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        T R O U B L E D   C O M P A N Y   R E P O R T E R

                     A S I A   P A C I F I C

           Thursday, September 9, 2010, Vol. 13, No. 178

                            Headlines



A U S T R A L I A

PRIME INFRASTRUCTURE: Moody's Withdraws 'Ba2' Corp. Family Rating


H O N G  K O N G

BARLEY TREASURE: Court Enters Wind-Up Order
CHAMPION POINT: Court Enters Wind-Up Order
CHAT HAY: Court Enters Wind-Up Order
CHUNG MING: Stephen Briscoe Steps Down as Liquidator
CLASSTEX INTERNATIONAL: Court Enters Wind-Up Order

CLUB REGENCY: Court Enters Wind-Up Order
DA DA: Court Enters Wind-Up Order
DAVENHAM ENGINEERING: Stephen Briscoe Steps Down as Liquidator
DRESDNER KLEINWORT: Ying and Chan Step Down as Liquidators
DRESDNER KLEINWORT (CHINA): Ying and Chan Step Down as Liquidators

DRESDNER KLEINWORT (HK): Ying and Chan Step Down as Liquidators
E-TECH INT'L: Court to Hear Wind-Up Petition on October 20
EURO-PACIFIC AVIATION: Creditors' Proofs of Debt Due October 4
EVERTRADE INTERNATIONAL: Court Enters Wind-Up Order
FAITH KINGDOM: Court Enters Wind-Up Order

FAN IN: Court Enters Wind-Up Order
FULL PROFIT: Court Enters Wind-Up Order
GRANDNEWS INT'L: Court to Hear Wind-Up Petition on October 27
GRANVILLE TEXTILES: Kong Chi How Johnson Steps Down as Liquidator
HARBON LIMITED: Court Enters Wind-Up Order

HELTECH (GROUP): Court Enters Wind-Up Order
HOLLYWORLD DEVELOPMENT: Court Enters Wind-Up Order
IMAGI SERVICES: Keung and Wai Appointed as Liquidators
JADE SOURCE: Court Enters Wind-Up Order
J. B. JEWELRY: Court to Hear Wind-Up Petition on October 13

LUNAR FUNDING: S&P Withdraws Rating on Series 2006-24 Notes


I N D I A

ACE PIPELINE: CRISIL Reaffirms 'BB+' Rating on INR7.7M Cash Credit
AIR INDIA: To Restore Cancelled AI Express Flights to Gulf
AMRAPALI SAPPHIRE: ICRA Puts 'LBB+' Rating on INR125cr Term Loan
GALLANTT ISPAT: Fitch Downgrades National Long-Term Rating to 'B+'
GLOBION INDIA: CRISIL Reaffirms 'BB' Rating on INR430.7MM LT Loan

GRAINOTCH INDUSTRIES: CRISIL Assigns 'D' Rating to INR390MM Loan
HUSSAIN SHETH: CRISIL Places 'BB-' Rating on INR111.6M Cash Credit
KAYGAON PAPER: ICRA Places 'LBB' Rating on INR3.5cr Term Loans
KEHEM LAND: CRISIL Rates INR350 Million Long-Term Loan at 'B+'
LAKSHMI GANAPATHI: CRISIL Assigns 'D' Rating to INR46MM Term Loan

MAKRO CAST: CRISIL Assigns 'BB' Rating to INR99.1 Million LT Loan
NANDI VARDHANA: ICRA Reaffirms 'LBB' Rating to INR16.11cr Loan
ROHIT IRON: CRISIL Rates INR160 Million Cash Credit at 'B'
SODHI BROS: CRISIL Reaffirms 'D' Rating on INR175MM Term Loan
VEEKAY PLAST: ICRA Assigns 'LBB' Rating to INR6.5cr LT Bank Debts


I N D O N E S I A

MEDCO ENERGI: Moody's Changes Outlook on 'B2' Ratings to Stable


K O R E A

SSANGYONG MOTORS: Mahindra Aims for Debt-Free Ssangyong


M A L A Y S I A

FOUNTAIN VIEW: Bursa Malaysia to Delist Securities on September 22
GENERAL CORP: Classified as Affected Listed Issuer Under PN17


N E W  Z E A L A N D

SOUTH CANTERBURY: Opposition Parties Want Open Inquiry Into SCF
STRATEGIC FINANCE: Wins Ruling Over Duff Property Debt


S I N G A P O R E

BEAUTY SAINT: Court to Hear Wind-Up Petition on September 17
BM PARTNERS: Creditors' Proofs of Debt Due October 7
CARMENTA SHIPPING: Creditors' Proofs of Debt Due October 8
CONSULT ASIA: Court to Hear Wind-Up Petition on September 24
ENG'G. CONSTRUCTION: Court to Hear Wind-Up Petition on Sept. 17

ENSEARCH PETROLEUM: Court Enters Judicial Management Order
ENVIRONMENT MANAGEMENT: Creditors' Proofs of Debt Due September 22
ORBONA SHIPPING: Creditors' Proofs of Debt Due October 8
THIRD WIND: Court to Hear Wind-Up Petition on September 17


T H A I L A N D

THANACHART BANK: Fitch Affirms Individual Rating at 'C/D'
THANACHART BANK: Fitch Corrects Press Release on Ratings




                         - - - - -


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


PRIME INFRASTRUCTURE: Moody's Withdraws 'Ba2' Corp. Family Rating
-----------------------------------------------------------------
Moody's Investors Service has withdrawn its Ba2 corporate family
rating of Prime Infrastructure Group.  Moody's has also withdrawn
the senior secured credit facility ratings of Prime Infrastructure
Finance Ltd Pty, the senior secured credit facility ratings of
Prime Infrastructure Networks (New Zealand) and the NZ$150 million
senior secured bond rating of Prime Infrastructure Networks
(New Zealand).

                        Ratings Rationale

Moody's Investors Service has withdrawn the credit ratings for its
own business reasons.

On August 24, 2010, Moody's changed the outlook for Prime's
ratings to developing from stable following the announcement by
Prime and Brookfield Infrastructure Finance L.P. (unrated) that
both entities have entered into a merger agreement via a Scheme of
Arrangement.  It was also announced that BIP will also make a
concurrent takeover bid for Prime, in the event the Scheme does
not proceed.  The change in outlook to developing reflected the
degree of uncertainty over the resulting credit profile of Prime
and the combined entity, should the transaction proceed.

The last rating action with respect to Prime was taken on
November 26, 2009, when Moody's upgraded Prime's CFR to Ba2 and
Prime Infrastructure Finance's senior secured rating to Ba3
following the successful completion of Prime's recapitalization.

Prime's ratings were assigned by evaluating factors Moody's
believe are relevant to the credit profile of the issuer, such as
Prime's i) business risk and competitive position versus other
companies within the industry; ii) capital structure and financial
risk; iii) projected performance over the near to intermediate
term; and iv) management's track record and tolerance for risk.
These attributes were compared with other issuers both within and
outside Prime's core industry.

Prime, based in Sydney, is an infrastructure fund which owns a
series of infrastructure assets in Australia, New Zealand, UK,
Europe and the US.

                      Regulatory Disclosures

MOODY'S adopts all necessary measures so that the information it
uses in assigning a credit rating is of sufficient quality and
from sources MOODY'S considers to be reliable including, when
appropriate, independent third-party sources.  However, MOODY'S is
not an auditor and cannot in every instance independently verify
or validate information received in the rating process.

Please see ratings tab on the issuer/entity page on Moodys.com for
the last rating action and the rating history.


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


BARLEY TREASURE: Court Enters Wind-Up Order
-------------------------------------------
The High Court of Hong Kong entered an order on July 29, 2010, to
wind up the operations of Barley Treasure Holdings Limited.

The company's liquidator is:

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


CHAMPION POINT: Court Enters Wind-Up Order
------------------------------------------
The High Court of Hong Kong entered an order on October 15, 2009,
to wind up the operations of Champion Point Investment Limited.

The company's liquidator is:

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


CHAT HAY: Court Enters Wind-Up Order
------------------------------------
The High Court of Hong Kong entered an order on August 5, 2010, to
wind up the operations of Chat Hay Inter-United (Asia) Limited.

The company's liquidator is:

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


CHUNG MING: Stephen Briscoe Steps Down as Liquidator
----------------------------------------------------
Stephen Briscoe stepped down as liquidator of Chung Ming
Construction Limited on August 17, 2010.


CLASSTEX INTERNATIONAL: Court Enters Wind-Up Order
--------------------------------------------------
The High Court of Hong Kong entered an order on April 28, 2009, to
wind up the operations of Classtex International Company Limited.

The company's liquidator is:

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


CLUB REGENCY: Court Enters Wind-Up Order
----------------------------------------
The High Court of Hong Kong entered an order on July 15, 2010, to
wind up the operations of Club Regency Limited.

The company's liquidator is Lau Siu Hung.


DA DA: Court Enters Wind-Up Order
---------------------------------
The High Court of Hong Kong entered an order on October 18, 2007,
to wind up the operations of Da Da Reverse Recruit Limited.

The company's liquidator is:

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


DAVENHAM ENGINEERING: Stephen Briscoe Steps Down as Liquidator
--------------------------------------------------------------
Stephen Briscoe stepped down as liquidator of Davenham Engineering
Projects Limited on August 25, 2010.


DRESDNER KLEINWORT: Ying and Chan Step Down as Liquidators
----------------------------------------------------------
Mr. Ying Hing Chiu and Ms Chan Mi Har stepped down as liquidators
of Dresdner Kleinwort Securities (Asia) Holdings Limited on
August 24, 2010.


DRESDNER KLEINWORT (CHINA): Ying and Chan Step Down as Liquidators
------------------------------------------------------------------
Mr. Ying Hing Chiu and Ms Chan Mi Har stepped down as liquidators
of Dresdner Kleinwort (China) Limited on August 24, 2010.


DRESDNER KLEINWORT (HK): Ying and Chan Step Down as Liquidators
---------------------------------------------------------------
Mr. Ying Hing Chiu and Ms Chan Mi Har stepped down as liquidators
of Dresdner Kleinwort (Hong Kong) Limited on August 24, 2010.


E-TECH INT'L: Court to Hear Wind-Up Petition on October 20
----------------------------------------------------------
A petition to wind up the operations E-Tech International Trading
Co. Limited will be heard before the High Court of Hong Kong on
October 20, 2010, at 9:30 a.m.

Hanwha International (Shanghai) Co. Ltd filed the petition against
the company on August 17, 2010.

The Petitioner's solicitors are:

          Messrs. Liu, Chan and Lam
          Rooms 1710-18, 17th Floor
          Hutchison House
          No. 10 Harcourt Road
          Central, Hong Kong


EURO-PACIFIC AVIATION: Creditors' Proofs of Debt Due October 4
--------------------------------------------------------------
Creditors of Euro-Pacific Aviation International Limited, which is
in members' voluntary liquidation, are required to file their
proofs of debt by October 4, 2010, to be included in the company's
dividend distribution.

The company commenced wind-up proceedings on August 23, 2010.

The company's liquidator is:

         Andrew Morrison Paul
         23rd Floor, Tung Hip Commercial Building
         244 Des Voeux Road
         Central, Hong Kong


EVERTRADE INTERNATIONAL: Court Enters Wind-Up Order
---------------------------------------------------
The High Court of Hong Kong entered an order on January 6, 2009,
to wind up the operations of Evertrade International Investment
Enterprises Limited.

The company's liquidator is:

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


FAITH KINGDOM: Court Enters Wind-Up Order
-----------------------------------------
The High Court of Hong Kong entered an order on August 14, 2008,
to wind up the operations of Faith Kingdom Limited.

The company's liquidator is:

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


FAN IN: Court Enters Wind-Up Order
----------------------------------
The High Court of Hong Kong entered an order on August 28, 2009,
to wind up the operations of Fan In Arts and Crafts Company
Limited.

The company's liquidator is:

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


FULL PROFIT: Court Enters Wind-Up Order
---------------------------------------
The High Court of Hong Kong entered an order on August 5, 2010, to
wind up the operations of Full Profit Industrial Limited.

The company's liquidator is:

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


GRANDNEWS INT'L: Court to Hear Wind-Up Petition on October 27
-------------------------------------------------------------
A petition to wind up the operations Grandnews International
(Group) Holdings Limited will be heard before the High Court of
Hong Kong on October 27, 2010, at 9:30 a.m.

The Petitioner's solicitors are:

          Chong & Partners
          8/F, BOC Group Life Assurance Tower
          136 Des Voeux Road Central
          Hong Kong


GRANVILLE TEXTILES: Kong Chi How Johnson Steps Down as Liquidator
-----------------------------------------------------------------
Kong Chi How Johnson stepped down as liquidator of Granville
Textiles Limited on August 24, 2010.


HARBON LIMITED: Court Enters Wind-Up Order
------------------------------------------
The High Court of Hong Kong entered an order on July 2, 2010, to
wind up the operations of Harbon Limited.

The company's liquidator is Lau Siu Hung.


HELTECH (GROUP): Court Enters Wind-Up Order
-------------------------------------------
The High Court of Hong Kong entered an order on May 7, 2009, to
wind up the operations of Heltech (Group) Limited.

The company's liquidator is:

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


HOLLYWORLD DEVELOPMENT: Court Enters Wind-Up Order
--------------------------------------------------
The High Court of Hong Kong entered an order on July 2, 2010, to
wind up the operations of Hollyworld Development Limited.

The company's liquidator is Lau Siu Hung.


IMAGI SERVICES: Keung and Wai Appointed as Liquidators
------------------------------------------------------
Stephen Liu Yiu Keung and David Yen Ching Wai on July 21, 2010,
were appointed as liquidators of Imagi Services Limited.

The liquidators may be reached at:

         Stephen Liu Yiu Keung
         David Yen Ching Wai
         62/F One Island
         East 18, Westlands Road
         Island East, Hong Kong


JADE SOURCE: Court Enters Wind-Up Order
---------------------------------------
The High Court of Hong Kong entered an order on April 28, 2009, to
wind up the operations of Jade Source International Group Limited.

The company's liquidator is:

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


J. B. JEWELRY: Court to Hear Wind-Up Petition on October 13
-----------------------------------------------------------
A petition to wind up the operations J. B. Jewelry (HK) Limited
will be heard before the High Court of Hong Kong on October 13,
2010, at 9:30 a.m.

DBS Bank (Hong Kong) Limited filed the petition against the
company on Aug. 23, 2010.

The Petitioner's solicitors are:

          Wilkinson & Grist
          6th Floor, Prince Building
          Chater Road, Central
          Hong Kong


LUNAR FUNDING: S&P Withdraws Rating on Series 2006-24 Notes
-----------------------------------------------------------
Standard & Poor's Ratings Services withdrew its rating on Series
2006-24 credit-linked notes issued by Lunar Funding V PLC
following the unwinding of the notes.

The rating action on the affected transaction is:

  Name                                 Rating To    Rating From
  ----                                 ---------    -----------
  Lunar Funding V PLC Series 2006-24   N.R.          D (sf)

                         N.R. - Not rated


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


ACE PIPELINE: CRISIL Reaffirms 'BB+' Rating on INR7.7M Cash Credit
------------------------------------------------------------------
CRISIL's ratings on the bank facilities of Ace Pipeline Contracts
Pvt Ltd continue to reflect APC's deteriorating financial risk
profile, driven by the new loans contracted for meeting increased
working capital requirements and for buying equipment and
machinery for executing new orders, its low net worth, and
exposure to risks relating to uncertainties inherent to tender-
based contract jobs.  These weaknesses are partially offset by
APC's improved revenue visibility because of its strong order book
and its established track record with wide geographical presence
in pipeline laying business.

   Ratings                            Facilities
   -------                            ----------
   INR7.7 Million Cash Credit         BB+/Negative (Reaffirmed)
   INR350.0 Million Bank Guarantee    P4+ (Reaffirmed)

Outlook: Negative

CRISIL believes that APC's financial risk profile is likely to
deteriorate given debt-funded capex and incremental working
capital funding requirements.  The rating may be revised downwards
if the company undertakes a significant debt-funded capital
expenditure (capex) programme over the medium term, leading to
deterioration in its financial risk profile.  Conversely, the
outlook may be revised to 'Stable' if APC is able to significantly
scale up its operations while maintaining its capital structure.

Update

APC is expected to report revenues of INR641 million for 2009-10
(refers to financial year, April 1 to March 31), an increase of 24
per cent compared with the previous year, on the back of new
orders from GAIL (India) Limited and Oil and Natural Gas
Corporation Limited.  The company had a larger-than-expected capex
of INR42 million for buying new machinery and equipment for the
orders from ONGC and GAIL.  Also, there was a substantial increase
of INR90 million in APC's working capital requirements for the
year.  This has led to an increase in the company's gearing to
1.25 times as on March 31, 2010, from 0.6 times as on March 31,
2009; however, the gearing remains adequate for the rating
category. APC presently has an order book of INR700 million in
hand, which provides good revenue visibility for 2010-11, and will
help the company sustain its business and financial risk profiles
over the medium term.

APC is expected to report a profit after tax (PAT) of INR29
million on expected net sales of INR641 million for 2009-10, as
against a PAT of INR21 million on net sales of INR499 million for
2008-09.

                         About Ace Pipeline

Incorporated in 1989 by Mr. Anoop Singh and Mr. Gurmreet Singh,
APC undertakes engineering, procurement, and construction
contracts, project management, and testing and commissioning of
pipelines for the oil and gas sector.  The company has executed
contracts in Assam, Maharashtra, Gujarat, and Andhra Pradesh.


AIR INDIA: To Restore Cancelled AI Express Flights to Gulf
----------------------------------------------------------
The Hindu reports that the National Aviation Company of India Ltd
has decided to restore the cancelled 300 Air India Express flights
from Thiruvananthapuram, Kochi, Kozhikode and Mangalore airports
to five Gulf destinations.

A decision to this effect was taken at a meeting the Chairman and
Managing Director of NACIL, Arvind Jadhav, had with the Director
General of Civil Aviation, Nassim Zaidi, in New Delhi on Tuesday
night, an official of the NACIL told The Hindu.

The Hindu relates that the airline had announced cancellation of
the Air India Express flights from September 7 to October end to
Sharjah, Dubai, Abudhabi, Muscat and Kuwait citing shortage of
cabin crew and tough regulations of the DGCA following the
Mangalore air crash.

The official told The Hindu that the NACIL has also decided to
operate additional flights to the five sectors in the Gulf to
cater to the demands of the Non-Resident Keralites.

                          About Air India

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

                           *     *     *

The Troubled Company Reporter-Asia Pacific, citing the Hindustan
Times, reported on June 19, 2009, that Air India has been bleeding
cash due to excess capacity, lower yield, a drop in passenger
numbers, an increase in fuel prices and the effects of the global
slowdown.  The carrier incurred net losses of INR2,226.16 crore in
2007-08 and INR5,548 crore in 2008-09.  Air India is estimated to
have lost INR54 billion in the fiscal year ended March 31, 2010,
according to The Wall Street Journal.

The TCR-AP, citing livemint.com, reported on July 27, 2010, that
Air India unveiled a turnaround plan that envisages the airline
reaching operational break-even and wiping out the INR14,000 crore
of accumulated losses and INR18,000 crore of debt on its balance
sheet by 2014-15.  The plan includes raising its fleet strength to
as many as 275 planes in five years from 148 now.  Air India
Chairman and Managing Director Arvind Jadhav said the new 100-page
turnaround plan for 2010-14, which ruled out any job cuts or wage
reductions and, was approved by the board and would be adopted
after incorporating suggestions by representatives of the
airline's 33,500 employees.


AMRAPALI SAPPHIRE: ICRA Puts 'LBB+' Rating on INR125cr Term Loan
----------------------------------------------------------------
ICRA has assigned 'LBB+' rating to the INR125 crore term loan of
Amrapali Sapphire Developers Private Limited.  The outlook on the
rating is stable.

The rating factors in the attractive location of the project, low
approval risk and the fact that a large part of the project area
has been booked. The rating is, however, constrained by execution
risk given the project is in early stage of construction, and
modest collection efficiency in the project which increases the
risk of liquidity mismatch as the construction cost is planned to
be met largely from the customer advances.  The rating also
takes into account the company's exposure to funding risk as a
large part of promoter's contribution is yet to be brought-in and
term loan for the phase-II is not tied-up as yet. Nevertheless,
ICRA takes comfort from the promoters' financial profile and
experience in the real estate business.

                        About Amrapali Sapphire

Incorporated in March 2009, ASDPL is a joint venture of Ultra
Homes Construction Pvt Ltd (55% shareholding) and Bihariji Ispat
Udyog Ltd (45% shareholding).  ASDPL is a SPV promoted for
developing a group housing complex  called "Amrapali Sapphire"
over  22.5  acre of plot in Sector-45,Noida.  The project is
divided in two phases: Amrapali Sapphire ? I, and Amrapali
Sapphire ? II and is planned to be completed by April 2013.

The total saleable area in the project is 4.6 million square feet
out of which about 75% has been booked so far.  The total cost for
the project excluding land is estimated to be INR565 crore.  The
land has been secured on lease basis from New Okhla Industrial
Development Authority (NOIDA).  The total land cost is
INR191.5 crore, however as per lease agreement ASDPL has to pay
the land cost in installments till the year 2019 along with the
interest.


GALLANTT ISPAT: Fitch Downgrades National Long-Term Rating to 'B+'
------------------------------------------------------------------
Fitch Ratings has downgraded India's Gallantt Ispat Limited's
National Long-term rating to 'B+(ind)' from 'BB-(ind)'.  The
Outlook has been revised to Negative from Stable.  The agency has
also downgraded GIL's INR1,240 million long-term loans to
'B+(ind)' from 'BB-(ind)'.  At the same time, Fitch has affirmed
GIL's INR20 million non-fund credit facilities at 'F4(ind)'.

The downgrades reflect delays in the completion of the company's
capex and issues in stabilization of its steel operations.
Although the company has completed its capex for flour mill, mild
steel billet plant, rolling and sponge iron plant in August 2010,
there still remain operational and stabilization issues.  It spent
around INR2,400 million on the projects till August 2010.  Fitch
notes that GIL is further planning an INR677 million captive power
plant in FY11.  The Negative Outlook reflects uncertainty with
regards to timeliness of capex completion and timing of INR405
million initial public offer.

GIL reported substantially lower earnings in FY10, than
anticipated at the time of assigning the ratings in March 2010 due
to the above issues.  Fitch notes that GIL's debt metrics are
likely to remain stretched over FY11 - as a result of the delay in
stabilization - with any de-levering from FY12 contingent upon
Gallantt being able to complete stabilization by Q3FY11.

The agency further notes that GIL's liquidity and working capital
requirements are well supported by the receipt of a capital
subsidy (INR240 million) in May 2010 coupled with additional
unsecured loan from one of the promoter group company (Gallant
Metal Limited).  GIL paid INR290 million towards term loan
repayments in Q1FY11, with receipt of a capital subsidy and
internal accruals.

The stabilization of GIL's steel operations, sound operating
performance and a successful initial public offer (IPO) of INR405m
could result in the Outlook being revised to Stable.  Negative
rating triggers include any further delays in project
stabilization by GIL (beyond Q3FY11), postponement of its revenue
generation and its inability to raise the IPO.

In FY10, GIL reported net sales of INR1,224 million (FY09: INR31.1
million) and an EBITDA margin of 2.5% (FY09: 9.0%).  As at end-
March 2010, the company reported a total debt of INR851.8 million,
which included a term loan of INR505 million and an unsecured loan
of INR346.6 million.  GIL reported negative free cash flows in
FY10 - a trend expected to continue in FY11, due to the ongoing
capex programme and increased working capital requirements.


GLOBION INDIA: CRISIL Reaffirms 'BB' Rating on INR430.7MM LT Loan
-----------------------------------------------------------------
CRISIL ratings on the bank facilities of Globion India Pvt Ltd
continue to reflect Globion's exposure to risks related to
stabilization of operations at its recently set up plant and to
intense market competition, and its below-average financial risk
profile, marked by high debt levels and weak profitability.

   Ratings                            Facilities
   -------                            ----------
   INR430.70 Million Long-Term Loan   BB/Stable (Reaffirmed)
   INR60.00 Million Cash Credit       BB/Stable (Reaffirmed)
   INR60.00 Million Letter of Credit  P4+ (Reaffirmed)
   INR25.00 Million Bank Guarantee    P4+ (Reaffirmed)

These rating weaknesses are partially offset by the strong
financial and marketing support that Globion receives from group
company Suguna Poultry Farm Ltd (SPFL; rated 'BBB/Stable/P3+' by
CRISIL), and technical and operational support it receives from
Lohmann Animal Health (LAH) ? Suguna Holdings Private
Limited(SHPL) and LAH have promoted Globion as a joint venture
(JV).

Outlook: Stable

CRISIL believes that Globion, through the initial phase of its
operations, will continue to benefit from SPFL's timely financial
support and leadership in India's broiler chicken market and from
LAH's technical and operational support.  The outlook may be
revised to 'Positive' if Globion stabilizes its operations earlier
than expected, leading to more-than-expected revenues and healthy
profitability.  Conversely, the outlook may be revised to
'Negative' if financial support from SPFL gets adversely affected,
most likely because of deterioration in SPFL's credit risk
profile, or if Globion reports lesser-than-expected revenues and
lower-than-expected profitability.

                         About Globion India

Incorporated in October 2006, Globion is a 74:26 JV of SHPL and
LAH, a global major in animal healthy business, especially in
poultry biologicals.  SHPL is the holding company of Suguna
Poultry Farm Ltd, which is India's largest Poultry Integrator.
Globion will be manufacturing and marketing live and inactivated
veterinary vaccines, mainly catering to the poultry industry in
India.  Its manufacturing unit is in Biotech Park in Medak (Andhra
Pradesh).  The unit commenced operations in April 2010 (operations
were scheduled to commence in October 2009).  The cost for setting
up Globion's plant was initially estimated to be INR538.5 million,
which because of time and cost overruns escalated to INR620.7
million.


GRAINOTCH INDUSTRIES: CRISIL Assigns 'D' Rating to INR390MM Loan
----------------------------------------------------------------
CRISIL has assigned its 'D' rating to Grainotch Industries Ltd's
bank facilities.  The rating reflects delay by GIL in servicing
its interest payment and term loan repayment obligations because
of weak liquidity.

   Ratings                          Facilities
   -------                          ----------
   INR390.0 Million Term Loan       D (Assigned)
   INR90.0 Million Cash Credit      D (Assigned)

GIL's financial risk profile is weak, because of the start-up
phase of operations of its distillery unit.  Moreover, the company
is exposed to risks related to implementation and stabilization of
its bottling plant, and customer concentration in revenue profile.
However, GIL derives benefits from the excise rebate programme by
setting up a distillery unit in Maharashtra, and also from its
moderate operating efficiency.

                     About Grainotch Industries

Incorporated in 2007 by the Holkar family of Nashik (Maharashtra),
GIL commenced operations in August 2009 at its grain-based
distillery plant near Aurangabad (Maharashtra).  The company
manufactures extra-neutral alcohol (ENA) and rectified spirit
(RS).  The plant has capacity to produce 70,000 litres per day of
ENA, RS and impure spirit.  The company also intends to set up a
bottling facility having a capacity of around 3.2 million cases
per annum and has plans to market country liquor and Indian made
foreign liquor under its own brand.

GIL is estimated to have incurred a net loss of INR13 million on
net sales of INR195 million in 2009-10 (refers to financial year,
April 1 to March 31).


HUSSAIN SHETH: CRISIL Places 'BB-' Rating on INR111.6M Cash Credit
------------------------------------------------------------------
CRISIL has assigned its 'BB-/Stable/P4+' ratings to Hussain Sheth
and Sons (Shipbreakers) Pvt Ltd's bank facilities.

   Ratings                                Facilities
   -------                                ----------
   INR111.6 Million Cash Credit Facility  BB-/Stable (Assigned)
   INR28.4 Million Letter of Credit       P4+ (Assigned)
   INR159.0 Million Proposed Letter       P4+ (Assigned)
                          of Credit

The ratings reflect HSSPL's small scale of operations, and
exposure to risks related to cyclicality and intense competition
in the ship-breaking industry, unfavorable regulatory changes, and
continuous losses in its steel division.  The ratings also factor
in HSSPL's below-average financial risk profile, marked by small
net worth, high gearing, and weak debt protection metrics. These
rating weaknesses are partially offset by experience of HSSPL's
promoters in, and healthy growth prospects of, the ship-breaking
industry, over the medium term.

Outlook: Stable

CRISIL believes that HSSPL will, over the medium term, continue to
benefit from its promoters' experience and healthy growth
prospects of the ship-breaking industry.  The outlook may be
revised to 'Positive' if the company reports more-than-expected
growth in its topline and healthy profitability, backed by
improvement in profitability in steel division. Conversely, the
outlook may be revised to 'Negative' if adverse steel scrap price
scenario results in the company's inability to recover cost of
ship purchase and consequently decline in margins, or if the
company's steel division continues to incur losses leading to net
worth erosion.

                        About Hussain Sheth

HSSPL was incorporated as a private limited company in 1990.  The
company, set up by Mr. Dilawarbhai H Kaliwala, undertakes ship
breaking activities at its 30-metre plot in Alang (Gujarat).  In
2009-10, the company dismantled three ships with total tonage of
19,200 tones.  HSSPL further diversified in 2006-07 (refers to
financial year, April 1 to March 31), when it bought a scrap
melting unit (steel division) in Bhavnagar for INR22.5 million,
for manufacturing ingots from scrap.  The unit's capacity was
increased to 45 tonnes per day (tpd) in 2009-10, from 20 tpd at a
total cost of INR15 million; financed through unsecured loans from
the promoter family and other promoter-led companies.

The promoter also has another company, Hussain Sheth Ispat, which
undertakes ship-breaking activities; it has two plots-one in Alang
measuring 60 metres and the second in Sachana, Jamnagar (Gujarat)
measuring 80 metres.

HSSPL reported a profit after tax (PAT) of INR5.4 million on net
sales of INR475 million for 2009-10, against a PAT of INR3 million
on net sales of INR458 million for 2008-09.


KAYGAON PAPER: ICRA Places 'LBB' Rating on INR3.5cr Term Loans
--------------------------------------------------------------
ICRA has assigned an 'LBB' rating to the INR3.5 crore term loans
and INR5.5 crore fund based facilities of Kaygaon Paper Mills
Limited.  ICRA has also assigned an 'A4' rating to the INR0.5
crore short term non fund based facilities of the company.  The
outlook on the long term rating is stable.

The ratings are constrained by the lack of diversification in the
product portfolio as the company solely manufactures kraft paper,
modest size of operations with low profitability indicators, high
gearing level on account of largely debt funded capacity expansion
undertaken in the recent past and high competition prevalent in
the business from large players as well as several smaller units.
The ratings are however supported by healthy plant utilization
levels, increase in production levels on account of capacity
expansion carried out in FY 2010, improvement in average
realisation levels on account of healthy demand indicators and the
long track record of the promoter group in the kraft paper
industry.  With the company looking to increase production of
kraft paper with higher burst factor, the realization
levels and thereby the profitability indicators are expected to
witness improvement going forward.  ICRA however notes that the
contribution margins in the business will continue to remain
sensitive to any volatility in the waste paper prices.

                         About Kaygaon Paper

KPML started its commercial production in 1992 and is engaged in
the manufacture of Kraft paper of various grades viz. Media, 14BF,
16 BF, 18 BF, 22BF and 24BF (BF stands for Burst Factor), which
finds its application in the packaging industry, especially for
making corrugated boxes.  The company's factory premises are
located at Kaygaon, Taluka Gangapur Dist- Aurangabad in
Maharashtra.  Over the years the Company has undergone several
phases of expansion and has an installed capacity of 36,000 MT per
annum as on June 30, 2010.

Recent Results

KPML reported a profit after tax (PAT) of INR0.96 crore in FY
2009-10 (prov.) on an operating income of INR47.64 Crore. Higher
utilisation levels and healthy demand indicators supported
improvement in operating income.


KEHEM LAND: CRISIL Rates INR350 Million Long-Term Loan at 'B+'
--------------------------------------------------------------
CRISIL has assigned its 'B+/Stable' rating to Kehem Land and
Properties Pvt Ltd's long term loan facility.

   Ratings                             Facilities
   -------                             ----------
   INR350.0 Million Long Term Loan     B+/Stable (Assigned)

The rating reflects Kehem's exposure to offtake risks in respect
of its current commercial office project, and the demand supply
dynamics in respect of commercial real estate in Mumbai. These
rating weaknesses are partially offset by the experience of
Kehem's promoters in the real estate business.

Outlook: Stable

CRISIL believes that Kehem will benefit from the experience of the
promoters in the real estate business and their project execution
capabilities.  The outlook may be revised to 'Positive' if Kehem
is able to generate adequate revenues from its ongoing commercial
space project at Andheri, either through outright sale or leasing
of its space, thereby enabling it to retir its outstanding debt in
time.  Conversely, the outlook may be revised to 'Negative' if
significantly lower than expected accruals weaken its debt
servicing ability.

                          About Kehem Land

Kehem was incorporated in 2007 to develop an IT Park at Andheri
(Mumbai).  It is promoted by four groups with interest in real
estate, the Nandu family of Happy Homes group, the Jangid family,
the Chheda family and the Shah family of Anchor Electricals &
Electronics Pvt Ltd.  The estimated project cost of the IT park is
around INR630 million.  The project entails a gross saleable area
of around 0.14 million square feet and is expected to be ready for
possession by November 2010.


LAKSHMI GANAPATHI: CRISIL Assigns 'D' Rating to INR46MM Term Loan
-----------------------------------------------------------------
CRISIL has assigned its 'D/P5' rating to Lakshmi Ganapathi Ginners
Pvt Ltd's bank facilities.  The rating reflects delay by LGGPL
in servicing its term loan; the delay has been caused by LGGPL's
weak liquidity.

   Ratings                           Facilities
   -------                           ----------
   INR46.00 Million Term Loan        D (Assigned)
   INR50.00 Million Cash Credit      D (Assigned)
   INR1.00 Million Bank Guarantee    P5 (Assigned)

LGGPL has a small scale and limited track record of operations,
and large working capital requirements.  The company, however,
benefits from its promoters' experience in the cotton industry.

Set up in 2009, LGGPL undertakes ginning of raw cotton and sells
cotton lint and cotton seeds.  The company was promoted by Mr.
Kodali Srinivas and his family.  Its ginning unit in Guntur
(Andhra Pradesh) has a capacity of 36,000 bales per annum. The
company commenced commercial operations from January 2010.


MAKRO CAST: CRISIL Assigns 'BB' Rating to INR99.1 Million LT Loan
-----------------------------------------------------------------
CRISIL has assigned its 'BB/Stable' rating to Makro Cast Pvt Ltd's
bank facilities.  The rating reflects MCPL's small scale of
operations, and below-average financial risk profile, marked by
high gearing.  These rating weaknesses are partially offset by
MCPL's established relationships with key customers and healthy
demand from the automobile sector.

   Ratings                           Facilities
   -------                           ----------
   INR99.10 Million Long-Term Loan   BB/Stable (Assigned)
   INR65.00 Million Cash Credit      BB/Stable (Assigned)

Outlook: Stable

CRISIL believes that MCPL will continue to benefit over the medium
term from its promoters' experience in the castings industry. The
outlook may be revised to 'Positive' if MCPL reports higher-than-
expected growth in revenues and profitability and improvement in
capital structure.  Conversely, the outlook may be revised to
'Negative' if the company faces significant delays in recovery of
dues from its customers or undertakes a larger-than-expected debt-
funded capital expenditure programme, thereby weakening its
financial risk profile.

                          About Makro Cast

Established in 2004 by Mr. Lakshmi Narayana, MCPL manufactures
specialized castings, including grey iron and spheroidal graphite
(SG) iron castings, primarily for the automotive and power
transmission industries.  The company's foundry unit at Vijayawada
has manufacturing capacity of 1000 tonnes per month (tpm) and
machining capacity of 100 tpm.

MCPL reported a profit after tax (PAT) of INR9 million on net
sales of INR279 million for 2009-10 (refers to financial year,
April 1 to March 31), against a PAT of INR3 million on net sales
of INR188 million for 2008-09.


NANDI VARDHANA: ICRA Reaffirms 'LBB' Rating to INR16.11cr Loan
--------------------------------------------------------------
ICRA has reaffirmed the 'LBB' rating assigned to INR16.11 crore
term loan and INR7.00 crore fund based facilities of Nandi
Vardhana Textile Mills Limited.  The outlook on the long term
rating is Stable.  ICRA has also reaffirmed the 'A4' rating
assigned to INR0.40 crore non-fund based facilities of NVTML.

The reaffirmation of the ratings takes into account the company's
financial risk profile characterized by high gearing and stretched
debt coverage indicators; and vulnerability to intense competition
in a fragmented market given the small scale of its operations and
commoditized nature of the grey cotton yarn, which limits its
pricing power. ICRA notes that in absence of power backup
facilities, the operation of the company is dependent on
the availability of the regular power supply in the state which
had been erratic in the past.  NVTML purchased merchant power
during April-June  2010;  however  the  company's  ability  to
rely  on merchant  power  in  future would be dependent on the
yarn realizations.  The ratings, favorably factor in the
promoters' significant experience in cotton ginning, proximity of
the manufacturing unit to a major cotton growing area, low power
tariffs in the state and fiscal incentives offered by the state
government which helps in improving the operating profitability
and provides competitive advantage to the spinning mills in the
state.  ICRA notes that the demand for spun yarn has improved post
the showdown witnessed during 2008-09 which has resulted in
improved realizations for the yarn manufacturers.

                         About Nandi Vardhana

NVTML was incorporated in 2004-05 and is engaged in manufacturing
of 100% grey cotton yarn with an average count of 40s. NVTML has a
spinning mill in Guntur district of Andhra Pradesh.  NVTML
commenced operations from November 2006 with 3,600 spindles and
subsequently increased its production capacity to 12,000 spindles
in October 2007.  The company is expanding its total installed
capacity to 19,004 spindles by adding 7,004 spindles at an
investment of around -Rs. 8 crore which is expected to commence
production from October 2010.


ROHIT IRON: CRISIL Rates INR160 Million Cash Credit at 'B'
----------------------------------------------------------
CRISIL has assigned its 'B/Stable' rating to Rohit Iron and Steel
(India) Private Limited's cash credit facility.

   Ratings                         Facilities
   -------                         ----------
   INR160.0 Million Cash Credit    B/Stable (Assigned)

The rating reflects the pressure on RISPL's financial risk profile
because of transfer of funds to associate/group companies, low
value-addition in/from its business, and low operating margin.
These rating weaknesses are partially offset by RISPL's wide range
of products and stable trading operations in the past three years.

Outlook: Stable

CRISIL believes that RISPL will maintain its market position in
West India, supported by its diverse product range and established
relationships with suppliers and customers.  The outlook may be
revised to 'Positive' if RISPL's financial risk profile improves,
most likely because of improvement in profitability, or reduction
in funds extended to group/associate companies.  Conversely, the
outlook may be revised to 'Negative' if the company's
profitability or working capital management deteriorates
significantly, adversely impacting its liquidity, or if it
transfers sizeable funds (not related to business) to associate
companies.

                           About Rohit Iron

RISPL was incorporated in 2006, and trades in steel long products
such as billets, ingots and other structural products.  The
company is based in Nagpur (Maharashtra).  It is managed by Mr.
Rohit Aggrawal, who is the director of the company, and his father
Mr. Satnarayan Aggrawal, one of the promoters.

RISPL reported a profit after tax (PAT) of INR23 million
(provisional) on net sales of INR2,418 million for 2009-10 (refers
to financial year, April 1 to March 31), against a PAT of INR12
million on net sales of INR1,903 million for 2008-09.


SODHI BROS: CRISIL Reaffirms 'D' Rating on INR175MM Term Loan
-------------------------------------------------------------
CRISIL ratings on Sodhi Bros. Hydropower Pvt Ltd's bank facilities
continue to reflect delays by SBH in servicing its term loans.
The delays have been caused by SBH's weak liquidity and delays in
commencement of operations at its upcoming power plant.

   Ratings                               Facilities
   -------                               ----------
   INR175.0 Million Rupee Term Loan      D (Reaffirmed)
   INR62.0 Million Proposed Long-Term    D (Reaffirmed)
                    Bank Loan Facility
   INR58.0 Million Letter of Credit      P5 (Reaffirmed)

SBH is further exposed to hydrology risk, which may lead to lower
utilization of the power plant's installed capacity. However, SBH
has a moderate business risk profile backed by its long-term fixed
price power purchase agreement (PPA) with Himachal Pradesh State
Electricity Board (HPSEB).  The fixed rate of power sale is likely
to provide stability to SBH's revenues.

Update

SBH's plant was expected to commence commercial operations by
September 2009.  However, flood in the region has delayed
completion of the project.  The project is now likely to commence
commercial operations in October 2010.  Also, there is a cost
overrun in the project of about INR20 million (from original cost
of INR310 million) for repair and maintenance of the plant as a
result of the flood.  The additional funding is raised by the
promoters in the form of unsecured loans.

The company's loan repayment was schedule to start from
April 2010; whereas the company had to pay monthly interest costs
during the construction phase.  SBH has delaying these financial
service obligations.

                         About Sodhi Bros.

Incorporated in 2004, SBH is implementing a 4-megawatt (MW)
hydroelectric power project across the Brahl Khad River (Himachal
Pradesh).  SBH has entered into a PPA with HPSEB for off-take of
100 per cent of the electricity generated from the project for 40
years from the commencement of commercial operations.


VEEKAY PLAST: ICRA Assigns 'LBB' Rating to INR6.5cr LT Bank Debts
-----------------------------------------------------------------
ICRA has assigned an 'LBB' rating to the INR6.5 crore long term
fund based limits and an 'A4' rating to the INR3.5 crore short
term non fund based limits of Veekay Plast.  The outlook on the
long term ratings is stable.

The ratings are constrained by the high competitive intensity and
fragmentation in the High density Polyethylene (HDPE) pipes
industry; high customer concentration and erratic customer base
witnessed in the past; vulnerability to fluctuations in raw
material prices,  the  firm's weak  financial  risk profile as
reflected by high gearing, tight liquidity position and low debt
coverage indicators, expected increase in working capital
requirements and gearing due to entry into polymer distribution
business.  However, the ratings factor in the moderately long
experience of the promoter in HDPE pipes business, favorable
demand growth prospects due to developments in irrigation and
telecom sector and ongoing initiatives by the firm to enter into
newer areas such as implementation of turnkey projects and
manufacture of Medium density Polyethylene (MDPE) pipes.

                        About Veekay Plast

Veekay Plast (VP) was incorporated as a partnership firm in 1996
for production of High density Polyethylene (HDPE) pipes and
Sprinkler systems.   The firm's plant is located in Jaipur with  a
manufacturing capacity of 30,00,0000 meters per month of pipes &
related products.  The firm's products span across three segments:
HDPE Sprinkler Pipes/System for use in the irrigation segment,
HDPE Pipes for use in water supply distribution systems, and
Permanently lubricated (PLB) HDPE  duct used in the telecom
industry.  In May 2010, the firm has also entered into polymer
distribution business as a Del-Credere Associate cum Consignment
Stockist of Indian Oil Corporation Limited (IOCL, rated LAAA by
ICRA) in the Rajasthan region.  Based on provisional accounts, the
firm reported a turnover of INR10.53 crore and net profit after
tax of INR0.20 crore in 2009-10.


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


MEDCO ENERGI: Moody's Changes Outlook on 'B2' Ratings to Stable
---------------------------------------------------------------
Moody's Investors Service has changed the outlook on PT Medco
Energi Internasional Tbk's B2 corporate family rating to stable
from negative.  At the same time, its B2 corporate family rating
has been affirmed.

"The outlook change reflects Medco's successful extension and
retirement of its matured debts in 1H10," says Renee Lam, a
Moody's Vice President and Senior Analyst, adding that "Moody's
expects the company will continue to meet its refinancing
requirement in the coming year."

"Over the medium term, Medco will need to rely on debt funding for
its capital expenditures to commercialize its reserves," says Lam,
"therefore, the company's financial profile is unlikely to improve
significantly prior to the ramp-up of its major projects, such as
Senoro, which is planned for 2014-2015."

"Nonetheless, based on the production profile for Medco's existing
projects, Moody's expects the company's leverage and debt coverage
metrics to remain at levels appropriate for its B2 rating, with
adjusted debt to PD reserves to remain at less than US$10/boe, and
RCF/debt at 10%-15%."

The B2 rating reflects Medco's competitive cost position, with the
lifting cost at US$8.6 per boe in 2009.  The company also has
extensive experience operating in Indonesia.

These strengths are balanced by the company's modest reserves and
production base, as well as the significant reinvestment risks
arising from its depleting reserves -- some of which are
experiencing a natural long-term decline.  Considerable capex is
required to commercialize its reserves, and as well as to boost
production.  Thus, the potential for meaningful debt reduction
over the near term is limited.

An upgrade to Medco's rating is unlikely over the next 12 to 18
months, given the high capex outlay and associated execution risks
from 1) its reserve replacement plans in overseas markets; 2) the
commercialization of gas reserves and expansion into LNG
production, which will require significant capital over the medium
term; and 3) the uncertainty surrounding an extension of its Block
A PSC contract beyond August 2011, which could delay its gas
monetization program.

Medco's ratings could be lowered if ) the company fails to secure
funding for its sustenance and expansion/downstream capex; 2) its
cash flow disappoints, due to market price uncertainties or a
substantial reduction in production; 3) its financial profile
weakens or leverage increases substantially due to aggressive
capex or acquisitions, such that Adjusted Debt/Proved Developed
Reserves lingers above US$10/boe for any length of time; 4) the
profit sharing schemes in its existing contracts are revised; or
5) it fails to obtain the necessary approvals to commercialize its
Block A and Libya-47 assets.

The last rating action with regard to Medco was taken on Jun 30,
2009, when the company's corporate family and unsecured debt
ratings were confirmed with negative outlook.

Headquartered in Jakarta, Medco is predominantly an oil & gas E&P
company with additional operations in drilling, downstream oil &
gas activities, and power generation in Indonesia.  Medco has also
expanded its operations overseas to the US, the Middle East
(including Libya, Tunisia, Oman, and Yemen), and Cambodia.


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


SSANGYONG MOTORS: Mahindra Aims for Debt-Free Ssangyong
-------------------------------------------------------
India's automotive manufacturer Mahindra & Mahindra aims to bring
Ssangyong Motors into its fold, near debt free, The Times of India
reports.

"We want Ssangyong to come into M&M fold with a clean slate,"
Rajesh Jejurikar, chief of operations of automotive sector of M&M,
told TOI.

The report notes that there are also plans to infuse significant
cash into the Korean company.  Mr. Jejurikar, however, did not
elaborate.

According to the report, M&M plans to infuse nearly $400 million
as equity into Ssangyong to acquire a controlling stake.  These
funds would be used to repay all long-term debts at around
$320 million as of March 2010 post restructuring.

                          Labor Retention

Meanwhile, The Economic Times reports that Mahindra & Mahindra has
not made any commitment on retaining jobs or volume growth in its
deal to buy a majority stake in SsangYong Motor.

The Economic Times quoted Pawan Goenka, president of the
automotive & farm equipment division of M&M, as saying that the
memorandum of understanding between the two companies only offers
to "honor" the current wage agreements that SsangYong has signed
with its unions.  "We will hope to grow employment as the volume
grows though we have no specific commitments."

The report notes that this is crucial given Ssangyong's history of
labor problems.  According to the report, Ssangyong faced a
devastating strike last year that severely hit its production and
profitability and prompted the management to cut its work force by
almost one-third to more than 4,000 from around 7,000 workers.

As reported in the Troubled Company Reporter-Asia Pacific on
Aug. 24, 2010, Ssangyong Motor Co. signed a memorandum of
understanding with Mahindra & Mahindra Ltd. on the latter's
acquisition of South Korea's smallest automaker.  Mahindra had
earlier been chosen as the preferred bidder for a majority stake
in Ssangyong.

                       About Ssangyong Motor

Headquartered in Kyeonggi-Do, South Korea, Ssangyong Motor Co.
Ltd. -- http://www.smotor.com/-- is a manufacturer of automobiles
primarily engaged in production of sports utility vehicles (SUVs)
and recreational vehicles (RVs).  The company's production is
grouped into four lines: SUVs under brand names REXTON, KYRON and
ACTYON; sports utility trucks (SUTs) under the brand name ACTYON
Sports; passenger cars under brand name Chairman, and multi-
purpose vehicles (MPVs) under the brand name Rodius.  It also
provides automobile parts such as coolers, diesel engines and
others.

As reported in the Troubled Company Reporter-Asia Pacific on
Jan. 12, 2009, Ssangyong Motor Co. filed for receivership with the
Seoul Central District Court to stave off a complete collapse.  In
February, the Seoul Central District Court accepted Ssangyong's
application to rehabilitate under court protection.  The court
named former Hyundai Motor Co. executive Lee Yoo-il and Ssangyong
executive Park Young-tae to run the automaker.

A TCR-AP report on Sept. 16, 2009, said Ssangyong Motor submitted
a revival plans to the Seoul Central District Court seeking
capital reduction and a debt-for-equity swap by creditor.  A South
Korean bankruptcy court approved in December Ssangyong Motor's
restructuring plan despite opposition by some bondholders, the
TCR-AP reported on Dec. 18, 2009.


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


FOUNTAIN VIEW: Bursa Malaysia to Delist Securities on September 22
------------------------------------------------------------------
Fountain View Development Berhad will be de-listed from the
official list of Bursa Malaysia Securities Bhd on September 22,
2010, after the Company failed to submit a regularization plan to
the Securities Commission on September 2, 2010.

The delisting will push through unless the Company files an appeal
regarding Bursa Malaysia's ruling on or before September 17, 2010.

                         About Fountain View

Fountain View Development Berhad is a Malaysia-based investment
holding company.  The Company operates in four segments:
Plantation, Property development, Investment and Elimination. The
Company principally operates in Malaysia.  Its subsidiaries
includes Citra Tani Sdn. Bhd., Everange Sdn. Bhd., Fountain View
Land Sdn. Bhd., Invescor Ventures Sdn. Bhd., Bentayan Holdings
Sdn. Bhd., Fountain View Realty Sdn. Bhd., Bentayan Properties
Sdn. Bhd., Mujur Zaman Sdn. Bhd., MZ Development Sdn. Bhd. and
Extrogold Sdn. Bhd.

Fountain View Development Berhad has been considered as an
Affected Listed Issuer under Practice Note No. 17 of the Bursa
Malaysia Securities Berhad as it has triggered Paragraph 2.1(h) of
the PN17 for having an insignificant business or operation.

The Company's unaudited second quarterly financial result ended
June 30, 2009, recorded no revenue resulting in the Company
triggering Paragraph 2.1 (h) of the PN17.


GENERAL CORP: Classified as Affected Listed Issuer Under PN17
-------------------------------------------------------------
General Corporation Berhad has been considered a PN17 Company
based on the criteria set by the Bursa Malaysia Securities Bhd.
The Company triggered Paragraph 2.1(g) and 2.1 (h) of the Listing
Requirements as it had ceased all of its business and entire
operations due the completion of the proposed disposal of its
entire business and undertaking, including all of its assets and
liabilities, to Consistent Record Sdn Bhd.

On May 19, 2010, GCB entered into a conditional master sale and
purchase agreement with CRSB for the proposed disposal of its
entire business for MYR505.04 million.

Bursa Malaysia said it will continue to monitor the progress of
GCORP in respect of its compliance with the Listing Requirements.

                     About General Corporation

General Corporation Berhad is a company engaged in investment
holding and quarry operations.  The Company's five business
segments are property development and investment and investment
holding, construction of residential and commercial properties,
rubber products trading, hotel operations, and investment in
associates and joint ventures.  Its property development and
investment and investment holding segment covers the development
of and investment in residential and commercial properties and
investment in quoted and unquoted securities.  Its subsidiaries
include Bina Meganmas Sdn. Bhd., Fung Keong Rubber Manufactory
(Malaya) Sdn. Bhd., GCB Trading Sdn. Bhd. and Trans-Crete Sdn.
Bhd.  The Company operates in Malaysia, Singapore, Australia and
Vietnam.


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


SOUTH CANTERBURY: Opposition Parties Want Open Inquiry Into SCF
---------------------------------------------------------------
New Zealand's opposition parties are demanding full disclosure of
South Canterbury Finance's situation before it went into
receivership and a parliamentary inquiry into the way the
government handled the crisis, the New Zealand Press Association
reports.

NZPA relates Finance Minister Bill English, in Parliament on
Wednesday, explained the NZ$1.6 billion dollar bailout of SCF's
35,000 investors under the Retail Deposit Guarantee Scheme and
said the government had done the best it could to minimise the
cost to taxpayers.

The government is controlling the receivership process and expects
to recover about NZ$1 billion when SCF's assets are wound up, NZPA
notes.

According to NZPA, Mr. English said when fees paid by companies in
the scheme were taken into account, as well as the fees paid for
the parallel Wholesale Deposit Guarantee Scheme, the eventual cost
was likely to be between $300 million and $400 million.

NZPA says Labour's finance spokesman, David Cunliffe, said the
NZ$1.6 billion payout was the biggest corporate bailout in
New Zealand's history.

"What went wrong and was the cost to taxpayers really minimised?"
NZPA quoted Mr. Cunliffe as saying.  "Serious questions need to be
answered so we can ensure this doesn't happen again."

Mr. Cunliffe, as cited by NZPA, said those questions included:

   * how much the Government knew and when;
   * whether SCF should have been in the scheme;
   * whether it had been in breach of its eligibility;
   * what deals were on the table to save it before it
     went into receivership; and
   * what other options had been considered and discarded.

NZPA reports that Green Party co-leader Russel Norman said
Parliament's finance and expenditure select committee should hold
an open inquiry into SCF and the government's actions.

Dr. Norman said lax financial sector regulations were partly to
blame for the company's collapse, the report adds.

                       About South Canterbury

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

On August 31, 2010, Trustees Executors Limited, as trustee for
South Canterbury Finance charging group, appointed Kerryn Downey
and William Black of McGrathNicol as receivers of the charging
group's secured assets.

"As Trustee, we have had South Canterbury Finance under heightened
surveillance since 2008.  As part of that, SCF was granted a
Trustee waiver in February 2010 to allow it time to recapitalise.
Unfortunately, the Company's Directors have advised us that they
have not been successful with respect to a recapitalization and
requested us to appoint a receiver.  At this point we, as Trustee,
agree that it is the best interests of debenture, deposit and bond
holders to do that," said Yogesh Mody, Southern Regional Manager
for Trustees Executors Limited.

The New Zealand government said it would repay South Canterbury's
35,000 depositors and stockholders NZ$1.6 billion under the crown
retail deposit guarantee scheme.


STRATEGIC FINANCE: Wins Ruling Over Duff Property Debt
------------------------------------------------------
Strategic Finance has won a court ruling ordering Christchurch
property developer Dave Henderson to pay almost NZ$2.4 million to
cover debt on a property development once owned by author
Alan Duff, BusinessDesk reports.

BusinessDesk relates Justice Christine French said Mr. Henderson
didn't have a "tenable defence" as to whether he personally
guaranteed the loan, according to the August 16 judgment from the
High Court in Christchurch.

According to the report, Mr. Henderson had argued that there was
no gain for him in helping his friend Mr. Duff, by buying the
Havelock North site to avert a mortgagee sale of the property.

BusinessDesk reports Mr. Henderson claimed he had been told by
then-chief executive Kerry Finnigan that he faced no personal
liability, and that the lender didn't have the right to enforce
the guarantee, a view the judge dismissed.

The loan was meant to allow a more orderly sale of a Havelock
North real estate development owned by Mr. Duff after the author
got into financial straits and was facing a mortgagee sale,
according to BusinessDesk.

The report states that Mr. Henderson got involved in 2007,
arranging the loan from Strategic and buying the property from Mr.
Duff and taking on a personal guarantee.

BusinessDesk relates the author did not complete the renovations
and left the house in 2008, and Mr. Henderson's vehicle Cleaver
Factors missed its guaranteed loan repayment under the terms of
the guarantee.

Strategic sold the property for $920,000, and sued Mr. Henderson
for the difference between the loan and the sale price, the report
adds.

                       About Strategic Finance

Headquartered in Wellington, New Zealand, Strategic Finance
Limited (NZE:SFLHA) -- http://www.strategicfinance.co.nz/--
operates as a specialist finance company offering financial
services, primarily to the property sector.  The Company also
provides specialist financial and advisory services to the
property and corporate sectors.  The Company operates in
New Zealand, Australia and Pacific Islands.  The Company's
operating subsidiaries include Strategic Advisory Limited,
Strategic Nominees Limited, Strategic Mortgages Limited and
Strategic Nominees Australia Limited.  The Company's non-operating
subsidiary is Strategic Properties No.1 Limited.  In May 2009, the
Company incorporated a subsidiary, Gulf Property Holdings Limited.

Strategic Finance Limited's parent company, Strategic Investment
Group, is wholly owned by Australian-based finance company Allco
HIT Limited.

                         *     *     *

The Troubled Company Reporter-Asia Pacific reported on March 15,
2010, that PricewaterhouseCoopers partners John Fisk and Colin
McCloy were appointed receivers of Strategic Finance Limited and
related companies Strategic Advisory Limited, Strategic Mortgages
Limited, Strategic Nominees Limited, and Strategic Nominees
Australia Limited.  This ends the moratorium arrangement that has
been in place since December 2008.  The companies' trustee,
Perpetual Trust, appointed receivers after SFL failed to generate
sufficient loan recoveries for its milestone payment on January 7,
2010.  The company owed NZ$417 million to 13,000 investors.

Perpetual Trust Ltd. on July 27, 2010, appointed liquidators to
Strategic Finance.  The High Court in Wellington made an order
that Corporate Finance's John Cregten and Andrew McKay be
appointed liquidators.


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


BEAUTY SAINT: Court to Hear Wind-Up Petition on September 17
------------------------------------------------------------
A petition to wind up the operations of Beauty Saint Pte Ltd will
be heard before the High Court of Singapore on September 17, 2010,
at 10:00 a.m.

HSBC Institutional Trust Services (Singapore) Limited, as trustee
of Suntec Real Estate Investment Trust, filed the petition against
the company on August 25, 2010.

The Petitioner's solicitors are:

          Bernard & Rada Law Corporation
          143 Cecil Street
          #18-00 GB Building
          Singapore 069542


BM PARTNERS: Creditors' Proofs of Debt Due October 7
----------------------------------------------------
Creditors of BM Partners (Singapore) Pte. Ltd., which is in
members' voluntary liquidation, are required to file their proofs
of debt by October 7, 2010, to be included in the company's
dividend distribution.

The company's liquidators are:

         Leow Quek Shiong
         Leong Hon Mun Peter
         c/o BDO LLP


CARMENTA SHIPPING: Creditors' Proofs of Debt Due October 8
----------------------------------------------------------
Creditors of Carmenta Shipping Pte Ltd, which is in members'
voluntary liquidation, are required to file their proofs of debt
by October 8, 2010, to be included in the company's dividend
distribution.

The company's liquidator is:

         Lao Chin Huat
         c/o 6 Shenton Way #32-00
         DBS Building Tower Two
         Singapore 068809


CONSULT ASIA: Court to Hear Wind-Up Petition on September 24
------------------------------------------------------------
A petition to wind up the operations of Consult Asia Pte Ltd,
which is in receivership, will be heard before the High Court of
Singapore on September 24, 2010, at 10:00 a.m.

DB Trustees (Hong Kong) Limited filed the petition against the
company on August 31, 2010.

The Petitioner's solicitors are:

          Shook Lin & Bok LLP
          1 Robinson Road
          #18-00 AIA Towers
          Singapore 049542


ENG'G. CONSTRUCTION: Court to Hear Wind-Up Petition on Sept. 17
---------------------------------------------------------------
A petition to wind up the operations of Engineering Construction
(Private) Limited will be heard before the High Court of Singapore
on September 17, 2010, at 10:00 a.m.

Sanchoon Builders Pte Ltd filed the petition against the company
on August 25, 2010.

The Petitioner's solicitors are:

          Messrs Chong Chia & Lim LLC
          No. 20 Maxwell Road
          #03-01E/F, Maxwell House
          Singapore 069113


ENSEARCH PETROLEUM: Court Enters Judicial Management Order
----------------------------------------------------------
The High Court of Singapore entered an order on August 30, 2010,
to place Ensearch Petroleum Ltd under judicial management.

The company's solicitors are:

          Allen & Gledhill LLP
          371 Beach Road
          Keypoint #22-06
          Singapore 199597


ENVIRONMENT MANAGEMENT: Creditors' Proofs of Debt Due September 22
------------------------------------------------------------------
Creditors of Environment Management Technologies Pte. Ltd., which
is in members' voluntary liquidation, are required to file their
proofs of debt by September 22, 2010, to be included in the
company's dividend distribution.

The company's liquidators are:

         Neo Ban Chuan
         Cameron Lindsay Duncan
         Korda Mentha Pte. Ltd.
         #12-01 Robinson Towers
         Singapore 048546


ORBONA SHIPPING: Creditors' Proofs of Debt Due October 8
--------------------------------------------------------
Creditors of Orbona Shipping Pte Ltd, which is in members'
voluntary liquidation, are required to file their proofs of debt
by October 8, 2010, to be included in the company's dividend
distribution.

The company's liquidator is:

         Lao Chin Huat
         c/o 6 Shenton Way #32-00
         DBS Building Tower Two
         Singapore 068809


THIRD WIND: Court to Hear Wind-Up Petition on September 17
----------------------------------------------------------
A petition to wind up the operations of Third Wind Rubber Pte.
Ltd. will be heard before the High Court of Singapore on Sept. 17,
2010, at 10:00 a.m.

Tavorn Rubber Industries (1982) Co. Ltd. filed the petition
against the company on August 12, 2010.

The Petitioner's solicitors are:

          Allen & Gledhill LLP
          371 Beach Road
          Keypoint #22-06
          Singapore 199597


===============
T H A I L A N D
===============


THANACHART BANK: Fitch Affirms Individual Rating at 'C/D'
---------------------------------------------------------
Fitch Ratings (Thailand) has upgraded the ratings of Thanachart
Bank Public Company Limited, Thanachart Capital Public Company
Limited, and Siam City Bank Public Company Limited and removed
them from Rating Watch Positive following TBANK's acquisition of
SCIB in Q210.  The three banks' ratings had been placed on RWP
after TBANK's announcement of its planned acquisition of SCIB.
Fitch also affirmed the Individual rating of TBANK at 'C/D' and
withdrew the Individual rating and Support Rating Floor of SCIB.
Details of the rating actions are listed further below.

The upgrade of TBANK's National ratings is supported by
improvements in its market position, capital, liquidity and
financial performance, while the upgrade of its Support Rating is
based on the greater systemic importance of the combined entity.
The ratings of TCAP were also upgraded to reflect the greater
benefits expected from the stronger operating subsidiary.  TCAP is
currently rated one notch below TBANK, given structural
subordination and TCAP's strong stand-alone financial strength.
At the same time, the ratings of SCIB have been equalised to those
of TBANK given the acquisition and consolidation.  The Outlook on
TBANK and TCAP's National ratings and Long-term Foreign-currency
Issuer Default Rating and SCIB's National ratings have been
revised to Stable.  Future rating actions for TBANK will depend on
post-integration performance.

TBANK is the main operating entity within the Thanachart Group.
TCAP currently holds 50.9% of TBANK.  Bank of Nova Scotia (BNS:
'AA-'/'F1+'), Canada's third-largest bank, increased its stake in
TBANK to 49% in February 2009 (from 25%).  The greater oversight
and support of BNS has helped to improve TBANK's financial
strength and performance since 2009.  Apart from showing its long-
term commitment through the capital contributions for the
acquisition of SCIB in 2010, BNS has been actively involved with
the acquisition and integration process underway.

Following TBANK's acquisition of SCIB, the merged bank's systemic
importance has increased as it becomes the sixth largest bank in
Thailand with an estimated asset value of THB829.7 billion.  The
acquisition also resulted in a more diversified loan book, with
combined retail lending accounting for 56% of total loans,
compared to 79% at TBANK pre-acquisition.  Auto hire purchase
remains TBANK's core strength, representing 39% of the merged loan
book.  Corporate lending (44% of total), comprises mainly SCIB's
loans to large corporate and small and medium sized enterprises.
TBANK's funding profile should also improve, with the stronger
deposit franchise of SCIB.

Profitability measures have also improved with TBANK reporting a
consolidated net profit of THB4.4 billion in H110, compared to
THB1.0 billion in H109.  Annualized return on assets (ROA)
improved to 1.57% in H110 from 1.06% in 2009, while net interest
margin (NIM) also improved to 4.34% in H110 from 3.98% in 2009
given the lower funding costs supported by SCIB's stronger deposit
franchise.  TBANK's capital position has been strengthened given
SCIB's stronger capital position, with TBANK's Tier 1 ratio and
total capital ratio rising to 11.8% and 15.0%, respectively, at
end-June 2010 (end-March 2010: 8.7% and 13.6%).  The THB18.5
billion goodwill arising from the SCIB acquisition has not been
deducted from TBANK's Tier 1 capital, given that the Bank of
Thailand has allowed the goodwill to be deducted after completion
of the integration process by end-2011.  The bank expects its Tier
1 ratio to be still maintained at not less than 8% after deduction
of goodwill in 2012.

On the other hand, asset quality measures are now weaker due to
the higher non-performing loans at SCIB.  The combined gross NPLs
of TBANK and SCIB rose to THB35.5 billion (6.2% of total loans) at
end-June 2010 from THB8.4 billion (2.9%) at end-2009.  Loan loss
reserves coverage declined to 75.6% of impaired loans at end-June
2010, compared with industry average of about 80%.  Further
provisioning on SCIB's portfolio may be needed as special mention
loans remain high (8.2% of total loans at end-June 2010), although
Fitch believes any increase in provisions required for loan
deterioration should be adequately managed by the enlarged
profitability of the combined entities.

On a standalone basis, TCAP reported a moderate decline in net
profit of THB2.7 billion, 14% lower yoy, due to higher interest
expense (from increased borrowings for the purpose of acquisition)
and lower gain on investments (TCAP reported gain from sale of its
stake in TBANK to BNS in 2009).  TCAP's double leverage has
increased significantly to 111% at end-June 2010 from 49% at end-
2009 due to the acquisition of SCIB, although this should remain
stable over the next few years given no plans to make additional
acquisitions or to raise equity.  TCAP's equity of THB 28.5bn or
66% of assets at end-June 2010 remains very strong.  As a holding
company, TCAP is reliant on TBANK's dividend payment, although it
should benefit from stronger dividend income from the combined
operating entity.

Upon completion of integration process, Fitch expects to withdraw
the other ratings on SCIB.

These ratings have been upgraded:

Thanachart Bank Public Company Limited

  -- Long-term National Rating: 'A+(tha)' from 'A(tha)', Outlook
     Stable

  -- Short-term National Rating: 'F1+(tha)' from 'F1(tha)'

  -- Support Rating: '3'from '4'

Thanachart Capital Public Company Limited

  -- Long-term National Rating: 'A(tha)' from 'A-(tha)', Outlook
     Stable

  -- Short-term National Rating: 'F1(tha)' from 'F2(tha)'

  -- Long-term National Rating of senior unsecured debentures:
     'A(tha)' from 'A-(tha)'

Siam City Bank Public Company Limited

  -- Long-Term Foreign Currency Issuer Default Rating: 'BBB-' from
     'BB', Outlook Stable

  -- Short-Term Foreign Currency: 'F3' from 'B'

  -- Support Rating: '3' from '4'

  -- Long-term National Rating: 'A+(tha)' from 'A-(tha)', Outlook
     Stable

  -- Short-term National Rating: 'F1+(tha)' from 'F1(tha)'

  -- Long-term National Rating of subordinated unsecured
     debentures: 'A(tha)' from 'BBB+(tha)'

This rating has been affirmed:

  -- Thanachart Bank Public Company Limited - Individual Rating:
     'C/D'

  -- Thanachart Capital Public Company Limited - Support Rating:
     '5'

This rating has been withdrawn:

Siam City Bank Public Company Limited

  -- Individual Rating: 'D'
  -- Support Rating Floor: 'B+'


THANACHART BANK: Fitch Corrects Press Release on Ratings
--------------------------------------------------------
This announcement corrects the version published.  In the second
paragraph, the Outlook revision to Stable applies to TBANK and
TCAP's National ratings and SCIB's Long-term Foreign-currency
Issuer Default Rating and National rating, and not TBANK and
TCAP's Long-term Foreign-currency IDRs as previously stated.

Fitch Ratings (Thailand) has upgraded the ratings of Thanachart
Bank Public Company Limited, Thanachart Capital Public Company
Limited, and Siam City Bank Public Company Limited and removed
them from Rating Watch Positive following TBANK's acquisition of
SCIB in Q210.  The three entities' ratings had been placed on RWP
after TBANK's announcement of its planned acquisition of SCIB.
Fitch also affirmed the Individual rating of TBANK at 'C/D' and
withdrew the Individual rating and Support Rating Floor of SCIB.
Details of the rating actions are listed further below.

The upgrade of TBANK's National ratings is supported by
improvements in its market position, capital, liquidity and
financial performance, while the upgrade of its Support Rating is
based on the greater systemic importance of the combined entity.
The ratings of TCAP were also upgraded to reflect the greater
benefits expected from the stronger operating subsidiary.  TCAP is
currently rated one notch below TBANK, given structural
subordination and TCAP's strong stand-alone financial strength.
At the same time, the ratings of SCIB have been equalised to those
of TBANK given the acquisition and consolidation.  The Outlook on
TBANK and TCAP's National ratings and SCIB's Long-term Foreign-
currency Issuer Default Rating and National rating have been
revised to Stable.  Future rating actions for TBANK will depend on
post-integration performance.

TBANK is the main operating entity within the Thanachart Group.
TCAP currently holds 50.9% of TBANK.  Bank of Nova Scotia (BNS:
'AA-'/'F1+'), Canada's third-largest bank, increased its stake in
TBANK to 49% in February 2009 (from 25%).  The greater oversight
and support of BNS has helped to improve TBANK's financial
strength and performance since 2009.  Apart from showing its long-
term commitment through the capital contributions for the
acquisition of SCIB in 2010, BNS has been actively involved with
the acquisition and integration process underway.

Following TBANK's acquisition of SCIB, the merged bank's systemic
importance has increased as it becomes the sixth largest bank in
Thailand with an estimated asset value of THB829.7 billion.  The
acquisition also resulted in a more diversified loan book, with
combined retail lending accounting for 56% of total loans,
compared to 79% at TBANK pre-acquisition.  Auto hire purchase
remains TBANK's core strength, representing 39% of the merged loan
book.  Corporate lending (44% of total), comprises mainly SCIB's
loans to large corporate and small and medium sized enterprises.
TBANK's funding profile should also improve, with the stronger
deposit franchise of SCIB.

Profitability measures have also improved with TBANK reporting a
consolidated net profit of THB4.4 billion in H110, compared to
THB1.0 billion in H109.  Annualized return on assets (ROA)
improved to 1.57% in H110 from 1.06% in 2009, while net interest
margin also improved to 4.34% in H110 from 3.98% in 2009 given the
lower funding costs supported by SCIB's stronger deposit
franchise.  TBANK's capital position has been strengthened given
SCIB's stronger capital position, with TBANK's Tier 1 ratio and
total capital ratio rising to 11.8% and 15.0%, respectively, at
end-June 2010 (end-March 2010: 8.7% and 13.6%).  The THB18.5bn
goodwill arising from the SCIB acquisition has not been deducted
from TBANK's Tier 1 capital, given that the Bank of Thailand has
allowed the goodwill to be deducted after completion of the
integration process by end-2011.  The bank expects its Tier 1
ratio to be still maintained at not less than 8% after deduction
of goodwill in 2012.

On the other hand, asset quality measures are now weaker due to
the higher non-performing loans at SCIB.  The combined gross NPLs
of TBANK and SCIB rose to THB35.5 billion (6.2% of total loans) at
end-June 2010 from THB8.4 billion (2.9%) at end-2009.  Loan loss
reserves coverage declined to 75.6% of impaired loans at end-June
2010, compared with industry average of about 80%.  Further
provisioning on SCIB's portfolio may be needed as special mention
loans remain high (8.2% of total loans at end-June 2010), although
Fitch believes any increase in provisions required for loan
deterioration should be adequately managed by the enlarged
profitability of the combined entities.

On a standalone basis, TCAP reported a moderate decline in net
profit of THB2.7 billion, 14% lower yoy, due to higher interest
expense (from increased borrowings for the purpose of acquisition)
and lower gain on investments (TCAP reported gain from sale of its
stake in TBANK to BNS in 2009).  TCAP's double leverage has
increased significantly to 111% at end-June 2010 from 49% at end-
2009 due to the acquisition of SCIB, although this should remain
stable over the next few years given no plans to make additional
acquisitions or to raise equity.  TCAP's equity of THB 28.5
billion or 66% of assets at end-June 2010 remains very strong.  As
a holding company, TCAP is reliant on TBANK's dividend payment,
although it should benefit from stronger dividend income from the
combined operating entity.

Upon completion of integration process, Fitch expects to withdraw
the other ratings on SCIB.

These ratings have been upgraded:

Thanachart Bank Public Company Limited

  -- Long-term National Rating: 'A+(tha)' from 'A(tha)', Outlook
     Stable

  -- Short-term National Rating: 'F1+(tha)' from 'F1(tha)'

  -- Support Rating: '3'from '4'

Thanachart Capital Public Company Limited

  -- Long-term National Rating: 'A(tha)' from 'A-(tha)', Outlook
     Stable

  -- Short-term National Rating: 'F1(tha)' from 'F2(tha)'

  -- Long-term National Rating of senior unsecured debentures:
     'A(tha)' from 'A-(tha)'

Siam City Bank Public Company Limited

  -- Long-Term Foreign Currency Issuer Default Rating: 'BBB-' from
     'BB', Outlook Stable

  -- Short-Term Foreign Currency: 'F3' from 'B'

  -- Support Rating: '3' from '4'

  -- Long-term National Rating: 'A+(tha)' from 'A-(tha)', Outlook
     Stable

  -- Short-term National Rating: 'F1+(tha)' from 'F1(tha)'

  -- Long-term National Rating of subordinated unsecured
     debentures: 'A(tha)' from 'BBB+(tha)'

This rating has been affirmed:

  -- Thanachart Bank Public Company Limited - Individual Rating:
     'C/D'

  -- Thanachart Capital Public Company Limited - Support Rating:
     '5'

This rating has been withdrawn:

Siam City Bank Public Company Limited

  -- Individual Rating: 'D'
  -- Support Rating Floor: 'BB-'


                         *********

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 ***