/raid1/www/Hosts/bankrupt/TCRAP_Public/100323.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, March 23, 2010, Vol. 13, No. 057
Headlines
A U S T R A L I A
ABC LEARNING: Likely Insolvent Before Collapse, Administrators Say
SOUTH BAY EXPRESSWAY: Files for Chapter 11 Bankruptcy
C H I N A
CHINA EASTERN: To Save CNY680MM From Merger With Shanghai Air
GENERAL MOTORS: GM China to Recall 7,942 Imported Cadillac CTS
* CHINA: Banks Face Challenges on Rising Bad Loans, S&P Says
H O N G K O N G
ALLIED MASTER: Court to Hear Wind-Up Petition on April 14
AP COMMUNICATIONS: Court to Hear Wind-Up Petition on May 5
[REDACTED Mar. 23, 2010 -- pac]
CHUN KIT INDUSTRIAL: Members' Final Meeting Set for April 20
CONWELL FAR: Members' Final Meeting Set for April 21
DRAGON FORWARDING: Court to Hear Wind-Up Petition on May 5
FOOD THERAPY: Creditors Get 8.4% Recovery on Claims
FRIENDLY STAR: Tsang Hing Hung Appointed as Liquidator
GOLDEN DOME: Creditors and Contributories to Meet on March 31
GOLDEN GAIN: Court Enters Wind-Up Order
* Hong Kong Bankruptcy Petitions Fall 54.9% in February
I N D I A
AGRA NAGAR: CARE Reaffirms 'BB-' Issuer Rating
ALLAHABAD MUNICIPAL: CARE Reaffirms 'B+' Issuer Rating
ALLIANCE PALMS: ICRA Assigns 'LBB-' Rating on INR1.2BB Term Loans
ALVI TECH: CRISIL Assigns 'BB-' Rating on INR32.5MM Cash Credit
ARADHYA STEEL: Fitch Assigns 'BB' National Long-Term Rating
BHILAI INSTITUTE: CRISIL Rates INR97.5 Million Term Loan at 'BB+'
CAPARO MI: CARE Assigns 'CARE BB+' Rating on INR10.04cr LT Loan
CAPARO ENGINEERING: CARE Rates INR688.91cr Loans at 'CARE BB'
COASTAL ENERGEN: ICRA Assigns 'LBB' Rating on INR34.38BB Term Loan
FASHION GLOBAL: ICRA Places 'LBB-' Rating on INR130 Mil. LT Loans
GOKAK TEXTILES: ICRA Places 'LBB' Rating on INR690MM Bank Debts
INDUSIND BANK: Fitch Affirms Individual Rating at 'D'
JAGANNATH SPONGE: ICRA Places 'LBB-' on INR96 Million Term Loan
K.P. GARMENTS: ICRA Rates INR180 Mil. Cash Credit at 'LB+'
KANPUR MUNICIPAL: CARE Reaffirms 'BB+' Issuer Rating
LUCKNOW MUNICIPAL: CARE Reaffirms 'BB' Issuer Rating
MAGNETI MARELLI: ICRA Assigns 'LBB' Rating on INR160 Mil. LT Loan
P. ASHOKKUMAR: Small Net Worth Prompts CRISIL 'P4' Ratings
PIPAVAV RAILWAY: ICRA Reaffirms 'LBB+' Rating on INR1.27B Loan
PRIJAI HEAT: CRISIL Assigns 'BB-' Rating on INR89.5MM Term Loan
RAJ GEMS: CRISIL Places 'P4' Rating on INR92 Mil. Bank Facilities
SUNALCO ALLOYS: ICRA Rates INR240MM LT Bank Facilities at 'LBB'
SUZLON ENERGY: CRISIL Downgrades Ratings on Various Bank Debts
TATA MOTORS: May Sell 60% Stake in Telcon Unit to Hitachi
TOYOP RELIEF: CRISIL Reaffirms 'P4' Ratings on Various Debts
WAVE HOSPITALITY: ICRA Places 'LBB+' Rating on INR1.2B Bank Debts
J A P A N
HITACHI LTD: Won't Pay Dividend in Second Half of FY2009
JMAC 4: Fitch Downgrades Rating on Class D Notes to 'C'
* JAPAN: 9 Major Banks Receive 37,736 Debt Moratorium Applications
K O R E A
GENERAL MOTORS: GM Daewoo Recalls 58,000 Vehicles in South Korea
M A L A Y S I A
MALAYSIAN MERCHANT: Defaults on MYR40.30-Mil. Collateralized Loan
N E W Z E A L A N D
AIR NEW ZEALAND: Cuts Business-Class Seats on Tasman Flights
MELVIEW HALSEY: IRD Places Firm Under Liquidation
P A K I S T A N
PAKISTAN MOBILINK: Moody's Reviews 'B2' Corp. Family Rating
S I N G A P O R E
MOOD DESIGN: Court Enters Wind-Up Order
SINGAPORE EXPLORER: Court Enters Wind-Up Order
SUISSELAB (SINGAPORE): Court to Hear Wind-Up Petition on April 9
WOOD DOCTOR: Court to Hear Wind-Up Petition on April 9
YUAN CHENG: Court to Hear Wind-Up Petition on April 9
X X X X X X X X
CITIGROUP INC: To Hire Nomura's Banfield as M&A Head in Asia
* BOND PRICING: For the Week to March 15 to March 19, 2010
- - - - -
=================
A U S T R A L I A
=================
ABC LEARNING: Likely Insolvent Before Collapse, Administrators Say
------------------------------------------------------------------
The Sydney Morning Herald reports that ABC Learning Ltd. almost
certainly became insolvent in the first half of 2008, about six
months before the directors appointed administrators to take
control of the company.
Citing financial statements prepared by administrators Ferrier
Hodgson, the Herald relates that the company went from a positive
cash flow from its operating activities of AU$207 million in its
2007 full-year accounts to a deficit of almost AU$20 million in
the first half of 2008.
According to the Herald, Ferrier's said in a 37-page report to
creditors released on March 18 that there had been a "significant
deterioration" in the net cash flow from ABC's operations in the
last few months of its corporate life.
The Herald says ABC's failure was put down by Ferrier's to a
combination of factors including:
* Inadequate focus on the day-to-day practices and results
of its operations;
* lack of a strategy to successfully integrate the businesses
it bought over a seven-year period;
* a dependence on compensation payments, liquidated damages
and fee guarantees from developers to provide revenue
streams; and
* too high a reliance on debt to not only fund acquisitions
but also to support the cash shortfall from its operations.
The Herald relates administrator Greg Moloney said that as a
result, the company's business model became unsustainable.
Creditors will be asked at a meeting in Brisbane this week to
decide whether to wind up the company.
About ABC Learning
Based in Australia, ABC Learning Centers Limited (ASX: ABS) --
http://www.childcare.com.au/-- provides childcare services and
education in more than 1,200 centers in Australia, New Zealand,
the United States and the United Kingdom. The Company's
subsidiaries include A.B.C. Developmental Learning Centers Pty
Ltd., A.B.C. Early Childhood Training College Pty Ltd., Premier
Early Learning Centers Pty Ltd., A.B.C. Developmental Learning
Centers (NZ) Ltd., A.B.C. New Ideas Pty Ltd., A.B.C. Land Holdings
(NZ) Limited and Child Care Centers Australia Ltd. On January 26,
2007, it acquired La Petite Holdings Inc. On February 2, 2007, it
acquired Forward Steps Holdings Ltd. On March 23, 2007, it
acquired Children's Gardens LLP. In September 2007, the Company
purchased the Nursery division (Leapfrog Nurseries) from Nord
Anglia Education PLC. In June 2008, the Company completed the
sale of a 60% stake in its United States business to Morgan
Stanley Private Equity.
* * *
As reported in the Troubled Company Reporter-Asia Pacific on
November 6, 2008, ABC Learning Centers Limited appointed
Peter Walker and Greg Moloney of Ferrier Hodgson as voluntary
administrators of the company and a number of its subsidiaries.
Subsequent to the appointment of administrators, the company's
banking syndicate, which is owed nearly AU$1 billion, appointed
Chris Honey, Murray Smith and JohnCronin of McGrathNicol as
receivers.
SOUTH BAY EXPRESSWAY: Files for Chapter 11 Bankruptcy
-----------------------------------------------------
Macquarie Atlas Roads said in a filing with the Australian Stock
Exchange That South Bay Expressway has filed for bankruptcy by
making a voluntary petition for relief under Chapter 11 of the
U.S. Bankruptcy Code. This was foreshadowed as a possible outcome
for SBC in MQA's December 2009 prospectus.
MQA owns 50% of SBX, which has been valued at zero since June 30,
2009.
"Other than a US$3.6 million letter of credit regarding
environmental obligations, which is not expected to be called, MQA
has no further contingent or other funding obligations with regard
to SBX," the statement said.
=========
C H I N A
=========
CHINA EASTERN: To Save CNY680MM From Merger With Shanghai Air
-------------------------------------------------------------
Shanghai Daily reports that China Eastern Airlines General Manager
Ma Xulun said the carrier will save at least CNY680 million
(US$99.56 million) this year after acquiring Shanghai Airlines.
The Daily relates Mr. Ma on the sidelines of a shareholder meeting
that the two carriers have completed integrating marketing,
information technology and ground services, and are still
discussing how to integrate their cargo and logistics arms.
According to the report, Mr. said China Cargo Airlines, a
subsidiary of China Eastern, and Shanghai Airlines Cargo Intl. Co.
are owned by several shareholders and China Eastern is talking to
these shareholders about merging the two units.
China Eastern's takeover of Shanghai Airlines via a share swap has
resulted in a bigger carrier with an operating capital of more
than CNY150 billion, a fleet of 331 aircraft and more than 600
routes linking 151 destinations, Shangha Daily discloses.
Headquartered in Shanghai, China, China Eastern Airlines
Corporation Limited's -- http://www.ce-air.com/-- provides civil
aviation services, including passenger transportation, cargo
transportation and mail delivery services. The company operates
its businesses in domestic and overseas markets. As of Dec. 31,
2008, the company operated 423 airlines, of which 332 were
domestic passenger transportation lines, one domestic cargo
transportation line, 75 international passenger transportation
lines, 14 international cargo transportation lines, 16 regional
passenger transportation lines and one regional cargo
transportation line. The company also involves in operation of
five Taiwan chartered flight passenger transportation lines and
one cargo transportation line. As of December 31, 2008, the
company operated roughly 240 aircrafts, including 214 jumbo
jets and 11 cargo jets.
* * *
China Eastern continues to carry Xinhua Far East China Ratings'
BB+ issuer credit rating with a stable outlook.
GENERAL MOTORS: GM China to Recall 7,942 Imported Cadillac CTS
--------------------------------------------------------------
GM China Investment Co., Ltd. is to recall 7,942 imported Cadillac
CTS cars in the Chinese mainland from April 28 due to possible
brake fluid leakages, Xinhua News Agency reports citing the
General Administration of Quality Supervision, Inspection, and
Quarantine (AQSIQ).
Xinhua, citing China's quality watchdog's statement, relates says
the rubber part of the brake lining could trap water with impure
chemical materials, which could lead to erosion of the brake
lining's connection point with the brake cylinder. The erosion
could lead to possible leakages of brake fluid, affecting braking.
Xinhua notes the Cadillac after-sales service center would contact
customers and help replace the old brake linings for free starting
April 28.
Shanghai General Motors Corp Ltd, GM's joint venture with Shanghai
Automotive Industry Corp, had recently recalled 2,065 Chevrolet
Captiva vehicles in China due to a possible steering system
defect.
These sports utility vehicles were made by GM's South Korean
subsidiary, GM Daewoo Auto & Technology Co. before the end of
2007, according to the AQSIQ.
About General Motors
General Motors Company -- http://www.gm.com/-- is one of the
world's largest automakers, tracing its roots back to 1908. With
its global headquarters in Detroit, GM employs 209,000 people in
every major region of the world and does business in some 140
countries. GM and its strategic partners produce cars and trucks
in 34 countries, and sell and service these vehicles through these
brands: Buick, Cadillac, Chevrolet, GMC, GM Daewoo, Holden, Opel,
Vauxhall and Wuling. GM's largest national market is the United
States, followed by China, Brazil, the United Kingdom, Canada,
Russia and Germany. GM's OnStar subsidiary is the industry leader
in vehicle safety, security and information services.
GM acquired its operations from General Motors Company, n/k/a
Motors Liquidation Company, on July 10, 2009, pursuant to a sale
under Section 363 of the Bankruptcy Code. Motors Liquidation or
Old GM is the subject of a pending Chapter 11 reorganization case
before the U.S. Bankruptcy Court for the Southern District of New
York.
At September 30, 2009, GM had US$107.45 billion in total assets
against US$135.60 billion in total liabilities.
About Motors Liquidation
General Motors Corporation and three of its affiliates filed for
Chapter 11 protection on June 1, 2009 (Bankr. S.D.N.Y. Lead Case
No. 09-50026). General Motors changed its name to Motors
Liquidation Co. following the sale of its key assets to a company
60.8% owned by the U.S. Government.
The Honorable Robert E. Gerber presides over the Chapter 11 cases.
Harvey R. Miller, Esq., Stephen Karotkin, Esq., and Joseph H.
Smolinsky, Esq., at Weil, Gotshal & Manges LLP, assist the Debtors
in their restructuring efforts. Al Koch at AP Services, LLC, an
affiliate of AlixPartners, LLP, serves as the Chief Executive
Officer for Motors Liquidation Company. GM is also represented by
Jenner & Block LLP and Honigman Miller Schwartz and Cohn LLP as
counsel. Cravath, Swaine, & Moore LLP is providing legal advice
to the GM Board of Directors. GM's financial advisors are Morgan
Stanley, Evercore Partners and the Blackstone Group LLP.
Bankruptcy Creditors' Service, Inc., publishes General Motors
Bankruptcy News. The newsletter tracks the Chapter 11 proceeding
undertaken by General Motors Corp. and its various affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)
* CHINA: Banks Face Challenges on Rising Bad Loans, S&P Says
------------------------------------------------------------
Chinese banks appear financially strong enough to withstand the
expected pressure on profits as non-performing loans and other
problem loans increase, according to a report recently published
by Standard & Poor's Ratings Services, titled "Are Chinese Banks
Strong Enough To Withstand A Likely Spike In Bad Loans?"
Standard & Poor's forecasts a 20% increase in loan growth this
year, following a record 30% rise last year, but it expects the
NPL and other problem loans ratio to remain below 10% for the next
two years.
"The potentially steep rise in NPLs and other problem loans will
be the biggest challenge for the banking sector in the next few
years. But we think the sector will continue to have sufficiently
good profitability, reasonable NPL ratios, and adequate
capitalization to keep the bad loans at a manageable level," said
Standard & Poor's credit analyst Ryan Tsang.
"Our assumption is based on an expectation that Chinese
authorities will continue to implement a mix of administrative
measures and market mechanisms at a measured pace to curb the
record pace of lending growth that began in late 2008 and has
continued this year. A riskier, more abrupt policy change could
lead to serious problems for the sector, but we don't see that as
a likely scenario."
Smaller institutions -- mainly city commercial banks, rural
banking institutions, and other grassroot financial institutions
-- will likely face more difficulties than major banks that have
undergone significant reform, according to the article.
The article says that government-related urban development
investment corporations (UDICs) that have issued debt to finance
public works projects during the recent lending spree could
generate a significant proportion of NPLs and other problem loans.
Some real estate developers that have also borrowed heavily in
recent years could also contribute to the growth of bad loans.
"The reform of financing platforms of local government and UDICs
will likely moderate the impact of a potential surge in bad loans.
While local governments are motivated to support UDICs to a
certain extent, they have no clear legal or contractual obligation
to do so. This echoes the situation when Guangdong
International Trust and Investment Corp. [GITIC] and other
provincial government-related international trust and investment
corporations ran into liquidity problems in 1998," said Mr. Tsang.
The article says that Standard & Poor's expects to see a number of
high-profile and mismanaged UDICs close down, a trend that will
encourage more discipline.
"We also foresee consolidation among these corporations, which
will shore up their financial performances and avert significant
risks for the banking system," said Mr. Tsang.
* * *
The Wall Street Journal's Dinny McMahon says that the report from
Standard & Poor's is the latest analysis to raise the prospect of
a significant rise in nonperforming loans. Mr. McMahon says
China's banks -- almost entirely state-controlled -- lent a net
total of US$1.4 trillion in 2009, about double the volume in 2008.
The Journal notes that Fitch Ratings warned throughout 2009 that
the spike in new loans could result in declining asset quality at
banks. In February, the Journal recalls, it lowered its ratings
on two mid-sized Chinese lenders, in part because of their loan
growth in 2009.
According to the Journal, much of the concern centers on indirect
borrowing by local governments. Barred from borrowing directly
from banks, says the Journal, cities, counties and provinces set
up investment vehicles which the banks lent to instead. The
Journal states that these loans helped finance a wave of public
construction last year, keeping China's economy buoyant during the
financial crisis.
But the finances of many local governments were already weak prior
to the downturn, the Journal notes. According to the Journal,
analysts said the indirect borrowing raises the specter of rising
bad debt if the governments can't find the cash to repay their
loans. The Journal says central government regulators in recent
months have tightened supervision of such indirect borrowing.
According to Mr. McMahon, the S&P report comes as China's major
banks are scheduled this week to start releasing their annual
financial reports for 2009.
================
H O N G K O N G
================
ALLIED MASTER: Court to Hear Wind-Up Petition on April 14
---------------------------------------------------------
A petition to wind up the operations of Allied Master Investment
Limited will be heard before the High Court of Hong Kong on
April 14, 2010, at 9:30 a.m.
The Adirondack Trust Company filed the petition against the
company on February 8, 2010.
The Petitioner's solicitors are:
Jones Day
29/F, Edinburgh Tower
The Landmark
15 Queen's Road Central
Central, Hong Kong
AP COMMUNICATIONS: Court to Hear Wind-Up Petition on May 5
----------------------------------------------------------
A petition to wind up the operations of AP Communications Limited
will be heard before the High Court of Hong Kong on May 5, 2010,
at 9:30 a.m.
The Petitioner's solicitor is:
Christina Hadiwibawa
30/F, Revenue Tower
5 Gloucester Road
Wan Chai, Hong Kong
[REDACTED Mar. 23, 2010 -- pac]
CHUN KIT INDUSTRIAL: Members' Final Meeting Set for April 20
------------------------------------------------------------
Members of Chun Kit Industrial Company Limited will hold their
final meeting on April 20, 2010, at 10:00 a.m., at 1st Floor,
77-77A South Wall Road, Kowloon, in Hong Kong.
At the meeting, Lam Chun Kit, the company's liquidator, will give
a report on the company's wind-up proceedings and property
disposal.
CONWELL FAR: Members' Final Meeting Set for April 21
----------------------------------------------------
Members of Conwell Far East Limited will hold their final meeting
on April 21, 2010, at 11:00 a.m., at the Level 28, Three Pacific
Place, 1 Queen's Road East, in Hong Kong.
At the meeting, Seng Sze Ka Mee Natalia and Cheng Pik Yuk, the
company's liquidators, will give a report on the company's wind-up
proceedings and property disposal.
DRAGON FORWARDING: Court to Hear Wind-Up Petition on May 5
----------------------------------------------------------
A petition to wind up the operations of Dragon Forwarding Agency
Limited will be heard before the High Court of Hong Kong on
April 28, 2010, at 9:30 a.m.
The Petitioner's solicitor is:
Christina Hadiwibawa
30/F, Revenue Tower
5 Gloucester Road
Wan Chai, Hong Kong
FOOD THERAPY: Creditors Get 8.4% Recovery on Claims
---------------------------------------------------
Food Therapy Limited, which is in voluntary liquidation, paid
first and final dividend to its creditors on March 19, 2010.
The company paid 8.4% for ordinary claims.
The company's liquidator is:
Chiu Tak Sing
Wellborne Commercial Centre
8 Java Road
North Point, Hong Kong
FRIENDLY STAR: Tsang Hing Hung Appointed as Liquidator
------------------------------------------------------
Tsang Hing Hung on March 12, 2010, was appointed as liquidator of
Friendly Star Company Limited.
The liquidator may be reached at:
Tsang Hing Hung
29th Floor
K. Wah Centre
191 Java Road
North Point, Hong Kong
GOLDEN DOME: Creditors and Contributories to Meet on March 31
-------------------------------------------------------------
Creditors and contributories of Golden Dome (H.K.) Cabaret Show
International Co. Limited will hold their first meetings on
March 31, 2010, at 10:00 a.m., and 11:00 a.m., respectively, at
the Official Receiver's Office, 10th Floor, Queensway Government
Offices, 66 Queensway, in Hong Kong.
At the meeting, E T O'Connell, the company's provisional
liquidator, will give a report on the company's wind-up
proceedings and property disposal.
GOLDEN GAIN: Court Enters Wind-Up Order
---------------------------------------
The High Court of Hong Kong entered an order on March 9, 2010, to
wind up the operations of Golden Gain Hong Kong Limited.
The company's liquidator is Yuen Tsz Chun Frank.
* Hong Kong Bankruptcy Petitions Fall 54.9% in February
-------------------------------------------------------
Reuters reports that Hong Kong bankruptcy petitions in February
fell 54.9% from a year earlier, indicating the economy is on
course for a recovery.
Reuters, citing government data, relates that petitions totalled
677 in February, down from 1,500 a year earlier.
Bankruptcy petitions were down 16.8% in February to the previous
month, but monthly figures are not seasonally adjusted.
According to Reuters, bankruptcies reached a six-year high of
1,872 in March 2009, as the economy was hit hard by the global
financial crisis. It pulled out of recession in the second
quarter, Reuters notes.
=========
I N D I A
=========
AGRA NAGAR: CARE Reaffirms 'BB-' Issuer Rating
----------------------------------------------
CARE has retained the issuer rating of CARE BB- (Is) assigned to
Agra Nagar Nigam. The rating is only an opinion on the general
creditworthiness of the entity and not specific to any particular
debt instrument. Issuers with this rating are considered to offer
inadequate safety for timely servicing of debt obligations. Such
issuers carry high credit risk.
The rating takes into account the continued signs of financial
weakness and the implications of the economic slowdown on the city
economy and hence the tax base. The rating is constrained by the
lack of sustainability in revenue surpluses, continued financial
rigidity, high dependence on grants to finance establishment
expenditure and low levels of general self-reliance. The rating
also takes into account the significant scale down in the cost and
scope of projects as compared to the proposed projects under the
City development Plan (CDP). The rating also considers
improvements in institutional structures like the setting up of a
Project Implementation Unit (PIU), better record keeping for
properties and implementation of certain reforms.
ALLAHABAD MUNICIPAL: CARE Reaffirms 'B+' Issuer Rating
------------------------------------------------------
CARE has retained the issuer rating of 'CARE B+ (Is)' assigned to
Allahabad Municipal Corporation (AMC). The rating is only an
opinion on the general creditworthiness of the entity and not
specific to any particular debt instrument. Issuers with this
rating are considered to offer low safety for timely
servicing of debt obligations and carry very high credit risk.
Such issuers are susceptible to default.
The rating considers financial constraints which continue to
weaken AMC like high financial rigidity, low levels of financial
self-reliance and narrow capital receipt base. The rating also
factors in prospects of expenditure pressure due to increased
establishment outgoes under a revised pay scale from FY10 onwards
and increasing maintenance requirements consequent to higher
capital outlay. The rating also considers positives including the
generation of revenue surplus in FY08 and strong prospects for
greater property tax revenues due to a proposed revision in
guidance values and property tax rates from FY11 onwards.
ALLIANCE PALMS: ICRA Assigns 'LBB-' Rating on INR1.2BB Term Loans
-----------------------------------------------------------------
ICRA has assigned an 'LBB-' rating to the INR1.20 billion Term
Loan of Alliance Palms Developers and Constructions Private
Limited. The outlook on the assigned rating is stable.
The rating reflects the execution risk of the project considering
its initial stage of implementation and the high gearing level of
the project. Besides, the booking level needs to improve given
the sluggish demand recovery in the real estate market and the
competition from other villa projects in Bangalore increases the
overall market risk of the project. Moreover, the cash flow
adequacy of the company to meet its debt obligation as well as
scheduled construction cost needs to be witnessed. However, ICRA
draws comfort from the experienced and professional management and
the quality product offering of the project.
About Alliance Palms
Incorporated in the year 2007, Alliance Palms developers &
Constructions Private Limited (APDCPL) is a subsidiary of Alliance
group. Alliance group was started in 2004 by its existing
promoters and managing director Mr. Manoj Sai Numburu and Mr.
Sunil Bommireddy. The group is engaged in developing villas, tech
parks, malls, integrated townships, residential apartments, row
houses and hotels mainly in Chennai, Hyderabad and Bangalore.
APDCPL is currently engaged in developing El-Dorado project at
Jigani, South Bangalore. The project is planned as an integrated
township spread over 275 acres of land comprising of residential
villas, row houses, golf course, club house, parks, shopping malls
and other amenities. In the first phase of the project, the
company has launched about 330 villas and 200 row houses over 118
acres of land. The project is located about 14 km from the
Electronic city in Bangalore.
ALVI TECH: CRISIL Assigns 'BB-' Rating on INR32.5MM Cash Credit
---------------------------------------------------------------
CRISIL has assigned its 'BB-/Stable/ P4+' ratings to the bank
facilities of Alvi Tech Services Pvt Ltd.
Facilities Ratings
---------- -------
INR32.5 Million Cash Credit BB- /Stable (Assigned)
INR22.5 Million Bank Guarantee P4+ (Assigned)
The ratings reflect risks related to customer concentration in
revenue profile, small scale of operations and susceptibility to
volatility in revenues because of inherent uncertainties in the
tender-based contract jobs business. These rating weaknesses are
partially offset by the benefits that Alvi derives from its
promoters' experience in the contract jobs business and
established track record with key customers, and moderate
financial risk profile marked by low gearing.
Outlook: Stable
CRISIL believes that Alvi Tech Services Pvt Ltd will maintain low
gearing and moderate debt protection indicators backed by stable
profitability margin. The outlook may be revised to 'Positive' if
Alvi's scale of operations increases substantially while
maintaining its profitability or if its financial risk profile
improves because of fresh equity infusion. Conversely, the outlook
may be revised to 'Negative' if the company's financial risk
profile deteriorates materially, because of a major debt-funded
capital expenditure or if its revenue and profitability decline
considerably.
Alvi was incorporated in 2006 by Mr. Krishnand Trivedi. Alvi took
over the business of Mr. Trivedi's proprietorship firm, Alvi Tech
Services, set up in 2001. Alvi undertakes engineering and
construction of electrical and instrumentation components of
offshore projects in the oil and gas sectors.
Alvi reported a profit after tax (PAT) of INR4.1 million on net
sales of INR93.4 million for 2008-09 (refers to financial year,
April 1 to March 31), against a PAT of INR0.4 million on net sales
of INR29.2 million for 2007-08.
ARADHYA STEEL: Fitch Assigns 'BB' National Long-Term Rating
-----------------------------------------------------------
Fitch Ratings has assigned India's Aradhya Steel Private Limited a
National Long-term rating of 'BB(ind)'. The Outlook is Stable.
The agency has also assigned ratings of 'BB(ind)/F4(ind)' to
Aradhya's fund-based working capital limits of INR210.0 million,
and to its non-fund based limits of INR80 million, as well as a
'BB(ind)' rating to its outstanding term loans of
INR281.33 million.
The ratings reflect the company's track record as a supplier of
steel wire products to customers in India's automobile, auto-
components and infrastructure sectors. The ratings also reflect
the company's recovery from FY09's weak showing -- EBIDTA margins
fell to 4.25% in FY09 from historical levels of 13%-14%; it has
since improved to 10% in 9MFY10 (the nine-month period to end-
December 2009). Also, Aradhya's capacity utilization levels have
improved -- to around 83% of expanded capacity during 9MFY10, from
less than 55% in FY09.
The ratings are constrained by the stressed levels of leverage
metrics, given the large debt-funded capex program -- total capex
of INR422.0m funded with debt of INR315.0 million -- over the past
three years and slated for full completion by FY10. Debt/EBIDTAR
was 17.9x, with gearing at 5.15x at end-FY09 (FY08 debt/EBIDTAR at
9.2x and FY07: 5.2x).
Fitch notes that in FY10, State Bank of India agreed to reschedule
the company's term loan; there will not be any repayments in FY11
to SBI. With the improvement in capacity utilization and EBIDTAR
margins, Debt/EBITDA ratio improved to 6.5x during 9MFY10, and the
agency expects it to further improve from FY11.
Positive ratings triggers include a sustained improvement in
capacity utilization and EBIDTA margins, which results in a
reduction of gross debt/EBIDTA below 4x. Negative ratings
triggers would include a sustained deterioration in debt/EBIDTA
margins above 6x and the interest cover below 1.1x.
During FY09, Aradhya reported revenues of INR700.0 million,
EBIDTAR of INR30.4 million, and Loss-After-Tax of INR50.6 million.
BHILAI INSTITUTE: CRISIL Rates INR97.5 Million Term Loan at 'BB+'
-----------------------------------------------------------------
CRISIL has assigned its 'BB+/Stable' rating to Bhilai Institute of
Technology Trust's term loan facility.
Facilities Ratings
---------- -------
INR97.50 Million Term Loan BB+/Stable (Assigned)
The rating reflects BITT's exposure to risks relating to its long,
ongoing capital expenditure (capex) program, bunching of receipts,
and the absence of a track record of impressive campus placements
with attractive pay packages from recruiters at its institutes.
These rating weaknesses are partially offset by BITT's diverse
course offerings, which ensure a large student base.
Outlook: Stable
CRISIL believes that BITT will maintain its healthy financial risk
profile and register healthy growth over the medium term, backed
by increase in number of seats offered and fees charged. The
outlook may be revised to 'Positive' if BITT further scales up its
operations while maintaining healthy profitability. Conversely,
the outlook may be revised to 'Negative' in the event of a
substantial decline in student intake, or if large, debt-funded
capital expenditure results in deterioration in the trust's
financial risk profile.
BITT was set up in 1986, to manage the Bhilai Institute of
Technology in Durg (Chhattisgarh), founded with 240 seats in
engineering courses. The trust recently set up another
engineering college in Raipur (Chhattisgarh). The trust's
institutes offer bachelor's degrees in information technology,
computer science, electronics, electrical, civil, and mechanical
engineering; master's degrees in mechanical, computer science,
electronics, electrical, and environment engineering, business
administration, and computer applications; and doctorate.
BITT reported a profit after tax (PAT) of INR6.8 million on net
sales of INR106 million for 2008-09 (refers to financial year,
April 1 to March 31), against a PAT of INR3.9 million on net sales
of INR85 million for 2007-08.
CAPARO MI: CARE Assigns 'CARE BB+' Rating on INR10.04cr LT Loan
---------------------------------------------------------------
CARE has assigned a 'CARE BB+' rating to the Long-term Bank
Facilities aggregating INR10.04 crore of Caparo MI Steel
Processing Pvt. Ltd. This rating is applicable for facilities
having tenure of more than one year. Facilities with this rating
are considered to offer inadequate safety for timely servicing of
debt obligations. Such facilities carry high credit risk.
Also, CARE has assigned a 'PR4' rating to the Short-term Bank
Facilities aggregating INR2.50 crore of CMSPL. This rating is
applicable for facilities having tenure up to one year.
Facilities with this rating would have inadequate capacity for
timely payment of short-term debt obligations and carry very high
credit risk. Such facilities are susceptible to default.
CARE assigns '+' or '-' signs shown after the assigned rating to
indicate the relative position within the band covered by the
rating symbol.
Amount
Facilities (INR crore) Ratings
---------- ---------- -------
Long-term Bank Facilities 10.04 'CARE BB+'
Short-term Bank Facilities 2.50 'PR4'
Rating Rationale
The ratings are constrained by CMSPL's small scale and limited
track record of operations in India and weak financial profile
consequent to losses & erosion of networth. The ratings however
draw strength from the experienced promoters and the fact that
majority of its sales are made to Maruti Suzuki India Ltd.
Going forward, ability of CMSPL to profitably scale up its
operations, expand its customer base and improve its capital
structure will be the key rating sensitivities.
Caparo Mi Steel Pvt. Ltd. was incorporated in January 2007 as a
70:30 joint venture between Caparo Engineering India Pvt. Ltd
[Rated CARE BB/PR4] & Marubeni-Itochu Steel Inc, Japan to
manufacture Tailor Welded Blanks. CMSPL started commercial
production of TWBs in March 2008 from its plant located in Bawal
with an installed capacity of 6,60,000 TWBs per annum. CMSPL's
major customer is Maruti Suzuki India which accounted for 90% of
its total sales in CY08.
In CY08, CMSPL recorded net sales of INR3.07 cr and incurred a net
loss of INR1.86 cr. The overall gearing stood at 1.67x as on
March 31, 2008. As per the company, for the 11-month period ending
November 30, 2009, CMSPL posted net sales of INR10.11 crore and
incurred a net loss of INR0.74 crore.
CAPARO ENGINEERING: CARE Rates INR688.91cr Loans at 'CARE BB'
-------------------------------------------------------------
CARE has assigned a 'CARE BB' rating to the Long-term Bank
Facilities aggregating INR688.91 cr (including Rupee Term Loan of
INR499.49 cr and outstanding External Commercial Borrowing (ECB)
of US$2.30 million & US$2.70 million converted @ INR45.56 per USD
respectively) of Caparo Engineering India Private Limited. This
rating is applicable for facilities having tenure of more than one
year. Facilities with this rating are considered to offer
inadequate safety for timely servicing of debt obligations. Such
facilities carry high credit risk.
Also, CARE has assigned a 'PR4' [PR Four] rating to the Short-term
Bank Facilities aggregating INR144.00 cr of CEIPL. This rating is
applicable for facilities having tenure up to one year. Facilities
with this rating would have inadequate capacity for timely payment
of short-term debt obligations and carry very high credit risk.
Such facilities are susceptible to default.
Amount
Facilities (INR crore) Ratings
---------- ---------- -------
Long-term Bank Facilities 688.91* 'CARE BB'
Short-term Bank Facilities 144.00 'PR4'
* including Rupee Term Loan of INR499.49 cr and outstanding
ECB of US$2.30 million & US$2.70 million converted @ INR45.56
per USD.
Rating Rationale
The ratings are constrained by the weak financial profile of CEIPL
characterized by stressed liquidity scenario consequent to the
cash losses for the past three years along with continuous
scaling-up of operations. The ratings also take into account the
weak debt-service indicators, client concentration risk and
inherent cyclical nature of the automobile industry.
The ratings draw strength from the demonstrated financial support
of the Caparo Group, diversified and multi-locational operations
of CEIPL within the automobile sector, established client
relationships and moderate capital structure.
Going forward, improvement in the operating performance,
continuance of timely financial support by the promoter group and
overall effective working capital management during ongoing
expansion activities shall be the key rating sensitivities.
About Caparo Engineering
Incorporated in May 2000, Caparo Engineering India Pvt Ltd is
engaged in the manufacturing of auto components including sheet
metal components, tubes and fasteners. CEIPL is part of the
Caparo Group, a USD1.6 bn conglomerate with operations in more
than 60 sites in the UK, USA, India, Canada, Poland and Spain. The
Group employs over 9,000 people worldwide.
On a total income of INR512.15 cr (PY INR312.31 cr), CEIPL
incurred net loss of INR111.87 cr (PY INR31.03 cr) during the year
ended Dec. 31, 2008.
COASTAL ENERGEN: ICRA Assigns 'LBB' Rating on INR34.38BB Term Loan
------------------------------------------------------------------
ICRA has assigned an 'LBB' rating to the INR34.38 billion term
loan programme of Coastal Energen Private Limited.
The LBB rating factors in the progress made towards the
implementation of the 1200 MW ( 2X 600 MW) imported coal based
power plant at Tuticorin in Tamil Nadu including the achievement
of financial closure, receipt of key approvals/clearances,
completion of land acquisition and tying up of customers and coal
requirements for part of the planned capacity. At INR42.97
billion (INR35.8 million per MW), the cost for the project appears
to be competitive. Further, the rating also draws strength from
the expected synergies arising from the Coal & Oil Group's
business of coal trading across several countries including India.
The rating is however constrained by the substantial
implementation risk, which although typical for greenfield
projects, is amplified by the early stage of implementation and
the relatively aggressive implementation schedule (at 33 months
for 2 units). Besides, the Group's limited past experience in
developing power projects coupled with the splitting of the
project into several packages rather than the single EPC route is
expected to add to execution challenges, although, mitigated to an
extent by the company's strong in-house team of experienced
technical personnel.
Coastal Energen is also exposed to technology risks arising from
the use of imported boiler, turbine and generator (BTG) sets which
have a limited track record in Indian conditions till date. While
the capital cost structure for the project is competitive, ICRA
notes that, apart from the BTG supply and civil contracts (which
have been awarded), several major packages are still in the
process of finalization; as such, Coastal Energen's ability to
maintain actual costs within the budgeted limits would be
critical. Part of the capacity (700 MW) has been contracted to
Tata Power Trading Company Limited at a guaranteed minimum price;
demand risk however arises on account of the substantial untied
capacity and the vulnerability of the arrangement with Tata Power
Trading to movements in long term merchant power tariffs. Coastal
Energen's cost competitiveness, given a largely fixed tariff
structure, would also depend on fluctuations in international coal
prices given the expected dependence on imported coal and the
structure of the coal supply agreement (CSA), which permits price
fluctuations to be passed through to Coastal Energen. These
apart, the rating is also constrained by the substantial equity
infusion (at approx INR5.30 bilion) required to be made over the
next two years.
Coastal Energen is an SPV promoted by Mr. Ahmed Buhari (promoter
of the Coal & Oil Group) and the Dubai based Al-Rostamani Group
for the development of a 1200 MW imported coal based thermal power
plant at Tuticorin in Tamil Nadu. Mr. Ahmed Buhari holds 70% stake
in Coastal Energen while 30% is held by the Al-Rostamani Group.
The Coal & Oil Group is a Dubai based energy conglomerate which
operates as an integrated fuel solution provider with interests in
coal trading, technical consultancy for fuel sourcing, handling,
shipping, logistics etc. The flagship of the Group is Coal & Oil
Company LLC (COC). In India, the Group operates through Coastal
Energy Private Limited; CEPL together with COC, supplies approx
7-8 million tonnes of coal to various customers in India (Tata
Power, Reliance, Madras Cements, KPCL, TNPL etc.). Coal is
generally procured by COC through short term purchase agreements
with major coal suppliers like Anglo Coal, Xstrata, BHP Billiton
as well as through long term supply arrangements with mines in
Australia/Indonesia. The total project cost of INR42.97 billion
is being funded through debt of INR34.38 billion and equity of
INR8.59 billion. As on date, approx INR4.50 billion has been
spent on the project which has been funded by debt of INR1.25
billion and the balance by equity. Unit I of the power plant is
scheduled to be commissioned by February 2012. Financial closure
has been achieved, land acquisition is complete and major
approvals are in place.
FASHION GLOBAL: ICRA Places 'LBB-' Rating on INR130 Mil. LT Loans
-----------------------------------------------------------------
ICRA has assigned 'LBB-' rating to the INR130 million long term
bank facilities of Fashion Global Retail Limited. ICRA also
assigned A4 rating to the INR41 million short term bank facilities
of FGRL. The outlook on the long term rating is stable.
FGRL's operations are yet to stabilize with continued cash losses
resulting in erosion of net-worth. The financial profile of the
company has weakened with a highly leveraged capital structure and
the business remains under pressure with competition from
unorganized retail, which the business model of discount selling
faces. The ratings however take comfort from the company being a
part of Future group which lends it requisite expertise in the
retail sector and strong business linkages with group's retail
business. The company is in the process of becoming a factory
outlet for Future group companies resulting in higher business,
and the consignment based procurement can ensure lower inventory
and subsequently lower working capital requirements.
Fashion Global Retail Limited is a company promoted by Kishore
Biyani and family. The two promoter group companies - Manz Retail
Private Limited and PFH Entertainment Limited hold 50% stake each
in FGRL. FGRL operates discount stores named "LootMart" offering
branded apparel at discount prices. The first LootMart store was
set up in July 2006 at Kankaria in Ahmedabad. The company has
since then expanded its presence and currently operates 53 stores
covering a retail space of 1.3 lakh square feet.
During H1FY10 the company achieved net sales of INR190.5 million
and a loss of INR2.7 million, while the net sales for FY09 stood
at INR378.1 million with a loss of INR31.9 million.
GOKAK TEXTILES: ICRA Places 'LBB' Rating on INR690MM Bank Debts
---------------------------------------------------------------
ICRA has assigned an 'LBB' rating to the INR690 million, fund-
based facilities of Gokak Textiles Limited. ICRA has also
assigned an A4 rating to the INR400 million, fund-based facilities
of GTL.
The INR690 million, long-term, fund-based facilities are
completely interchangeable with short-term, fund-based limits such
that the total utilization should not exceed INR690 million. The
outlook on the long term rating is stable.
The ratings reflect the weak financial profile of GTL, as
characterized by its high leverage, poor interest coverage
indicators, negative cash accruals and relatively muted growth
prospects for its value-added knitted garments division. GTL's
performance has been constrained by operational issues like
distance from cotton growing areas affecting raw material
procurement efficiency and non-availability of water affecting
dyed yarn production and captive hydro power generation in H1,
2009-10. The ratings also factor in the poor pricing power for
GTL's major product, yarn, on account of surplus capacities in a
fragmented industry, intense competition from low-cost producing
countries and commoditized nature of the product. However, the
ratings draw comfort from Shapoorji Pallonji group being a
dominant shareholder in GTL and the professional management of GTL
with vast experience in the textile business. ICRA also takes
note of the focus of the company management on cost-cutting
measures and initiatives towards introducing value-added products.
These measures are expected to improve its operational efficiency
and business risk profile from FY 2011.
The stable outlook on the long-term rating reflects the
professional management of GTL and the financial support from its
dominant shareholders, the Shapoorji Pallonji group.
Gokak Textiles Limited was incorporated in CY 2007, subsequent to
a scheme of demerger of the textile arm of Forbes Gokak Limited,
into a separate company, Gokak Textiles Limited w.e.f. April 1,
2007. It was decided to demerge the business into a separate
company as it would provide focused management orientation,
facilitating fund raising for future growth and expansion.
Shapoorji Pallonji Group holds about 74% of the paid up share
capital of GTL. The Shapoorji Pallonji group is the largest
private stakeholder in Tata Sons.
GTL has three manufacturing units, spinning mill at Gokak Falls
producing yarn, another one in Belgaum district of Karnataka which
produces knitted garments and one unit started recently at
Ludhiana, which is dedicated to manufacturing cotton sweaters for
both exports and local markets. The spinning mill at Gokak Falls
in addition to manufacturing cotton yarn (grey and dyed) also
produces cotton canvas and terry towels whereas the Belgaum unit
specialises in combed polo and T-shirts for export markets. In
addition to dyed yarn, the company also produces other value added
yarns in such as Bamboo/multimodal yarns (-1% of yarn sales),
melange yarn, compact yarns (-15% of yarn sales) and organic yarns
(-5% of yarn sales). GTL has at present an installed capacity of
121,188 spindles and 1,104 rotors for cotton yarn with
manufacturing capacity of 30, 000 tonnes per annum. Facilities
have been modernised supported by term loans under the Technology
Upgradation Fund Scheme.
Recent results:
For nine months ending December 31, 2009, GTL reported revenues of
INR2,257 million and a net loss of INR123 million.
INDUSIND BANK: Fitch Affirms Individual Rating at 'D'
-----------------------------------------------------
Fitch Ratings has upgraded IndusInd Bank Limited's National Long-
term Rating to 'A+(ind)' from 'A(ind)', and simultaneously revised
the Outlook to Stable from Positive. At the same time, the agency
has affirmed IBL's National Short-term Rating at 'F1(ind)',
Individual Rating at 'D' and Support Rating at '5'.
The upgrade reflects structural improvements in IBL's asset-
liability maturity profile wherein fixed-rate consumer finance
loans are now largely financed by current and savings account
deposits that are less sensitive to rates and retail term deposits
with matched average maturities. This has resulted in its
financials improving significantly since FY08. In July 2009 Fitch
revised the Outlook on IBL's National Long-term rating to Positive
from Stable.
The upgrade is based on the agency's expectation that IBL will be
able to manage the impact of an expected increase in deposit costs
in FY11 on its net interest margin, given the lower proportion of
fixed-rate consumer loans (end-December 2009 (3Q10): 41% of total
loans; FYE08: 56%).
IBL's Individual rating and National Short-term rating reflect its
small size and developing retail deposit franchise. Its current
and savings account deposits (CASA)/total deposits ratio (Q310:
22.5% of total deposits) remains among the lowest for Indian
banks. Although IBL's retail deposit franchise is improving, the
proportion of its rate-sensitive 'bulk' deposits remains higher
than its peers. The liquidity risk is partly mitigated by IBL's
holdings in statutory cash equivalents and approved securities -
5.75% and 25% of net liabilities, respectively.
The upgrade also takes into account management's strategy of
maintaining Tier 1 ratio above 8.5%. Total and Tier 1 capital
ratios remained healthy at 13.8% and 10%, respectively, at Q310;
core equity comprised 100% of Tier 1 capital. IBL's asset quality
ratios have held up well to date (gross NPL ratio at Q310: 1.3%
and net NPL ratio at 0.67%); restructured loans (classified as
performing under regulatory norms) made up only 0.3% of total
loans (systemic average: 4.4%).
While delinquencies from IBL's corporate loan portfolio (9M10:
0.6%) may rise in FY11, Fitch's expects IBL's asset quality ratios
to remain among the best for peer-rated banks. Further
improvements in profitability, as measured by terms of return on
assets (3Q10: 1.1%) and NIM, would be difficult in FY11 amidst
expectation of increase in interest rates. Additional pressure on
profitability would stem from an increase in credit costs as IBL
would be required to maintain 70% loan loss reserves coverage
ratio by end-September 2010 (IBL increased its specific loan loss
coverage ratio to 50% in Q310).
IBL is one of nine 'new' private banks, and was established in
late-1994; its founders currently own 22.2% of the bank. IBL
historically operated as a wholesale bank up till FY04 when it
merged with a specialized vehicle financing non-bank group
company.
Here is the full list of the ratings actions:
-- National Long-term rating upgraded to 'A+(ind)' from
'A(ind)';
-- INR4.851bn subordinated lower Tier 2 debt programme upgraded
to 'A+(ind) from 'A(ind)';
-- INR3.08bn subordinated upper Tier 2 debt programme upgraded
'A-(ind)' from 'BBB+(ind)';
-- National Short-term rating affirmed at 'F1(ind)';
-- Individual rating affirmed at 'D'; and
-- Support rating at '5'.
JAGANNATH SPONGE: ICRA Places 'LBB-' on INR96 Million Term Loan
---------------------------------------------------------------
ICRA has assigned an 'LBB-' rating to the INR96 million term loan
and INR56 million fund based bank limits of Jagannath Sponge
Private Limited. The outlook on the long term rating is stable.
ICRA has also assigned an 'A4' rating to the INR18.0 million non
fund based bank limits of JSPL.
The ratings take into account JSPL's weak operational profile as
reflected by low capacity and subdued utilization levels, absence
of raw material linkages that expose the company to risks
associated with the fluctuation in the raw material prices and
high working capital intensity. The ratings factor in the
experience of the promoters in the iron and steel industry,
favorable demand outlook of the end products and moderate
financial risk profile as on March 31, 2009, characterized by
conservative capital structure and adequate coverage indicators,
although the same is expected to be adversely impacted by the huge
debt funded capital expenditure (capex) of INR1.2 billion
envisaged by the company. ICRA notes that while the expansion of
the existing capacity and forward integration are expected to
ensure better profitability; project risks are substantial at this
stage. Moreover, in the absence of financial closure, funding risk
remains. Going forward, JSPL's ability to commission and stabilize
the facilities without significant time or cost overruns will
remain key rating sensitivities.
Jagannath Sponge Private Limited as incorporated in 2003 has been
primarily engaged in the production of sponge iron with an
installed capacity of 15000 MTPA. The production facility is
located at Kuarmunda, Orissa. The present management acquired
JSPL in March, 2007 when it was a loss making unit. JSPL proposes
to enhance its DRI production (from 15,000 MTPA to 45,000 MTPA by
2011-12), install a captive power plant (8MW by 2012-13) and two
numbers of IF (24,300 MTPA by 2011-12) at the Kuarmunda unit and
also set up SMS facilities (48,600MTPA), casting facilities
(90,000MTPA by 2010-11) and Automatic Rolling Mill (90,000 MTPA by
2011-12) at the new location Padajampali, Orissa. JSPL has already
commissioned part of proposed SMS facility (two IF) in Q3 2009-10.
During 2008-09, JSPL reported a PAT of INR4.95 million on the back
of an operating income of INR64.2 million. In the first half of
the current year 2009-10, the company posted an operating income
of INR31.67million.
K.P. GARMENTS: ICRA Rates INR180 Mil. Cash Credit at 'LB+'
----------------------------------------------------------
ICRA has assigned an 'LB+' rating to the INR180 million cash
credit facilities of K.P. Garments Private Limited.
ICRA has also assigned an A4 rating to INR20 million fund based
and INR30 million non-fund based (NFB) bank facilities of
KPGPL. The NFB facility of INR30 million is a sublimit of the
above mentioned CC facility.
The assigned ratings factor in KPGPL's weak financial profile
characterized by low but improving operating profitability, high
gearing and depressed coverage indicators. Relatively small scale
of the company's operations and high customer concentration risk
also impact the assigned ratings. High and increasing trend in
working capital intensity of the business strains the company's
liquidity position, indicated by high cash credit utilization, and
is expected to remain a concern with the aggressive growth plans
chalked out by KPGPL. The ratings also factor in the experience
of the promoter in the textile business and the proximity to raw
material source and customer-base for its garments' business that
reduces freight cost.
KPGPL, promoted by the Kolkata-based Panchal family, was
incorporated in 2005. It is engaged in the manufacturing of
garments for women and children. It is also involved in trading
of silk fabrics and plastic granules.
During the year 2008-09 KPGPL reported a net profit after tax of
INR3.32 million on a net sales of INR466.86 million.
KANPUR MUNICIPAL: CARE Reaffirms 'BB+' Issuer Rating
----------------------------------------------------
CARE has retained a rating of CARE BB+ (Is) to Kanpur Municipal
Corporation. The rating is only an opinion on the general
creditworthiness of the entity and not specific to any particular
debt instrument. Issuers with this rating are considered to offer
inadequate for timely servicing of debt obligations. Such issuers
carry high credit risk.
The rating takes into account the increase in the revenue balance
position of KMC between FY06 and FY08 and the clearance of arrears
on establishment noticed during the previous rating exercise.
However the fact that much of the improvement was grant induced
has also been noted. The rating is constrained by continuing
dependence on grants to finance establishment expenditure,
potential pressure on finances due to implementation of a revised
pay scale, continued financial rigidity and time overruns in
implementation of JNNURM projects. The implications of the
economic slowdown on state grant support and the city economy has
also been noted.
LUCKNOW MUNICIPAL: CARE Reaffirms 'BB' Issuer Rating
----------------------------------------------------
CARE has retained the issuer rating of CARE BB (Is) to Lucknow
Municipal Corporation. The rating is only an opinion on the
general creditworthiness of the entity and not specific to any
particular debt instrument. Issuers with this rating are
considered to offer inadequate safety for timely servicing of debt
obligations. Such issuers carry high credit risk.
The rating takes into account the significant jump in state
government fund flow in FY08 and the positive prospects
underlining the implementation of the fifth state finance
commission grant recommendations in the coming years. The rating
also takes into account the strength imparted to the revenue
balance due to these transfers and prospects for improvements in
the property tax system consequent to the completion of the GIS
project. The rating is however constrained by the expected
financial pressure consequent to the implementation of a revised
pay scale from FY10, substantial amount of undischarged arrears,
low levels of financial self-reliance and laggardly performance of
non-tax revenues. The rating is also constrained by project time
overruns and slower progress in the reform process.
MAGNETI MARELLI: ICRA Assigns 'LBB' Rating on INR160 Mil. LT Loan
-----------------------------------------------------------------
ICRA has assigned an 'LBB' rating with stable outlook to the
INR160.00 million, long-term loan and INR100.00 million cash
credit facility of Magneti Marelli SKH Exhaust Systems Private
Limited.
The rating recognizes the professional and experienced management
along with financial flexibility provided by its promoter MMSPA
and SKH group. ICRA also derives comfort from technology support
provided by MMSPA which is an incumbent supplier of exhaust
systems to FPT engines globally and amongst the leading exhaust
system manufacturers in the world which will help company to
mitigate technology risk to an extent. The rating is however
constrained by MSPL's weak capital structure with high gearing
(3.30 times, 9M FY10); strained cash flows and high concentration
risk emanating from its dependency on FIAT which is itself a
marginal player in Indian passenger vehicle industry. ICRA also
notes that exhaust system market in India is highly competitive
and fragmented which is marked by presence of leading global
exhaust system manufacturers.
MSPL is a 50:50 joint venture between Magneti Marelli Sistemi di
Scarico S.p.A. (a 100% subsidiary of MMSPA) and SKH Sheet Metal
Components Private Limited (SMC) for the purpose of manufacturing
exhaust systems (Hot End and Cold End) for 4-wheelers in India.
MSPL has set up manufacturing unit at Ranjangaon (Pune) for making
exhaust systems for FIAT, TML and other automotive customers
present in India's south-west region with an installed capacity of
500,000 exhaust systems annually.
Recent Results
During first nine months of FY10, MSPL has reported a net loss of
INR20.58 million on an operating income of INR316.84 million.
P. ASHOKKUMAR: Small Net Worth Prompts CRISIL 'P4' Ratings
----------------------------------------------------------
CRISIL has assigned its 'P4' rating to P. Ashokkumar & Co's bank
facilities.
Facilities Ratings
---------- -------
INR78.5 Million Post Shipment Credit P4 (Assigned)
INR21.5 Million Packing Credit P4 (Assigned)
The rating reflects PAC's below-average financial risk profile
marked by a small net worth and weak debt protection metrics,
small scale of operations, and exposure to risks related to its
partnership structure and weak demand for polished diamonds.
These rating weaknesses are partially offset by the firm's
partners' experience in the diamond trading business.
Set up in 1984, PAC is a partnership firm; it polishes rough-cut
diamonds and trades in polished diamonds. The firm is managed by
Mr. Ashok Shah, his brother Mr. Prakash Shah, and friends Mr.
Prakash Desai and Mr. Girish Desai. The firm largely sells round
and white diamonds in the range of 10 pointers to 0.3 carats to
clients in Hong Kong, Singapore, Dubai, and Antwerp (Belgium).
The firm gets the processing work done on job-work basis from its
unit in Surat (Gujarat).
PAC reported a profit after tax (PAT) of INR5.4 million on net
sales of INR527.2 million for 2008-09 (refers to financial year,
April 1 to March 31), against a PAT of INR22.4 million on net
sales of INR563.5 million for 2007-08.
PIPAVAV RAILWAY: ICRA Reaffirms 'LBB+' Rating on INR1.27B Loan
--------------------------------------------------------------
ICRA has reaffirmed the 'LBB+' rating assigned to the INR1.27
billion term loans (reduced from INR1.73 billion) of Pipavav
Railway Corporation Limited. The rating has been assigned a
Stable Outlook.
The rating takes into consideration the company's weak operating
and financial profile as reflected by the low cargo volumes
carried by PRCL, owing to inadequate traffic at Pipavav port;
losses incurred for most of the years since commencement of
operations; weak debt protection metrics; stretched liquidity and
a high debt servicing burden in the medium term. The weak
financial position of Gujarat Pipavav Port Limited, which is the
main customer and sole traffic guarantor for PRCL, also constrains
the rating. ICRA has also taken note of the considerable
deterioration in the financial performance of PRCL in FY 09 owing
to the provisioning of higher operating and maintenance (O&M)
costs payable to the Western Railways (WR) and provision of some
other charges like interest on deferred O&M costs on a
retrospective basis. The company is in discussions with WR on the
method of computation of the O&M costs, and a resolution of the
matter would be a critical driver of PRCL's future profitability.
Nevertheless, ICRA takes comfort from PRCL's strong parentage with
the Ministry of Railways (MoR) being a 50% shareholder in the
company. Also, by virtue of being the operator of the only rail
link to the Pipavav port, the company's operations have an upside
potential linked with the improvement in port traffic volumes.
About Pipavav Railway
Pipavav Railway Corporation Ltd. is a joint venture between the
Indian Railways (IR) and Gujarat Pipavav Port Limited, with equal
equity participation from both shareholders. PRCL was
incorporated in May 2000, as an SPV, to provide broad gauge (BG)
rail connectivity to the Pipavav port. A concession agreement was
entered into between PRCL and MoR on June 28, 2001, wherein PRCL
as the Concessionaire was to construct, maintain and operate the
project line for a period of 33 years expiring in June 2034. The
construction work was completed in a time span of 15 months, and
the 269 kms BG line was opened for freight operations on April 1,
2003. In terms of tonnage, the line has a capacity of approx. 26
million tonnes per annum. In FY 09, the line carried a total
traffic of 1.93 million tonnes, with bulk cargo accounting for 56%
and containers accounting for another 44% of the total. In the
current year, the line has handled 2.13 million tonnes of cargo
till November 2009 (of which 48% was bulk cargo and 52% was
container).
In FY'09 the company reported a Net Loss of INR156 million on an
Operating Income of INR685 million. In the first half of FY 10,
PRCL has reported a PAT of INR30 million on revenues of INR322
million (as per provisional results).
PRIJAI HEAT: CRISIL Assigns 'BB-' Rating on INR89.5MM Term Loan
---------------------------------------------------------------
CRISIL has assigned its 'BB-/Stable/P4+' ratings to the bank
facilities of Prijai Heat Exchangers Pvt Ltd.
Facilities Ratings
---------- -------
INR87.5 Million Cash Credit Limit BB-/Stable (Assigned)
INR89.5 Million Term Loan BB-/Stable (Assigned)
INR288.0 Million Proposed Long Term BB-/Stable (Assigned)
Bank Loan Facility
INR35.0 Million Letter of Credit P4+ (Assigned)
The ratings reflect PHEPL's small scale of operations, customer
concentration in revenue profile, high gearing, and average debt
protection metrics. These weaknesses are partially offset by
PHEPL's established relationships with major original equipment
manufacturers (OEMs).
Outlook: Stable
CRISIL believes that PHEPL will continue to benefit from its
relationships with major OEMs. However, the company's small scale
of operations, and leveraged capital structure will continue to
constrain the ratings. The outlook may be revised to 'Positive'
in case of more-than-expected improvement in PHEPL's profitability
and capital structure, or more-than-expected topline and margins
from the new unit which is expected to commence operations in
April 2010. Conversely, the outlook may be revised to 'Negative'
in case of delays in stabilization of operations at, or lower-
than-expected sales from, the new unit.
About Prijai Heat
Incorporated in 1992, PHEPL manufactures coils used in air-cooled
chillers, precision and telecommunication cooling systems,
package-air-conditioning units, and condensing units for deep
freezers. The company has manufacturing units in Thane, Dadra, and
Navi Mumbai. The company has installed capacity of producing
around 1.2 million square feet of coils and around 0.2 million
sets of copper fittings.
For 2008-09 (refers to financial year, April 1 to March 31), PHEPL
reported a profit after tax (PAT) of INR8 million on net sales of
INR347 million, against a PAT of INR13 million on net sales of
INR336 million for 2007-08.
RAJ GEMS: CRISIL Places 'P4' Rating on INR92 Mil. Bank Facilities
-----------------------------------------------------------------
CRISIL has assigned its rating of 'P4' to the bank facilities of
Raj Gems.
Facilities Ratings
---------- -------
INR92.0 Million Post Shipment Credit P4 (Assigned)
INR88.0 Million Export Packing Credit P4 (Assigned)
The rating reflects RG's weak financial risk profile, marked by
small net worth and weak debt protection indicators, its small
scale of operations. These weaknesses are partially offset by the
benefits RG derives from its promoters' experience in the diamond
industry, as reflected in its above-average operating margin, and
established position in the small-size diamond manufacturing
business.
Outlook: Stable
CRISIL believes that RG will continue to benefit over the medium
term from its position in the small-size diamond manufacturing
industry and its promoters' extensive industry experience. The
outlook may be revised to 'Positive' if RG's scale of operations
and profitability increase significantly. Conversely, the outlook
may be revised to 'Negative' if RG reports unexpected losses
arising from the non-recovery of export receivables or losses on
inventories.
About Raj Gems
Set up in 1978 as a partnership firm, RG manufactures and trades
in polished yellow diamonds of all shapes. The firm has its
headquarters in Mumbai, and its own manufacturing unit in Surat
(Gujarat). The firm specialises in manufacturing yellow diamonds
of all shapes and of sizes up to 3 carats. The business is
managed by the firm's promoters, Mr. Jayantilal B Shah and his
brother, Mr. Pravinchandra B Shah.
RG reported a profit after tax (PAT) of INR6.85 million on net
sales of INR1,190.11million for 2008-09 (refers to financial year,
April 1 to March 31), as against a PAT of INR5.95 million on net
sales of INR920.51 million for 2007-08.
SUNALCO ALLOYS: ICRA Rates INR240MM LT Bank Facilities at 'LBB'
---------------------------------------------------------------
ICRA has assigned an 'LBB' rating to the INR240 million long term
fund based facilities of Sunalco Alloys Private Limited.
The rating reflects SAPL's presence in a highly competitive
industry, the low value addition in the business and the company's
highly leveraged capital structure and its stretched liquidity
profile.
SAPL's business has high susceptibility to volatility in raw
material prices, which form a significant part of its production
cost. The company's customers are mainly from the auto component
industry and it has limited bargaining power compared to these
customers. As a result of the highly leveraged capital structure,
the company's coverage indicators are weak. The rating has
considered the promoters' experience in the manufacture of metal
ingots and trading in metal scrap along with their established
relationships with suppliers and customers.
Sunalco Alloys Pvt Ltd, incorporated in 2005 is engaged in the
business of manufacture of aluminium ingots. It is also engaged in
trading of metal scrap (3% to 4%).
SAPL has a registered office in Mumbai and manufacturing unit at
Wada (Thane District) in Maharashtra.
SAPL recorded a net profit of INR3.40 million on an operating
income of INR1033.20 million for the year ending March 31, 2009,
and net profit of INR6.40 million on an operating income of
INR1084.70 million for the year ending March 31, 2008.
SUZLON ENERGY: CRISIL Downgrades Ratings on Various Bank Debts
--------------------------------------------------------------
CRISIL has downgraded its ratings on the debt and bank facilities
of Suzlon Energy Ltd and its subsidiaries, collectively referred
to as Suzlon, to 'BB+/Stable/P4+' from 'BBB/Negative/P3'. The
downgrade reflects deterioration in Suzlon's ability to service
its debt in a timely manner because of continued losses at the
operating level.
Suzlon Energy Limited
Facilities Ratings
---------- -------
INR5.00 Billion Non-Convertible BB+/Stable (Rating Downgraded
Debentures from BBB/Negative) from
'Rating Watch with Negative
Implications')
INR2.74 Billion Term Loans BB+/Stable (Rating Downgraded
from BBB/ Negative)
INR15.00 Billion Cash Credit BB+/Stable (Rating Downgraded
from BBB/ Negative)
INR31.55 Billion Letter of P4+ (Rating Downgraded from
Credit* P3)
INR8.45 Billion Bank Guarantee* P4+ (Rating Downgraded from
P3)
INR5.00 Billion Short-Term Debt P4+ (Rating Downgraded from
P3)
* The letter of credit and bank guarantee limits are fully
interchangeable.
Suzlon Electricals International Limited
Facilities Ratings
---------- -------
INR1.43 Bil. Proposed Term Loan BB+/Stable (Rating Downgraded
from BBB/ Negative)
INR200 Million Proposed Cash BB+/Stable (Rating Downgraded
Credit Limit from BBB/ Negative)
INR500 Million Proposed Letter P4+ (Rating Downgraded from
of Credit Limit* P3)
* Limits are interchangeable with bank guarantee
Suzlon Generators Pvt Limited
Facilities Ratings
---------- -------
INR600.0 Million Term Loan BB+/Stable (Rating Downgraded
from BBB/ Negative)
INR177.5 Million Cash Credit BB+/Stable (Rating Downgraded
from BBB/ Negative)
INR197.5 Million Letter of P4+ (Rating Downgraded from
Credit * P3)
* Limit is fungible with bank guarantee
Suzlon Infrastructure Services Ltd
Facilities Ratings
---------- -------
INR174.6 Million Term Loan BB+/Stable (Rating Downgraded
from BBB/ Negative)
INR2170 Million Cash Credit BB+/Stable (Rating Downgraded
from BBB/ Negative)
INR1330 Million Letter of P4+ (Rating Downgraded from
Credit * P3)
* Limits are interchangeable with Bank Guarantee
Suzlon Structures Pvt Ltd
Facilities Ratings
---------- -------
INR425 Million Term Loan BB+/Stable (Rating Downgraded from
BBB/ Negative)
INR750 Million Cash Credit BB+/Stable (Rating Downgraded from
BBB/ Negative)
INR2600 Million Letter of P4+ (Rating Downgraded from P3)
Credit *
* Limits are interchangeable with bank guarantee
Suzlon Towers and Structures Ltd
Facilities Ratings
---------- -------
INR840.0 Million Term Loan BB+/Stable (Rating Downgraded
from BBB/ Negative)
INR1300.0 Million Cash Credit BB+/Stable (Rating Downgraded
from BBB/ Negative)
INR1731.0 Million Letter of P4+ (Rating Downgraded from
Credit * P3)
* Limits are interchangeable with bank guarantee
Suzlon Wind International Ltd
Facilities Ratings
---------- -------
INR1.45 Bil. Proposed Term Loan BB+/Stable (Rating Downgraded
from BBB/ Negative)
INR2.32 Billion Proposed Cash BB+/Stable (Rating Downgraded
Credit Limit from BBB/ Negative)
INR4.73 Billion Proposed Letter P4+ (Rating Downgraded from
of Credit Limit * P3)
* Limits are interchangeable with bank guarantee
Suzlon Power Infrastructure Pvt Ltd
Facilities Ratings
---------- -------
INR660 Million Term Loan BB+/Stable (Rating Downgraded
from BBB/ Negative)
SE Composites Limited
Facilities Ratings
---------- -------
INR2.01 Billion Term Loan BB+/Stable (Rating Downgraded
from BBB/ Negative)
INR810 Million Cash Credit Limit BB+/Stable (Rating Downgraded
from BBB/ Negative)
INR1.41 Billion Letter of Credit P4+ (Rating Downgraded from
Limit* P3)
* Limits are interchangeable with bank guarantee.
Suzlon reported a negative operating margin of around 7.2% for the
nine months ended December 31, 2009, because of under absorption
of fixed costs because of the continued challenging operating
environment. It posted sales volumes of 810 megawatts (MW) for
these nine months, against 1744 MW for the corresponding period of
the previous year, a decline of 46 per cent. Although sales
volumes are estimated to have picked up in the fourth quarter of
2009-10 (refers to financial year, April 1 to March 31), Suzlon is
expected to end the year with losses. The decline in Suzlon's
sales has been primarily caused by the slowdown in the renewable
energy industry after the recent credit crisis. The severe
liquidity problem faced by Suzlon in recent months also limited
its ability to compete. The losses have adversely affected
Suzlon's cash flows and, consequently, its ability to service
debt. Suzlon is consolidating and refinancing its debt; which once
complete, will reduce the debt liability for the next two years.
The consolidation and refinancing is expected to be completed by
April 2010.
Suzlon's credit risk profile continues to benefit from its
established global position in the wind energy sector, and the
high degree of vertical integration of its operations.
Outlook: Stable
CRISIL believes that Suzlon will improve its sales volumes over
the medium term. The outlook may be revised to 'Positive' if
Suzlon is able to achieve significant improvement in its financial
position and profitability as a result of improved volumes. The
rating outlook may be revised to negative if Suzlon's debt
consolidation does not materialize as planned or is delayed, or
its debt repayment capacity remains constrained as a result of
lower offtake or lower profitability.
About the Group
Globally, Suzlon is amongt the top five players in the wind
turbine generator (WTG) industry. It also installs, operates, and
maintains its WTGs in India. Suzlon's operations have high degree
of vertical integration, with a presence across the value chain.
It has its global management headquarters in the Netherlands, and
has established a rotor blade facility in the US and an integrated
WTG and WTG-component manufacturing facility in China.
For the year ended March 31, 2009, Suzlon (including Hansen
Transmission and REPower) posted a net profit of INR42.7 billion
on net sales of INR260.8 billion, against a net profit of INR10.3
billion on net sales of INR136.7 billion (including Hansen
Transmission) for the previous year. For the nine months ended
December 31, 2009, Suzlon (including REPower) posted a net loss of
INR8.01 billion on sales of INR146.15 billion.
TATA MOTORS: May Sell 60% Stake in Telcon Unit to Hitachi
---------------------------------------------------------
Bloomberg News, citing the Mint newspaper, reports that Tata
Motors Ltd. may sell its 60% stake in construction equipment unit
Telco Construction Equipment Co., or Telcon, to Hitachi
Construction Machinery Co.
The Mint said talks have started and an agreement may be reached
within three months, according Bloomberg News.
Meanwhile, The Press Trust of India reports that State Bank of
India has asked permission from the Reserve Bank to acquire up to
30% stake in Tata Motors Finance, the vehicle financing arm of
Tata Motors.
About Tata Motors
India's largest automobile company, Tata Motors Limited --
http://www.tatamotors.com/-- is mainly engaged in the business
of automobile products consisting of all types of commercial and
passenger vehicles, including financing of the vehicles sold by
the company. The company's operating segments consists of
Automotive and Others. In addition to its automotive products,
it offers construction equipment, engineering solutions and
software operations. TML is listed on the Bombay Stock
Exchange, the National Stock Exchange of India and New York
Stock Exchange. It was ultimately 33.4% owned by the Tata Group
as of December 2007.
Tata Motors has operations in Russia and the United Kingdom.
* * *
As reported in the Troubled Company Reporter-Asia Pacific on
Aug. 6, 2009, Standard & Poor's Ratings Services said that it had
lowered its long term corporate credit rating on India-based Tata
Motors Ltd. to 'B' from 'B+'. The outlook is negative. At the
same time, Standard & Poor's lowered the issue rating on the
company's senior unsecured notes to 'B' from 'B+'.
Tata Motors continues to carry Moody's Investor Service 'B3' LT
Corp Family Rating.
TOYOP RELIEF: CRISIL Reaffirms 'P4' Ratings on Various Debts
------------------------------------------------------------
CRISIL's rating on the bank facilities of Toyop Relief Pvt Ltd
continues to reflect the volatility in Toyop's revenues, and
Toyop's large working capital requirements, high gearing, and weak
debt protection metrics. These weaknesses are partially offset by
Toyop's established market position in the disaster-relief-
material industry, and good relationships with non-governmental
organizations (NGOs).
Facilities Ratings
---------- -------
INR70.0 Million Packing Credit P4 (Reaffirmed)
INR20.0 Million Bill Discounting P4 (Reaffirmed)
INR10.0 Million Letter of Credit P4 (Reaffirmed)
INR10.0 Million Bank Guarantee P4 (Reaffirmed)
Incorporated in April 2008 by Mr. Sachin Shah, Toyop took over the
business of Sabra Exim Investments set up in 1994. Toyop supplies
disaster relief material, including kitchen accessories, plastic
toiletries, and tarpaulin tents, to NGOs and multilateral
agencies. Toyop also imports and trades in power tillers and
specialty plastic granules.
Toyop has set up a 1.5-megawatt (MW) windmill, which commenced
operations in April 2009, in Jodhpur for INR87.1 million. The
company has set up another windmill, of 2.1 MW, expected to
commence operations by end of March 2010, in Jaisalmer, for INR109
million. The company has entered into a 20-year power purchase
agreement with Rajasthan Vidyut Vitran Nigam Ltd for the output
generated from both the mills.
Toyop reported a profit after tax (PAT) of INR25 million on net
revenues of INR309 million for 2008-09 (refers to financial year,
April 1 to March 31), against a PAT of INR5 million on net
revenues of INR103 million for 2007-08.
WAVE HOSPITALITY: ICRA Places 'LBB+' Rating on INR1.2B Bank Debts
-----------------------------------------------------------------
ICRA has assigned 'LBB+' rating to the INR1.2 billion proposed
term loan facilities of Wave Hospitality Private Limited. The
long-term rating has been assigned a "Stable" outlook.
The rating takes into account the company's investments being in a
project stage currently which exposes it to implementation risk in
terms of timely and cost effective completion. The project is
also exposed to market risk considering the large supply of hotels
expected to come up in the NCR region over the next two years and
also within the hospitality district of the Delhi International
Airport, where WHPL is setting up its hotel; which could put some
pressure on the operating parameters (ARRs and Occupancy Rate
(OR)). The demand risk, however, is mitigated to some extent
since the Hospitality District (adjacent to the upcoming Terminal
3 of the Delhi International Airport) is proposed to be developed
as a new metropolitan level business district serving the NCR with
several hotels, commercial establishments and retail spaces
planned within the area. Further, as of now, proposed term loans
of INR1.2 billion are yet to be tied-up exposing the project to
funding risk. However, the above rating assumes that WHPL would
be able to tie-up the proposed funds with a sufficiently long
tenure and initial moratorium in line with management expectation.
ICRA favorably considers WHPL's management contract with IHG for
their Holiday Inn brand which lends it an established brand name,
besides providing an access to IHG's strong global reservation
system. Although the promoters lack experience in the hospitality
industry, ICRA draws comfort from the professional Directors on
WHPL's Board who have sound industry experience and also
appointment of reputed agencies by the company for execution of
various aspects of the project which mitigates execution risks.
About Wave Hospitality
Wave Hospitality Private Limited was incorporated on April 13,
2009, and is currently undertaking construction of a 243 room,
4-Star category hotel in New Delhi under the Holiday Inn brand of
the InterContinental Hotels Group. The project is located at the
"Asset Area 12" of the Hospitality District of Delhi Aerocity -
located at the Delhi International Airport (New Delhi). The
aforementioned Hospitality District is being developed by Delhi
International Airport Limited and comprises of 62.5 acres of land
parcel with 45 acres of developable land (Phase-1) in the vicinity
of the Delhi International Airport. The asset areas are available
for hospitality use, including connected commercial and retail
offerings. Land right has been granted to WHPL (so also to other
developers) under the Development Agreement signed with DIAL for
an initial period of 27 years, which can later be extended by
another 30 years (in line with DIAL's agreement with the Airport
Authority of India).
=========
J A P A N
=========
HITACHI LTD: Won't Pay Dividend in Second Half of FY2009
--------------------------------------------------------
Japan Today reports that Hitachi Ltd will not pay a dividend for
the latter half of the business year ending March, the first time
that the company has not paid dividends in a year since it was
listed in 1949.
The company, which also skipped midterm dividend payments,
attributed the decision to tough business conditions but said its
performance is improving, the report says.
Japan Today says Hitachi expects to incur a group net loss of
JPY210 billion in the current business year.
Hitachi Ltd. (NYSE:HIT) -- http://www.hitachi.co.jp/-- develops a
diversified product mix ranging from electricity generation
systems to consumer products and electronic devices. The Company
has seven segments: Information & Telecommunication Systems,
Electronic Devices, Power & Industrial Systems, Digital Media &
Consumer Products, High Functional Materials & Components,
Logistics, Services & Others and financial services. In April
2008, Hitachi acquired a majority ownership interest in M-Tech
Information Technology, Inc. In April 2008, Hitachi, Ltd.
established a wholly owned subsidiary, Hitachi Information &
Telecommunication Systems Global Holding Corporation. In March
2008, Hitachi Consulting, the global consulting company of
Hitachi, acquired JMN Associates. On March 16, 2009, the Company
made Hitachi Koki Co., Ltd. a subsidiary via share purchase. On
March 18, 2009, the Company made Hitachi Kokusai Electronic Inc. a
subsidiary via share purchase.
* * *
For the 2008 fiscal year ended March 31, 2009, Hitachi incurred a
third annual loss of JPY788 billion. For the year ended March 31,
2008, Hitachi posted a net loss of JPY58.12 billion, compared with
a net loss of JPY32.79 billion for year ended March 31, 2007.
JMAC 4: Fitch Downgrades Rating on Class D Notes to 'C'
-------------------------------------------------------
Fitch Ratings has downgraded the Class D trust beneficiary
interests from JMAC 4 Trust due February 2013, and maintained the
Rating Watch Negative on the Class D and E TBIs. Fitch has
additionally placed the Class C TBIs on RWN. All ratings actions
are:
-- JPY1.28bn* Class A TBIs affirmed at 'AAA'; Outlook Stable;
-- JPY1.0bn* Class B TBIs affirmed at 'AAA'; Outlook Negative;
-- JPY0.9bn* Class C TBIs 'BBB-'; placed on RWN;
-- JPY0.8bn* Class D TBIs downgraded to 'C' from 'CC'; Recovery
Rating of 'RR4'; remains on RWN;
-- JPY0.5bn* Class E TBIs 'C'; Recovery Rating 'RR6'; remains on
RWN; and
-- Class X1 TBIs (dividend-only) affirmed at 'AAA'; Outlook
Stable.
* as of 18 March 2010
The Class D TBIs have been downgraded to reflect that principal
loss on the TBIs are inevitable and imminent as the collection
activities for a loan that defaulted in December 2008 are close to
completion. Fitch expects that collection activities of the
defaulted loan initiated by the special servicer will be concluded
by the end of March 2010. This will result in the disposition of
all remaining properties, following the bidding process, which was
held in January 2010. The Class E TBIs principal is expected to
be fully written-off on the next payment date in May 2010.
The Class C TBIs have been placed on RWN to reflect the agency's
concern with respect to the principal repayment of this class.
This concern is derived from collection activities for the two
defaulted loans. A loan, backed by a single office property in
Tokyo, was not fully repaid on its maturity date in February 2010
and thus defaulted. The special servicer has already started its
collection activity with the aim of recovering the full amount of
the outstanding loan balance through property disposition, but it
is also preparing a work-out plan for this loan. Although
collection activities for one defaulted loan is expected to be
completed soon, the final recovery amounts have yet to be
determined as amounts to be deducted from the property disposition
proceeds, consisting of default interest and costs related to the
property disposition, are in the process of being finalized.
Fitch expects to resolve the RWN status on the Class C TBIs after
the next payment date in May 2010, once it has reviewed all
outstanding matters.
The Class A TBIs have been affirmed with a Stable Outlook to
reflect the improvement of credit enhancement level to date, given
that all repayments from the underlying loans were applied
sequentially. The Class B TBIs are also affirmed with a Negative
Outlook as the improvement of credit enhancement level of this
class is expected to be limited due to the anticipated write-down
of the junior class TBIs.
The rating on the dividend-only Class X1 addresses only the
likelihood of receiving dividends, while principal on the related
classes remain outstanding.
At closing, the TBIs were backed by 16 loans ultimately secured by
26 commercial real estate properties in Japan. 12 loans have been
fully repaid, which brings the total number of loans backing the
transaction to four, secured by a total of five properties and the
sales proceeds from one property.
For further information on Fitch's surveillance criteria and
methodology, please see the criteria report, "Criteria for
Japanese CMBS Surveillance" and the special report, "Application
and Impact of the Japanese CMBS Surveillance Criteria". Both
reports were published on 2 September 2009 and are available on
the agency's website, www.fitchratings.com. Note that the reports
were published simultaneously and are intended to be read in
conjunction with each other. The criteria report describes the
approach and framework of the methodology, and the special report
details the application and assumptions adopted in the current
surveillance reviews.
Rating Outlooks have been published for all newly issued Asia
Pacific Structured Finance tranches since June 2008, and
concurrently with rating actions for tranches issued prior to June
2008. Unlike a Rating Watch which notifies investors that there
is a reasonable probability of a rating change in the short term
as a result of a specific event, rating Outlooks indicate the
likely direction of any rating change over a one- to two-year
period.
* JAPAN: 9 Major Banks Receive 37,736 Debt Moratorium Applications
------------------------------------------------------------------
Japan Today reports that nine major Japanese banks have received a
total of 37,736 applications as of Jan. 31 from small and midsize
corporate debtors and individual mortgage-takers seeking to soften
the terms of outstanding loans.
The report says the applicants have sought relief through the law
that took effect December 4 aimed at relaxing the debt conditions
for such borrowers.
The applications cover debts totaling JPY1.63 trillion, the report
notes.
According to Japan Today, the debts of 11,758 applicants, or some
30% of the total, have already been rescheduled by the nine banks,
which took such measures as granting a moratorium on repayments of
principal portions of their outstanding debts.
=========
K O R E A
=========
GENERAL MOTORS: GM Daewoo Recalls 58,000 Vehicles in South Korea
----------------------------------------------------------------
Yonhap News reports that local regulators said Sunday that GM
Daewoo Auto & Technology Co., the South Korean unit of General
Motors Co., will recall more than 58,000 sport-utility vehicles
and compact sedans on the South Korean market due to problems with
their steering wheels or fuel hoses.
According to the news agency, the Ministry of Land, Transport and
Maritime Affairs said the GM Daewoo vehicles affected by the
recall comprised 45,957 Winstorm SUVs and 12,604 Lacetti Premiere
compact sedans.
Yonhap relates that the recall will affect the Winstorms, sold
between April 1, 2006 and Dec. 31, 2007, and the Lacettis sold
between Sept. 25 last year and March 2 this year.
The ministry said owners of the Winstorms should contact the
company for a free repair to replace the faulty steering wheels
that could break apart if there is an impact, according to Yonhap.
The ministry also discovered a defect in fuel hoses of the
Lacettis.
About General Motors
General Motors Company -- http://www.gm.com/-- is one of the
world's largest automakers, tracing its roots back to 1908. With
its global headquarters in Detroit, GM employs 209,000 people in
every major region of the world and does business in some 140
countries. GM and its strategic partners produce cars and trucks
in 34 countries, and sell and service these vehicles through these
brands: Buick, Cadillac, Chevrolet, GMC, GM Daewoo, Holden, Opel,
Vauxhall and Wuling. GM's largest national market is the United
States, followed by China, Brazil, the United Kingdom, Canada,
Russia and Germany. GM's OnStar subsidiary is the industry leader
in vehicle safety, security and information services.
GM acquired its operations from General Motors Company, n/k/a
Motors Liquidation Company, on July 10, 2009, pursuant to a sale
under Section 363 of the Bankruptcy Code. Motors Liquidation or
Old GM is the subject of a pending Chapter 11 reorganization case
before the U.S. Bankruptcy Court for the Southern District of New
York.
At September 30, 2009, GM had US$107.45 billion in total assets
against US$135.60 billion in total liabilities.
About Motors Liquidation
General Motors Corporation and three of its affiliates filed for
Chapter 11 protection on June 1, 2009 (Bankr. S.D.N.Y. Lead Case
No. 09-50026). General Motors changed its name to Motors
Liquidation Co. following the sale of its key assets to a company
60.8% owned by the U.S. Government.
The Honorable Robert E. Gerber presides over the Chapter 11 cases.
Harvey R. Miller, Esq., Stephen Karotkin, Esq., and Joseph H.
Smolinsky, Esq., at Weil, Gotshal & Manges LLP, assist the Debtors
in their restructuring efforts. Al Koch at AP Services, LLC, an
affiliate of AlixPartners, LLP, serves as the Chief Executive
Officer for Motors Liquidation Company. GM is also represented by
Jenner & Block LLP and Honigman Miller Schwartz and Cohn LLP as
counsel. Cravath, Swaine, & Moore LLP is providing legal advice
to the GM Board of Directors. GM's financial advisors are Morgan
Stanley, Evercore Partners and the Blackstone Group LLP.
Bankruptcy Creditors' Service, Inc., publishes General Motors
Bankruptcy News. The newsletter tracks the Chapter 11 proceeding
undertaken by General Motors Corp. and its various affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)
===============
M A L A Y S I A
===============
MALAYSIAN MERCHANT: Defaults on MYR40.30-Mil. Collateralized Loan
-----------------------------------------------------------------
Malaysian Merchant Marine Berhad announced it has defaulted on
Primary Collateralized Loan Transaction facility of MYR40.30
million pursuant to the Letter of Demand dated March 8, 2010, from
Adnan Sundra & Low.
The Company is unable to pay the CLO plus interests as demanded in
the said LOD as it is unable to meet its obligations following the
downgrading of the CLO and Bai' Bithaman Ajil Islamic Debt
Securities from "A-id" to "BB+id".
At present, the Company said it does not have any measures to
address the Default as the Company will not be able to continue to
operate under the present capital and debt structure in the
foreseeable future.
Voluntary Separation Scheme
Malaysian Merchant Marine said on March 16 that the company's
staff has accepted a Voluntary Separation Scheme offered by the
Company. Following the completion of the VSS on March 15, 2010,
all of the staff of the Company is considered retrenched.
About Malaysian Merchant
Malaysian Merchant Marine Berhad is a Malaysia-based investment
holding company engaged in transportation of goods by sea and the
provision of ship management services. The principal activities
of the subsidiary companies are those of transportation of goods
by sea and provision of logistics services. The Company's
operating subsidiaries include MMM Panama Inc., MMM Suez Inc.,
Splendid Eminent Sdn. Bhd., Oceanwealth Fountain Sdn. Bhd.,
Malaysian Pacific Ocean Line Sdn. Bhd., Pan Asia Ocean Line Sdn.
Bhd., Prestige Splendour Sdn. Bhd., Ample Remark Sdn. Bhd.,
Edgewise Fairway Sdn. Bhd., and Malaysian Ocean Line Sdn. Bhd.
* * *
Malaysian Merchant Marine Berhad has been classified as an
affected listed issuer as the Company's wholly-owned subsidiary,
Erayear Solution Sdn Bhd, is unable to complete the purchase of a
chemical tanker under a Memorandum of Agreement signed with
Uniships Pte Ltd on January 8, 2010.
====================
N E W Z E A L A N D
====================
AIR NEW ZEALAND: Cuts Business-Class Seats on Tasman Flights
------------------------------------------------------------
Air New Zealand has decided to remove business-class seats from
most of its aircraft on flights across the Tasman, The Age
reports.
The Age relates that Air NZ will remove business-class seats from
its fleet of 12 A320 aircraft, which make up about two-thirds of
its flights across the Tasman. The change to a single class, says
the Age, will allow the company to pack an extra 19 economy seats
on each of the A320s, taking their maximum number of passengers to
171.
According to the report, Air NZ's general manager of short haul,
Bruce Parton, said the decision was partly due to corporate
travelers' unwillingness to pay for business-class seats on three-
hour flights across the Tasman. They regarded the journey more
like "domestic flights" than international long-haul trips, he
said.
The Age says the move came after demand for business-class seats
out of Wellington and Christchurch has diminished to the point
where just one in eight of the seats was sold on average per
flight.
Air NZ also plans to install self check-ins at the Australian
airports it flies to within the next year to further reduce its
labor bill, the report adds.
About Air New Zealand
Based in Auckland, New Zealand, Air New Zealand Ltd. --
http://www.airnewzealand.com/--is the country's flag air carrier,
with domestic and international passenger and freight operations,
and an aviation engineering business. Air New Zealand flies to
the United States, United Kingdom, Canada, Europe and other Asian
cities.
* * *
Air New Zealand Ltd. continues to carry Moody's Investors Service
"Ba1" Senior Unsecured Issuer rating with stable outlook.
MELVIEW HALSEY: IRD Places Firm Under Liquidation
-------------------------------------------------
The Inland Revenue Department has withdrawn its applications to
liquidate 14 of embattled property developer Nigel McKenna's
companies but it did have a 15th McKenna entity liquidated --
Melview Halsey -- The New Zealand Herald reports.
The Herald relates the company's lawyer, Rob Hucker, told the High
Court on Friday all the proceeds from the sale of an investment
property had gone to its bankers with nothing left for the tax
department. The report says Mr. McKenna has been under fire on a
variety of fronts in recent months.
As reported in the Troubled Company Reporter-Asia Pacific on
March 4, 2010, Mr. McKenna's Peninsula Road Ltd., the company
behind stages two and three of Queenstown's hotel/apartment
development, Kawarau Falls Station, has been placed in
receivership.
Tim Downes and Richard Simpson of Grant Thornton New Zealand Ltd.
were appointed on March 2 as receivers and managers of Peninsula
Road. Stages two and three were mortgaged to Fortress Credit
Corporation (Australia) Pty Limited.
Two McKenna companies behind stage one of Kawarau Falls Station
were also placed in receivership by Bank of Scotland International
last May, which was concerned payments on its NZ$117 million loan
weren't up to date.
According to the Herald, Fletcher Construction Group is seeking to
bankrupt Mr. McKenna more than NZ$800,000 it says it is owed for
building Wellington's NZ$100 million Holiday Inn Hotel.
The Herald notes that the McKenna company, which developed the
site, was placed in receivership and liquidation in November, and
investors in the hotel have chased Mr. McKenna's Galway Hotel
Management (Wellington) -- one of the companies in IRD's sights --
for outstanding investment payments.
The Herald says investors in his $130 million Westin Hotel
development on Auckland's waterfront have also complained about
overdue returns.
===============
P A K I S T A N
===============
PAKISTAN MOBILINK: Moody's Reviews 'B2' Corp. Family Rating
-----------------------------------------------------------
Moody's Investors Service has extended the review for possible
downgrade on Pakistan Mobilink Communications Limited B2 local
currency corporate family rating and Caa1 senior unsecured bond
rating.
The extension of the review period reflects Moody's ongoing
concerns about Mobilink's ability to meet its covenants under bank
loan agreements particularly when covenants, as currently
structured, step down in June 2010. Moody's would anticipate that
Mobilink obtain any necessary consents for covenant amendments
from lenders, including lines backed by the Export Credit
Agencies, prior to the next test date.
In addition, Moody's also expects Mobilink's parent, Orascom
Telecom Holdings (rated B2/negative) to forgo cash payment of
management fees, as it did in 2009. "The non-payment of
management fees -- equivalent to 6-7% of revenues -- will provide
Mobilink with additional liquid resources for debt service," says
Laura Acres, a Moody's Vice President and Senior Credit Officer.
"However, in the absence of any covenant amendment, it is Moody's
view that Mobilink will be unlikely to comply with the aggressive
step down in covenant measures and as such the ratings will be
pressured," adds Acres, also Moody's Lead Analyst for Mobilink.
The review will focus on Mobilink's ability to negotiate covenants
amendments with its bank creditors such that it can adhere to
covenants without financial support from Orascom Telecom. Any
failure to obtain a permanent amendment beyond the June 2010 test
date will result in negative rating action for Mobilink. The
review will also continue to examine the liquidity position of
Orascom Telecom given Mobilink's reliance on it for capital
injections which are likely to be required in the event that
covenants are not amended.
The last rating action was on November 20, 2009, when Mobilink's
B2 corporate family rating and Caa1 senior unsecured bond rating
were placed on review for possible downgrade following a similar
action on Orascom Telecom and the concern on Mobilink's ability to
comply with the bank loan covenants.
Mobilink is the largest mobile operator in Pakistan with more than
30.8 million customers and a subscriber market share of 31.5% as
at December 2009 (source: PTA). Mobilink is indirectly 100%-owned
by Orascom Telecom.
=================
S I N G A P O R E
=================
MOOD DESIGN: Court Enters Wind-Up Order
---------------------------------------
The High Court of Singapore entered an order on March 12, 2010, to
wind up the operations of Mood Design Pte Ltd.
Poya Communications Pte Ltd filed the petition against the
company.
The company's liquidators are:
Abuthahir Abdul Gafoor
Ebenezer John Lazarus
c/o ELTICI Financial Advisory Services Pte Ltd
1 Raffles Place
#20-02 OUB Centre
Singapore 048616
SINGAPORE EXPLORER: Court Enters Wind-Up Order
----------------------------------------------
The High Court of Singapore entered an order on March 5, 2010, to
wind up the operations of Singapore Explorer Pte Ltd.
Mecpec Trading Co Pte Ltd filed the petition against the company.
The company's liquidator is:
The Official Receiver
Insolvency & Public Trustee's Office
45 Maxwell Road #05-11/#06-11
The URA Centre (East Wing)
Singapore 069118
SUISSELAB (SINGAPORE): Court to Hear Wind-Up Petition on April 9
----------------------------------------------------------------
A petition to wind up the operations of Suisselab (Singapore)
Private Limited will be heard before the High Court of Singapore
on April 9, 2010, at 10:00 a.m.
United Overseas Bank Limited filed the petition against the
company on March 11, 2010.
The Petitioner's solicitors are:
Messrs Rajah & Tann LLP
9 Battery Road
#25-01 Straits Trading Building
Singapore 049910
WOOD DOCTOR: Court to Hear Wind-Up Petition on April 9
------------------------------------------------------
A petition to wind up the operations of Wood Doctor (Far East) Pte
Ltd will be heard before the High Court of Singapore on April 9,
2010, at 10:00 a.m.
United Overseas Bank Limited filed the petition against the
company on March 11, 2010.
The Petitioner's solicitors are:
Khattarwong
No. 80 Raffles Place
#25-01 UOB Plaza 1
Singapore 048624
YUAN CHENG: Court to Hear Wind-Up Petition on April 9
-----------------------------------------------------
A petition to wind up the operations of Yuan Cheng Fang
Manufacturing Pte Ltd will be heard before the High Court of
Singapore on April 9, 2010, at 10:00 a.m.
Singapore Food Industries Pte. Ltd. (formerly known as Singapore
Food Industries Ltd) filed the petition against the company on
March 10, 2010.
The Petitioner's solicitor is:
Messrs P.Tan & Company
133 New Bridge Road
#15-07 Chinatown Point
Singapore 059413
===============
X X X X X X X X
===============
CITIGROUP INC: To Hire Nomura's Banfield as M&A Head in Asia
------------------------------------------------------------
Citigroup Inc. is hiring Nomura Holdings Inc.'s Colin Banfield as
its head of mergers and acquisitions for the Asia Pacific region,
The Wall Street Journal reports citing person familiar with
matter.
At Nomura, the Journal relates, Mr. Banfield is co-head of
investment banking excluding Japan as well as the head of Asian
mergers and acquisitions outside Japan.
Reuters reports that Mr. Banfield could potentially join the ranks
of several senior executives who have quit Nomura recently.
However, a source, who declined to be named because the hiring had
not been made public, told Reuters the Japanese brokerage was
still in talks with Mr. Banfield to keep him, and a clearer
picture would emerge by the end of Monday.
Another person familiar with the matter told the Journal that
Citigroup is talking to Mr. Banfield, but said that nothing has
been finally decided yet.
About Citigroup
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.
* BOND PRICING: For the Week to March 15 to March 19, 2010
----------------------------------------------------------
Issuer Coupon Maturity Currency Price
------ ------ -------- -------- -----
AUSTRALIA
---------
AMP GROUP FINANC 9.80 04/01/2019 NZD 0.93
GRIFFIN COAL MIN 9.50 12/01/2016 USD 64.25
GRIFFIN COAL MIN 9.50 12/01/2016 USD 59.65
MINERALS CORP 10.50 09/30/2011 AUD 0.69
NEW S WALES TREA 1.00 09/02/2019 AUD 63.28
ORCHARD INVEST 7.36 12/15/2010 AUD 29.50
PRAECO P/L 7.13 07/28/2020 AUD 71.02
SUNCORP METWAY 6.75 10/06/2026 AUD 73.44
SUN RESOURCES NL 12.00 06/30/2011 AUD 0.25
TIMBERCORP LTD 8.90 12/01/2010 AUD 26.10
VERO INSURANCE 6.15 09/07/2025 AUD 71.30
CHINA
-----
JIANGXI COPPER 1.00 09/22/2016 CNY 74.25
HONG KONG
---------
RESPARCS FUNDING 8.00 12/29/2049 USD 36.00
INDONESIA
---------
BAKRIELAND DEV 12.85 03/11/2013 IDR 75.00
MOBILE-8 TELECOM 12.37 06/15/2017 IDR 50.00
JAPAN
-----
AIFUL CORP 1.50 10/20/2011 JPY 68.86
AIFUL CORP 1.20 01/26/2012 JPY 64.90
AIFUL CORP 1.99 03/23/2012 JPY 60.86
AIFUL CORP 1.22 04/20/2012 JPY 56.87
AIFUL CORP 1.63 11/22/2012 JPY 50.95
AIFUL CORP 1.74 05/28/2013 JPY 49.94
AIFUL CORP 1.99 10/19/2015 JPY 44.84
COVALENT MATERIAL 2.87 02/18/2013 JPY 57.49
FUKOKU MUTUAL 4.50 09/28/2025 EUR 72.50
JPN EXP HLD/DEBT 0.50 09/17/2038 JPY 56.88
JPN EXP HLD/DEBT 0.50 03/18/2039 JPY 56.29
TAKEFUJI CORP 9.20 04/15/2011 USD 58.12
TAKEFUJI CORP 9.20 04/15/2011 USD 58.12
TAKEFUJI CORP 8.00 11/01/2017 USD 12.12
TAKEFUJI CORP 4.00 06/05/2022 JPY 53.15
MALAYSIA
--------
DUTALAND BHD 4.00 04/11/2013 MYR 0.73
PUNCAK NIAGA HLD 2.50 11/18/2016 MYR 0.64
NEW ZEALAND
-----------
ALLIED NATIONWID 11.52 12/29/2049 NZD 50.50
BLUE STAR PRINT 9.10 09/15/2012 NZD 65.00
CAPITAL PROP NZ 8.00 04/15/2010 NZD 12.50
CONTACT ENERGY 8.00 05/15/2014 NZD 1.02
FLETCHER BUI 8.50 03/15/2015 NZD 8.25
FLETCHER BUI 7.55 03/15/2011 NZD 7.40
GMT BOND ISSUER 7.75 06/19/2015 NZD 0.12
INFRASTR & UTIL 8.50 09/15/2013 NZD 9.20
INFRATIL LTD 8.50 11/15/2015 NZD 9.50
INFRATIL LTD 10.18 12/29/2049 NZD 65.50
MANUKAU CITY 6.15 09/15/2013 NZD 1.01
MANUKAU CITY 6.90 09/15/2015 NZD 1.02
MARAC FINANCE 10.50 07/15/2013 NZD 0.99
NZ FINANCE HLDGS 9.75 03/15/2011 NZD 51.20
SKY NETWORK TV 4.01 10/16/2016 NZD 55.83
SOUTH CANTERBURY 10.50 06/15/2011 NZD 0.64
SOUTH CANTERBURY 10.43 12/15/2012 NZD 0.47
ST LAURENCE PROP 9.25 05/15/2011 NZD 69.33
TOWER CAPITAL 8.50 04/15/2014 NZD 1.01
TRUSTPOWER LTD 8.50 09/15/2012 NZD 7.30
TRUSTPOWER LTD 8.50 03/15/2014 NZD 8.25
TRUSTPOWER LTD 7.60 12/15/2014 NZD 1.00
TRUSTPOWER LTD 8.00 12/15/2016 NZD 1.00
UNI OF CANTERBUR 7.25 12/15/2019 NZD 0.94
VECTOR LTD 7.80 10/15/2014 NZD 1.01
VECTOR LTD 8.00 12/29/2049 NZD 7.35
SINGAPORE
---------
BLUE OCEAN 11.00 06/28/2012 USD 34.00
SENGKANG MALL 8.00 11/20/2012 SGD 0.10
UNITED ENG LTD 1.00 03/03/2014 SGD 1.46
SOUTH KOREA
-----------
KUMHO INDUSTRIAL 10.80 12/14/2010 KRW 70.32
SRI LANKA
---------
SRI LANKA GOVT 7.00 10/01/2023 LKR 65.88
*********
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.
*** End of Transmission ***