/raid1/www/Hosts/bankrupt/TCRAP_Public/110826.mbx
T R O U B L E D C O M P A N Y R E P O R T E R
A S I A P A C I F I C
Friday, August 26, 2011, Vol. 14, No. 169
Headlines
A U S T R A L I A
BURRUP FERTILISERS: Oswal Blasts PPB of Irresponsible Funds Use
ILLAWARRA SERIES: Moody's Assigns (P)Ba2 Rating to Class E Cert.
TRIO CAPITAL: Remaining Directors Banned From Financial Services
* AUSTRALIA: 10,000 Small Businesses Expected to Fail This Year
* Outliers, Australian Property Values Join Global Decline
C H I N A
KEYUAN PETROCHEMICALS: Gets NASDAQ Delinquency Notice
SHENGDATECH INC: Court Enters Temporary Restraining Order
SHENGDATECH INC: Taps Michael Kang as Chief Restructuring Officer
SINO-FOREST CORP: S&P Lowers CCR to 'B' and Stays on Watch Neg.
TONGJI HEALTHCARE: Incurs US$84,000 Net Loss in Second Quarter
H O N G K O N G
JAPAN LEASING: Final Meetings Set for Sept. 21
KPN WHOLESALE: Chiu and Har Step Down as Liquidators
LEE SANG: Final Meetings Set for Sept. 20
LEHMAN BROTHERS: HKMA Reports Progress of Probe on Minibond Cases
MANLEY HIGH: Members' Final Meeting Set for Sept. 19
METRO SPORT: Members' Final Meeting Set for Sept. 22
NICHIMAN INT'L: Members' Final Meeting Set for Sept. 19
SEAGRAM C.I.: Members' Final General Meeting Set for Sept. 20
I N D I A
ABHAY COTEX: CRISIL Ups Rating on INR138.4MM Loan to 'CRISIL B+'
AKIK TILES: ICRA Assigns [ICRA]BB- Rating to INR10cr Cash Credit
ALLIANCE MINERALS: Improvements Cue Fitch to Raise Low-B Ratings
ARJUNA COTTON: ICRA Rates INR12.5cr Long-Term Loan at '[ICRA]B+'
CHOICE PRECITECH: CRISIL Lifts INR18MM Loan Rating to 'CRISIL B+'
DAIWIK HOTELS: ICRA Assigns '[ICRA]BB-' Rating to INR24.5cr Loan
GLADDER CERAMICS: ICRA Rates INR9cr Cash Credit at '[ICRA]BB-'
GREENLAND HOSPITALITY: ICRA Suspends 'LB+' INR16.5cr Loan Rating
HYDERABAD DUTY: ICRA Assigns '[ICRA]BB+' Rating to INR13cr Loan
LARS ENVIRO: CRISIL Assigns 'CRISIL BB-' Rating to INR10.5MM Loan
PKG CONSTRUCTION: CRISIL Rates INR20MM Cash Credit at 'CRISIL BB'
POWERTREK INDUSTRIES: CRISIL Rates INR20MM Credit at 'CRISIL B+'
RANGANAYAKA SPINNING: ICRA Reaffirms '[ICRA]BB' Term Loan Rating
RISHI AUROBINDO: ICRA Rates INR6.47cr Term Loan at '[ICRA]BB-'
SRI PARAMESWARI: ICRA Cuts Rating on INR40cr Loan to '[ICRA]B+'
ST LAURN HOTELS: ICRA Reaffirms '[ICRA]B+' INR47cr Loan Ratings
SWASTIK CERACON: ICRA Puts '[ICRA]BB-' Rating on INR29.25cr Loan
TIRUPATHI YARNTEX: ICRA Reaffirms [ICRA]C+ INR18.2cr Loan Rating
VARAD AGRI: ICRA Reaffirms '[ICRA]BB' INR20cr Loan Rating
VIJAY TECHNOLOGIES: CRISIL Reaffirms CRISIL D INR70MM Loan Rating
WINDSOR EXPORTS: CRISIL Rates INR70MM Term Loan at 'CRISIL BB'
YARLAGADDA EXPORTS: ICRA Reassigns '[ICRA]B+' to INR28cr Loan
I N D O N E S I A
ALUCO: Moody's Withdraws 'B3' Corporate Family Rating
INDUSTRI KAPAL: Government to Inject IDR491.3 Billion in Funds
J A P A N
L-JAC 6: Moody's Reviews 'B2' Rating of Class E-1 Certificates
L-JAC 7: S&P Affirms Ratings on 17 Classes of Certs. at 'CCC'
MITSUBISHI MOTORS: S&P Revises Outlook on 'B+' CCR to Stable
K O R E A
HYNIX SEMICONDUCTOR: STX in Talks with AAbar on Joint Bid
M A L A Y S I A
SATANG HOLDINGS: Posts MYR4.39MM Net Income in Qtr Ended June 30
VASTALUX ENERGY: Posts MYR83,228 Loss in 2nd Qtr Ended June 30
S I N G A P O R E
AMARU INC: Incurs US$353,000 Second Quarter Net Loss
T H A I L A N D
CANADOIL ASIA: Insufficient Info Cues Fitch to Withdraw Ratings
X X X X X X X X
* Large Companies with Insolvent Balance Sheets
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A U S T R A L I A
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BURRUP FERTILISERS: Oswal Blasts PPB of Irresponsible Funds Use
---------------------------------------------------------------
The West Australian reports that India fertilizer tycoon Pankaj
Oswal accused PPB Advisory, the receiver and manager appointed by
ANZ Bank to Burrup Fertilisers, of "irresponsible and
unacceptable" use of the company's funds.
The West Australian relates that Mr. Oswal was quick to respond
to news coverage of Burrup Fertilisers' latest accounts -- the
first lodged with the corporate watchdog since ANZ appointed PPB
in December -- signing off on a lengthy statement from his base
in Dubai. Mr. Oswal, according to The West Australian, described
the AUD7 million in fees pocketed by PPB in the June half, plus
the AUD4.6 million in legal fees charged by the firm, as
"scandalous", saying it displayed "scant regard for
shareholders."
"It is also interesting that even after all of this expenditure,
Burrup still has US$41 million (AUD34.72 million) in cash," The
West Australian quotes Mr. Oswal as saying. "Not bad for a
company put into receivership."
Since PPB was appointed in the hope that ANZ Bank could recoup
loans of about AUD860 million, Mr. Oswal said the plant had lost
60 days of operation, costing the company AUD80 million in
revenue, the report relays.
"When I ran the operation, the plant ran for 420 consecutive days
at 115% of the nameplate capacity," Mr. Oswal said.
According to the report, Mr. Oswal said Yara International, which
owned the 35% of Burrup not held by the Oswals, was "colluding"
with ANZ Bank and PPB to force him to sell at "a rock bottom
price."
The West Australian relates that Yara was quick to rebut
Mr. Oswal's attack, saying "the cost level within the company is
now much easier to understand compared with a year ago."
"The numbers speak for themselves," Yara said. "We are content
with the financial turnaround of Burrup."
The Norwegian fertiliser giant was referring to the $24.5 million
in income it reaped from Burrup in the six months to June this
year, compared to a loss of $10.8 million for the same half last
year, The West Australian reports.
Mr. Oswal and his wife Radhika, The West Australian notes, are
wading through a quagmire of litigation, including his recent
move to sue Burrup Fertilisers for $469.5 million for what he
said were cost overruns he paid to complete the breakthrough
project.
The West Australian discloses that the Burrup accounts lodged
with the Australian Securities and Investments Commission show
PPB was paid AUD6.86 million in fees in the six months to the end
of June. The accounts listed payments of AUD78.3 million and
receipts of AUD113 million.
About Burrup Fertilisers
Headquartered in Karratha in Western Australia, Burrup
Fertilisers Pty Ltd -- http://www.bfpl.com.au/-- is Australia's
largest ammonium producer. The company has a production capacity
of 850-tonnes of liquid ammonia a year.
* * *
As reported in the Troubled Company Reporter-Asia Pacific on
Dec. 20, 2010, The Australian said Burrup Fertilisers Pty Ltd has
been placed into receivership with debts of about AUD800 million.
ANZ Bank appointed PPB Advisory as receivers to Burrup
Fertilisers. ANZ also appointed the same receivers, PPB
Advisory, over shares held by members of the Oswal Group in
related company Burrup Holdings. The bank is alleging "evidence
of financial irregularities" as well as the usual default
triggers relating to debt facilities established between 2002 and
2007, The Australian said.
ILLAWARRA SERIES: Moody's Assigns (P)Ba2 Rating to Class E Cert.
----------------------------------------------------------------
Moody's Investors Service has assigned provisional ratings to
Illawarra Series 2011-1 CMBS Trust $203 Million SME CMBS
securitization. The Notes are to be issued by BNY Trust Australia
Limited as trustee of the Illawarra Series 2011-1 CMBS Trust.
Issuer: Illawara Series 2011-1 CMBS Trust
-- AUD167.08M Class A Certificate, Assigned (P)Aaa (sf)
-- AUD5.17M Class B Certificate, Assigned (P)Aa2 (sf)
-- AUD8.41M Class C Certificate, Assigned (P)A2 (sf)
-- AUD9.73M Class D Certificate, Assigned (P)Baa2 (sf)
-- AUD2.03M Class E Certificate, Assigned (P)Ba2 (sf)
-- AUD6.08M Class F Certificate, Assigned (P)Ba3 (sf)
The ratings address the expected loss posed to investors by the
legal final maturity. The structure allows for timely payment of
interest and ultimate payment of principal with respect to the
Class A, Class B, Class C, Class D, Class E, and Class F Notes by
the legal final maturity. The Class G Notes are not rated.
Ratings Rationale
The assets in Illawarra Series 2011-1 CMBS Trust consist of small
commercial loans secured on commercial and residential properties
within Australia. There are a total of 750 underlying loans in
the pool with a maximum loan size of AUD4 million.
The ratings take account of, among other factors:
-- The 17.5% subordination provided to the Class A Notes by
Class B to Class G Notes. This is equivalent to Moody's Aaa
credit enhancement. Moody's expected loss for this
transaction is 1.7%.
-- A liquidity reserve, equal to 1.9% of the outstanding
amount of the notes, will provide liquidity support to the
transaction. The reserve will amortize in line with the
overall note balance until the overall Note balance reaches
AUD$20.3 million.
-- The notes will initially be repaid on a sequential basis.
Following the satisfaction of a number of conditions,
including once the initial Class A Notes subordination has
doubled, all Notes will receive a pro-rata share of
principal. This continues until certain triggers are hit,
such as an unreimbursed charge off occurs or the pool hits
a 10% pool factor. At that point, the payment of the notes
will revert to a sequential basis.
-- The interest rate swap the Trustee enters into with IMB to
hedge the interest rate mismatch between the Trustee's
floating rate obligations to note holders and the interest
rates on the fixed rate mortgage loans. Westpac Banking
Corporation (Aa2/P-1) acts as standby swap provider in
relation to the fixed rate loans.
-- The experience of IMB in servicing a securitised mortgage
portfolio. IMB has previously completed seven
securitisations, with its first SME CMBS deal completed in
2004. This highlights the lender's experience as a manager
and servicer of securitised transactions.
Rating Methodology
The principal methodology used in the rating was "Moody's
Approach to Rating Australian's SME CMBS" published in January
2009.
Volatility Assumption Scores and Parameter Sensitivities
The V Score for this transaction is Medium. Although this
transaction is SME CMBS, attributes of the structure and
underlying collateral result in comparison to Australian Prime
RMBS, which has a Low/Medium volatility score, as being more
informative than compared to Australian CMBS.
As compared to the Prime RMBS sector this transaction exhibit
greater variability in quality of historic data (seven years of
SME CMBS data compared to over 10 years of RMBS data and over 20
years of residential mortgage insurance claim history) and
analytic complexity (SME MoRE was used in the modeling of this
transaction which has been used to rate deals since 2007, though
its use has been limited).
V Scores are a relative assessment of the quality of available
credit information and of the degree of uncertainty around
various assumptions used in determining the rating. High
variability in key assumptions could expose a rating to more
likelihood of rating changes. The V Score has been assigned
according to the report "V Scores and Parameter Sensitivities in
the Asia/Pacific RMBS Sector", published in March 2009.
Parameter Sensitivities are designed to provide a quantitative
calculation of how the initial rating might change if key input
parameters used in the initial rating process -- here the rating
levels of the mortgage insurers -- differed. The analysis assumes
that the deal has not aged. Parameter Sensitivities only reflect
the ratings impact of each scenario from a quantitative/model-
indicated standpoint.
For this transaction the Class A and Class B Notes' ratings are
not sensitive to a 50% and 100% increase in the expected loss due
to the fact higher losses would lead to un-reimbursed charge off
and result in the structure paying sequentially.
The Class C and D Notes do show some sensitivity with the same
increase in expected loss but these classes benefit from their
10.8% and 6% initial subordination. If the expected loss were to
double to 3.4% the ratings of the Class C and Class D would be
downgraded to A3 and Ba1, respectively.
The Class E and F Notes show the most sensitivity, with their
ratings decreasing three notches, to B2 and B3, respectively,
when the expected loss is doubled.
Moody's ratings address only the credit risks associated with the
transaction. Other non-credit risks have not been addressed, but
may have a significant effect on yield to investors. Moody's
ratings are subject to revision, suspension or withdrawal at any
time at Moody's absolute discretion. The ratings are expressions
of opinion and not recommendations to purchase, sell or hold
securities.
TRIO CAPITAL: Remaining Directors Banned From Financial Services
----------------------------------------------------------------
The Australian Securities and Investments Commission said it has
entered into enforceable undertakings (EUs) with the remaining
two former directors of Trio Capital Limited, Keith Finkelde and
David O'Bryen.
Mr. Finkelde was a non-executive director from April 2007. He
was also a member of the Investment Committee of Trio from July
2008. Mr. Finkelde has agreed not to act in any role within the
financial services industry for four years. He has also agreed
not to act as a director of any corporations for four years.
Mr. O'Bryen was a non-executive director of Trio from June 2007.
He was chairman of the Risk and Compliance Committee of Trio
during 2008 and 2009. Mr. O'Bryen has agreed not to act in any
role within the financial services industry for four years. He
has also agreed not to act as a director of any corporations for
four years with the exception of a company which acts as trustee
of Mr. O'Bryen's self managed superannuation fund.
ASIC Chairman Greg Medcraft said: "ASIC is serious about holding
gatekeepers to account. Since July 2011, ASIC has entered into
enforceable undertakings with each of Trio's former directors to
prevent them from operating in the financial services industry,
and to deter others. Our investigations into the Trio matter
continue."
The announcement follows the EU entered into with former Trio
chairman David Andrews on August 11, the EUs entered into with
former Trio directors Rex Phillpott and Natasha Beck last month,
the EU from Kilara Financial Solutions Pty Ltd, the Australian
financial services (AFS) licence suspension of Seagrims Pty Ltd
and the financial services banning of the directors of Seagrims.
It also follows the recent sentencing of Mr. Shawn Richard to
three years and nine months imprisonment for two charges of
dishonest conduct in relation to his role as a director of the
investment manager of the Astarra Strategic Fund.
Trio Capital was formerly the trustee of five superannuation
entities and the responsible entity for 25 managed investment
schemes, including the Astarra Strategic Fund. The Astarra
Strategic Fund was a fund of hedge funds which in December 2009
had reported assets of $125 million. Investors in the Astarra
Strategic Fund included several superannuation trusts managed by
Trio Capital as well as self-managed superannuation funds and
direct investors.
The Astarra Strategic Fund invested in several questionable
overseas hedge funds, mostly based in the Caribbean. ASIC
commenced an investigation into Trio Capital in October 2009 over
concerns about the legitimacy of its investments. Trio Capital
was placed into administration on 16 December 2009 and on 16
April 2010 the NSW Supreme Court ordered that the Astarra
Strategic Fund be wound up. Since this time the liquidator of
Trio Capital has been unable to recover the vast majority of the
investments made by the Astarra Strategic Fund.
Investigations into Trio Capital are continuing by both ASIC and
the Australian Prudential Regulation Authority.
* AUSTRALIA: 10,000 Small Businesses Expected to Fail This Year
---------------------------------------------------------------
Stephen McMahon at Herald Sun reports that about 10,000 small
businesses in Australia are expected to fold this year as
consumers stop spending amid growing fears of extensive job
losses from the worsening global slowdown.
The forecast comes as new construction data highlights the
patchwork nature of the Australian economy, with the value of
engineering works linked to the mining boom rising while
residential and commercial building work falls, according to
Herald Sun.
Herald Sun notes that a 5.9% jump in the value of engineering
work in the June quarter was all but wiped out by a 5% slide in
building work. The net result was a tepid rise of 0.7% in total
construction activity, exposing a deep fissure in the economy,
the report relays.
According to Herald Sun, the downturn is hurting small
businesses, with the latest research from Dun & Bradstreet
revealing that small operators in the retail, finance and service
sectors have recorded the highest failure rates.
Almost 3,000 businesses collapsed in the June quarter under the
strain of the spending slowdown -- the highest level in 12
months, the report notes.
Herald Sun relates that Dun & Bradstreet chief executive
Christine Christian said New South Wales was hit hardest with
1,200 firms folding, while Victoria was second with 615 companies
collapsing -- a 26% increase on the previous quarter.
"Cashflow is the mitigating factor, particularly for small
businesses who feel the effects a lot faster than larger
companies with cash reserves," Herald Sun quotes Ms. Christian as
saying.
Dun & Bradstreet has also downgraded 75,000 firms as they are
more likely to experience "financial distress" during the next
six months, Herald Sun adds.
* Outliers, Australian Property Values Join Global Decline
----------------------------------------------------------
Dow Jones' DBR Small Cap reports that one of the few bright spots
in real estate amid a three-year global slump, Australia now
faces falling home prices and fears of overbuilding.
=========
C H I N A
=========
KEYUAN PETROCHEMICALS: Gets NASDAQ Delinquency Notice
-----------------------------------------------------
Keyuan Petrochemicals, Inc. has received an additional notice
from NASDAQ stating the Company is not in compliance with Listing
Rule 5250(c)(1) for continued listing due to not filing its Form
10-Q for the three months ended June 30, 2011, by the due date of
August 15, 2011.
As previously announced, the Company received notices from the
NASDAQ on April 7, 2011, and on May 19, 2011, stating that the
Company was not in compliance with Listing Rule 5250(c)(1) for
continued listing due to not filing its Form 10-K for the year
ended December 31, 2010 by the due date of March 31, 2011, and
its Form 10-Q for the three months ended March 31, 2011 by the
due date of May 16, 2011, respectively.
Management would like to remind shareholders that on July 26th
the NASDAQ Hearings Panel granted a stay of delisting of the
Company's securities pending the Company's scheduled hearing to
be held on August 25, 2011. As a result, the Company's
securities will remain listed, however halted, on the NASDAQ
Global Select Market pending further action by the Hearings
Panel.
Keyuan Petrochemicals, Inc., established in 2007 and operating
through its wholly-owned subsidiary, Keyuan Plastics, Co. Ltd.,
is located in Ningbo, China, and is a leading independent
manufacturer and supplier of various petrochemical products.
Having commenced production in October 2009, Keyuan's operations
include an annual petrochemical manufacturing design capacity of
720,000 MT for a variety of petrochemical products, with
facilities for the storage and loading of raw materials and
finished goods, and a technology that supports the manufacturing
process with low raw material costs and high utilization and
yields. In order to meet increasing market demand, Keyuan plans
to expand its manufacturing capacity to include a SBS production
facility, additional storage capacity, a raw material pre-
treatment facility, and an asphalt production facility.
SHENGDATECH INC: Court Enters Temporary Restraining Order
---------------------------------------------------------
ShengdaTech, Inc. disclosed that the U.S. Bankruptcy Court for
the District of Nevada granted the Company's motion for a
temporary restraining order ("TRO") enjoining the Company's
shareholders and the members of the Company's Board of Directors,
from taking any action, including the commencement of any court
or administrative proceeding that seeks to change or has the
purpose or effect of changing the composition of the Company's
Special Committee or the appointment of the Chief Restructuring
Officer ("CRO"), Mr. Michael Kang, from taking any action
including the commencement of any court or administrative
proceeding that seeks to hinder, obstruct, impede or otherwise
interfere with the Special Committee's and the CRO's previously
announced investigation(s) and prosecution of the Company's
Chapter 11 case, and from taking any action that seeks to appoint
or has the purpose or effect of appointing Mr. Gongbo Wang, or
anyone else, to the Company's Board of Directors. The TRO is in
addition to the automatic stay imposed by Section 362(a) of the
U.S. Bankruptcy Code.
The TRO shall remain in place until conclusion of the hearing on
the Company's request for a preliminary injunction, which hearing
is currently scheduled for September 2, 2011.
Additionally, on August 22, 2011, the SEC served the Company with
a subpoena for documents in connection with a fact-finding
investigation by the SEC with regard to the Company. The Company
is committed to cooperating with the SEC. It is not possible at
this time to predict the outcome of the SEC investigation,
including whether or when any proceedings might be initiated,
when these matters may be resolved or what, if any, penalties or
other remedies may be imposed. The SEC has informed the Company
that the investigation should not be construed as an indication
that any violations of law have occurred.
About ShengdaTech
Headquartered in Shanghai, China, ShengdaTech, Inc., makes nano
precipitated calcium carbonate for the tire industry.
ShengdaTech converts limestone into nano-precipitated calcium
carbonate (NPCC) using its proprietary and patent-protected
technology. NPCC products are increasingly used in tires, paper,
paints, building materials, and other chemical products. In
addition to its broad customer base in China, the Company
currently exports to Singapore, Thailand, South Korea, Malaysia,
India, Latvia and Italy.
ShengdaTech Inc. sought Chapter 11 bankruptcy protection from
creditors (Bankr. D. Nev. Case No. 11-52649) on Aug. 19, 2011, in
Reno, Nevada, in the United States.
The Shanghai-China based company said in its bankruptcy filing it
would fire all of its officers and restructure to try to recover
from an accounting scandal.
The Company disclosed $295.4 million in assets and $180.9 million
in debt as of Sept. 30, 2011.
The Company's legal representative in its Chapter 11 case is
Greenberg Traurig, LLP. The Board of Directors Special
Committee's legal representative is Skadden, Arps, Slate, Meagher
& Flom LLP.
SHENGDATECH INC: Taps Michael Kang as Chief Restructuring Officer
-----------------------------------------------------------------
BankruptcyData.com reports that ShengdaTech filed with the U.S.
Bankruptcy Court a motion to retain Michael Kang of Alvarez &
Marsal North America (Contact: Michael Kang) as chief
restructuring officer for an hourly rate of $675 for Mr. Kang,
and the following hourly rates for other A&M employees: managing
director at $650 to $850, director at $450 to $650,
associate/consultant at $350 to $450, and analyst at $250 to
$350.
About ShengdaTech
Headquartered in Shanghai, China, ShengdaTech, Inc., makes nano
precipitated calcium carbonate for the tire industry.
ShengdaTech converts limestone into nano-precipitated calcium
carbonate (NPCC) using its proprietary and patent-protected
technology. NPCC products are increasingly used in tires, paper,
paints, building materials, and other chemical products. In
addition to its broad customer base in China, the Company
currently exports to Singapore, Thailand, South Korea, Malaysia,
India, Latvia and Italy.
ShengdaTech Inc. sought Chapter 11 bankruptcy protection from
creditors (Bankr. D. Nev. Case No. 11-52649) on Aug. 19, 2011, in
Reno, Nevada, in the United States.
The Shanghai-China based company said in its bankruptcy filing it
would fire all of its officers and restructure to try to recover
from an accounting scandal.
The Company disclosed $295.4 million in assets and $180.9 million
in debt as of Sept. 30, 2011.
The Company's legal representative in its Chapter 11 case is
Greenberg Traurig, LLP. The Board of Directors Special
Committee's legal representative is Skadden, Arps, Slate, Meagher
& Flom LLP.
SINO-FOREST CORP: S&P Lowers CCR to 'B' and Stays on Watch Neg.
---------------------------------------------------------------
Standard & Poor's Ratings Services lowered the long-term
corporate credit rating on Sino-Forest Corp. to 'B' from 'B+'.
"At the same time, we lowered the issue ratings on the company's
outstanding senior unsecured notes and convertible bonds to 'B'
from 'B+'. We also lowered the Greater China scale credit ratings
on Sino-Forest and its notes to 'cnBB-' from 'cnBB'. We kept all
of the ratings on CreditWatch with negative implications, where
they were originally placed on June 30, 2011," S&P related.
"We downgraded Sino-Forest to reflect our view that (1) the
company's operations will be negatively affected for a longer
period than we previous expected because an investigation into
alleged fraud irregularities has been extended by several months;
and (2) Sino-Forest's financial strength will likely further
weaken as its profit margin remains at a materially reduced
level," said Standard & Poor's credit analyst Frank Lu.
"We kept the ratings on CreditWatch to reflect the possibility of
a further downgrade following a review of Sino-Forest by auditor
PriceWaterhouseCoopers and the pace at which the company spends
its existing cash balance. We may consider suspending or
withdrawing the ratings if we believe the information risk is too
high to maintain the ratings," S&P said.
"The validity of the fraud allegations by MuddyWaters, a research
company, is still unclear to us. But the delay in the
announcement of the results of the independent investigation is
largely negative for Sino-Forest's credit profile, in our view.
The longer the allegations are unresolved, investors' confidence
in the company is likely to reduce even further, customer
relationships may be damaged, and employee retention levels could
fall. The delay also diverts management's focus from operating
the business," S&P related.
"The independent committee expects to need two to three months
more than originally estimated to complete the investigation. We
expect the company to disclose very limited information about the
progress of the investigation," S&P said.
Sino-Forest's profit margin fell in the second quarter of 2011 to
23% from an average of about 35% over the past four years. This
significant decline could reflect several factors, such as lower-
quality timber assets, higher acquisition costs, and softening
demand for timber assets. "We do not expect the company to return
to its previous profitability levels," S&P related.
"The ratings also reflect our view that Sino-Forest's business
continues to face significant challenges due to its inability to
collect cash from the China-based timber assets held by offshore
subsidiaries, its sharply reduced access to capital markets
following the fraud allegations, and its weak disclosure. Sino-
Forest has relied extensively on offshore external funding to
increase and refinance its borrowings, and we believe its access
to capital markets will continue to be severely constrained. We
also believe it could take several years before the company will
be able to realize any major benefits from changing the way it
does business in China," S&P said.
The ratings also reflect Sino-Forest's aggressive expansion
strategy and a concentrated client base. Factors tempering these
risks include strong demand and the sustained shortage of
domestic wood fiber and timber supplies in China, the company's
geographically diverse plantation resources, and its continuing
profitability, even at reduced levels.
"Sino-Forest's liquidity is less than adequate, in our view. We
expect the company to have sufficient liquidity to meet its
obligations in the remainder of 2011. However, in our base case,
we assume Sino-Forest's liquidity position will weaken in 2012 as
the company uses its cash resources for debt servicing and
capital expenditure and it receives no additional debt or equity
funding," S&P said.
"Sino-Forest's liquidity position could deteriorate quickly over
the next year if the company maintains high capital expenditure,
incurs higher expenses than we expect (for example for
professional fees in connection with the independent committee's
work), or its contingent tax liabilities become due and payable.
Management estimates Sino-Forest's tax provision at $204.72
million as of June 30, 2011," S&P related.
"In 2012, the company has no principal payments due on its
foreign currency-denominated senior unsecured notes or
convertible bonds. We estimate interest expenses will be about
US$125 million for 2012. In 2013, Sino-Forest will have $345
million convertible bonds due. If the company cannot transform
its business model to generate sufficient accessible operating
cash over the next two years, it may not be able to repay or
refinance the debt due in 2013, in our view," S&P stated.
"We are likely to lower the ratings on Sino-Forest by multiple
notches if any of the fraud allegations prove to be true or the
company's liquidity deteriorates sharply," said Mr. Lu.
"We aim to resolve the CreditWatch before the end of this year
when the independent committee completes its investigations and
we can assess the implications of the investigation on the
company's creditworthiness. We may also lower the ratings after
Sino-Forest releases its third-quarter 2011 results if we see
evidence that the company's cash burn is substantially higher
than we are forecasting or its financial performance further
weakens," S&P related.
"We may suspend or withdraw the ratings on Sino-Forest if the
company delays its results announcement for the third quarter of
2011 or the investigation is extended again. We may affirm the
existing ratings and remove them from CreditWatch if we think
Sino-Forest can overcome the damage to its reputation, gain
access to capital to repay its debts, and transition to a
sustainable business model," S&P added.
TONGJI HEALTHCARE: Incurs US$84,000 Net Loss in Second Quarter
--------------------------------------------------------------
Tongji Healthcare Group, Inc., filed with the U.S. Securities and
Exchange Commission its quarterly report on Form 10-Q reporting a
net loss of US$84,228 on US$594,672 of total operating revenue
for the three months ended June 30, 2011, compared with a net
loss of US$170,272 on US$463,696 of total operating revenue for
the same period during the prior year.
The Company also reported a net loss of US$22,885 on
US$1.22 million of total operating revenue for the six months
ended June 30, 2011, compared with a net loss of US$292,282 on
US$848,463 of total operating revenue for the same period a year
ago.
The Company's balance sheet at June 30, 2011, showed
US$9.28 million in total assets, US$9.09 million in total
liabilities, all current, and US$184,654 total stockholders'
equity.
A full-text copy of the Form 10-Q is available for free at:
http://is.gd/sKA2GB
About Tongji Healthcare
Based in Nanning, Guangxi, the People's Republic of China, Tongji
Healthcare Group, Inc., was incorporated in the State of Nevada
on December 19, 2006. The Company operates Tongji Hospital,
a general hospital with 105 licensed beds.
The Company reported a net loss of US$56,232 on US$1.92 million
of total operating revenue for the year ended Dec. 31, 2010,
compared with a net loss of US$324,335 on US$1.87 million of
total operating revenue during the prior year.
As reported by the TCR on April 25, 2011, Kabani & Company, Inc.,
in Los Angeles, Calif., noted that the Company's significant
operating losses and insufficient capital raise substantial doubt
about its ability to continue as a going concern.
================
H O N G K O N G
================
JAPAN LEASING: Final Meetings Set for Sept. 21
----------------------------------------------
Members and creditors of Japan Leasing (Hong Kong) Limited will
hold their final meetings on Sept. 21, 2011, at 10:00 a.m., and
10:30 a.m., respectively at 27/F, Alexandra House, at 18 Chater
Road, Central, in Hong Kong.
At the meeting, Jacky CW Muk, the company's liquidator, will give
a report on the company's wind-up proceedings and property
disposal.
KPN WHOLESALE: Chiu and Har Step Down as Liquidators
----------------------------------------------------
Ying Hing Chiu and Chan Mi Har stepped down as liquidators of KPN
Wholesale Voice Services Hong Kong Limited on July 27, 2011.
LEE SANG: Final Meetings Set for Sept. 20
-----------------------------------------
Shareholders and creditors of Lee Sang Tsan Feedmill Company
Limited will hold their final meetings on Sept. 20, 2011, at 2:30
p.m., and 3:00 p.m., respectively at the office of Ray K.W. Lui &
Co. at Room 701, 7/F, Fourseas Building, at Nos. 208-212 Nathan
Road, Jordan, in Kowloon, Hong Kong.
At the meeting, Lui King Wai, the company's liquidator, will give
a report on the company's wind-up proceedings and property
disposal.
LEHMAN BROTHERS: HKMA Reports Progress of Probe on Minibond Cases
-----------------------------------------------------------------
The Hong Kong Monetary Authority (HKMA) announced Aug. 12 that
investigation of over 99% of a total of 21,817 Lehman-Brothers-
related complaint cases received has been completed. These
include:
* 15,338 cases which have been resolved by a settlement
agreement reached under section 201 of the Securities and
Futures Ordinance;
* 2,644 cases which have been resolved through the enhanced
complaint handling procedures required by the settlement
agreement;
* 2,565 cases which were closed because insufficient prima
facie evidence of misconduct was found after assessment or
no sufficient grounds and evidence were found after
investigation;
* 886 cases (including minibond cases) which are under
disciplinary consideration after detailed investigation by
the HKMA, of which proposed disciplinary notices are being
prepared in respect of 711 such cases and proposed
disciplinary notices or decision notices have been issued
in respect of the other 175 cases; and
* 257 cases in respect of which investigation work has been
completed and are going through the decision process to
decide whether there are sufficient grounds for
disciplinary actions or whether the cases should be closed
because of insufficient evidence or lack of disciplinary
grounds.
Investigation work is underway for the remaining 125 cases.
A table summarizing the progress of the disciplinary and
complaint-resolution work in respect of Lehman-Brothers-related
complaints is available at http://ResearchArchives.com/t/s?76ad
About Lehman Brothers
Lehman Brothers Holdings Inc. -- http://www.lehman.com/-- was
the fourth largest investment bank in the United States. For
more than 150 years, Lehman Brothers has been a leader in the
global financial markets by serving the financial needs of
corporations, governmental units, institutional clients and
individuals worldwide.
Lehman Brothers filed for Chapter 11 bankruptcy Sept. 15, 2008
(Bankr. S.D.N.Y. Case No. 08-13555). Lehman's bankruptcy
petition disclosed US$639 billion in assets and US$613 billion in
debts, effectively making the firm's bankruptcy filing the
largest in U.S. history. Several other affiliates followed
thereafter.
Additional units, Merit LLC, LB Somerset LLC and LB Preferred
Somerset LLC, sought for bankruptcy protection in December 2009
or more than a year after LBHI and its other affiliates filed
their bankruptcy cases.
The Debtors' bankruptcy cases are handled by Judge James M. Peck.
Harvey R. Miller, Esq., Richard P. Krasnow, Esq., Lori R. Fife,
Esq., Shai Y. Waisman, Esq., and Jacqueline Marcus, Esq., at
Weil, Gotshal & Manges, LLP, in New York, represent Lehman. Epiq
Bankruptcy Solutions serves as claims and noticing agent.
Dennis F. Dunne, Esq., Evan Fleck, Esq., and Dennis O'Donnell,
Esq., at Milbank, Tweed, Hadley & McCloy LLP, in New York, serve
as counsel to the Official Committee of Unsecured Creditors.
Houlihan Lokey Howard & Zukin Capital, Inc., is the Committee's
investment banker.
On Sept. 19, 2008, the Honorable Gerard E. Lynch of the U.S.
District Court for the Southern District of New York, entered an
order commencing liquidation of Lehman Brothers, Inc., pursuant
to the provisions of the Securities Investor Protection Act (Case
No. 08-CIV-8119 (GEL)). James W. Giddens has been appointed as
trustee for the SIPA liquidation of the business of LBI.
The Bankruptcy Court has approved Barclays Bank Plc's purchase
of Lehman Brothers' North American investment banking and
capital markets operations and supporting infrastructure for
US$1.75 billion. Nomura Holdings Inc., the largest brokerage
house in Japan, purchased LBHI's operations in Europe for US$2
plus the retention of most of employees. Nomura also bought
Lehman's operations in the Asia Pacific for US$225 million.
International Operations Collapse
Lehman Brothers International (Europe), the principal UK trading
company in the Lehman group, was placed into administration,
together with Lehman Brothers Ltd, LB Holdings PLC and LB UK RE
Holdings Ltd. Tony Lomas, Steven Pearson, Dan Schwarzmann and
Mike Jervis, partners at PricewaterhouseCoopers LLP, have been
appointed as joint administrators to Lehman Brothers
International (Europe) on Sept. 15, 2008. The joint
administrators have been appointed to wind down the business.
Lehman Brothers Japan Inc. and Lehman Brothers Holdings Japan
Inc. filed for bankruptcy in the Tokyo District Court on
Sept. 16. Lehman Brothers Japan Inc. reported about JPY3.4
trillion (US$33 billion) in liabilities in its petition.
Bankruptcy Creditors' Service, Inc., publishes Lehman Brothers
Bankruptcy News. The newsletter tracks the Chapter 11 proceeding
undertaken by Lehman Brothers Holdings, Inc., and other
insolvency and bankruptcy proceedings undertaken by its
affiliates. (http://bankrupt.com/newsstand/or 215/945-7000)
MANLEY HIGH: Members' Final Meeting Set for Sept. 19
----------------------------------------------------
Members of Manley High Investments Limited will hold their final
meeting on Sept. 19, 2011, at 11:00 a.m., at 15/F, Empire Land
Commercial Centre, at 81-85 Lockhart Road Wanchai, in Hong Kong.
At the meeting, Yu Tak Yee Beryl and Choi Tze Kit Sammy, the
company's liquidators, will give a report on the company's wind-
up proceedings and property disposal.
METRO SPORT: Members' Final Meeting Set for Sept. 22
----------------------------------------------------
Members of Metro Sport Merchandising (HK) Limited, which is in
members' voluntary liquidation, will hold their final meeting on
Sept. 22, 2011, at 10:00 a.m., at 25/F., Wing On Centre, at
111 Connaught Road Central, in Hong Kong.
At the meeting, Kong Chi How Johnson, the company's liquidator,
will give a report on the company's wind-up proceedings and
property disposal.
NICHIMAN INT'L: Members' Final Meeting Set for Sept. 19
-------------------------------------------------------
Members of Nichiman International (HK) Limited will hold their
final meeting on Sept. 19, 2011, at 11:00 a.m., at 8th Floor,
Gloucester Tower, The Landmark, at 15 Queen's Road Central, in
Hong Kong.
At the meeting, Iain Ferguson Bruce, the company's liquidator,
will give a report on the company's wind-up proceedings and
property disposal.
SEAGRAM C.I.: Members' Final General Meeting Set for Sept. 20
-------------------------------------------------------------
Members of Seagram C.I. (Taiwan) Company Limited will hold their
final general meeting on Sept. 20, 2011, at 10:00 a.m., at 42/F.,
Central Plaza, at 18 Harbour Road, Wanchai, in Hong Kong.
At the meeting, Chan Wai Hing, the company's liquidator, will
give a report on the company's wind-up proceedings and property
disposal.
=========
I N D I A
=========
ABHAY COTEX: CRISIL Ups Rating on INR138.4MM Loan to 'CRISIL B+'
----------------------------------------------------------------
CRISIL has upgraded its rating on the bank facilities of Abhay
Cotex Pvt Ltd to 'CRISIL B+/Stable' from 'CRISIL C' and has
reaffirmed its 'CRISIL A4' rating on the company's bank guarantee
facility.
Facilities Ratings
---------- -------
INR60 Million Cash Credit CRISIL B+/Stable
(Upgraded from 'CRISIL C')
INR138.4 Million Long-Term Loan CRISIL B+/Stable
(Upgraded from 'CRISIL C')
INR15 Million Bank Guarantee CRISIL A4 (Reaffirmed)
The rating upgrade reflects CRISIL's belief that ACPL will
sustain its improved liquidity on the back of stabilization of
operations at its manufacturing facility in Jalna (Maharashtra).
Despite a delay, ACPL has been able to ramp up the throughput at
its plant; this along with improved operating efficiency has
helped the company post healthy cash accruals in its first full
year of operations. ACPL registered sales of over INR924 million
in 2010-11 (refers to financial year, April 1 to March 31), with
an operating margin of 15 per cent, thereby generating adequate
accruals to cover the term loan liabilities on a timely basis
over the past six months through August 2011. Though the company
is undertaking a large capital expenditure (capex) programme of
about INR500 million, prudent project funding of debt-to-equity
ratio of 1 time, and expected well spacing of the fresh term
loans, would ensure that the liquidity is not too weak from the
current levels.
The ratings reflect ACPL's working-capital-intensive operations,
susceptibility to intense competition in the cotton seed industry
and to volatility in raw material prices, and exposure to
project-related risks. These rating weaknesses are partially
offset by ACPL's above-average operating efficiency backed by
latest technology plant, and the extensive industry and technical
experience of its promoter in the edible oils industry.
Outlook: Stable
CRISIL believes that ACPL will continue to benefit from the
experience and technology and process orientation of its
promoters and steady demand for its products, over the medium
term. The outlook may be revised to 'Positive' in case of stark
improvement in liquidity either by way of infusion of long-term
sources of funds or through significant scale up in operations
with sustained profitability at the existing plant. Conversely,
the outlook may be revised to 'Negative' in case the scaling up
of ACPL's operations takes longer than envisaged or if there is
any significant time or cost overrun in the upcoming plant, or
any unprecedented stretch in the working capital cycle, thereby
adversely impacting the company's overall credit risk profile.
About Abhay Cotex
Incorporated in 2007 by Mr. Ashish Mantri, ACPL commenced
commercial production in January 2010 at its manufacturing
facility in Jalna. The company is into cotton seed solvent
extraction, cotton seed de-oiled cakes, and crude cotton seed
oil, with the latest technology modified and developed in-house
by Mr. Ashish Mantri and Mr. Doda Prasad. ACPL has installed
capacity of 180,000 tpa. Cotton seed edible oil and de-oiled cake
contribute 40 per cent each to the topline while the rest is
contributed by hull and lints. Domestic sales contributed more
than 60 per cent to the topline and the rest from exports. ACPL
is currently undertaking a capex of INR500 million to set up
another plant at Dhulia (Maharashtra), with an installed
production capacity of 600 tpd; the plant will be based on the
new modified technology developed by ACPL. The capex will be
funded through equity infusion of INR130 million, compulsorily
convertible preference share capital of INR130 million from Small
Enterprise Assistance Fund, term loan of INR210 million, and the
rest through internal accruals.
ACPL reported a profit after tax (PAT) of INR44.5 million on an
operating income of INR923.9 million for 2010-11, against a net
loss of INR1.7 million on an operating income of INR220.5 million
for 2009-10.
AKIK TILES: ICRA Assigns [ICRA]BB- Rating to INR10cr Cash Credit
----------------------------------------------------------------
ICRA has assigned an '[ICRA]BB-' rating to the INR10.00 crores
cash credit facility, INR7.10 crores Term loan and INR3.80 crores
Corporate loan of Akik Tiles Limited. The outlook for the rating
is stable. ICRA has also assigned an [ICRA]A4 rating to the
INR0.11 crores non-fund based, Credit Exposure Limit (CEL)
Facility of Akik Tiles Limited.
The ratings are constrained by the modest scale of operations in
relation to other larger organized ceramic tile manufacturers,
highly competitive nature of the ceramic tile industry resulting
from large established tile manufacturers and unorganized
players. The ratings also take into account the vulnerability of
profitability to the cyclicality associated with the real estate
industry and to the increasing prices of gas- a major source of
fuel.
The ratings however favorably consider the extensive experience
of the promoters in the tiles industry and the positive demand
outlook for ceramic tiles in India due to the steady revival of
the real estate sector. The ratings also take into account the
fact that the company is a part of Swastik group and high brand
visibility of brand 'Swastik' in various states including
Gujarat, Maharashtra, A.P. and Kerala.
Akik Tiles Limited is a ceramic tile manufacturer with its plant
situated at Mehsana, Gujarat. The company was acquired by the
promoters Mr. Girishbhai J. Patel and Mr. Pankajbhai N. Patel in
the year 2003. Subsequently few more companies were either set up
or acquired to form what is now called 'Swastik Group' having
presence across all varieties of tiles including ceramic floor &
wall tiles, parking tiles, vitrified tiles and porcelain tiles.
The plant has an installed capacity of 35000 MTPA for production
of ceramic tiles which translates into ~200,000 boxes per year.
The company has recently commenced the production of quartz tiles
with an installed plant capacity of 150,000 sq. ft. per month.
Recent Results
For the year ended 31st March 2011, the company reported an
operating income of INR32.11 crores and profit after tax of
INR2.05 crores (provisional unaudited results).
ALLIANCE MINERALS: Improvements Cue Fitch to Raise Low-B Ratings
----------------------------------------------------------------
Fitch Rating has upgraded India-based Alliance Minerals Private
Limited's National Long-Term rating to 'Fitch B(ind)' from
'Fitch B-(ind)'. The Outlook is Stable.
AMPL:
-- INR270m long-term loan (reduced from INR279m): upgraded to
'Fitch B(ind)' from 'Fitch B-(ind)';
-- INR220m fund- based working capital limit (increased from
INR157.5m): upgraded to 'Fitch B(ind)' from 'Fitch B-(ind)'
and affirmed at 'Fitch A4(ind)'; and
-- INR10m non-fund based working capital limit (increased from
INR5m): affirmed at 'Fitch A4(ind)'.
The upgrades reflect the significant improvement in AMPL's
financial profile in FY11. As per company's FY11 (audited)
results, its revenue grew by 81% yoy to INR637.2 million, with
EBITDA margin improving to 18.6% (FY10: 7.2%) primarily due to a
24% yoy increase in its capacity utilization as well as from
better sales realization and operational efficiency.
Consequently, its gross interest coverage improved to 1.9x in
FY11 from 0.4x in FY10, while its net leverage (adjusted debt net
of cash/operating EBITDA) improved to 5.07x from 24.5x during the
same period.
The ratings further reflect the extensive experience of AMPL's
promoters and group companies in minerals business. Also, the
promoters had provided unsecured loans to AMPL in the past.
The ratings are however constrained by AMPL's limited track
record, high working capital intensity as well as from the
fragmented and intensively competitive nature of the industry.
Also, the company is exposed to adverse movements in exchange
rates as it is an export oriented unit. Further, it faces
geographic concentration as a major portion of its revenue comes
from the USA and EU. The above factors may cause liquidity
pressures, and hence managing working capital would be a key
challenge for the company.
Negative rating guidelines include any unanticipated liquidity
pressures on AMPL, resulting in over utilization of its working
capital and net debt/EBITDA exceeding 6.5x. Positive rating
guidelines would beinclude a strong ramp up in the company's
revenues and its ability to maintain existing level of EBITDA
margin and net leverage.
Incorporated in 1998, AMPL is a Chennai-based company. It is
involved in the processing and exporting of granite slabs.
ARJUNA COTTON: ICRA Rates INR12.5cr Long-Term Loan at '[ICRA]B+'
----------------------------------------------------------------
An '[ICRA]B+' rating has been assigned to the INR12.50 crore,
long term, fund-based bank facilities of of Arjuna Cotton and
Spinning Mills Private Limited (erstwhile Arjuna Cotton and
Spinning Mills Limited).
The rating favorably considers the comfortable coverage
indicators of the company and the financial flexibility of the
promoters which provides comfort to an extent. ICRA also
favorably factors in the experience of the promoters', in the
edible oil industry and in similar lines through group companies.
The rating incorporates the thin profitability margins inherent
to the industry and modest scale of operations of ACSMPL which
limits the benefits arising from economies of scale. The thin
profitability margin is on account of the cyclicality of the raw
material availability coupled with its dependence on
uncontrollable agro-climatic conditions leading to uncertainty in
the capacity utilization of the plants.
However, retailing of edible oil will enable a higher capacity
utilization in the future, although this move will also entail
higher costs. The ratings also reflect the intensely competitive
nature of the industry, limiting the bargaining power available
the company has with both its suppliers and customers and
exposing the company to price parity risk. Although, the company
has both oil expelling facility and refining facility, the
company is unable to optimally use the refining capacity for
cottonseed oil, due to high transportation costs, which further
reduces competitiveness of the company.
About Arjuna Cotton
Arjuna Cotton and Spinning Mills Private Limited (erstwhile
Arjuna Cotton and Spinning Mills Limited) was incepted in 1994
with the aim of setting up of a spinning mill. However, due to
the adverse market conditions prevalent at that time, the
spinning mill was not feasible, hence the promoters set up an oil
mill at Beed, Maharashtra, in 1999 and an oil refinery setup in
Dhanore, Maharashtra. ACSMPL is mainly engaged in processing
cottonseed to manufacture washed cottonseed oil and cotton seed
cake at its Beed plant and the refinery at Dhanore procures crude
oils, specifically cottonseed, soybean, palm and sunflower, from
importers and produces refined oil for human consumption. The
company recently setup a filling and sealing unit at its refinery
plant to retail the refined oil under its own brands.
Recent Results
For the 12 months period ending March 31, 2011, ACSMPL reported a
provisional profit after tax (PAT) of INR0.61 crore on revenues
of INR37.24 crore as against a PAT of INR0.006 crore on revenues
of INR13.28 crore for the twelve months ending March 31, 2010
CHOICE PRECITECH: CRISIL Lifts INR18MM Loan Rating to 'CRISIL B+'
-----------------------------------------------------------------
CRISIL has upgraded its ratings on the bank facilities of Choice
Precitech India Pvt Ltd to 'CRISIL B+/Stable/CRISIL A4' from
'CRISIL D'.
Facilities Ratings
---------- -------
INR18.00 Million Long-Term Loan CRISIL B+/Stable (Upgraded
from 'CRISIL D')
INR55.00 Million Cash Credit CRISIL B+/Stable (Upgraded
from 'CRISIL D')
INR16.10 Million Proposed LT Bank CRISIL B+/Stable (Assigned)
Loan Facility
INR6.30 Million Bank Guarantee CRISIL A4 (Upgraded from
'CRISIL D')
INR2.50 Million Letter of Credit CRISIL A4 (Assigned)
The upgrade reflects timely debt servicing by Choice over the 12
months ended April 2011, supported by improvement in its
liquidity. Choice increased its scale of operations and net cash
accruals during 2010-11 (refers to financial year, April 1 to
March 31) by adding 12 injecting moulding machines for
manufacturing Compact Fluorescent (CFL) lamp holders. Liquidity
improved also because of enhancement in cash credit limits in
August 2010 to INR55 million from INR40 million. The upgrade also
factors in CRISIL's belief that Choice will continue to generate
adequate cash accruals to meet its debt obligations in a timely
manner over the medium term.
The ratings reflect Choice's limited financial flexibility
because of its high gearing and small net worth, working-capital-
intensive operations, and susceptibility of its margins to
volatility in raw material prices. These rating weaknesses are
partially offset by Choice's promoters' extensive experience in
the casting and forging industry, and healthy profitability
leading to comfortable debt protection metrics.
Outlook: Stable
CRISIL believes that Choice will continue to benefit over the
medium term from its promoter's extensive industry experience and
its strong clientele. The outlook may be revised to 'Positive' if
Choice scales up its operations and increases cash accruals on a
sustained basis, while improving its working capital management.
Conversely, the outlook may be revised to 'Negative' if Choice's
margins deteriorate significantly, or the company undertakes a
larger-than-expected debt-funded capital expenditure (capex)
programme, resulting in deterioration in its capital structure.
About Choice Precitech
Set up in 1994 by Mr. B Narayana Murthy in Hyderabad, Choice is a
family-owned company, and manufactures moulds for industrial
plastics, glass bulb shell moulds, sheet metal components, and
forging components. It also undertakes job work for manufacture
of critical components used in tractors and hydraulic pumps. Its
manufacturing unit is in Hyderabad.
Choice reported a profit after tax (PAT) of INR1.5 million on net
sales of INR71.6 million for 2009-10, against a PAT INR0.6
million on net sales of INR54.2 million for 2008-09. The company
reported, on provisional basis, revenues of around INR105 million
for 2010-11.
DAIWIK HOTELS: ICRA Assigns '[ICRA]BB-' Rating to INR24.5cr Loan
----------------------------------------------------------------
ICRA has assigned an '[ICRA]BB-' rating to the INR24.50 crore
term loans of Daiwik Hotels Private Limited. The outlook on the
long term rating is stable.
The rating takes into account DHPL's low funding risk as almost
the entire debt for the two existing projects has been tied up;
access to established distribution network of MARG Hospitality
Private Limited and the favorable demand outlook of the religious
tourism sector. The rating is, however, constrained by the
company's exposure to project implementation risks as any further
delay in project execution would lead to time and cost over-runs
with construction yet to commence at Tirupati project, although
Rameshwaram project is at an advanced stage of completion. The
rating also take note of the single property concentration risk
in the medium term as the entire revenues for the company would
be derived from its Rameshwaram property and the limited
experience of the promoters in the hotel industry, however
management contract with MHPL mitigates the operational risk to a
large extent.
ICRA notes that DHPL has plans to increase its presence in the
major religious destinations that would mitigate the single
property concentration risks in the medium to long term, however
the same would entail a significant capital expenditure (capex),
the funding pattern of which has not been finalized yet. The
rating also takes into consideration the presence of a large
number of unorganized players in the hotel business at
Rameshwaram and Tirupati that is likely to exert pressure on the
average room rents (ARRs) of DHPL.
About Daiwik Hotels
Incorporated in 2006, DHPL has been promoted by Mr. Debashis
Ghosal, Mr. Vikash Saraf and Mr. Arvind Bansal. DHPL intends to
set up - hotels at major religious destinations across India
under the brand 'Daiwik'. To begin with, DHPL is setting up
hotels at Rameshwaram and Tirupati. The hotel in Rameshwaram is
expected to start commercial operation in early 2012. The
construction work at Tirupati is expected to commence in
Q2FY2012.
GLADDER CERAMICS: ICRA Rates INR9cr Cash Credit at '[ICRA]BB-'
--------------------------------------------------------------
ICRA has assigned an '[ICRA]BB-' rating to the INR9.00 crores
cash credit facility and INR7.74 crores term loan of Gladder
Ceramics Limited. The outlook for the rating is stable. ICRA has
also assigned an '[ICRA]A4' rating to the INR3.00 crores fund
based demand loan Facility and INR1.25 crores non-fund based Bank
Guarantee facility of Gladder Ceramics Limited.
The ratings factor in the stretched liquidity position of the
company consequent to high debt service obligations for the
company in the medium term. The ratings are also constrained by
lower acceptability of the product in the Indian market at
present, vulnerability of profitability to the cyclicality
associated with the real estate industry and to the increasing
prices of gas- the major source of fuel. The ratings also take
into account the stretched capital structure of the company as
indicated by gearing level of. 2.62 times as on 31st March 2011
and low coverage indicators. This has been primarily on account
of debt funded capital expenditure taken up by the company in
FY10 in order to increase the plant capacity.
The ratings however favorably consider the extensive experience
of the promoters in the tiles industry and the positive demand
outlook for tiles industry in India due to the steady revival of
the construction and real estate sector. The ratings also take
into account the fact that the company is a part of Swastik group
and has high visibility of brand 'Swastik' in various states
including Gujarat, Maharashtra, A.P. and Kerala.
About Gladder Ceramics
Gladder Ceramics Limited is a porcelain tile manufacturer with
its plant situated at Himmatnagar, Gujarat. The company was
incorporated in September 2002 and it was acquired by Swastik
group in June 2008. The company is part of Swastik Group having
presence across ceramic floor tiles & wall tiles (Akik Tiles
Ltd.), vitrified tiles (Swastik Ceracon Ltd.) and porcelain tiles
(GCL). GCL is promoted by Mr. Girish J. Patel, Mr. Jayeshbhai C
Patel and Mr. Pankaj Patel. The plant has an installed capacity
of 25.55 lac sq.ft. per annum which translates into ~1,100,000
boxes per year. GCL manufactures porcelain tiles of single size:
24' x 24'.
GREENLAND HOSPITALITY: ICRA Suspends 'LB+' INR16.5cr Loan Rating
----------------------------------------------------------------
ICRA has suspended the 'LB+' rating for the INR16.5 Crore bank
facilities of Greenland Hospitality Private Limited. The
suspension follows ICRA's inability to carry out a rating
surveillance in the absence of the requisite information from the
company.
According to its suspension policy, ICRA may suspend any rating
outstanding if in its opinion there is insufficient information
to assess such rating during the surveillance exercise. ICRA will
withdraw the rating in case it remains under suspension for a
period of three years.
HYDERABAD DUTY: ICRA Assigns '[ICRA]BB+' Rating to INR13cr Loan
----------------------------------------------------------------
ICRA has assigned an '[ICRA]BB+' rating to the INR13 crore term
loan programme and the INR4 crore fund based limits of Hyderabad
Duty Free Retail Limited. The outlook on the rating is stable.
ICRA has also assigned an '[ICRA]A4+' rating to the INR15 crore
non fund based limits of HDFRL.
The [ICRA]BB+/A4+ ratings factor in HDFRL's limited track record
of duty free operations at the Rajiv Gandhi International
Airport, Hyderabad, the low scale of operations and its high
financial risk profile given the operating and net losses in
2010-11 and the high level of leveraging. HDFRL, has, besides,
limited past experience in the operation of duty free outlets at
airports (since July 2010).
The rating however primarily draws comfort from HDFRL's strong
parentage, being a GMR Group company (100% held by GMR Hyderabad
International Airport Limited, rated at [ICRA]BBB/A3+). Though
HDFRL has a limited track record and a weak current financial
profile, the ratings draw comfort from the expected support from
GHIAL towards debt servicing and the synergies arising from
GHIAL's ownership of the Hyderabad Airport.
About Hyderabad Duty
HDFRL, a 100% subsidiary of GHIAL, operates duty free outlets at
the International Arrivals/Departures of GHIAL since July 2010.
HDFRL took over operations from the earlier concessionaire, M/s
Nuance. HDFRL operates under a revenue sharing arrangement with
GHIAL for a 15-year period (revenue share ranging from 22% to 30%
depending on the level of revenues).
In its first year of operations in 2010-11, HDFRL reported
revenues of INR11.13 crore and net losses of INR3.33 crore.
LARS ENVIRO: CRISIL Assigns 'CRISIL BB-' Rating to INR10.5MM Loan
-----------------------------------------------------------------
CRISIL has assigned its 'CRISIL BB-/Stable/CRISIL A4+' ratings to
the bank facilities of Lars Enviro Pvt Ltd.
Facilities Ratings
---------- -------
INR14.5 Million Cash Credit CRISIL BB-/Stable(Assigned)
INR10.5 Million Proposed LT CRISIL BB-/Stable(Assigned)
Bank Loan Facility
INR35 Million Bank Guarantee CRISIL A4+(Assigned)
The ratings reflect LEPL's modest scale of operations and its
presence in the highly competitive environment management systems
segment. These rating weaknesses are partially offset by the
extensive experience of LEPL's promoters marked by collaboration
with different players.
Outlook: Stable
CRISIL believes that LEPL will continue to benefit from the
extensive industry experience of its promoters, over the medium
term. The outlook may be revised to 'Positive' if the company
reports higher-than-expected growth in revenues and earnings,
while improving its debt protection metrics. Conversely, the
outlook may be revised to 'Negative' if LEPL's financial risk
profile deteriorates, because of substantially lower than
expected profitability or revenues, or higher than expected debt-
funded capital expenditure programme, or significant
deterioration in its working capital cycle.
About Lars Enviro
LEPL was promoted by Mr. B L Vaswani, a civil engineering, in
1997. The company is engaged in designing, engineering,
fabrication, erection, and commissioning of environment
management systems. Its product portfolio includes biomethanation
systems, effluent treatment systems, sewage treatment systems,
water treatment plants, sludge management systems, and wastewater
re-use and recovery systems. LEPL is an ISO 9001:2008 certified
company. It has a diversified clientele spread across distillery,
breweries, oil mills, pharmaceutical, and sugar and food
processing industries. LEPL has executed projects in Turkey,
Nepal, Dubai, Indonesia, and Sri Lanka. Mr. B L Vaswani is the
company's managing director and is supported by Dr. Ramesh
Daryapurkar, the company's chief executive officer. LEPL's
corporate office is located in Nagpur (Maharashtra).
LEPL reported on provisional basis profit after tax (PAT) of
INR8.3 million on net sales of INR241.3 million for 2010-11
(refers to financial year, April 1 to March 31), as against a PAT
of INR7.0 million on net sales of INR203.0 million for 2009-10
PKG CONSTRUCTION: CRISIL Rates INR20MM Cash Credit at 'CRISIL BB'
-----------------------------------------------------------------
CRISIL has assigned its 'CRISIL BB/Stable/CRISIL A4+' ratings to
the bank facilities of PKG Construction Pvt Ltd.
Facilities Ratings
---------- -------
INR20 Million Cash Credit CRISIL BB/Stable (Assigned)
INR60 Million Bank Guarantee CRISIL A4+ (Assigned)
The ratings reflect the extensive experience of PKGC's promoters
in the infrastructure industry. This rating strength is partially
offset by PKGC's relatively small scale of operations, small net
worth and limited earnings diversity.
Outlook: Stable
CRISIL believes that PKGC will benefit from the growth prospects
for the civil construction industry. The outlook may be revised
to 'Positive' if PKGC strengthens its business risk profile
through greater diversity, while maintaining its operating
margin, or by substantially increasing its scale of operations.
Conversely, the outlook may be revised to 'Negative' in case the
company undertakes any large additional debt-funded capital
expenditure (capex) programme, leading to deterioration in its
financial risk profile.
About PKG Construction
PKGC was incorporated in December 1995 to takeover the business
of the partnership firm M/s PKG Construction Corporation, which
was formed in 1993. The founders of the company are Mr. Prabir
Guha, Mr. Nirmal Kumar Basu, Mr. Niladri Kumar Basu and Mrs.
Bandana Guha, who are qualified engineers. PKGC is engaged in
piling, and civil and structural construction of various
industrial, building and infrastructural projects in India for
various public and private sector clients, including CESC
Limited, Indian Oil Corporation Limited, Bharat Heavy Electricals
Limited, Macmet India Ltd, and Hindalco Industries Limited.
PKGC reported a profit after tax (PAT) of INR12 million on net
sales of INR241 million in 2009-10 (refers to financial year,
April 1 to March 31), as against a PAT of INR7 million on net
sales of INR159 million in 2008-09.
POWERTREK INDUSTRIES: CRISIL Rates INR20MM Credit at 'CRISIL B+'
----------------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/ Stable/CRISIL A4' ratings to
the bank facilities of PowerTrek Industries.
Facilities Ratings
---------- -------
INR20 Million Cash Credit CRISIL B+/Stable (Assigned)
INR2 Million Long-Term Loan CRISIL B+/Stable (Assigned)
INR3 Million Proposed Long-Term CRISIL B+/Stable (Assigned)
Bank Loan Facility
INR40 Million Bill Discounting CRISIL A4 (Assigned)
INR20 Million Letter of Credit CRISIL A4 (Assigned)
The rating reflects PTI's small scale of operations, revenue
concentration risks, exposure to risks related to volatility in
raw material prices and cyclicality in end-user industries, and
vulnerability to intense competition because of low entry
barriers. These rating weaknesses are mitigated by PTI's
established regional presence in the metallic oxides industry,
and strong operational capabilities, and average financial risk
profile, marked by its small net worth.
Outlook: Stable
CRISIL believes that PTI will continue to benefit from its
established regional presence in the metallic oxides industry and
from its established customer relationships, which will lead to a
strong growth in its revenues and healthy profitability over the
medium term. The outlook may be revised to 'Positive' if the
firm's financial risk profile improves significantly because of
increased cash accruals, coupled with maintenance of a healthy
operating margin. Conversely, the outlook may be revised to
'Negative' if the firm's revenues and operating margin decline
significantly, or if it undertakes a larger-than-expected, debt-
funded capex programme.
About PowerTrek Industries
PTI, formed as proprietorship concern in 1995, was reconstituted
as a partnership firm during 2004. PTI manufactures metals and
metallic oxides, mainly lead oxides and lead alloys, which are
used in the manufacturing of batteries. PTI has its manufacturing
facilities in Vijayawada (Andhra Pradesh). PTI has installed
capacities of 9 tonnes per day (tpd) of smelting, 10 tpd of
refining and 14 tpd of oxidation processing. The firm's managing
partner Mr. D Purnachandra Rao has more than 36 years of
experience in similar lines of business. The firm is in the
process of expanding its refining capacities to 20 tpd at a cost
of INR5 million during 2011-12 (refers to financial year, April 1
to March 31). This would be debt funded to the extent of INR3.50
million. The commercial operations of the proposed project would
commence during October 2011.
PTI's profit after tax (PAT) and net sales for 2010-11 (refers to
financial year, April 1 to March 31) are estimated at INR4
million and INR200 million respectively. PTI reported a PAT of
INR14.7 million on net sales of INR219 million for 2009-10, as
against net losses of INR9.8 million on net sales of INR242
million for 2008-09.
RANGANAYAKA SPINNING: ICRA Reaffirms '[ICRA]BB' Term Loan Rating
----------------------------------------------------------------
ICRA has reaffirmed the '[ICRA]BB' rating outstanding on the
INR17.02 crore term loan facilities (enhanced from INR11.77
crore) and the INR9.00 crore fund based facilities (enhanced from
INR5.50 crore) of Ranganayaka Spinning Mills Private Limited.
The outlook on the long-term rating is stable. ICRA has also
reaffirmed the '[ICRA]A4' rating outstanding on the INR0.43 crore
non-fund based facilities of the Company. ICRA has withdrawn the
'A4' rating on the INR0.50 crore fund based facility and the
INR1.25 crore non-fund based facility of RSMPL.
The ratings consider the experience of promoters in the textile
industry of about three decades. The ratings also reflect RSMPL's
highly geared capital structure, stretched cash flows, and the
small scale of its operations, which restrict financial
flexibility and scale economics. High competition exists in the
highly fragmented industry structure, which restricts pricing
flexibility of spinners. Further, weak demand for yarn is likely
to have an adverse impact on revenue growth and profits in the
near term.
RSMPL, incorporated in 2006, commenced manufacturing operations
in April 2008 with an installed capacity of 4,800 spindles. Over
time, RSMPL has increased its capacity to 18,000 spindles. The
Company's production facility is located in Guntur, Andhra
Pradesh. RSMPL is closely held by the promoters and their
relatives/friends. RSMPL produces carded and combed cotton yarn
of coarse/medium counts. RSMPL sells its produce mainly in the
domestic market through agents and commenced export sales during
2010-11.
Recent Results
RSMPL reported net profit of INR2.8 crore on operating income of
INR32.8 crore during 2010-11, against net profit of INR1.4 crore
on operating income of INR21.0 crore during 2009-10.
RISHI AUROBINDO: ICRA Rates INR6.47cr Term Loan at '[ICRA]BB-'
--------------------------------------------------------------
ICRA has assigned '[ICRA]BB-' rating to the INR10.00 crore fund
based limits and INR6.47 crore term loan of Rishi Aurobindo
Educational Society. The outlook on the rating is stable.
The rating takes into account the relatively small scale of
operations of RAES, the uncertainty associated with its new
institutes, which till date have shown only moderate seat
occupancy, challenges involved in attracting high quality
students and faculty by private educational institutions, the
continuous need to maintain infrastructural facilities as well as
add fresh courses/colleges and cope with the regulatory
challenges involved in the domestic educational sector. The
rating also takes into account RAES's relatively high financial
risk profile as is reflected by its low profitability and high
gearing levels. However the rating is finds comfort from the
inherent predictability of revenues associated with educational
institutions, the long track record of the trustees in the field
of education, adequate infrastructure facilities, growing student
base and buoyant prospects for higher education in the country.
Rishi Aurobindo Educational Society was established in 1994.
College under this trust by the name of Chanderprabhu Jain
college of Higher Studies was started in years 2007. The college
is affiliated to Guru Gobind Singh Indraprastha University and
offers Bachelor of Business Administration( BBA), Bachelor of
Business Administration in Computer Aided Management( BBA- CAM),
Bachelor of Computer Applications( BCA) and Bachelor of Arts &
Legislative Law (B.A.L.L.B).The college is Recognized by Govt of
NCT Delhi.
Recent Results
In FY 2010-11, the society has reported an operating income (OI)
of INR5.51 crore with a net profit of INR0.45 crore (Provisional)
compared to an OI of INR3.87 crore and a net loss of INR0.75
crore in FY 2009-10.
SRI PARAMESWARI: ICRA Cuts Rating on INR40cr Loan to '[ICRA]B+'
---------------------------------------------------------------
ICRA has revised the rating outstanding on the INR40.00 crore
term loan facilities and INR20.00 crore long term fund based
facilities of Sri Parameswari Spinning Mills Private Limited from
'LBB' to '[ICRA]B+'. ICRA has reaffirmed '[ICRA]A4' rating
assigned to INR10.72 crore of non-fund based bank facilities of
the company.
The revision in the long term rating takes into account the sharp
deterioration in the company's debt coverage indicators, capital
structure and working capital intensity on account of the recent
debt funded capital expenditure undertaken by the company. Sub-
optimal capacity utilization on account of the tight power
situation and weak demand outlook is likely to put pressure on
growth in operating income for the current financial year.
Further, significant inventory accumulated at higher prices is
likely to stress the margins of the company given the sudden fall
in prices of cotton and yarn witnessed in the first quarter of
2011-12.
Furthermore, the ratings also factor in the intense competition
prevalent in the highly fragmented spinning industry which
restricts the pricing flexibility of the players. The ratings
factor in the management's experience in spinning, wide range of
counts and diversified customer base offering stability to the
revenues. The company's capital investments towards spindle
additions will support the revenue growth.
About Sri Parameswari
Sri Parameswari Spinning Mills Private Limited was formed in July
1980 by taking over a sick unit, Kamaraj Spinning Mills Private
Limited. The company's name was changed as Sinnamani Spinning
Mills Limited in 1983 and to the present one in 1995. The Company
operates as a 100% cotton spinning unit in Pandalgudi, Tamil
Nadu. The Company has been adding spindles over years and
currently it has an installed capacity of 90,984 spindles.
Recent Results
During the year ended March 31, 2011, SPSMPL reported net profit
of INR3.0 crore on operating income of INR104.5 crore
(provisional) as against a reported loss of INR1.6 crore on
operating income of INR61.5 crore during 2009-10. The company
posted loss of INR5.5 crore on net sales of INR24.6 crore for the
quarter ended June 30, 2011.
ST LAURN HOTELS: ICRA Reaffirms '[ICRA]B+' INR47cr Loan Ratings
---------------------------------------------------------------
ICRA has reaffirmed the '[ICRA]B+' rating assigned to the INR47.0
crore term loans of St Laurn Hotels Limited. ICRA has upgraded
the rating assigned to the INR2.9 crore short-term non-fund based
limits of SLHL from 'A5' to '[ICRA]A4'.
The ratings favourably factor in the location of the hotel in
Ahmedabad with proximity to the CBD of the city, the corporate
contracts SLHL has entered into which can help it generate steady
banqueting revenues and help it in brand building over the long
term, and the industry friendly policies of the Gujarat
government which is expected to attract investments to the state
thereby benefiting the business hotels in the region. The ratings
also take into consideration the company's small scale of
operations and its high geographical concentration on a single 5-
star hotel property in Ahmedabad.
The ratings are further constrained by the highly leveraged
capital structure of the company by virtue of debt funding for
the project and erosion of net-worth owing to losses. The
Ahmedabad market has witnessed deterioration in operating
parameters during the last year owing to change in market
dynamics with development of the new micro-market in SG Highway
which is away from the old CBD where St Laurn is located and the
incremental supply in the city. We believe the recovery in ARRs
could be slow considering the future supply in Ahmedabad which is
expected to double its inventory in 2-3 years. The ratings also
factor in the inherent cyclicality of the hospitality industry
and the competition the hotel faces from other 5-star hotels in
the vicinity.
About St Laurn Hotels
St Laurn Hotels Limited, incorporated in 2007, is a one hotel
company which owns and runs the 5-star hotel 'St Laurn Towers' at
Ahmedabad. The hotel is a 129 key property located at Ashram Road
in Ahmedabad. The hotel is a part of the chain St Laurn Hotels &
Resorts which currently has three other 5-star properties -- two
hotels in Pune and a resort in Shirdi all of which are held in
the group company Shirdi Country Inns Private Limited (rated LC).
The company is a part of the Lakshman Kariya Group which owns the
above mentioned St Laurn Hotels & Resorts chain. The group, apart
from hospitality, has also been engaged in real estate
development. The group is promoted by Mr. Lakshman Kariya who has
about 15 years of experience in the real estate industry. SLHL is
closely held company with the Kariya family holding 100% equity.
Recent Results
The company reported a net loss of INR6.02 crore on an operating
income of INR15.19 crore for the year 2010-11 as against a loss
of INR2.18 crore on an operating income of INR6.55 crore for the
year 2009-10.
SWASTIK CERACON: ICRA Puts '[ICRA]BB-' Rating on INR29.25cr Loan
----------------------------------------------------------------
ICRA has assigned an '[ICRA]BB-' rating to the INR11.00 crores
cash credit facility and INR29.25 crores term loan of Swastik
Ceracon Limited. The outlook for the rating is stable. ICRA has
also assigned an '[ICRA]A4' rating to the INR2.00 crores non-fund
based Bank Guarantee facility and INR3.00 crores Letter of Cedit
facility of Swastik Ceracon Limited.
The ratings are constrained by the limited track record of the
company, modest scale of operations as compared to other larger
organized tile manufacturers as well as weak financial profile
characterized by high gearing of 2.69 times and low interest
coverage indicator at 2.24 times and high debt repayment
commitments in the near term. The ratings also take into account
the vulnerability of profitability to the cyclicality associated
with the real estate industry and to the increasing prices of
gas, a major source of fuel.
The ratings however favorably consider the extensive experience
of the promoters in the tiles industry and the positive demand
outlook for tiles industry in India due to the steady revival of
the construction and real estate sector. The ratings also take
into account the fact that the company is a part of Swastik group
and high brand visibility of brand 'Swastik' in various states
including Gujarat, Maharashtra, A.P. and Kerala.
Swastik Ceracon Limited is a vitrified tile manufacturer with its
plant situated at Mehsana, Gujarat. The company was incorporated
as Marbolite Granito India Ltd. by Swastik group in the year
2007. Later the company was renamed as Swastik Ceracon Ltd. in
the year 2010. The company commenced the production in February
2008. The plant has an installed capacity of 65000 MTPA which
translates into -1,450,000 boxes per year.
Recent Results
For the year ended March 31, 2011, the company reported an
operating income of INR64.24 crores and profit after tax of
INR3.41 crores (provisional unaudited results).
TIRUPATHI YARNTEX: ICRA Reaffirms [ICRA]C+ INR18.2cr Loan Rating
----------------------------------------------------------------
ICRA has reaffirmed the '[ICRA]C+' rating outstanding on the
INR18.20 crore term loan facilities, the INR10.00 crore fund
based facilities and the INR0.50 crore non-fund based facilities
of Tirupathi Yarntex Spinners Private Limited. ICRA has revised
the rating outstanding on the INR1.50 crore non-fund based
facilities of TYSPL to '[ICRA]A4' from 'A5'.
The ratings consider the Company's weak financial profile, as
characterised by highly geared capital structure and weak
coverage indicators, the small scale of TYSPL's operations, which
restrict economies of scale and financial flexibility. The
ratings also consider the intense competition in the highly
fragmented industry structure which restricts pricing flexibility
of spinners. The demand for yarn remains weak, which is likely to
adversely impact revenue growth and profits in the near term. The
Company benefits from purchases being made through the Ramco
group (Textiles division), which entails better bargaining power
with suppliers.
About Tirupathi Yarntex
TYSPL, incorporated in 1996, is primarily engaged in production
of cotton yarn at its manufacturing facility located in
Rajapalayam (Tamil Nadu). The promoters hold the entire share
capital of the Company and are also engaged in agriculture
business. The Company, which commenced operations as a
partnership firm (M/s. Tirupathi Spinners) with an installed
capacity of 2,032 spindles, was converted into a private limited
company in 1996. The capacities were expanded over the years to
reach the current level of 31,272 spindles.
Recent Results
TYSPL reported net profit of INR0.04 crore on operating income of
INR65.3 crore during 2010-11 (according to unaudited results),
against net profit of INR0.3 crore on operating income of INR48.5
crore during 2009-10.
VARAD AGRI: ICRA Reaffirms '[ICRA]BB' INR20cr Loan Rating
---------------------------------------------------------
ICRA has reaffirmed the long term rating of '[ICRA]BB' to
INR20.00 crore line of credit of Varad Agri Tech Private Limited.
The outlook on the long term rating is stable.
The assigned rating favorably factors in the improved
realizations and profitability of the company in the last
financial year, its good track record reflected in repeat
business from its customers, company's established relationships
with the government agencies. The rating also takes into account
the significant experience and active involvement of the
promoters in the seeds business and the high growth potential in
India for the hybrid seeds industry.
However, the assigned rating is constrained by the company's
financial profile characterized by decrease in sales, weak debt
coverage indicators; and high competitive intensity in the
fragmented domestic seed industry. The operating profitability of
the company had been low due to absence of in-house research
capabilities and dependence on breeder seeds from agricultural
universities which are commoditized.
Varad Agri Tech Limited was incorporated in January 1996 and is
engaged in the production and marketing of commercial seeds;
mainly Groundnut, Bengal gram, Sunflower, Dhaincha and soyabean.
VATL produces - 60 varieties of commercial seeds of more than a
dozen agricultural crops. The company has a processing plant in
Kadapa district of Andhra Pradesh where the processing and
packaging of commercial seeds is done before they are dispatched
to the customers. VATL is a closely held company and is promoted
by Mr. A. Konda Reddy, Mr. A. Sanjeeva Reddy, Mr. G. Nagi Reddy,
and Mr. K. Surendra Reddy. The promoters are actively involved in
all the operations of the company such as procurement of breeder
seeds, production of foundation and commercial seeds; and selling
of the seeds to the government agencies.
In FY2011, VATL reported an operating income of INR71.92 crore,
operating profit of INR2.95 crore and net profit of INR1.07 crore
as per the provisional accounts.
VIJAY TECHNOLOGIES: CRISIL Reaffirms CRISIL D INR70MM Loan Rating
-----------------------------------------------------------------
CRISIL's rating on the bank facilities of Vijay Technologies
India Pvt Ltd continue to reflect instances of delay by VTIPL in
servicing its term loan; the delays have been caused by VTIPL's
weak liquidity.
Facilities Ratings
---------- -------
INR70 Million Rupee Term Loan CRISIL D (Reaffirmed)
INR40 Million Cash Credit CRISIL D (Reaffirmed)
INR5 Million Bank Guarantee CRISIL D (Reaffirmed)
INR10 Million Letter of Credit CRISIL D (Reaffirmed)
Update
After witnessing time and cost overruns, VTIPL commenced
operations of its three manufacturing lines in April 2011. The
conversions of heating lines from coal based to gas based, led to
a delay in commencement of operations and also increased the cost
of implementation for the company to INR120 million from INR85
million. With the upward revision in the project outlay, VTIPL
had contracted additional term loan of INR16.5 million.
VTIPL has reported sales of around INR22 million for the first
quarter of 2011-12 (refers to financial year, April 1 to March
31) and has an order book of around INR80 million in hand for the
next four months.
The repayment on the term loan contracted by VTIPL started in
December 2009 post restructuring. However, because of delays in
commissioning of the project, and the consequent strain on the
cash flows, the company has been paying its term loan obligations
with delays of around 45 days over the past few months.
Currently, the gap in cash flows and repayments are funded by the
promoters by way of infusion of unsecured loans.
About Vijay Technologies
Incorporated in 1989 by Mr. Jitendra Salot and his family, VTIPL
(formerly, Nevada Finvestrade Company Pvt Ltd) manufactures
surgical gloves, industrial gloves, and examination gloves. In
April 2011, VTIPL started operating three lines for the
manufacture of gloves
WINDSOR EXPORTS: CRISIL Rates INR70MM Term Loan at 'CRISIL BB'
-------------------------------------------------------------
CRISIL has assigned its 'CRISIL BB/Stable/CRISILA4+' ratings to
the bank facilities of Windsor Exports.
Facilities Ratings
---------- -------
INR70 Million Term Loan CRISIL BB/Stable (Assigned)
INR70 Million Packing Credit CRISIL A4+ (Assigned)
The rating reflects its moderate financial risk profile, marked
by moderate gearing, and debt protection metrics, and the
extensive experience of its promoters in trading of auto
components and agricultural equipments. These rating strengths
are partially offset by Windsor's large working capital
requirements and its susceptibility to geographical and customer
concentration in revenue profile and volatility in foreign
exchange rates.
Outlook: Stable
CRISIL believes that Windsor will continue to benefit from its
promoters' experience and its established customer relationship.
Its financial risk profile is also expected to remain moderate
with moderate gearing and debt protection measures. The outlook
may be revised to 'Positive' if there is a significant increase
in the firm's scale of operations thereby maintaining its
operating margins along with the sustenance of working capital
management. Conversely, the outlook may be revised to 'Negative'
if there is significant deterioration in financial risk profile
of firm due to stretch in collection of receivables or debt
funded capex or forex losses.
About Windsor Exports
Set up in 1996 as a partnership firm by Mr. Munish Gupta and
family, Windsor exports auto components and agricultural
equipments to Africa and South America. The firm trades
agricultural equipment under the Rhino brand, and auto components
under brand Windsor. It also manufactures hydraulic components,
and manufacturing sales comprise of around 5 per cent of its
revenues. In 2010-11 (refers to financial year, April 1 to March
31), the firm installed a 1.5 mega watt windmill in Rajasthan.
The firm currently has three partners, Mr. Munish Gupta, and his
nephews, Mr. Aman Singhal and Mr. Sachin Singhal. Windsor is a
group firm of Eastman International (rated CRISIL
BBB+/Stable/CRISIL A2), which exports bicycle components to
Africa.
Windsor is estimated to report book profits of INR31.6 million on
net sales of INR522.6 million for 2010-11, as against reported
book profit of INR1.5 million on net sales of INR418.5 million
for 2009-10.
YARLAGADDA EXPORTS: ICRA Reassigns '[ICRA]B+' to INR28cr Loan
-------------------------------------------------------------
ICRA has reassigned the rating on a long-term scale to INR28.00
crore fund based facilities of Yarlagadda Exports Private Limited
at '[ICRA]B+'. The fund based facilities were rated on a short-
term scale earlier and 'A4' rating was assigned.
The reassigned rating continues to take into account the
company's weak financial profile characterized by low
profitability due to trading nature of the business, stretched
coverage indicators and high customer concentration. The small
scale of operations makes the company vulnerable to intense
competition given the commoditized nature of the tobacco. The
rating however, favorably factors in promoters' experience in the
tobacco industry, company's established relationship with the
international buying agent and financial support from the
promoters in the form of regular equity infusion.
YEPL is engaged in merchant export of tobacco and sells the
entire quantity through Associated Tobacco Company (ATC), a
Luxembourg based buying agent for a number of international
cigarette manufacturers. Although the client concentration risk
is high, YEPL has stable relationship with ATC. Any movement in
market price of tobacco is borne by ATC and any major movement in
foreign exchange is adjusted mutually. Exports account for over
85% of the total revenues of YEPL and only by-products such as
stem, excess purchases and rejects by the customers are sold in
the domestic market. As the production and selling of FCV-
tobacco is regulated by the Tobacco Board in India, YEPL
purchases FCV tobacco from the auction platforms of the Tobacco
Board of India which accounts for around 80% of the tobacco
traded by YEPL. The remaining 20% is of the type of ACV, which is
not regulated by the Tobacco Board and is purchased directly from
the farmers. YEPL gets processing of raw tobacco leaves involving
threshing and drying from third parties on job work basis.
The merger of Fortune Tobacco Corporation (a Phillipine Tobacco
Company) and Philip Morris International had led to uncertainty
in demand as a result of which the operating income of YEPL
witnessed a de-growth of 50% from INR62.42 crore in FY 10 to
INR31.64 crore in FY 11. The gearing had declined significantly
from 5.05 times as on March 31, 2009 to 1.64 times as on March
31, 2011 because of reduced working capital borrowings. The
coverage ratios are weak with OPBDIT/I&F charges at 1.20 times
and NCA/Debt at 4% in FY 11. The working capital intensity is
high at 46% in FY 11.
About Yarlagadda Exports
Yarlagadda Exports Private Limited was incorporated in 1990 and
is engaged in exports of tobacco since FY 2000. The company is
promoted by Mr. Y. A. Chowdary who has been in this line of
business for over two decades. YEPL was awarded the 'Strivers
Award' during FY2006 & FY2007 from the Tobacco Board of India for
its highest compound growth in exports and is also a recognized
Export House by the Ministry of Commerce.
In 2010-11, YEPL reported an operating income of INR31.64 crore,
operating profit of INR1.73 crore as per the provisional numbers
provided by the company.
=================
I N D O N E S I A
=================
ALUCO: Moody's Withdraws 'B3' Corporate Family Rating
-----------------------------------------------------
Moody's Investors Service has withdrawn PT ALUCO's B3 corporate
family rating and the provisional (P)B3 senior secured bond
rating of the proposed senior secured notes to be issued by PT
Tranka Kabel, a 79.5% subsidiary owned by PT ALUCO, and
guaranteed by ALUCO and PT Tranka Kabel.
Ratings Rationale
Moody's has withdrawn the rating for its own business reasons.
Established in 2003, PT ALUCO, a private company, is a leading
manufacturer of cable in Indonesia, with an installed capacity of
110,000 metric tonnes per annum. The company specializes in high
voltage transmission cables, medium voltage transmission and
distribution cables, as well as special conductors. For 2010, the
company reported revenues of approximately US$366 million.
INDUSTRI KAPAL: Government to Inject IDR491.3 Billion in Funds
--------------------------------------------------------------
Antara News reports that Indonesian government through the Asset
Management Firm (PPA) will inject IDR491.3 billion in funds into
PT Industri Kapal Indonesia to save the dockyard firm.
"The bailout funds for IKI are part of the restructuring and
revitalizing of companies under the handling of the PPA. It has
won the approval of the Restructuring and Privatization
Committee," the news agency quotes State Enterprises Minister
Mustafa Abubakar as saying.
Antara relates that the disbursement of the bailout funds would
be carried out in two stages, namely IDR191.3 billion in the
first phase and the remaining one would amount to IDR300 billion.
With the first injection, the report notes, it was expected that
IKI would return to its operations in building ordered ships
whose construction so far had been delayed due to financial
crisis the company has faced.
According to the report, PT IKI has been halting its operations
due to its debts in the form of Investment Fund Account reaching
US$19.78 million, consisting of a debt principal worth US$12.9
million and in other forms of obligations valued at US$6.83
million.
The company also has debts in the rupiah form worth IDR6.33
billion, consisting of IDR990 million in debt principals and
IDR5.34 billion in the form of other obligations, Antara
discloses.
The news agency relates that the minister said that the injection
funds were not a state capital participation (PMN) but a bailout
fund from the PPA given as a loan for a working capital to be
repaid in the coming 7 to 8 years.
"IKI is to be injected with a capital so that it would be able to
operate again in repairing damaged ships and in building new
ones," Antara quoted the minister as saying.
The minister said that the disbursement of the second stage funds
amounting to IDR300 billion was intended as a working capital in
the framework of operational cooperation (KSO) in the
construction of ships with PT Krakatau Steel, PT Dok Perkapalan
Surabaya, PT Dok Kodja Bahari, PT Pal Indonesia, PT Pelni, and PT
Pertamina.
PT Industri Kapal Indonesia (Persero) operates shipbuilding yards
in East Indonesia. The company's activities include shipbuilding,
repairing and docking, steel contructions, ship conversion,
manufacturing of parts for factories, manufacturing of offshore
exploration equipment, container yards, and trading.
=========
J A P A N
=========
L-JAC 6: Moody's Reviews 'B2' Rating of Class E-1 Certificates
--------------------------------------------------------------
Moody's Japan K.K. has placed under review for possible downgrade
the ratings of Class A through G-1 of L-JAC 6 trust certificates.
Class A, Aa2 (sf) placed under review for possible downgrade;
previously, downgraded to Aa2 (sf) on January 27, 2010
Class B-1, A2 (sf) placed under review for possible downgrade;
previously, downgraded to A2 (sf) on January 27, 2010
Class C-1, Baa3 (sf) placed under review for possible downgrade;
previously, downgraded to Baa3 (sf) on January 27, 2010
Class D-1, Ba3 (sf) placed under review for possible downgrade;
previously, downgraded to Ba3 (sf) on January 27, 2010
Class E-1, B2 (sf) placed under review for possible downgrade;
previously, downgraded to B2 (sf) on January 27, 2010
Class F-1, B3 (sf) placed under review for possible downgrade;
previously, downgraded to B3 (sf) on January 27, 2010
Class G-1, B3 (sf) placed under review for possible downgrade;
previously, downgraded to B3 (sf) on January 27, 2010
Deal Name: L-JAC 6 Trust
Class: Class A through G-1 trust certificates
Issue Amount (initial): JPY97,500 million
Dividend: Floating
Issue Date (initial): November 12, 2007
Final Maturity Date: October, 2016
Underlying Asset (initial): Two non-recourse loans backed by real
estate
Originator: New Century Finance Co. Ltd. (as of the issue date)
Arranger: Lehman Brothers Japan Inc. (as of the issue date)
L-JAC 6 Trust, effected in November 2007, represents the
securitization of two loans backed by real estate (Loan 1 and
Loan 2).
The Originator entrusted the loans to the Asset Trustee, and
received the Class A through G-1, X-1 and X-2 trust certificates,
which it then sold through the Arranger to investors. The trust
certificates are rated by Moody's.
Dividend distribution will be made on a sequential basis at the
CMBS level. On the other hand, 80% of the principal repayments
from Loan 1 will be allocated to the corresponding classes on a
pro-rata pay basis in accordance with the outstanding balance of
each of the trust certificates. The remaining 20% will be
allocated to the classes on a sequential pay basis. The principal
collection from Loan 2 will be fully allocated to a corresponding
sub-class.
Should an underlying loan be accelerated and judged as no longer
recoverable by the Servicer, the unrecoverable amount of the
defaulted loan will be recognized as a loss. The loss will be
allocated to the most subordinated class corresponding to the
defaulted loan in the reverse order of sequential pay priority.
Two of the underlying loans are single asset loans backed by
office buildings located in central Tokyo. Moody's needs to re-
estimate the sustainable cash flows and values of these
underlying properties and will review the rating levels, in light
of the rental market conditions in sub-markets around these
properties.
In this review, Moody's will reconsider the performances of the
underlying properties on the basis of factors such as occupancy
rates and actual rent prices.
The principal methodology used in the rating was "Updated:
Moody's Approach to Rating CMBS Transactions in Japan (June
2010)" published on September 30, 2010, and available on
www.moodys.co.jp.
L-JAC 7: S&P Affirms Ratings on 17 Classes of Certs. at 'CCC'
-------------------------------------------------------------
Standard & Poor's Ratings Services lowered its ratings on the
class A to C trust certificates and a trust loan issued in March
2008 under the L-JAC 7 Trust Beneficial Interest and Trust Loan
(L-JAC 7) transaction, and removed the ratings from CreditWatch
with negative implications, where they were placed on April 27,
2011. "Meanwhile, we affirmed our 'CCC (sf)' ratings on 17 other
classes of trust certificates issued under the same transaction.
On July 26, 2010, we lowered the ratings on the class H-1, I-1,
J-1, and K-1 trust certificates to 'D (sf)', and on May 25, 2011,
we withdrew our rating on the class X trust certificates in
accordance with our revised methodology for rating interest-only
(IO) securities, which we published on April 15, 2011," S&P
related.
Of the four loans and four specified bonds (hereafter,
collectively referred to as "loans") that initially backed this
transaction, six loans remain, three of which have defaulted.
Although the servicer is currently engaged in selling the
properties backing the three defaulted loans, the sales of the
properties have not yet been completed, indicating that the
collection activities relating to the loans in question have not
progressed.
The downgrades and negative CreditWatch placements reflect these
factors:
One of the three defaulted loans (the loan originally
represented about 19% of the total initial issuance amount of
the trust certificates) is backed by four office and retail
buildings located in central Tokyo and central Osaka.
"Because collection activities that the servicer is
undertaking for these four properties have not progressed, we
have revised downward our assumption with respect to the
likely collection amount from the properties," S&P related.
"We currently assume the combined value of the properties that we
revised this time to be about 52% of our initial underwriting
value, while our revised value in March 2010 was about 64% of our
initial underwriting value," S&P related.
"Likewise, we have lowered our assumption with regard to the
likely collection amount from the properties backing two of the
transaction's remaining loans, which are due to mature in or
after September 2011 (the two loans originally represented a
combined 30% or so of the total initial issuance amount of the
trust certificates). We currently assume the combined value of
the properties backing the two loans that we revised this time to
be about 62% of our initial underwriting value. It is our view
that leasing and sales activities relating to one of the two
loans, which is backed by an office building in Koto Ward, Tokyo,
are progressing only slowly. This is because: (1) we were
informed that the Great East Japan Earthquake that struck
northeastern Japan on March 11, 2011, caused relatively severe
physical damage to the property, although the building's frame
suffered only limited damage; and (2) the area surrounding the
building was affected by soil liquefaction. As for the other
loan, it is backed by two office buildings situated in Japan's
Hokuriku (northwestern) region that weren't damaged by the March
11 earthquake," S&P related.
L-JAC 7 is a multiborrower commercial mortgage-backed securities
(CMBS) transaction. The trust certificates were initially secured
by four specified bonds and four nonrecourse loans that were
originally extended to eight obligors. The specified bonds and
nonrecourse loans were originally backed by 16 real estate
properties and real estate beneficial interests. The transaction
was arranged by Lehman Brothers Japan Inc., and Premier Asset
Management Co. is the servicer for the transaction.
"The ratings reflect our opinion on the likelihood of the full
and timely payment of interest and the ultimate repayment of
principal by the transaction's legal final maturity date in
October 2014 for the class A trust certificates and the trust
loan, and the full payment of interest and ultimate repayment of
principal by the legal final maturity date for the class B to J-2
certificates," S&P added.
Ratings Lowered, Off CreditWatch Negative
L-JAC 7 Trust Beneficial Interest and Trust Loan
JPY38.96 billion Trust certificates due October 2014
Class To From Initial issue amount
Coupon type
A BBB (sf) A+ (sf)/Watch Neg JPY11.75 bil.
Floating rate
Trust Loan BBB (sf) A+ (sf)/Watch Neg JPY8.50 bil.
Floating rate
B B (sf) BB+ (sf)/Watch Neg JPY3.15 bil.
Floating rate
C CCC (sf) B- (sf)/Watch Neg JPY3.14 bil.
Floating rate
Ratings Affirmed
Class Rating Initial issue amt. Coupon type
D-1 CCC (sf) JPY1.88 bil. Floating rate
D-2 CCC (sf) JPY1.10 bil. Floating rate
D-3 CCC (sf) JPY0.60 bil. Floating rate
E-1 CCC (sf) JPY0.61 bil. Floating rate
E-2 CCC (sf) JPY0.56 bil. Floating rate
E-3 CCC (sf) JPY0.27 bil. Floating rate
F-1 CCC (sf) JPY0.80 bil. Floating rate
F-2 CCC (sf) JPY0.49 bil. Floating rate
F-3 CCC (sf) JPY0.26 bil. Floating rate
G-1 CCC (sf) JPY0.71 bil. Floating rate
G-2 CCC (sf) JPY0.48 bil. Floating rate
G-3 CCC (sf) JPY0.26 bil. Floating rate
H-2 CCC (sf) JPY0.64 bil. Floating rate
H-3 CCC (sf) JPY0.30 bil. Floating rate
I-2 CCC (sf) JPY0.62 bil. Floating rate
I-3 CCC (sf) JPY0.33 bil. Floating rate
J-2 CCC (sf) JPY0.53 bil. Floating rate
MITSUBISHI MOTORS: S&P Revises Outlook on 'B+' CCR to Stable
------------------------------------------------------------
Standard & Poor's Ratings Services revised to stable from
negative its outlook on the 'B+' long-term corporate credit
rating on Mitsubishi Motors Corp., based on its expectation that
a faster recovery in production than S&P expected and a reduced
risk of erosion in its fair competitive position make it likely
that the company's gradual recovery in profitability and improved
financial profile will continue for the next few years. "At the
same time, we affirmed the 'B+' long-term corporate credit rating
on Mitsubishi Motors," S&P related.
Shortages of parts following the Great East Japan Earthquake on
March 11, 2011, had less effect on Mitsubishi Motors than on most
of its Japanese rivals, thanks to the concentration of all of its
assembly plants in western Japan and a parts ordering system that
features greater flexibility and more frequent requisitions than
is standard in the industry. In May 2011, the company posted a
higher level of production than it achieved in May 2010, after
recovering at a faster pace than we had anticipated in late
April.
"Although potential shortages of electricity this summer, winter,
and possibly next year still pose a risk to production in Japan,
we do not currently expect that this will result in a significant
cut in global production. For fiscal 2011 (ending March 31,
2012), the company forecasts retail sales of 1.075 million units
and plans to produce 1.17 million units -- increases of 9% and
6%, respectively, compared with fiscal 2010," S&P related.
"More importantly, continued solid performance in sales following
robust sales growth of 15% in fiscal 2010 leads us to conclude
that Mitsubishi Motors' current competitiveness is likely to
remain largely intact. In Russia, the company increased sales
volume 49% year on year in June and 135% year on year in the
first six months through June, outperforming the market. It has
also made a solid recovery in sales performance in ASEAN
countries in recent years," S&P stated.
"A faster recovery in production than we expected and reduced
risk of erosion in its competitive position lead us to believe
that Mitsubishi Motors is likely to continue the gradual path to
recovery in profitability it has demonstrated over the past two
years, and we believe it can maintain its improved financial
profile for the next one to two years. Over the next two years,
we expect the company to improve its operating margin to above 3%
from 2.2% in fiscal 2010 and its ratio of funds from operations
to total debt to about 10% on a fully adjusted basis for various
items including preferred shares. Relatively high capital
expenditures in fiscal 2011 may cause free operating cash flow to
temporarily turn negative, but this is likely to return to
positive in fiscal 2012. At the same time, however, we believe
Mitsubishi Motors' unresolved issues -- excess production
capacity in Europe and the U.S. and a large number of outstanding
preferred shares, on top of continuous pressure from a rising
yen, intensifying competition, high raw material costs, and
potentially volatile demand for vehicles -- will make it
difficult for the company to significantly improve its
profitability and financial risk profile," S&P related.
"The outlook on the long-term corporate credit rating on
Mitsubishi Motors is stable, reflecting our expectation that the
company is likely to continue a gradual recovery in profitability
and sustain its improved financial profile over the next one to
two years. We may lower the rating if we see the company's
profitability and cash flow as being likely to materially weaken,
due to, for example, a severe appreciation in the yen or
potentially volatile demand for vehicles, which would likely to
lead to significant deterioration in its financial risk profile,
as evidenced by large negative free operating cash flow or an
adjusted ratio of FFO to total debt below 10% for a protracted
period. Conversely, the company's financial policy may have a
material impact on its financial risk profile because its equity
includes large numbers of outstanding preferred shares. In our
view, how the company will address this issue and refine its
financial policy will be critical factors in our consideration of
any upgrade. We may raise the rating on Mitsubishi Motors if
it is likely to improve profitability in line with its midterm
plan and achieve FFO to total debt of 15% on a sustainable basis.
However, challenging business conditions, including the yen's
strength and intense competition, make it unlikely we will raise
the rating in the near term," S&P stated.
"We continue to incorporate ongoing support three core Mitsubishi
group companies extend to Mitsubishi Motors into the ratings on
the company. The companies, all instrumental in revitalizing
Mitsubishi Motors, are Mitsubishi Heavy Industries Ltd.
(BBB+/Stable/--), Mitsubishi Corp. (A+/Stable/A-1), and Bank of
Tokyo-Mitsubishi UFJ Ltd. (A+/Stable/A-1). While we expect
support from these companies to remain unchanged for the time
being, we will reflect any change in the level of support offered
by the group companies in our ratings on the company," S&P added.
Ratings List
Outlook Revised; Ratings Affirmed
To From
Mitsubishi Motors Corp. B+/Stable/-- B+/Negative/--
=========
K O R E A
=========
HYNIX SEMICONDUCTOR: STX in Talks with AAbar on Joint Bid
---------------------------------------------------------
MarketWatch reports that a person familiar with the matter said
STX Group, a South Korean shipping-to-shipbuilding conglomerate,
is in talks with Abu Dhabi's state-owned fund Aabar to jointly
bid for a stake in Hynix Semiconductor Inc.
"Even if we team up with the fund for Hynix bid, we will have the
management rights to the chip maker," the person told Dow Jones
Newswires by telephone, according MarketWatch.
STX and mobile carrier SK Telecom Co. separately started due
diligence on Hynix in late July, aiming to complete the process
by early September, with the final bid deadline set mid-September
date, MarketWatch reports.
Dow Jones Newswires has said creditors have been trying for years
to sell their shares in Hynix, which they took control of in 2001
following several debt-for-equity swaps after the chip maker
nearly collapsed due to weak market conditions.
The creditors, which include banks such as Korea Exchange Bank,
Woori Bank and Shinhan Bank as well as state-run Korea Finance
Corp., collectively hold about 15%, or 88.4 million shares, in
the chip maker.
Hynix Semiconductor Inc. -- http://www.hynix.com/-- is an
Icheon, South Korea-based memory semiconductor supplier offering
Dynamic Random Access Memory chips and Flash memory chips to a
wide range of established international customers. The Company's
shares are traded on the Korea Stock Exchange, and the Global
Depository shares are listed on the Luxemburg Stock Exchange.
* * *
As reported in the Troubled Company Reporter-Asia Pacific on
Nov. 26, 2010, Standard & Poor's Ratings Services revised the
outlook on its long-term corporate credit rating on Korea-based
Hynix Semiconductor Inc. to positive from stable, reflecting its
improving financial risk profile. At the same time, Standard &
Poor's affirmed the 'B+' long-term corporate credit rating on
Hynix. In addition, S&P raised the ratings on Hynix's senior
unsecured bonds to 'B+' from 'B', reflecting its opinion that the
potential for recovery in the event of default has improved.
===============
M A L A Y S I A
===============
SATANG HOLDINGS: Posts MYR4.39MM Net Income in Qtr Ended June 30
----------------------------------------------------------------
Satang Holdings Berhad reported net income of MYR4.39 million on
MYR16.21 million of revenues in the quarter ended June 30, 2011,
compared with net income of MYR258,000 on MYR16.41 million of
revenues in the same quarter in 2010.
The Company's balance sheet as of end-June showed MYR37.57
million in total assets, MYR22.62 million in total liabilities
and total shareholders' equity of MYR14.95 million.
A full-text copy of the Company's quarterly report is available
for free at http://ResearchArchives.com/t/s?76bc
About Satang Holdings
Satang Holdings Berhad, formerly Satang Jaya Holdings Berhad, is
engaged in the maintenance, repair and overhaul of aviation and
safety equipment and operations and principally in Malaysia.
Through its subsidiaries, the company is also engaged in the
supply and distribution of environmental products, providing
training and seminar in respect of environmental management
system and other related services; providing consultancy and
solution services and implementing of high-technology and
surveillance security systems and its related services;
supplying and servicing of pipe cleaning products and equipment,
and supplying and maintenance of marine safety and survival
equipment and accessories. Its subsidiaries include Satang
Environmental Sdn. Bhd., Satang Cylinder Services Sdn. Bhd., SAR
Services (M) Sdn. Bhd., Satang Hi-Tech Security Sdn. Bhd.,
Satsang-ICS global Sdn Bhd. and Port Marine Safety Services Sdn.
Bhd.
* * *
As reported by the Troubled Company Reporter-Asia Pacific on
May 13, 2008, the company triggered Paragraph 2.1 of the Amended
Practice Note 17/2005 as its independent auditor, Anuarul Azizan
Chew & Co., has concluded in its Audit Investigative Reports
that out of the MYR39.27 million alleged overstated revenue of
the company, MYR35.43 million represents invalid sales which
should not be recorded in the books for the financial year ended
Sept. 30, 2007.
VASTALUX ENERGY: Posts MYR83,228 Loss in 2nd Qtr Ended June 30
--------------------------------------------------------------
Vastalux Energy Berhad disclosed with the Bursa Stock Exchange
its unaudited financial results for second quarter ended June 30,
2011.
The Company posted a net loss of MYR83,228 on MYR235,175 of
revenues in the quarter ended June 30, 2011, compared with a net
loss of MYR7.21 million on MYR5.86 million of revenue in the same
quarter of 2010.
At June 30, 2011, the Company's consolidated balance sheet showed
MYR272.09 million in total assets, MYR223.29 million in total
liabilities, and MYR48.79 million in total stockholders' equity.
A full-text copy of the company's quarterly report is available
for free at http://ResearchArchives.com/t/s?76bb
Vastalux Energy Berhad (KUL:VASTALX) is a Malaysia-based
investment holding company. The Company, through Vastalux Sdn.
Bhd., is engaged in the provision of offshore and onshore hook-up
and commissioning, offshore topside and onshore facilities
maintenance services, offshore and onshore minor fabrication
works and charter of marine vessel. Its indirect subsidiaries
are Vastalux Fabricators Sdn. Bhd., which is engaged in workshop
and fabrications job; Vastalux Onshore Services Sdn. Bhd., which
is engaged in onshore construction of oil and gas plant; Vastalux
Capital Sdn. Bhd.; Vastalux E&C Sdn. Bhd., which is engaged in
the provision of top side major maintenance works; Vastalux
Offshore Services Sdn. Bhd., which is engaged in hook-up and
commissioning works; Vastalux Marine Sdn. Bhd.; Merak Utama Sdn.
Bhd, which is engaged in under water inspection for structural
integrity; PT Vastalux Energy; V-Factor Sdn. Bhd., and Vastalux-
Anpha Company Limited.
Vastalux Energy Berhad has been considered a PN17 Company
pursuant to Paragraph 2.1(e) of PN17.
The PN17 criteria was triggered as a result of an expressed
modified opinion with emphasis on the company's going concern on
the latest audited consolidated financial statements for the
financial year ended Dec. 31, 2009, and shareholders' equity
of the company on a consolidated basis as at September 30, 2010,
is less than 50% of the issued and paid-up share capital of VEB
as at Sept. 30, 2010.
On Feb. 23, 2011, the Company announced that pursuant to the
Winding-Up of Vastalux Sdn. Bhd., the Company had triggered
additional criteria under Paragraph 2.1 (c) of the PN 17 of the
Main Market Listing Requirements.
=================
S I N G A P O R E
=================
AMARU INC: Incurs US$353,000 Second Quarter Net Loss
----------------------------------------------------
Amaru, Inc., filed with the U.S. Securities and Exchange
Commission its quarterly report on Form 10-Q, reporting a net
loss attributable to equity holders of US$353,405 on US$1,096 of
revenue for the three months ended June 30, 2011, compared with a
net loss attributable to equity holders of US$202,081 on
US$38,753 of revenue for the same period a year ago.
The Company also reported a net loss attributable to equity
holders of US$795,602 on US$4,239 of total revenue for the six
months ended June 30, 2011, compared with a net loss attributable
to equity holders of US$572,723 on US$44,351 of total revenue for
the same period a year ago.
The Company's balance sheet at June 30, 2011, showed
US$2.99 million in total assets, US$3.48 million in total
liabilities, and a US$487,000 total stockholders' deficit.
As reported in the TCR on April 26, 2011, Mendoza Berger &
Company, LLP, in Irvine, California, expressed substantial doubt
about Amaru, Inc.'s ability to continue as a going concern,
following the Company's 2010 results. The independent auditors
noted that the Company has sustained accumulated losses from
operations totaling US$38.5 million at Dec. 31, 2010.
A full-text copy of the Form 10-Q is available for free at:
http://is.gd/fmpIXX
About Amaru Inc.
Singapore-based Amaru, Inc., a Nevada corporation, is in the
business of broadband entertainment-on-demand, streaming via
computers, television sets, PDAs (Personal Digital Assistant) and
the provision of broadband services. The Company's business
includes channel and program sponsorship (advertising and
branding); online subscriptions, channel/portal development
(digital programming services); content aggregation and
syndication, broadband consulting services, broadband hosting and
streaming services and E-commerce.
===============
T H A I L A N D
===============
CANADOIL ASIA: Insufficient Info Cues Fitch to Withdraw Ratings
---------------------------------------------------------------
Fitch Ratings (Thailand) Limited has downgraded Canadoil Asia
Limited's THB1 billion short-term bills of exchange (B/E)
programme to National Short-term 'B(tha)' from 'F3(tha)' and
withdrawn the rating.
The rating has been withdrawn because there is insufficient
information to maintain the rating. Fitch will no longer provide
ratings or analytical coverage on this issuer.
The downgrade reflects CASIA's worse-than-expected liquidity
management, following rescheduling of certain short-term loans.
Fitch views that the company is likely to be further exposed to
liquidity risk in 2011 as rising raw material costs put pressure
on working capital needs. CASIA's liquidity could also be
impacted by other related companies if it continues to provide
support to group companies. At end 2010, CASIA had unutilized
credit facilities of THB50.6 million and cash available of
THB2.9 million, underscoring its liquidity risks.
===============
X X X X X X X X
===============
* Large Companies with Insolvent Balance Sheets
-----------------------------------------------
Total
Total Shareholders
Assets Equity
Company Ticker (US$MM) (US$MM)
------- ------ ------ ------------
AUSTRALIA
ARTURUS CAPITAL AKW 12.27 -0.43
ARTURUS CAPITA-N AKWN 12.27 -0.43
ASTON RESOURCES AZT 469.54 -7.49
AUSTAR UNITED AUN 734.96 -173.09
AUSTRALIAN ZI-PP AZCCA 77.74 -2.57
AUSTRALIAN ZIRC AZC 77.74 -2.57
AUTRON CORP LTD AAT 32.50 -13.46
BCD RESOURCES OP BCO 27.90 -79.33
BCD RESOURCES-PP BCOCC 27.90 -79.33
BECTON PROPERTY BEC 369.83 -26.80
BIRON APPAREL LT BIC 19.71 -2.22
BREMER PARK LTD BPK 16.00 -6.90
CEC GROUP LTD CEG 95.67 -42.29
CENTRO PROPERTIE CNP 15,483.44 -349.73
CHEMEQ LTD CMQ 25.19 -24.25
COMPASS HOTEL GR CXH 88.33 -1.08
MACQUARIE ATLAS MQA 1,894.75 -230.50
MAVERICK DRILLIN MAD 24.66 -1.30
MISSION NEWENER MBT 20.38 -44.05
NATURAL FUEL LTD NFL 19.38 -121.51
ORION GOLD NL ORN 11.60 -10.91
POWERLAN LTD PWR 28.30 -3.64
REDBANK ENERGY L AEJ 3,564.36 -383.39
RESIDUAL ASSC-EE RAGXF 597.33 -126.96
RIVERCITY MOTORW RCY 386.88 -809.14
SCIGEN LTD-CUFS SIE 65.56 -38.80
SHELL VILLAGES A SVC 13.47 -1.66
STIRLING RESOURC SRE 31.19 -0.62
VIEW RESOURCES L VRE 11.81 -37.51
CHINA
BAOCHENG INVESTM 600892 36.34 -4.47
CHENGDE DALU -B 200160 29.42 -3.92
CHENGDU UNION-A 693 32.68 -15.13
CHINA FASHION CFH 10.11 -0.76
CHINA KEJIAN-A 35 95.09 -182.83
CONTEL CORP LTD CTEL 59.32 -45.72
DONGGUAN FANGD-A 600656 34.84 -41.32
DONGXIN ELECTR-A 600691 15.96 -19.92
GUANGDONG ORIE-A 600988 12.78 -5.53
GUANGDONG SUNR-A 30 111.22 0.00
GUANGDONG SUNR-B 200030 111.22 0.00
GUANGXIA YINCH-A 557 19.01 -42.85
HEBEI BAOSHUO -A 600155 132.22 -401.91
HEBEI JINNIU C-A 600722 249.41 -53.61
HUASU HOLDINGS-A 509 90.78 -4.91
HUNAN ANPLAS CO 156 43.92 -35.46
JILIN PHARMACE-A 545 35.52 -6.20
JINCHENG PAPER-A 820 212.09 -116.17
MUDAN AUTOMOBI-H 8188 29.41 -1.38
NINGBO YIDONG-H 8249 18.29 -53.42
QINGDAO YELLOW 600579 222.76 -9.10
SHANG BROAD-A 600608 50.03 -9.23
SHANG HONGSHENG 600817 15.87 -286.48
SHANXI GUANLU-A 831 331.55 -0.17
SHANXI LEAD IN-A 673 20.47 -1.89
SHENZ CHINA BI-A 17 20.97 -266.50
SHENZ CHINA BI-B 200017 20.97 -266.50
SHENZ INTL ENT-A 56 233.81 -22.28
SHENZ INTL ENT-B 200056 233.81 -22.28
SHENZHEN DAWNC-A 863 26.10 -161.49
SHENZHEN KONDA-A 48 116.99 -7.20
SHENZHEN ZERO-A 7 42.69 -5.05
SHIJIAZHUANG D-A 958 212.59 -80.91
SICHUAN DIRECT-A 757 95.94 -166.82
SICHUAN GOLDEN 600678 209.26 -82.69
TAIYUAN TIANLO-A 600234 52.85 -27.82
TIANJIN MARINE 600751 114.38 -61.31
TIANJIN MARINE-B 900938 114.38 -61.31
TOPSUN SCIENCE-A 600771 171.85 -115.05
WUHAN BOILER-B 200770 272.46 -141.76
WUHAN GUOYAO-A 600421 11.05 -27.01
WUHAN LINUO SOLA 600885 107.30 -0.72
XIAMEN OVERSEA-A 600870 243.85 -138.59
YANBIAN SHIXIA-A 600462 204.34 -11.55
YANTAI YUANCHE-A 600766 67.22 -5.72
YUEYANG HENGLI-A 622 38.46 -19.46
YUNNAN MALONG-A 600792 145.42 -68.19
HONG KONG
ASIA TELEMEDIA 2947 15.67 -14.24
ASIA TELEMEDIA L 376 15.67 -14.24
ASIAN CAPITAL RE 8025 10.89 -11.02
BEP INTL HLDGS L 2326 10.32 -1.83
BUILDMORE INTL 108 16.19 -50.25
CHINA E-LEARNING 8055 19.66 -1.27
CHINA HEALTHCARE 673 44.13 -4.49
CHINA OCEAN SHIP 651 454.18 -13.94
CHINA PACKAGING 572 18.18 -16.83
CMMB VISION HOLD 471 37.41 -10.99
EGANAGOLDPFEIL 48 557.89 -132.86
FU JI FOOD & CAT 1175 73.43 -389.20
FULBOND HLDGS 1041 117.50 -6.87
GUOJIN RESOURCES 630 18.21 -17.00
LUNG CHEONG INTL 348 62.04 -0.37
MELCOLOT LTD 8198 56.90 -46.99
MITSUMARU EAST K 2358 30.04 -15.37
PALADIN LTD 495 149.78 -11.62
PCCW LTD 8 6,192.51 -78.22
PROVIEW INTL HLD 334 314.87 -294.85
SINO RESOURCES G 223 15.55 -33.59
SMART UNION GP 2700 32.14 -40.01
TACK HSIN HLDG 611 53.95 -88.74
INDONESIA
ARPENI PRATAMA APOL 613.56 -124.15
ASIA PACIFIC POLY 471.38 -869.26
ERATEX DJAJA ERTX 11.72 -23.99
HANSON INTERNATI MYRX 35.46 -9.01
HANSON INT-PREF MYRXP 35.46 -9.01
JAKARTA KYOEI ST JKSW 33.33 -45.06
MITRA INTERNATIO MIRA 880.25 -412.27
MITRA RAJASA-RTS MIRA-R2 880.25 -412.27
MULIA INDUSTRIND MLIA 524.73 -39.06
PANASIA FILAMENT PAFI 37.96 -15.94
PANCA WIRATAMA PWSI 31.51 -39.11
PRIMARINDO ASIA BIMA 10.37 -21.92
SURABAYA AGUNG SAIP 248.21 -94.27
TOKO GUNUNG AGUN TKGA 13.37 -0.60
UNITEX TBK UNTX 18.22 -17.81
INDIA
ALPS INDUS LTD ALPI 292.76 -12.44
AMIT SPINNING AMSP 20.43 -1.96
ARTSON ENGR ART 23.87 -0.60
ASHAPURA MINECHE ASMN 191.87 -68.03
ASHIMA LTD ASHM 63.23 -48.94
ATV PROJECTS ATV 60.46 -55.04
BALAJI DISTILLER BLD 66.32 -25.40
BELLARY STEELS BSAL 451.68 -108.50
BHAGHEERATHA ENG BGEL 22.65 -28.20
CAMBRIDGE SOLUTI CAMB 149.58 -56.66
CANTABIL RETAIL CANT 55.23 -8.54
CELEBRITY FASHIO CFLI 36.61 -6.76
CFL CAPITAL FIN CEATF 12.36 -49.56
COMPUTERSKILL CPS 14.90 -7.56
CORE HEALTHCARE CPAR 185.36 -241.91
DCM FINANCIAL SE DCMFS 17.10 -9.46
DFL INFRASTRUCTU DLFI 42.74 -6.49
DIGJAM LTD DGJM 99.41 -22.59
DUNCANS INDUS DAI 133.65 -205.38
FIBERWEB INDIA FWB 12.23 -16.21
GANESH BENZOPLST GBP 48.95 -22.44
GEM SPINNERS LTD GEMS 14.58 -1.16
GLOBAL BOARDS GLB 14.98 -7.51
GSL INDIA LTD GSL 29.86 -42.42
HARYANA STEEL HYSA 10.83 -5.91
HENKEL INDIA LTD HNKL 102.05 -10.24
HIMACHAL FUTURIS HMFC 406.63 -210.98
HINDUSTAN PHOTO HPHT 74.44 -1,519.11
HINDUSTAN SYNTEX HSYN 15.20 -3.81
HMT LTD HMT 142.67 -386.80
ICDS ICDS 13.30 -6.17
INTEGRAT FINANCE IFC 49.83 -51.32
JAGSON AIRLINES JGA 12.31 -0.25
JCT ELECTRONICS JCTE 122.54 -50.00
JD ORGOCHEM LTD JDO 10.46 -1.60
JENSON & NIC LTD JN 18.05 -86.40
JIK INDUS LTD KFS 20.63 -5.62
JOG ENGINEERING VMJ 50.08 -10.08
KALYANPUR CEMENT KCEM 33.31 -30.53
KERALA AYURVEDA KRAP 13.99 -1.18
KIDUJA INDIA KDJ 17.15 -2.28
KINGFISHER AIR KAIR 1,883.62 -661.89
KINGFISHER A-SLB KAIR/S 1,883.62 -661.89
KITPLY INDS LTD KIT 37.68 -45.35
LLOYDS FINANCE LYDF 21.65 -11.39
LLOYDS STEEL IND LYDS 510.00 -48.98
LML LTD LML 65.26 -56.77
MADRAS FERTILIZE MDF 146.96 -136.27
MAHA RASHTRA APE MHAC 24.13 -14.27
MARKSANS PHARMA MRKS 110.15 -14.04
MILLENNIUM BEER MLB 52.23 -5.22
MILTON PLASTICS MILT 18.65 -52.29
MODERN DAIRIES MRD 38.41 -0.45
MTZ POLYFILMS LT TBE 31.94 -2.57
NATH PULP & PAP NPPM 14.50 -0.63
NICCO CORP LTD NICC 75.56 -6.49
NICCO UCO ALLIAN NICU 32.23 -71.91
NK INDUS LTD NKI 141.35 -7.71
NUCHEM LTD NUC 24.72 -1.60
ORIENT PRESS LTD OP 16.70 -0.09
PANCHMAHAL STEEL PMS 51.02 -0.33
PARASRAMPUR SYN PPS 99.06 -307.14
PAREKH PLATINUM PKPL 61.08 -88.85
PEACOCK INDS LTD PCOK 11.40 -14.40
PIRAMAL LIFE SC PLSL 51.20 -64.85
QUADRANT TELEVEN QDTV 188.57 -116.81
RAJ AGRO MILLS RAM 10.21 -0.61
REMI METALS GUJA RMM 102.64 -5.29
RENOWNED AUTO PR RAP 14.12 -1.25
ROLLATAINERS LTD RLT 22.97 -22.24
ROYAL CUSHION RCVP 20.62 -75.53
SADHANA NITRO SNC 18.21 -0.73
SAURASHTRA CEMEN SRC 106.01 -2.81
SCOOTERS INDIA SCTR 18.63 -6.88
SEN PET INDIA LT SPEN 11.58 -26.67
SHAH ALLOYS LTD SA 212.81 -9.74
SHALIMAR WIRES SWRI 24.58 -39.14
SHAMKEN MULTIFAB SHM 60.55 -13.26
SHAMKEN SPINNERS SSP 42.18 -16.76
SHREE GANESH FOR SGFO 44.50 -2.89
SHREE RAMA MULTI SRMT 64.03 -44.99
SIDDHARTHA TUBES SDT 76.98 -12.45
SOUTHERN PETROCH SPET 1,584.27 -4.80
SQL STAR INTL SQL 11.69 -1.14
STI INDIA LTD STIB 35.39 -0.54
STL GLOBAL LTD SHGL 45.61 -10.59
SUPER FORGINGS SFS 17.83 -6.37
TATA TELESERVICE TTLS 1,311.30 -138.25
TATA TELE-SLB TTLS/S 1,311.30 -138.25
TRIUMPH INTL OXIF 58.46 -14.18
TRIVENI GLASS TRSG 24.55 -8.57
TUTICORIN ALKALI TACF 14.15 -11.20
UNIFLEX CABLES UFC 47.46 -7.49
UNIFLEX CABLES UFCZ 47.46 -7.49
UNIMERS INDIA LT HDU 18.08 -5.86
UNITED BREWERIES UB 2,652.00 -242.53
UNIWORTH LTD WW 168.36 -155.74
UNIWORTH TEXTILE FBW 20.57 -37.60
USHA INDIA LTD USHA 12.06 -54.51
VANASTHALI TEXT VTI 25.92 -0.15
VENTURA TEXTILES VRTL 14.33 -1.91
VENUS SUGAR LTD VS 11.06 -1.08
JAPAN
ARRK CORP 7873 1,221.45 -37.80
C&I HOLDINGS 9609 32.82 -39.23
CROWD GATE CO 2140 11.63 -4.29
KANMONKAI CO LTD 3372 68.26 -2.44
KFE JAPAN CO LTD 3061 17.86 -2.27
L CREATE CO LTD 3247 42.34 -9.15
NIS GROUP CO LTD 8571 477.70 -75.44
PROPERST CO LTD 3236 305.90 -330.20
S-POOL INC 2471 18.11 -0.41
STRAWBERRY CORP 3429 14.17 -4.48
TOYO KNIFE CO 5964 74.73 -5.55
KOREA
DAISHIN INFO 20180 740.50 -158.45
HANIL CONSTRUCT 6440 880.70 -22.42
HYUNDAI BNG STEE 4560 476.66 -70.65
HYUNDAI BNG STEE 4565 476.66 -70.65
KUKDONG CORP 5320 53.07 -1.85
ORICOM INC 10470 82.65 -40.04
PLA CO LTD 82390 14.95 -21.43
SEOUL MUTL SAVIN 16560 874.79 -34.13
SUNGJEE CONSTRUC 5980 114.91 -83.19
TONG YANG MAGIC 23020 355.15 -25.77
YOUILENSYS CORP 38720 166.70 -12.34
MALAYSIA
BANENG HOLDINGS BANE 40.49 -17.14
HAISAN RESOURCES HRB 67.05 -0.92
HO HUP CONSTR CO HO 70.66 -9.24
JPK HOLDINGS BHD JPK 17.60 -2.46
LUSTER INDUSTRIE LSTI 19.28 -7.15
MITHRIL BHD MITH 29.79 -0.75
NGIU KEE CO-BHD NKC 14.19 -12.76
TRACOMA HOLDINGS TRAH 60.31 -26.28
VTI VINTAGE BHD VTI 17.97 -3.68
PHILIPPINES
CYBER BAY CORP CYBR 14.14 -94.36
EAST ASIA POWER PWR 31.58 -185.31
FIL ESTATE CORP FC 40.90 -15.77
FILSYN CORP A FYN 23.81 -11.69
FILSYN CORP. B FYNB 23.81 -11.69
GOTESCO LAND-A GO 21.76 -19.21
GOTESCO LAND-B GOB 21.76 -19.21
PICOP RESOURCES PCP 105.66 -23.33
STENIEL MFG STN 17.61 -11.14
UNIWIDE HOLDINGS UW 50.36 -57.19
VICTORIAS MILL VMC 164.26 -18.20
SINGAPORE
ADV SYSTEMS AUTO ASA 18.93 -11.69
ADVANCE SCT LTD ASCT 25.29 -10.05
HL GLOBAL ENTERP HLGE 93.40 -15.38
LINDETEVES-JACOB LJ 20.64 -6.07
NEW LAKESIDE NLH 19.34 -5.25
SUNMOON FOOD COM SMOON 17.25 -15.34
TT INTERNATIONAL TTI 249.17 -73.30
THAILAND
ABICO HLDGS-F ABICO/F 15.28 -4.40
ABICO HOLDINGS ABICO 15.28 -4.40
ABICO HOLD-NVDR ABICO-R 15.28 -4.40
ASCON CONSTR-NVD ASCON-R 59.78 -3.37
ASCON CONSTRUCT ASCON 59.78 -3.37
ASCON CONSTRU-FO ASCON/F 59.78 -3.37
BANGKOK RUBBER BRC 91.32 -113.78
BANGKOK RUBBER-F BRC/F 91.32 -113.78
BANGKOK RUB-NVDR BRC-R 91.32 -113.78
CALIFORNIA W-NVD CAWOW-R 33.30 -10.09
CALIFORNIA WO-FO CAWOW/F 33.30 -10.09
CALIFORNIA WOW X CAWOW 33.30 -10.09
CIRCUIT ELEC PCL CIRKIT 16.79 -96.30
CIRCUIT ELEC-FRN CIRKIT/F 16.79 -96.30
CIRCUIT ELE-NVDR CIRKIT-R 16.79 -96.30
DATAMAT PCL DTM 12.69 -6.13
DATAMAT PCL-NVDR DTM-R 12.69 -6.13
DATAMAT PLC-F DTM/F 12.69 -6.13
ITV PCL ITV 37.10 -118.46
ITV PCL-FOREIGN ITV/F 37.10 -118.46
ITV PCL-NVDR ITV-R 37.10 -118.46
K-TECH CONSTRUCT KTECH/F 38.87 -46.47
K-TECH CONSTRUCT KTECH 38.87 -46.47
K-TECH CONTRU-R KTECH-R 38.87 -46.47
KUANG PEI SAN POMPUI 17.70 -12.74
KUANG PEI SAN-F POMPUI/F 17.70 -12.74
KUANG PEI-NVDR POMPUI-R 17.70 -12.74
PATKOL PCL PATKL 52.89 -30.64
PATKOL PCL-FORGN PATKL/F 52.89 -30.64
PATKOL PCL-NVDR PATKL-R 52.89 -30.64
PICNIC CORP-NVDR PICNI-R 101.18 -175.61
PICNIC CORPORATI PICNI/F 101.18 -175.61
PICNIC CORPORATI PICNI 101.18 -175.61
PONGSAAP PCL PSAAP/F 13.02 -1.77
PONGSAAP PCL PSAAP 13.02 -1.77
PONGSAAP PCL-NVD PSAAP-R 13.02 -1.77
SAHAMITR PRESS-F SMPC/F 27.92 -1.48
SAHAMITR PRESSUR SMPC 27.92 -1.48
SAHAMITR PR-NVDR SMPC-R 27.92 -1.48
SUNWOOD INDS PCL SUN 19.86 -13.03
SUNWOOD INDS-F SUN/F 19.86 -13.03
SUNWOOD INDS-NVD SUN-R 19.86 -13.03
THAI-DENMARK PCL DMARK 15.72 -10.10
THAI-DENMARK-F DMARK/F 15.72 -10.10
THAI-DENMARK-NVD DMARK-R 15.72 -10.10
THAI-GERMAN PR-F TGPRO/F 37.06 -28.03
THAI-GERMAN PRO TGPRO 37.06 -28.03
THAI-GERMAN-NVDR TGPRO-R 37.06 -28.03
TRANG SEAFOOD TRS 13.90 -3.59
TRANG SEAFOOD-F TRS/F 13.90 -3.59
TRANG SFD-NVDR TRS-R 13.90 -3.59
TT&T PCL TTNT 615.73 -210.36
TT&T PCL-NVDR TTNT-R 615.73 -210.36
TT&T PUBLIC CO-F TTNT/F 615.73 -210.36
TAIWAN
ARASOR INTERNATI ARR 19.21 -26.51
BEHAVIOR TECH CO 2341S 41.94 -1.02
BEHAVIOR TECH CO 2341 41.94 -1.02
BEHAVIOR TECH-EC 2341O 41.94 -1.02
CHIEN TAI CEMENT 1107 214.12 -49.02
HELIX TECH-EC 2479T 23.39 -24.12
HELIX TECH-EC IS 2479U 23.39 -24.12
HELIX TECHNOL-EC 2479S 23.39 -24.12
TAIWAN KOL-E CRT 1606U 507.21 -147.14
TAIWAN KOLIN-EN 1606V 507.21 -147.14
TAIWAN KOLIN-ENT 1606W 507.21 -147.14
VERTEX PREC-ENTL 5318T 42.24 -5.08
VERTEX PRECISION 5318 42.24 -5.08
*********
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 U. Pascual, Marites O. Claro, Joy A. Agravante,
Rousel Elaine T. Fernandez, Psyche A. Castillon, Ivy B.
Magdadaro, Frauline S. Abangan, and Peter A. Chapman, Editors.
Copyright 2011. All rights reserved. ISSN: 1520-9482.
This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding,
electronic re-mailing and photocopying) is strictly prohibited
without prior written permission of the publishers.
Information contained herein is obtained from sources believed
to be reliable, but is not guaranteed.
TCR-AP subscription rate is US$625 for 6 months delivered via e-
mail. Additional e-mail subscriptions for members of the same
firm for the term of the initial subscription or balance
thereof are US$25 each. For subscription information, contact
Christopher Beard at 240/629-3300.
*** End of Transmission ***