TCRAP_Public/100518.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, May 18, 2010, Vol. 13, No. 096

                            Headlines



A U S T R A L I A

ABC LEARNING: Administrators Set to Reconvene Creditors' Meeting


H O N G  K O N G

CHEUNG WHO: Creditors' Proofs of Debt Due June 15
DRAGON KING: Creditors' Proofs of Debt Due June 15
EXPERT WHEEL: Creditors' Proofs of Debt Due June 14
FRANSISCO COMPANY: Ying and Chan Step Down as Liquidators
FXMARKETSPACE ASIA: Ying and Chan Step Down as Liquidators

HOI PO: Members and Creditors' Meetings Set for June 18
JAPAN HI-TECH: Members' Final Meeting Set for June 21
KENDRO LABORATORY: Lai and Haughey Step Down as Liquidators
KRISPY KREME: Final Meetings Slated for June 22
LUEN FUNG: Lau Yip Leung Steps Down as Liquidator


I N D I A

AUTO FORGINGS: CRISIL Assigns 'B+' Rating on INR9.9MM Term Loan
KINGFISHER AIRLINES: IDBI Bank Seeks Repayment on INR900cr Loan
MADRAS FERTILIZERS: Fitch Assigns National Long-Term Rating of D
MALANKARA ORTHODOX: CRISIL Rates INR322.9 Million Term Loan at 'B'
MAA DURGA: CRISIL Rates INR121.7 Million Cash Credit at 'BB'

MAKTEL SYSTEMS: CRISIL Reaffirms 'BB' Rating on INR8.5M Term Loan
NILESH STEEL: CRISIL Assigns 'B+' Rating on INR65MM Cash Credit
SOHUM SHOPPE: CRISIL Rates INR77.5 Million Cash Credit at 'BB'
SAMRUDDHI INDUSTRIES: CRISIL Puts 'BB-' Rating on INR73M Term Loan
TATA MOTORS: Aborts Planned $150-Mln Eco-Car Project in Thailand

TATA MOTORS: Global Sales Up 53% in April 2010
TATA MOTORS: Head of Passenger Car Business Unit Resigns


J A P A N

JAPAN AIRLINES: Delays Early Retirement Program For Some Employees
JAPAN AIRLINES: Faces Price-Fixing Charges From Aussie Regulator
SOFTBANK CORP: Suspends Order-Taking For Apple's iPad


K O R E A

HYNIX SEMICONDUCTOR: Major Global Banks Backed Out From Bond Deals
HYUNDAI GROUP: To Ink Financial Restructuring Plan With Creditors


M A L A Y S I A

DXN HOLDINGS: Reaches Settlement with Zapali Enterprise
GULA PERAK: Classified as Affected Listed Issuer Under PN17
LIMAHSOON BERHAD: Appoints Alliance Investment as Adviser
TALAM CORPORATION: Asks Bourse to Uplift Firm From PN17 Status


N E W  Z E A L A N D

AIR NEW ZEALAND: Faces Price Fixing Charges From ACCC
DORCHESTER PACIFIC: Capital Reconstruction Plan Finalized
MERCER GROUP: Breaches Bank Covenant; Mulls Refinancing Options


S I N G A P O R E

OLYMPIC SHIPPING: Members' Final Meeting Set for June 17


X X X X X X X X

* S&P Puts Ratings on 4 CDO Tranches on CreditWatch Positive

* BOND PRICING: For the Week May 10 to May 14, 2010




                         - - - - -


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


ABC LEARNING: Administrators Set to Reconvene Creditors' Meeting
----------------------------------------------------------------
The Sydney Morning Herald reports that a proper account of ABC
Learning Centre's financial state just before its collapse in
November 2008 will finally be made available next week as the
administrators prepare to reconvene a creditors' meeting and place
the company into liquidation.

According to the Herald, Greg Moloney, of Ferrier Hodgson, said
his report to creditors would be available on May 24, with the
meeting to be held in Brisbane on June 2.

A vote to put ABC into liquidation will end the longest
administration in Australian corporate history, the report says.

                        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 appointed Chris Honey, Murray Smith and John
Cronin of McGrathNicol as receivers.


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


CHEUNG WHO: Creditors' Proofs of Debt Due June 15
-------------------------------------------------
Cheung Who Technologies (Hong Kong) Company Limited, which is in
members' voluntary liquidation, requires its creditors to file
their proofs of debt by June 15, 2010, to be included in the
company's dividend distribution.

The company commenced wind-up proceedings on May 5, 2010.

The company's liquidator is:

         Wong Yun Wah
         Room 2510, 25/F, Hopewell Centre
         183 Queen's Road East
         Wanchai, Hong Kong


DRAGON KING: Creditors' Proofs of Debt Due June 15
--------------------------------------------------
Dragon King Development Limited, which is in members' voluntary
liquidation, requires its creditors to file their proofs of debt
by June 15, 2010, to be included in the company's dividend
distribution.

The company commenced wind-up proceedings on May 4, 2010.

The company's liquidator is:

         Sun Fung Allan Ho
         Room 2702-3, CC Wu Building
         302-8 Hennessy Road
         Wanchai, Hong Kong


EXPERT WHEEL: Creditors' Proofs of Debt Due June 14
---------------------------------------------------
Creditors of Expert Wheel Limited, which is in members' voluntary
liquidation, are required to file their proofs of debt by June 14,
2010, to be included in the company's dividend distribution.

The company commenced wind-up proceedings on May 6, 2010.

The company's liquidator is:

         Sung Mi Yin
         Suite No. A, 11th Floor
         Ritz Plaza, 122 Austin Road
         Tsimshatsui, Kowloon


FRANSISCO COMPANY: Ying and Chan Step Down as Liquidators
---------------------------------------------------------
Ying Hing Chiu and Chan Mi Har stepped down as liquidators of
Fransisco Company Limited on May 10, 2010.


FXMARKETSPACE ASIA: Ying and Chan Step Down as Liquidators
----------------------------------------------------------
Ying Hing Chiu and Chan Mi Har stepped down as liquidators of
Fxmarketspace Asia Limited on May 11, 2010.


HOI PO: Members and Creditors' Meetings Set for June 18
-------------------------------------------------------
Members and creditors of Hoi Po Metal Manufactory Company Limited
will hold their meetings on June 18, 2010, at 2:00 p.m., and 2:30
p.m., respectively at Room 32B2, 32nd Floor, One Pacific Place, 88
Queensway, in Hong Kong.

At the meeting, Lai Kar Yan (Derek) and Yeung Lui Ming (Edmund),
the company's liquidators, will give a report on the company's
wind-up proceedings and property disposal.


JAPAN HI-TECH: Members' Final Meeting Set for June 21
-----------------------------------------------------
Members of Japan Hi-Tech. Company Limited will hold their final
general meeting on June 21, 2010, at 11:00 a.m., at Suite 504,
South Tower, World Finance Centre, Harbour City, 17-19 Canton
Road, Tsimshatsui, Kowloon, in Hong Kong.

At the meeting, Lam Tak Keung, the company's liquidator, will give
a report on the company's wind-up proceedings and property
disposal.


KENDRO LABORATORY: Lai and Haughey Step Down as Liquidators
-----------------------------------------------------------
Lai Kar Yan (Derek) and Darach E. Haughey stepped down as
liquidators of Kendro Laboratory Products (H.K.) Limited on May 5,
2010.


KRISPY KREME: Final Meetings Slated for June 22
-----------------------------------------------
Contributories and creditors of Krispy Kreme Hong Kong Limited
will hold their final meetings on June 22, 2010, at 11:00 a.m.,
and 11:30 a.m., respectively at 602 The Chinese Bank Building, 61-
65 Des Voeux Road, Central, in Hong Kong

At the meeting, Wong Teck Meng, the company's liquidator, will
give a report on the company's wind-up proceedings and property
disposal.


LUEN FUNG: Lau Yip Leung Steps Down as Liquidator
-------------------------------------------------
Lau Yip Leung stepped down as liquidator of Luen Fung Electric
Wire and Cable Company Limited on April 27, 2010.


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


AUTO FORGINGS: CRISIL Assigns 'B+' Rating on INR9.9MM Term Loan
---------------------------------------------------------------
CRISIL has assigned its 'B+/Stable' rating to the bank facilities
of Auto Forgings.

   Facilities                             Ratings
   ----------                             -------
   INR42.5 Million Cash Credit Limit      B+/Stable (Assigned)
   INR9.9 Million Term Loan               B+/Stable (Assigned)

The rating reflects AF's constrained financial risk profile,
marked by weak debt protection measures, moderate gearing, and low
net worth, small scale of operations, stagnant revenue growth over
the past five years, and exposure to risks related to cyclicality
and slowdown in the commercial vehicle segment.  These rating
weaknesses are partially offset by the benefits that AF derives
from its promoters' experience in the forged auto components
market.

Outlook: Stable

CRISIL believe that AF will continue to benefit over the medium
term from its established customer base.  However, AF's financial
risk profile is expected to remain constrained over the medium
term because of its working-capital-intensive operations and low
cash accruals.  The outlook may be revised to 'Positive' if the
firm's financial risk profile improves because of higher-than-
expected cash accruals or capital infusion by partners.
Conversely, the outlook may be revised to 'Negative' if the firm's
financial risk profile deteriorates because of lower-than-expected
profitability.

                        About Auto Forgings

Set up in 1991 as a partnership firm by Mr. Vinod Kumar Gupta, AF
manufactures forged automotive components.  The firm's customers
include auto ancillaries across the country.  AF's plant in
Ludhiana (Punjab) is equipped with five hammers, with capacity to
forge 600 tonnes per month, and manufactures components of weights
ranging from 200 grams to 20 kilograms.

AF reported a profit after tax (PAT) of INR0.96 million on net
sales of INR162 million for 2008-09 (refers to financial year,
April 1 to March 31) against a PAT of INR2.52 million on net sales
of INR158 million for 2007-08.


KINGFISHER AIRLINES: IDBI Bank Seeks Repayment on INR900cr Loan
---------------------------------------------------------------
IDBI Bank has asked Kingfisher Airlines to repay a total of
INR900 crore loan after the company failed to stick to its
repayment schedule, The Economic Times reports.

According to the report, the bank has sent a notice to the airline
asking it to pay a INR150-crore short-term loan on which the Vijay
Mallya-owned company has missed some payments and a INR750-crore
loan which will mature after some years, by the middle of this
week.

The Economic Times relates the bank said that it might invoke
guarantees issued by holding company United Breweries Holding and
by Vijay Mallya himself.

Mr. Mallya however denied that IDBI was calling back the loan, the
report notes.  "The loan was given by a consortium led by SBI. So
far, there is no problem.  The information that IDBI is recalling
the loan is incorrect," the report quoted Mr. Mallya as saying.

Kingfisher Airlines has borrowed around INR3,000 crore from
several banks, such as State Bank of India, Punjab National Bank,
Bank of India, ICICI Bank and Axis Bank and has appointed SBI
Capital Markets, an investment banking arm of SBI, to restructure
these loans, according to the Economic Times.

                      About Kingfisher Airlines

Headquartered in Mumbai, India, Kingfisher Airlines --
http://www.flykingfisher.com/-- formerly known as Deccan
Aviation Ltd., serves about 35 domestic destinations with a fleet
of more than 40 aircraft, including Airbus jets and ATR 72
turboprops.  It maintains bases in major cities such as Delhi and
Mumbai.  Kingfisher Airlines is a unit of UB Holdings, best known
for its United Breweries unit, and the carrier shares the
Kingfisher brand with a popular Indian beer.  UB Holdings also
owns a stake in another domestic carrier, Air Deccan, whose
operations it combined with Kingfisher Airlines in mid-2008.
Kingfisher Airlines began flying in 2005.

                           *     *     *

Kingfisher Airlines reported a net loss of INR16.09 billion for
the year ended March 31, 2009, compared with a net loss of
INR1.89 billion in the year ended March 31, 2008.

In the financial year ended June 30, 2007, Deccan Aviation
reported a net loss of INR4.2 billion, up 23% from the
INR3.41 billion loss incurred in FY 2006.


MADRAS FERTILIZERS: Fitch Assigns National Long-Term Rating of D
----------------------------------------------------------------
Fitch Ratings has assigned India's Madras Fertilizers Limited a
National Long-term rating of 'D(ind)'.  The agency has also
assigned ratings to the following bank loans:

   --Fund-based working capital limits of INR1914 million at
     'D(ind)'/'F5(ind)'; and

   --Non-fund-based limits of INR300 million at 'D(ind)'/'F5(ind)'

The ratings reflect the current default status in the repayment of
MFL's debt obligations.  The company has high levels of
accumulated losses leading to negative net worth.  The company was
registered with the Board for Industrial and Financial
Restructuring (BIFR) under the Sick Industrial Companies Act
(SICA) in 2007, and was declared 'sick' in April 2009. State Bank
of India is the operating agency working on the Debt
Rehabilitation Scheme.

Approval of the Debt Rehabilitation Scheme, the roadmap for its
implementation, and MFL's return to normal operations and
profitability would act as positive triggers to the ratings.

Madras Fertilizers Limited is a Chennai-based Public Sector
Enterprise (PSE) engaged in the manufacture of Urea and NPK
fertilizers, with manufacturing facilities in Chennai.  The
government of India holds about 59.5 % of the company.  For the
first nine months of FY10, MFL reported revenues of
INR8,678.2 million, operating EBITDA of INR523.9 million and a net
loss of INR515.4 million.


MALANKARA ORTHODOX: CRISIL Rates INR322.9 Million Term Loan at 'B'
------------------------------------------------------------------
CRISIL has assigned its 'B/Stable/P4' ratings to Malankara
Orthodox Syrian Church Medical Mission's bank facilities.

   Facilities                          Ratings
   ----------                          -------
   INR50.0 Million Cash Credit         B/Stable (Assigned)
   INR322.9 Million Term Loan          B/Stable (Assigned)
   INR7.5 Million Letter of Credit     P4 (Assigned)

The ratings reflect MOSCMM's weak financial risk profile, marked
by low profitability, and exposure to risks related to
geographical concentration in revenue profile and regulatory
nature of education segment.  These rating weaknesses are
partially offset by MOSCMM's established market position in the
healthcare business in Kolenchery (Kerala).

Outlook: Stable

CRISIL believes that MOSCMM will maintain its business risk
profile on the back of its long-standing presence and reputation.
The outlook may be revised to 'Positive' in case of significant
improvement in MOSCMM's capital structure and profitability
resulting in higher cash accruals.  Conversely, the outlook may be
revised to 'Negative' if the society contracts large debt, or
faces unfavorable changes in regulations or the legal framework.

                        About the Society

MOSCMM is a charitable society registered under the Travancore
Cochin Literary Scientific and Charitable Societies Registration
Act, 1955.  The society was registered in 1968 and operations were
started in with a 100-bed hospital in 1970 with a non-profit
motive.  The society also established a medical institute in 2004
offering MBBS course with an annual sanctioned intake of 100
students.

MOSCMM reported a net loss of INR4.8 million on net sales of
INR449 million for 2008-09 (refers to financial year, April 1 to
March 31) against a net loss of INR5 million on net sales of
INR353 million for 2007-08.


MAA DURGA: CRISIL Rates INR121.7 Million Cash Credit at 'BB'
------------------------------------------------------------
CRISIL has assigned its 'BB/Stable' rating to Maa Durga Flour
Mills Pvt Ltd's bank facilities.

   Facilities                       Ratings
   ----------                       -------
   INR121.7 Million Cash Credit     BB/Stable (Assigned)

   *Includes proposed amount of INR6.7 million

The rating reflects Maa Durga's below-average financial risk
profile marked by small net worth and weak debt protection
metrics, and exposure to risks related to fluctuations in raw
material prices, and limited pricing power.  These rating
weaknesses are partially offset by the benefits that Maa Durga
derives from its promoters' experience in the agricultural
commodities industry, and established relationships with suppliers
and traders.

Outlook: Stable

CRISIL believes that Maa Durga's financial risk profile will
remain strained over the medium term, as a result of its weak debt
protection metrics.  The outlook may be revised to 'Positive' if
Maa Durga's net worth improves backed by significant improvement
in profitability and further infusion of equity.  Conversely, the
outlook may be revised to 'Negative' if Maa Durga undertakes any
large debt-funded capital expenditure, or if its profitability
declines sharply.

                          About Maa Durga

Maa Durga was set up as a closely held company in 1999 by
Mr. Prasanta Chandra Rath and is engaged in the production of
wheat, atta, maida and suji with their manufacturing facilities
near Cuttack, Orissa.  The installed capacity of the company is
around 50,000 quintals per month.  Procurement of wheat is from
traders in Bihar and Uttar Pradesh.  Sales of the company are
mainly to traders and bakeries in Orissa.

Maa Durga reported a profit after tax (PAT) of INR2.7 million on
net sales of INR671 million for 2009-10 (refers to financial year,
April 1 to March 31), against a PAT of INR0.07 million on net
sales of INR576 million for 2008-09.


MAKTEL SYSTEMS: CRISIL Reaffirms 'BB' Rating on INR8.5M Term Loan
-----------------------------------------------------------------
CRISIL's ratings on the bank facilities of Maktel Systems (Maktel)
continue to reflect the susceptibility of Maktel's operating
margin to volatility in raw material prices, customer
concentration in its revenue profile, and its small scale of
operation and small net worth.  These weaknesses are partially
offset by Maktel's moderate gearing and debt protection metrics,
and established position in the electrical equipment industry.

   Facilities                             Ratings
   ----------                             -------
   INR40.0 Million Cash Credit Limit      BB/Stable (Reaffirmed)
   INR8.5 Million Term Loan               BB/Stable (Reaffirmed)
   INR30.0 Million Letter of Credit       P4+ (Reaffirmed)
   INR65.0 Million Bank Guarantee         P4+ (Reaffirmed)

Outlook: Stable

CRISIL believes that Maktel will maintain its financial and
business risk profiles over the medium term, backed by its
sizeable order book, reputed customer portfolio, and stable cash
accruals.  The outlook maybe revised to 'Positive' if Maktel
increases its scale of operations, leading to significant
improvement in its net worth and capital structure.  Conversely,
the outlook may be revised to 'Negative' if the company undertakes
an aggressive, debt-funded capital expenditure program, or reports
lower-than-expected profitability, leading to deterioration in its
financial risk profile.

                          About Maktel

Established in 1982, Maktel was a partnership between Mr. N M
Patel and Mr. A K Nandi. In April 2009, it was reconstituted as a
private limited company. The company is engaged in the manufacture
of electrical equipment such as control and relay panel
transformers, low-tension distribution boxes, and medium-voltage
switchgear used in transmission and distribution of power.  The
company's plant, situated in Vadodara (Gujarat), has a capacity to
manufacture 1320 control and relay panels per annum on a single
shift basis, and 144,000 kilovolt amperes (kVA) of switch board
and distribution boxes per annum.  It has the flexibility to
increase the production of control and relay panels by increasing
the number of shifts.  About 40 per cent of the company's revenue
is contributed by control and relay panels, and 30 per cent each
by distribution boxes and switchgears.

For 2008-09 (refers to financial year, April 1 to March 31),
Maktel reported a profit after tax of INR3.8 million on net sales
of INR247.6 million, against a INR7.7 million and INR268.5
million, respectively, for 2007-08.


NILESH STEEL: CRISIL Assigns 'B+' Rating on INR65MM Cash Credit
---------------------------------------------------------------
CRISIL has assigned its 'B+/Stable/P4' ratings to the bank
facilities of Nilesh Steel & Alloys Pvt Ltd, part of the Nilesh
Steel group.

   Facilities                       Ratings
   ----------                       -------
   INR65.0 Million Cash Credit      B+/Stable (Assigned)
   INR185.0 Million Proposed LT     B+/Stable (Assigned)
             Bank Loan Facility
   INR15.0 Million Bank Guarantee   P4 (Assigned)

The ratings reflect the group's average financial risk profile,
and its exposure to risks related to volatility in steel prices.
These rating weaknesses are partially offset by the benefits that
the group derives from its promoters' experience in the steel
industry.

For arriving at its ratings, CRISIL has combined the business and
financial risk profiles of Nilesh Steel, and Dhanlaxmi Re-Rolling
Mill (Dhanlaxmi); this is because these firms, together referred
to as the Nilesh Steel group (NSG), have common promoters,
significant operational linkages and financial fungibility.

Outlook: Stable

CRISIL believes that the NSG will continue to benefit over the
medium term from its promoters' industry experience, and
established relationships with customers.  The outlook may be
revised to 'Positive' if the group reports higher-than-expected
growth in revenues, or significant and sustainable improvement in
its operating margin, debt protection metrics, or operating cycle.
Conversely, the outlook may be revised to 'Negative' in case of
lower-than-expected increase in revenues, or steep deterioration
in debt protection metrics or operating cycle.

                        About Nilesh Steel

Incorporated in 2002 by Mr. Sanjay Mantri and Mr. Nilesh Chechani,
Nilesh Steel manufactures mild-steel ingots.  The company has its
manufacturing facility, in Jalna (Maharashtra), with an installed
capacity of 36,000 tonnes per annum (tpa).

Dhanlaxmi, a proprietorship concern of Mr. Sanjay Mantri, is
engaged in the manufacture of thermo-mechanically treated bars;
the firm has a manufacturing facility with an installed capacity
of 75,000 tpa.

Nilesh Steel reported a profit after tax (PAT) of INR1.1 million
on net sales of INR707.7 million for 2008-09 (refers to financial
year, April 1 to March 31), against a PAT of INR10.8 million on
net sales of INR491.2 million for 2007-08.


SOHUM SHOPPE: CRISIL Rates INR77.5 Million Cash Credit at 'BB'
--------------------------------------------------------------
CRISIL has assigned its 'BB/Stable' rating to Sohum Shoppe Ltd's
bank facilities.

   Facilities                       Ratings
   ----------                       -------
   INR77.5 Million Cash Credit*     BB/Stable (Assigned)

   *includes a sublimit for Bank Guarantee to the extent of
    INR1.1 Million

The rating reflects Sohum's small scale of operations, low net
worth and large working capital requirements marked by high
inventory levels.  These rating weaknesses are partially offset by
the company's satisfactory financial risk profile, marked by low
gearing and healthy debt protection indicators, and the benefits
that the company derives from robust growth potential of the
organized retail industry.

Outlook: Stable

CRISIL believes that Sohum will maintain a stable financial risk
profile over the medium term, backed by low gearing and strong
debt protection indicators.  The outlook may be revised to
'Positive' if Sohum's financial risk profile improves
significantly led by equity infusion, or in case of more-than-
expected increase in the company's revenue and profitability.
Conversely, the outlook may be revised to 'Negative' if Sohum's
financial risk profile deteriorates, if its profitability declines
significantly, or if it undertakes large, debt-funded capital
expenditure programs.

                        About Sohum Shoppe

Incorporated as a closely held company in 2000 by Mr. Manohar
Jalan and Mr. Bajrang Lohia, Sohum is engaged in the retail
business of various brands of accessories, toys, and ready-made
garments for men, women, and children. The company has three
retail multi-brand outlets in Guwahati and one in Dibrugarh (both
in Assam).

Sohum reported a profit after tax (PAT) of INR2.59 million on net
sales of INR239.30 million for 2008-09 (refers to financial year,
April 1 to March 31) against a PAT of INR2.55 million on net sales
of INR213.20 million for 2007-08.


SAMRUDDHI INDUSTRIES: CRISIL Puts 'BB-' Rating on INR73M Term Loan
------------------------------------------------------------------
CRISIL has assigned its 'BB-/Stable/P4+' ratings to Samruddhi
Industries Ltd's bank facilities.

   Facilities                       Ratings
   ----------                       -------
   INR120.0 Million Cash Credit     BB-/Stable (Assigned)
   INR73.0 Million Term Loan        BB-/Stable (Assigned)
   INR4.0 Million Letter of Credit  P4+ (Assigned)

The ratings reflect SIL's average financial risk profile,
constrained by weak liquidity and large working capital
requirements, and exposure to risks related to fluctuations in raw
material prices, small scale of operations, and intense
competition in the moulded plastic products industry. These rating
weaknesses are partially offset by SIL's comfortable market
position in the plastic containers industry, and the benefits that
the company derives from the extensive experience of its promoters
in the industry.

Outlook: Stable

CRISIL believes that SIL will continue to benefit from its
comfortable position in the plastic containers industry; SIL's
scale of operations will, however, remain small and its liquidity
weak over the medium term.  The outlook may be revised to
'Positive' in case of improvement in its liquidity profile driven
by higher than expected cash accruals or fresh equity infusion.
Conversely, the outlook may be revised to 'Negative' in case of
further pressure on liquidity because of lower than expected cash
accruals or large incremental working capital requirements.

                    About Samruddhi Industries

Incorporated in 1993 by Mr. Ramakant Malu, SIL (formerly, Malsons
Organics Ltd) is a closely held public limited company that
manufactures and markets moulded plastic consumer products.
Initially, the company manufactured crates for the dairy industry
at Sangli (Maharashtra) on a tender basis.  In 2006 the company
commissioned another manufacturing facility at Rudrapur in
Uttarakhand.  The product range of the company now includes tubs,
kettles, fruit-crates, buckets, dustbins, furniture, step ladders,
horticulture pots, mugs, and glasses.  The name of the company was
changed to SIL in 2004.

SIL reported a profit after tax (PAT) of INR27.7 million on net
sales of INR582.2 million for 2008-09 (refers to financial year,
April 1 to March 31) against a PAT of INR23.7 million on net sales
of INR580.5 million for 2007-08.


TATA MOTORS: Aborts Planned $150-Mln Eco-Car Project in Thailand
----------------------------------------------------------------
The Times of India reports that Tata Motors has aborted its
$150-million eco-car project in Thailand.  People familiar with
Tatas' plans said the company could instead launch the Nano, the
world's smallest and cheapest car, in Thailand next year, the
report notes.

According to the report, Tata Motors officials said the company
has alternative plans for the Thai market, but remained tight-
lipped about the reasons for the pullout.

The Times of India relates Tata Motors spokesperson Debasis Ray
confirmed the decision to drop out of the project 18 months after
the company's Thailand offshoot received an investment promotion
certificate from the country's Board of Investment.

Mr. Ray, according to the report, did not comment on the Nano's
launch in Thailand, but said the company will introduce a "highly
fuel-efficient and environmentally-friendly car with appropriate
investments for local production in Thailand."

                         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
April 21, 2010, Moody's Investors Service upgraded Tata Motors
Ltd's corporate family rating to B2 from B3.  The outlook on the
rating is positive.

This rating action completes the rating review for possible
upgrade initiated on March 2, 2010, when TML announced its
consolidated Q3 FY2010 results.


TATA MOTORS: Global Sales Up 53% in April 2010
----------------------------------------------
Tata Motors Ltd said its global sales in April 2010 increases 53%
from April 2009 to 77,732 units.  The sales comprises of Tata,
Tata Daewoo and Hispano Carrocera range of commercial vehicles,
Tata passenger vehicles along with distributed brands in India,
and Jaguar and Land Rover.

Sales of all commercial vehicles were 34,470 nos. in April 2010, a
growth of 40%.

Sales of all passenger vehicles were 43,262 nos. in April 2010, a
growth of 66%.

Tata passenger vehicle sales, including those distributed, were
25,353 nos. for the month, a growth of 71%.

Jaguar Land Rover global sales in April 2010 were 17,909 vehicles,
higher by 61%.  Jaguar sales for the month were 3,559 nos., almost
the same as last year inspite of the withdrawal of X-Type.  The
Jaguar XF sales were up by 23%, while Land Rover sales were 14,350
nos., higher by 89%.

                         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
April 21, 2010, Moody's Investors Service upgraded Tata Motors
Ltd's corporate family rating to B2 from B3.  The outlook on the
rating is positive.

This rating action completes the rating review for possible
upgrade initiated on March 2, 2010, when TML announced its
consolidated Q3 FY2010 results.


TATA MOTORS: Head of Passenger Car Business Unit Resigns
--------------------------------------------------------
Tata Motors Ltd. said Monday that Rajiv Dube, president of the
Passenger Car Business Unit, has decided to resign from the
Company to pursue other interests outside the Tata Group.

With immediate effect, Mr. S. Krishnan, Senior Vice President
(Commercial), responsible for sales, marketing and customer
support functions of the business, will also take charge of the
Premier Car Division in addition to his current responsibilities.

Girish Wagh, head of Small Car Project, will take on the
additional responsibility of the passenger car business'
manufacturing operations and product development activities.

Mr. Dube, who joined the Tata Group in 1983, began his career in
the manufacturing operations of Tata Motors at Jamshedpur. He
joined the Tata Administrative Services in 1990 and was assigned
to Tata Industries in 1991.  He was reassigned to Tata Motors in
1998, when the passenger car division was formed.

                         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
April 21, 2010, Moody's Investors Service upgraded Tata Motors
Ltd's corporate family rating to B2 from B3.  The outlook on the
rating is positive.

This rating action completes the rating review for possible
upgrade initiated on March 2, 2010, when TML announced its
consolidated Q3 FY2010 results.


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


JAPAN AIRLINES: Delays Early Retirement Program For Some Employees
------------------------------------------------------------------
Japan Today reports that sources close to the matter said Japan
Airlines Corp. has decided to delay part of its early retirement
program amid fears that the larger number of applicants than
expected could adversely affect its operations in the busy summer
season.

Source said although employees who have applied were scheduled to
retire by the end of May, the retirement of some of them including
pilots and cabin attendants will be put off until after the
summer, Japan Today relates.

JAL solicited 2,700 applications for the program in March and
received applications from some 3,610 employees including about
160 pilots and around 1,370 cabin attendants.

                       About Japan Airlines

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

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

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

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


JAPAN AIRLINES: Faces Price-Fixing Charges From Aussie Regulator
----------------------------------------------------------------
The Australian Competition and Consumer Commission said it
instituted proceedings in the Federal Court on May 17 against
Japan Airlines International Co., Ltd.

Japan Airlines International Co., Ltd. is the 14th airline to be
the subject of ACCC proceedings for alleged price fixing in the
air cargo industry.

The ACCC alleges that between 2002 and 2006, Japan Airlines
International Co., Ltd. entered into arrangements or
understandings with other international air cargo carriers that
had the purpose or effect of fixing the price of a fuel surcharge
and a security surcharge that were applied to air cargo carried by
them and other airlines.

The competition watchdog alleges that arrangements or
understandings were reached in Singapore, Hong Kong and Japan for
fuel surcharges applied to cargo originating in those countries.
The ACCC also alleges arrangements or understandings were reached
in Singapore and Hong Kong for a security surcharge applied to
cargo originating in those countries.

The ACCC is seeking declarations, injunctive relief, pecuniary
penalties, and costs.

A directions hearing has been set down for June 10, 2010, before
Justice Jacobson in the Federal Court, Sydney.

Proceedings have also been instituted against Singapore Airlines
Cargo Pte Ltd, Cathay Pacific Airways Ltd, Emirates, PT Garuda
Indonesia Ltd, Thai Airways International Public Company Limited,
Korean Air Lines Co. Ltd, Malaysian Airline System Berhad and its
wholly-owned cargo subsidiary Malaysia Airlines Cargo Sdn Bhd and
Air New Zealand Limited.

                       About Japan Airlines

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

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

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

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


SOFTBANK CORP: Suspends Order-Taking For Apple's iPad
-----------------------------------------------------
Softbank Mobile Corp., a mobile phone service unit of Softbank
Corp., has stopped taking orders for Apple Inc.'s iPad tablet
computer due to a worldwide supply shortage, The Japan Times
reports.

According to the report, the suspension came just two days after
the Softbank Mobile started taking orders ahead of the iPad launch
in Japan on May 28 under a partnership with the U.S. computer
maker.

The Japan Times says Softbank Mobile was chosen as Apple's partner
for the iPad sales in Japan as it has been serving as the
exclusive provider of Apple's iPhone in Japan.

It is not known whether Softbank Mobile will resume taking orders,
the report notes.

Apple said it has sold more than 1 million iPad units in the
United States since its debut in April.  The iPad will also be
available on May 28 in eight other countries, including Australia,
Germany and Italy.

Softbank Corp. (TYO:9984) -- http://www.softbank.co.jp/-- is a
Japan-based company that provides digital information services.
The Company has six business segments.  The Mobile Communication
segment provides cellular phone services and sells attached
cellular phone terminals.  The Broadband and Infrastructure
segment provides high-speed Internet access services, Internet
protocol (IP) phone service, and contents.  The Fixed
Communication segment provides transmission services for audio and
data, as well as exclusive line and data center services.  The
Internet Culture segment is engaged in the Internet advertising,
broadband portal and auction businesses.  The Electronic Commerce
(E-Commerce) segment sells personal computers (PCs), peripheral
devices and software for PC use, as well as provides business-to-
business and business-to-customer e-commerce services.  The Others
segment is involved in the broadcasting media, technology service,
media marketing and overseas fund businesses.

                           *     *     *

As reported in the Troubled Company Reporter-Asia Pacific on
April 26, 2010, Standard & Poor's Ratings Services raised its
long-term corporate credit and senior unsecured debt ratings on
Softbank Corp. to 'BB+' from 'BB'.  The upgrade reflects S&P's
expectation to see steady improvement in Softbank's financial risk
profile in coming years, based on: 1) increased stability in
Softbank's earnings base through steady improvements in its
profitability and cash flow generation, and 2) the company's clear
financial policy to improve its debt leverage and credit profile
by reducing its debt.  The outlook on the long-term corporate
credit rating is stable.


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


HYNIX SEMICONDUCTOR: Major Global Banks Backed Out From Bond Deals
------------------------------------------------------------------
Yonhap News Agency, citing a report by Hong Kong-based
FinanceAsia, says that some global banks have withdrawn their
plans to participate in deals to sell convertible bonds issued by
Hynix Semiconductor Inc.

As reported in the Troubled Company Reporter-Asia Pacific on
May 7, 2010, Hynix Semiconductor plans to sell KRW557.9 billion
(US$500 million) worth of convertible bonds in Europe and other
overseas markets sometime this year.  The five-year bond sale is
aimed at securing operational fees and expanding its production
capacity.

Yonhap relates FinanceAsia said financial giants such as Goldman
Sachs, J.P. Morgan and the Bank of America Merrill Lynch, however,
backed away from working on deals for Hynix as bookrunners.

FinanceAsia said Goldman Sachs, the final bank to drop out,
decided to call it quits "supposedly because it didn't feel
comfortable with either the size or the price, or indeed the two
in combination," according to Yonhap.

"While most other issuers are staying on the sidelines, pondering
the continuing volatility in global equity markets, Hynix
Semiconductor pushed through a $500 million convertible bond late
on Tuesday [May 12]," FinanceAsia said.

The participating bookrunners are Credit Suisse and the Royal Bank
of Scotland in addition to the South Korean banks, including Korea
Development Bank, Korea Exchange Bank and Woori Investment &
Securities Co.

                     About Hynix Semiconductor

Hynix Semiconductor Inc. -- http://www.hynix.com/-- is an Icheon,
South Korea-based memory semiconductor supplier offering Dynamic
Random Access Memory chips and Flash memory chips to a wide range
of established international customers.  The Company's shares are
traded on the Korea Stock Exchange, and the Global Depository
shares are listed on the Luxemburg Stock Exchange.

                          *     *     *

As reported in the Troubled Company Reporter-Asia Pacific on
Jan. 27, 2010, Moody's Investors Service changed to stable from
negative the outlook for Hynix Semiconductor Inc's B1 corporate
family and senior unsecured bond ratings.  The rating action has
been prompted by the sharp rebound in the company's operating
performance and improved liquidity profile.

Standard & Poor's Ratings Services, on Nov. 17, 2009, revised to
stable from negative the outlook on its long-term corporate credit
rating on Hynix Semiconductor Inc. following the recovery of the
DRAM market and the company's profitability.  At the same time,
Standard & Poor's affirmed its 'B+' long-term corporate and 'B'
senior unsecured debt ratings on Hynix.


HYUNDAI GROUP: To Ink Financial Restructuring Plan With Creditors
-----------------------------------------------------------------
Bloomberg News, citing Yonhap News Agency, reports that the
Hyundai Group will be asked by creditors to show its commitments
to improving its finances.

The Korean-language news provider said Hyundai and its creditors
will sign an agreement on a financial plan by May 31, according to
Bloomberg News.

The Chosun Ilbo reports that Hyundai Group is likely to sign a
memorandum of understanding with creditors to improve its
financial structure.

The group is struggling as its North Korea tourism projects are on
ice and its main subsidiary Hyundai Merchant Marine is performing
badly, Chosun Ilbo says.

Chosun Ilbo discloses that such MOUs, signed between large
companies at risk of insolvency and creditors are written promises
of intense restructuring and contain a timeline to pay off debts.

                        About Hyundai Group

Hyundai, once South Korea's largest conglomerate, has shrunk to
become a minor player since the Asian financial crisis of 1997
prompted the spin-off of key auto and shipbuilding units.

It now has five firms -- Hyundai Elevator, Hyundai Merchant
Marine, Hyundai Logistics, Hyundai Securities and Hyundai Asan,
which is engaged in inter-Korean projects in North Korea.


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


DXN HOLDINGS: Reaches Settlement with Zapali Enterprise
-------------------------------------------------------
DXN Holdings Bhd said that Zafali Enterprise has withdrawn its
winding up petition against DXN Marketing Sdn. Bhd., a wholly
owned subsidiary of DXN.

The Company said that both parties on May 16, 2010, reached an
amicable settlement whereby DMSB paid MYR180,000 to Zapali
Enterprise  as an agreed settlement.

Zafali Enterprise has filed a winding up petition to the High
Court of Malaya in Penang against DXN Marketing.  Zafali
Enterprise asserts a MYR200,000 claim together with interest at a
rate of 8% per annum calculated from June 11, 2000, until date of
full settlement, together with court cost of MYR7,312 pursuant to
the Judgment obtained on December 3, 2009, in Alor Setar Sessions
Court Summons No: 52-211-00.

                         About DXN Holdings

DXN Holdings Berhad is a Malaysia-based investment holding and
provision of management services company.  The Company operates in
five business segments: multi-level marketing, which is engaged in
the manufacture and sale of health supplements, and other products
on a multi-level marketing basis; property development, which is
engaged in housing developing and contracting; energy, which is
engaged in the manufacture and sale of biodiesel, and other
incidental products; investment holding, which is engaged in
investment holding and provision of management services, and
others, which is engaged in travel agency and tour operation,
information technology consultancy and advisory wholesale and
retail of stationeries, household items, gifts and accessories.
On February 29, 2008, the Company's wholly owned subsidiary, DXN
Land Sdn. Bhd. acquired Bio Synergy Engineering Sdn. Bhd.


GULA PERAK: Classified as Affected Listed Issuer Under PN17
-----------------------------------------------------------
Gula Perak Berhad is now listed as an Amended Practice Note 17
company based on the criteria set by the Bursa Malaysia Securities
Bhd.

According to a disclosure statement with the bourse, Gula Perak
triggered the PN17 listing as the Company was not able to provide
a solvency declaration to Bursa Malaysia.

As a listed Company under the Amended PN17 of the Bursa
Securities, Gula Perak is required to submit a reform plan to
regularize its financial condition.  The plan will be submitted
for approval to the Securities Commission and other relevant
authorities.  In the event the Company fails to comply with all
the provisions of PN 17, Bursa Securities may commence delisting
proceedings against the company.

                          About Gula Perak

Gula Perak Berhad is a Malaysia-based company. The Company is
engaged in construction works, trading in construction materials
and property development. The principal activities of the
subsidiary companies consist of hotel operations and management,
service apartment operations and management and property
development. The Company operates in two segments: Hotel
operations, which the Company owns and operates the Dynasty Hotel,
Kuala Lumpur and Empress Hotel, Sepang, Selangor, and Construction
and property development, which the Company is engaged in
construction and development of industrial properties. Its
subsidiaries include Dynawell Corporation (M) Sdn. Bhd., KSB
Requirements & Rest Sdn. Bhd., Gula Perak Land Sdn. Bhd. and Dyna
Enterprise International Ltd.


LIMAHSOON BERHAD: Appoints Alliance Investment as Adviser
---------------------------------------------------------
Limahsoon Berhad has appointed Alliance Investment Bank Berhad as
adviser for its Proposed Regularization Plan.

Limahsoon Berhad (KUL:LIMAHSN) -- http://www.limahsoon.com/-- is
a Malaysia-based company engaged in investment holding and the
provision of management services to its subsidiaries.  The Company
operates in two business segments: manufacturing of laminated
board, which includes pressure treatment, kiln drying and the
manufacture of laminated boards and mouldings, and sawmilling,
which includes sawmilling of green rubberwood.

Limahsoon Berhad has been classified a Practice Note No. 17
company based on the criteria set by the Bursa Malaysia Securities
Bhd after as the Company defaulted in payment and is unable to
provide a Solvency Declaration to Bursa Securities.


TALAM CORPORATION: Asks Bourse to Uplift Firm From PN17 Status
--------------------------------------------------------------
Talam Corporation Berhad has asked Bursa Malaysia Securities
Berhad for its approval to uplift the Company from the PN17
status.

Talam said the proposals under its Regularization Plan as approved
by the Securities Commission on April 29, 2008, has been completed
upon the listing and quotation of the RCPS, RCSLS-B, RCSLS-C and
RCSLS-D on the Main Board of Bursa Malaysia Securities Berhad on
July 1, 2009.

Talam's proposed divestment program, which did not require the
approval of the Securities Commission, is still on-going.  Talam
had entered into agreements with Menteri Besar Selangor Inc.
through which a portion of the proceeds will be used to make
partial settlement of the Term Loan Facilities granted by TA First
Credit Sdn Bhd and Insas Credit & Leasing Sdn Bhd, respectively.

Talam said its adviser, RHB Investment Bank Berhad, are still
collating the necessary information/documents as requested by
Bursa Securities and expects this to be done by early June 2010.

                         About Talam Corp.

Headquartered in Kuala Lumpur, Malaysia, Talam Corporation
Berhad -- http://www.talam.com.my/-- is principally engaged in
property development.  Its other activities include trading
building materials, manufacturing of ready mixed concrete,
provision for higher educational programs, development and
management of hotel, golf and country club horticulturists,
agriculturists and landscaping designers and contractors and
investment holding.  Operations of the group are carried out in
Malaysia and China.

The Troubled Company Reporter-Asia Pacific reported on
Sept. 11, 2006, that based on the Audited Financial Statements
of Talam Corporation for the financial year ended Jan. 31, 2006,
the auditors Ernst & Young were unable to express their opinion
on the Company's Audited Accounts.  As such, the company is an
affected listed issuer of the Amended Practice Note 17 category.
In accordance with PN 17, the company is required to submit and
implement a plan to regularize its financial condition.


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


AIR NEW ZEALAND: Faces Price Fixing Charges From ACCC
-----------------------------------------------------
The Australian Competition and Consumer Commission instituted
proceedings in the Federal Court against Air New Zealand Ltd on
May 17.  Air New Zealand Ltd is the 15th airline to be the subject
of ACCC proceedings for alleged price fixing in the air cargo
industry.

The ACCC alleges that between 2002 and 2006, Air New Zealand Ltd
entered into arrangements or understandings with other
international air cargo carriers that had the purpose or effect of
fixing the price of a fuel surcharge and a security surcharge that
were applied to air cargo carried by them and other airlines.

The competition watchdog alleges that arrangements or
understandings were reached in Singapore, Hong Kong and Japan for
fuel surcharges applied to cargo originating in those countries.
The ACCC also alleges arrangements or understandings were reached
in Singapore and Hong Kong for a security surcharge applied to
cargo originating in those countries.

The ACCC is seeking declarations, injunctive relief, pecuniary
penalties, and costs.

A directions hearing has been set down for June 10, 2010, before
Justice Jacobson in the Federal Court, Sydney.

Proceedings have also been instituted against Singapore Airlines
Cargo Pte Ltd, Cathay Pacific Airways Ltd, Emirates, PT Garuda
Indonesia Ltd, Thai Airways International Public Company Limited,
Korean Air Lines Co. Ltd, Malaysian Airline System Berhad and its
wholly-owned cargo subsidiary Malaysia Airlines Cargo Sdn Bhd and
Japan Airlines International Co., Ltd.

                        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.


DORCHESTER PACIFIC: Capital Reconstruction Plan Finalized
---------------------------------------------------------
Dorchester Pacific Ltd said it is awaiting final confirmation from
its trustee Perpetual Trust so that its capital reconstruction
plan can be put to Debenture holders.  If the plan is approved
Dorchester Finance will be out of Moratorium by July 1.

Dorchester Pacific said it has finalized its capital
reconstruction plan.  The company has been working closely with
the Trustees and their independent advisors since March 10.  The
Plan and an Independent Report from PWC are now with the Trustees
Perpetual Trust and the Public Trust.

"Dorchester believes that the relevant documents should be able to
be mailed out to investors around the May 26 and that an Investor
Meeting should be able to take place on June 17, 2010," Dorchester
said.  "Whether that timetable can be met depends on how long it
takes to get final confirmation from Perpetual Trust.  A number of
Investor Roadshows will be held around the country before the
formal Meeting."

The structure of the Plan is in line with earlier announcements,
although one important requirement, repayment of 50 cents in the
dollar to Debentureholders, has already been achieved.

Dorchester said four securities will be issued to Debentureholders
in exchange for their outstanding Debenture Stock:

   (a) Units in a Property Trust which will hold $33 million of
       hotel properties;

   (b) Interest Bearing Secured Notes ($20 million in total);

   (c) 36.5 million shares in Dorchester Pacific, the same number
       as currently on issue, and so representing 50% ownership
       prior to any further capital raising; and

   (d) Options to purchase Dorchester Pacific Shares in 3 years
       at a set price.

The Plan is conditional on Dorchester Pacific raising a minimum
of NZ$8 million new capital from a proposed rights issue of
NZ$10 million (100 million shares at 10 cents per share).  It is
also conditional on shareholder approval and subordinated
noteholder approval.

"The delay in getting the proposal to this stage has been
frustrating for everyone and we apologise to investors for the
uncertainty that this may have created," Executive Director Paul
Byrnes said.

"But, if the Plan is approved and the capital raising successfully
completed the Board believes that there is every possibility that
Debenture Stockholders could ultimately receive 100 cents or more
in the dollar of their original Debenture Stock," Mr. Byrnes
added.

                     About Dorchester Pacific

Headquartered in Auckland, New Zealand, Dorchester Pacific
Limited (NZE:DPC)-- http://www.dorchester.co.nz--is a financial
solutions provider, offering complementary products and services
across finance, insurance, savings and investments.  The Finance
division provides investment opportunities through secured
debenture stock and subordinated unsecured notes, and financing
solutions for the property, business, equipment, motor vehicle
and personal finance sectors.  Its insurance and savings
division provides a range of savings, life insurance, reverse
annuity mortgages, home equity release loans and other financial
products and services.  The Investment Service division includes
equity investment advisers and sharebrokers, MoneyOnline and NZ
Investor Magazine, which provide professional, independent
investment advice, sharebroking and financial planning services.
Dorchester Pacific holds a 25% shareholding in St. Laurence
Limited, the holding company for a property-based investment and
finance group of companies, which manages assets for over 16,000
investors.

                           *     *     *

Dorchester Pacific disclosed a proposal for an early end of
the Deferred Repayment Plan approved by Debentureholders and
Noteholders in December 2008.  The proposal is recognition of the
changed circumstances since the Deferred Repayment Plan was
approved and of the need to achieve a settlement which would
ensure the best outcome for investors under these changed
circumstances.  The proposal has been put to Trustees for their
consideration prior to being sent to investors.  The proposal
includes a NZ$10 million capital raising to support a restructured
Dorchester.

"A restructuring and recapitalization proposal which will achieve
full settlement with investors and take Dorchester out of
Moratorium has been developed and presented to Trustees for their
Consideration," Dorchester said December 18.

Dorchester Pacific reported a net loss of NZ$25.4 million in the
year to March 31, 2009, compared to a NZ$18.1 million loss in the
previous year.  Net revenue of NZ$24.6 million was significantly
down on 2008 net revenue of NZ$64.4 million.


MERCER GROUP: Breaches Bank Covenant; Mulls Refinancing Options
---------------------------------------------------------------
Mercer Group said it is considering a number of refinancing
options after breaching its banking covenant.

The company said in a regulatory filing that it has been advised
by its bank that it is in breach of its interest cover covenant.
The covenant is that earnings are to be no less than 2.25 times
the funding costs for the 6 month period ending December 31, 2009.
The actual achieved ratio was 1.9 times.  The bank has advised
that it reserves its rights in respect of the breach.

The Company said it subsequently drew down $1.5 million from
Gresham Finance Limited as authorized by its shareholders at the
Annual General Meeting held on November 24, 2009.  The funds have
been used to reduce bank debt as previously agreed.  Principal
payments to non bank lenders are on hold.  Interest payments are
being made in compliance with loan agreements.

Established in 1882, Mercer Group designs, makes and distributes
stainless steel products for the industrial, dairy, commercial,
food processing, healthcare and residential buildings industries.
The Mercer group of companies are subsidiaries of the New Zealand
listed company Broadway Industries Limited (NZE:BWY).


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


OLYMPIC SHIPPING: Members' Final Meeting Set for June 17
--------------------------------------------------------
Members of Olympic Shipping Pte Ltd will hold their final meeting
on June 17, 2010, at 10:30 a.m., at 8 Wilkie Road, #03-08, Wilkie
Edge, Singapore 228095.

At the meeting, Chee Yoh Chuang and Lim Lee Meng, the company's
liquidators, will give a report on the company's wind-up
proceedings and property disposal.


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


* S&P Puts Ratings on 4 CDO Tranches on CreditWatch Positive
------------------------------------------------------------
Standard & Poor's Ratings Services placed the ratings on four
Asia-Pacific (excluding Japan) collateralized debt obligation
(CDO) tranches on CreditWatch with positive implications.  At the
same time, the rating on one collateralized loan obligation (CLO)
tranche was placed on CreditWatch negative.

"To assess the creditworthiness of each class, we reviewed the
credit quality of the securitized assets using the synthetic rated
overcollateralization (SROC) scores and results from supplemental
tests.  These results measure the degree by which the credit
enhancement of a tranche exceeds the stressed loss rate assumed
for a given rating scenario."

"The tranches that were placed on CreditWatch positive had SROC
scores greater than 100% at the current rating level and at a
higher rating level (based on the maximum of the scenario loss
rate (SLR), largest obligor test, and largest industry test). SROC
scores rising above 100% reflect an improvement in the credit
quality of the underlying portfolio.  The swap-risk rating on
AsiaMea CLO Mezz CDS1 was placed on CreditWatch negative as its
SROC fell below 100% as at the end of April 2010."

Transaction                      Rating To          Rating From
Zenesis SPC Series 2005-3        A-/Watch Pos       A-
Zenesis SPC Series 2005-4        A-/Watch Pos       A-
Castle Finance I Ltd. Series 1   B-/Watch Pos       B-
Zenesis SPC Series 2006-1        BB+/Watch Pos      BB+
AsiaMea CLO Mezz CDS 1           AA-srp/Watch Neg   AA-srp


* BOND PRICING: For the Week May 10 to May 14, 2010
---------------------------------------------------


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

  AUSTRALIA
  ---------

ADVANCED ENERGY          9.50    01/04/2015   AUD       1.05
AINSWORTH GAME           8.00    12/31/2011   AUD       0.86
AMP GROUP FINANC         9.80    04/01/2019   NZD       0.95
ANTARES ENERGY          10.00    10/31/2013   AUD       2.01
AUROX RESOURCES          7.00    06/30/2010   AUD       0.95
BECTON PROP GR           9.50    06/30/2010   AUD       0.31
CBD ENERGY LTD          12.50    01/29/2011   AUD       0.15
CHINA CENTURY           12.00    09/30/2010   AUD       0.75
COM BK AUSTRALIA         5.00    10/15/2019   AUD      69.08
FIRST AUSTRALIAN        15.00    01/31/2012   AUD       0.41
GRIFFIN COAL MIN         9.50    12/01/2016   USD      65.00
HEEMSKIRK CONSOL         8.00    04/29/2011   AUD       2.24
JPM AU ENF NOM 1         3.50    06/30/2010   USD       6.83
MINERALS CORP           10.50    09/30/2011   AUD       0.26
NEW S WALES TREA         1.00    09/02/2019   AUD      64.32
PRAECO P/L               7.13    07/28/2020   AUD      72.24
RESOLUTE MINING         12.00    12/31/2012   AUD       1.22
SUN RESOURCES NL        12.00    06/30/2011   AUD       0.45


  HONG KONG
  ---------

RESPARCS FUNDING         8.00    12/29/2049   USD      39.50


  INDIA
  -----

AFTEK INFOSYS            1.00    06/25/2010   USD      70.00
GEMINI COMMUNICATION     6.00    07/18/2012   EUR      66.75


  INDONESIA
  ---------
TRUBA JAYA              11.75    07/08/2010   IDR      66.50


  JAPAN
  -----

AIFUL CORP               1.20    01/26/2012   JPY      73.71
AIFUL CORP               1.99    03/23/2012   JPY      70.86
AIFUL CORP               1.22    04/20/2012   JPY      69.93
AIFUL CORP               1.63    11/22/2012   JPY      62.02
AIFUL CORP               1.74    05/28/2013   JPY      55.83
AIFUL CORP               1.99    10/19/2015   JPY      44.65
COVALENT MATERIALS       2.87    02/18/2013   JPY      73.57
JPN EXP HLD/DEBT         0.50    09/17/2038   JPY      58.64
JPN EXP HLD/DEBT         0.50    03/18/2039   JPY      58.45
JPN HOUSING FIN          1.40    03/19/2020   JPY      21.61
NIS GROUP                8.06    06/20/2012   USD      42.12
TAKEFUJI CORP            9.20    04/15/2011   USD      70.62
TAKEFUJI CORP            9.20    04/15/2011   USD      70.62
TAKEFUJI CORP            4.00    06/05/2022   JPY      52.72


  MALAYSIA
  --------

ADVANCED SYNERY          2.00    01/26/2018   MYR       0.07
ALIRAN IHSAN RES         5.00    11/29/2011   MYR       1.11
CRESENDO CORP B          3.75    01/11/2016   MYR       1.02
DUTALAND BHD             6.00    04/11/2013   MYR       0.32
DUTALAND BHD             6.00    04/11/2013   MYR       0.32
EASTERN & ORIENT         8.00    07/25/2011   MYR       0.96
EASTERN & ORIENT         8.00    11/16/2019   MYR       0.95
KRETAM HOLDINGS          1.00    08/10/2010   MYR       1.25
KUMPULAN JETSON          5.00    11/27/2012   MYR       1.70
MITHRIL BHD              3.00    04/05/2012   MYR       0.67
NAM FATT CORP            2.00    06/24/2011   MYR       0.09
OLYMPIA INDUSTRI         2.80    04/11/2013   MYR       0.22
OLYMPIA INDUSTRI         6.00    04/11/2013   MYR       0.51
OLYMPIA INDUSTRI         6.00    04/11/2013   MYR       0.27
PUNCAK NIAGA HLD         2.50    11/18/2016   MYR       0.63
REDTONE INTL             2.75    03/04/2020   MYR       0.07
RUBBEREX CORP            4.00    08/14/2012   MYR       1.25
SCOMI ENGINEERING        4.00    03/19/2013   MYR       1.11
SCOMI GROUP              4.00    03/19/2013   MYR       0.11
TRADEWINDS PLANT         2.00    02/08/2012   MYR       0.70
TRADEWINDS PLANT         3.00    02/28/2016   MYR       1.10
TRC SYNERGY              5.00    01/20/2012   MYR       0.98
WAH SEONG CORP           3.00    05/21/2012   MYR       2.21
WIJAYA BARU GLOB         7.00    09/17/2012   MYR       0.31
YTL CEMENT BHD           5.00    11/10/2015   MYR       2.01


NEW ZEALAND
-----------

ALLIED FARMERS           9.60    11/15/2011   NZD      49.46
ALLIED NATIONWIDE       11.52    12/29/2049   NZD      20.50
CONTACT ENERGY           8.00    05/15/2014   NZD       1.03
FLETCHER BUI             8.50    03/15/2015   NZD       8.00
FLETCHER BUI             7.55    03/15/2011   NZD       6.90
GMT BOND ISSUER          7.75    06/19/2015   NZD       0.11
INFRATIL LTD             8.50    11/15/2015   NZD       8.50
INFRATIL LTD             8.50    11/15/2015   NZD      11.00
INFRATIL LTD            10.18    12/29/2049   NZD      66.00
KIWI INCOME PROP         8.95    12/20/2014   NZD       1.35
MANUKAU CITY             6.15    09/15/2013   NZD       1.00
MANUKAU CITY             6.90    09/15/2015   NZD       1.01
MARAC FINANCE           10.50    07/15/2013   NZD       0.91
SKY NETWORK TV           4.01    10/16/2016   NZD      57.03
SOUTH CANTERBURY        10.50    06/15/2011   NZD       1.01
SOUTH CANTERBURY        10.43    12/15/2012   NZD       0.53
ST LAURENCE PROP         9.25    07/15/2010   NZD      41.69
TOWER CAPITAL            8.50    04/15/2014   NZD       1.02
TRUSTPOWER LTD           8.50    09/15/2012   NZD       7.05
TRUSTPOWER LTD           8.50    03/15/2014   NZD       7.00
TRUSTPOWER LTD           7.60    12/15/2014   NZD       1.00
TRUSTPOWER LTD           8.60    12/15/2016   NZD       1.00
UNI OF CANTERBUR         7.25    12/15/2019   NZD       1.02
VECTOR LTD               7.80    10/15/2014   NZD       1.00
VECTOR LTD               8.00    12/29/2049   NZD       7.10


SINGAPORE
---------

BLUE OCEAN              11.00    06/28/2012   USD      36.00
SENGKANG MALL            8.00    11/20/2012   SGD       0.50
SENGKANG MALL            4.88    11/20/2012   SGD       0.50
UNITED ENG LTD           1.00    03/03/2014   SGD       1.60
WBL CORPORATION          2.50    06/10/2014   SGD       2.06


SOUTH KOREA
-----------

DAEWOO MTR SALES         6.55    03/17/2011   KRW      71.29
DAEWOO MTR SALES         5.88    06/21/2012   KRW      60.53
ILKYUNG CO               6.00    09/07/2012   KRW      70.49

SRI LANKA
---------

SRI LANKA GOVT           7.00    10/01/2023   LKR      70.94


THAILAND
--------

THAILAND GOVT            0.75    01/04/2022   THB      71.35


                         *********

Tuesday's edition of the TCR-AP delivers a list of indicative
prices for bond issues that reportedly trade well below par.
Prices are obtained by TCR-AP editors from a variety of outside
sources during the prior week we think are reliable.   Those
sources may not, however, be complete or accurate.  The Tuesday
Bond Pricing table is compiled on the Friday prior to
publication.  Prices reported are not intended to reflect actual
trades.  Prices for actual trades are probably different.  Our
objective is to share information, not make markets in publicly
traded securities.  Nothing in the TCR-AP constitutes an offer
or solicitation to buy or sell any security of any kind.  It is
likely that some entity affiliated with a TCR-AP editor holds
some position in the issuers' public debt and equity securities
about which we report.

A list of Meetings, Conferences and Seminars appears in each
Wednesday's edition of the TCR-AP. Submissions about insolvency-
related conferences are encouraged.  Send announcements to
conferences@bankrupt.com

Friday's edition of the TCR-AP features a list of companies with
insolvent balance sheets obtained by our editors based on the
latest balance sheets publicly available a day prior to
publication.  At first glance, this list may look like the
definitive compilation of stocks that are ideal to sell short.
Don't be fooled.  Assets, for example, reported at historical
cost net of depreciation may understate the true value of a
firm's assets.  A company may establish reserves on its balance
sheet for liabilities that may never materialize.  The prices at
which equity securities trade in public market are determined by
more than a balance sheet solvency test.


                            *********


S U B S C R I P T I O N   I N F O R M A T I O N

Troubled Company Reporter-Asia Pacific is a daily newsletter co-
published by Bankruptcy Creditors' Service, Inc., Fairless
Hills, Pennsylvania, USA, and Beard Group, Inc., Frederick,
Maryland, USA.  Valerie C. Udtuhan, Marites O. Claro,
Rousel Elaine T. Fernandez, Joy A. Agravante, Frauline S. Abangan,
and Peter A. Chapman, Editors.

Copyright 2010.  All rights reserved.  ISSN: 1520-9482.

This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding,
electronic re-mailing and photocopying) is strictly prohibited
without prior written permission of the publishers.
Information contained herein is obtained from sources believed
to be reliable, but is not guaranteed.

TCR-AP subscription rate is US$625 for 6 months delivered via e-
mail.  Additional e-mail subscriptions for members of the same
firm for the term of the initial subscription or balance
thereof are US$25 each.  For subscription information, contact
Christopher Beard at 240/629-3300.





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