, and design engineers and
contractors.  Its subsidiaries include Wonderful Industries Sdn.
Bhd., WWC Oil & Gas (Malaysia) Sdn. Bhd., WWC Sealing (Malaysia)
Sdn. Bhd., Transmission Resources Sdn. Bhd., WWC Engineering (M)
Sdn. Bhd. and Wonderful Wire & Cable.  In November 2006, the
company acquired the remaining 40% interest in WWC Sealing
(Malaysia) Sdn Bhd.  The principal activity of WWC Sealing
(Malaysia) Sdn Bhd is to design, manufacture and market
different ranges of industrial seal and gasket.

On December 3, 2007, the company was classified as an affected
listed issuer pursuant to Bursa Malaysia Securities Berhad's
Practice Note 17 category as the company's shareholders' equity
on a consolidated basis for the unaudited results is less than
25% of the issued and paid-up capital for the third quarter
ended Sept. 30, 2007.


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


SOUTH CANTERBURY: Announces Business Integration, Capital Raising
-----------------------------------------------------------------
Timaru-based businessman Allan Hubbard's company Southbury Group
disclosed that three subsidiary companies, South Canterbury
Finance Limited, Helicopters (NZ) Limited, and Scales Corporation
Limited, had been grouped under the umbrella of a new parent
holding company, Southbury Corporation Limited.

Southbury Corporation has also completed a private placement of
NZ$27.5 million of convertible notes as the first part of a two
stage capital raising process.

The NZ$27.5 million of convertible note funds raised by Southbury
Corporation through its capital raising have been used to
subscribe for new ordinary share capital in South Canterbury
Finance Limited.  The placement was arranged by Forsyth Barr
Limited with subscriptions from institutional and private
investors.

The notes issued convert into equity in Southbury Corporation in
the event of an IPO, or are otherwise redeemable for cash.  South
Canterbury Finance has provided a guarantee for the redemption of
the notes in exchange for an indemnity from Southbury Corporation.

"The formation of Southbury Corporation and issue of new notes
convertible to equity are major steps in our restructuring.  Taken
together with the recent appointment of independent board members
and Group CEO, resolution of the USPP noteholder matter,
restructuring of group banking arrangements and the recent
confirmation of South Canterbury Finance Limited's BB+ credit
rating, it means we are well on the way to a totally fresh
approach to the future." Mr. Hubbard, major shareholder of
Southbury Corporation Limited, said.

Southbury Corporation is 100% owned by Southbury Group Limited,
which is principally owned by Mr A.J. & Mrs M.J. Hubbard.

Southbury Corporation directly or through subsidiaries, owns 100%
of the ordinary shares of South Canterbury Finance Limited and
Helicopters (NZ) Limited and 79.7% of Scales Corporation Limited.

Southbury Corporation and its subsidiaries had consolidated total
assets of approximately NZ$2.8 billion and net assets of
approximately NZ$300 million on a pro forma basis as at June 30,
2009.

As reported in the Troubled Company Reporter-Asia Pacific on
December 29, 2009, Standard & Poor's Ratings Services affirmed its
'BB+' long-term and 'B' short-term counterparty credit ratings on
South Canterbury Finance Ltd.  At the same time, the 'BB+' rating
was removed from CreditWatch Negative, where it was initially
placed on Sept. 20, 2009.  The outlook is negative.

                      About South Canterbury

Based in New Zealand, South Canterbury Finance Limited (NZE:SCFHA)
-- http://www.scf.co.nz/-- is engaged in the provision of
financial services.  The Company's principal activities are
borrowing funds from public and institutional investors and on-
lending those funds to the business, plant and equipment,
property, rural and consumer sectors.  It typically advances funds
by means of hire purchase, floor plans, leasing of plant, vehicles
and equipment, personal loans, business term loans and revolving
credit facilities, mortgages against property, and other financial
instruments, including consumer loan insurance.  Southbury Group
Limited holds a controlling interest in the Company. Its
subsidiaries include Ashburtin Finance Ltd, Auckland Finance Ltd,
Canterbury Finance Ltd, Coversure Guarantee Ltd, Face Finance Ltd,
Helicopter Nominees Ltd, Hotnchurch Ltd, Otage Finance Ltd,
Palmerston North Finance Ltd, Rental cars Ltd, ZSCFG Systems Ltd,
Walkato Finance Ltd and Wellington Finance Ltd.

                          *     *     *

As reported in the Troubled Company Reporter-Asia Pacific on
December 29, 2009, Standard & Poor's Ratings Services affirmed its
'BB+' long-term and 'B' short-term counterparty credit ratings on
South Canterbury Finance Ltd.  At the same time, the 'BB+' rating
was removed from CreditWatch Negative, where it was initially
placed on Sept. 20, 2009.  The outlook is negative.


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


* BOND PRICING: For the Week to January 4, 2010 to January 8, 2010
------------------------------------------------------------------


Issuer                  Coupon     Maturity   Currency  Price
------                  ------     --------   --------  -----

   AUSTRALIA
   ---------
AINSWORTH GAME           8.00    12/31/2011   aud       0.79
AMP GROUP FINANC         9.80    04/01/2019   NZD       0.95
ANTARES ENERGY          10.00    10/31/2013   AUD       2.00
AUROX RESOURCES          7.00    06/30/2010   AUD       0.81
BECTON PROP GR           9.50    06/30/2010   AUD       0.55
BEMAX RESOURCES          9.37    07/15/14     USD      74.25
BEMAX RESOURCES          9.37    07/15/14     USD      74.25
CBD ENERGY LTD          12.50    01/29/2011   AUD       0.13
CHINA CENTURY           12.00    09/30/2010   AUD       0.82
FIRST AUSTRALIAN        15.00    01/31/2012   AUD       0.32
GRIFFIN COAL MIN         9.50    12/01/2016   USD      61.00
HEEMSKIRK CONSOL         8.00    04/29/2011   AUD       2.42
JPM AU ENF NOM 1         3.50    06/30/2010   USD       6.75
NEW S WALES TREA         1.00    09/02/2019   AUD      61.17
NYLEX LTD               10.00    12/08/2009   AUD       0.84
ORCHARD INVEST           7.36    12/15/2010   AUD      29.50
PRAECO P/L               7.13    07/28/2020   AUD      69.58
RESOLUTE MINING         12.00    12/31/2012   AUD       1.11
SOUTHBANK TAFE           6.63    06/28/2018   AUD      74.48
SUN RESOURCES NL        12.00    06/30/2011   AUD       0.40
TIMBERCORP LTD           8.90    12/01/2010   AUD      26.10
VERO INSURANCE           6.15    09/07/2025   AUD      67.92

   CHINA
   -----

JIANGXI COPPER           1.00    09/22/2016   CNY      70.88
SICHUAN CHANGHON         0.80    07/31/2015   CNY      73.28

   HONG KONG
   ---------

RESPARCS FUNDING         8.00    12/29/2049   USD      24.75


   INDIA
   -----

AFTEK INFOSYS            1.00    06/25/2010   USD      65.00
AKSH OPTIFIBRE           1.00    01/29/2010   USD      50.00
GEMINI COMMUNICA         6.00    07/18/2012   EUR      69.00
KEI INDUSTRIES           1.00    11/30/2011   USD      70.00
WANBURY LTD              1.00    04/23/2012   EUR      69.00


   JAPAN
   -----

AIFUL CORP               0.80    07/20/2010   JPY      72.90
AIFUL CORP               1.20    01/26/2012   JPY      50.24
AIFUL CORP               1.22    04/20/2012   JPY      50.17
AIFUL CORP               1.50    10/20/2011   JPY      55.16
AIFUL CORP               1.58    05/26/2011   JPY      63.00
AIFUL CORP               1.63    11/22/2012   JPY      48.89
AIFUL CORP               1.74    05/28/2013   JPY      47.92
AIFUL CORP               1.99    03/23/2012   JPY      50.10
AIFUL CORP               1.99    10/19/2015   JPY      46.89
AIFUL CORP               5.00    08/10/2010   USD      74.00
CSK CORPORATION          0.25    09/30/2013   JPY      64.12
FUKOKU MUTUAL            4.50    09/28/2025   EUR      72.50
JAL SYSTEM               2.94    12/18/2013   JPY      65.78
JAPAN AIRLINES           3.10    01/22/2018   JPY      71.50
JPN EXP HLD/DEBT         0.50    09/17/2038   JPY      55.89
JPN EXP HLD/DEBT         0.50    03/18/2039   JPY      57.04
PROMISE CO LTD           2.06    03/20/2014   JPY      73.79
PROMISE CO LTD           2.10    04/21/2014   JPY      73.28
SHINSEI BANK             3.75    02/23/2016   EUR      74.97
SHINSEI BANK             5.63    12/29/2049   GBP      72.50
TAKEFUJI CORP            4.00    06/05/2022   JPY      53.15
TAKEFUJI CORP            8.00    11/01/2017   USD      23.75
TAKEFUJI CORP            9.20    04/15/2011   USD      65.37
TAKEFUJI CORP            9.20    04/15/2011   USD      65.37
WILLCOM INC              2.35    06/27/2012   JPY      45.49

   MALAYSIA
   --------

ADVANCE SYNERGY          2.00    01/26/2018   MYR       0.07
ALIRAN IHSAN RES         5.00    11/29/2011   MYR       1.15
CRESCENDO CORP B         3.75    01/11/2016   MYR       0.75
DUTALAND BHD             4.00    04/11/2013   MYR       0.48
DUTALAND BHD             4.00    04/11/2013   MYR       0.61
EASTERN & ORIENT         8.00    07/25/2011   MYR       1.13
EASTERN & ORIENT         8.00    11/16/2019   MYR       1.11
EG INDUSTRIES            5.00    06/16/2010   MYR       0.38
HUAT LAI RESOURC         5.00    03/28/2010   MYR       0.47
KRETAM HOLDINGS          1.00    08/10/2010   MYR       1.11
KUMPULAN JETSON          5.00    11/27/2012   MYR       2.28
LION DIVERSIFIED         4.00    12/17/2013   MYR       1.69
MITHRIL BHD              3.00    04/05/2012   MYR       0.62
NAM FATT CORP            2.00    06/24/2011   MYR       0.20
OLYMPIA INDUSTRI         2.80    04/11/2013   MYR       0.19
OLYMPIA INDUSTRI         4.00    04/11/2013   MYR       0.23
PUNCAK NIAGA HLD         2.50    11/18/2016   MYR       0.64
RUBBEREX CORP            4.00    08/14/2012   MYR       1.59
SCOMI GROUP BHD          4.00    12/14/2012   MYR       0.11
TRADEWINDS CORP          2.00    02/08/2012   MYR       0.70
TRADEWINDS PLANT         3.00    02/28/2016   MYR       1.10
TRC SYNERGY              5.00    01/20/2012   MYR       1.28
WAH SEONG CORP           3.00    05/21/2012   MYR       2.50
WIJAYA BARU GLOB         7.00    09/17/2012   MYR       0.28
YTL CEMENT BHD           0.00    11/10/2015   MYR       2.04

   NEW ZEALAND
   -----------

ALLIED FARMERS           9.60    11/15/2011   NZD      53.47
ALLIED NATIONWID        11.52    12/29/2049   NZD      67.00
BBI NTWKS NZ LTD         9.00    11/30/2012   NZD       0.85
BLUE STAR PRINT          9.10    09/15/2012   NZD      73.00
CAPITAL PROP NZ          8.00    04/15/2010   NZD      15.00
CONTACT ENERGY           8.00    05/15/2014   NZD       1.02
FLETCH BUILD FIN         8.85    03/15/2010   NZD       8.00
FLETCHER BUI             8.50    03/15/2015   NZD       8.50
FLETCHER BUILDIN         7.55    03/15/2011   NZD       7.50
GMT BOND ISSUER          7.75    06/19/2015   NZD       0.13
INFRASTR & UTIL          8.50    09/15/2013   NZD      12.50
INFRATIL LTD             8.50    11/15/2015   NZD      11.00
INFRATIL LTD            10.18    12/29/2049   NZD      63.00
KIWI INCOME PROP         8.95    12/20/2014   NZD       1.38
MANUKAU CITY             6.90    09/15/2015   NZD       1.01
MARAC FINANCE           10.50    07/15/2013   NZD       0.98
NZ FINANCE HLDGS         9.75    03/15/2011   NZD      47.36
PROVENCOCADMUS           2.00    04/15/2010   NZD       0.86
SKY NETWORK TV           4.01    10/16/2016   NZD      55.07
SOUTH CANTERBURY        10.43    12/15/2012   NZD       0.75
SOUTH CANTERBURY        10.50    06/15/2011   NZD       0.92
ST LAURENCE PROP         9.25    05/15/2011   NZD      69.14
TOWER CAPITAL            8.50    04/15/2014   NZD       1.01
TRUSTPOWER LTD           8.50    09/15/2012   NZD       9.75
TRUSTPOWER LTD           8.50    03/15/2014   NZD      10.25
UNI OF CANTERBUR         7.25    12/15/2019   NZD       0.94
VECTOR LTD               7.80    10/15/2014   NZD       1.00
VECTOR LTD               8.00    12/29/2049   NZD       7.50


   SINGAPORE
   ---------

BLUE OCEAN              11.00    06/28/2012   USD      28.11
BLUE OCEAN              11.00    06/28/2012   USD      29.24
SENGKANG MALL            8.00    11/20/2012   SGD       0.05
UNITED ENG LTD           1.00    03/03/2014   SGD       1.43
WBL CORPORATION          2.50    06/10/2014   SGD       2.20

   SOUTH KOREA
   -----------

WOORI BANK               6.20    05/02/2037   USD      74.87

   SRI LANKA
   ---------

SRI LANKA GOVT           7.00    10/01/2023   LKR      68.92




                         *********

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.





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