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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

          Wednesday, November 3, 2010, Vol. 13, No. 217

                            Headlines



A U S T R A L I A

ALLCO FINANCE: Receivers Grateful for Clarity on Employee Claims
ALLIED BRANDS: Loses License to Continue With Operations
AQA OYSTERS: In Receivership; McGrathNicol Appointed as Receivers
CHALLENGE AUSTRALIA: Milk Suppliers Seek Government Aid
FINESSE FOODS: Goes Into Administration

FMG RESOURCES: Moody's Assigns 'B1' Senior Unsecured Debt Rating
GRIFFIN COAL: Final Bids for Assets Delayed by Two Weeks
ONE.TEL LTD: News Ltd. Seeks Access to Confidential Court Docs


H O N G  K O N G

CREATIVE CANDY: Court to Hear Wind-Up Petition on December 8
GREATBO INVESTMENT: Kong and Lo Appointed as Liquidators
INNOV BIOFUELS: Court to Hear Wind-Up Petition on November 24
JADE UNION: Creditors Get 2.43% Recovery on Claims
MODERN ENGINEERING: Creditors' Proofs of Debt Due November 19

OLYMPIC FOOD: Court to Hear Wind-Up Petition on December 15
SANFORD DEVELOPMENT: Court to Hear Wind-Up Petition on November 24
SUNBIG TEXTILE: Creditors Get 100% & 4.85% Recovery on Claims
SURPLUS TRADER: Jamieson and Middleton Step Down as Liquidators
WINLAND ENGINEERING: Court to Hear Wind-Up Petition on December 15

WORLD TOWER: Court to Hear Wind-Up Petition on December 8
YOUNGARY DEVELOPMENT: Creditors' Proofs of Debt Due November 15


I N D I A

AMARTARA PRIVATE: CRISIL Assigns 'BB' Rating to INR10MM Term Loan
BASIC INDIA: CRISIL Rates INR110MM Export Packing Credit at 'P4'
CHITRALEKHA: CRISIL Assigns 'BB+' Rating to INR57.5MM Cash Credit
DIRECT LOGISTICS: CRISIL Reaffirms 'C' Rating on Cash Credit
EAST INDIA: CRISIL Assigns 'D' Ratings to Various Bank Facilities

FRIENDS INFRACON: CRISIL Places 'BB' Rating on INR75MM Cash Credit
GTFC LIMITED: CRISIL Assigns 'B' Rating to INR3.3 Mil. Term Loan
HANUMAN AGRO: CRISIL Assigns 'D' Rating to INR41 Million Term Loan
JHARKHAND MEGA: CRISIL Cuts Rating on INR339.5MM Term Loan to 'B+'
LUCKNOW PRODUCER: CRISIL Rates INR230MM Cash Credit at 'BB-'

MANGAL CHAND: CRISIL Rates INR95 Million Cash Credit at 'B+'
MANGRUL MILLS: CRISIL Assigns 'B-' Rating to INR145MM Term Loan
PANEM STEELS: CRISIL Rates INR13.3MM LT Bank Loan at 'BB+'
PRAYAG POLYTECH: CRISIL Assigns 'B' Rating to INR21.5MM LT Loan
SARITA HANDA: CRISIL Reaffirms 'B+' Rating on INR140MM Term Loan

SEACEM PAINTS: CRISIL Assigns 'D' Ratings to Various Bank Debts
SESHAASAI E-FORMS: CRISIL Assigns 'D' Rating to INR51.5MM Loan
SWASTIK POLYMERS: CRISIL Cuts Rating on INR40 Million Loan to 'B'
T C TERRYTEX: CRISIL Reaffirms 'D' Ratings on Various Bank Debts
UTSAV INDUSTRIES: CRISIL Reaffirms 'B+' Rating on Cash Credit


I N D O N E S I A

BANK TABUNGAN: Fitch Affirms Individual Rating at 'D'


J A P A N

GK L-JAC4: S&P Downgrades Ratings on Various Classes of Bonds
JAPAN AIRLINES: S&P Withdraws 'D' Issuer Credit Ratings
JLOC 40: S&P Downgrades Ratings on Various Classes of Bonds
JLOC 41: S&P Downgrades Ratings on Various Classes of Notes
JLOC XXX: S&P Downgrades Ratings on Various Classes of Notes

ORSO FUNDING: S&P Downgrades Ratings on Various Notes to 'D'
TAKEFUJI CORP: Court Starts Bankruptcy Protection Process


N E W  Z E A L A N D

AORANGI SECURITIES: Statutory Managers Reveal NZ$20-Mln Shortfall
SOUTH CANTERBURY: Funnelled NZ$300 Million Through Subsidiaries


P H I L I P P I N E S

PHILIPPINE AIRLINES: Yet to Determine Impact of Outsourcing Plan


S I N G A P O R E

ANODE CONNECTION: Court Enters Wind-Up Order
IMPERIAL PORCELAIN: Court Enters Wind-Up Order
INOVIO ASIA: Creditors' Proofs of Debt Due November 26
IPACS COMPUTER: Creditors' Proofs of Debt Due November 15
LGM LIMITED: Court Enters Wind-Up Order

LIBERALITAS SHIPPING: Creditors' Proofs of Debt Due November 29
MEI HWA: Creditors' Proofs of Debt Due November 12
NISSI TRADING: Court Enters Wind-Up Order
OKAYI CONTRACTS: Court Enters Wind-Up Order
PHP INTERNATIONAL: Creditors' Proofs of Debt Due November 29

PINE FAME: Creditors' Proofs of Debt Due November 29
STRONG PTE: Creditors' Proofs of Debt Due November 29
TRENCHLESS TECHNOLOGY: Court to Hear Wind-Up Petition on Nov. 12
VOLPIA SHIPPING: Creditors' Proofs of Debt Due November 29
WORDMAKER DESIGN: Creditors' Proofs of Debt Due November 12


S R I  L A N K A

PEOPLE'S BANK: Fitch Affirms Individual Rating at 'D/E'
SANASA DEVELOPMENT: Fitch Lifts National Long-Term Rating to 'BB+'


X X X X X X X X

* Upcoming Meetings, Conferences and Seminars




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A U S T R A L I A
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ALLCO FINANCE: Receivers Grateful for Clarity on Employee Claims
----------------------------------------------------------------
The receivers of Allco Finance Group has issued statement on the
Federal Court ruling in favor of 50 former Allco Finance employees
seeking to receive about AU$5 million in entitlements.

Ferrier Hodgson said the Federal Court ruled on October 28, 2010,
that the staff of the Allco Group were employed by Allco Finance
Group Limited, the parent entity of the group or alternatively, by
Allco Finance (Australia) Limited, an entity which performed the
central treasury function for the Group rather than the special
purpose entity, AFG Pty Ltd, and that as a consequence, the
employees are priority creditors of these entities.

Receiver Peter Gothard, of Ferrier Hodgson, said the receivers
took the matter to court in order to determine the matter
conclusively and to ensure creditors were paid in accordance with
the law.

"The question of creditor priority is not one receivers can
determine as a matter of discretion," Mr. Gothard said. "It is the
receivers' duty to ensure that creditors of the various companies
within the group are paid in the correct order as stipulated by
law.  The receivers therefore took the matter to the Court for
determination."

Mr. Gothard said the receivers are grateful to the Court for
providing clarity on the issue and that they are now considering
the Court's decision.

                        About Allco Finance

Allco Finance Group Ltd. is an integrated global financial
services business, specializing in asset origination, funds
creation and funds management.  The company is a fund manager of
alternative assets in its core asset classes, which include
aviation, rail, shipping, infrastructure, property, private equity
and financial assets.  Its primary focus is on commercial
property, predominately completed office buildings and select
development opportunities.  It also purchases new and existing
commercial passenger and cargo aircraft for lease to commercial
airlines.

                           *     *     *

As reported in the Troubled Company Reporter-Asia Pacific on
November 6, 2008, Allco Finance Group appointed Tony McGrath and
Joseph Hayes of McGrathNicol as the voluntary administrators of
the company and certain of its subsidiaries.  Subsequent to the
appointment of administrators to Allco, the company's banking
syndicate appointed Steve Sherman and Peter Gothard of Ferrier
Hodgson as receivers.  Allco has more than AU$1 billion in total
debt.


ALLIED BRANDS: Loses License to Continue With Operations
--------------------------------------------------------
Shraysi Tandon at ABC News reports that Allied Brands has lost its
license to continue with its operations.  According to the report,
the company has been in financial trouble since early this year.

"Over the last year the above businesses struggled in an uncertain
economic environment which combined with continued expansion of
the group led to cash flow constraints," the company said in a
statement obtained by the news agency.

According to the report, last month U.S. company Dunkin Brands,
which owns Baskin Robbins, terminated Allied Brands' master
franchise agreement to sell the ice-cream label in Australia.  The
report notes that in the wake of Dunkin Brands' decision, Westpac
Bank appointed McGrathNicol as the receivers and managers of
certain assets of Allied.

Allied Brands, the report notes, said that the firm's operations
had been "significantly impacted" following the agreement's
termination.

Allied Brands operates the 92 ice-cream stores it owns throughout
Australia, as well as other homeware store franchises.  Allied
Brands also holds the franchise for Villa and Hut, Kenny's
Cardiology and Awesome Group.


AQA OYSTERS: In Receivership; McGrathNicol Appointed as Receivers
-----------------------------------------------------------------
Sam Davies and Rob Kirman of independent restructuring and
corporate advisory firm McGrathNicol were appointed Receivers and
Managers to AQA Oysters Limited.

The appointment followed the decision of AOL's board of directors
to appoint Voluntary Administrators.

The first priority of the Receivers and Managers will be to
urgently assess AOL's operations to determine the best course of
action moving forward.  Mr. Kirman said that the Receivers and
Managers will continue operations on a "business as normal" basis
whilst assessing restructuring and trade sale opportunities.

"We are working with AOL's management and will keep stakeholders
fully updated throughout this process," Mr. Kirman said.

AQA Oysters Limited is Australia's largest Pacific Oyster
producer, operating five farms in the prime coastal waters of
Ceduna, Coffin Bay and Cowell in South Australia, and Pitt Water
and St Helens in Tasmania.  AOL's head office and processing
facility is based at Wingfield, South Australia.


CHALLENGE AUSTRALIA: Milk Suppliers Seek Government Aid
-------------------------------------------------------
Some Western Australian dairy farmers are appealing to the State
Government for help after the collapse of Challenge Australia
Dairy, ABC Rural reports.

According to the report, Challenge Australia went into
administration last Thursday and will remain open while receivers
assess its financial situation.

The report notes Margaret River farmer Myles Mottershead says he's
owed nearly AU$300,000 by the dairy.  "We can't get any
information and it seems to be turning bad very quickly, and I was
wondering, and so are many others, whether the government would be
able to be of any assistance to us," the report quoted Mr.
Mottershead as saying.

WA Agriculture and Food Minister Terry Redman won't be drawn on
providing financial assistance, but said the government is working
to help Challenge farmers find new homes for their milk, the
report notes.


FINESSE FOODS: Goes Into Administration
---------------------------------------
About 200 Western Australian chicken suppliers and more than 100
workers are owed millions of dollars by Finesse Foods, which has
gone into voluntary administration, ABC Rural reports.

According to the report, Finesse Foods is made up of two companies
in the state's south-west.  The report relates that Goldfin
Enterprises operates a Bunbury chicken processing facility, and
Gold Level Enterprises runs a chicken abattoir in Dardanup.  Both
companies are now in the hands of WA Insolvency Solutions, the
report notes.

Administrator Kim Strickland, the report discloses, said that
paying employees is the priority.  "The money that they're owed is
a priority under the Corporations Act, so they have a higher
ranking than the ordinary unsecured creditors, being the suppliers
of the business," the report quoted Mr. Strickland as saying.  "So
for all their entitlements, superannuation, outstanding wages,
leave etc, all get priority.  It's business as usual, so the
intention is that they will be paid as normal," he added.

Finesse Foods is a poultry company.


FMG RESOURCES: Moody's Assigns 'B1' Senior Unsecured Debt Rating
----------------------------------------------------------------
Moody's Investors Service has assigned a definitive B1 senior
unsecured debt rating for the US$2.040 billion guaranteed senior
notes issued by FMG Resources (Aug 2006) Pty Ltd, an indirect
wholly-owned subsidiary of Fortescue Metals Group Ltd.

                         Rating Rationale

The definitive rating on this debt obligation confirms the
provisional rating assigned on October 18, 2010.  The outlook on
the rating is stable.

FMG Resources is issuing US$2.040 billion of 7.0% guaranteed
senior unsecured notes due 2015.

The bonds are guaranteed by Fortescue and each of its existing and
future direct and indirect restricted subsidiaries and will rank
pari passu with all other unsecured indebtedness of the note
guarantors.

Proceeds from the issue will be used in connection with the
refinancing of the senior secured notes and will be applied to the
recently-established US$2.04 billion senior unsecured credit
facility.

The last rating action was on October 18, 2010 when Moody's
assigned a (P)B1 to the proposed senior unsecured notes of FMG
Resources (Aug 2006) Pty Ltd.  The outlook on all ratings was
stable.

Fortescue Metals Group, based in Perth, is an iron ore producer
engaged in the exploration and mining of iron ore for export,
mainly to China.


GRIFFIN COAL: Final Bids for Assets Delayed by Two Weeks
--------------------------------------------------------
Stephen Bell at Dow Jones Newswires reports that the administrator
of Griffin Coal said final bids for the failed company's coal
mining and power assets have been delayed by two weeks.

"The bids are now due in on November 19.  There has been an
extension of a couple of weeks," Brian McMaster of administrator
KordaMentha told Dow Jones Newswires.

"It is something that we agreed with the bidders," Mr. McMaster
said, according to Dow Jones Newswires.  "The parties are actively
involved in the due diligence process and we are working with them
to get them comfortable with that."

As reported in the Troubled Company Reporter-Asia Pacific on
Oct. 11, 2010, Bloomberg News said Griffin Coal Mining Co. won an
extension for its bankruptcy protection because it expects to get
final bids by Nov. 5, 2010.  Australia Federal Court Judge Walter
McKerracher said Griffin Coal's request to extend bankruptcy
protection to Feb. 25, 2011, was granted, and a scheduled meeting
of creditors was put off to allow the completion of the sale.
Griffin Coal hired UBS AG and Macquarie Capital Advisers, a unit
of Macquarie Group Ltd., to advise on the sale process.

According to Dow Jones Newswires, KordaMentha has stated a
preference to sell the power stations and mines in a single
transaction, but will also consider separate deals.

Dow Jones Newswires states that Mr. McMaster didn't name the
bidders but a person familiar with the situation said there has
been no domestic interest in the assets, with the administrators
receiving roughly 10-12 expressions of interests from Indian,
Chinese, Japanese and US parties.

                        About Griffin Coal

Based in Australia, The Griffin Coal Mining Company Pty Ltd --
http://www.griffincoal.com.au/-- is engaged in coal mining and
processing.  Griffin Coal operates major mines in the Collie area,
approximately 220 kilometers south east of Perth.  The Company is
producing more than three million tons of coal per year.  Griffin
Coal has operations at Ewington Mine, Muja Mine and Buckingham
Mine.

                           *     *     *

As reported by the Troubled Company Reporter-Asia Pacific on
January 4, 2010, Griffin Coal Mining Co. appointed Kordamentha as
Administrator.  The coal supplier defaulted on an interest payment
in December 2009 to bondholders owed US$475 million and also
missed a payment to Australia's tax authority.


ONE.TEL LTD: News Ltd. Seeks Access to Confidential Court Docs
--------------------------------------------------------------
The Sydney Morning Herald reports that News Ltd. and its former
chairman Lachlan Murdoch will try to have a AU$244 million damages
suit over the One.Tel collapse thrown out of the NSW Supreme Court
before it begins.

SMH relates that in a preliminary dispute over access to
confidential documents Monday, News Ltd.'s barrister James
Lockhart, SC, said his clients would argue the court should not
have granted five extensions for One.Tel's special purpose
liquidator, Paul Weston, to activate his suit.

Mr. Weston, a partner of the accounting firm Pitcher Partners,
filed the claim in 2007 before a six-year legal limit expired but
did not serve it until three months ago, SMH notes.  According to
SMH, the court granted him extensions at six-monthly intervals
after hearings at which News and other defendants, including James
Packer and Publishing & Broadcasting Ltd, were not entitled to
participate.

Mr. Lockhart, according to SMH, said News wanted access to
confidential court material to help it argue that two reasons put
forward by Mr. Weston for the extensions were not good enough.

SMH notes that Mr. Weston's two reasons for the extensions:

   * there was insufficient money in the One.Tel liquidation
     to start the case before an external litigation funder
     was retained; and

   * the funder needed to wait for the outcome of the corporate
     regulator's civil case relating to One.Tel's collapse,
     decided last November.

Justice Reg Barrett heard Monday that the One.Tel liquidation had
"free cash" of AU$9 million in 2008.  Last year the general
purpose liquidator, Steve Sherman, said he expected to recover a
further AU$9 million.

Mr. Weston's barrister, Anthony D'Arcy, said his client had told
the court in 2007 he believed he needed between AU$18 million and
AU$37 million to run the case and cover potential adverse costs
orders.

The Troubled Company Reporter-Asia Pacific, citing the Herald Sun,
reported on November 24, 2009, that the fight arises out of
One.Tel's aborted AU$132 million rights issue in 2001, which was
to be backed by Packer's Publishing and Broadcasting Limited and
Murdoch's News Ltd.  PBL and News, which lost a combined AU$1
billion when One.Tel collapsed, withdrew their underwriting on the
grounds that it was not enough to cover the telco's debts.

                           About One.Tel

One.Tel Limited is an Australian based telecommunications company,
belonging to One.Tel Group.  One.Tel Ltd. was established in 1995
soon after the deregulation of the Australian telecommunications
industry, most of which are currently under external
administration by court appointed liquidators.

One.Tel is currently in liquidation due to financial problems.
Ferrier Hodgson was appointed as voluntary administrator on
May 29, 2001.  The administrator's report stated that the company
was insolvent as of March 2001.  Accordingly, the administrator
terminated approximately 3,000 employees in June that same year.

Steve Sherman and Peter Walker of Ferrier Hodgson were then
named liquidators on July 24, 2001.


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


CREATIVE CANDY: Court to Hear Wind-Up Petition on December 8
------------------------------------------------------------
A petition to wind up the operations of Creative Candy
International Limited will be heard before the High Court of Hong
Kong on December 8, 2010, at 9:30 a.m.

Master Tone Limited filed the petition against the company.

The Petitioner's Solicitors are:

          Lam & Co.
          Room A, 19th Floor
          Harbour Commercial Building
          Nos. 122-124 Connaught Road
          Central, Hong Kong


GREATBO INVESTMENT: Kong and Lo Appointed as Liquidators
--------------------------------------------------------
Mr. Kong Chi How Johnson and Mr. Lo Siu Ki on October 5, 2010,
were appointed as liquidators of Greatbo Investment Limited.

The liquidators may be reached at:

         Mr. Kong Chi How Johnson
         Mr. Lo Siu Ki
         25th Floor, Wing On Centre
         111 Connaught Road
         Central, Hong Kong


INNOV BIOFUELS: Court to Hear Wind-Up Petition on November 24
-------------------------------------------------------------
A petition to wind up the operations of Innov Biofuels Limited
will be heard before the High Court of Hong Kong on November 24,
2010, at 9:30 a.m.

Chan Mi Ling filed the petition against the company.

The Petitioner's Solicitors are:

          Pansy Leung Tang & Chua
          21st Floor, Regent Centre
          88 Queen's Road
          Central, Hong Kong


JADE UNION: Creditors Get 2.43% Recovery on Claims
--------------------------------------------------
Jade Union Investment Limited, which is in liquidation, will pay
the final dividend to its creditors on November 8, 2010.

The company will pay 2.43% for ordinary claims.

The company's liquidators are:

         Law Yui Lun
         Wong Man Chung Francis
         19/F., No. 3 Lockhart Road
         Wanchai, Hong Kong


MODERN ENGINEERING: Creditors' Proofs of Debt Due November 19
-------------------------------------------------------------
Creditors of Modern Engineering Limited trading as Wang Hing
Engineering Company, which is in members' voluntary liquidation
are required to file their proofs of debt by November 19, 2010, to
be included in the company's dividend distribution.

The company's liquidators are:

         Yu Shi Kuen & Kam Chi Kan Elson
         Rooms 801-802, The Centre Mark
         287-299 Queen's Road
         Central, Hong Kong


OLYMPIC FOOD: Court to Hear Wind-Up Petition on December 15
-----------------------------------------------------------
A petition to wind up the operations of Olympic Food Company
Limited will be heard before the High Court of Hong Kong on
December 15, 2010, at 9:30 a.m.

Megabite Hong Kong Limited filed the petition against the company.

The Petitioner's Solicitors are:

          Rowland Chow, Chan & Co.
          21st Floor, Malaysia Building
          No. 50 Gloucester Road
          Wanchai, Hong Kong


SANFORD DEVELOPMENT: Court to Hear Wind-Up Petition on November 24
------------------------------------------------------------------
A petition to wind up the operations of Sanford Development China
Limited will be heard before the High Court of Hong Kong on
November 24, 2010, at 9:30 a.m.

Chan Mi Ling filed the petition against the company.

The Petitioner's Solicitors are:

          Pansy Leung Tang & Chua
          21st Floor, Regent Centre
          88 Queen's Road
          Central, Hong Kong


SUNBIG TEXTILE: Creditors Get 100% & 4.85% Recovery on Claims
-------------------------------------------------------------
Sunbig Textile Trading Limited, which is in liquidation, will pay
the first and final preferential and ordinary dividend to its
creditors on November 3, 2010.

The company will pay 100% for preferential and 4.85% for ordinary
claims.

The company's liquidators are:

         Kong Chi How Johnson
         Lo Siu Ki
         25th Floor, Wing On Centre
         111 Connaught Road
         Central, Hong Kong


SURPLUS TRADER: Jamieson and Middleton Step Down as Liquidators
---------------------------------------------------------------
Grant A Jamieson and Edward S Middleton stepped down as
liquidators of Surplus Trader Limited on October 14, 2010.


WINLAND ENGINEERING: Court to Hear Wind-Up Petition on December 15
------------------------------------------------------------------
A petition to wind up the operations of Winland Engineering
Limited will be heard before the High Court of Hong Kong on
December 15, 2010, at 9:30 a.m.

Bank of China filed the petition against the company.

The Petitioner's Solicitors are:

          Rowland Chow, Chan & Co.
          21st Floor, Malaysia Building
          No. 50 Gloucester Road
          Wanchai, Hong Kong


WORLD TOWER: Court to Hear Wind-Up Petition on December 8
---------------------------------------------------------
A petition to wind up the operations of World Tower Properties
Limited will be heard before the High Court of Hong Kong on
December 8, 2010, at 9:30 a.m.

Kowloon Development Company Limited filed the petition against the
company.

The Petitioner's Solicitors are:

          So Keung Yip & Sin
          2203-2205, 22nd Floor
          Wheelock House
          No. 20 Pedder Street
          Central, Hong Kong


YOUNGARY DEVELOPMENT: Creditors' Proofs of Debt Due November 15
---------------------------------------------------------------
Creditors of Youngary Development Limited trading as Wang Hing
Engineering Company, which is in members' voluntary liquidation,
are required to file their proofs of debt by November 15, 2010, to
be included in the company's dividend distribution.

The company's liquidator is:

         E T O'Connell
         10th Floor, Queensway Government Offices
         66 Queensway, Hong Kong


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I N D I A
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AMARTARA PRIVATE: CRISIL Assigns 'BB' Rating to INR10MM Term Loan
-----------------------------------------------------------------
CRISIL has assigned its 'BB/Stable/P4+' ratings to Amartara Pvt
Ltd's bank facilities.

   Facilities                             Ratings
   ----------                             -------
   INR56.5 Million Cash Credit Facility   BB/Stable (Assigned)
   INR10.0 Million Rupee Term Loan        BB/Stable (Assigned)
   INR1.0 Million Proposed LT Bank        BB/Stable (Assigned)
          Loan Facility
   INR56.5 Million Letter of Credit       P4+ (Assigned)
   INR1.0 Million Bank Guarantee          P4+ (Assigned)

The ratings reflect APL's below average financial risk profile,
expected to be constrained further by proposed large debt-funded
capital expenditure (capex), and its small scale of operations.
These rating weaknesses are partially offset by APL's established
market position in the pharmaceutical packaging industry.

As part of this rating exercise, CRISIL has adjusted APL's net
worth for the extent of investments that APL has made in its
associate firms.  This is primarily because of the management's
clear demarcation between the real estate operations being
undertaken by the associate firms, and APL's manufacturing
operations.  Moreover, CRISIL has limited visibility on returns
from such real estate operations investments and also about their
availability to support the manufacturing operations.

Outlook: Stable

CRISIL believes that APL will continue to benefit over the medium
term from its established presence in the pharmaceutical packaging
industry.  The outlook may be revised to 'Positive' if strong
growth in revenues and profitability, or infusion of fresh equity
by promoters, result in improved capital structure for APL.
Conversely, the outlook may be revised to 'Negative' if additional
investment in associate firms, or large debt-funded capex
materially weakens APL's financial risk profile.

                         About Amartara Pvt

APL was established by Mr. Arun Sarup and his mother, Mrs. Tara
Sarup in 1968.  APL currently has one manufacturing unit in Mumbai
(Maharashtra), with capacity to manufacture 1800 tonnes per annum
(tpa) of rigid poly vinyl chloride (PVC) films and poly vinylidene
chloride (PVdC) coated films and 72 tpa of aluminium foils. These
products are used as primary packaging material in the
pharmaceutical industry. The company is also setting up a unit in
Vadodara (Gujarat) with capacity to manufacture 3000 tpa of rigid
PVC and PVdC films.

APL also has interests in real estate development, through large
investments in associate firms, ICMA Enterprises, Aurum
Enterprises, Shreem Properties, and Amartara Hospitality Pvt Ltd.

APL reported a provisional profit after tax (PAT) of INR313.4
million on net sales of INR160.6 million for 2009-10 (refers to
financial year, April 1 to March 31), against a net loss of
INR10.5 million on net sales of INR181.0 million for 2008-09.


BASIC INDIA: CRISIL Rates INR110MM Export Packing Credit at 'P4'
----------------------------------------------------------------
CRISIL has assigned its 'P4' rating to Basic India Ltd's export
packing credit facility.

   Facilities                               Ratings
   ----------                               -------
   INR110.0 Million Export Packing Credit   P4 (Assigned)

The rating reflects BIL's weak financial risk profile marked by
its weak debt protection metrics, high gearing, and small net
worth, and exposure to risks related to small scale of operations,
uneven rainfall, and adverse regulatory changes.  These rating
weaknesses are partially offset by the growth in BIL's operating
income and the benefits that the company derives from the healthy
growth prospects in the rice industry.

Outlook: Stable

CRISIL believes that BIL's financial risk profile will remain weak
over the medium term because of the large incremental working
capital requirements.  The outlook may be revised to 'Positive' in
case of significant improvement in BIL's capital structure.
Conversely, the outlook may be revised to 'Negative ' if BIL's
profitability is lower than expected, leading to further
deterioration in its financial risk profile.

                          About Basic India

Incorporated in 1995, BIL is into milling, processing and selling
of basmati rice in both the Indian and the export markets with
about 80 per cent of revenues from exports.  The company's plant
in Jhakal (Haryana) has a total milling capacity of 20 tonnes per
day (tpd).  During the peak season, the company hires milling
plants to carry out processing.  The company has plans of
enhancing its milling capacity, for which it has already acquired
land.

BIL reported a profit after tax (PAT) of INR6.6 million on net
sales of INR847 million for 2009-10, against a PAT of INR6.5
million on net sales of INR709 million for 2008-09.


CHITRALEKHA: CRISIL Assigns 'BB+' Rating to INR57.5MM Cash Credit
-----------------------------------------------------------------
CRISIL has assigned its 'BB+/Stable/P4+' ratings to Chitralekha's
bank facilities.

   Facilities                            Ratings
   ----------                            -------
   INR57.5 Million Cash Credit           BB+/Stable (Assigned)
   INR12.5 Million Letter of Credit      P4+ (Assigned)

The ratings reflect Chitralekha's exposure to risks related to
economic cycles and fluctuations in newsprint prices, and the
firm's small scale of operations.  These rating weaknesses are
partially offset by Chitralekha's established position in the
Gujarati and Marathi weekly magazine markets, marked by a strong
reader base built up over the 60 years of its existence and stable
circulation, and its moderate financial risk profile, marked by a
modest gearing and healthy debt protection measures.

Outlook: Stable

CRISIL believes that Chitralekha will sustain its credit risk
profile over the medium term backed by its established and
leadership position in the Gujarati and Marathi weekly magazine
markets, and absence of significant debt-funded capital
expenditure plans.  The outlook may be revised to 'Positive' if
Chitralekha substantially increases its scale of operations, while
maintaining its profitability and debt protection measures.
Conversely, the outlook may be revised to 'Negative' if the firm's
launch of new magazines or its entry into different media meet
with limited success, constraining its debt protection measures,
or in case of large capital withdrawal, which would deteriorate
the firm's capital structure materially.

                         About Chitralekha

Set up in 1950 as a proprietorship firm by the late Mr. Vaju
Kotak, Chitralekha was reconstituted as a partnership firm in
1969. Its current partners are Mrs. Madhuri Kotak, Mr. Maulik
Kotak, and Mr. Manan Kotak. Chitralekha publishes and prints
magazines in Gujarati, Marathi, and English. The firm's flagship
magazine, Chitralekha, is published in Gujarati and Marathi.
Chitarlekha started 2010-11 (refers to financial year, April 1 to
March 31) with a series of events in several cities of Gujarat and
Maharashtra as a part of the celebration of its 60th year of
existence.

Chitralekha reported a profit after tax (PAT) of INR36.5 million
on net sales of INR221.3 million for 2009-10, against a PAT of
INR7.5 million on net sales of INR233.5 million for 2008-09.


DIRECT LOGISTICS: CRISIL Reaffirms 'C' Rating on Cash Credit
------------------------------------------------------------
CRISIL's ratings on the bank facilities of Direct Logistics India
Pvt Ltd continue to reflect Direct Logistics' weak financial risk
profile, small scale of operations, and working-capital-intensive
operations.  These weaknesses are partially offset by the strong
growth in the company's operating income, and its expanding market
presence.

   Facilities                               Ratings
   ----------                               -------
   INR120.0 Million Cash Credit             C (Reaffirmed)
   INR20.0 Million Bank Guarantee           P4 (Reaffirmed)
   INR18.0 Million Standby Line of Credit   P4 (Reaffirmed)

Update

Direct Logistics' financial risk profile continues to be weak
despite improvement in its business risk profile over the past 18
months. During 2009-10 (refers to financial year, April 1 to
March 31), Direct Logistics has been able to garner sizeable
revenues from the projects segment, which is more profitable than
the traditional containerised business that the company had been
undertaking in the past.  The healthy performance is expected to
continue into 2010-11, as the company has entered into a project-
related contract valued at about INR870 million with Bharat Heavy
Electricals Ltd, which is to be executed by November 2010.
However, the company's overseas subsidiaries have not been able to
stabilize operations, and have reported net losses of about INR8
million on a consolidated basis; these losses are expected to be
lower in 2010-11 on the back of cost rationalization initiatives
undertaken by the management during the year.

Direct Logistics has not been able to redeem the optionally
convertible preference shares of INR100 million subscribed to by
SIDBI Venture Capital Ltd (SVCL) as per schedule (redemption was
to commence from December 2009).  Though the company's performance
has picked up since 2009-10, cash accruals continue to remain
inadequate to meet the redemptions. Direct Logistics is in
discussions with SVCL to reschedule the redemptions; the outcome
of these discussions remains a key rating sensitivity factor.

                      About Direct Logistics

Set up in 1997 by Mr. Sunil Devrani, Direct Logistics provides
container-freight forwarding and clearing agency services.  The
company, headquartered in Mumbai, has offices in Bengaluru, Pune,
Ahmedabad, New Delhi, Kolkata, Chennai, and Tuticorin, and agents
in many countries.  Direct Logistics focuses on ocean freight and
provides services across geographies.  The company also has
subsidiaries engaged in the same line of business in Taiwan,
China, and Singapore.

For 2009-10 (refers to financial year, April 1 to March 31), the
company reported a net profit of INR9.0 million on sales of
INR1097.9 million, against a net loss of INR32.8 million on sales
of INR853.7 million in the preceding year.


EAST INDIA: CRISIL Assigns 'D' Ratings to Various Bank Facilities
-----------------------------------------------------------------
CRISIL has assigned its 'D/P5' ratings to East India Steels Ltd's
bank facilities.  The ratings reflect delay by EISL in servicing
its term loan; the delay has been caused by EISL's weak liquidity.

   Facilities                                Ratings
   ----------                                -------
   INR95.0 Million Cash Credit               D (Assigned)
   INR20.0 Million Stand-by Line of Credit   D (Assigned)
   INR87.8 Million Rupee Term Loan           D (Assigned)
   INR8.0 Million Letter of Credit           P5 (Assigned)
   INR37.0 Million Bank Guarantee            P5 (Assigned)

EISL has small scale of operations, large working capital
requirements, marked by high inventory levels, and a
geographically concentrated revenue profile.  However, EISL has
moderate financial risk profile, marked by low gearing and
moderate debt protection metrics, established track record in
manufacturing iron and steel castings, and it benefits from its
promoters' extensive experience in the steel castings business.

                         About East India

EISL was set up in 1972 as partnership firm by Mr. Shree Ram
Bagaria and his wife. Subsequently, it was incorporated as a
private limited company in 1988, and was reconstituted as a public
limited company (closely held) in 2007.  EISL manufactures iron
and steel casting.  Its products are mainly sold to the Indian
Railways (accounting for 40 per cent of its net sales) and Steel
Authority of India Ltd (25 per cent). The company's plant in
Rourkela (Orissa) has manufacturing capacity of 25,000 tonnes per
annum (tpa).

EISL reported a profit after tax (PAT) of INR19.2 million on net
sales of INR420.7 million for 2009-10 (refers to financial year,
April 1 to March 31), against a PAT of INR17.9 million on net
sales of INR402.1 million for 2008-09.


FRIENDS INFRACON: CRISIL Places 'BB' Rating on INR75MM Cash Credit
------------------------------------------------------------------
CRISIL has assigned its 'BB/Stable/P4+' ratings to the bank
facilities of Friends Infracon Pvt Ltd, which is part of the
Friends group.

   Facilities                            Ratings
   ----------                            -------
   INR75.0 Million Cash Credit           BB/Stable (Assigned)
   INR35.0 Million Proposed LT Bank      BB/Stable (Assigned)
           Loan Facility
   INR40.0 Million Bank Guarantee        P4+ (Assigned)

The ratings reflect the Friends group's small net worth, average
scale of operations, and leveraged capital structure.  These
rating weaknesses are partially offset by the Friends group's
above-average debt protection metrics.

For arriving at its ratings, CRISIL has combined the business and
financial risk profiles of Friends and Friends Enterprises, a
partnership firm.  This is because both the entities, together
referred to as the Friends group, have common management and are
in similar lines of business.  Moreover, Friends will acquire
Friends Enterprises in the near term.  While most of the new
contracts of the group are being undertaken by Friends, the
Friends Enterprises will remain operational with reduced
activities, particularly for ongoing projects, till such
acquisition happens.

Outlook: Stable

CRISIL believes that the Friends group will continue to benefit
from its moderate order book, and report strong cash accruals,
over the medium term.  The outlook may be revised to 'Positive' if
the group improves its financial risk profile, most likely by
increasing its scale of operations significantly, improving
profitability, or due to equity infusion.  Conversely, the outlook
may be revised to 'Negative' if the group's financial risk profile
deteriorates, most likely because of a decline in operating
profitability, or larger-than-expected debt-funded capital
expenditure.

                          About the Group

Friends, set up in 2007 by Mr. K Mathew, undertakes civil
construction projects, mainly construction of canal and canal
structures. The company is registered as Class 1A contractor with
Vidarbha Irrigation Development Corporation (VIDC) and Public
Works Department Maharashtra. Around 90 per cent of the Friends
group's revenue is from projects executed for VIDC. Friends
Enterprises was set up in 1992, to venture into the civil works
business.

The Friends group reported a profit after tax (PAT) of about INR20
million on net sales of INR340 million for 2009-10 (refers to
financial year, April 1 to March 31), against a PAT of INR22
million on net sales of INR371 million for 2008-09.


GTFC LIMITED: CRISIL Assigns 'B' Rating to INR3.3 Mil. Term Loan
----------------------------------------------------------------
CRISIL has assigned its 'B/Stable/P4' ratings on GTFC Ltd's bank
facilities.

   Facilities                          Ratings
   ----------                          -------
   INR14 Million Cash Credit           B/Stable (Assigned)
   INR6.5 Million Working Capital      B/Stable (Assigned)
                      Demand Loan
   INR3.3 Million Term Loan            B/Stable (Assigned)
   INR3.3 Million Bank Guarantee       P4 (Assigned)
   INR27 Million Letter of Credit      P4 (Assigned)

The ratings reflect GTFC's large working capital requirements and
low operating efficiencies. These rating weaknesses are partially
offset by the company's diversified business profile, supported by
manufacture of, and trading and job work in, footwear components.

Outlook: Stable

CRISIL believes that GTFC will continue to benefit over the medium
term, from its promoters' experience in the footwear-components
industry.  The outlook may be revised to 'Positive' if the
company's financial risk profile, particularly liquidity,
improves, supported by better working capital management, an
increase in its scale of operations and profitability, or a
stronger capital structure.  Conversely, the outlook may be
revised to 'Negative' if GTFC's liquidity deteriorates further,
due to increase in working capital requirements, or if the
company's financial risk profile deteriorates because of lower-
than-expected profitability.

                           About GTFC Ltd

GTFC, incorporated in 1997, manufactures and trades in footwear
components, such as thermoplastic toe puff, counters, insoles, and
steel shanks.  The company also manufactures footwear components
on a job-work basis.  The company's manufacturing facility is in
Vellore (Tamil Nadu).  GTFC mainly supplies to domestic companies
engaged in the export of shoe products. Around 60 per cent of
GTFC's revenue comes from Tamil Nadu, while the rest is from
Punjab and Uttar Pradesh. The company imports 55 to 65 per cent of
its raw material, including traded goods, from Germany and Italy.

GTFC is estimated to report a profit after tax (PAT) of INR0.3
million on operating income of INR85 million, against a PAT of
INR0.2 million on operating income of INR101.3 million reported
for 2008-09.


HANUMAN AGRO: CRISIL Assigns 'D' Rating to INR41 Million Term Loan
------------------------------------------------------------------
CRISIL has assigned its 'D/P5' ratings to Hanuman Agro Industries
Ltd's bank facilities.  The ratings reflect delay by HAIL in
servicing its term loan; the delay has been caused by HAIL's weak
liquidity.

   Facilities                        Ratings
   ----------                        -------
   INR80 Million Cash Credit         D (Assigned)
   INR41 Million Term Loan           D (Assigned)
   INR14 Million Proposed LT Bank    D (Assigned)
                 Loan Facility
   INR1 Million Bank Guarantee       P5 (Assigned)
   INR4 Million Letter of Credit     P5 (Assigned)

HAIL's financial profile is weak, marked by a small net worth,
high gearing, below-average debt protection metrics, and low
profitability margins.  The company is also exposed to risks
related to funding for, and implementation of, its recycled
fibre/waste paper-based plant project. HAIL, however benefits from
its promoter's experience in the paper industry.

                        About Hanuman Agro

HAIL, incorporated in 1988, manufactures writing and printing
paper from rice straw, jute and waste paper. Its manufacturing
facility in Raipur (Chattisgarh) has capacity of 13200 tonnes per
annum. The company has a marketing network of around 30 dealers.

HAIL is currently in process of upgrading its manufacturing unit
to recycled fibre/waste paper-based unit, from the existing
agriculture residue-based unit.  The upgraded recycled de-inking
pulp plant will have capacity of 45 tonnes per day (tpd) against
current capacity of 40 tpd. The company is also planning to come
up with a kraft paper manufacturing unit with capacity of 125 tpd
at its existing facility.

HAIL reported a profit after tax of INR2.2 million on net sales of
INR355.4 million for 2009-10 (refers to financial year, April 1 to
March 31), against net loss of INR12.7 million on net sales of
INR406.6 million for 2008-09.


JHARKHAND MEGA: CRISIL Cuts Rating on INR339.5MM Term Loan to 'B+'
------------------------------------------------------------------
CRISIL has downgraded its rating on the long-term bank facility of
Jharkhand Mega Food Park Pvt Ltd to 'B+/Stable' from 'BB-/Stable'.

   Facilities                        Ratings
   ----------                        -------
   INR339.5 Million Term Loan        B+/Stable (Downgraded from
                                                'BB-/Stable')

The downgrade reflects delays in implementation of JMFPPL's
integrated food processing park project in Ranchi (Jharkhand) with
possibilities of cost overruns, and the funding risks associated
with the project.  The project was scheduled to be commissioned in
March 2011, but its implementation is behind schedule due to
delays in regulatory permissions for sub-leasing the project land.
The project is now likely to be commissioned by September 2011.
The delay could also lead to significant cost overrun; partly
offset by likely foreign exchange gain on import of equipment.
Moreover, the validity period of the term loan sanctioned by the
bank has expired, and the company has applied for its
revalidation, which is under process.

The rating also reflects funding, implementation and the offtake
risks associated with JMFPPL's project.  These weaknesses are
partially offset by the support the mega food park derives from
the government in the form of favourable policies and financial
grant.

Outlook: Stable

CRISIL believes that JMFPPL would benefit from favourable
government policies for mega food parks. The outlook may be
revised to 'Positive' if the company completes the project without
any further significant time and cost overruns, and achieves
better-than-expected tie-ups with potential customers, resulting
in adequate offtake levels and revenue visibility. Conversely, the
outlook may be revised to 'Negative' in case of any further delays
in the commencement of commercial operations, significant cost
overruns, or inadequate offtake levels.

                        About Jharkhand Mega

Incorporated in 2009, JMFPPL is a special-purpose vehicle (SPV)
formed to set up an integrated food processing park in Ranchi.
The park is being set up under the Mega Food Park Scheme of the
Ministry of Food Processing Industries, Government of India, which
provides operational and financial support to private players for
setting up such facilities.  The food parks intend to provide
enabling infrastructure and sustainable supply chain to companies
planning to set up processing units for various agricultural
products.  The SPV is promoted by a group of companies; the
primary stakeholders are GenX Venture Capital Inc, a venture
capital fund based in Dubai, and Patanjali Ayurveda Ltd.

JMFPPL is yet to commence operations, hence no revenues were
reported for 2009-10 (refers to financial year, April 1 to
March 31).


LUCKNOW PRODUCER: CRISIL Rates INR230MM Cash Credit at 'BB-'
------------------------------------------------------------
CRISIL has assigned its 'BB-/Stable' rating to Lucknow Producer's
Co-op Milk Union Ltd's cash credit facility.

   Facilities                        Ratings
   ----------                        -------
   INR230.00 Million Cash Credit     BB-/ Stable (Assigned)

The rating reflects LPMUL's small scale of operations,
geographically concentrated revenue profile, limited presence in
the value-added products segment, and below-average financial risk
profile marked by small net worth, high gearing, and weak debt
protection metrics.  The ratings also factor in LPMUL's
susceptibility to adverse regulatory changes and epidemic-related
events.  These rating weaknesses are partially offset by LPMUL's
strong track record in the dairy industry, and the strong
marketing and operational support it receives from the state and
central governments.

Outlook: Stable

CRISIL believes that LPMUL will remain a regional player and its
financial risk profile will remain weak because of low its
profitability and small net worth, over the medium term.  The
outlook may be revised to 'Positive' if LPMUL increases its scale
of operations, while improving its capital structure, or
significantly increases revenue contribution from its value-added
products division, leading to increase in its cash accruals.
Conversely, the outlook may be revised to 'Negative' if the
company's operating profitability declines, it undertakes any
large, debt-funded capital expenditure programme, thereby
weakening its capital structure, or it is required to repay the
preference shares it obtained from the Uttar Pradesh (UP) state
government.

                       About Lucknow Producer

LPMUL is a co-operative milk union set up in 1938 to ensure fair
payment to milk producers and regulate supply of milk within UP.
The unit received preference equity shares of INR20 million from
the UP government, and equity participation from union members
(milk farmers).  The union has 32,000 members, which represent 663
milk producing villages in Lucknow.  The union manufactures dairy
products such as pasteurised milk, curd, and butter. It is one of
the 40 similar milk unions in UP, all of which sell their products
under the brand, Parag, through the UP's apex milk body Pradeshik
Cooperative Dairy Federation (PCDF).  The Parag brand is mainly
marketed in North India. The unit is in Lucknow and has processing
capacity of 150,000 litres per days of raw milk.

LPMUL reported a profit after tax (PAT) of INR8.76 million on net
sales of INR1.54 billion for 2009-10 (refers to financial year,
April 1 to March 31), against a PAT of INR1.25 million on net
sales of INR1.46 billion for 2008-09.


MANGAL CHAND: CRISIL Rates INR95 Million Cash Credit at 'B+'
------------------------------------------------------------
CRISIL has assigned its 'B+/Stable' rating to the cash credit
facility of Mangal Chand Pawan Kumar.

   Facilities                        Ratings
   ----------                        -------
   INR95.00 Million Cash Credit      B+/Stable (Assigned)

The rating reflects MCPK's weak financial risk profile, marked by
small net worth and cash accruals, and weak debt protection
metrics, and the company's vulnerability to adverse regulatory
changes in the sugar industry.  These rating weaknesses are
partially offset by MCPK's promoters' experience in the sugar
trading business.

Outlook: Stable

CRISIL expects MCPK to benefit from the growth prospects in the
sugar industry.  The outlook may be revised to 'Positive' if the
firm's financial risk profile improves significantly, most likely
on account of improvement in the operating margin and better-than-
anticipated sugar prices.  Conversely, the outlook may be revised
to 'Negative' if the firm's operating margin deteriorates further,
or the company undertakes large, debt-funded capital expenditure,
resulting in the deterioration of its financial risk profile.

                        About Mangal Chand

MCPK, established as a partnership firm in 1970 by the late Mr.
Mangal Chand Agarwal, trades in sugar in West Bengal (WB). The
firm is managed by Mr. Kailash Agarwal and Mr. Shiv Agarwal (sons
of late Mr. Mangal Chand Agarwal).  The firm sources sugar from
major sugar mills in Maharashtra and Southern Parts of India,
which it sells to wholesalers in North Bengal and surrounding
areas.

MCPK reported a profit after tax (PAT) of INR0.75 million on net
sales of INR824 million for 2009-10 (refers to financial year,
April 1 to March 31), against a PAT of INR0.27 million on net
sales of INR605 million for 2008-09.


MANGRUL MILLS: CRISIL Assigns 'B-' Rating to INR145MM Term Loan
---------------------------------------------------------------
CRISIL has assigned its 'B-/Stable/P4' ratings to the bank
facilities of Mangrul Mills Ltd.

   Facilities                        Ratings
   ----------                        -------
   INR145 Million Term Loan          B-/Stable (Assigned)
   INR105 Million Cash Credit        B-/Stable (Assigned)
   INR10 Million Letter of Credit    P4 (Assigned)

The ratings reflect MML's average financial risk profile, marked
by modest net worth and moderate debt protection measures, coupled
with susceptibility of its operating margins and accruals to
intense competition in the cotton yarn segment, and to volatility
in raw material prices.  These weaknesses are partially offset by
extensive experience of MML's promoters' in the cotton yarn
industry.

Outlook: Stable

CRISIL believes that MML will benefit over the medium term from
its established relationships with customers and suppliers. The
outlook may be revised to 'Positive' if MML's revenues,
profitability and debt protection metrics improve significantly.
Conversely, the outlook may be revised to 'Negative' if MML's debt
protection metrics weaken significantly, most likely because of
downward pressure on cash accruals due to reduced offtake or
decline in profitability margins.

                         About Mangrul Mills

MML was incorporated in 1995 by Mr. R B Lad and Mr. Arundev
Upadhyay, who hold 65 per cent stake and 35 per cent stake in the
company respectively.  The company's manufacturing facility is
located at Mangrul village (Nagpur) and has a capacity of 35000
spindles.

MML reported a net loss of INR28.1 million on net sales of
INR524.2 million for 2009-10 (refers to financial year, April 1 to
March 31), against a net loss of INR31.7 million on net sales of
INR424.5 million for 2008-09.


PANEM STEELS: CRISIL Rates INR13.3MM LT Bank Loan at 'BB+'
----------------------------------------------------------
CRISIL has assigned its 'BB+/Stable' rating to Panem Steels Pvt
Ltd's proposed long-term bank loan facility, and has reaffirmed
its ratings on the company's other bank facilities at
'BB+/Stable/P4+'.

   Facilities                           Ratings
   ----------                           -------
   INR13.3 Million Proposed LT Bank     BB+/Stable (Assigned)
                   Loan Facility
   INR120.0 Million Cash Credit Limit   BB+/Stable (Reaffirmed)
   INR1.2 Million Term Loan             BB+/Stable (Reaffirmed)
    (Reduced from INR9.5 Million)
   INR10.0 Million Letter of Credit     P4+ (Reaffirmed)
   INR10.0 Million Bank Guarantee       P4+ (Reaffirmed)

The ratings continue to reflect Panem's below-average financial
profile, marked by a low net worth base and inadequate debt
protection metrics, and its exposure to risks related to
fluctuations in commodity prices.  These weaknesses are partially
offset by the benefits that Panem derives from its semi-integrated
operations, and from the experience of its promoters in the steel
industry.

Outlook: Stable

CRISIL believes that Panem will maintain its stable business risk
profile over the medium term on the back its established regional
market presence and semi-integrated operations.  The outlook may
be revised to 'Positive' if the company achieves a substantial and
sustainable increase in its revenues and operating margin, while
maintaining its current capital structure. Conversely, the outlook
may be revised to 'Negative' in case of a stretch in Panem's
working capital cycle, or if the company undertakes a large, debt-
funded capital expenditure programme, thereby adversely affecting
its overall credit risk profile.

                        About Panem Steels

Panem was incorporated in 1990, and promoted by Mr. K L Katyal and
Mr. M L Nemani.  The company has a semi-integrated plant which
manufactures mild-steel ingots, hot-rolled strips and skelps, and
tubes. Its plant at Fatehpur (Uttar Pradesh) has two rolling
mills, two casting units, and two tube-manufacturing units. The
company has capacities of 14,000 tonnes per annum (tpa), 20,000
tpa, and 12,000 tpa for manufacturing ingots, strips and skelps,
and tubes, respectively.  It is currently enhancing its tube
capacity to 20,000 tpa, while setting up a roughing mill and a
galvanised iron pipe plant.

For 2009-10 (refers to financial year, April 1 to March 31), Panem
reported a net profit of INR6 million on net revenues of
Rs.766 million, as against a net profit of INR9 million on net
revenues of INR952 million for the preceding year.


PRAYAG POLYTECH: CRISIL Assigns 'B' Rating to INR21.5MM LT Loan
---------------------------------------------------------------
CRISIL has assigned its 'B/Stable/P4' ratings to the bank
facilities of Prayag Polytech Pvt Ltd, which is part of the Prayag
group.  The ratings reflect the Prayag group's weak financial risk
profile, marked by a small net worth, high gearing, and weak debt
protection metrics.

   Facilities                           Ratings
   ----------                           -------
   INR21.5 Million Long-Term Loan       B/Stable (Assigned)
   INR100.0 Million Cash Credit Limit   B/Stable (Assigned)
   INR100.0 Million Letter of Credit    P4 (Assigned)
   INR0.5 Million Bank Guarantee        P4 (Assigned)
   INR150.0 Million Foreign Bill        P4 (Assigned)
                    Discounting
   INR50.0 Million Proposed ST Bank     P4 (Assigned)
                   Loan Facility

The ratings also factor in the group's large working capital
requirements, small scale of operations, and susceptibility to
volatility in raw material prices.  These rating weaknesses are
partially offset by the Prayag group's established market position
in the masterbatch manufacturing business, and strong
relationships with customers.

For arriving at the ratings, CRISIL has combined the business and
financial risk profiles of PPPL and Agruha Colourtech Pvt Ltd,
together referred to as the Prayag group.  This is because PPPL
and ACPL have common promoters, and are engaged in the same line
of business: manufacturing masterbatches.  Moreover, PPPL has
provided a corporate guarantee for ACPL's bank facilities of
INR130 million.

Outlook: Stable

CRISIL believes that the Prayag group's financial risk profile and
liquidity will remain weak over the medium term driven by working
capital intensity of operations; the group, however, will continue
to benefit from its established position in the masterbatches
business.  The outlook may be revised to 'Positive' in case of
improvement in the group's liquidity, led by sustained improvement
in its profitability, better working capital management, and/or
equity infusion.  Conversely, the outlook may be revised to
'Negative' if the group's liquidity deteriorates further, driven
by larger-than-expected incremental working capital requirements.

                          About the Group

PPPL is promoted by Mr. R K Aggarwal, Mr. D K Aggarwal, and their
families.  The company manufactures white, black, and colour
masterbatches, which find application in the colouring of plastic
pipes and polymer fibres.  The company earns around 50 per cent of
its revenues from exports.  Its manufacturing facilities are
located in Bhiwadi (Rajasthan).  Its associate concern, ACPL, was
incorporated in 2008-09 (refers to financial year, April 1 to
March 31) for manufacturing masterbatches.  Installation of
machinery in ACPL was completed in April 2010 and the company is
currently undertaking trial runs.  Once ACPL starts commercial
production, PPPL will manufacture white and colour masterbatches,
while ACPL will manufacture black masterbatches.

The Prayag group is estimated to have earned a profit after tax
(PAT) of INR12.8 million on net sales of INR764.7 million for
2009-10, against a PAT of INR5.6 million on net sales of
INR578.7 million for 2008-09.


SARITA HANDA: CRISIL Reaffirms 'B+' Rating on INR140MM Term Loan
----------------------------------------------------------------
CRISIL's ratings on the bank facilities of Sarita Handa Exports
Pvt Ltd continue to reflect SHEPL's weak financial risk profile
and exposure to risks related to geographic and customer
concentration in its revenue profile.  These weaknesses are
partially offset by the benefits that SHEPL derives from the long
standing experience of the promoters in the industry.

   Facilities                            Ratings
   ----------                            -------
   INR140.0 Million Term Loan Facility   B+/Stable (Reaffirmed)
   INR280.0 Million Packing Credit *     P4 (Reaffirmed)

Outlook: Stable

CRISIL believes that SHEPL will maintain its business risk profile
over the medium term, supported by its established clientele and
supplier base.  The outlook may be revised to 'Positive' if
SHEPL's cash accruals increase, improving its financial risk
profile. Conversely, the outlook may be revised to 'Negative' if
the company's financial risk profile deteriorates, owing to
decline in demand from the overseas markets, or sharp decline in
the company's profitability.

Update

SHEPL's revenues in 2009-10 (refers to financial year, April 1 to
March 31) have not increased over that in the previous year
because of the impact of global recession on the demand for its
products.  The company's operating profitability of 11.7 per cent
in 2009-10 was marginally lower than that in 2008-09 because of
the write-off of losses of INR18.6 million incurred by its US-
based subsidiary.  The demand situation seems to have recovered in
2010-11 with the company generating revenues of INR470 million in
the six months ended September 2010.

SHEPL's financial risk profile, however, remains weak, with a
gearing of over 6 times as on March 31, 2010.  The company's
gearing is expected to deteriorate further to more than 7 times
over the medium term considering its US-based subsidiary's
estimated losses.  CRISIL expects moderate improvement in SHEPL's
financial risk profile over the medium term, driven by steady cash
accruals and small capital expenditure plans.

                         About Sarita Handa

Incorporated in 1993, SHEPL manufactures and exports home
textiles. SHEPL's product range includes bed sheets, pillow
covers, table covers, quilts, and duvets.  The company has its
manufacturing facility at Manesar (Haryana), and outsources
printing and dyeing, quilting, and computerised embroidery work.

SHEPL reported a profit after tax (PAT) of INR7.2 million on net
sales of INR746.9 million for 2009-10, against a PAT of INR4.9
million on net sales of INR765.9 million for 2008-09.


SEACEM PAINTS: CRISIL Assigns 'D' Ratings to Various Bank Debts
---------------------------------------------------------------
CRISIL has assigned its 'D' rating to the bank facilities of
Seacem Paints (India) Pvt Ltd.  The rating reflects instances of
delay by Seacem in servicing its debt; the delays are on account
of Seacem's weak liquidity.

   Facilities                           Ratings
   ----------                           -------
   INR45.00 Million Cash Credit         D (Assigned)
   INR5.00 Million Working Capital      D (Assigned)
                   Demand Loan
   INR9.80 Million Term Loan            D (Assigned)

Seacem has a weak financial risk profile and large working capital
requirements.  These weaknesses are partially offset by Seacem's
established presence in the paints industry.

Incorporated in 1966 by Mr. Mukherjee, Seacem manufactures powder
(cement paints, putty) and liquid paints (primer). The company's
manufacturing facility in Kolkata has a manufacturing capacity of
20,000 tonnes per annum.  The company is managed by Mr. Gaurav
Baheti, son of the late Mr. Arun Baheti, who was initially a raw
material supplier to Seacem through a family-owned firm. Mr. Arun
Baheti acquired Seacem in 1996.  Its products are sold under the
brand names Seacem, Karishma and Buildguard in West Bengal.

Seacem reported a profit after tax (PAT) of INR2.9 million on net
sales of INR259.0 million for 2009-10 (refers to financial year,
April 1 to March 31), against a PAT of INR1.5 million on net sales
of INR143.5 million for 2008-09.


SESHAASAI E-FORMS: CRISIL Assigns 'D' Rating to INR51.5MM Loan
--------------------------------------------------------------
CRISIL has assigned its 'D' rating to Seshaasai E-Forms Pvt Ltd's
bank facilities.  The rating reflects delay by Seshaasai in
servicing its term loan; the delay has been caused by Seshaasai's
weak liquidity.

   Facilities                           Ratings
   ----------                           -------
   INR28.5 Million Cash Credit          D (Assigned)
   INR51.5 Million Rupee Term Loan      D (Assigned)

Seshaasai has a low net worth and small scale of operations.
Moreover, the company's revenue profile is marked by sectoral
concentration; its entire revenues are generated from financial
and telecommunication sectors. Seshaasai, however, has a
comfortable market position, backed by its established customer
profile.

Seshaasai, incorporated in 2001, by Mr. Gautam Jain, is engaged in
the printing of security products such as cheques and account
statements for banks and carries out data processing activities
for the insurance sector. Its business forms printing division
generates around 70 per cent of its revenues, and the data
processing division accounts for the remainder.

Seshaasai reported a profit after tax (PAT) of around INR4 million
on operating income of INR410 million for 2009-10 (refers to
financial year, April 1 to March 31) against a PAT of INR13
million on operating income of INR485 million for 2008-09.


SWASTIK POLYMERS: CRISIL Cuts Rating on INR40 Million Loan to 'B'
-----------------------------------------------------------------
CRISIL has downgraded its rating on the long-term bank facilities
of Swastik Polymers to 'B/Stable' from 'B+/Stable', while
reaffirming its rating on the firm's short-term facilities at
'P4'.

   Facilities                           Ratings
   ----------                           -------
   INR90.0 Million Cash Credit          B/Stable (Downgraded from
                                                 'B+/Stable')
   INR40.0 Million Term Loan            B/Stable (Downgraded from
                                                 'B+/Stable')
   INR10.0 Million Proposed Term Loan   B/Stable (Downgraded from
                                                  'B+/Stable')
   INR140.0 Million Letter of Credit    P4 (Reaffirmed)

   INR20.0 Million Stand By Letter      P4 (Reaffirmed)
                        of Credit

The rating downgrade reflects withdrawal of capital and unsecured
loans from the firm in 2009-10 (refers to financial year, April 1
to March 31) and in the current year, contrary to earlier
submission by the partners to keep these amounts in the firm as
long as it had access to the bank loan facilities.  The
withdrawals have led to deterioration in Swastik's financial risk
profile, with its gearing at 2.18 times as on March 31, 2010. The
downgrade also reflects the firm's large, debt-funded capital
expenditure (capex) plans of INR130 million over the near term,
which will further strain its financial risk profile.

The ratings continue to reflect Swastik's weak gearing and debt
protection measures, and small scale of operations in the polymer
business. These weaknesses are partially offset by the benefits
that the firm derives from its established presence in the
compounds industry.

Outlook: Stable

CRISIL believes that Swastik will maintain its business risk
profile over the medium term, backed by its established customer
base. Its financial risk profile, however, is expected to remain
weak due to its large ongoing capex plans.  The outlook may be
revised to 'Positive' if the firm completes and stabilises its
projects in a timely manner, or if the partners infuse capital in
the firm, leading to improvement in its capital structure.
Conversely, the outlook may be revised to 'Negative' in the event
of time or cost overruns in Swastik's projects, or more-than-
expected withdrawal of capital by its partners, further
constraining the firm's financial risk profile.

                      About Swastik Polymers

Set up in 1998 as a partnership firm, Swastik manufactures
polyvinyl chloride (PVC) compounds, ethylene-vinyl acetate (EVA)
compounds, thermoplastic elastomer (TPR) compounds, and
masterbatch compounds.  The firm generates around 65 per cent
revenues from EVA compounds, 12 per cent from Masterbatches and 10
per cent from PVC compounds.  Currently, the firm has total
capacity of around 10,000 tonnes per annum (tpa) and plans to
increase the same to around 36,000 tpa.  It is in the process of
setting up two plants with capacity of around 13,000 tpa each, at
Chennai (Tamil Nadu) and the footwear park in Bahadurgarh
(Haryana).

Swastik reported a profit after tax (PAT) of INR21.9 million on
net sales of INR568.9 million for 2009-10, as against a PAT of
INR6.1 million on net sales of INR479.9 million for 2008-09.


T C TERRYTEX: CRISIL Reaffirms 'D' Ratings on Various Bank Debts
----------------------------------------------------------------
CRISIL's ratings on the bank facilities of T C Terrytex Ltd
continue to reflect the delays by TCTL in servicing its term
loans; the delays have been caused by TCTL's weak liquidity due to
the start-up nature of its operations.

   Facilities                           Ratings
   ----------                           -------
   INR707.4 Million Term Loan           D (Reaffirmed)
   INR120 Million Cash Credit           D (Reaffirmed)
   INR92.6 Million Proposed LT Bank     D (Reaffirmed)
                   Loan Facility
   INR130.0 Million Packing Credit      P5 (Reaffirmed)
   INR50 Million Bill Discounting       P5 (Reaffirmed)
   INR70 Million Letter of Credit       P5 (Reaffirmed)
   INR30 Million Bank Guarantee         P5 (Reaffirmed)

TCTL remains exposed to risks related to its limited track record
of operations.  The company, nevertheless, benefits from its
experienced management and technical expertise of its promoters in
the textile industry

TCTL, incorporated in 2005, is part of the Satia group. The
company, which began operations in 2008 at its plant at Lalru
(Chandigarh), manufactures terry towels, bath mats, and bath
gowns.  It exports its products to the US, the UK, Malaysia,
Japan, New Zealand, and the Scandinavian nations. TCTL also sells
its terry towels in the domestic market, but aims to be a 100 per
cent export-oriented unit.

For 2009-10 (refers to financial year, April 1 to March 31), TCTL
reported a profit after tax (PAT) of INR2.7 million on net sales
of INR1.29 billion, as against a net loss of INR207 million on net
sales of INR614 million for the previous year.


UTSAV INDUSTRIES: CRISIL Reaffirms 'B+' Rating on Cash Credit
-------------------------------------------------------------
CRISIL ratings on Utsav Industries Private Ltd's bank facilities
continue to reflect below-average financial risk profile, and
small scale of operations in the aluminium scrap and extrusions
industry.  These weaknesses are, however, partially offset by the
benefits that the company derives from its promoters' industry
experience and its risk management practices.

   Facilities                        Ratings
   ----------                        -------
   INR57.5 Million Cash Credit       B+/Stable (Reaffirmed)

Outlook: Stable

CRISIL believes that Utsav will continue to maintain a stable
credit risk profile, on the back of efficient debtor management,
and healthy relationships with principals.  The outlook may be
revised to 'Positive' if the company strengthens its financial
risk profile, backed by sustained improvement in operating
margins, and significant equity infusion.  Conversely, the outlook
may be revised to 'Negative' if the company's profitability and
revenues decline sharply, or it undertakes large, debt-funded
capital expenditure, further weakening its financial risk profile.

Update

Utsav's financial performance in 2009-10 (refers to financial
year, April 1 to March 31) was in line with CRISIL's expectations.
Utsav's revenues and operating profitability was INR239 million
and 4.4 per cent, respectively, in 2009-10 against INR202 million
and 4.9 per cent, respectively in the previous year.

Utsav maintained average financial risk profile in the absence of
debt-funded capital expenditure in 2009-10. Its gearing was 2.67
times as on March 31, 2010 and average debt protection indicators
with low net cash accruals to total debt (NCATD) ratio of about 5
per cent and interest coverage ratio of about 1.41 times. CRISIL
believes that Utsav will maintain a stable credit risk profile,
backed by revenue growth and healthy relationship with its
principal.

The promoter Mr. Raj Kishore Bhiwaniwala passed away in April 2010
and his son Mr. Utsav Bhiwaniwala joined the business.

Utsav reported a profit after tax (PAT) of INR1.2 million on net
sales of INR239.4 million for 2008-09 (refers to financial year,
April 1 to March 31), as against a PAT of INR 0.25 million on net
sales of INR 203.1 million for 2007-08.

                        About Utsav Industries

Set up in 1996 by late Mr. Raj Kishore Bhiwaniwala, Utsav trades
in aluminium scrap and manufactures aluminium extrusions.  The
company currently managed by and Mrs. Shobha Bhiwaniwala(w/o late
Mr. Raj Kishore Bhiwaniwala) and her son Mr. Utsav Bhiwaniwala is
an authorised agent for Hindalco Industries Ltd's (Hindalco's)
aluminium extrusion products, and for National Aluminium Company
Ltd's (NALCO's) aluminium rolled products.  The company is also an
exclusive distributor for the products of Alstrong Enterprises in
eastern India.


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


BANK TABUNGAN: Fitch Affirms Individual Rating at 'D'
-----------------------------------------------------
Fitch Ratings has affirmed PT Bank Tabungan Negara's (Persero) Tbk
National Long-term rating at 'AA-(idn)', Individual Rating at 'D'
and Support Rating at '3'.  The Outlook is Stable.

The affirmations of BTN's ratings reflect its important policy
role in providing subsidized financing for low-cost housing, in
support of the Indonesian government's housing program.  At end-
H110, BTN had a 98% of local subsidized mortgage markets.  Fitch
notes that the bank's improved capital position (following an IPO
at end-2009) has a strengthened capital cushion (to absorb
unexpected losses), while the impact on credit costs should be
alleviated by the collateral provided by its largely residential
property-backed mortgage portfolio.

BTN's capital position improved from a year ago with Tier 1 and
total CAR increasing to 17.9% and 21.8%, respectively, at end-2009
from increased capital of IDR2.4 trillion from the IPO to support
loan expansion.  Tier 1 and total CAR moderated to 17.7% and
18.7%, respectively, at end-H110 due to loan expansion and partial
implementation of operational risk for Basel II.  BTN has a
relatively weak liquidity profile in Fitch's view, as the bank's
deposit base is not as strong as other state-owned banks Fitch
rates.  BTN has tapped other sources of funding by issuing
Indonesia's first onshore securitization of residential mortgage
loans in 2009, and senior bonds to support loan expansions and to
reduce its exposure to maturity and interest mismatch risk.

The bank's NPL ratio rose to 4.1% at end-H110 (2009: 3.4%),
influenced by an unfavorable seasonality of late payments from its
mortgage loans (which Fitch notes tends to taper off in H2); BTN
targets to manage NPLs to a 4% by end-2010.  Provision cover on
NPLs is relatively low at 0.5x at end-Q210 and end-2009, partly
due to a high portion of secured lending and the generally rather
good recoveries on NPLs.

BTN's underlying profitability improved in H110, with pre-tax ROA
at 1.8% (2009: 1.4%), thanks to lower funding cost from declining
domestic interest rates, despite higher provision charges
following the deterioration in loan quality.

BTN is a state-owned bank focusing on mortgage loans, with a 2.3%
share of total system assets at end-June 2010.  It is listed on
Jakarta Stock Exchange.


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


GK L-JAC4: S&P Downgrades Ratings on Various Classes of Bonds
-------------------------------------------------------------
Standard & Poor's Ratings Services lowered its ratings on the
class A-2 to G-3 bonds issued under the G.K. L-JAC4 Funding
transaction, and removed them from CreditWatch with negative
implications where they were placed on Oct. 7, 2010.  At the same
time, S&P withdrew its ratings on classes X-1 and X-2 in
accordance with its updated criteria for rating interest-only
securities, which S&P published on April 15, 2010.

Out of the five underlying loans (effectively three loans) that
initially backed the bonds when they were issued in May 2007, a
single loan remains (the loan, which is due to mature in May 2013,
originally represented about 34% of the total initial issuance
amount of the bonds)

S&P downgraded classes A-2 to G-3 because:

The remaining loan is backed by a metropolitan resort hotel.  S&P
lowered its assumption with respect to the likely collection
amount from the property after considering the performance of the
property, the market report prepared by a third party with regard
to the subject property, as well as the situation regarding real
estate deals involving similar asset types.  S&P currently assume
the value of the property that S&P revised this time to be about
54% of its initial underwriting value.

S&P has withdrawn its rating on classes X-1 and X-2 in accordance
with its updated criteria for rating IO securities.

L-JAC4 is a multiborrower CMBS transaction originally secured by
five nonrecourse loans extended to three sponsors.  The loans were
initially backed by 34 properties.  The transaction was arranged
by Lehman Brothers Japan Inc. Premier Asset Management Co. acts as
the servicer for this transaction.

Standard & Poor's ratings address the full and timely payment of
interest and the ultimate repayment of principal by the
transaction's legal final maturity date in May 2015 for the class
A-2 to G-3 bonds.

               Ratings Lowered, Off Watch Negative

                       G.K. L-JAC4 Funding
  JPY78.7 billion floating-rate/fixed-rate bonds/certificates due
                            May 2015

Class  To        From                Initial Issue Amount   Coupon Type
-----  --        ----                --------------------   -----------
A-2    A+ (sf)   AA (sf)/Watch Neg   JPY25.0 bil.           Floating-rate
B-2    BB+ (sf)  AA (sf)/Watch Neg   JPY5.2 bil.            Floating-rate
C-2    B- (sf)   A (sf)/Watch Neg    JPY4.8 bil.            Floating-rate
D-3A   B- (sf)   BBB (sf)/Watch Neg  JPY1.0 bil.            Floating-rate
D-3B   B- (sf)   BBB (sf)/Watch Neg  JPY2.3 bil.            Fixed-rate
E-3    B- (sf)   BBB- (sf)/Watch Neg JPY1.2 bil.            Fixed-rate
F-3    B- (sf)   BB+ (sf)/Watch Neg  JPY1.1 bil.            Fixed-rate
G-3    B- (sf)   BB (sf)/Watch Neg   JPY0.4 bil.            Fixed-rate

                        Ratings Withdrawn

Class           Rating                  Initial Notional Principal
-----           ------                  --------------------------
X-1             AAA (sf)                JPY78.7 bil.
X-2             AAA (sf)                JPY78.7 bil.

* classes A-1, B-1, C-1, D-1, D-2, E-1, E-2, F-1, F-2, G-1, and G-
  2 have already been fully redeemed.


JAPAN AIRLINES: S&P Withdraws 'D' Issuer Credit Ratings
-------------------------------------------------------
Standard & Poor's Ratings Services said that it had withdrawn its
'D' issuer and 'D' issue credit ratings on Japan Airlines Corp.,
as well as its 'D' issuer and 'D' issue credit ratings on Japan
Airlines International Co. Ltd., a wholly owned subsidiary of JAL.
The withdrawals were made at the request of both companies.


JLOC 40: S&P Downgrades Ratings on Various Classes of Bonds
-----------------------------------------------------------
Standard & Poor's Ratings Services lowered its ratings on the
class A to C specified bonds issued under the JLOC 40 transaction
and removed them from CreditWatch with negative implications,
where they were placed on Oct. 7, 2010.

S&P downgraded classes A to C because:

In January 2010, S&P lowered its assumptions with regard to the
likely collection amount from the property (an office building in
Minato-ward, Tokyo) that ultimately backs the specified bonds.
Under S&P's revised assumption, S&P estimated the value of the
property in question to be about 66% of its initial underwriting
value.  This time S&P has again lowered its assumption with regard
to the likely collection amount from the property after
considering a number of factors, including the recent situation
regarding rent levels for tenants at the property, the leasing
situation with respect to the property, rent levels at office
buildings in the property's submarket, as well the situation in
terms of real estate deals involving similar asset types.  S&P
currently assume the value of the property to be about 58% of
S&P's initial underwriting values.JLOC 40 is a single-asset CMBS
transaction.  The specified bonds are backed by beneficial
interests in a commercial property, which is owned by a special-
purpose corporation (Tokutei Mokuteki Kaisha), the issuer of this
transaction.  The transaction was arranged by Morgan Stanley Japan
Securities Co. Ltd.

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 2013 for the class A specified bonds, and
the full payment of interest and ultimate repayment of principal
by the legal final maturity date for the class B and C specified
bonds.

            Ratings Lowered, Off Creditwatch Negative

                             JLOC 40
  JPY133.0 billion specified bonds classes A through C issued on
                  Oct. 17, 2007, due October 2013

Class  To        From                 Initial issue amount  Coupon type
-----  --        ----                 --------------------  -----------
A      A+ (sf)   AA+ (sf)/Watch Neg   JPY105.5 bil.         Floating rate
B      BBB- (sf) A (sf)/Watch Neg     JPY20.0 bil.          Floating rate
C      BB- (sf)  BBB+ (sf)/Watch Neg  JPY7.5 bil.           Floating Rate


JLOC 41: S&P Downgrades Ratings on Various Classes of Notes
-----------------------------------------------------------
Standard & Poor's Ratings Services lowered its ratings on the
class A, B, C-2, and D-2 floating-rate notes issued under the JLOC
41 LLC transaction and removed them from CreditWatch with negative
implications, where they were placed on Oct. 6, 2010.  At the same
time, Standard & Poor's affirmed its 'CCC- (sf)' rating on the
class D-1 notes issued under the same transaction.  The class C-1
notes have been fully redeemed.  The ratings on the class C-3 and
D-3 notes were lowered to 'D (sf)' on Aug.  23, 2010.

S&P lowered its ratings on classes A, B, C-2, and D-2 because S&P
lowered its assumption with regard to the likely collection amount
from the three office buildings (the properties are located in
Tokyo and Kyoto) backing one of the transaction's underlying
loans.  S&P currently assume the combined value of the properties
that S&P revised this time to be about 52% of its initial
underwriting value.

Under this transaction, principal proceeds from each loan are used
to redeem several predetermined classes of notes.  These notes
were originally backed by three loans, all of which have now
defaulted.  The sales of the related collateral properties backing
two of the defaulted loans have been finalized.  Yet, with regard
to one of the two loans, the servicer is still engaged in late-
stage liquidation operations.  S&P intends to review its rating on
class D-1 after confirming the amount of loan loss, which is
likely to be fixed when liquidation operations are completed.  In
addition to class D-1, the loan also backed class C-1, which has
already been fully recovered through the sales of collateral
properties.

The notes issued under this transaction were originally secured by
three loans extended to three obligors.  The loans were initially
backed by 31 real estate trust certificates or real estate
properties.  The transaction was arranged by Morgan Stanley Japan
Securities Co. Ltd., and ORIX 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 2015 for the class A floating-rate
notes, and the full payment of interest and ultimate repayment of
principal by the legal final maturity date for the class B to D-2
floating-rate notes.

             Ratings Lowered, Off Creditwatch Negative

                            JLOC 41 LLC
       JPY23.36 billion floating-rate notes due February 2015

Class  To         From                 Initial issue amount Coupon Type
-----  --         ----                 -------------------- -----------
A      BBB+ (sf)  AA (sf)/Watch Neg    JPY15.40 bil.        Floating rate
B      BB- (sf)   BBB+ (sf)/Watch Neg  JPY2.70 bil.         Floating rate
C-2    CCC (sf)   B- (sf)/Watch Neg    JPY0.86 bil.         Floating rate
D-2    CCC- (sf)  CCC (sf)/Watch Neg   JPY0.69 bil.         Floating rate

                        Ratings Affirmed

Class      Rating           Initial Issue Amount     Coupon Type
-----      ------           --------------------     -----------
D-1        CCC- (sf)        JPY0.78 bil.             Floating rate


JLOC XXX: S&P Downgrades Ratings on Various Classes of Notes
------------------------------------------------------------
Standard & Poor's Ratings Services lowered its ratings on the
class A to C floating-rate trust certificates issued under JLOC
XXX Trust Certificates and removed them from CreditWatch with
negative implications, where they were placed on Sept. 14, 2010.
At the same time, S&P affirmed its ratings on class D issued under
JLOC XXX Trust Certificates, and classes Mezz C-1 and Mezz C-2
issued under JLOC XXX Satellite Trust.  S&P also withdrew its
rating on class X issued under JLOC XXX Trust Certificates in
accordance with its updated criteria for rating interest-only
securities, which S&P published on April 15, 2010.

Of the six specified bonds that originally backed the trust
certificates, only two specified bonds remain.  The Satellite
Trust mezzanine trust certificates are secured by one of the two
remaining specified bonds.

S&P downgraded classes A to C because:

In June 2010, S&P lowered its assumption with respect to the
likely collection amount from the properties backing one of the
transaction's two remaining specified bonds (the refinancing-type
specified bond, which originally represented about 15% of the
total initial issuance amount of the floating-rate trust
certificates and the Satellite Trust mezzanine trust certificates,
is backed by hotels), which is due to mature in November 2011.
Under its revised assumption, S&P estimated the combined value of
the hotels to be about 58% of its initial underwriting value.  The
total value of the hotels in question shown in the property
appraisal report and the property survey report that the servicer
has received was far below S&P's assumption as of June 2010.
Accordingly, S&P has again lowered its assumption with regard to
the likely collection amount from the hotels after considering a
number of factors, including information regarding the progress of
collateral liquidation that S&P obtained from the servicer.  S&P
currently assume the value of the properties to be about 48% of
its initial underwriting values.

In June 2010, S&P lowered its assumption with respect to the
likely collection amount from the properties backing the other
remaining specified bond (the property liquidation-type specified
bond, which originally represented about 36% of the total initial
issuance amount of the floating-rate trust certificates and the
Satellite Trust mezzanine trust certificates, is backed, for the
most part, by office buildings), which is due to mature in
December 2010.  Under S&P's revised assumption, S&P estimated the
combined value of the properties to be about 67% of its initial
underwriting value.  Although the liquidation of the properties
undertaken by the asset manager has progressed, S&P has again
lowered its assumption with regard to the likely collection amount
from the properties after considering the current situation in
respect of the sales of the properties.  S&P currently assume the
combined value of the properties to be about 57% of S&P's initial
underwriting value.

S&P has withdrawn its rating on class X in accordance with its
updated criteria for rating IO securities.

JLOC XXX Trust Certificates and JLOC XXX Satellite Trust form a
two-tier transaction that is Japan's largest-ever CMBS
transaction.  JLOC XXX Trust Certificates were initially secured
by a total of six specified bonds and the Satellite Trust
mezzanine trust certificates were initially secured by one of
those six specified bonds.  The transaction was arranged by Morgan
Stanley
Japan Securities Co. Ltd., and ORIX Asset Management & Loan
Services Corp. acts as the servicer for this transaction.

The ratings address the full and timely payment of interest and
the ultimate repayment of principal by JLOC XXX Trust
Certificates' legal final maturity date in April 2014 for the
class A floating-rate trust certificates; and the full payment of
interest and ultimate repayment of principal by the legal final
maturity date for the class B to D floating-rate trust
certificates.  The ratings also address the ultimate repayment of
principal and the full payment of interest by the legal final
maturity date in April 2014 for the class Mezz C-1 and Mezz C-2
Satellite Trust mezzanine trust certificates.

             Ratings Lowered, Off Creditwatch Negative

                   JLOC XXX Trust Certificates
  JPY333.8 billion floating-rate trust certificates due April 2014

Class    To             From                  Initial issue amount
-----    --             ----                  --------------------
A        BBB+ (sf)      AAA (sf)/Watch Neg    JPY225.6 bil.
B        BB- (sf)       AA (sf)/Watch Neg     JPY35.4 bil.
C        B- (sf)        BBB- (sf)/Watch Neg   JPY37.3 bil.

                         Ratings Affirmed

                   JLOC XXX Trust Certificates
  JPY333.8 billion floating-rate trust certificates due April 2014

   Class            Rating                Initial issue amount
   -----            ------                --------------------
   D                CCC (sf)              JPY35.5 bil.

                    JLOC XXX Satellite Trust
  JPY9.3 billion Satellite Trust mezzanine trust certificates due
                           April 2014

  Class            Rating                 Initial issue amount
  -----            ------                 --------------------
  Mezz C-1         CCC (sf)               JPY8.3 bil.


  Mezz C-2         CCC (sf)               JPY1.0 bil.



                         Rating Withdrawn

                   JLOC XXX Trust Certificates
  JPY333.8 billion floating-rate trust certificates due April 2014

Class            Rating                 Initial Notional Principal
-----            ------                 --------------------------
X                AAA (sf)               JPY333.8 bil.


ORSO FUNDING: S&P Downgrades Ratings on Various Notes to 'D'
------------------------------------------------------------
Standard & Poor's Ratings Services lowered to 'D (sf)' from 'CC
(sf)' its ratings on the class E to G and class M trust
certificates issued under the ORSO Funding CMBS 2005-3 Trust
transaction.

The loan that backs this transaction defaulted in October 2008.
At that point, the loan was secured by 25 real estate properties.
The servicer proceeded with the sale of the collateral properties,
which was completed in June 2010.  As a result of the sale, the
loan principal was impaired.  Accordingly, on June 9, 2010, S&P
lowered to 'CC (sf)' its ratings on classes E to G and class M.
S&P lowered to 'D (sf)' its ratings on the aforementioned four
tranches because S&P confirmed that part of the principal payments
on the outstanding trust certificates would not be made on the
transaction's legal final maturity date of Oct. 29, 2010.

The initial ratings on classes E to G and class M of the
transaction were 'BB (sf)', 'BB- (sf)', 'B (sf)', and 'B- (sf)',
respectively.  Classes A to D of the transaction have already been
redeemed, while the rating on class X was withdrawn on May 7,
2010, upon redemption of the senior tranches.

ORSO Funding CMBS 2005-3 Trust is a single-borrower CMBS
transaction.  The trust certificates were initially secured by one
nonrecourse loan extended to one borrower, which was initially
backed by 26 real estate properties.  The transaction was arranged
by Bear Stearns (Japan) Ltd., Tokyo Branch.  Premier Asset
Management Co. acts as the servicer for this transaction.

                         Ratings Lowered

                  ORSO Funding CMBS 2005-3 Trust
       JPY20.8834 billion trust certificates due October 2010

  Class       To             From           Initial Issue Amount
  -----       --             ----           --------------------
  E           D (sf)         CC (sf)        JPY2.4 bil.
  F           D (sf)         CC (sf)        JPY0.8 bil.
  G           D (sf)         CC (sf)        JPY1.8 bil.
  M           D (sf)         CC (sf)        JPY0.4834 bil.

The issue date was Dec. 2, 2005.


TAKEFUJI CORP: Court Starts Bankruptcy Protection Process
---------------------------------------------------------
Kyodo News reports that the Tokyo District Court has decided to
start bankruptcy protection procedures for Takefuji Corp., its
administrator said Sunday.

Takefuji Corp. filed a bankruptcy petition with the Tokyo
District Court on September 28, 2010, with debts of
JPY433.6 billion.  Bloomberg News said the company has become the
biggest casualty of Japan's four-year crackdown on coercive
lending practices by consumer finance companies.  The lender is
seeking to restructure as borrower claims of overpaid interest are
estimated to exceed JPY1 trillion.

                           About Takefuji

Takefuji Corporation (TYO:8564) -- http://www.takefuji.co.jp/--
is a Japan-based company mainly engaged in the consumer finance
business.  The Company operates in two business segments.  The
Consumer Finance segment covers the loan and credit card
businesses.  The Others segment is involved in the operation of
golf courses, the development, management and leasing of real
estate, the venture capital business, as well as the investment
business, among others. The Company has eight subsidiaries.


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


AORANGI SECURITIES: Statutory Managers Reveal NZ$20-Mln Shortfall
-----------------------------------------------------------------
Investors in Hubbard Management Funds could receive only 60% of
what was on their March 2010 statements and it could be well into
next year before they will see any returns.

Statutory managers Richard Simpson, Trevor Thornton and Graeme
McGlinn, of Grant Thornton New Zealand Ltd, in their fourth report
on the statutory management of Aorangi Securities, Hubbard
Management Funds, Mr. and Mrs. Hubbard and associated charitable
trusts, said that the documentation they received reported HMF's
total value at March 31 was NZ$82 million.

"However, our review of the assets owned by HMF and allocated to
investors confirmed a shortfall of some NZ$13 million of
investments and almost NZ$6 million of cash when compared with a
summary of all investors' statements," the managers said.

On the flip side, there were excess shares valued at NZ$8 million.

"The quality of the reporting by Mr. Hubbard in the statements
issued to investors is of serious concern to us.  One of our main
tasks has been to understand precisely what assets HMF owned, and
to assess the market value of these assets.  We achieved this by
meticulously verifying the shares and their market values, in
consultation with Mr. Hubbard's advisors."

Of equal concern to investors is that the statutory managers are
very likely to have to seek a court ruling on whether the fund is
considered a pool or made up of individual investor portfolios.

"If we require a court ruling, it could take many months before we
receive that decision.  In the meantime, we will be actively
managing HMF to protect and enhance investors' interests," the
managers said.

The report also reveals that Aorangi's borrowers and investments
paid only a quarter of the NZ$3.25 million expected by
September 30, 2010.

"This shortfall has been a trend for sometime.  The cash received
to date is less than half what would be required to meet Aorangi's
interest obligations to investors on the pre statutory management
interest payment regime.  Total loan and investment arrears are
now estimated at NZ$3 million and while, in the past, Mr. Hubbard
has been able to use his own assets and cash to make up the
shortfall in the income of Aorangi, there is now uncertainty
whether investors can rely on Mr. Hubbard's support in the future
given his changing financial position," the report says.

The statutory managers, with the support of Mr. Hubbard, are
actively trying to rectify loans that are not meeting their
obligations while also hoping to realize NZ$20 million by the
middle of 2011.

The managers said that of Aorangi's NZ$24 million investment in Te
Tua Trust, a worst case estimate is that only NZ$6.88 million may
be recoverable.

"The state of Te Tua's loan records, which are very poor, is also
of serious concern."  The report breaks down the 104 loans into
nine categories.

In the report, the statutory managers give details of their costs
of managing HMF and Aorangi, noting that a significant effort has
been involved due to the state of the records.  They said that in
Aorangi's case they have had to reconstruct much of the
documentation to a standard that allows them to manage the loans
and investments.

Grant Thornton will shortly establish a Question and Answer
section on its website for investors while the statutory managers
are also beginning to work with a liaison group of six investors.
This group will report back to other investors on their regular
meetings.

As reported in the Troubled Company Reporter-Asia Pacific on
June 23, 2010, Bloomberg News said New Zealand appointed statutory
managers for Aorangi Securities Ltd. and seven trusts, which are
associated with Allan Hubbard, to protect investors and prevent
fraud.  Mr. Hubbard and his wife are also subject to statutory
management because they are so closely connected with the
businesses.  The seven charitable trusts included in the statutory
management are Te Tua, Otipua, Oxford, Regent, Morgan, Benmore and
Wai-iti.  Trevor Thornton and Richard Simpson of Grant Thornton
were appointed as statutory managers.

The Temple Bar Family Trust and Barns Charitable Trust were also
put into statutory management in September 2010 on recommendation
from the Securities Commission.  Hubbard Churcher Trust Management
and Forresters Nominees Company were also added to the list of
businesses under management by Trevor Thorton, Richard Simpson and
Graeme McGlinn on September 20, 2010.

Aorangi Securities Ltd was incorporated in 1974 and is solely
controlled by the Hubbards.


SOUTH CANTERBURY: Funnelled NZ$300 Million Through Subsidiaries
---------------------------------------------------------------
South Canterbury Finance advanced more than NZ$300 million to its
charging group subsidiaries (a series of majority-owned finance
companies), including NZ$196.84 million to plant and equipment
lender Face Finance, Duncan Bridgeman at The National Business
Review reports, citing the first receivership report by
McGrathNicol.

According to the report, one of the companies in the charging
Group -- investment vehicle Hornchurch Limited -- lent NZ$11.7
million to Dairy Holdings, a related party to South Canterbury.
The report relates that Face Finance, South Canterbury's plant and
equipment financing subsidiary, had a total loan book of NZ$205.43
million at the time of receivership.  Of this amount, NZ$8.48
million was impaired, the report notes.

The company had cash and cash equivalents of just NZ$399,193, NBR
relates.

McGrathNicol, the report says, disclosed that Deutsche Bank's New
Zealand branch was the sales adviser for South Canterbury's core
finance assets, including Face Finance and Southbury Insurance.

NBR notes a breakdown of South Canterbury advances to charging
group subsidiaries are:

Face Finance        NZ$196.84 million
Hornchurch          NZ$59.6 million
Galway Park         NZ$19.15 million
Belfast Park        NZ$14.3 million
Tyrone Estates      NZ$7.9 million
Flexi Lease         NZ$6.56 million
Fairfield Finance   NZ$766,445
SCFG Systems        NZ$204,089

                     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.

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 recapitalize.
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.


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


PHILIPPINE AIRLINES: Yet to Determine Impact of Outsourcing Plan
----------------------------------------------------------------
BusinessWorld Online reports that Philippine Airlines has yet to
determine the financial impact of the compensation package that
each of its ground crew will be receiving after the Labor
Department upheld last week a plan to outsource three units and
lay off workers.

According to BusinessWorld, PAL spokeswoman Cielo C. Villaluna
said the spin-off involves the sale of non-core units namely in-
flight catering, airport services, and call center services,
affecting some 2,600 rank-and-file employees.

"Most airlines in the world, and almost all carriers in Asia are
now using third parties to supply and render non-core services.
In PAL's case, it is implementing the spin-off to cut costs and
ensure the airline's continued survival," BusinessWorld quotes
Ms. Villaluna as saying.  The planned spin-off was done "in good
faith" and justified by the management's prerogative to reorganize
its corporate structure for the viability of its operations," Ms.
Villaluna added.

Philippine Airlines Employees' Association President Gerardo F.
Rivera told BusinessWorld that the decision of the Labor
Department was not yet final and executory.  "Our lawyers still
don't have a copy of the decision but we will definitely file a
motion for reconsideration with the Court of Appeals," Mr. Rivera
told BusinessWorld.

                      About Philippine Airlines

Philippine Airlines -- http://www.philippineairlines.com/-- is
the Philippines' national airline.  It was the first airline in
Asia and the oldest of those currently in operation.  With its
corporate headquarters in Makati City, Philippine Airlines flies
both domestic and international flights.  First taking off in
1941, the carrier has grown into a fleet of about 40 aircraft
(including five Boeing 747-400s) flying to more than 20 domestic
points and about 30 foreign destinations.

                           *     *     *

As reported in the Troubled Company Reporter-Asia Pacific on
April 21, 2010, the Manila Bulletin said that the Philippine
Airlines is to spin off its three non-core units as a last resort
to avoid bankruptcy.  PAL will spin off its three non-core units:
inflight catering services; airport services, including ground
handling, cargo handling and ramp handling; and call center
reservations, the Manila Bulletin said.  The PAL Employees Union
estimated that 2,000 to 4,000 employees assigned to those
departments could be retired.  PAL said competition from overseas
carriers, slower global economic growth, and higher oil prices had
prompted the airline to slash its non-core businesses.  The
carrier had approached several investors but failed to secure
financial help, and equity had dropped to a worrisome US$1.1
million as of February 2010, according to the Manila Standard.

The TCR-AP, citing BusinessWorld Online, reported on July 28,
2010, that Philippine Airlines announced a narrower loss for its
fiscal year that ended March 2010 to $14.3 million, from the
previous year's $297.8 million, but warned of still weak demand
for international flights.


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


ANODE CONNECTION: Court Enters Wind-Up Order
--------------------------------------------
The High Court of Singapore entered an order on October 8, 2010,
to wind up the operations of Anode Connection Pte. Ltd.

Jack Investment Pte. Ltd. filed the petition against the company.

The company's liquidator is:

         The Official Receiver
         The URA Centre (East Wing)
         45 Maxwell Road, #05-11/#06-11
         Singapore 069118


IMPERIAL PORCELAIN: Court Enters Wind-Up Order
----------------------------------------------
The High Court of Singapore entered an order on October 22, 2010,
to wind up the operations of Imperial Porcelain Pte. Ltd.

Jack Investment Pte. Ltd. filed the petition against the company.

The company's liquidator is:

         The Official Receiver
         The URA Centre (East Wing)
         45 Maxwell Road, #05-11/#06-11
         Singapore 069118


INOVIO ASIA: Creditors' Proofs of Debt Due November 26
------------------------------------------------------
Creditors of Inovio Asia Pte. Ltd., which is in members' voluntary
liquidation, are required to file their proofs of debt by Nov. 26,
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
         19 Keppel Road
         #02-01 Jit Poh Building
         Singapore 089058


IPACS COMPUTER: Creditors' Proofs of Debt Due November 15
---------------------------------------------------------
Creditors of IPACS Computer Services (S) Pte Ltd, which is in
members' voluntary liquidation, are required to file their proofs
of debt by Nov. 15, 2010, to be included in the company's dividend
distribution.

The company's liquidators are:

         Ong Ye Huat
         Seshadri Rajagopalan
         One Raffles Quay
         North Tower, Level 18
         Singapore 048583


LGM LIMITED: Court Enters Wind-Up Order
-------------------------------------------
The High Court of Singapore entered an order on October 22, 2010,
to wind up the operations of L.G.M. Limited.

Concepts Vacation Club Limited filed the petition against the
company.

The company's liquidator is:

         The Official Receiver
         The URA Centre (East Wing)
         45 Maxwell Road, #05-11/#06-11
         Singapore 069118


LIBERALITAS SHIPPING: Creditors' Proofs of Debt Due November 29
---------------------------------------------------------------
Creditors of Liberalitas Shipping Pte Ltd, which is in members'
voluntary liquidation, are required to file their proofs of debt
by Nov. 29, 2010, to be included in the company's dividend
distribution.

The company's liquidator is:

          Lau Chin Huat
          Shenton Way #32-00
          DBS Building Tower Two
          Singapore 068809


MEI HWA: Creditors' Proofs of Debt Due November 12
--------------------------------------------------
Creditors of Mei Hwa Construction Works Pte. Ltd., which is in
members' voluntary liquidation, are required to file their proofs
of debt by November 12, 2010, to be included in the company's
dividend distribution.

The company's liquidator is:

         The Official Receiver
         The URA Centre (East Wing)
         45 Maxwell Road, #05-11/#06-11
         Singapore 069118


NISSI TRADING: Court Enters Wind-Up Order
-----------------------------------------
The High Court of Singapore entered an order on October 22, 2010,
to wind up the operations of Nissi Trading (S) Pte. Ltd.

Harpers Tradings (Singapore) Pte Ltd filed the petition against
the company.

The company's liquidator is:

         The Official Receiver
         The URA Centre (East Wing)
         45 Maxwell Road, #05-11/#06-11
         Singapore 069118


OKAYI CONTRACTS: Court Enters Wind-Up Order
-------------------------------------------
The High Court of Singapore entered an order on October 22, 2010,
to wind up the operations of Okayi Contracts Pte. Ltd.

Zinkpower (Singapore) Private Limited filed the petition against
the company.

The company's liquidator is:

         Jamshid K Medora
         c/o JK Medora Corporate Assistance Pte Ltd
         22 Malacca Street
         #03-02 Royal Brothers Building
         Singapore 048980


PHP INTERNATIONAL: Creditors' Proofs of Debt Due November 29
------------------------------------------------------------
Creditors of PHP International (Singapore) Pte Ltd, which is in
members' voluntary liquidation, are required to file their proofs
of debt by Nov. 29, 2010, to be included in the company's dividend
distribution.

The company's liquidators are:

          Andre Grimmett
          Lim Loo Khoon
          6 Shenton Way #32-00
          DBS Building Tower Two
          Singapore 068809


PINE FAME: Creditors' Proofs of Debt Due November 29
----------------------------------------------------
Creditors of Pine Fame Pte. Ltd., which is in members' voluntary
liquidation, are required to file their proofs of debt by
November 29, 2010, to be included in the company's dividend
distribution.

The company's liquidator is:

         Jacqueline Chan Li Shan
         171 Chin Swee Road
         #08-01 San Centre
         Singapore 048583


STRONG PTE: Creditors' Proofs of Debt Due November 29
-----------------------------------------------------
Creditors of Strong Pte. Ltd., which is in members' voluntary
liquidation, are required to file their proofs of debt by Nov. 29,
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
         19 Keppel Road
         #02-01 Jit Poh Building
         Singapore 089058


TRENCHLESS TECHNOLOGY: Court to Hear Wind-Up Petition on Nov. 12
----------------------------------------------------------------
A petition to wind up the operations of Trenchless Technology (FE)
Pte. Ltd will be heard before the High Court of Singapore on
November 12, 2010, at 10:00 a.m.

DBS Bank Ltd filed the petition against the company on Oct. 18,
2010.

The Petitioner's solicitor is:

          Tan Peng Chin LLC
          30 Raffles Place
          #11-00 Chevron House
          Singapore 048622


VOLPIA SHIPPING: Creditors' Proofs of Debt Due November 29
----------------------------------------------------------
Creditors of Volpia Shipping Pte Ltd, which is in members'
voluntary liquidation, are required to file their proofs of debt
by Nov. 29, 2010, to be included in the company's dividend
distribution.

The company's liquidator is:

          Lau Chin Huat
          Shenton Way #32-00
          DBS Building Tower Two
          Singapore 068809


WORDMAKER DESIGN: Creditors' Proofs of Debt Due November 12
-----------------------------------------------------------
Creditors of Wordmaker Design Pte Ltd, which is in members'
voluntary liquidation, are required to file their proofs of debt
by November 12, 2010, to be included in the company's dividend
distribution.

The company's liquidator is:

         The Official Receiver
         The URA Centre (East Wing)
         45 Maxwell Road, #05-11/#06-11
         Singapore 069118


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


PEOPLE'S BANK: Fitch Affirms Individual Rating at 'D/E'
-------------------------------------------------------
Fitch Ratings Lanka has upgraded People's Bank's National Long-
term rating to 'AA-(lka)' from 'A(lka)', and simultaneously
revised the Outlook to Positive from Stable.  The agency has also
affirmed PB's Individual rating at 'D/E' and Support rating at
'4'.

The upgrade largely reflects Fitch's view of PB's increased
importance to the state in terms of the bank's role in supporting
the state's greater focus on economic development following the
cessation of the civil war, aided by PB's widely distributed
presence throughout Sri Lanka.  Fitch also recognizes that PB
provided for the liability arising from oil derivative contracts,
which was an overhang on its capital position, and continued to
maintain healthy capital adequacy ratios in the face of strong
growth.

The Positive Outlook largely reflects the prospect of a potential
improvement in the government's profile as indicated by the
Positive Outlook on Sri Lanka's Long-term Issuer Default Rating of
'B+', and the consequent increased capacity of the government to
provide support to the bank in view of its systemic importance and
importance to the government.

PB's ratings reflect its systemic importance as the second-largest
bank in Sri Lanka, state ownership, and strong franchise.

While the banking sector experienced a loan book contraction in
2009 on the back of negative private sector credit growth, PB's
loan book grew by 14.2% yoy in 2009, driven mostly by lending to
state-owned enterprises.  Consequently, loans to the state sector
(government of Sri Lanka and SOEs) increased to 21% of the bank's
loans at end-2009 (end-2008: 12%).  However, predominant exposure
remains in the consumer and retail segment (67% of loans at end-
2009).  This includes PB's significant exposure to pawning
advances (gold-backed loans), which accounted for about 30% loans
at end-2009.  The bank continues to be the market leader in
pawning, accounting for 49% of the banking sector pawning advances
at end-2009.

PB's asset quality came under stress in 2009, with an increase in
NPLs as observed across the banking sector.  Its gross NPL ratio
increased to 6.7% in H110 (end-2009: 6.5%).  However, Fitch
expects asset quality pressures to ease on account of an improving
macro-economic environment.

PB made a provision of LKR3.18 billion in 2009 against its
exposure under oil derivative contracts with Ceylon Petroleum
Corporation.  However, the bank's pre-provision return on assets
increased to 3.5% in 2009 (2008: 2.8%) mostly due to wider net
interest margins.  The contribution to consolidated net income
from the leasing segment remained substantial at 26% in 2009.

Supported by its resilient retail franchise and extensive branch
network, PB recorded deposit growth of 6.8% and 22.7% in H110 and
2009, respectively.  The proportion of demand and savings deposits
to total deposits has been gradually reducing, and constituted 53%
of PB's deposits at end-2009 (2007: 60%).

PB reported core and total CARs of 8.4% and 13.3%, respectively,
in H110; its tier II capital was boosted by the further issuance
of subordinated debentures of LKR2.5 billion in Q409.  PB's
equity/assets ratio of 4.6% at H110 is considered to be low in
view of its scale of operations and systemic importance.  Dividend
payout in the form of a special levy remained at 29% of PB's net
income in 2009.

PB is Sri Lanka's second-largest licensed commercial bank (15.8%
of banking system assets at end-2009) and is 92% owned by the
Government of Sri Lanka.  The bank has an extensive network of 329
branches and 341 outlets.  The PB group includes People's Leasing
Company Ltd, which carries out most of the group's leasing
business.


SANASA DEVELOPMENT: Fitch Lifts National Long-Term Rating to 'BB+'
------------------------------------------------------------------
Fitch Ratings Lanka has upgraded Sanasa Development Bank's
National Long-term rating to 'BB+(lka)' from 'BB(lka)'.  The
Outlook is Stable.

The upgrade reflects SDB's improving capitalization and sound
financial profile relative to peers'.  Significant equity
infusions (cumulative LKR1.3bn) over 2007-2009 have made SDB a
well capitalized bank, with a larger equity cushion to absorb
potential losses on bad loans.  The bank's profitability ratios
continued to be above peers' due to its exposure to micro-finance
type clientele and pawning.  In addition, its asset quality has
historically been above or on par with the banking sector.

SDB is primarily involved in MFI-based lending, routed through the
TCCS Movement and its branch network (FYE09: 38% of loans, FYE08:
37% of loans).  Its housing loans and leases accounted for 39% and
12%, respectively, of total loans at FYE09 (37% and 13% at FYE08).
The bank also had a sizable pawn broking loan segment (gold-backed
loans), which accounted for 11% of loans at FYE09 (FYE08: 12%).
The SDB's loan growth in FY09 was high at 23% (FY08: 32%) albeit
from a small base.  Much of the loan growth over the last three
years was driven by SDB's increased network expansion with 52
branches at FYE09 (FYE06: 25).  Approximately 50% of loans were
less than LKR250,000 (US$2,200).  In addition, in the rural areas
in which SDB operates, pawning is mostly a form of short-term
credit for agricultural purposes, while much of the housing loans
are small tickets, primarily for extensions and renovations.

SDB's asset quality was on par with larger licensed commercial
banks, mostly in the 'AA(lka)'-rated category.  This is a function
of the granular nature of SDB's loan book and recovery processes.
Nonetheless, delinquencies on housing NPLs have tended to move to
'over 18 months in arrears' on account of onerous legal
proceedings.  The bank's NPL ratio improved marginally to 6.4% at
Q310 (FYE09: 6.6%) on the back of loan growth and slower NPL
accretion; while its net NPL/equity ratio improved to 29% at Q310
(31% at FYE09) driven by SDB's improving capitalization.  While
Fitch notes SDB's rapid loan growth and increase in nominal NPLs
in 2009, it takes comfort from the bank's close monitoring and
granularity of its loan book.  The agency will monitor the bank's
ability to maintain its asset quality commensurate with its
rating.

At end-June 2010, SDB reported consolidated Tier 1 ratio of 13.4%
(end-December 2009: 15.2%) and total capital adequacy ratio of
14.5% (end-December 2009: 15.8%) which were well above the
required regulatory minimum ratios of 5% and 10%, respectively.
In addition, 3.5% of its assets at FYE09 (5.6% of assets at FYE08)
were on account of a grant from the Canadian Cooperative
Association, which was obtained for MFI lending.  Capital
repayments on loans disbursed from this grant can be capitalized
as per stipulations of the CCA grant.  As such, SDB's capital
generation is further strengthened by the existence of this grant.

A sustained improvement in SDB's credit profile relative to peers'
would add upward pressure on the bank's rating.

SDB is a licensed specialized bank, established as the apex credit
institution of the TCCS Movement (Sanasa).  At FYE09, SDB was 75%
owned by the TCCS Movement.


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


* Upcoming Meetings, Conferences and Seminars
---------------------------------------------
Nov. __, 2010
AMERICAN BANKRUPTCY INSTITUTE
    Delaware Views from the Bench and Bankruptcy Bar
       Hotel du Pont, Wilmington, Del.
          Contact: 1-703-739-0800; http://www.abiworld.org/

Nov. 11, 2010
AMERICAN BANKRUPTCY INSTITUTE
    Detroit Consumer Bankruptcy Conference
       Hyatt Regency Dearborn, Dearborn, Mich.
          Contact: 1-703-739-0800; http://www.abiworld.org/

Dec. 9-11, 2010
AMERICAN BANKRUPTCY INSTITUTE
    Winter Leadership Conference
       Camelback Inn, a JW Marriott Resort & Spa,
       Scottsdale, Ariz.
          Contact: 1-703-739-0800; http://www.abiworld.org/

Dec. 2-4, 2010
AMERICAN BANKRUPTCY INSTITUTE
    22nd Annual Winter Leadership Conference
       Camelback Inn, Scottsdale, Arizona
          Contact: 1-703-739-0800; http://www.abiworld.org/

Jan. 20-21, 2011
AMERICAN BANKRUPTCY INSTITUTE
    Rocky Mountain Bankruptcy Conference
       Westin Tabor Center, Denver, Colo.
          Contact: 1-703-739-0800; http://www.abiworld.org/

January 26-28, 2011
TURNAROUND MANAGEMENT ASSOCIATION
    TMA Distressed Investing Conference
       Aria Las Vegas
          Contact: http://www.turnaround.org/

Mar. 31-Apr. 3, 2011
AMERICAN BANKRUPTCY INSTITUTE
    Annual Spring Meeting
       Gaylord National Resort & Convention Center,
       National Harbor, Md.
          Contact: 1-703-739-0800; http://www.abiworld.org/

June 9-12, 2011
AMERICAN BANKRUPTCY INSTITUTE
    Central States Bankruptcy Workshop
       Grand Traverse Resort and Spa, Traverse City, Mich.
             Contact: http://www.abiworld.org/

July 21-24, 2011
AMERICAN BANKRUPTCY INSTITUTE
    Northeast Bankruptcy Conference
       Hyatt Regency Newport, Newport, R.I.
          Contact: 1-703-739-0800; http://www.abiworld.org/

Aug. 4-6, 2011  (tentative)
AMERICAN BANKRUPTCY INSTITUTE
    Mid-Atlantic Bankruptcy Workshop
       Hotel Hershey, Hershey, Pa.
          Contact: 1-703-739-0800; http://www.abiworld.org/

Oct. 14, 2011
AMERICAN BANKRUPTCY INSTITUTE
    NCBJ/ABI Educational Program
       Tampa Convention Center, Tampa, Fla.
          Contact: 1-703-739-0800; http://www.abiworld.org/

Oct. 25-27, 2011
TURNAROUND MANAGEMENT ASSOCIATION
    Hilton San Diego Bayfront, San Diego, CA
       Contact: http://www.turnaround.org/

Dec. 1-3, 2011
AMERICAN BANKRUPTCY INSTITUTE
    23rd Annual Winter Leadership Conference
       La Quinta Resort & Spa, La Quinta, Calif.
          Contact: 1-703-739-0800; http://www.abiworld.org/

Apr. 19-22, 2012
AMERICAN BANKRUPTCY INSTITUTE
    Annual Spring Meeting
       Gaylord National Resort & Convention Center,
       National Harbor, Md.
          Contact: 1-703-739-0800; http://www.abiworld.org/

July 14-17, 2012
AMERICAN BANKRUPTCY INSTITUTE
    Southeast Bankruptcy Workshop
       The Ritz-Carlton Amelia Island, Amelia Island, Fla.
          Contact: 1-703-739-0800; http://www.abiworld.org/

Aug. 2-4, 2012
AMERICAN BANKRUPTCY INSTITUTE
    Mid-Atlantic Bankruptcy Workshop
       Hyatt Regency Chesapeake Bay, Cambridge, Md.
          Contact: 1-703-739-0800; http://www.abiworld.org/

Nov. 29 - Dec. 2, 2012
AMERICAN BANKRUPTCY INSTITUTE
    Winter Leadership Conference
       JW Marriott Starr Pass Resort & Spa, Tucson, Ariz.
          Contact: 1-703-739-0800; http://www.abiworld.org/


                             *********

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

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

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


                            *********


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

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

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

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

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





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