/raid1/www/Hosts/bankrupt/TCRAP_Public/100528.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
Friday, May 28, 2010, Vol. 13, No. 104
Headlines
A U S T R A L I A
A.B.C. LEARNING: Files for Creditor Protection in the U.S.
A.B.C. LEARNING: Chapter 15 Case Summary
ACCOMMODATION 1: eBay Australia Sets Up Special Fund
FORSYTH BARR: Fitch Assigns 'BB' Issuer Default Rating
GRIFFIN COAL: Administrator Seeks Extra Funds From Investors
STORM FINANCIAL: Court Orders BoQ to Disclose Lending Documents
STORM FINANCIAL: Guilty of Insolvent Trading, Liquidators Conclude
H O N G K O N G
CLUB REGENCY: Court Enters Wind-Up Order
ETERNITY GOLD: Members' Final General Meeting Set for June 30
ETERNITY GOLD INDUSTRIAL: Members' Final Meeting Set for June 30
EURO AUTO: Court Enters Wind-Up Order
EUROTEK METAL: Court Enters Wind-Up Order
FUNG'S INTERNATIONAL: Court Enters Wind-Up Order
FYM INTERNATIONAL: Court to Hear Wind-Up Petition on June 23
GOLDEN BRIGHT: Members' Final Meeting Set for June 30
GOLDWAY (HK): Court Enters Wind-Up Order
HK CAPITAL: Members' Final Meeting Set for June 23
HK TRANSPORTATION: Members' Final Meeting Set for June 23
INGREDIENTS MATTER: Members' Final Meeting Set for June 21
KONG FAI: Court Enters Wind-Up Order
JET BILLION: Members and Creditors' Meeting Set for June 3
STEADYLINE LIMITED: Final Meetings Set for June 24
TOTTORI SANYO: Lam and Boswell Step Down as Liquidators
VICTORY BRILLIANT: Members and Creditors' Meetings Set for June 24
VICTORY DYEING: Members' and Creditors Meetings Set for June 1
WATCHER INVESTMENTS: Final Meetings Set for June 24
WEETECK LIMITED: Creditors and Members' Meetings Set for June 23
I N D I A
AARTI INFRA-PROJECTS: ICRA Puts 'LBB' Rating on INR350MM LT Loan
EASTERN STEELS: ICRA Puts 'LBB-' Rating on INR455.1MM Term Loans
EUREKA TILES: CRISIL Reaffirms Default Ratings on Various Debts
JAWAHAR SHETKARI: CRISIL Cuts Rating on INR382MM Term Loan to 'D'
JHAGADIA COPPER: Faces Wind Up Petition by Royal Bank of Scotland
K.V. JOSEPH: CRISIL Assigns 'BB+' Rating on INR32.5MM Term Loan
MANGALAM TIMBER: ICRA Places 'LB+' Rating on INR80MM Term Loan
ORION CONMERX: CRISIL Rates INR25.0 Million Term Loan at 'B+'
PROGRESSIVE CIVIL: ICRA Reaffirms 'LBB+' Rating on Term Loans
RAMA AGRO: CRISIL Reaffirms Default Rating on INR43.2MM Term Loan
RAJIV PETROCHEMICALS: CRISIL Rates INR108.5MM Bank Debt at 'BB-'
SALET SEAFOODS: CRISIL Reaffirms 'B+' Rating on INR4.0MM Term Loan
SAV STEELS: CRISIL Rates INR280 Million Cash Credit at 'BB'
SPECIALITY PAPERS: CRISIL Assigns 'D' Rating on INR30MM Term Loan
SUBHASH KABINI: ICRA Assigns 'LB+' Rating on INR252.9MM Term Loan
THOPPIL CONSTRUCTIONS: CRISIL Puts 'B+' Rating on INR50MM Credit
J A P A N
GODO KAISHA: S&P Downgrades Ratings on Various Floating Notes
JAPAN AIRLINES: Receives Overwhelming Early Retirement Responses
JAPAN AIRLINES: Seeks August Extension of Plan Deadline
M A L A Y S I A
RANHILL BERHAD: Warisan Files Wind-Up Petition Against Unit
N E W Z E A L A N D
CRAFAR FARMS: Owes Councils Up to NZ$200,000 Unpaid Fines
CRAFAR FARMS: Landcorp May Bid For 16 Farms
DORCHESTER PACIFIC: Major Shareholders May Back Rights Issue
P H I L I P P I N E S
PHILIPPINE AIRLINES: Defers Plan to Outsource 3,000 Jobs
S I N G A P O R E
ASSOCIATED DEVELOPMENT: Nine Properties Put Under Liquidation Sale
X X X X X X X X
* Large Companies with Insolvent Balance Sheets
- - - - -
=================
A U S T R A L I A
=================
A.B.C. LEARNING: Files for Creditor Protection in the U.S.
----------------------------------------------------------
ABC Developmental Learning Centres Pty. Ltd. has sought bankruptcy
protection from creditors in the U.S. after initiating similar
proceedings in Australia.
The Company filed its Chapter 15 petition in Wilmington Delaware,
(Bankr. D. Del. Case No. 10-11711). Joel A. Waite, Esq., at
Young, Conaway, Stargatt & Taylor, represents the Debtor in the
Chapter 15 case. ABC listed debts and assets of $100 million to
$500 million.
An affiliate, A.B.C. USA Holdings Pty Ltd., filed a separate
Chapter 15 petition, also listing assets and debts of at least
$100 million.
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. 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.
A.B.C. LEARNING: Chapter 15 Case Summary
----------------------------------------
Chapter 15 Petitioner: Peter Walker
Chapter 15 Debtor: A.B.C. Learning Centres Limited (Administrators
appointed)(Receivers and Managers appointed)
43 Metroplex Avenue
Murarrie, Queensland 4172
Australia
Chapter 15 Case No.: 10-11711
Type of Business: The Debtor is an Australian company that
provides child care services. They operate in
Australia, New Zealand, United Kingdom and
United States.
Chapter 15 Petition Date: May 26, 2010
Court: U.S. Bankruptcy Court
District of Delaware (Delaware)
Judge: Kevin Gross
Debtor's Counsel: Joel A. Waite, Esq.
Young, Conaway, Stargatt & Taylor
The Brandywine Building
1000 West Street, 17th Floor
P.O. Box 391
Wilmington, DE 19899-0391
Tel: (302) 571-6600
Fax: (302) 571-0453
E-mail: bankfilings@ycst.com
Estimated Assets: More than $100,000,000
Estimated Debts: More than $100,000,000
The Debtor did not file its list of largest unsecured creditors
when it filed its petition.
Debtor-affiliates filing separate Chapter 15 petition:
Entity Case No. Petition Date
------ -------- -------------
A.B.C USA holdings Pty Limited 10-11712 05/26/10
(Administrators appointed)(Receivers
and Managers appointed)
Assets: More than $100,000,000
Debts: More than $100,000,000
ACCOMMODATION 1: eBay Australia Sets Up Special Fund
----------------------------------------------------
Patrick Stafford at Smart Company reports that auction site eBay
Australia will set up a special fund to help holiday makers caught
in the collapse of Accommodation 1 Pty Ltd.
Accommodation 1 was placed in liquidation on May 19, 2010. Jason
Bettles of Worrells Insolvency was appointed as liquidator.
Smart Company says the company's collapse has hit 2,100 customers
who booked accommodation in Gold Coast hotels including Circle on
Cavill, the Q1 and Chevron Renaissance.
Accommodation 1 sold through two sites: ourholiday.com.au and
Gifts2U.com.au, which operated on eBay.
The report relates the auction site has been flooded with comments
from angry buyers, who must now chase refunds through PayPal,
their credit card companies or their travel insurance.
Accommodation 1 Pty Ltd is a Gold Coast-based online travel
company.
FORSYTH BARR: Fitch Assigns 'BB' Issuer Default Rating
------------------------------------------------------
Fitch Ratings has assigned Forsyth Barr Cash Management Limited
foreign and local currency ratings:
-- Long-term foreign currency Issuer Default Rating: 'BB';
Outlook Stable;
-- Long-term local currency IDR: 'BB'; Outlook Stable;
-- Short-term foreign currency IDR: 'B';
-- Short-term local currency IDR: 'B';
-- Individual: 'C/D';
-- Support: '3'; and
-- Support Rating Floor: 'No Floor'.
In order to comply with legislation for non-bank deposit takers in
New Zealand, FBCML requires a Long-term local currency IDR.
Support is a key driver for the Long- and Short-term ratings of
FBCML, reflecting strong linkages between it and Forsyth Barr
Group Limited. While FBG is not the legal owner of FBCML, the two
companies share common directors, as well as extensive operational
interaction and financial links. Support Ratings are Fitch's
assessment of a potential supporter's, in this case FBG's,
propensity and ability to support a financial institution.
FBCML is a specialist investment advisory and funds management
company, which is a division, but not a subsidiary, of FBG. FBCML
derives fee and net interest income in its role as a cash manager,
and its investments are restricted to highly-rated, short-term
securities, which are reasonably well diversified. Funds are
invested in two ways: NZD-denominated funds are invested in money
market instruments held by Forsyth Barr Cash Management Trust,
while foreign currency denominated funds are invested in debt
securities issued by FBCML, which are in turn matched to money
market instruments.
Financial performance has been consistently sound, although FBCML
retains little by way of profit or equity due to its strong ties
with FBG. Nonetheless, the low risk nature of FBCML's activities
suggests that it is unlikely to require material support if ever
it were to get into difficulty.
Fitch's analysis of FBCML does not directly address any risk other
than credit risk, and its IDRs are not directly comparable to Fund
ratings. In particular, IDRs do not deal with the risk of a
market value loss or gain on a rated security due to changes in
interest rates, liquidity or other market considerations.
GRIFFIN COAL: Administrator Seeks Extra Funds From Investors
------------------------------------------------------------
The administrator of Griffin Coal is approaching bondholders for
extra money before selling the group's power and coal assets,
according to The Age.
The Age says administrator KordaMentha also expects to open a data
room in the next few weeks for the company's stake in the
$180 million Emu Downs wind farm. According to the Age,
KordaMentha's Brian McMaster said it planned to raise extra funds
from the investors, but the amount was confidential.
The Age notes that it has been reported that US investor
Clearwater -- owed U$S55 million (AU$67.5 million) by Griffin --
may take an equity stake in Griffin coalmining.
According to the report, the bid to raise funds comes amid a
recapitalization and sales process for Emu Downs, the Bluewaters
power stations, and its coalmining assets.
The Age relates Mr. McMaster said the Emu Downs data room would
probably open first because it was the simplest of Griffin's
assets. There had been expressions of interest from potential
bidders, he added.
About Griffin Coal
Based in Australia, The Griffin Coal Mining Company Pty Ltd --
http://www.griffincoal.com.au/-- is engaged in coal mining and
processing. Griffin Coal operates major mines in the Collie area,
approximately 220 kilometers south east of Perth. The Company is
producing more than three million tons of coal per year. Griffin
Coal has operations at Ewington Mine, Muja Mine and Buckingham
Mine.
* * *
As reported by the Troubled Company Reporter-Asia Pacific on
January 4, 2010, Griffin Coal Mining Co. appointed Kordamentha as
Administrator. The coal supplier defaulted on an interest payment
in December 2009 to bondholders owed US$475 million and also
missed a payment to Australia's tax authority.
STORM FINANCIAL: Court Orders BoQ to Disclose Lending Documents
---------------------------------------------------------------
The Supreme Court of Queensland has ordered the Bank of Queensland
to disclose documents relating to its lending practices in two
branches at the centre of legal action over the collapse of Storm
Financial, The Sydney Morning Herald reports.
SMH says the documents relate to its own reviews of its lending
procedures at the Kirwan and North Ward branches in Townsville,
before the failure of the financial planning company. The bank
had previously refused to disclose the documents and claimed were
irrelevant, the report notes.
The report adds that the documents being sought include fraud and
financial crime reports, compliance checks, audit reports and
operational risk reports.
According to SMH, Ben Hardwick, from law firm Slater & Gordon,
said the documents may provide valuable insights into what the
bank knew about the Storm investment model and what Storm advisers
were telling clients. "These documents may be relevant to the
bank's compliance with its own lending procedures and its state of
knowledge in relation to Storm's investment model," the report
cited Mr. Hardwick as saying in a statement. Mr. Hardwick said
the documents may also form part of the case against the bank
being run by Slater & Gordon on behalf of Helen Rubin, which was
filed in the Supreme Court in August 2009, according to SMH.
About Storm Financial
Storm Financial Limited -- http://www.stormfinancial.com.au/--
operates in the Australian wealth management industry. The
company manages over one trillion dollars in investment fund
assets for over nine million investors, distributed through
investment administration providers and financial adviser. The
funds are invested through different investment products and
structures, including superannuation, nonsuperannuation managed
funds and life insurance products. Non-superannuation managed
funds, which form the majority of Storm's products, total
approximately 26.5% of total investment fund assets in Australia,
as of June 30, 2007.
* * *
As reported in the Troubled Company Reporter-Asia Pacific on
Jan. 14, 2009, Storm Financial appointed Worrells Solvency &
Forensic Accountants as voluntary administrators after the
Commonwealth Bank of Australia demanded debt repayment of around
AU$20 million.
Storm later closed its business and fired all of its 115 staff.
The closure, the company's administrators said, was due to the
significant reduction in Storm's income resulting in trading
losses being incurred "at a rate which the company could no longer
absorb."
The TCR-AP reported on Jan. 22, 2009, that the CBA, Storm's
largest creditor, lodged a AU$27.09 million debt claim at a first
meeting of the company's creditors on January 20. The group's
remaining creditors are owed AU$51 million, plus a provision for
dividends of AU$10 million.
On March 27, 2009, the TCR-AP reported that the Australian
Securities and Investments Commission won its bid to liquidate
Storm Financial Group after the Federal Court ruled that the
Company be wound up. Federal court Justice John Logan appointed
Ivor Worrell and Raj Khatri of Worrells Solvency and Forensic
Accountants as liquidators for the Company.
STORM FINANCIAL: Guilty of Insolvent Trading, Liquidators Conclude
------------------------------------------------------------------
Storm Financial's liquidators have concluded that the company
traded while insolvent and they will try to claw back a loan of
almost AU$450,000 repaid to Westpac before its collapse, Anthony
Marx at The Courier-Mail reports.
The Courier-Mail relates liquidators Raj Khatri and Ivor Worrell
of Worrells Solvency said in a report to creditors released
Wednesday they had identified "a number of insolvent transactions"
and recovered AU$423,115 in preference payments. The liquidators
said they obtained another AU$32,100 by voiding transactions.
The liquidators noted that the only unresolved voidable transfer
of funds was a AU$444,711 loan repayment to Westpac on
December 22, 2008, less than a month before Storm called in
administrators, the Courier-Mail says.
According to Courier-Mail, the liquidators' report said the loan,
which had been guaranteed by Storm founders Emmanuel and Julie
Cassimatis, "will be the subject of ongoing action by the
liquidators."
Creditors owed more than $100 million will almost certainly
retrieve nothing from the wreckage because the biggest secured
creditor, Commonwealth Bank, is not expected to recover all of the
$27 million it is owed, the report stated.
About Storm Financial
Storm Financial Limited -- http://www.stormfinancial.com.au/--
operates in the Australian wealth management industry. The
company manages over one trillion dollars in investment fund
assets for over nine million investors, distributed through
investment administration providers and financial adviser. The
funds are invested through different investment products and
structures, including superannuation, nonsuperannuation managed
funds and life insurance products. Non-superannuation managed
funds, which form the majority of Storm's products, total
approximately 26.5% of total investment fund assets in Australia,
as of June 30, 2007.
* * *
As reported in the Troubled Company Reporter-Asia Pacific on
Jan. 14, 2009, Storm Financial appointed Worrells Solvency &
Forensic Accountants as voluntary administrators after the
Commonwealth Bank of Australia demanded debt repayment of around
AU$20 million.
Storm later closed its business and fired all of its 115 staff.
The closure, the company's administrators said, was due to the
significant reduction in Storm's income resulting in trading
losses being incurred "at a rate which the company could no longer
absorb."
The TCR-AP reported on Jan. 22, 2009, that the CBA, Storm's
largest creditor, lodged a AU$27.09 million debt claim at a first
meeting of the company's creditors on January 20. The group's
remaining creditors are owed AU$51 million, plus a provision for
dividends of AU$10 million.
On March 27, 2009, the TCR-AP reported that the Australian
Securities and Investments Commission won its bid to liquidate
Storm Financial Group after the Federal Court ruled that the
Company be wound up. Federal court Justice John Logan appointed
Ivor Worrell and Raj Khatri of Worrells Solvency and Forensic
Accountants as liquidators for the Company.
================
H O N G K O N G
================
CLUB REGENCY: Court Enters Wind-Up Order
----------------------------------------
The High Court of Hong Kong entered an order on May 12, 2010, to
wind up the operations of Club Regency Limited.
The official receiver is E T O'Connell.
ETERNITY GOLD: Members' Final General Meeting Set for June 30
-------------------------------------------------------------
Members of Eternity Gold Holdings Limited will hold their final
general meeting on June 30, 2010, at 9:00 a.m., at Unit 201, 2/F.,
Malaysia Building, 50 Gloucester Road, Wanchai, in Hong Kong.
At the meeting, Chiu Wai Hon, the company's liquidator, will give
a report on the company's wind-up proceedings and property
disposal.
ETERNITY GOLD INDUSTRIAL: Members' Final Meeting Set for June 30
----------------------------------------------------------------
Members of Eternity Gold Industrial (HK) Limited will hold their
final general meeting on June 30, 2010, at 9:30 a.m., at Unit 201,
2/F., Malaysia Building, 50 Gloucester Road, Wanchai, in Hong
Kong.
At the meeting, Chiu Wai Hon, the company's liquidator, will give
a report on the company's wind-up proceedings and property
disposal.
EURO AUTO: Court Enters Wind-Up Order
-------------------------------------
The High Court of Hong Kong entered an order on May 12, 2010, to
wind up the operations of Euro Auto Company Limited.
The official receiver is E T O'Connell.
EUROTEK METAL: Court Enters Wind-Up Order
-----------------------------------------
The High Court of Hong Kong entered an order on May 12, 2010, to
wind up the operations of Eurotek Metal Company Limited.
The official receiver is E T O'Connell.
FUNG'S INTERNATIONAL: Court Enters Wind-Up Order
------------------------------------------------
The High Court of Hong Kong entered an order on May 12, 2010, to
wind up the operations of Fung's International Company Limited.
The official receiver is E T O'Connell.
FYM INTERNATIONAL: Court to Hear Wind-Up Petition on June 23
------------------------------------------------------------
A petition to wind up the operations of FYM International
Automobile Company Limited will be heard before the High Court of
Hong Kong on June 23, 2010, at 9:30 a.m.
DBS Bank (Hong Kong) Limited filed the petition against the
company on April 15, 2010.
The Petitioner's solicitors are:
Mayer Brown JSM
18th Floor, Prince's Building
10 Chater Road
Central, Hong Kong
GOLDEN BRIGHT: Members' Final Meeting Set for June 30
-----------------------------------------------------
Members of Golden Bright Garment Limited will hold their final
general meeting on June 30, 2010, at 10:00 a.m., at Unit 201,
2/F., Malaysia Building, 50 Gloucester Road, Wanchai, in Hong
Kong.
At the meeting, Chiu Wai Hon, the company's liquidator, will give
a report on the company's wind-up proceedings and property
disposal.
GOLDWAY (HK): Court Enters Wind-Up Order
----------------------------------------
The High Court of Hong Kong entered an order on May 12, 2010, to
wind up the operations of Goldway (HK) Enterprises Limited.
The official receiver is E T O'Connell.
HK CAPITAL: Members' Final Meeting Set for June 23
--------------------------------------------------
Members of Hong Kong Capital Advisors Limited will hold their
final general meeting on June 23, 2010, at 11:00 a.m., at 8th
Floor Henley Building, 5 Queen's Road Central, in Hong Kong.
At the meeting, Kishore Kundanmal Sakhrani, the company's
liquidator, will give a report on the company's wind-up
proceedings and property disposal.
HK TRANSPORTATION: Members' Final Meeting Set for June 23
---------------------------------------------------------
Members of Hong Kong Transportation and Logistics Company Limited
will hold their final general meeting on June 23, 2010, at
10:30 a.m., at 8th Floor Henley Building, 5 Queen's Road Central,
in Hong Kong.
At the meeting, Kishore Kundanmal Sakhrani, the company's
liquidator, will give a report on the company's wind-up
proceedings and property disposal.
INGREDIENTS MATTER: Members' Final Meeting Set for June 21
----------------------------------------------------------
Members of Ingredients Matter International Limited will hold
their final general meeting on June 21, 2010, at 11:30 a.m., at
8th Floor Henley Building, 5 Queen's Road Central, in Hong Kong.
At the meeting, Nicholas William Burton, the company's liquidator,
will give a report on the company's wind-up proceedings and
property disposal.
KONG FAI: Court Enters Wind-Up Order
------------------------------------
The High Court of Hong Kong entered an order on May 12, 2010, to
wind up the operations of Kong Fai Construction & Transportation
Company Limited.
The official receiver is E T O'Connell.
JET BILLION: Members and Creditors' Meeting Set for June 3
----------------------------------------------------------
Members and creditors of Jet Billion Limited will hold their
general meetings on June 3, 2010, at 11:00 a.m., and 11:30 a.m.,
respectively at Room 103, Duke of Windsor Social Service Building,
15 Hennessy Road, Wanchai, in Hong Kong.
At the meeting, Lo Wing Hung, the company's liquidator, will give
a report on the company's wind-up proceedings and property
disposal.
STEADYLINE LIMITED: Final Meetings Set for June 24
--------------------------------------------------
Members and creditors of Steadyline Limited will hold their
meetings on June 24, 2010, at 11:00 a.m., and 11:30 a.m.,
respectively at Room 2109, China Resources Building, 26 Harbour
Road, Wanchai, in Hong Kong.
At the meeting, Chui Chi Yun Robert, the company's liquidator,
will give a report on the company's wind-up proceedings and
property disposal.
TOTTORI SANYO: Lam and Boswell Step Down as Liquidators
-------------------------------------------------------
Rainier Hok Chung Lam and Anthony David Kenneth Boswell stepped
down as liquidators of Tottori Sanyo Electric (Hong Kong) Limited
on May 11, 2010.
VICTORY BRILLIANT: Members and Creditors' Meetings Set for June 24
------------------------------------------------------------------
Members and creditors of Victory Brilliant Enterprises Limited
will hold their meetings on June 24, 2010, at 3:00 p.m., and 3:30
p.m., respectively at Room 2109, China Resources Building, 26
Harbour Road, Wanchai, in Hong Kong.
At the meeting, Chui Chi Yun Robert, the company's liquidator,
will give a report on the company's wind-up proceedings and
property disposal.
VICTORY DYEING: Members' and Creditors Meetings Set for June 1
--------------------------------------------------------------
Members and creditors of Victory Dyeing Factory Limited will hold
their annual meetings on June 1, 2010, at 10:00 a.m., and 10:30
a.m., respectively at 29/F, Caroline Centre, Lee Gardens Two, 28
Yun Ping Road, in Hong Kong.
At the meeting, Chen Yung Ngai Kenneth, the company's liquidator,
will give a report on the company's wind-up proceedings and
property disposal.
WATCHER INVESTMENTS: Final Meetings Set for June 24
---------------------------------------------------
Members and creditors of Watcher Investments Limited will hold
their meetings on June 24, 2010, at 4:00 p.m., and 4:30 p.m.,
respectively at Room 2109, China Resources Building, 26 Harbour
Road, Wanchai, in Hong Kong.
At the meeting, Chui Chi Yun Robert, the company's liquidator,
will give a report on the company's wind-up proceedings and
property disposal.
WEETECK LIMITED: Creditors and Members' Meetings Set for June 23
----------------------------------------------------------------
Creditors and members of Weeteck Limited will hold their meetings
on June 23, 2010, at 2:00 p.m., and 2:30 p.m., respectively at
Room 704, The Boys' and Girls' Clubs Association of Hong Kong, No.
3 Lockhart Road, Wanchai, in Hong Kong.
At the meeting, Kong Chi How Johnson, the company's liquidator,
will give a report on the company's wind-up proceedings and
property disposal.
=========
I N D I A
=========
AARTI INFRA-PROJECTS: ICRA Puts 'LBB' Rating on INR350MM LT Loan
----------------------------------------------------------------
ICRA has assigned an 'LBB' rating to the INR350 million long term
bank facilities of Aarti Infra-Projects Pvt. Ltd. The outlook of
the assigned rating is stable. The long term facilities include
INR150.0 million fund based facilities and INR200.0 million non-
fund based facilities.
The rating is constrained by relatively high working capital
intensity, high gearing of 1.4x as on March 31, 2010, based on
provisional data, relatively low profitability indicators, high
sector/client concentration and need to demonstrate execution
capabilities in business segments incubated during FY10. The
rating however draws comfort from the established track record and
the experienced promoters of AIPPL, strong order book position,
positive outlook for the irrigation and hydro power sector and
diversification into related segments during FY10 which is
expected to curtail average project execution period.
Aarti Infra-Projects Pvt. Ltd was incorporated in the year 2006 by
taking over assets and liabilities of a group entity, Aarti
Engineering Company. The business was started in late 1970s by
Mr. Kanhaiyalal Mandhana as an ancillary unit for Mahindra &
Mahindra Ltd for the supply of fabricated implement parts,
hydraulic cylinders and pistons. In 1984, AEC was set up to
supply fabricated equipment for irrigation projects.
Subsequently, AEC was registered with Public Works Department,
Maharashtra and various state irrigation departments for execution
of supply to erect contracts in hydro mechanical work. Over the
years, the group has established its presence in hydro mechanical
work for dams, barrages, spillways etc. AIPPL has a fabrication
factory in Nagpur, which is located in the center of India.
During FY10, AIPPL incubated two related business segments namely
supply and erection of towers for power distribution and structure
and piping work in power plants.
EASTERN STEELS: ICRA Puts 'LBB-' Rating on INR455.1MM Term Loans
----------------------------------------------------------------
ICRA has assigned an 'LBB-' rating to the INR455.1 million term
loans and INR303 million fund based bank limits of Eastern Steels
& Power Limited. The outlook on the long term rating is stable.
ICRA has also assigned an 'A4' rating to the INR10 million non
fund based bank limits of ESPL.
The ratings factor in ESPL's stretched liquidity position resulting
in delays in debt servicing in the past, a weak financial profile
characterized by net losses and depressed coverage indicators, and
high working capital intensity of the business. The ratings
factor in the operational linkages with the parent company, Thakur
Prasad Sao & Sons Private Limited which has a stronger financial
position.
ICRA notes that ESPL's significant capital expenditure plan for
expansion of its existing capacity and forward integration are
expected to ensure better profitability; however project risks are
high at this stage. ICRA further takes cognisance of the proposed
merger of ESPL with the parent company TPSPL. In ICRA's opinion,
the successful execution of the proposed merger would be a key
rating sensitivity, since the merged entity is likely to maintain
an improved business risk profile.
About Eastern Steels
Eastern Steels & Power Limited was incorporated in 2004 and
commenced commercial production in the second half of 2006-07.
The company is primarily engaged in the production of DRI and
billets, with an installed capacity of 100,000 MTPA each. The
manufacturing unit of ESPL is located at Jharsuguda, Orissa. The
present management acquired the company from the erstwhile
promoters in September, 2008.
The company has recently installed a rolling mill of 90000 MTPA at
the existing unit. ESPL also proposes to install a 100,000 MTPA
DRI plant and 12 MW power plant at its existing unit that are
expected to be commissioned in 2011.
During 2008-09, ESPL incurred a net loss of INR341.2 million on an
operating income (OI) of INR1.3 billion. ESPL has registered a
turnover of INR781.8 million in the first nine months of the
current financial year 2009-10 (9M 2009-10) and incurred a net
loss of INR236 million during this period.
EUREKA TILES: CRISIL Reaffirms Default Ratings on Various Debts
---------------------------------------------------------------
CRISIL's ratings on the bank facilities of Eureka Tiles Ltd
continue to reflect Eureka Tiles' continued delays in servicing
its term debt obligations because of weak liquidity.
Facilities Ratings
---------- -------
INR72.50 Million Cash Credit Limit D (Reaffirmed)
INR124.10 Million Term Loan D (Reaffirmed)
INR8.00 Million Bank Guarantee P5 (Reaffirmed)
INR4.00 Million Letter of Credit P5 (Reaffirmed)
Eureka Tiles, incorporated in 2003 by Mr. J B Patel, was closed
down in November 2005 because of inefficient operations. In
October 2006, Mr. Prafulla Gattani took over the company, and
began manufacturing vitrified tiles in October 2007. Eureka Tiles
has a capacity to manufacture 5500 square metres of vitrified
tiles per day. It realizes around 50 per cent of its revenues
from Maharashtra and Karnataka, and the remainder mainly from
Gujarat, Kerala, and Delhi.
For 2008-09 (refers to financial year, April 1 to March 31),
Eureka Tiles reported a net loss of INR46.7 million on net sales
of INR310 million, against a profit after tax of INR0.7 million on
net sales of INR124 million for 2007-08.
JAWAHAR SHETKARI: CRISIL Cuts Rating on INR382MM Term Loan to 'D'
-----------------------------------------------------------------
CRISIL has downgraded its ratings on Jawahar Shetkari Sahakari
Soot Girni Ltd's bank facilities to 'D/P5' from 'C/P4'. The
downgrade reflects recent instances of delay by Jawahar Shetkari
in servicing its debt; the delay has been caused by Jawahar
Shetkari's weak liquidity.
Facilities Ratings
---------- -------
INR382.0 Million Term Loan D (Downgraded from C)
INR290.0 Million Cash Credit D (Downgraded from C)
INR10.0 Million Bank Guarantee P5 (Downgraded from P4)
Registered in 1981 as a co-operative society in Dhule
(Maharashtra), Jawahar Shetkari was set up by Mr. Rohidas Patil.
The society manufactures yarn in the count of 24s to 34s, and
sells to wholesalers and hosiery garment manufacturers in India
and abroad, particularly Bangladesh.
The society has a cotton spinning mill in Dhule with capacity of
88,304 spindles. The unit sources nearly half of its cotton
requirement through the society's 3,943 cotton farmer members,
while the remainder is sourced through other cotton growers in the
nearby area or through state and central government agencies.
For 2008-09 (refers to financial year, April 1 to March 31),
Jawahar Shetkari reported a net loss of INR25.7 million on net
sales of INR1309 million, against a net loss of INR8.4 million on
net sales of INR946 million for 2007-08.
JHAGADIA COPPER: Faces Wind Up Petition by Royal Bank of Scotland
-----------------------------------------------------------------
Jhagadia Copper Ltd said that the Royal Bank of Scotland, Plc,
London has filed a Winding Up Petition in Gujarat High Court
praying for winding up of the Company as an amount of US$967,791
has not been paid to them by the Company. The High Court has
issued a notice to the Company for filing the reply.
Jhagadia Copper in May announced that the Honourable Gujarat High
Court admitted the Winding up Petition filed against the Company
by Gujarat Industrial Investment Corporation Ltd. The Company
said it has taken actions for filing appeal against the wind up
order.
Based in India, Jhagadia Copper Limited (BOM:504920) --
http://www.jhagadiacopper.in/-- produces copper cathodes, using
secondary smelting route. During the fiscal year ended March 31,
2009 (fiscal 2009), the Company produced 12,675 megatons of copper
cathodes. The Company has set up a technical collaboration with
Outokumpu Technology AB, Sweden. The smelter uses Top Blown
Rotary Converter (Kaldo) as its main furnace, which allows
flexibility in usage of raw materials. The capacity of plant is
50,000 megatons per annum of copper cathodes.
K.V. JOSEPH: CRISIL Assigns 'BB+' Rating on INR32.5MM Term Loan
---------------------------------------------------------------
CRISIL has assigned its 'BB+/Stable/P4+' ratings to K.V. Joseph &
Sons' bank facilities.
Facilities Ratings
---------- -------
INR32.50 Million Term Loan BB+/Stable (Assigned)
INR119.00 Million Cash Credit BB+/Stable (Assigned)
INR300.00 Million Bank Guarantee P4+ (Assigned)
The ratings reflect KVJS's exposure to risks related to customer
concentration in revenue profile, intense competition in the civil
construction industry, and large working capital requirements.
These rating weaknesses are partially offset by KVJS's above-
average financial risk profile, marked by moderate gearing and
debt protection metrics and the benefits that the firm derives
from its promoters' experience in the civil construction industry.
Outlook: Stable
CRISIL believes that KVJS will maintain its stable credit risk
profile over the medium term, backed by its healthy order book
position and conservative funding of future growth in operations.
The outlook may be revised to 'Positive' if KVJS diversifies its
revenue profile while maintaining its operating margin.
Conversely, the outlook may be revised to 'Negative' if the firm's
profitability declines, or if it contracts more debt than
expected, to fund its capex.
About K.V. Joseph
Set up in 1970 as a partnership firm, KVJS is engaged in civil
construction activities primarily in Kerala. The firm generally
undertakes government contracts and is mainly involved in
construction of roads, bridges and buildings. The firm is a Class
A contractor for Public Works Department.
KVJS reported a provisional profit after tax (PAT) of INR34
million on net sales of INR640 million for 2009-10 (refers to
financial year, April 1 to March 31), against a PAT of INR19
million on net sales of INR432 million for 2008-09.
MANGALAM TIMBER: ICRA Places 'LB+' Rating on INR80MM Term Loan
--------------------------------------------------------------
ICRA has assigned an 'LB+' rating to the INR80 million term loan
and INR271 million cash credit facilities of Mangalam Timber
Products Limited. ICRA has also assigned an 'A4' rating to the
short term non-fund based bank facilities of INR150 million of
MTPL. There is one-way convertibility to the extent of
INR11 million from the non-fund based to the cash credit limits.
The ratings consider the recent delays in debt servicing and
stretched financial profile characterized by weak operating
profitability, moderately high gearing at 1.90x as on March 31,
2009 and high working capital intensity of operations, which
strained the liquidity. High dividend payout ratio of 0.85 for FY
2009 further strained the liquidity position. The cyclicality
inherent in the business because of its linkage to investment
activity in the real estate sector and susceptibility to raw
material risk, also impacts the assigned ratings. The ratings,
however, also take into consideration financial flexibility
provided by MTPL's status as a part of the B K Birla group of
companies as reflected by unsecured loans from group companies.
MTPL's established brand in the medium density fibre board (MDF)
segment of the Indian panel industry, wide distribution network
spread across India, proximity to a key raw material i.e. timber,
reducing inward freight cost to an extent and experience of the
management in the industry. ICRA also notes that the high capital
intensity in the MDF sector of business provides entry barriers
but the domestic industry faces stiff competition from cheaper
imports and the unorganized sector, which sells cheaper plywood.
Although anti-dumping duty has been imposed on imported plain MDF
of thickness 6 mm and above from certain countries, the expected
commencement of commercial operations of new MDF capacities is
likely to increase the risk of competition.
About Mangalam Timber
MTPL is a part of the B.K. Birla group of companies. Incorporated
in 1983, the company is primarily engaged in production of MDF.
The company has manufacturing facility located at Nabarangpur in
Orissa with the production capacity of 30,000 MT of MDF and 13,200
MT of formaldehyde. Currently, formaldehyde is mainly used for
internal consumption.
For FY 2009, the company reported a net profit of INR15.17 million
on the back of operating income of INR714.73 million. For the
period April-December of FY 2010, the MTPL reported a net loss
(provisional) of INR14.5 million on the back of operating income
(provisional) of INR495.8 million.
ORION CONMERX: CRISIL Rates INR25.0 Million Term Loan at 'B+'
-------------------------------------------------------------
CRISIL has assigned its ratings of 'B+/Stable/P4' to the bank
facilities of Orion Conmerx Pvt Ltd.
Facilities Ratings
---------- -------
INR25.0 Million Term Loan B+/Stable (Assigned)
INR90.0 Million Export Packing Credit P4 (Assigned)
INR35.0 Million Bills Discounting P4 (Assigned)
INR30.0 Million Letter of Credit P4 (Assigned)
The ratings reflect OCPL's weak financial risk profile marked by
low net worth, and exposure to risks relating to lack of backward
integration in operations. These weaknesses are, however,
partially offset by OCPL's improving business risk profile in the
leather industry.
Outlook: Stable
CRISIL believes that OCPL will maintain its business risk profile
backed by the experience of its promoters, and its strong client
base. However, its financial risk profile is expected to be
constrained by high working capital requirements leading to weak
debt protection measures. The outlook may be revised to
'Positive' if OCPL enhances its revenues and profitability, or
improves its net worth through capital infusions leading to better
financial risk profile. Conversely, the outlook may be revised to
'Negative' if the company undertakes large, debt-funded capital
expenditure (capex).
About Orion Conmerx
Set up in 1992 as a partnership firm, OCPL converted to a private
limited company in 1993. The company manufactures leather
garments and accessories such as jackets, bags, belts, and
wallets.
OCPL reported a profit after tax (PAT) of INR3.8 million on net
sales of INR235.5 million for 2008-09 (refers to financial year,
April 1 to March 31), as against a PAT of INR6.8 million on net
sales of INR158.9 million for 2007-08.
PROGRESSIVE CIVIL: ICRA Reaffirms 'LBB+' Rating on Term Loans
-------------------------------------------------------------
ICRA has re-affirmed the 'LBB+' ratings to the term loan limit of
INR3.50 million and fund-based limit of INR53.50 million of
Progressive Civil Construction Company Private Limited. ICRA has
assigned stable outlook to the long term ratings. ICRA has also
re-affirmed the 'A4+' rating to the non-fund based limit of
INR65.00 million of PCCCPL.
The ratings continue to reflect PCCCPL's established track record
in the construction industry, experience of the management team,
improvement in its operating margin (OPBDITA/OI) in FY09 as
compared to FY08 and considerable increase in the size of the
company's order-book in FY10. However, the ratings are
constrained by significant decline in the company's OI in FY09 on
account of stoppage of some of its projects and the high
geographical and client concentration in the company's order-book
as of March 2010.
Recent Results
As per the provisional figures; PCCCPL reported an OI of
INR241.6 million in the first 11 months of FY10 (April 09 to
February 10).
About Progressive Civil
Progressive Civil Construction Co. Pvt. Ltd. is a construction
company, which undertakes projects in three broad segments of
construction of multi-storied buildings, industrial buildings,
bridges and flyovers. It commenced its operations in 1976 as a
partnership firm and was converted into a private limited company
in 1988. PCCCPL is a closely held company promoted by Mr. C.M.
Abhang and his family members. The company executes projects
primarily in Maharashtra.
During FY09, PCCCPL reported an operating income (OI) of INR243.6
million registering a decline of 28.1% over preceding year. The
company reported a PAT of INR6.07 million in FY09 as against a PAT
of INR5.98 million in FY08.
RAMA AGRO: CRISIL Reaffirms Default Rating on INR43.2MM Term Loan
-----------------------------------------------------------------
CRISIL has reaffirmed its ratings of 'D/P5' on Rama Agro and Food
Product's bank facilities.
Facilities Ratings
---------- -------
INR 105.0 Million Cash Credit D (Reaffirmed)
INR 43.20 Million Term Loan D (Reaffirmed)
INR 2.50 Million Bank Guarantee P5 (Reaffirmed)
The ratings reflect delay by RAFP in servicing its term loan; the
delay has been caused by RAFP's weak liquidity.
Set up in 2004, RAFP processes wheat to produce maida, atta, rava
and suzi, and also small quantities of gram. Around 90% of the
firm's revenues are generated by sales to institutional customers,
and the remainder from sales to traders and distributors. RAFP's
plant at Bijnor (Uttar Pradesh) has wheat processing capacity of
200 tones per day (tpd) and gram processing capacity of 100 tpd.
The firm is currently installing a corn processing unit which is
expected to be commissioned by June 2010.
RAFP reported a profit after tax (PAT) of INR0.6 million on net
sales of INR356 million for 2008-09 (refers to financial year,
April 1 to March 31), against a PAT of INR0.5 million on net sales
of INR302 million for 2008-09.
RAJIV PETROCHEMICALS: CRISIL Rates INR108.5MM Bank Debt at 'BB-'
----------------------------------------------------------------
CRISIL has assigned its ratings of 'BB-/Stable/P4' to Rajiv
Petrochemicals Pvt Ltd's bank facilities.
Facilities Ratings
---------- -------
INR108.5 Million Overdraft Facility BB-/Stable (Assigned)
INR50.0 Million Bill Discounting P4 (Assigned)
INR310.0 Million Foreign Letter P4 (Assigned)
of Credit
INR61.0 Million Inland Letter of Credit P4 (Assigned)
INR16.5 Million Bank Guarantee P4 (Assigned)
The ratings reflect RPPL's weak financial risk profile, and
exposure to risks relating to debtor defaults, and to the trading
nature of its operations. These weaknesses are partially offset
by the benefits that RPPL expects to derive from its revenue
diversification initiatives, and increase in profit margins.
As part of this rating exercise, CRISIL has combined the business
risk profiles of RPPL, and Atlantis Products Pvt Ltd. This is
because RPPL and APPL, together referred to as the Rajiv group,
are in the same line of operations and have common manufacturing
facilities.
Outlook: Stable
CRISIL believes that the RPPL will sustain its credit profile on
the back of its improving operating margins with increasing
proportion of high margin manufacturing operations. The outlook
may be revised to 'Positive' if the group's consolidated capital
structure improves substantially, led by improvement in net cash
accruals or external equity infusion. Conversely, the outlook may
be revised to 'Negative' if the company's financial risk profile
deteriorates materially due to large debt and working-capital
requirements.
About the Group
Incorporated in 1993 by Mr. Rajiv Vastupal Mehta and Ms. Arati
Rajiv Mehta, RPPL is the flagship company of the Rajiv group. The
company is a stockist/trader in polyvinyl chloride (PVC) resin,
high- and low-density polyethylene (HDPE and LDPE), masterbatches
and polyester film. RPPL also manufactures HDPE/LDPE woven bags,
under its manufacturing division Pariplast Industries (Pariplast).
RPPL's group company, APPL, commenced operations in September
2009, manufactures HDPE/PP woven bags.
RPPL reported a profit after tax (PAT) of INR2.9 million on net
sales of INR2.8 billion for 2008-09 (refers to financial year,
April 1 to March 31), as against a PAT of INR6.8 million on net
sales of INR2.6 billion for 2007-08.
SALET SEAFOODS: CRISIL Reaffirms 'B+' Rating on INR4.0MM Term Loan
------------------------------------------------------------------
CRISIL's ratings on Salet Seafoods Pvt Ltd's bank facilities
continue to reflect SSPL's weak financial risk profile, marked by
small net worth, moderate gearing and weak debt protection
metrics, exposure to risks inherent in seafood exports industry,
and susceptibility to pricing pressures and to volatility in raw
material prices and value of the Indian rupee. These rating
weaknesses are partially offset by SSPL's promoters' strong track
record in the seafood export industry.
Facilities Ratings
---------- -------
INR4.0 Million Term Loan B+/Stable (Reaffirmed)
INR96.0 Million Export Packing P4 (Reaffirmed)
Credit*
INR60.0 Million Foreign Bill P4 (Reaffirmed)
Purchase L/C*
INR60.0 Million Foreign Bill P4 (Reaffirmed)
Purchase Non L/C*
* Includes additional 20% SLC limit.
Outlook: Stable
CRISIL believes that SSPL will continue to benefit from its
established relationships with suppliers and customers. However,
the company's debt protection metrics are expected to remain weak
over the medium term because of high reliance on bank borrowings
to fund the working capital requirements. The outlook may be
revised to 'Positive' if SSPL's operating margin improves,
resulting in more-than-expected cash accruals, thereby
significantly improving its financial risk profile. Conversely,
the outlook may be revised to 'Negative' if the company's capital
structure deteriorates because of larger-than-expected working
capital requirements; or its operating margins decline
substantially, resulting in a weaker financial risk profile.
About Salet Seafoods
Salet Seafoods Pvt Ltd was incorporated in 1994 by the Salet
family in Dwarka (Gujarat). The company is into processing and
exporting fish and other marine products. It has two processing
units with a combined production capacity of 97 tonnes per day
(tpd) and storing capacity of 2000 tpd. SSPL exports more than 90
per cent of its products to Japan, China, Malaysia, USA and
European Union nations; China accounts for 40 to 50 per cent of
total exports.
SSPL reported a profit after tax (PAT) of INR3.4 million on net
sales of INR1.1 billion for 2009-10 (refers to financial year,
April 1 to March 31), against a PAT of INR2.1 million on net sales
of INR83.2 million for 2008-09.
SAV STEELS: CRISIL Rates INR280 Million Cash Credit at 'BB'
-----------------------------------------------------------
CRISIL has assigned its 'BB/Stable' rating to Sav Steels Pvt Ltd's
bank facility.
Facilities Ratings
---------- -------
INR280 Million Cash Credit BB/Stable (Assigned)
The rating reflects SSPL's below-average financial risk profile,
marked by low operating margin and weak debt protection metrics,
and susceptibility to intense competition in the steel industry.
These rating weaknesses are partially offset by SSPL's established
market position, supported by the management's extensive industry
experience.
Outlook: Stable
CRISIL believes that SSPL will maintain its credit risk profile,
supported by robust growth in revenues and stable profitability.
The outlook may be revised to 'Positive' if SSPL's financial risk
profile improves, most likely led by better profitability,
enhanced product/geographical diversification of revenues, and
regular equity infusions. Conversely, the outlook may be revised
to 'Negative', if SSPL undertakes a large, debt-funded capital
expenditure programme, adversely affecting its financial risk
profile.
About Sav Steels
Set up in 1995 as a partnership firm, SSPL was later reconstituted
as a private limited company. SSPL is engaged in cutting to size,
straightening and annealing cold-rolled, hot-rolled, and block
plate steel sheets and coils. The company's industrial unit in
Kankurgachi, Kolkata (West Bengal) has processing machines, such
as straightening and cutting machines, with capacity of 1000
tonnes per month (tpm), shearing machine of 100 tonnes per day and
annealing machine of 600 tpm.
SSPL reported a profit after tax (PAT) of INR8 million on net
sales of INR1.61 billion for 2008-09 (refers to financial year,
April 1 to March 31), against a PAT of INR2.6 million on net sales
of INR853 million for 2007-08.
SPECIALITY PAPERS: CRISIL Assigns 'D' Rating on INR30MM Term Loan
-----------------------------------------------------------------
CRISIL has assigned its 'D/P5' ratings to the bank facilities of
Speciality Papers Ltd, which is part of the Reliable group. The
rating reflects continuous overdrawals in the company's cash
credit limit owing to weak liquidity.
Facilities Ratings
---------- -------
INR77.5 Million Cash Credit D (Assigned)
INR30.0 Million Term Loan D (Assigned)
INR96.3 Million Proposed Long-Term D (Assigned)
Bank Loan Facility
INR20.0 Million Letter of Credit P5 (Assigned)
For arriving at its ratings, CRISIL has combined the business and
financial risk profiles of Reliable Paper, Prime Industries Ltd
(Prime Industries), Opel Paper Mills Ltd (Opel Paper) and
Speciality Papers Ltd (Speciality Papers) - collectively referred
to as the Reliable group ? because Reliable Paper, Prime
Industries and Opel Paper are expected to be merged with
Speciality Papers over the medium term. The key reason for the
merger is the consolidation of the group's operations in order to
bring about operational and financial synergies.
Reliable Paper, set up in 1974 by Mr. Mekan J Gala, mainly trades
in paper and paper products. The company is an authorized
distributor of Ballarpur Industries Ltd. Reliable Paper's plant in
Bardoli (Gujarat), has a manufacturing capacity of 6,000 tonnes of
tissue-grade paper per annum. Reliable Paper is undertaking a
large debt-funded capital expenditure programme of INR800 million
for setting up a paper mill which will increase its manufacturing
capacity to 45,000 tonnes per annum (tpa) from the existing
capacity. The project was expected to commence operations by June
2009; however there were some delays and the new capacity would be
operational from July 2010.
Speciality Papers was a sick unit and was acquired by the
promoters in 1998. The promoters were able to turn around the
company by revamping its product mix and focusing on exports. The
company's plant in Vapi (Gujarat) has capacity of manufacturing
9,350 tpa of machine-glazed specialty paper.
Opel Paper Mill manufactures coated paper and its plant in Vapi
has a capacity of 3,000 tpa. Prime Industries is engaged in the
conversion and packaging of jumbo rolls. Its products are sold
under the Lincoln brand.
Speciality Papers reported a net loss of INR9.4 million on net
sales of INR1.1 billion for 2008-09 (refers to financial year,
April 1 to March 31) against a profit after tax of INR22.6 million
on net sales of INR711.5 million for 2007-08.
SUBHASH KABINI: ICRA Assigns 'LB+' Rating on INR252.9MM Term Loan
-----------------------------------------------------------------
ICRA has assigned an 'LB+' rating to the INR252.9 million term
loan programme and the INR25.6 million fund based limit of Subhash
Kabini Power Corporation Limited.
The LB+ rating primarily reflects the delays in debt servicing in
the recent past following a strain in the liquidity of the
company. While the 20 MW hydro power plant operated by Subhash
Kabini in Karnataka has stabilized operations since its
commissioning in 2003 and sells power to MESCOM pursuant to a 20-
year PPA, ICRA notes that a substantial portion of the cash flow
from operations is currently being diverted to various group
companies. Given the relatively stable cash flows of Subhash
Kabini in comparison with other group companies and the liquidity
pressures within the flagship, SPML, the company's cash flows are
critical from the group's perspective. Considering Subhash
Kabini's demonstrated support to group companies in the past, the
company's ability to protect its liquidity and ensure timely debt
servicing and to limit its exposure to group companies going
forward would be critical from the credit perspective. This
apart, the rating also factors in the vulnerability of cash flows
to availability of water given the single part tariff structure
and the absence of a deemed generation clause and the possibility
of a substantial reduction in tariff from 2011-12 onwards relative
to current tariff levels. The rating however favorably factors in
the satisfactory operations of the plant since its commissioning;
notwithstanding the healthy cash accruals driven by the presence
of a long-term PPA and attractive tariff levels and steady
retirement in the debt levels, however, Subhash Kabini's exposure
to group companies and the consequent impact on its cash flows is
a key factor depressing the rating.
About Subhash Kabini
Subhash Kabini (56% held by SPML) owns and operates a 20 MW hydro
power plant over the river Kabini near Mysore in Karnataka.
Subhash Kabini commenced operations in June 2003 and has been
selling electricity to MESCOM as per a PPA which will expire in
June 2023. During 2008-09, Subhash Kabini generated 36.22 MU of
power and recorded an operating income and profit after tax of
INR203.4 million and INR91.3 million respectively.
THOPPIL CONSTRUCTIONS: CRISIL Puts 'B+' Rating on INR50MM Credit
----------------------------------------------------------------
CRISIL has assigned its 'B+/Stable/P4' ratings to Thoppil
Constructions bank facilities.
Facilities Ratings
---------- -------
INR50.00 Million Cash Credit B+/Stable (Assigned)
INR50.00 Million Bank Guarantee P4 (Assigned)
The ratings reflect Thoppil's exposure to risks related to
geographical concentration in its revenue profile, to small scale
of operations, and large working capital requirements resulting in
weak financial risk profile. These rating weaknesses are
partially offset by the benefits that Thoppil derives from its
promoters' experience in the construction industry.
Outlook: Stable
CRISIL believes that Thoppil will maintain its business risk
profile backed by its moderate operating efficiency. The outlook
may be revised to 'Positive' in case Thoppil's cash accruals
improve significantly, thereby improving its financial risk
profile or in case the promoters infuse equity, improving its net
worth. The outlook may be revised to 'Negative' in case of lower-
than-expected cash accruals or in case the firm undertakes a
significant debt-funded expansion programme, leading to
significant deterioration in its financial risk profile.
About Thoppil Constructions
Set up in 2005, Thoppil is a proprietorship firm promoted by Mr. A
Nizamudeen engaged in the construction of roadways in Kerala. The
firm is a Class 2B contractor and undertakes projects mostly for
government organisations.
Thoppil's reported a profit after tax (PAT) of INR7 million on net
sales of INR130 million for 2008-09 (refers to financial year,
April 1 to March 31) against a PAT of INR4 million on net sales of
INR77 million for 2007-08.
=========
J A P A N
=========
GODO KAISHA: S&P Downgrades Ratings on Various Floating Notes
-------------------------------------------------------------
Standard & Poor's Ratings Services lowered its ratings on the
floating-rate notes, classes D to F, issued by Godo Kaisha ORSO
Funding CMBS 7 in July 2007. At the same time, S&P placed on
CreditWatch with negative implications S&P's ratings on classes C
to F. S&P also affirmed its ratings on classes A, B, and X issued
under the same transaction.
Of the four loans and two TMK bonds (extended to or issued by six
obligors) that initially backed the transaction, only four loans
and one TMK bond remain, with all the loans/TMK bond maturing by
the end of April 2012. S&P is of the opinion that there appears
to be uncertainty over the recovery prospects of the related
collateral properties, based on the possibility that the loans/TMK
bond may not be redeemed and the properties may need to be
liquidated. Although S&P has yet to finalize its assessment of
the recovery prospects of the properties, S&P downgraded classes D
to F and placed its ratings on classes C to F on CreditWatch with
negative implications because it is its view that a certain level
of decline in the likely recovery amount from the properties
appears inevitable.
The transaction's remaining loans and TMK bond for review consist
of:
* A loan maturing in April 2011 (representing about 25.9% of the
total initial issuance amount of the notes), which is backed by
office buildings and rental condominium buildings located mainly
in Tokyo, Osaka, and Fukuoka;
* A loan maturing in Oct. 2011 (representing about 22.8% of the
total initial issuance amount of the notes), which is backed by
rental condominium buildings in Tokyo and other cities;
* A loan maturing in April 2012 (representing about 19.5% of the
total initial issuance amount of the notes), which is backed by
an office/retail complex situated in Chiba Prefecture;
* A TMK bond maturing in Jan. 2012 (representing about 11.6% of
the total initial issuance of the notes), which is backed by a
serviced apartment building in Minato-ward, Tokyo; and
* A loan maturing in April 2011 (representing about 3.1% of the
total initial issuance amount of the notes), which is backed by
a mechanical car park located in Kagoshima Prefecture.
S&P intends to review its ratings on the four classes that S&P
placed on CreditWatch with negative implications after completing
its assessment of the recovery prospects of the properties backing
the aforementioned four loans and one TMK bond.
Godo Kaisha ORSO Funding CMBS 7 Trust is a multi-borrower CMBS
transaction.
The floating-rate notes were initially secured by four loans and
two TMK bonds extended to or issued by six obligors. The loans
and the TMK bonds were originally backed by 42 real estate
properties. The transaction was arranged by Bear Stearns (Japan)
Ltd., Tokyo Branch. Premier Asset Management Co. acts as the
servicer for this transaction.
The ratings address the full and timely payment of interest and
the ultimate repayment of principal by the transaction's legal
final maturity date in May 2014 for the class A notes, the full
payment of interest and ultimate repayment of principal by the
legal final maturity date for the class B to F notes, and the
timely payment of available interest for the class X notes.
Ratings Lowered, Placed On Creditwatch Negative
Godo Kaisha ORSO Funding CMBS 7
JPY50.3 billion floating-rate notes due May 2014
Class To From Initial Issue Amount
----- -- ---- --------------------
D BB/Watch Neg BBB JPY5.4 bil.
E B+/Watch Neg BB JPY5.9 bil.
F B/Watch Neg BB- JPY0.9 bil.
Rating Placed On Creditwatch Negative
Godo Kaisha ORSO Funding CMBS 7
Class To From Initial Issue Amount
----- -- ---- --------------------
C A/Watch Neg A JPY5.4 bil.
Ratings Affirmed
Class Rating Initial Issue Amount
----- ------ --------------------
A AAA JPY27.3bil.
B AA JPY5.4 bil.
X AAA JPY50.3 bil.*
* Initial notional principal
The issue date was July 30, 2007.
JAPAN AIRLINES: Receives Overwhelming Early Retirement Responses
----------------------------------------------------------------
Japan Airlines Corp. has received an overwhelming response from
employees who want to avail of the company's early retirement
offer, japantoday.com said. According to a JAL group source, the
applications have far exceeded the company's target of 2,700 who
will be paid off as a settlement for early retirement.
The onslaught of applications has prompted Asia's biggest airline
to ask some of its employees to withdraw their retirement
intentions or delay their applications until after the end of May
deadline as the massive retirement of employees could cripple
company operations, japantoday.com related.
"With no bonuses granted last year, we saw many younger workers
were applying for the airline's early retirement program at some
divisions," one of the sources said, implying that the
uncertainty of the airline's restructuring process was the main
factor that pushed many of its employees to apply for early
retirement, japantoday.com said.
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: Seeks August Extension of Plan Deadline
-------------------------------------------------------
Japan Airlines and the Enterprise Turnaround Initiative
Corporation of Japan are seeking to extend the airline's plan
submission deadline for about two months from their original
June 30, 2010 target, the Daily Yomiuri online said today.
According to sources, JAL and ETIC told the Tokyo District Court
that they may not be able to planned submission until end of
August 2010 because the airline's creditor banks would not agree
with the Plan unless they are convinced that JAL has cut enough
flights, routes and personnel in order to reduce costs.
"We will carefully study (the details of the plan) and create a
structure that will make the company profitable, and by
reflecting this in the plan, we hope it will lead to the revival
of the JAL group," JAL President Masaru Onishi said at a news
conference, Kyodo News reported.
Appearing at the same news conference, Hideo Seto, ETIC trustee,
said the two-month delay is aimed at enabling JAL to thoroughly
review its route network and will please potential lenders, Kyodo
related.
As earlier reported, JAL's original Plan contemplated on putting
off 31 routes and cutting 15,661 jobs over three years, yet its
creditor banks had been unwilling to lend JAL the financial
backing it needs, saying they need to see more cost cutting
solutions that will ensure the company's survival, Yomiuri online
related.
In order to appease its prospected lenders, JAL is now looking at
the removal of 31 domestic and 16 international routes by
October, the report said. The company is also considering
severing the employment of 16,452 workers by the end of this
year. The airline, according to the report, said it hopes that
this approach can gain the confidence of its creditor banks so
that it can get the financial backing it badly needs in order to
rebound from its present financial turmoil.
JAL, Yomiuri Shimbun related, also contemplates on the removal of
eight international routes at Narita Airport -- those bound to or
from Sao Paulo, Amsterdam, Milan and Rome -- two routes at Chubu
Airport and five at Kansai Airport. Despite protests from
affected destinations, JAL also said it will no longer serve
Nagoya Airport, which currently hosts nine JAL routes, Hiro-
shima-Nishi, Sa-pporo Okadama and Oku-shiri airports.
Hokkaido Air System will take over some JAL routes that pass
through New Chitose, Sapporo Okadama and Hakodate airports, the
report said.
The cuts, the Yomiuri online related, will give a 40% reduction on
international routes and a 30% cut on domestic capacity as
compared to JAL's fiscal 2008 seating records.
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)
===============
M A L A Y S I A
===============
RANHILL BERHAD: Warisan Files Wind-Up Petition Against Unit
-----------------------------------------------------------
Ranhill Berhad furnished Bursa Malaysia Securities Berhad with
details of the winding-up petition served against Ranhill
Engineers and Constructors Sdn Bhd, a wholly owned subsidiary of
the Company.
The petition was filed by Warisan Steelcon Sdn Bhd. WSSB is one
of the subcontractors for REC in regards of the Teluk Salut 190MW
Combined Cycle Conversion Project,in Sabah.
The Company advised that a winding-up petition was presented in
the Kuala Lumpur High Court, on May 10, 2010, against Ranhill
Engineers and was served on May 24, 2010, for a claim
MYR259,053.60 together with interest at the rate of 8% per annum
on the sum of MYR259,053.60 from the date of Judgment to the date
of full payment and costs.
The petition has been fixed for hearing on July 15, 2010.
About Ranhill Berhad
Headquartered in Kuala Lumpur, Malaysia, Ranhill Berhad --
http://www.ranhill.com.my-- provides engineering, procurement
and construction services. The firm's other activities include
provision of engineering, procurement, construction and project
management services; facilities management, property investment
and investment holding. It operates solely in the domestic
market.
* * *
As reported by the Troubled Company Reporter-Asia Pacific on
March 26, 2009, Fitch Ratings affirmed Ranhill Berhad's Long-term
foreign currency Issuer Default rating at 'B'. The Outlook is
Stable. At the same time, the agency has affirmed the 'B-' (B
minus) senior unsecured rating on the US$220 million notes due
2011 issued by Ranhill (L) Limited and guaranteed by Ranhill and
its subsidiaries.
On December 7, 2009, Standard & Poor's Ratings Services revised
the outlook on Ranhill Bhd. to stable from negative and affirmed
the 'B' long-term corporate credit rating on the company. At the
same time, Standard & Poor's affirmed the 'B-' issue rating on the
US$220 million five-year senior unsecured notes due in October
2011, issued by Ranhill (L) Ltd.--a fully owned special purpose
vehicle of the company; the notes are fully guaranteed by Ranhill
Bhd.
====================
N E W Z E A L A N D
====================
CRAFAR FARMS: Owes Councils Up to NZ$200,000 Unpaid Fines
---------------------------------------------------------
Marty Sharpe at The Dominion Post reports that fines for dirty
dairying incurred by farms formerly owned by the Crafar family
have gone unpaid and may leave councils out of pocket by up to
NZ$200,000.
According to the report, Hawke's Bay Regional Council and Horizons
Regional Council are among the dozens of unsecured creditors owed
about NZ$15 million by four companies owned by the Crafar family:
Hillside, Plateau Farms, Taharua and Ferry View Farms.
The report says Environment Waikato won an Environment Court
prosecution of Hillside last year that resulted in a NZ$88,500
fine. However, an appeal has been lodged and the amount is not
considered debt at this stage.
The Post discloses that Hawke's Bay Regional Council is owed
NZ$77,943 by Taharua for costs incurred in processing a resource
consent application. Horizons, on the other hand, is owed
NZ$40,000 for a fine imposed on Ferry View Farms in the
Environment Court last month for unauthorized discharge of
effluent.
The report notes that last year Allan and Frank Crafar and their
company Hillside were fined NZ$29,500 each after Environment
Waikato prosecuted them for the failure of an effluent system on a
company-owed farm near Hamilton. Elizabeth Crafar, also a
director, was fined NZ$1,500. The fine, imposed in the
Environment Court, has been appealed against.
The Crafars will remain liable for the fines they have incurred as
individuals, regardless of what occurs with the receivership of
their farms.
About Crafar Farms
Crafar Farms, New Zealand's largest family owned dairy business,
runs about 20,000 milking cows, and carries about 10,000 of other
stock. The company employs 200 staff.
Crafar Farms was placed in receivership by its lenders Westpac
Banking Corp., Rabobank Groep and PGG Wrightson Finance. The
banks are owed around NZ$200 million and put KordaMentha partners
Michael Stiassny and Brendon Gibson in as receivers after Crafar
Farms breached covenants on its loans.
The New Zealand Herald said CraFarms' banks have been working with
the Ministry of Agriculture and Forestry, Federated Farmers and
Fonterra to ease the Crafars out of their business. This follows
multiple convictions for environmental lapses and animal neglect
in recent years and the revelation on September 28, 2009, from
interest.co.nz of animal neglect on one of its large farms in the
King Country near Benneydale.
CRAFAR FARMS: Landcorp May Bid For 16 Farms
-------------------------------------------
Government-owned farming company Landcorp may bid for 16 big North
Island farms formerly owned by members of the Crafar family, an
article posted at stuff.co.nz says.
The report relates Landcorp chairman Jim Sutton said receivers for
the farms were aware that Landcorp was doing "due diligence",
although a final decision on whether to submit a tender was still
to be made.
According to the report, Mr. Sutton said Landcorp was not looking
to expand its business but there were unique circumstances
surrounding the deal to sell the former Crafar farms.
Mr. Sutton said those unique circumstances included "reputational
risks" to the New Zealand dairy industry and "New Zealand Inc."
There was concern in the wider community about the sale, and the
Landcorp board was responding, Mr. Sutton added.
Landcorp would probably act with another New Zealand investor if
it decided to tender, the report adds.
As reported in the Troubled Company Reporter-Asia Pacific on
May 25, 2010, Chinese-backed dairy firm UBNZ Funds Management Ltd
moved closer to buying 16 farms formerly owned by the Crafar
family. Receivers Michael Stiassny and Brendon Gibson of
KordaMentha said conditional sale and purchase agreements had
been signed with UBNZ Funds and a "substantial" deposit had been
paid. The sales however are still conditional on approval by the
Overseas Investment Office.
The contract also specifies that the 16 farms will continue to be
marketed until June 23, and if KordaMentha receives a better offer
than UBNZ's it can accept that instead.
About Crafar Farms
Crafar Farms, New Zealand's largest family owned dairy business,
runs about 20,000 milking cows, and carries about 10,000 of other
stock. The company employs 200 staff.
Crafar Farms was placed in receivership by its lenders Westpac
Banking Corp., Rabobank Groep and PGG Wrightson Finance. The
banks are owed around NZ$200 million and put KordaMentha partners
Michael Stiassny and Brendon Gibson in as receivers after Crafar
Farms breached covenants on its loans.
The New Zealand Herald said CraFarms' banks have been working with
the Ministry of Agriculture and Forestry, Federated Farmers and
Fonterra to ease the Crafars out of their business. This follows
multiple convictions for environmental lapses and animal neglect
in recent years and the revelation on September 28, 2009, from
interest.co.nz of animal neglect on one of its large farms in the
King Country near Benneydale.
DORCHESTER PACIFIC: Major Shareholders May Back Rights Issue
------------------------------------------------------------
The New Zealand Herald reports that major shareholders Hugh Green
Investments and The Business Bakery will likely pump millions of
dollars into Dorchester Pacific to get a proposed capital
reconstruction plan for its subsidiary off the ground.
The Troubled Company Reporter-Asia Pacific reported on May 18,
2010, that Dorchester Pacific's subsidiary Dorchester Finance 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 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 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 New Zealand Herald relates that Dorchester Pacific executive
director Paul Byrnes said raising that money would depend on the
support the company gained from its two major shareholders.
"They have indicated support to formally underwrite the rights
issue. Without that in today's market, it would be a challenge,"
the New Zealand Herald quoted Mr. Byrnes as saying.
According to the report, Mr. Byrnes said he hoped around 80% of
the new capital would come from the major shareholders.
Hugh Green Investments and The Business Bakery each own a 20%
stake in Dorchester Pacific, the report notes.
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 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.
=====================
P H I L I P P I N E S
=====================
PHILIPPINE AIRLINES: Defers Plan to Outsource 3,000 Jobs
--------------------------------------------------------
The Philippine Airlines has postponed a plan to outsource about
3,000 jobs by the end of the month amid the government's moves to
resolve issues between the company and labor groups, the
Philippine Daily Inquirer reports.
According to the report, PAL assistant vice-president for
industrial relations Remegio Siapno said in an internal memorandum
that they have decided to wait for the Department of Labor and
Employment's resolution of the dispute between the airline
management and the PAL Employees' Association.
The Inquirer notes the labor department assumed jurisdiction over
the labor row, which has stemmed from a plan by management to
outsource non-core services such as in-flight catering and
aircraft maintenance to outside entities.
"Please take note that the Dole Secretary's assumption of
jurisdiction on the planned spin-off/outsourcing suspends the
effects of the termination pending resolution of the labor dispute
by the Dole," the inter-office document, obtained by the Inquirer,
said. "In other words, the planned spin-off/outsource shall not
take effect as scheduled on May 31," the memo said.
"In the meantime, employees who have received the termination
letters shall continue to report for work and PAL shall continue
to admit the workers," PAL said.
As reported in the Troubled Company Reporter-Asia Pacific on
April 21, 2010, the Manila Bulletin said that the Philippine
Airlines is spinning off its three non-core units as a last resort
to avoid bankruptcy. PAL will spin off its three non-core units:
inflight catering services; airport services, including ground
handling, cargo handling and ramp handling; and call center
reservations by May 31, the Manila Bulletin said.
According to The Manila Standard Today, the PAL Employees Union
estimated that 2,000 to 4,000 employees assigned to those
departments could be retired.
The Manila Standard related that PAL president Jaime Bautista said
competition from overseas carriers, slower global economic growth,
and higher oil prices had prompted the airline to slash its non-
core businesses.
According to the Manila Standard, the carrier had approached
several investors but failed to secure financial help, and equity
had dropped to a worrisome US$1.1 million as of February. "We
approached the government for help but it, too, was in dire
financial straits," the Manila Standard quoted Mr. Bautista as
saying.
The Manila Standard disclosed the airline reported a net loss of
$40.2 million in the first nine months of the fiscal year that
ended in December, from a net loss of $330.2 million a year
earlier. The Manila Standard said PAL'S revenues rose 15% to
$1.08 billion, but expenses, at $1.1 billion, overran the cash
flow, threatening debt payments to foreign creditors.
About Philippine Airlines
Philippine Airlines -- http://www.philippineairlines.com/-- is
the Philippines' national airline. It was the first airline in
Asia and the oldest of those currently in operation. With its
corporate headquarters in Makati City, Philippine Airlines flies
both domestic and international flights. First taking off in
1941, the carrier has grown into a fleet of about 40 aircraft
(including five Boeing 747-400s) flying to more than 20 domestic
points and about 30 foreign destinations.
=================
S I N G A P O R E
=================
ASSOCIATED DEVELOPMENT: Nine Properties Put Under Liquidation Sale
------------------------------------------------------------------
Nine properties belonging to three companies that are under
liquidation have been put up for sale by public tender, Today
Online reports.
According to the report, they were made available after the High
Court of Singapore ordered their owning solvent family companies
-- Associated Development Private Ltd, Chow Cho Poon (Private)
Limited and Lee Tung Company -- to wind up and liquidate in 2007.
Today Online says the liquidator, Mr. Tam Chee Chong of Deloitte &
Touche LLP, has appointed property consultancy firm DTZ to market
the properties.
DTZ said it expects a good uptake in the tenders, based on
interest among potential buyers during the pre-launch.
The sites mostly comprise adjoining shophouses, some with 999-year
leases. They range from residential, commercial and mixed-used
developments in areas including Lavender Street, Lorong Telok and
Upper Serangoon Road.
The tender for the sites will be closed in succession between
July 7 and July 15.
As part of the liquidation process, the assets of the companies
will be realized and distributed among the shareholders.
===============
X X X X X X X X
===============
* Large Companies with Insolvent Balance Sheets
-----------------------------------------------
Total
Total Shareholders
Assets Equity
Company Ticker (US$MM) (US$MM)
------- ------ ------ ------------
AUSTRALIA
ADVANCE HEAL-NEW AHGN 16.93 -8.23
AUSTAR UNITED AUN 568.69 -325.83
AUSTRAILIAN Z-PP AZCCA 77.74 -2.57
AUSTRALIAN ZIRC AZC 77.74 -2.57
AUTRON CORP LTD AAT 32.50 -13.46
BCD RESOURCES OP BCO 22.09 -61.19
BCD RESOURCES-PP BCOCC 22.09 -61.19
BIRON APPAREL LT BIC 19.71 -2.22
CENTRO PROPERTIE CNP 14,784.56 -461.11
CHALLENGER INF-A CIF 2,307.01 -104.58
CHEMEQ LTD CMQ 25.19 -24.25
CITY PACIFIC LTD CIY 171.50 -6.38
D2 MARKETING LTD DTO 16.70 -4.04
ELLECT HOLDINGS EHG 18.25 -15.49
HEALTH CORP LTD HEA 13.85 -0.97
HYRO LTD HYO 11.59 -4.73
IVANHOE AUST LTD IVA 49.44 -6.51
JAMES HARDIE NV JHXCC 2,130.90 -131.10
JAMES HARDIE-CDI JHX 2,130.90 -131.10
MAC COMM INFR-CD MCGCD 8,104.42 -103.34
ORION GOLD NL ORN 12.37 -24.99
POWERLAN LTD PWR 30.84 -5.94
RESIDUAL ASSC-EE RAGXF 597.33 -126.96
SCIGEN LTD-CUFS SIE 71.22 -25.69
SHELL VILLAGES A SVC 13.47 -1.66
VERTICON GROUP VGP 15.07 -29.20
CHINA
BAO LONG ORIENTA 600988 11.60 -7.44
CHANGAN INFO-A 600706 19.27 -7.62
CHENGDE DALU -B 200160 26.76 -5.73
CHENGDU UNION-A 693 41.39 -12.35
CHINA KEJIAN-A 35 84.21 -182.60
DATONG CEMENT-A 673 21.25 -1.54
DONGGUAN FANGD-A 600656 22.26 -59.02
DONGXIN ELECTR-A 600691 13.53 -19.38
GAOXIN ZHANGTO-A 2075 110.44 -39.93
GUANGMING GRP -A 587 46.25 -38.70
GUANGXIA YINCH-A 557 30.99 -29.72
HAINAN ZHUXIN-A 600515 123.22 -2.37
HEBEI BAOSHUO -A 600155 110.09 -387.99
HEBEI JINNIU C-A 600722 227.88 -230.19
HISENSE KELON -H 921 618.47 -107.13
HISENSE KELON-A 921 618.47 -107.13
HUASU HOLDINGS-A 509 86.39 -3.82
HUDA TECHNOLOG-A 600892 21.39 -2.55
HUNAN ANPLAS CO 156 44.13 -69.23
JINCHENG PAPER-A 820 250.82 -5.71
JINHUA GROUP-A 818 335.97 -31.40
LIAOYUAN DEHENG 600699 121.62 -29.14
MUDAN AUTOMOBI-H 8188 30.41 -1.10
NINGBO YIDONG-H 8249 42.61 -30.79
QINGHAI SUNSHI-A 600381 68.98 -25.40
SHAANXI QINLIN-A 600217 233.70 -34.38
SHANG BROAD-A 600608 74.98 -19.72
SHANG HONGSHENG 600817 15.44 -457.23
SHANGHAI WORLDBE 600757 153.10 -190.22
SHENZ CHINA BI-A 17 24.86 -272.59
SHENZ CHINA BI-B 200017 24.86 -272.59
SHENZHEN DAWNC-A 863 27.13 -150.10
SHENZHEN KONDA-A 48 118.96 -0.71
SHENZHEN SHENX-A 34 23.81 -118.24
SHENZHEN ZERO-A 7 50.66 -9.39
SHIJIAZHUANG D-A 958 225.44 -69.75
SICHUAN DIRECT-A 757 103.79 -134.42
SUNTEK TECHNOL-A 600728 62.08 -15.09
TAIYUAN TIANLO-A 600234 51.10 -25.99
TIANJIN MARINE 600751 78.09 -63.86
TIANJIN MARINE-B 900938 78.09 -63.86
TIBET SUMMIT I-A 600338 87.44 -0.85
TOPSUN SCIENCE-A 600771 170.01 -152.79
WINOWNER GROUP C 600681 10.58 -71.05
WUHAN BOILER-B 200770 286.45 -140.07
WUHAN GUOYAO-A 600421 11.05 -23.63
WUHAN LINUO SOLA 600885 80.33 -0.50
XIAMEN OVERSEA-A 600870 288.01 -142.19
YANBIAN SHIXIA-A 600462 205.51 -13.20
YIBIN PAPER IN-A 600793 113.93 -0.74
YUEYANG HENGLI-A 622 38.14 -14.95
YUNNAN MALONG-A 600792 143.63 -36.68
ZHANGJIAJIE TO-A 430 45.95 -4.59
ZHONGCHANG MAR-A 600242 19.68 -1.33
HONG KONG
ASIA TELEMEDIA L 376 16.62 -5.37
CHAOYUE GROUP LT 147 42.69 -127.80
CHINA E-LEARNING 8055 12.20 -30.48
CHINA GOLDEN DEV 162 255.15 -4.51
CROSBY CAPITAL 8088 21.11 -10.50
DRAGONLOTT ENTER 8078 39.23 -5.35
EGANAGOLDPFEIL 48 557.89 -132.86
FULBOND HLDGS 1041 80.19 -59.51
GLOBAL FLEX HLDG 471 38.50 -8.34
JACKIN INTL HLDG 630 50.53 -1.92
JIAN EPAYMENT 8165 15.39 -1.17
KING STONE ENERG 663 483.80 -64.12
MELCOLOT LTD 8198 65.62 -25.95
MITSUMARU EAST K 2358 21.23 -9.04
NEW CITY CHINA 456 112.20 -14.59
NGAI LIK INDL 332 132.82 -4.76
PAC PLYWOOD 767 68.66 -12.31
PALADIN LTD 495 155.31 -10.91
PALADIN LTD -PRE 642 155.31 -10.91
PCCW LTD 8 5,801.75 -261.18
PROVIEW INTL HLD 334 314.87 -294.85
SINO RESOURCES G 223 33.92 -58.77
INDONESIA
ASIA PACIFIC POLY 482.03 -831.23
ERATEX DJAJA ERTX 10.05 -15.29
JAKARTA KYOEI ST JKSW 28.00 -39.75
KARWELL INDONESI KARW 10.75 -9.36
MULIA INDUSTRIND MLIA 341.62 -371.31
PANASIA FILAMENT PAFI 48.90 -3.97
PANCA WIRATAMA PWSI 28.98 -35.49
PRIMARINDO ASIA BIMA 10.01 -21.31
STEADY SAFE TBK SAFE 12.26 -7.55
SURABAYA AGUNG SAIP 254.61 -85.54
UNITEX TBK UNTX 15.15 -14.59
INDIA
ALCOBEX METALS AML 16.59 -21.47
ARTSON ENGR ART 15.63 -1.61
ASHIMA LTD ASHM 59.92 -47.15
BALAJI DISTILLER BLD 51.16 -38.38
BELLARY STEELS BSAL 451.68 -108.50
BHAGHEERATHA ENG BGEL 22.65 -28.20
CAMBRIDGE SOLUTI CAMB 156.75 -46.79
CFL CAPITAL FIN CEATF 14.31 -40.04
COMPUTERSKILL CPS 14.90 -7.56
CORE HEALTHCARE CPAR 185.36 -241.91
DCM FINANCIAL SE DCMFS 16.54 -10.99
DIGJAM LTD DGJM 98.77 -14.62
DISH TV INDIA DITV 422.08 -127.61
DUNCANS INDUS DAI 116.96 -183.24
GANESH BENZOPLST GBP 43.99 -24.57
GEM SPINNERS LTD GEMS 15.23 -0.11
GLOBAL BOARDS GLB 25.15 -0.79
GSL INDIA LTD GSL 37.04 -42.34
GSL NOVA PETROCH GSLN 44.39 -0.93
GUJARAT SIDHEE GSCL 59.44 -0.66
HARYANA STEEL HYSA 10.83 -5.91
HENKEL INDIA LTD HNKL 102.05 -10.24
HFCL INFOTEL LTD HFCL 151.65 -85.81
HIMACHAL FUTURIS HMFC 406.63 -210.98
HINDUSTAN PHOTO HPHT 68.94 -1,147.18
HINDUSTAN SYNTEX HSYN 12.68 -1.79
HMT LTD HMT 139.31 -277.69
ICDS ICDS 13.30 -6.17
INDIA FOILS LTD IF 22.01 -2.04
INFOMEDIA 18 LTD INF18 35.80 -1.94
INTEGRAT FINANCE IFC 45.56 -43.27
ITI LTD ITI 1,116.21 -0.80
JCT ELECTRONICS JCTE 122.54 -50.00
JD ORGOCHEM LTD JDO 10.46 -1.60
JENSON & NIC LTD JN 15.93 -74.33
JIK INDUS LTD KFS 20.63 -5.62
JK SYNTHETICS JKS 13.51 -3.03
JOG ENGINEERING VMJ 50.08 -10.08
KALYANPUR CEMENT KCEM 32.04 -26.76
KERALA AYURVEDA KRAP 13.41 -0.59
KINGFISHER AIR KAIR 1,458.64 -418.91
LLOYDS FINANCE LYDF 27.68 -8.64
LLOYDS STEEL IND LYDS 358.94 -83.14
MILLENNIUM BEER MLB 36.39 -3.20
MILTON PLASTICS MILT 18.31 -40.44
NATH PULP & PAP NPPM 13.59 -39.13
NICCO UCO ALLIAN NICU 28.84 -56.77
ORIENT PRESS LTD OP 16.70 -0.09
PANCHMAHAL STEEL PMS 51.02 -0.33
PANYAM CEMENTS PYC 38.84 -0.64
PARASRAMPUR SYN PPS 111.97 -317.11
PAREKH PLATINUM PKPL 61.08 -88.85
PEACOCK INDS LTD PCOK 11.40 -14.40
PIRAMAL LIFE SC PLSL 32.05 -3.73
POLAR INDS LTD PLI 11.61 -22.28
RAMA PHOSPHATES RMPH 34.07 -1.19
RATHI ISPAT LTD RTIS 44.56 -3.93
RELIGARE TECHNOV RTCL 44.13 -1.46
RENOWNED AUTO PR RAP 14.12 -1.25
ROLLATAINERS LTD RLT 22.97 -22.24
ROYAL CUSHION RCVP 20.22 -62.97
SCOOTERS INDIA SCTR 13.29 -0.58
SHALIMAR WIRES SWRI 24.49 -49.90
SHAMKEN COTSYN SHC 23.13 -6.17
SHAMKEN MULTIFAB SHM 60.55 -13.26
SHAMKEN SPINNERS SSP 42.18 -16.76
SHREE RAMA MULTI SRMT 63.73 -52.93
SIDDHARTHA TUBES SDT 70.93 -12.09
SIL BUSINESS ENT SILB 12.46 -19.96
SOUTHERN PETROCH SPET 1,543.61 -35.61
SPICEJET LTD SJET 147.98 -84.65
STERLING HOL RES SLHR 52.91 -0.63
STI INDIA LTD STIB 28.05 -8.04
TAMILNADU TELE TNT 10.26 -4.14
TATA TELESERVICE TTLS 1,069.83 -154.99
TRIUMPH INTL OXIF 58.46 -14.18
TRIVENI GLASS TRSG 24.39 -8.90
UNIWORTH LTD WW 145.71 -114.87
USHA INDIA LTD USHA 12.06 -54.51
VENTURA TEXTILES VRTL 14.25 -0.33
WINDSOR MACHINES WML 14.50 -28.14
WIRE AND WIRELES WNW 102.42 -37.06
JAPAN
ARDEPRO 8925 310.82 -253.28
COMMERCIAL RE 8866 296.85 -0.35
COSMOS INITIA CO 8844 1,652.69 -564.01
DON CO LTD 8216 147.78 -20.12
FLIGHT SYS CONSU 3753 14.88 -1.07
HARAKOSAN CO 8894 225.69 -62.68
ICHITAN CO LTD 5645 99.16 -4.38
JIPANGU HOLDINGS 2684 15.05 -8.38
L CREATE CO LTD 3247 42.34 -9.15
LAWSON ENTMEDIA 2416 71.17 -85.64
LCA HOLDINGS COR 4798 49.52 -2.24
MORISHITA CO LTD 3594 170.16 -6.92
PROPERST CO LTD 3236 303.29 -415.76
RAYTEX CORP 6672 61.49 -3.49
SAIKAYA CO LTD 8254 375.83 -72.59
SHINWA OX CORP 2654 61.39 -12.95
TERRANETZ CO LTD 2140 11.63 -4.29
KOREA
AJU MEDIA SOL-PF 44775 13.82 -1.25
DAHUI CO LTD 55250 186.00 -1.50
DAISHIN INFO 20180 740.50 -158.45
KEYSTONE GLOBAL 12170 10.61 -0.74
KUKDONG CORP 5320 51.19 -1.39
KUMHO INDUS-PFD 2995 5,837.32 -967.28
KUMHO INDUSTRIAL 2990 5,837.32 -967.28
ORICOM INC 10470 82.65 -40.04
ROCKET ELEC-PFD 425 68.58 -2.14
ROCKET ELECTRIC 420 68.58 -2.14
SAMT CO LTD 31330 303.86 -77.57
TAESAN LCD CO 36210 296.83 -91.03
TONG YANG MAGIC 23020 355.15 -25.77
YOUILENSYS CORP 38720 166.70 -12.34
MALAYSIA
AXIS INCORPORATI AXIS 37.88 -80.60
HO HUP CONSTR CO HO 73.63 -4.31
LCL CORP BHD LCL 78.28 -72.28
LIMAHSOON BHD LIMA 26.52 -1.56
MANGOTONE GROUP MTON 12.44 -9.21
OILCORP BHD OILC 152.96 -35.28
SINOTOP HOLDING SNHB 22.80 -0.41
WONDERFUL WIRE WW 11.70 -16.48
WWE HOLDINGS BHD WWE 66.24 -1.88
NEW ZEALAND
DOMINION FINANCE DFH 258.90 -55.31
PHILIPPINES
APEX MINING 'B' APXB 45.84 -20.95
APEX MINING-A APX 45.84 -20.95
BENGUET CORP 'B' BCB 75.49 -37.05
BENGUET CORP-A BC 75.49 -37.05
CYBER BAY CORP CYBR 13.30 -83.83
EAST ASIA POWER PWR 42.01 -159.00
FIL ESTATE CORP FC 37.29 -11.36
FILSYN CORP A FYN 22.00 -10.28
FILSYN CORP. B FYNB 22.00 -10.28
GOTESCO LAND-A GO 18.68 -10.86
GOTESCO LAND-B GOB 18.68 -10.86
MRC ALLIED INC MRC 13.04 -3.68
PICOP RESOURCES PCP 105.66 -23.33
PRIME ORION PHIL POPI 90.35 -5.12
STENIEL MFG STN 28.67 -1.48
UNIVERSAL RIGHTF UP 45.12 -13.48
UNIWIDE HOLDINGS UW 52.80 -56.18
VICTORIAS MILL VMC 178.06 -36.66
SINGAPORE
ADV SYSTEMS AUTO ASA 11.69 -13.16
ADVANCE SCT LTD ASCT 16.05 -43.84
FALMAC LTD FAL 10.12 -6.80
HL GLOBAL ENTERP HLGE 92.82 -11.57
INFORMATICS EDU INFO 24.56 -0.01
JURONG TECH IND JTL 98.76 -227.28
LINDETEVES-JACOB LJ 151.66 -86.53
SUNMOON FOOD COM SMOON 14.65 -13.74
TIGER AIRWAYS TGR 122.90 -71.92
TT INTERNATIONAL TTI 287.51 -38.28
WESTECH ELECTRON WTE 20.26 -13.94
THAILAND
ABICO HLDGS-F ABICO/F 15.28 -4.40
ABICO HOLDINGS ABICO 15.28 -4.40
ABICO HOLD-NVDR ABICO-R 15.28 -4.40
ASCON CONSTR-NVD ASCON-R 59.78 -3.37
ASCON CONSTRUCT ASCON 59.78 -3.37
ASCON CONSTRU-FO ASCON/F 59.78 -3.37
BANGKOK RUBBER BRC 90.30 -65.13
BANGKOK RUBBER-F BRC/F 90.30 -65.13
BANGKOK RUB-NVDR BRC-R 90.30 -65.13
CIRCUIT ELEC PCL CIRKIT 17.39 -88.00
CIRCUIT ELEC-FRN CIRKIT/F 17.39 -88.00
CIRCUIT ELE-NVDR CIRKIT-R 17.39 -88.00
DATAMAT PCL DTM 12.69 -6.13
DATAMAT PCL-NVDR DTM-R 12.69 -6.13
DATAMAT PLC-F DTM/F 12.69 -6.13
ITV PCL ITV 33.88 -90.93
ITV PCL-FOREIGN ITV/F 33.88 -90.93
ITV PCL-NVDR ITV-R 33.88 -90.93
K-TECH CONSTRUCT KTECH 39.74 -33.07
K-TECH CONSTRUCT KTECH/F 39.74 -33.07
K-TECH CONTRU-R KTECH-R 39.74 -33.07
KUANG PEI SAN POMPUI 17.70 -12.74
KUANG PEI SAN-F POMPUI/F 17.70 -12.74
KUANG PEI-NVDR POMPUI-R 17.70 -12.74
PATKOL PCL PATKL 52.89 -30.64
PATKOL PCL-FORGN PATKL/F 52.89 -30.64
PATKOL PCL-NVDR PATKL-R 52.89 -30.64
PICNIC CORPORATI PICNI 162.04 -79.86
PICNIC CORPORATI PICNI/F 162.04 -79.86
PICNIC CORPORATI PICNI-R 162.04 -79.86
PONGSAAP PCL PSAAP 25.95 -6.20
PONGSAAP PCL PSAAP/F 25.95 -6.20
PONGSAAP PCL-NVD PSAAP-R 25.95 -6.20
SAFARI WORLD PUB SAFARI 103.18 -17.83
SAFARI WORLD-FOR SAFARI/F 103.18 -17.83
SAFARI WORL-NVDR SAFARI-R 103.18 -17.83
SAHAMITR PRESS-F SMPC/F 21.99 -4.01
SAHAMITR PRESSUR SMPC 21.99 -4.01
SAHAMITR PR-NVDR SMPC-R 21.99 -4.01
SUNWOOD INDS PCL SUN 19.86 -13.03
SUNWOOD INDS-F SUN/F 19.86 -13.03
SUNWOOD INDS-NVD SUN-R 19.86 -13.03
THAI-DENMARK PCL DMARK 15.72 -10.10
THAI-DENMARK-F DMARK/F 15.72 -10.10
THAI-DENMARK-NVD DMARK-R 15.72 -10.10
TRANG SEAFOOD TRS 12.09 -2.26
TRANG SEAFOOD-F TRS/F 12.09 -2.26
TRANG SFD-NVDR TRS-R 12.09 -2.26
UNIVERSAL S-NVDR USC-R 105.34 -33.13
UNIVERSAL STARCH USC 105.34 -33.13
UNIVERSAL STAR-F USC/F 105.34 -33.13
TAIWAN
CHIEN TAI CEMENT 1107 202.45 -22.41
HELIX TECH-EC 2479T 23.39 -24.12
HELIX TECH-EC IS 2479U 23.39 -24.12
HELIX TECHNOL-EC 2479S 23.39 -24.12
TAIWAN KOL-E CRT 1606U 507.21 -147.14
TAIWAN KOLIN-EN 1606V 507.21 -147.14
TAIWAN KOLIN-ENT 1606W 507.21 -147.14
VERTEX PREC-ENTL 5318T 43.04 -2.31
VERTEX PRECISION 5318 43.04 -2.31
YEU TYAN MACHINE 8702 39.57 -271.07
*********
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 ***