TCRAP_Public/100923.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

                     A S I A   P A C I F I C

          Thursday, September 23, 2010, Vol. 13, No. 187

                            Headlines



A U S T R A L I A

DIRECT FACTORY: CFS Retail Likely to Acquire 50% of DFO
TAX RETURNS: Court Appoints Taylor Woodings as Liquidator
TIMBERLAND FURNITURES: Receivers Launch Legal Action


C H I N A

CHINA MEDICAL: S&P Assigns 'B+' Long-Term Corporate Credit Rating
CHINA PROPERTIES: S&P Affirms 'B-' Corporate Credit Rating


H O N G  K O N G

LI'S MARINE: Members' Final Meeting Set for October 18
LONG WINNER: Members' Final Meeting Set for October 22
MACQUARIE GOODMAN: Creditors' Proofs of Debt Due October 4
MERIDIEN HOTELS: Creditors' Proofs of Debt Due October 15
MILLION REGAL: Creditors' Proofs of Debt Due October 18

PIER INTERNATIONAL: Creditors' Proofs of Debt Due October 18
POLIFIN ASIA: Final Meetings Slated for October 18
POPE & KIERNAN: Members' Final General Meeting Set for October 18
RC TRADING: Commences Wind-Up Proceedings
SEAWILH LIMITED: Creditors' Proofs of Debt Due October 12

SOL MELIA: Creditors Meetings Set for October 7
SUMMIT ORIENT: Placed Under Voluntary Wind-Up Proceedings
SUNTRUST ASIA: Creditors' Proofs of Debt Due October 8
TIN LUNG: Members and Creditors' Meetings Set for October 18
WEALTH WORLD: Commences Wind-Up Proceedings

WELLBOND CONTRACTING: Pang Wai Kui Steps Down as Liquidator
WELL FIT: Members and Creditors' Annual Meetings Set for Sept. 27
WIDEFUL INTERNATIONAL: Commences Wind-Up Proceedings
WILKS ESTATE: Cynthia Wong Tak Yee Appointed as Liquidator
WINPOWER HOLDINGS: Yeung Kam Hoi Steps Down as Liquidator


I N D I A

BAJRANGBALI ROLLING: CRISIL Cuts Rating on INR2MM Loan to 'BB+'
LALA MADHORAM: CRISIL Reaffirms 'D' Rating on INR320MM Term Loan
MAA AMBA: CRISIL Reaffirms 'BB-' Rating on INR65 Million Term loan
MAA AMBA TOWERS: CRISIL Rates INR98.5 Million Term Loan at 'BB+'
MECH & FAB: ICRA Puts 'LBB-' Rating on INR3.8cr Fund-Based Limits

NOVATECH PROCESS: ICRA Assigns 'LBB' Rating to INR14cr Loans
SHREE RAM: ICRA Assigns 'LB+' Rating to INR8.9cr Term Loans
SHIVAM MELTECH: Fitch Assigns National Long-Term Rating at 'B-'
TULIP APPARELS: ICRA Assigns 'LBB' Rating to INR8.05cr Bank Limits


J A P A N

JLOC 36: S&P Downgrades Ratings on Various Classes of Notes


K O R E A

KIA MOTORS: Moody's Upgrades Corporate Family Rating from 'Ba1'


N E W  Z E A L A N D

CRAFAR FARMS: Minister Says Chinese Bid "Extremely Complex"


P H I L I P P I N E S

EXPORT AND INDUSTRY: Shareholders Approve Sale to BDO for PHP30BB


S R I  L A N K A

* Fitch Affirms Sri Lanka's Issuer Default Rating at 'B+'




                         - - - - -


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


DIRECT FACTORY: CFS Retail Likely to Acquire 50% of DFO
-------------------------------------------------------
CFS Retail Property Trust is set to buy half of shopping centre
chain Direct Factory Outlet.

The Australian Associated Press reports that units of CFS have
been halted from trading, ahead of an announcement from the
shopping centre owner of a "significant transaction".
The AAP says that the responsible entity of the real estate
investment trust (REIT), Commonwealth Managed Investments,
requested the trading halt, which has been granted until Friday
morning or until the announcement is made.

CFS Retail Property Trust, which is owned by global fund manager
Colonial First State, has interests in 25 retail properties worth
AU$7.7 billion.  Included in the portfolio is the Altona Gate and
Chadstone shopping centres in Melbourne and Sydney's Entertainment
Quarter.

As reported in the Troubled Company Reporter-Asia Pacific on
Aug. 20, 2010, the Business Spectator said Direct Factory Outlet
was granted a bank bailout after its owner, Austexx Pty Ltd,
struck an agreement with lenders, which is likely to see the firm
avoid being placed in receivership.  Business Spectator related
that a banking syndicate including Suncorp-Metway Ltd., National
Australia Bank Ltd., St George Bank and Royal Bank of Scotland
owed AU$450 million have agreed to extend a line of credit to DFO
to ensure it can complete the construction of its unfinished South
Wharf retail development.

Founded in 1996, Direct Factory Outlets has eight factory outlet-
style centres operating on the Eastern Seaboard.  It was founded
in 1996 by rich list members David Golberger and David Wieland,
and is owned by holding company Austexx Pty Ltd.


TAX RETURNS: Court Appoints Taylor Woodings as Liquidator
---------------------------------------------------------
The Australian Securities & Investments Commission has obtained
orders in the Federal Court in Melbourne appointing liquidators to
Tax Returns Australia Dot Com Pty Ltd and Online Returns Pty Ltd,
following an ASIC investigation.

Mr. Ross Blakeley and Mr. Quentin Olde of Taylor Woodings were
appointed to the two companies.  Concerns were raised with ASIC
that clients of both companies had not received tax refunds and
stimulus payments owed to them.  Both TRADC and Online Returns
operated a Web site through which taxpayers could submit a tax
return to the Australian Taxation Office.

ASIC said in a statement that provisional liquidators were
appointed as an interim measure to preserve assets of TRADC and
Online Return.  In appointing provisional liquidators, Justice
Dodds-Streeton of the Federal Court of Australia ruled that there
was sufficient evidence to suggest that both companies had failed
to pay clients substantial amounts of money received as tax
refunds on their behalf from the ATO.  Her Honour also concluded
that the companies may have allowed tax refunds received on behalf
of clients to be applied, without justification, to the purchase
of a holiday property in Port Douglas, Queensland.

As a result of ASIC's investigation and the provisional
liquidators' report, ASIC sought orders to have TRADC and Online
Returns wound up.  The liquidators will be responsible for
identifying and securing the assets of both companies.

ASIC's investigation is continuing.

                             Background

In 2001, a former director of TRADC and Online Returns, Mr. Darren
Brown, was jailed by ASIC for misappropriation of AU$1.46 million
of trust funds.

In 2004, ASIC successfully applied to the Victorian Supreme Court
to wind up four companies owned and operated by the current
director of TRADC and Online Returns, Mr. Robert Brown.


TIMBERLAND FURNITURES: Receivers Launch Legal Action
----------------------------------------------------
Timberland Furnitures' receivers have launched legal action to try
to secure the assets of the company, after claiming that the
assets have been transferred into a new company without payment,
SmartCompany reports.

SmartCompany says Deloitte Partners Neil Cussen and Vaughan
Strawbridge were appointed as receivers of Timberland Furnitures
on September 6, and advertised the business for sale on
September 10.

But the receivers said it soon became apparent that six months
before the group collapsed, the business, stock and goodwill of
the "old" Timberland Group had been placed into a "new" Timberland
Group -- without the knowledge or consent of the company's secured
creditor and without any payment being made.

According to SmartCompany, the receivers claim the director of the
"new" Timberland Group is the wife of one of the directors of the
"old" Timberland Group, Luis Santos.

SmartCompany discloses that on September 14, the receivers
commenced proceedings in the Supreme Court of New South Wales to
get access to the stock held by the "new" Timberland Group on
behalf of the secured creditor of the "old" Timberland Group.  The
matter returns to Court on September 30, 2010.

Deloitte has not released the name of the secured creditor, nor
revealed the level of debt involved in the collapse, SmartCompany
adds.

Timberland Furnitures is a Sydney-based furniture retailer.  The
company has 10 stores in New South Wales and the Australian
Capital Territory.


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


CHINA MEDICAL: S&P Assigns 'B+' Long-Term Corporate Credit Rating
-----------------------------------------------------------------
Standard & Poor's Ratings Services assigned its 'B+' long-term
corporate credit rating to China Medical Technologies Inc.  The
outlook is stable.  At the same time, Standard & Poor's assigned
its 'B+' issue rating to the company's proposed issue of up to
US$200 million in senior unsecured notes due 2015.  The rating on
the notes is subject to Standard & Poor's review of the final
documentation for the notes issuance.  The company intends to
place the bond proceeds in an escrow account to refinance its two
existing convertible notes due 2011 and 2013.

"The rating on CMED reflects the company's small scale compared
with global peers, its highly leveraged financial risk profile,
and high industry risks.  These weaknesses are tempered by CMED's
good profitability, recurring cash flow generation, and good niche
market position.  In addition, S&P believes China's healthcare
industry has favorable growth potential, given its low penetration
rate," said Standard & Poor's credit analyst Joe Poon.

CMED faces high industry risks as it operates in China's
fragmented and competitive in-vitro diagnostic market.  The
company is also exposed to some regulatory risks associated with
renewing or obtaining approval for new products.  In its opinion,
the entrance of long-established and large healthcare companies
from overseas and other domestic players into this business could
challenge CMED's market position.  However, the impact is unlikely
to be felt over the next two years, in its view, given the lengthy
application process for new entrants.

S&P expects CMED to maintain its good profitability over the next
two years due to the increased contribution from its two high-
margin molecular diagnostic products: Fluorescent In Situ
Hybridization and Surface Plasmon Resonance.  The profitability of
its other product, Enhanced Chemiluminescence, has also stabilized
after a period of intense pricing competition.  In fiscal 2009,
the company's sales dropped 12.9% year over year due to the
reduced contribution from ECLIA, but FISH sales kept the gross
margin at more than 80%.  SPR products will contribute sales
revenue from fiscal 2010.

CMED's low-cost production base and established sales and
distribution network offer additional rating support.  The company
sells its ECLIA products through distributors to small and mid-
sized hospitals; and its FISH and SPR products to large hospitals
through its direct sales force.

"The company's financial metrics are likely to remain weak for the
current rating category over the next 12 months, in its view, but
should gradually improve thereafter as it expands its revenue base
and reduces debt," said Mr. Poon.

The metrics have deteriorated since the debt-funded acquisition of
SPR technology in 2008.  In its base-case scenario, S&P expects
CMED's adjusted ratio of total debt to capital to remain high, at
about 55%, over the next 12 to 18 months.  S&P also expect its
adjusted ratio of gross debt to EBITDA to improve to about 4.5x-
5.5x over the same period.

CMED's liquidity will remain adequate, in its view, following the
issuance of its proposed notes.  S&P believes that the company
will have sufficient liquidity for its operating and financing
requirements, given its light capital expenditure, modest working
capital needs, and the company's decision to suspend dividend
payments over the next 12 months.  As a result, CMED should be
able to generate satisfactory free cash flow and gradually improve
its debt leverage.  The company's key financial objectives are
likely to involve refinancing its two convertible notes, reducing
debt, and maintaining sufficient operating cash.  S&P has not
factored any major acquisitions into the ratings.

As at June 30, 2010, CMED had cash and cash equivalents of about
Chinese renminbi RMB742.3 million with no short-term debt due.
The company has no debt facilities, other than its two convertible
notes.  It has no available undrawn banking facilities.

"The stable outlook reflects its expectation that CMED will be
able to maintain sufficient liquidity, including good cash flow
generation, to cope with market competition and reduce debt.  S&P
expects the company to gradually deleverage, which would stabilize
its financial risk profile," said Mr. Poon.  "In addition, S&P
expects CMED to benefit from the growth potential in China, given
the low penetration rate in the healthcare sector.  In its
opinion, to improve debt leverage, the company is likely to
continue to preserve cash and make no dividend payouts."


CHINA PROPERTIES: S&P Affirms 'B-' Corporate Credit Rating
----------------------------------------------------------
Standard & Poor's Ratings Services said that it had affirmed its
'B-' long-term corporate credit rating on China Properties Group
Ltd.  The outlook was negative.  At the same time, S&P affirmed
the 'B-' issue rating on the group's outstanding US$300 million
senior unsecured notes due 2014.  Standard & Poor's then withdrew
both ratings due to insufficient information.

S&P assessed the ratings on limited public information and did not
have interaction with management.  China Properties had
substantial land premiums outstanding, construction obligations,
and short-term debt against cash on hand as at June 30, 2010.  S&P
does not have a sufficient understanding of the group's funding
alternatives or sales progress, and have not been updated about
its growth strategy or financial policy.  S&P is therefore no
longer in a position to accurately assess China Properties' credit
risks, particularly regarding its liquidity position.
Nevertheless, S&P understand that the group's land bank and
certain assets are of good value, and therefore likely to serve as
a liquidity buffer if required.


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


LI'S MARINE: Members' Final Meeting Set for October 18
------------------------------------------------------
Members of LI's Marine Products Limited will hold their final
general meeting on October 18, 2010, at 10:00 a.m., at Rm. 1321,
Leighton Centre, 77 Leighton Road, Causeway Bay, in Hong Kong.

At the meeting, Li Shing Wai, the company's liquidator, will give
a report on the company's wind-up proceedings and property
disposal.


LONG WINNER: Members' Final Meeting Set for October 22
------------------------------------------------------
Members of Long Winner Investment Limited will hold their final
meeting on October 22, 2010, at 10:00 a.m., at Room 1601, Wing On
Centre, 111 Connaught Road Central, in Hong Kong.

At the meeting, Fung Kit Yee, the company's liquidator, will give
a report on the company's wind-up proceedings and property
disposal.


MACQUARIE GOODMAN: Creditors' Proofs of Debt Due October 4
----------------------------------------------------------
Macquarie Goodman Container Investments No. 1 Limited, which is in
members' voluntary liquidation, requires its creditors to file
their proofs of debt by October 4, 2010, to be included in the
company's dividend distribution.

The company's liquidators are:

         Edward Simon Middleton
         Patrick Cowley
         27th Floor, Alexandra House
         18 Chater Road
         Central, Hong Kong


MERIDIEN HOTELS: Creditors' Proofs of Debt Due October 15
---------------------------------------------------------
Creditors of Meridien Hotels (Hong Kong) Limited, which is in
members' voluntary liquidation, are required to file their proofs
of debt by October 15, 2010, to be included in the company's
dividend distribution.

The company commenced wind-up proceedings on September 3, 2010.

The company's liquidators are:

         Thomas Andrew Corkhill
         Iain Ferguson Bruce
         8th Floor, Gloucester Tower
         The Landmark, 15 Queen's Road
         Central, Hong Kong


MILLION REGAL: Creditors' Proofs of Debt Due October 18
-------------------------------------------------------
Creditors of Million Regal Investment Limited, which is in
members' voluntary liquidation, are required to file their proofs
of debt by October 18, 2010, to be included in the company's
dividend distribution.

The company's liquidator is:

         Au Chun Fai Jeffrey
         Room 503, Bonham Trade Centre
         50 Bonham Strand
         Sheung Wan, Hong Kong


PIER INTERNATIONAL: Creditors' Proofs of Debt Due October 18
------------------------------------------------------------
Creditors of Pier International Limited, which is in members'
voluntary liquidation, are required to file their proofs of debt
by October 18, 2010, to be included in the company's dividend
distribution.

The company's liquidator is:

         Philip Brendan Gilligan
         7th Floor, Alexandra House
         18 Chater Road
         Central, Hong Kong


POLIFIN ASIA: Final Meetings Slated for October 18
--------------------------------------------------
Members and creditors of Polifin Asia Limited will hold their
final meetings on October 18, 2010, at 10:00 a.m., and 10:30 a.m.,
respectively at 35th Floor, One Pacific Place, 88 Queensway, in
Hong Kong.

At the meeting, Lai Kar Yan (Derek) and Darach E. Haughey, the
company's liquidators, will give a report on the company's wind-up
proceedings and property disposal.


POPE & KIERNAN: Members' Final General Meeting Set for October 18
-----------------------------------------------------------------
Members of Pope & Kiernan & Black Limited will hold their final
general meeting on October 18, 2010, at 10:00 a.m., at the offices
of FTI Consulting (Asia) Ltd, 1008 Shui On Centre, 6-8 Harbour
Road, Wanchai, in Hong Kong.

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


RC TRADING: Commences Wind-Up Proceedings
-----------------------------------------
Members of RC Trading Education Limited, on September 8, 2010,
passed a resolution to voluntarily wind-up the company's
operations.

The company's liquidator is:

         Cheung Wing On Rickey
         7B Fu Wai Court
         Fortress Garden
         32 Fortress Hill Road
         Hong Kong


SEAWILH LIMITED: Creditors' Proofs of Debt Due October 12
---------------------------------------------------------
Creditors of SeaWilh Limited, which is in members' voluntary
liquidation, are required to file their proofs of debt by Oct. 12,
2010, to be included in the company's dividend distribution.

The company commenced wind-up proceedings on September 10, 2010.

The company's liquidators are:

         Betty Yuen Yeung
         Ho Siu Pik
         Level 28, Three Pacific Place
         1 Queen's Road East
         Hong Kong


SOL MELIA: Creditors Meetings Set for October 7
-----------------------------------------------
Creditors of Sol Melia China Limited will hold their meeting on
October 7, 2010, at 10:30 a.m., at 27/F., Alexandra House, 18
Chater Road, Central, in Hong Kong.

At the meeting, Edward S Middleton, the company's liquidator, will
give a report on the company's wind-up proceedings and property
disposal.


SUMMIT ORIENT: Placed Under Voluntary Wind-Up Proceedings
---------------------------------------------------------
At an extraordinary general meeting held on August 28, 2010,
creditors of Summit Orient Limited resolved to voluntarily wind up
the company's operations.

The company's liquidator is:

         Kan Flavia Fang
         5 Middle Lane, Flat B
         Discovery Bay, Midvale Village
         Lantau Island, Hong Kong


SUNTRUST ASIA: Creditors' Proofs of Debt Due October 8
------------------------------------------------------
Creditors of Suntrust Asia Limited, which is in members' voluntary
liquidation, are required to file their proofs of debt by Oct. 8,
2010, to be included in the company's dividend distribution.

The company commenced wind-up proceedings on September 3, 2010.

The company's liquidators are:

         Ying Hing Chiu
         Chan Mi Har
         Level 28, Three Pacific Place
         1 Queen's Road East
         Hong Kong


TIN LUNG: Members and Creditors' Meetings Set for October 18
------------------------------------------------------------
Members and creditors of Tin Lung Headwear Manufacturing Limited
will hold their meetings on October 18, 2010, at 4:00 p.m., and
4:30 p.m., respectively at Room 1402, 14th Floor, Yue Xiu
Building, 160-174 Lockhart Road, Wanchai, in Hong Kong.

At the meeting, Leung Chi Wa Simon, the company's liquidator, will
give a report on the company's wind-up proceedings and property
disposal.


WEALTH WORLD: Commences Wind-Up Proceedings
-------------------------------------------
Members of Wealth World International Trading Co., Limited, on
August 30, 2010, passed a resolution to voluntarily wind-up the
company's operations.

The company's liquidators are:

         Ho Man Kit
         Kong Sau Wai
         Unit 511, 5th Floor
         Tower 1, Silvercord
         No. 30 Canton Road
         Tsimshatsui, Kowloon


WELLBOND CONTRACTING: Pang Wai Kui Steps Down as Liquidator
-----------------------------------------------------------
Pang Wai Kui stepped down as liquidator of Wellbond Contracting
Limited on September 15, 2010.


WELL FIT: Members and Creditors' Annual Meetings Set for Sept. 27
-----------------------------------------------------------------
Members and creditors of Well Fit Intimate Design & Manufacturing
Limited will hold their annual meetings on September 27, 2010, at
5:00 p.m., at the offices of FTI Consulting (Hong Kong) Limited,
14th Floor, The Hong Kong Club Building, 3A Chater Road, Central,
in Hong Kong.

At the meeting, Fok Hei Yu, the company's liquidator, will give a
report on the company's wind-up proceedings and property disposal.


WIDEFUL INTERNATIONAL: Commences Wind-Up Proceedings
----------------------------------------------------
Members of Wideful International Limited, on September 8, 2010,
passed a resolution to voluntarily wind-up the company's
operations.

The company's liquidator is:

         Choi Siu Ling
         17/F., Hing Yip Commercial Centre
         272-284 Des Voeux Road
         Central, Hong Kong


WILKS ESTATE: Cynthia Wong Tak Yee Appointed as Liquidator
----------------------------------------------------------
Cynthia Wong Tak Yee on September 10, 2010, was appointed as
liquidator of Wilks Estate Company Limited.

The liquidator may be reached at:

         Cynthia Wong Tak Yee
         Level 28, Three Pacific Place
         1 Queen's Road East
         Hong Kong


WINPOWER HOLDINGS: Yeung Kam Hoi Steps Down as Liquidator
---------------------------------------------------------
Yeung Kam Hoi stepped down as liquidator of Winpower Holdings
Limited on September 1, 2010.


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


BAJRANGBALI ROLLING: CRISIL Cuts Rating on INR2MM Loan to 'BB+'
---------------------------------------------------------------
CRISIL has downgraded its ratings on the bank facilities of
Bajrangbali Rolling Mills Ltd to 'BB+/Stable/P4+' from 'BBB-
/Stable/P3'.

   Facilities                    Ratings
   ----------                    -------
   INR2.0 Million Term Loan      BB+/Stable (Downgraded from
                                             'BBB-/Stable')
   INR4.0 Million Proposed LT    BB+/Stable (Downgraded from
         Bank Loan Facility                  'BBB-/Stable')

   INR71.0 Million Cash Credit   BB+/Stable (Downgraded from
                                             'BBB-/Stable')

   INR13.0 Million Letter of     P4+ (Downgraded from 'P3')
                      Credit

The downgrade reflects the substantial decline in BRML's revenues,
and increase in its operation level losses, leading to low cash
accruals, and factors in CRISIL's expectations that BRML's
revenues and cash accruals will remain under pressure over the
medium term.

The ratings also reflect BRML's exposure to risks relating to the
working-capital-intensive nature of its operations; and its
marginal presence, and exposure to risks relating to cyclicality,
in the steel industry.  These weaknesses are partially offset by
the support that the company derives from its group companies, and
its promoters' experience in the steel industry.

Outlook: Stable

CRISIL believes that BRML will continue to benefit from its
promoters' experience in the steel industry. The outlook may be
revised to 'Positive' if the company's revenues and profitability
increase more than expected, or if it achieves greater integration
of operations. Conversely, the outlook may be revised to
'Negative' if BRML's capacity utilization declines, or it
undertakes a large, debt-funded capital expenditure programme.

                      About Bajrangbali Rolling

BRML is promoted by the Kolkata-based Agarwal family, which has
been in the steel business for more than 20 years. The company
produces steel ingots and thermo-mechanically-treated bars, with
current installed capacity of 20,000 tonnes per annum (tpa) and
18,000 tpa, respectively. Its production facility is in Darjeeling
(West Bengal).  The company is currently managed by Mr. Rakesh
Agarwal.

BRML has posted, on a provisional basis, a profit after tax (PAT)
of INR2.3 million on an operating income of INR434 million in
2009-10 (refers to financial year, April 1 to March 31); it had
reported a PAT of INR4.1 million on an operating income of INR735
million for 2008-09.


LALA MADHORAM: CRISIL Reaffirms 'D' Rating on INR320MM Term Loan
----------------------------------------------------------------
CRISIL's rating on the bank facilities of Lala Madhoram Bhagwan
Dass Charitable Society continues to reflect delays by Lala
Madhoram in servicing its term loan.  The delays have been caused
by Lala Madhoram's weak liquidity.

   Facilities                      Ratings
   ----------                      -------
   INR20.00 Million Cash Credit    D (Reaffirmed)
   INR320.00 Million Term Loan     D (Reaffirmed)

Lala Madhoram has limited track record of running a school, and
weak financial risk profile, marked by high gearing, small quantum
of corpus funds, and weak debt protection metrics.  The society is
susceptible to adverse regulatory changes in the education sector.
However, the society benefits from the extensive experience of its
trustees in the education sector.

Lala Madhoram was established in 1982 under the Rajasthan Society
Registration Act 1958.  The society established Uday Bharti Public
School in 1986-87 (refers to financial year, April 1 to March 31);
the school's name was changed to Manav Rachna International School
in 2007-08.  The school is affiliated to the Central Board of
Secondary Education and offers education from pre-nursery to
higher secondary levels.


MAA AMBA: CRISIL Reaffirms 'BB-' Rating on INR65 Million Term loan
------------------------------------------------------------------
CRISIL's ratings on the bank facilities of Maa Amba Infrastructure
Pvt Ltd continue to reflect MAIPL's small scale operations in the
fragmented ingots industry, and weak financial risk profile marked
by low cash accruals, small net worth, and high gearing.  These
weaknesses are partially offset by the benefits that MAIPL derives
from the support of its group companies, and its promoters'
experience in the steel industry.

   Facilities                       Ratings
   ----------                       -------
   INR47.5 Million Cash Credit      BB-/Stable (Reaffirmed)
   INR65.0 Million Term loan        BB-/Stable (Reaffirmed)
   INR7.5 Million Letter of Credit  P4+ (Reaffirmed)

Outlook: Stable

CRISIL expects MAIPL's scale of operations to remain small, and
its financial flexibility constrained because of the start-up
nature of its operations and its small net worth, over the near to
medium term.  The outlook may be revised to 'Positive' if the
company scales up its operations further, and its net worth
improves substantially.  Conversely, the outlook may be revised to
'Negative' if there is any delay in ramp up of sales, and its
profitability margins are lower than expected.

                           About Maa Amba

MAIPL, incorporated by the Agarwal family in 2006, set up an ingot
facility in Darjeeling (West Bengal), with a capacity of 24,000
tonnes per annum (tpa), in 2009-10 (refers to financial year,
April 1 to March 31).  The company started commercial production
in February 2010.  The promoters have several other companies in
the same line of business; these include RS Ispat Pvt Ltd,
Bajrangbali Rolling Mills Pvt Ltd, and RS Concast Ltd.  MAIPL
sells ingots primarily to local traders and BRML.  The company
also owns two warehouses from which it earned revenues of INR8
million in 2009-10.

MAIPL, on a provisional basis, posted a net loss of INR9 million
on an operating income of INR60.7 million for 2009-10; it had
reported a profit after tax of INR0.2 million on operating income
of INR9 million for 2008-09.


MAA AMBA TOWERS: CRISIL Rates INR98.5 Million Term Loan at 'BB+'
----------------------------------------------------------------
CRISIL has assigned its 'BB+/Stable' rating to Maa Amba Towers Pvt
Ltd's bank facility.

   Facilities                           Ratings
   ----------                           -------
   INR98.50 Million Rupee Term Loan     BB+/Stable (Assigned)

The rating reflects MATPL's below-average financial risk profile,
marked by a small net worth, high gearing, and weak debt
protection metrics; small scale of operations; and geographically
concentrated revenue profile.  These rating weaknesses are
partially offset by MATPL's stable revenues, supported by regular
lease rentals from its warehouses, and its promoters' experience
in the warehousing services business.

Outlook: Stable

CRISIL believes that MATPL's scale of operations will remain small
and its financial risk profile, weak, over the medium term,
particularly because of the company's large, debt-funded capital
expenditure (capex).  The outlook may be revised to 'Positive' if
MATPL's capital structure improves or scale of operations
increases, significantly.  Conversely, the outlook may be revised
to 'Negative' if the company's financial risk profile weakens,
most likely because of larger-than-expected debt-funded capex.

MATPL was incorporated in 2007. It is promoted by Mr. Radhey Shyam
Agarwal and his son Mr. Rakesh Agarwal. MATPL is in the business
of leasing out warehouses. The company owns five warehouses in
Dankuni, (West Bengal), spread over eight acres; it has additional
seven acres, unused so far, on the same plot. The company leases
its warehouses to its customers on long-term basis (with a 15 per
cent price escalation clause every three years). It is not
involved in the day-to-day operations of the warehouses.

MATPL, on a provisional basis, reported a loss of INR1.5 million
on net sales of INR25.9 million for 2009-10 (refers to financial
year, April 1 to March 31).


MECH & FAB: ICRA Puts 'LBB-' Rating on INR3.8cr Fund-Based Limits
-----------------------------------------------------------------
ICRA has assigned a 'LBB-' rating outstanding to INR3.8 crore
fund-based limits of Mech & Fab Industries.  The outlook on the
long term rating is stable.  ICRA has also assigned an A4 rating
to the INR2.5 crores non-fund based limits of Mech & Fab.

The ratings derive strength from the firms' experienced
management, its modest gearing and its healthy debt coverage
indicators.  The rating is however constrained by the modest and
declining revenues of the firm on account of decreasing income
from its cement plant division in the past few years.  Although
the firm has established relationships with reputed clients like
BHEL, ABB, Siemens etc.  ICRA notes that this also translates into
low bargaining power for the firm given its modest size and
competitive nature of the industry in which the firm operates.
Moreover, ICRA also factors in the Mech & Fab's constitution as a
partnership firm while keeping the ratings at a LBB-/A4 level.

                          About Mech & Fab

Mech & Fab, incorporated as a partnership firm in 1978, is engaged
in fabricating transformer tanks and cement plants (raw mill
housing and coal mill housing).  The firm is promoted by the
Aggarwal family and has its fabrication facility located in Bhopal
(Madhya Pradesh).

Recent Results

During FY10, Mech & Fab recorded a provisional net profit after
tax (PAT) of INR0.86 crore on provisional operating income of
INR9.10 crore as against a PAT of INR1.02 crore on an operating
income of INR16.92 crore during FY09.


NOVATECH PROCESS: ICRA Assigns 'LBB' Rating to INR14cr Loans
------------------------------------------------------------
ICRA has assigned a long term rating of 'LBB' to the INR 14 crores
fund-based limits of Novatech Process Equipments Private Limited.
ICRA has also assigned an 'A4' rating to the INR6 crores Non-Fund
based limits of NPEL.  The outlook on the long term ratings is
stable.

The ratings are constrained by the company's small size of
operations, intense competitive pressures, exposure to commodity
risks in input cost and high financial risk profile.  The
leveraging level (i.e. Total Debt/Tangible Net-worth) as on end of
March 2010 remained significantly high i.e. at 3.78 times both due
to debt-funded capital expenditure and increased working capital
requirements.  The ratings however take into account the company's
pre-qualification approvals from the leading EPC
consultants/contractors as well as its long operating track record
in fabrication of process equipment & supplies of resin systems on
LSTK basis.  As new fabrication facility set up at Kolkata for
structurals & other fabricated steel items is operational since
2008-09, the company's approved vendor status from BHEL in
July 2009 & favorable business potential from infrastructure
sector (particularly power & roads) would remain key growth
drivers, going ahead.  The company has a fairly strong order-book
position of INR140 Cr. as on August 2010, comprising of
the single  largest order of INR93 Cr. from Myanmar Petroleum
Enterprise which  is fixed price based and scheduled to be
executed over the next 24 month period.  Notwithstanding the same,
the company's ability to execute these ongoing orders in a timely
manner within the budgeted costs remains critical to its
profitability, given its currently small size of operations.

                       About Novatech Process

Novatech Process Equipments Pvt Ltd, NPEL, was promoted in 1984,
by Mr. Sukumar Ghosh, and is into the business of manufacturing &
supply (i.e. fabrication) of process equipment and structurals.
The company initially started with a small production unit (land
on rental basis) at Vagle Estate, Thane (West) in 1984, and
subsequently in 1992, set up fabrication unit at Ambarnath MIDC
Area and in 1993, set up additional unit at Taloja MIDC Area ?
both being near to Mumbai.  With the purpose of diversification in
the operations and also to capitalise on the growth opportunities
in the power & other infra sectors, the company during 2008-09
set up a fabrication facility at Dulepara (E), near Kolkatta and
about 100 km distance from Haldia Port.  This facility commenced
operations from 1st April 2009 onwards, and can cater to various
structural requirements in power plants & other process
industries, as well as can be used for fabricated steel items such
as steel girders used in road bridges.  NPEL reported a profit
after tax (PAT) of INR1.17 crore in FY 2009-10 on an operating
income of INR36.2 Crore.


SHREE RAM: ICRA Assigns 'LB+' Rating to INR8.9cr Term Loans
-----------------------------------------------------------
ICRA has assigned an 'LB+' rating to the INR8.90 crore term loans
and INR7.00 crore cash credit facility of Shree Ram Proteins
Private Limited.  ICRA has also assigned an 'A4' rating to the
INR0.5 crore short-term, non-fund based limits of Shree Ram
Proteins Private Limited.

The rating is constrained by the stretched liquidity profile of
the company reflected through the irregular debt servicing and the
limited track record of operations for the company.  The rating is
further constrained by lack of refining capacity which coupled
with the highly fragmented nature of the edible oil industry
limits the bargaining power while supplying to refined oil plants
and the substitution threat from imports post rationalization of
duty structure in the edible oil industry with availability of
cheaper substitutes like palm oil.  The ratings also take into
account the concentration on a single type of oilseed and the
vulnerability of profitability to the movements in raw material
prices, which are subject to seasonality and crop harvest.

The ratings, however, take comfort from the favorable location at
Gondal (Rajkot) with availability of high quality raw material;
the favourable demand outlook for edible oil in India and the
strong market for cotton seed oil in Gujarat.  The ratings also
favourably consider the experience of the promoters in
the cotton ginning industry and the comparative advantage over
traditional oil seed processing units by producing value added
products like linters and de-oiled cake, with a high demand
potential.

                          About Shree Ram

Shree Ram Proteins Pvt. Ltd., incorporated in August 2008, is
located at Gondal (Rajkot), and is primarily involved in the area
of cotton seed processing.  The product mix of the company
comprises of cotton linters, cotton seed hulls, cotton seed oil
and de-oiled cakes.  The company commenced commercial production
in February 2010. The group concern of the company is Shree
Ram Cotton Industries (SRCI), which is involved in cotton ginning
and pressing.

Recent Results

In the year FY10, SRPPL has reported operating income of INR13.1
crore and profit after tax of INR0.12 crore (audited) for two
months of operation.


SHIVAM MELTECH: Fitch Assigns National Long-Term Rating at 'B-'
---------------------------------------------------------------
Fitch Ratings has assigned India's Shivam Meltech Private Limited
a National Long-term rating of 'B-(ind)' with a Stable Outlook.
The agency has also assigned ratings to SMPL's bank loans:

  -- INR280 million long-term loans: 'B-(ind)';
  -- INR48.5 million fund-based loans: 'B-(ind)'; and
  -- INR6.5 million non fund-based loans: 'F4(ind)'.

The ratings are constrained by SMPL's relatively small scale of
operations in the domestic steel industry, weak credit metrics
(net leverage in FY10: 12.2x) and exposure to raw materials price
volatility.  The ratings are also constrained by the delays in
commissioning of the additional ingot plant due to lack of power
supply from Durgapur Projects Ltd., which has significantly
disrupted the company's operations.

SMPL's ratings however benefit from the past experience of its
management in the domestic steel industry, along with continuous
equity infusion for the ongoing capex program (FY10: INR124
million and FY09: INR30 million).

Positive rating triggers include supply of power for the ongoing
capex for a quarter, which would enable timely commissioning and
successful commercialization of the additional unit.  Negative
rating trigger include any further delay of beyond CY2010 in
getting power for the additional unit, which would further stress
the company's liquidity and credit metrics.

SMPL's revenues improved to INR366.9 million in FY10 (FY09:
INR296.2 million) although its EBITDAR margins reduced to 4.9%
during the year (FY09: 5.9%) due to raw material price volatility.
The company's total debt increased to INR222.3 million in FY10
(FY09: INR77.3 million) on account of additional loans taken for
the ongoing project.  The company reported a negative free cash
flow (FCF) of INR263.5 million in FY10.  Fitch expects FCF to stay
negative over the short-to-medium term due to the ongoing capex
program.

SMPL was incorporated in 2004 and owns a 23,436 metric ton per
annum (MTPA) ingots manufacturing facility in Durgapur.  It has
also set up an additional ingot plant, which would double the
existing capacity, and is undergoing a capex program to set up a
120,000 MTPA rolling mill plant, which is expected to be
commissioned in Q3FY11.


TULIP APPARELS: ICRA Assigns 'LBB' Rating to INR8.05cr Bank Limits
------------------------------------------------------------------
ICRA has assigned an 'LBB' rating on the long term scale to the
INR8.05 Crore bank limits of Tulip Apparels Private Limited.  The
long term rating has been assigned a Stable outlook.

ICRA's rating is constrained by highly fragmented nature of the
industry, modest scale of operations of the company and TAPL's
limited presence in the textile value chain.  The rating is also
inhibited by relatively high gearing and intended debt-funded
capital expenditure which is expected to keep the capital
structure modest.  Further, ICRA is cognizant of the fact that the
company is in nascent stages of establishing its in-house brand in
the ladies suits segment which is expected to impact the Company's
profitability in the medium term.  However, the rating draws
comfort from long standing experience of promoters in the
industry, approval from the buying houses of brands like Marks &
Spencer's and the company's ability to undertake wide variety of
work in the embroidery space which strengthens its competitive
positioning.  Moreover, the rating also favorably factors in the
moderate profitability and coverage indicators of the company.

Incorporated in 1997 as Lilly Impex Private Ltd by Mr. Mohit Gupta
& Mr. Rajesh Jindal, the company was taken over by the current
directors Mr. Rajesh Goel and Mr. Ajay Singla in late CY2000.
LIPL did not have any operations but fulfilled all the legal
requirements to be operated as a company.  Post the acquisition,
the name was changed to Tulip Apparel Pvt Ltd.  The current
promoters have more than a decade of experience in the textile
Industry.  TAPL is primarily engaged in undertaking Schiffli and
multi-head computerised embroidery on garments, on job-work basis.
Further, the company diversified into manufacture of unstitched
and semi-stitched ladies suits in FY 2007.


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


JLOC 36: S&P Downgrades Ratings on Various Classes of Notes
-----------------------------------------------------------
Standard & Poor's Ratings Services lowered its ratings on the
class C1, C2, and D floating-rate secured notes issued under the
JLOC 36 LLC transaction and kept the ratings on classes C1 and C2
on CreditWatch with negative implications, where they were placed
on June 21, 2010.  At the same time, Standard & Poor's placed its
rating on class B on CreditWatch with negative implications.  S&P
also affirmed its ratings on classes A1 through A3, and X notes
issued under the same transaction.

Of the 34 loans that initially backed the transaction, seven loans
(the seven loans originally represented a combined 8.9% or so of
the total initial issuance amount of the notes) have been repaid
by their respective maturity dates, and six loans (the six loans
originally represented a combined 17.9% or so of the total initial
issuance amount of the notes) have defaulted so far.  Two of the
six defaulted loans (the two loans originally represented a
combined 2.4% or so of the total initial issuance amount of the
notes) have been fully recovered.  Meanwhile, the servicer is
proceeding with the liquidation of the properties backing the
remaining four defaulted loans (the four loans originally
represented a combined 15.5% or so of the total initial issuance
amount of the notes).  There remain 25 loans including these four
defaulted loans.

In September 2009, S&P lowered its assumption with regard to the
likely collection amount from the four defaulted loans that have
yet to be recovered.  However, on June 21, 2010, S&P placed
classes C1 and C2 on CreditWatch with negative implications,
citing uncertainty over the recovery prospects for the properties
backing 19 of the transaction's 25 remaining loans (the 19 loans
originally represented a combined 63.7% or so of the total initial
issuance amount of the notes).

S&P downgraded classes C1 and C2 because:

S&P has reassessed the recovery prospects for the related
collateral properties backing the abovementioned 19 loans after
considering a number of factors-including property cash flows,
information obtained through discussions with the asset manager,
as well as the type and locations of the properties in
question?and lowered its assumption of the likely collection
amount accordingly.  S&P has lowered its assumption with respect
to the likely collection amount from the properties backing one of
the four defaulted loans that have yet to be recovered (the loan
originally represented about 5.4% of the total initial issuance
amount of the notes).

S&P also lowered its rating on class D because it is highly
possible that total proceeds from the sales of the collateral
properties backing some of the four loans that have defaulted and
have not yet been recovered, may be less than the rated portions
of the loans, which would very likely affect principal payments on
the class D notes.

At the same time S&P placed class B on CreditWatch with negative
implications and kept classes C1 and C2 on CreditWatch negative
because: With regard to two additional remaining loans (two loans
other than the 19 loans that S&P reviewed; the two loans
originally represented a combined 9.5% or so of the initial
issuance amount of the notes), the maturity dates are still some
way off and the related collateral properties consist of office
buildings in Tokyo, which is a real estate market of relatively
strong liquidity.  Even so, it is its view that a decline in the
likely collection amount from the related collateral properties
appears inevitable.

S&P intend to review its ratings on the classes that S&P placed on
CreditWatch with negative implications after assessing the
recovery prospects for the properties backing the two loans in
question (the two loans other than the 19 loans that S&P
reviewed).

S&P affirmed its ratings on classes A1 to A3 given the current
level of credit enhancement for these classes.

JLOC 36 LLC is a multi-borrower CMBS transaction.  The notes were
originally secured by 34 nonrecourse loans, which were originally
backed by 99 real estate properties.  The transaction was arranged
by Morgan Stanley Japan Securities Co. Ltd., and Premier Asset
Management & Loan Services Corp. is the transaction servicer.  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 February 2016 for the class A1 to A3 notes, the
full payment of interest and ultimate repayment of principal by
the legal final maturity date for the class B to D notes, and the
timely payment of available interest for the class X notes.

                          Rating Lowered

                            JLOC 36 LLC
                  Secured notes due February 2016

   Class         To            From         Initial Issue Amount
   -----         --            ----         --------------------
   D             CCC- (sf)     CCC (sf)      JPY4.3 bil.

          Ratings Lowered, Kept On Creditwatch Negative

Class To                   From               Initial Issue Amount
----- --                   ----               --------------------
C1    BBB- (sf)/Watch Neg  A- (sf)/Watch Neg  JPY 3.6 bil.
C2    BBB- (sf)/Watch Neg  A- (sf)/Watch Neg  JPY 24,250,000

               Rating Placed On Creditwatch Negative

Class    To                      From         Initial Issue Amount
-----    --                      ----         --------------------
B        AA (sf)/Watch Neg       AA (sf       JPY 6.8 bil.

                         Ratings Affirmed

Class         Rating       Initial Issue Amount
-----         ------       --------------------
A1            AAA (sf)     JPY 29.05 bil.
A2            AAA (sf)     JPY 65,300,000
A3            AAA (sf)     JPY 8,000,000
X (IO)        AAA (sf)     JPY59.1 bil. (initial notional
                                         principal)

                          * Interest-only

The issue date was May 9, 2007.


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


KIA MOTORS: Moody's Upgrades Corporate Family Rating from 'Ba1'
---------------------------------------------------------------
Moody's Investors Service has upgraded Kia Motors Corp's corporate
family rating to Baa3 from Ba1 and withdrawn the rating.  At the
same time, Moody's has assigned Kia a Baa3 issuer rating.  This
concludes Moody's review for possible upgrade initiated on 3
August 2010.  The rating outlook is stable.

                         Ratings Rationale

"The rating action mainly reflects a one-notch upgrade of Kia's
standalone rating to Ba2 from Ba3 and an ongoing two-notch uplift
from the high likelihood of parental support from Hyundai Motors
Company (Baa2/Stable).  The upgrade in the standalone rating
results from a rapid improvement in Kia's competitive position and
financial profile, underpinned by the success of its new models,"
says Chris Park, a Moody's Vice President/Senior Analyst.

Kia has strongly outperformed its global peers since 2009, with
its global unit sales growing 17% in 2009 and a further 35% YoY in
1H10.  The robust growth has been supported by the success of its
ambitious new models, which Moody's views as being the result of
structural improvements in its product quality/renewal and design
capability.

These factors -- together with the fact that its new models are
very competitive in the Korean market and will also be launched in
other major markets -- suggest that the growth in its market share
will continue over the short to medium term.

Kia's previously weak financial profile has exhibited a dramatic
turnaround since 2009, propelled by much higher utilization rates,
a significant growth in average selling prices, and a sizeable
working capital surplus, which has been driven in turn by a drop
in inventory.  Earnings growth has also benefited from favorable
exchange rates.

In this regard, in 2010, debt/EBITDA will likely improve to about
2x from 4.3x a year ago and retained cash flow/net debt to 70-80%
from 24%, thereby solidly positioning the company at its Ba2
standalone rating.

Its profitability will remain vulnerable to volatile exchange
rates, and its working capital deficits could also grow, leading
to an increase in short-term debt.  Nonetheless, Moody's expects
Kia's key credit metrics over the next couple of years to remain
largely consistent with the levels in 2010, in light of its
strengthened earnings, competitive new models, and the expected
gradual increase in global auto demand.

The rating action also factors in a substantial improvement in
Kia's liquidity profile.  Its maturing debt over the next 12
months had shrunk by about 60% to KRW2.4 trillion as of August
2010 from end-2009.  This debt can be comfortably met by its
liquidity holdings of KRW2.7 trillion and back-up credit lines.

The two-notch uplift from parental support continues to reflect
Kia's high operational integration with and its strategic
importance to HMC.

The stable outlook reflects Moody's expectation that Kia's overall
business and financial profiles will remain solid for its
standalone rating, underpinned by its robust auto sales.

The ratings could be upgraded if Kia's standalone rating is
upgraded by the company establishing a longer track record to
sustain its current strong financial profile, with RCF/net debt of
above 35-45% and debt/EBITDA of less than 3-3.5x, and continued
progress in the growth of its global market share.

The rating could be downgraded if KMC witnesses a substantial
deterioration in its operating cash flow, as a result of worse-
than-anticipated market conditions, or it is unable to outperform
the market and contain its working capital deficits.  Downward
pressure may also arise from a material deterioration in its
liquidity position.  This development could be evidenced by
RCF/net debt below 20-25% and debt/EBITDA above 4.5-5x on a
sustained basis.

Moody's last rating action on Kia was taken on August 3, 2010,
when it placed Kia's Ba1 rating under review for possible upgrade.

Kia, headquartered in Seoul, Korea, is Korea's second largest
automotive maker.  The company is part of Hyundai Motor Group
which is the world's fifth largest and Korea's dominant automotive
maker.  Kia sold 1.7 million auto units in 2009.

                      Regulatory Disclosures

Information sources used to prepare the credit rating are these:
parties involved in the ratings, parties not involved in the
ratings, public information, confidential and proprietary Moody's
Investors Service's information.

Moody's Investors Service considers the quality of information
available on the issuer or obligation satisfactory for the
purposes of maintaining a credit rating.

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.


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


CRAFAR FARMS: Minister Says Chinese Bid "Extremely Complex"
-----------------------------------------------------------
New Zealand's Land Information Minister Maurice Williamson said
Wednesday that Natural Dairy's bid to buy the Crafar family farms
is "extremely complex," the New Zealand Press Association reports.

According to NZPA, the Overseas Investment Office is considering
Hong Kong-based Natural Dairy's bid for the 20 central and lower
North Island farms.  However, Mr. Williamson said the complex
nature of the bid meant the OIO could not be specific about when
it would give its recommendation.

NZPA says the government would make a final decision once it had
the OIO's recommendation.

                         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.


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


EXPORT AND INDUSTRY: Shareholders Approve Sale to BDO for PHP30BB
-----------------------------------------------------------------
Roderick T. dela Cruz at the Manila Standard Today reports that
stockholders of Export and Industry Bank Inc. have approved the
sale of the heavily indebted bank to Banco de Oro Unibank Inc. for
more than PHP30 billion.

"What was settled was to approve the resolution to authorize the
bank to sell all its assets to BDO in exchange of BDO assuming all
the bank's [EIB] liabilities," the Manila Standard quoted
Exportbank President Juan Victor Tanjuatco as saying.

The Manila Standard says shareholders of Exportbank will not
receive any cash from BDO as the smaller bank's liabilities exceed
its total assets.

BDO, meanwhile, will transform all 50 Exportbank branches into BDO
units.

According to Manila Standard, Mr. Tanjuatco said the transaction
with BDO would not lead to a merger, adding that it was a direct
purchase of assets and assumption of all liabilities of
Exportbank.

The Manila Standard relates Exportbank Chairman Jaime Gonzalez
said the bank hoped to conclude the transaction with BDO as well
as the sale of three subsidiaries before the end of the year.
These subsidiaries include EIB Savings Bank, EIB Securities and
shares in Banclife Insurance Co. Inc.

                             About EIB

Headquartered in Makati City, Manila, Export and Industry Bank,
Inc. -- http://exportbank.com.ph/-- has 50 branches and has
revived former Urban Bank unit under new names.  Its principal
activity is the provision of commercial banking services such as
deposit taking, loans and trade finance, domestic and foreign
fund transfers, treasury, foreign exchange and trust services.

The Troubled Company Reporter-Asia Pacific, citing the Daily
Tribune, reported on December 08, 2009, that the Monetary Board
ruled that the possible closure of Export and Industry Bank poses
a systemic risk, paving the way for regulators to allow the
Philippine Deposit Insurance Corp. to extend a PHP10.9-billion
loan for its rehabilitation.

The Daily Tribune said EIB is seeking PHP3.3 billion in fresh
capital since June 2009 for its rehabilitation but had sought from
regulators extensions on the deadline given to it every month
since then.  EIB has been under the so-called prompt corrective
action scheme, the intensive care unit for banks, since 2007
because of lack of capital.


================
S R I  L A N K A
================


* Fitch Affirms Sri Lanka's Issuer Default Rating at 'B+'
---------------------------------------------------------
Fitch Ratings has affirmed Sri Lanka's Long-term foreign and local
currency Issuer Default Ratings at 'B+', and simultaneously
revised the Outlook to Positive from Stable.  Fitch also has
affirmed Sri Lanka's Short-term IDR at 'B' and Country Ceiling at
'B+'.

The Outlook revision is in large part a reflection of Sri Lanka's
economy benefitting from the end of a prolonged civil war in 2009,
from a more disciplined policy framework put in place under the
Stand-By Arrangement (SBA) with the IMF, and from an improved
external liquidity position bolstered by the IMF programme.  Fitch
believes these developments support the prospects for Sri Lanka to
achieve sustained medium-term growth, without a resurgence in
inflation or another bout of external liquidity stress (as
experienced over end-2008 to early-2009).  Foreign exchange
reserves stood at US$5.8bn at end- July 2010, well above the low
of US$1.1bn in March 2009, bolstered by US$1.0bn of IMF funds.

Sri Lanka's authorities have made headway in rebuilding and
integrating the two war-torn Northern and Eastern provinces into
the rest of the local economy, which is helping to boost Sri
Lanka's productive capacity, particularly in the agriculture and
tourism sectors.  This is highlighted by real GDP growing 8.5% yoy
in Q210, from a 7.1% yoy rise in Q110.  Fitch is forecasting real
GDP growth to average 7.2% in 2010-2012, versus an average of 5.1%
over the last 20 years.

The authorities look to be implementing a more prudent
macroeconomic policy framework under the IMF SBA.  The Central
Bank of Sri Lanka (CBSL) appears to have shifted the focus of
monetary policy towards fighting inflation and away from
supporting growth.  As evidence, the CBSL has maintained a
positive real interest rate environment since February 2009
(versus an average of -12% in 2008).  Fitch views the CBSL's
management of monetary policy as broadly appropriate, which along
with more benign global energy and food prices, is helping to keep
the inflation rate in the single-digit range (up 5.6% yoy in
January-to-August 2010).

Sri Lanka's authorities also appear more ready to tackle the
sovereign's biggest ratings constraint - weak public finances.
The budget deficit of 9.9% of GDP in 2009 and public debt of 86.2%
of GDP were both well above the medians for the 'B' rating peer
group of 4.9% and 37.3%, respectively.  Similarly, the government
revenue-to-GDP ratio stood at just 15% in 2009, which is well
below the 'B' rating peer group median of 28.1%.  The Presidential
Commission on Taxation is set to release its final recommendations
in November 2010.  New tax measures will be crucial in determining
if the authorities can get the public finances on a more
sustainable path.  Equally vital, the end of the civil war should
provide the authorities much needed flexibility in cutting
spending on defence and resettling refugees.

Maintained policy discipline would support the case for a ratings
upgrade.  If the Sri Lankan authorities can sustainably boost the
tax revenue base and restrain spending to consolidate the budget
deficit, this would help lower the country's overall public debt
burden and directly address a key rating weakness.  Similarly, a
sustained period of stronger GDP growth that does not see a return
to accelerating inflation or a sharp deterioration in the current
account deficit would also support Sri Lanka's ratings.  Fitch
would also view a pick-up in foreign direct investment as a
positive development as this could help bolster the country's
external finances and also improve the overall competitiveness of
the economy.  More specifically, this could help stem concern over
Sri Lanka's export sector following the loss of reduced tariff
rates via the GSP Plus facility to the European Union in mid-
August 2010.

On the other hand, the agency would negatively view an erosion of
macroeconomic policy discipline as an acceleration of inflation
would undermine Sri Lanka's export competitiveness and result in a
sharp rise in domestic borrowing costs for the fiscal authorities
and raise overall interest payments.  These already stood at 43%
of government revenues in 2009, which is well above the 'B' rating
peer group median of 5.7%.


                             *********

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 ***