TCRAP_Public/100318.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

                     A S I A   P A C I F I C

           Thursday, March 18, 2010, Vol. 13, No. 054

                            Headlines



A U S T R A L I A

SOLAR SYSTEMS: Silex Acquires SSG Assets, to Get AU$3.5M Funding
TMP WORLDWIDE: Kordamentha Appointed as Administrator


C H I N A

CHINA SOUTHERN: Goldman Sachs Cuts Shares Rating to 'Sell'


H O N G  K O N G

AIRCOMMUNICATIONS INFORMATION: Commences Wind-Up Proceedings
BETEK F&B: Poon Wai Hung Richard Steps Down as Liquidator
BLOXWORTH ENTERPRISES: Yu and Sutton Appointed as Liquidators
CELTIC PACIFIC: Commences Wind-Up Proceedings
CONSTANT GROWTH: Kong John steps Down as Liquidator

EAST ASIA: Seng and Cheng Step Down as Liquidators
EVER RISING: Middleton and Cowley Appointed as Liquidators
LEHMAN BROTHERS: HKMA Reports Progress of Probe on Lehman Cases
TRIPLE A: Court Enters Wind-Up Order
URBAN DISCOVERY: Court Enters Wind-Up Order

VANQUISH CONTAINER: Court Enters Wind-Up Order
VICTOR INSURANCE: Court Enters Wind-Up Order
VICTOR SHINING: Court Enters Wind-Up Order
WAH SING: Court Enters Wind-Up Order
WAI WAH: Court Enters Wind-Up Order

WEALTH FAIR: Court Enters Wind-Up Order
WING CHEONG: Court Enters Wind-Up Order
WYLIE INDUSTRIAL: Court Enters Wind-Up Order
XUN DA: Court Enters Wind-Up Order
YUEN HING: Court Enters Wind-Up Order


I N D I A

AIR INDIA: Boeing to Pay US$145 Mil. For Late Aircraft Deliveries
BLUE BIRD: ICRA Assigns 'LBB' Rating on INR320MM Bank Facilities
BHURJI SUPERTEK: ICRA Places 'LB-' Rating on INR145MM Bank Debts
CABLES & CONDUCTORS: ICRA Puts 'LBB-' Rating on INR34.50M Loans
CHAMUNDI DISTILLERIES: ICRA Rates INR120MM Cash Credit at 'LBB-'

GARG FURNACE: CRISIL Assigns 'LBB+' Rating on INR130MM Loans
IND BHARATH: ICRA Downgrades Rating on LT Bank Debts to 'LB'
IND BHARATH ENERGIES: ICRA Rates INR332MM LT Bank Loans to 'LB'
INDIA EXPOSITION: ICRA Assigns 'LBB+' Rating on INR378.4M Debts
PREMIER CAR: ICRA Places 'LBB+' Rating on INR100 Mil. Bank Loans

PRERANA MOTORS: ICRA Assigns 'LBB+' Rating on INR240MM Loans
SARAF AGENCIES: ICRA Assigns 'LB+' Rating on INR674.9MM Term Loans
SPR GROUP: ICRA Places 'LBB-' Rating on INR110.0 Million Term Loan


J A P A N

JAPAN AIRLINES: Offers Early Retirement Program to Pilots
JAPAN AIRLINES: To Forgo Hiring of New Employees for Spring 2011


K O R E A

KUMHO ASIANA: Petrochem Unit Chief Regains Position
KUMHO ASIANA: Unit Faces Investors' Lawsuit Over Debt Rescheduling
MAGNACHIP SEMICONDUCTOR: To Raise US$250 Million Public Offering


N E W  Z E A L A N D

CAPITAL + MERCHANT: SFO Starts Probe Into Firm's Collapse


P H I L I P P I N E S

MRC ALLIED: Gets PHP1.38B Equity Infusion From GEM Investment


T A I W A N

AMERICAN INT'L: China Strategic Shareholders OK Plan to Buy Nan




                         - - - - -


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


SOLAR SYSTEMS: Silex Acquires SSG Assets, to Get AU$3.5M Funding
----------------------------------------------------------------
Patrick Stafford at SmartCompany reports that Silex Systems has
acquired Solar Systems and will receive a AU$3.5 million advance
from the Victorian Government to revitalize one of the country's
largest solar manufactures.

According to the report, Premier John Brumby said the company
would receive funding worth AU$3.5 million in support of a solar
conversion project in Mildura, as part of a AU$50 million
commitment over several years.

Last year, the report recalls, it was feared that the Mildura
plant project might have collapsed after Solar Systems was placed
in administration with commitments worth AU$125 million.  However,
Mr. Brumby said a comprehensive deal was struck with
administrators to help the company move ahead as planned.

The report relates that Silex has also acquired a pilot plant in
Bridgewater, which was partly funded by the Brumby Government, and
a manufacturing facility in Abbottsford.

As reported in the Troubled Company Reporter-Asia Pacific on
September 9, 2009, Solar Systems Pty. Ltd. and two of its
subsidiaries were placed into voluntary administration on
September 7, 2009.

PricewaterhouseCoopers partners Messrs. Longley and David McEvoy
were appointed voluntary administrators of:

   -- Solar Systems Pty Ltd;
   -- Solar Power Stations Australia Pty Ltd; and
   -- Solar Systems Generation Pty Ltd.

                        About Solar Systems

Based in Melbourne, Australia, Solar Systems Pty Ltd was building
Australia's first large scale solar power station, in the
Victorian regional town of Mildura.


TMP WORLDWIDE: Kordamentha Appointed as Administrator
-----------------------------------------------------
James Thomson at SmartCompany reports that recruitment advertising
company TMP Worldwide has been placed in administration.  The
business is now in the hands of administrators from insolvency
firm KordaMentha, the report says.

The company is believed to have struggled for the last 12 months
due to the downturn in the recruitment sector caused by the global
financial crisis, the report says.

According to SmartCompany, an industry source said the company's
staff took a 20% pay cut about 12 months ago in an effort to help
the business trade through the downturn.

It is understood that the company's five offices in Sydney,
Adelaide, Brisbane, Melbourne and Perth have been closed, the
report adds.

TMP Worldwide -- http://www.tmpworldwide.com.au/-- is a
recruitment advertising agency.  The company has 200 staff working
in nine offices in Australia and New Zealand.  It is part of the
TMP Global network in 20 other counties. Alex Walker, who was
TMP's Chief Financial Officer from 1996 to 1998 and helped create
TMP in Australia and New Zealand, acquired TMP Worldwide from
Monster Worldwide Inc. and has been CEO and owner since March 1,
2006.


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


CHINA SOUTHERN: Goldman Sachs Cuts Shares Rating to 'Sell'
----------------------------------------------------------
Bloomberg News reports that Air China Ltd., China Southern
Airlines Co. and Thai Airways International Pcl were downgraded at
Goldman Sachs Group Inc., which cited their valuations.

According to Bloomberg, Air China's mainland-traded shares were
lowered to "sell" from "neutral" while China Southern and Thai
Airways were cut to "neutral" from "buy" at Goldman Sachs.

Headquartered in Guangzhou, China, China Southern Airlines Co.
Ltd. -- http://www.cs-air.com-- operates airlines, as well as
perform aircraft maintenance and air catering operations in the
People's Republic of China and internationally.  It provides
commercial airlines, cargo services, logistics operations, air
catering, utility service, hotel operation, travel services,
aircraft leasing, and Internet services.

                           *     *     *

China Southern Airlines Co. continues to carry Fitch Ratings 'B+'
Long-term foreign and local currency Issuer Default Ratings.


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


AIRCOMMUNICATIONS INFORMATION: Commences Wind-Up Proceedings
------------------------------------------------------------
Members of Aircommunications Information Services Limited, on
March 4, 2010, passed a resolution to voluntarily wind-up the
company's operations.

The company's liquidators are:

         Isabelle Angeline Young
         John Chi Wai Wong
         21/F, Edinburgh Tower
         The Landmark
         15 Queen's Road
         Central, Hong Kong


BETEK F&B: Poon Wai Hung Richard Steps Down as Liquidator
---------------------------------------------------------
Poon Wai Hung Richard stepped down as liquidator of beTek F&B
Hongkong Co., Limited on March 12, 2010.


BLOXWORTH ENTERPRISES: Yu and Sutton Appointed as Liquidators
-------------------------------------------------------------
Fok Hei Yu and Roderick John Sutton on February 26, 2010, were
appointed as liquidators of Bloxworth Enterprises (HK) Limited.

The liquidators may be reached at:

         Fok Hei Yu
         Roderick John Sutton
         14th Floor, The Hong Kong Club Building
         3A Chater Road
         Central, Hong Kong


CELTIC PACIFIC: Commences Wind-Up Proceedings
---------------------------------------------
Members of Celtic Pacific Ship Management (Overseas) Limited, on
March 1, 2010, passed a resolution to voluntarily wind-up the
company's operations.

The company's liquidators are:

         Fok Hei Yu
         Roderick John Sutton
         14th Floor, The Hong Kong Club Building
         3A Chater Road
         Central, Hong Kong


CONSTANT GROWTH: Kong John steps Down as Liquidator
---------------------------------------------------
Kong John stepped down as liquidator of Constant Growth Investment
Company Limited on March 6, 2010.


EAST ASIA: Seng and Cheng Step Down as Liquidators
--------------------------------------------------
Natalia K M Seng and Cheng Pik Yuk stepped down as liquidators of
East Asia Property Agency (China) Company Limited on March 6,
2010.


EVER RISING: Middleton and Cowley Appointed as Liquidators
----------------------------------------------------------
Edward Simon Middleton and Patrick Cowley on March 4, 2010, were
appointed as liquidators of Ever Rising Investments Limited.

The liquidators may be reached at:

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


LEHMAN BROTHERS: HKMA Reports Progress of Probe on Lehman Cases
---------------------------------------------------------------
The Hong Kong Monetary Authority (HKMA) announced that up to 11
March 2010, there were 13,017 complaint cases concerning Lehman-
Brothers-related investment products which have been resolved by a
settlement agreement reached under section 201 of the Securities
and Futures Ordinance and 1,305 cases through the enhanced
complaint-handling procedures required by the settlement
agreement.  Together with the 2,893 cases closed because
insufficient prima facie evidence of misconduct was found after
assessment or no sufficient grounds and evidence were found after
investigation, the handling of 17,215 complaints received have now
been completed.

Currently, 1,056 Lehman-Brothers-related complaint cases
(including minibond cases) are under disciplinary consideration
after detailed investigation by the HKMA.  Proposed disciplinary
notices are being prepared in respect of 757 such cases and
proposed disciplinary notices or decision notices have been
issued in respect of the other 299 cases.  Another 567 cases are
pending decision.  Adding these 1,623 cases to those the handling
of which has already been completed, investigation work has
finished for 87% of complaint cases received.

                      About Lehman Brothers

Lehman Brothers Holdings Inc. -- http://www.lehman.com/-- was the
fourth largest investment bank in the United States.  For more
than 150 years, Lehman Brothers has been a leader in the global
financial markets by serving the financial needs of corporations,
governmental units, institutional clients and individuals
worldwide.

Lehman Brothers filed for Chapter 11 bankruptcy September 15, 2008
(Bankr. S.D.N.Y. Case No. 08-13555).  Lehman's bankruptcy petition
listed US$639 billion in assets and US$613 billion in debts,
effectively making the firm's bankruptcy filing the largest in
U.S. history.  Several other affiliates followed thereafter.

The Debtors' bankruptcy cases are handled by Judge James M. Peck.
Harvey R. Miller, Esq., Richard P. Krasnow, Esq., Lori R. Fife,
Esq., Shai Y. Waisman, Esq., and Jacqueline Marcus, Esq., at Weil,
Gotshal & Manges, LLP, in New York, represent Lehman.  Epiq
Bankruptcy Solutions serves as claims and noticing agent.

On September 19, 2008, the Honorable Gerard E. Lynch, Judge of the
U.S. District Court for the Southern District of New York, entered
an order commencing liquidation of Lehman Brothers, Inc., pursuant
to the provisions of the Securities Investor Protection Act (Case
No. 08-CIV-8119 (GEL)).  James W. Giddens has been appointed as
trustee for the SIPA liquidation of the business of LBI

The Bankruptcy Court has approved Barclays Bank Plc's purchase of
Lehman Brothers' North American investment banking and capital
markets operations and supporting infrastructure for
US$1.75 billion.  Nomura Holdings Inc., the largest brokerage
house in Japan, purchased LBHI's operations in Europe for US$2
plus the retention of most of employees.  Nomura also
bought Lehman's operations in the Asia Pacific for US$225 million.

               International Operations Collapse

Lehman Brothers International (Europe), the principal UK trading
company in the Lehman group, was placed into administration,
together with Lehman Brothers Ltd, LB Holdings PLC and LB UK RE
Holdings Ltd.  Tony Lomas, Steven Pearson, Dan Schwarzmann and
Mike Jervis, partners at PricewaterhouseCoopers LLP, have been
appointed as joint administrators to Lehman Brothers International
(Europe) on September 15, 2008.  The joint administrators have
been appointed to wind down the business.

Lehman Brothers Japan Inc. and Lehman Brothers Holdings Japan Inc.
filed for bankruptcy in the Tokyo District Court on September 16.
Lehman Brothers Japan Inc. reported about JPY3.4 trillion
(US$33 billion) in liabilities in its petition.

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


TRIPLE A: Court Enters Wind-Up Order
------------------------------------
The High Court of Hong Kong entered an order on November 5, 2009,
to wind up the operations of Triple A Group Limited.

The company's liquidator is:

          Ng Kwok Wai
          Unit A, 14/F., JCG Building
          16 Mongkok Road
          Mongkok, Kowloon
          Hong Kong


URBAN DISCOVERY: Court Enters Wind-Up Order
-------------------------------------------
The High Court of Hong Kong entered an order on February 3, 2010,
to wind up the operations of Urban Discovery Management (Holding)
Limited.

The company's liquidator is:

          Ng Kwok Wai
          Unit A, 14/F., JCG Building
          16 Mongkok Road
          Mongkok, Kowloon
          Hong Kong


VANQUISH CONTAINER: Court Enters Wind-Up Order
----------------------------------------------
The High Court of Hong Kong entered an order on January 28, 2010,
to wind up the operations of Vanquish Container Transportation
Limited.

The company's liquidator is Mat Ng.


VICTOR INSURANCE: Court Enters Wind-Up Order
--------------------------------------------
The High Court of Hong Kong entered an order on June 13, 2008, to
wind up the operations of Victor Insurance Management Company
Limited.

The company's liquidator is:

          Ng Kwok Wai
          Unit A, 14/F., JCG Building
          16 Mongkok Road
          Mongkok, Kowloon
          Hong Kong


VICTOR SHINING: Court Enters Wind-Up Order
------------------------------------------
The High Court of Hong Kong entered an order on July 16, 2008, to
wind up the operations of Victor Shining Limited.

The company's liquidator is:

          Ng Kwok Wai
          Unit A, 14/F., JCG Building
          16 Mongkok Road
          Mongkok, Kowloon
          Hong Kong


WAH SING: Court Enters Wind-Up Order
------------------------------------
The High Court of Hong Kong entered an order on February 11, 2010,
to wind up the operations of Wah Sing Travel Service Limited.

The company's liquidator is:

          Ng Kwok Wai
          Unit A, 14/F., JCG Building
          16 Mongkok Road
          Mongkok, Kowloon
          Hong Kong


WAI WAH: Court Enters Wind-Up Order
-----------------------------------
The High Court of Hong Kong entered an order on November 6, 2008,
to wind up the operations of Wai Wah Furniture Manufacturing
Company Limited.

The company's liquidator is:

          Ng Kwok Wai
          Unit A, 14/F., JCG Building
          16 Mongkok Road
          Mongkok, Kowloon
          Hong Kong


WEALTH FAIR: Court Enters Wind-Up Order
---------------------------------------
The High Court of Hong Kong entered an order on February 9, 2010,
to wind up the operations of Wealth Fair Technologies Limited.

The company's liquidator is Mat Ng.


WING CHEONG: Court Enters Wind-Up Order
---------------------------------------
The High Court of Hong Kong entered an order on October 30, 2009,
to wind up the operations of Wing Cheong Hong Paper Company
Limited.

The company's liquidator is:

          Ng Kwok Wai
          Unit A, 14/F., JCG Building
          16 Mongkok Road
          Mongkok, Kowloon
          Hong Kong


WYLIE INDUSTRIAL: Court Enters Wind-Up Order
--------------------------------------------
The High Court of Hong Kong entered an order on August 26, 2008,
to wind up the operations of Wylie Industrial Limited.

The company's liquidator is:

          Ng Kwok Wai
          Unit A, 14/F., JCG Building
          16 Mongkok Road
          Mongkok, Kowloon
          Hong Kong


XUN DA: Court Enters Wind-Up Order
----------------------------------
The High Court of Hong Kong entered an order on February 3, 2010,
to wind up the operations of Xun Da U.V. Coating Co., Limited.

The company's liquidator is:

          Ng Kwok Wai
          Unit A, 14/F., JCG Building
          16 Mongkok Road
          Mongkok, Kowloon
          Hong Kong


YUEN HING: Court Enters Wind-Up Order
-------------------------------------
The High Court of Hong Kong entered an order on November 30, 2009,
to wind up the operations of Yuen Hing Shing Steel Company
Limited.

The company's liquidator is:

          Ng Kwok Wai
          Unit A, 14/F., JCG Building
          16 Mongkok Road
          Mongkok, Kowloon
          Hong Kong


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I N D I A
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AIR INDIA: Boeing to Pay US$145 Mil. For Late Aircraft Deliveries
-----------------------------------------------------------------
The Economic Times reports that the Boeing Company has agreed to
pay US$145 million to the National Aviation Company of India,
which filed a US$710-million compensation claim against Boeing for
delay in deliveries of Dreamliner B787-800.

The Times relates NACIL Chairman and Managing Director Arvind
Jadhav had told the Committee on Public Undertakings (COPU) during
his oral deposition that "The deliveries of Dreamliner 787 should
have been complete by now.  But it got delayed completely and we
have slapped a compensation claim of US$710 million."

According to the report, NACIL had in 2006 placed orders for 68
aircraft including 27 B787-800 dreamliners with the Boeing
Company.  As per the original schedule, the Times notes, Boeing
was to deliver the first Dreamliner B787-800 in May 2008.  Air
India is now likely to receive the first delivery only in April
next year.

NACIL is the holding company formed after the merger of erstwhile
Indian Airlines and Air India in 2007.

As reported in the Troubled Company Reporter-Asia Pacific on
June 10, 2009, NACIL was seeking INR14,000 crore in equity
infusion, soft loans and grants to cope up with mounting losses.

The TCR-AP, citing the Hindustan Times, reported on June 19, 2009,
that Air India has been bleeding cash due to excess capacity,
lower yield, a drop in passenger numbers, an increase in fuel
prices and the effects of the global slowdown.  The carrier
incurred net losses of INR2,226.16 crore in 2007-08 and INR5,548
crore in 2008-09.

In December, the Air India board decided to initiate a series of
major steps to cut costs and enhance savings.  The carrier is
focusing on cutting costs by INR1,500 crore and increasing
revenues by INR1,200 crore as per its turnaround plan, according
to the Business Standard.

The airline's turnaround plan has been broadly divided into 0-9
months, 9-18 months and 18-36 months, and has been segregated
under operational efficiency, product improvement, organization
building and financial restructuring, the Business Standard said.

                          About Air India

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


BLUE BIRD: ICRA Assigns 'LBB' Rating on INR320MM Bank Facilities
----------------------------------------------------------------
ICRA has assigned LBB rating with stable outlook to INR320 million
fund based bank facilities of Blue Bird Arts Manufacturing Private
Limited.

The rating reflects the company's weak financial risk profile
characterized by a high gearing and weak debt coverage indicators;
its high working capital requirement and relatively small scale of
operations.  The rating also factors in the highly competitive
business environment on account of a fragmented industry structure
and low entry barriers both in terms of capital employed and
technology & skill level required for manufacturing Jewellery.
This requires BBPL to pursue aggressive pricing strategy to
Strengthen its market share and increase the scale of operations.
Given the high working capital intensity of BBPL's business, any
significant ramp-up in business volumes may necessitate higher
debt levels, impacting the financial position of the company.  The
liquidity position of the company is also expected to remain
tight, given its limited financial flexibility and the working
capital intensive nature of operations.  ICRA notes that BBPL is
exposed to fluctuations in gold prices, though the risk is
largely mitigated by back to back orders for delivery of gold
ornaments.

The rating, nevertheless, factors in the long operational track
record of the promoters in the gold trading and jewellery
manufacturing business; long association with various end-
customers and moderate demand prospects for gold ornaments.

Founded in 1985, Blue Bird Arts Manufacturing Pvt. Ltd. is in the
business of manufacturing and marketing gold jewellery.  The
company was set up by Mr. Babulal Jain, Mr Sukanraj Jain and Mr
Dhanraj Jain and has its manufacturing operations located in
Mumbai.

During FY 2009, BBPL recorded a net profit of INR14.7 million on a
net sale of INR114.5 million.


BHURJI SUPERTEK: ICRA Places 'LB-' Rating on INR145MM Bank Debts
----------------------------------------------------------------
ICRA has assigned a rating of 'LB-' to the INR145 million fund
based facilities of Bhurji Supertek Industries Limited.  ICRA has
also assigned a short term rating of A4 to the INR45 million non-
fund based facilities of Bhurji.

The inadequate credit quality rating of Bhurji takes into account
the below average profitability and high gearing which have
resulted in stretched liquidity position as evidenced by overdraws
on working capital facilities and delays in meeting interest and
principal obligations in the past.  These factors were compounded
by a fire in the manufacturing facilities due to which the company
suffered a loss of close to INR120 million.  Although the same is
likely to be recovered through claims from its insurance company,
in the meantime pending the receipt of the same, the company faced
severe liquidity problems and delays in meeting debt obligations
resulting from loss in fire along with cancellation of term loan
taken for expansion.  The rating is also constrained by small
scale of operations of company resulting in lower bargaining power
vis a vis customer and high client concentration in the past.  The
rating however derives some comfort from promoters' long
experience in the business and its long standing relationship with
the buyers.

Started in the year 1969, by Mr.G.S.Bhurji & Mr.K.S.Bhurji. Bhurji
is engaged in the manufacturing of Injection Moulds and moulding
of plastic parts, for various appliances like Air conditioners,
Air coolers, Water purifiers, Storage /instant water heaters,
Juicers, Mixers and Grinders.  It is an ISO 9001:2000
company having its manufacturing units located in Gurgaon and
Parwanoo area of Himachal Pradesh.  For FY09 Bhurji made a PAT of
INR10.18 million on net sales of INR517.4 million.


CABLES & CONDUCTORS: ICRA Puts 'LBB-' Rating on INR34.50M Loans
------------------------------------------------------------
ICRA has assigned an 'LBB-' rating to bank facilities of INR34.50
million comprising term loan of INR10 million and cash credit
facilities of INR24.50 million of Singhi Cables & Conductors
Private Limited.  ICRA has also assigned an 'A4' rating to INR285
million non-fund based (NFB) bank facilities of SCCPL.

Out of the total short term (ST) NFB facility of INR285 million,
INR270 million is inter-changeable between long-term and short-
term.

The ratings reflect SCCPL's unfavorable business risk profile
characterized by relatively small scale of operations, nominal
profits and net cash accruals from business at absolute levels and
high working capital requirement in the business, leading to
pressure on liquidity.  However, advances and trade credit
received from group companies eases the liquidity pressure to an
extent.  Given the healthy order book position of SCCPL and its
group company named Win-Power Marketing Private Limited
(WPMPL, rated LBB-/A4 by ICRA), which is also engaged in the
execution of rural electrification projects under various
government schemes.  ICRA expects liquidity of the overall group
to remain somewhat tight because of the expected growth in
business levels of both the companies.  The ratings are also
constrained by the intensely competitive industry, which could
limit the possibility of margins expansion.  The ratings, however,
favorably factor in SCCPL's conservative capital structure and
stable operating profitability. Going forward, the company's
business is likely to undergo a change from manufacturing and sale
of aluminium conductors to also include execution of rural
electrification projects on turnkey basis under various government
schemes.  The positive demand outlook on rural electrification
sector and dedicated funds earmarked for such projects have been
factored in the ratings.  However, SCCPL's ability to execute such
projects, which is a new business for the company, without any
time or cost overrun would be critical for its financial
performance in future.

Singhi Cables & Conductors Private Limited, incorporated in 1989
is engaged in the manufacture of aluminium conductors in the
Jorhat distirct of Assam.  The product portfolio includes All
Aluminium Alloy Conductors (AAAC), All Aluminium Conductors (AAC)
and Aluminium Conductors Steel Reinforced.  During 2008-09, the
company commenced the production of PVC cables and also entered
into the execution of rural electrification projects on turnkey
basis.

During the year 2008-09 SCCPL reported a net profit after tax of
INR7.63 million on a turnover of INR99.54 million.


CHAMUNDI DISTILLERIES: ICRA Rates INR120MM Cash Credit at 'LBB-'
----------------------------------------------------------------
ICRA has assigned an 'LBB-' rating with stable outlook to the
INR120.0 million Cash Credit Facility of Chamundi Distilleries
Private Limited.

The rating is constrained by the stressed capital structure and
relatively weak debt coverage indicators which in turn have
resulted in tight liquidity conditions for the company.  ICRA's
rating also takes into consideration the company's vulnerability
to availability and pricing of raw material (molasses), which in
turn is related to the sugar cycle.  The rating also factors in
very low net profitability of the company which is resulting in
almost negligible internal capital generation.  However, the
rating draws comfort from the long operating history of the
company with significant experience of the promoters in this
segment and integration of group's operations.  Successful and
timely implementation of planned capacity addition (27 KLPD to 54
KLPD) will remain a key rating sensitivity.

Chamundi Distilleries Private Limited was established in 1995 by
Gowda Group, which also has presence in other related business
like Indian Made Foreign Liquor (IMFL) and sugar.  Earlier the
company was also engaged in arrack (country liquor) business; post
the ban on arrack in Karnataka in Jul-07, company shifted its
focus to distillery segment.  CDPL established a distillery plant
at Bangalore, Karnataka with capacity of 27 KLPD per day.  CDPL
reported a net loss of INR9.33 million on operating income of
INR83.02 million in 2008-09, as against corresponding figures of
PAT of INR20.07 million and INR258.02 million in 2007-08.  In H1
2009-10 (provisional), CDPL reported PAT of INR0.69 million on
operating income of INR51.22 million in H1 2009-10.


GARG FURNACE: CRISIL Assigns 'LBB+' Rating on INR130MM Loans
------------------------------------------------------------
ICRA has reaffirmed the 'LBB+' rating to the INR130 million fund-
based limits of Garg Furnace Limited.  The outlook on the rating
is stable.  ICRA has also assigned an A4+ rating to the INR85
million non-fund based limits of GFL.

The ratings continue to remain constrained by the highly
competitive nature of the industry which has put pressure on
margins; GFL's moderate scale of operations, absence of raw
material linkages and vulnerability to cyclicality of steel
industry.  While assigning the rating ICRA has also noted the
support extended by GFL to Garg Acrylics Limited, a group company.
However the ratings continue to draw comfort from GFL's
experienced management; its long track record in the steel
industry and its moderate gearing levels.

GFL was promoted by two brothers late Mr. Dharam Pal Garg and Mr.
Jagdish Chand Garg.  The Company started its manufacturing
activities in 1974 by manufacturing steel castings for railways,
thermal power stations and engineering industry. However due to
low profitability in the steel segment, the company diversified
into trading of yarns and fabrics. In FY09 the steel division
accounted for 75% of the turnover and 58% of the profits. GFL made
a public issue in 1995 and at present its shares are listed on
Ludhiana, Delhi and Bombay stock Exchanges. As on March 2009,
promoter and promoter group companies had 73.82% stake in GFL.

During FY09, GFL reported an operating income of INR1.47 billion
and profit after tax of INR8.6 million.


IND BHARATH: ICRA Downgrades Rating on LT Bank Debts to 'LB'
------------------------------------------------------------
ICRA has revised the rating assigned to the INR442 million long
term debt facilities and INR70 million Fund-based Working capital
facilities of Ind Bharath Energies (Maharashtra) Limited from
LBBB- to LB.

The rating revision reflects delay in stabilization of the plant
and subsequent disruptions due to fire in the storage area which
has in turn resulted in low PLF levels and consequently financial
losses.  The plant resumed normal operation only from July 2009
and is still stabilizing.  This coupled with relatively high debt
funding of the project have resulted in high gearing, weak
coverage indicators and stressed liquidity as reflected in delays
on loan obligations.  ICRA's rating of IBEML, however, factors in
the strengths arising out of the experience of the promoter group
in executing and operating small to medium sized power plants. The
rating also factors in the fact that the company has already tied
up a PPA with Maharashtra State Electricity Distribution Co. Ltd
assuring remunerative tariffs.  The recent tariff revisions in
Maharashtra for biomass based power plants will ensure higher
margin and better project viability even at high biomass prices.
Ability to achieve stabilized generation and source fuel at
remunerative rates would remain key rating drivers.

IBEML is an IPP promoted by the Ind Bharath group of companies.
The company has recently implemented a 20 MW biomass based power
plant in the Nanded district of Maharashtra at a cost of around
INR812 million.  The plant, which commenced commercial operations
in FY 2009 was shut down in between due to fire incidence in the
storage area.  Subsequently plant has started its normal operation
in July 2009.  It supplies its power to Maharashtra State
Electricity Distribution Co. Ltd under the terms of a PPA with it.
The tariff formula as per the PPA assures it a tariff of around
INR4.98/unit with an escalation clause.  The company proposes to
source its fuel (biomass) mainly bagasse, wood and waste from
farmers, sugar mills and factories in the vicinity.  The
availability of biomass in the company's region of operations is
satisfactory although there can be year to year variation arising
out of adverse agroclimatic conditions.  The delay in
commissioning and disruption in operation has resulted in loss of
INR108.4 million over sales of INR32.5 million in FY2009.


IND BHARATH ENERGIES: ICRA Rates INR332MM LT Bank Loans to 'LB'
---------------------------------------------------------------
ICRA has revised the rating assigned to the INR332 million long
term debt facilities and INR65 million Fund-based Working capital
facilities of Ind Bharath Energies (Thoothukkudi) Limited from
LBBB- to LB.

The rating revision reflects the significant deterioration in
operating and financial profile of the company in FY2009 on
account of low PLF levels and consequent losses. These in turn
have resulted in pressures on liquidity as reflected in delays in
loan servicing. The rating also reflects the below average
operating profile of the company arising out of constraints in the
availability of its fuel namely biomass. This coupled with
relatively high debt funding of the project have resulted in high
gearing and moderate coverage indicators.

In keeping the rating at LB levels, ICRA has taken note of the
fact that operating profile has shown signs of improvement in past
few months and realizations have improved on account of short term
sales to TNEB.  The recent tariff revision in Tamil Nadu for
biomass based power plants will ensure higher margin and better
project viability even at high biomass prices.  ICRA also draws
comfort from the satisfactory collection performance as well as
substantial energy deficit in Tamil Nadu, which will result in
healthy off take for the company's power output. Ability to source
fuel at remunerative crates and maintain timely debt servicing
would remain key rating drivers.

IBETL is an IPP promoted by the Ind Bharath group of companies.
The company operates a 20 MW biomass based power plant in the
Tuticorin district of Tamil Nadu.  The plant, which was
commissioned at a cost of INR800 million, commenced commercial
operations in FY 2006 and has a PPA with TNEB to supply its power.
However currently it's selling power to TNEB on short term sale
basis.  The company sources its fuel (biomass)- mainly bagasse,
wood and waste- from farmers, sugar mills and factories in the
vicinity.  The availability of biomass in the company's region of
operations has been moderate which has resulted in moderate PLFs
of around 50-60% which deteriorated to 26% in FY09 due to high
biomass prices in the region. With the company's revenues being
linked to actual units sold, this has resulted in losses for the
company- the company reported a loss of INR109.9 million on net
sales of INR123 million in FY 2009.


INDIA EXPOSITION: ICRA Assigns 'LBB+' Rating on INR378.4M Debts
---------------------------------------------------------------
ICRA has assigned a long term rating of "LBB+" to the INR378.4
million fund based facilities of India Exposition Mart Limited.
The outlook on long term rating is stable. ICRA has also assigned
a short term rating of "A4+" the INR130 million non-fund based
facilities of IEML.

The ratings factor in IEML's experienced promoters, its relatively
low cost land bank and high level of bookings of the marts.
However, the ratings are constrained by slowdown in the exports
industry, which has impacted the lease revenues of the company in
the current year.  This coupled with delay in the payment of
maintenance charges by mart owners resulted in tight liquidity
position and restructuring of IEML's debt obligations.  The rating
also factors in the delays in the third phase of the project on
account of unavailability of funds.  However, ratings derive
comfort from improving connectivity and accommodation facilities
in Greater Noida and IEML's assured business revenues from the
fair held by Exports Promotion Council of Handicrafts (EPCH) for
the next three years.  Going forward, the company's ability to
earn lease revenue by hosting additional events in presence of
strong competition from the other such established venue, Pragati
Maidan, would form the key sensitive factor.

IEML was incorporated in 2001-02 by group of exporters and EPCH
(Exports Promotion Council of Handicrafts, Ministry of Textiles)
for the development of India Expo Center & Mart at Greater Noida
in 2001-02.  The India Expo Center & Mart was conceptualized for
the promotion of Indian exports industry for carpets, handloom,
silk and jute products and Handicraft products from India. The
land for this project was provided on lease by Greater Noida
Industrial Development Authority at concessional rates. The
project has around 1800 marts most of which have been already sold
out to exporters.  The Expo Centre section consists of 8
exhibition halls, conference facilities, parking facilities,
hotels, restaurants, helipads, warehousing facilities, and
logistics centers etc. where annual exhibitions and fairs are
held.

IEML posted a turnover of INR1.71 billion and a profit after tax
of INR89.5 million in FY2009.


PREMIER CAR: ICRA Places 'LBB+' Rating on INR100 Mil. Bank Loans
----------------------------------------------------------------
ICRA has assigned 'LBB+' rating to the INR100 million bank
facilities of Premier Car Sales Limited.  The outlook on the long
term rating is stable.

The assigned rating factors in the thin profit margins of PCSL,
which is inherent in the automotive dealership business; and
limited financial flexibility on account of weak cash flows. The
ratings also take into account the high competitive intensity in
vehicle dealership business as well as the concerns on the
accounting quality of PCSL. The ratings, nevertheless, recognize
PCSL's long standing relationship with Hyundai, diversified
revenue streams, experienced promoters, and their support in the
form of unsecured loans extended to the company.

In H1 2009-10, PCSL's operating income at INR840 million reported
a growth of 57.4% over the corresponding period previous year. The
company's profit before depreciation, interest and tax also
increased by 32.4% to INR21 million in H1 2009-10. Further, PCSL's
profit after tax increased from INR3 million in H1 2008-09 to
INR7 million in H1 2009-10.

PSCL was incorporated in 1981 and it began as a dealer of Premier
Cars Limited. However in 1998 it shifted to the dealership of
Hyundai's passenger vehicles and subsequently diversified into the
dealerships of Honda's two wheelers (1999) and three wheelers of
Piaggio (2004).

While the shareholding of the company is distributed amongst the
friends and relatives of the Agarwal family, majority stake is
held by the three brothers- Mr. Vijay Kumar Agarwal, Suresh Kumar
Agarwal and Mr. Sushil Kumar Agarwal. Mr. Vijay is the eldest
brother and the Managing Director for the company while the other
two brothers are directors in PCSL.


PRERANA MOTORS: ICRA Assigns 'LBB+' Rating on INR240MM Loans
------------------------------------------------------------
ICRA has assigned an 'LBB+' rating to the INR240 million fund
based limits and the INR55.2 million term loan programme of
Prerana Motors Private Limited.  ICRA has also assigned an A4+
rating to the INR10 million non fund based limits of PMPL.

The LBB+/A4+ ratings factor in PMPL's established market position
as an authorized dealer of Tata Motors commercial and passenger
vehicles, its long track record of operations, wide base of
operations through showrooms/service centres across several
locations and its strong credentials as one of the largest dealers
of Tata Motors vehicles in Karnataka. ICRA also notes PMPL's
efforts to augment its revenues through sources other than the
sale of vehicles, like, service income, sale of spares (PMPL is
also an authorized distributor for spares of passenger vehicles)
etc.  While the revenues from the sale of commercial and passenger
vehicles declined sharply in 2007-08 and 2008-09, profitability
was supported to an extent by service/spare parts revenues. The
ratings are however constrained by the vulnerability of the auto
segment to business cycles and the high competitive intensity of
the business as reflected in the low level of profitability.
Further, the ratings are constrained by the working capital
intensive nature of operations and consequent reliance on debt
funding resulting in high leveraging (Total Debt/Tangible Net
Worth at 3.81 times as on March 31, 2009) and low debt protection
indicators.

PMPL was established in 1991 in Bangalore as a partnership firm
(converted into a private limited company in 1999) and is the
authorized dealer for commercial as well as passenger vehicles for
Tata Motors Limited.  The company has a wide spread network of
branches and sales and servicing outlets in Karnataka. Beginning
with the first branch at Bangalore in 1991, PMPL currently has
four showrooms exclusive for passenger cars in various locations
in Karnataka including Bangalore.  The company also has three
showrooms exclusive for commercial vehicles in its dealership
territory in various parts of Karnataka.  The company has three
service centres for passenger cars in Bangalore and six service
centres for commercial vehicle in various parts of Karnataka.
PMPL's Operating Income and PAT for 2008-09 were at
INR3034.5million & INR12.2 million respectively.


SARAF AGENCIES: ICRA Assigns 'LB+' Rating on INR674.9MM Term Loans
------------------------------------------------------------------
ICRA has assigned 'LB+' rating to the term loans of Saraf Agencies
Private Limited aggregating to INR674.9 million.  The rating is
constrained by the uncertainties in the proposed Special Economic
Zone (SEZ) project.

The company had initially planned to develop the notified SEZ to
house a Titanium processing unit to be developed in a joint
venture with a Russian government entity.  However as the group
has withdrawn from the joint venture with the Russian party the
development is placed on hold now and future of the project is
uncertain.

SAPL is part of Saraf group of companies, a Kolkata based real
estate developer promoted by Mr S.M. Shroff and Mr Rahul Saraf.
The company is engaged in developing a SEZ in Ganjam district of
Orissa which include development of the industrial complex along
with all the infrastructure facilities including power and water
supply.


SPR GROUP: ICRA Places 'LBB-' Rating on INR110.0 Million Term Loan
------------------------------------------------------------------
ICRA has assigned an 'LBB-' rating with stable outlook to the
INR110.0 million Term Loan Facility and INR505.00 million Cash
Credit Facility of SPR Group Holdings Private Limited. ICRA also
assigns an A4 rating to the INR25.0 million Bank Guarantee limits
of SGHPL.

The rating is constrained by stretched financial profile
characterized by its modest profitability, low cash accruals and
weak debt coverage indicators.  ICRA also takes into cognizance
geographical concentration of company's operations, intensely
competitive nature of low profile Indian Made Foreign
Liquor industry and its vulnerability to raw material price
movements.  However, the rating draws comfort from the long track
record of the promoter's in the liquor industry and backward
integration of group's operations.

SPR Group Holdings Private Limited was established in 1991 by
Gowda Group, which also has presence in other related business
like distillery and sugar.  Earlier the company was mainly
engaged in arrack (country liquor) business; post the ban on
arrack in Karnataka in Jul-07, company shifted its focus to IMFL.
SGHPL has established a bottling plant at Bangalore, Karnataka
with capacity of 20000 cases per day.  SGHPL reported a PAT of
INR2.08 million on operating income of INR1023.28 million in 2008-
09, as against corresponding figures of INR19.44 million and
INR995.13 million in 2007-08.  In H1 2009-10 (provisional), SGHPL
reported PAT of INR2.25 million on operating income of INR337.51
million in H1 2009-10.


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


JAPAN AIRLINES: Offers Early Retirement Program to Pilots
---------------------------------------------------------
Japan Airlines Corp. has offered an early retirement program for
pilots as part of its downsizing plans for rehabilitation under
court protection from creditors, The Japan Times reports.

The report relates the carrier said it will accept voluntary
retirement applications from pilots aged 35 and over from March 18
through April 16.  The move would be JAL's first early retirement
program for pilots since its integration with Japan Air System Co.
in 2002, the report notes.

As reported in the Troubled Company Reporter-Asia Pacific on
March 9, 2010, Reuters said Japan Airlines, which employs about
51,800 groupwide, aims to let go of 2,700 employees at its core
unit, Japan Airlines International Co, and the rest at other group
firms.   According to Reuters, the carrier, which did not disclose
how much severance pay early retirees are to receive, will start
with 400 flight crew and ground staff managers.

Japan Airlines Corporation -- http://www.jal.co.jp/-- is a
Japan-based company mainly engaged in the provision of air
transport services.  The Company is active in five business
segments through its 203 subsidiaries and 83 associated companies.
JAL International Co. Ltd. is a wholly owned operating subsidiary
of Japan Airlines Corporation.

                           *     *     *

Japan Airlines Corporation, Japan Airlines International Co., Ltd.
and JAL Capital Co., Ltd., on January 19, 2010, filed the
petitions to commenced corporate reorganization proceedings with
the Tokyo District Court.  The Court appointed the Enterprise
Turnaround Initiative Corporation of Japan and Eiji Katayama,
Esq., as reorganization trustees.

Japan Airlines Corp. filed for reorganization January 19 in the
Tokyo District Court and filed a Chapter 15 petition in New York
(Bankr. S.D.N.Y. Case No. 10-10198).  The Company said debt is
$28 billion.

Bankruptcy Creditors' Service, Inc., publishes Japan Airlines
Bankruptcy News.  The newsletter tracks the Chapter 15 proceedings
and the bankruptcy proceedings in Tokyo undertaken by Japan
Airlines Corp. and its various affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)


JAPAN AIRLINES: To Forgo Hiring of New Employees for Spring 2011
----------------------------------------------------------------
The Japan Times reports that Japan Airlines Corp. President Masaru
Onishi said Wednesday the carrier will probably forgo hiring of
new employees for spring 2011 as it undergoes state-led
rehabilitation.

The report says JAL Chairman Kazuo Inamori, in a joint press
conference in Tokyo, also emphasized that the carrier will turn
itself around while keeping its international routes, even though
they have been seen as a drag on its loss-making operations.

"I think it will be more than possible to achieve profitability on
international routes," the report quoted Mr. Inamori as saying.
"JAL will definitely revive itself while keeping the international
routes intact," he said.

Japan Airlines Corporation -- http://www.jal.co.jp/-- is a
Japan-based company mainly engaged in the provision of air
transport services.  The Company is active in five business
segments through its 203 subsidiaries and 83 associated companies.
JAL International Co. Ltd. is a wholly owned operating subsidiary
of Japan Airlines Corporation.

                           *     *     *

Japan Airlines Corporation, Japan Airlines International Co., Ltd.
and JAL Capital Co., Ltd., on January 19, 2010, filed the
petitions to commenced corporate reorganization proceedings with
the Tokyo District Court.  The Court appointed the Enterprise
Turnaround Initiative Corporation of Japan and Eiji Katayama,
Esq., as reorganization trustees.

Japan Airlines Corp. filed for reorganization January 19 in the
Tokyo District Court and filed a Chapter 15 petition in New York
(Bankr. S.D.N.Y. Case No. 10-10198).  The Company said debt is
$28 billion.

Bankruptcy Creditors' Service, Inc., publishes Japan Airlines
Bankruptcy News.  The newsletter tracks the Chapter 15 proceedings
and the bankruptcy proceedings in Tokyo undertaken by Japan
Airlines Corp. and its various affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)


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


KUMHO ASIANA: Petrochem Unit Chief Regains Position
---------------------------------------------------
Kumho Petrochemical's board of directors approved Monday the
appointment of former Kumho Petrochemical Chairman Park Chan-koo
to his old post.

Mr. Park was able to regain managerial control over the company
after agreeing last month to offer his 16.2% stake in Kumho
Petrochemical to creditor banks as collateral in return for the
provision of fresh loans to the troubled business group, the Times
relates.

Park Chan-koo was dismissed as chief executive officer and
chairman of Korea Kumho Petrochemical Corp. at a board meeting on
July 28, following a dispute with his elder brother, Kumho Asiana
Group honorary chairman Park Samkoo, over the control of the
chemical unit.

As reported in the Troubled Company Reporter-Asia Pacific on
August 6, 2009, The Korea Herald said Kumho Asiana has been
suffering from a liquidity crisis, which observers describe as a
typical case of acquisition indigestion.  In a bid to ease a cash
shortage, the conglomerate in July decided to re-sell the
controlling stakes and management rights of Daewoo Engineering,
after acquiring it in 2006 for KRW6.4 trillion.  Bloomberg said
creditors including Shinhan Bank may force the company to repay
KRW3.9 trillion (US$3.2 billion) by June if they exercise an
option to sell Daewoo Engineering shares they hold back to Kumho
Asiana.

The creditors decided on Dec. 30 to put two other ailing units --
Kumho Industrial Co. and Kumho Tire Co. -- under a debt
rescheduling program.  Meanwhile, the group's other two units --
Korea Kumho Petrochemical Co. and Asiana Airlines Inc. -- will
have to improve their financial health through rigorous self-
restructuring efforts as earlier agreed with creditors.

Kumho Asiana unveiled a restructuring plan on January 5 that
involves raising KRW1.3 trillion (US$1.1 billion) by selling off
assets, while cutting costs via a 20% reduction in executive
positions and wages, Yonhap reported.

According to Bloomberg data, the group's net debt was KRW2.21
trillion as of September 30, 2009 -- more than double the KRW998.5
billion it had at the end of 2005 before Kumho Asiana bought 72%
of Daewoo Engineering for KRW6.43 trillion.  Kumho Tire's net debt
stood at KRW1.71 trillion at the end of September 2009.

                        About Kumho Asiana

Established in 1946, Kumho Asiana Group is a large South Korean
conglomerate, with subsidiaries in the automotive, industry,
leisure, logistic, chemical and airline fields.  The group is
headquartered at the Kumho Asiana Main Tower in Sinmunno 1-ga,
Jongno-gu, Seoul, South Korea.


KUMHO ASIANA: Unit Faces Investors' Lawsuit Over Debt Rescheduling
------------------------------------------------------------------
The Korea Herald reports that private investors in Kumho
Industrial, the building unit of Kumho Asiana Group, are set to
file a lawsuit over their disappointment on the company's debt
rescheduling program, deepening the discord with creditors.

The Herald relates financial industry officials said that those
who invested in the company's commercial paper and unconventional
bonds have raised their voices against the debt rescheduling
program proposed by Kumho Industrial and creditors last week.

According to Joong Ang Daily, the company, however, is now trying
to hammer out an agreement with retail investors that currently
own KRW450 billion (US$397 million) worth of its corporate bonds
and commercial paper.

JoongAng Daily says Kumho Industrial and its creditors have asked
retail investors to agree to one of these three options:

   -- Kumho Industrial would return the principal investment
      amount via installment payments over the course of three
      years - after a year grace period;

   -- converting all of the investors' bonds into stocks;

   -- to convert half of the bonds into stocks and then have
      the company pay back the remaining half over three years.

But private investors said they cannot accept any other way than
to redeem the principal and interest all at once, the Herald
notes.

The Herald says Kumho Industrial will likely file for court
receivership and become unlisted from the bourse if the private
investors do not agree with the company's debt rescheduling plans.

As reported in the Troubled Company Reporter-Asia Pacific on
August 6, 2009, The Korea Herald said Kumho Asiana has been
suffering from a liquidity crisis, which observers describe as a
typical case of acquisition indigestion.  In a bid to ease a cash
shortage, the conglomerate in July decided to re-sell the
controlling stakes and management rights of Daewoo Engineering,
after acquiring it in 2006 for KRW6.4 trillion.  Bloomberg said
creditors including Shinhan Bank may force the company to repay
KRW3.9 trillion (US$3.2 billion) by June if they exercise an
option to sell Daewoo Engineering shares they hold back to Kumho
Asiana.

The creditors decided on Dec. 30 to put two other ailing units --
Kumho Industrial Co. and Kumho Tire Co. -- under a debt
rescheduling program.  Meanwhile, the group's other two units --
Korea Kumho Petrochemical Co. and Asiana Airlines Inc. -- will
have to improve their financial health through rigorous self-
restructuring efforts as earlier agreed with creditors.

Kumho Asiana unveiled a restructuring plan on January 5 that
involves raising KRW1.3 trillion (US$1.1 billion) by selling off
assets, while cutting costs via a 20% reduction in executive
positions and wages, Yonhap reported.

According to Bloomberg data, the group's net debt was KRW2.21
trillion as of September 30, 2009 -- more than double the KRW998.5
billion it had at the end of 2005 before Kumho Asiana bought 72%
of Daewoo Engineering for KRW6.43 trillion.  Kumho Tire's net debt
stood at KRW1.71 trillion at the end of September 2009.

                        About Kumho Asiana

Established in 1946, Kumho Asiana Group is a large South Korean
conglomerate, with subsidiaries in the automotive, industry,
leisure, logistic, chemical and airline fields.  The group is
headquartered at the Kumho Asiana Main Tower in Sinmunno 1-ga,
Jongno-gu, Seoul, South Korea.


MAGNACHIP SEMICONDUCTOR: To Raise US$250 Million Public Offering
----------------------------------------------------------------
MagnaChip Semiconductor LLC filed a Form S-1 with the Securities
and Exchange Commission, stating that it plants to raise
US$250 million proposed maximum aggregate offering price with a
registration amount of US$17,825.

The company said it plants to use the net proceeds from this
offering:

  * approximately US$12 million to fund incentive payments to all
    of our employees; and

  * approximately US$[____] million to fund working capital and
    for general corporate purposes.

The Company intends to invest the net proceeds of this offering in
short-term, investment-grade, interest-bearing securities.  If the
Company raises more or fewer proceeds from this offering than
anticipated, the Company expects to increase or reduce the amount
that it uses to fund working capital and for general corporate
purposes by a commensurate amount.

In the filing, the Company said it does not intend to pay any cash
dividends on its common stock in the foreseeable future after this
offering.  The Company expects to retain all of its future
earnings after this offering for use in the development of its
business and for general corporate purposes.  Any determination to
pay dividends in the future will be at the discretion of its board
of directors.  The payment of cash dividends on its common stock
is restricted under the terms of its senior secured credit
agreement.

A full-text copy of the company's Form S-1 is available for free
at http://ResearchArchives.com/t/s?5906

                  About MagnaChip Semiconductor

Headquartered in South Korea, MagnaChip Semiconductor LLC --
http://www.magnachip.com/-- is a leading, Asia-based designer and
manufacturer of analog and mixed-signal semiconductor products for
high volume consumer applications.  The Company has a broad range
of analog and mixed-signal semiconductor technology and
intellectual property, supported by its 29-year operating history,
large portfolio of registered and pending patents and extensive
engineering and manufacturing process expertise.  Citigroup
Venture Capital Equity Partners LP was part of the investor group
that acquired MagnaChip in 2004 from Hynix Semiconductor Inc.

MagnaChip Semiconductor S.A. and five other entities filed for
Chapter 11 on June 12, 2009, in the U.S. Bankruptcy Court for the
District of Delaware.  The Chapter 11 cases are jointly
administered under Case No. 09-12008, MagnaChip Semiconductor
Finance Company.  Judge Peter J. Walsh handles the case.  Curtis
A. Hehn, Esq., James E. O'Neill, Esq., Laura Davis Jones, Esq.,
and Mark M. Billion, Esq., at Pachulski Stang Ziehl & Jones LLP,
represent the Debtors as counsel.  Howard A. Cohen, Esq., at
Drinker Biddle & Reath serves as counsel for the official
committee of unsecured creditors.  Omni Management Group LLC is
the Debtors' claims agent.   In their formal schedules, MagnaChip
Semiconductor S.A. disclosed $951,917,782 in assets against
$845,903,186 in debts while MagnaChip Semiconductor B.V.
disclosed assets of $762,465,739 against debts of $1,800,612,084.


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


CAPITAL + MERCHANT: SFO Starts Probe Into Firm's Collapse
---------------------------------------------------------
The Serious Fraud Office has started its investigation into
Capital + Merchant Finance following a referral from the company's
receivers Grant Thornton, a report posted at stuff.co.nz says.

SFO Chief Executive Adam Feeley said the investigation focuses on
specific transactions which, on current information, appeared to
have benefited certain related parties through the use of Capital
+ Merchant funds in contrived structures and with questionable
supporting documentation.

"The investigation is in its early stages," the report quoted
Mr. Feeley as saying.

As reported in the Troubled Company Reporter - Asia Pacific on
Dec. 4, 2007, Capital + Merchant Finance Ltd and Capital +
Merchant Investments Ltd have gone into receivership due to
breaches in respect of general security agreements issued by the
companies in favor of creditor Fortress Credit Corporation
(Australia) 11 Pty Ltd.

Fortress appointed Tim Downes and Richard Simpson of Grant
Thornton, chartered accountants, while trustee Perpetual Trust
have called in KordaMentha, the New Zealand Press Association
related.

Capital + Merchant owes about NZ$190 million to 7,000 investors.
Fortress reportedly has a prior charge over assets and was owed
around NZ$70 million in total.


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


MRC ALLIED: Gets PHP1.38B Equity Infusion From GEM Investment
-------------------------------------------------------------
The Philippine Daily Inquirer reports that UK-based GEM Investment
Group has agreed to infuse about PHP1.38 billion in fresh capital
into MRC Allied Industries Inc.

The Inquirer says MRC Allied recently entered into an equity line
of credit agreement with GEM units Global Emerging Markets
Investment Advisors Inc. and Global Emerging Markets Global Yield
Fund Ltd.

"Under the agreement, GEM has committed to subscribe to new equity
in MRC worth up to PHP1.38 billion over the next three years," the
Inquirer cited MRC Allied's disclosure to the Philippine Stock
Exchange.

MRC Allied expects to raise a total of PHP5 billion in additional
capital, including an asset infusion from Lucio "Bong" Tan Jr.

                         About MRC Allied

MRC Allied Industries, Inc. (PSE: MRC) is a property development
firm in the Philippines.  The Company is into the development of
master planned, integrated residential, commercial, recreational,
tourism, and industrial areas within a single community or
township.  MRC is concentrating on its two principal projects: the
New Cebu Township One (NCTO) in Naga in Cebu, and the Amihan Cebu
Woodlands Township (ACWT) in Leyte.  New Cebu Township One project
is located in the municipality of Naga, Cebu consists of 250
hectare and 123 hectares for Phase I of the NCTO.  Amihan Cebu
Woodlands Township is located in San Isidro, Leyte with a area of
732 hectares, ACWT was originally planned as an eco-
residential/tourism project with Ecozone status.

                          *     *     *

In its audit report on the Company's financial statements for the
fiscal year ended December 31, 2008, Sycip Gorres Velayo & Co.
expressed significant doubt about the Company's ability to
continue as a going concern.  The Company incurred net losses of
PHP143.6 million, PHP37.9 million and PHP37.7 million for the
years ended December 31, 2008, 2007 and 2006, respectively, and
the Company's capital deficiency amounted to PHP174.4 million and
PHP30.8 million as of December 31, 2008 and 2007, respectively.
The Company was also unable to meet principal and interest
amortizations on its bank loans and has substantially reduced its
development activities.


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


AMERICAN INT'L: China Strategic Shareholders OK Plan to Buy Nan
---------------------------------------------------------------
Aries Poon at Dow Jones Newswires reports that China Strategic
Holdings Ltd. said Tuesday its shareholders approved a plan to
team up with Primus Financial Holdings Ltd. to acquire Nan Shan
Life Insurance Co. from American International Group Inc. for
US$2.15 billion.

Dow Jones says the Hong Kong consortium are still awaiting
regulatory approval from Taiwan's government, which has been
looking into the possibility the consortium has been backed by
Chinese money.

Dow Jones relates Taiwan's government said Thursday it plans to
decide on the matter by the end of June and noted that from what
it had seen so far, there is no mainland Chinese money behind the
purchase of the insurer.

The consortium of Primus Financial Holdings Ltd. and China
Strategic Holdings Ltd. agreed in October to buy Nan Shan Life for
US$2.15 billion.

Based in New York, American International Group, Inc., is the
leading international insurance organization with operation in
more than 130 countries and jurisdictions.  AIG companies serve
commercial, institutional and individual customers through the
most extensive worldwide property-casualty and life insurance
networks of any insurer.  In addition, AIG companies are leading
providers of retirement services, financial services and asset
management around the world.  AIG's common stock is listed on the
New York Stock Exchange, as well as the stock exchanges in Ireland
and Tokyo.

In September 2008, AIG experienced a liquidity crunch when its
credit ratings were downgraded below "AA" levels by Standard &
Poor's, Moody's Investors Service and Fitch Ratings.  On
September 16, 2008, the Federal Reserve Bank created an
$85 billion credit facility to enable AIG to meet increased
collateral obligations consequent to the ratings downgrade, in
exchange for the issuance of a stock warrant to the Fed for 79.9%
of the equity of AIG.  The credit facility was eventually
increased to as much as $182.5 billion.

AIG has sold a number of its subsidiaries and other assets to pay
down loans received from the U.S. government, and continues to
seek buyers of its assets.


                         *********

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 T. Fernandez, 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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