/raid1/www/Hosts/bankrupt/TCRAP_Public/120418.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
Wednesday, April 18, 2012, Vol. 15, No. 77
Headlines
A U S T R A L I A
METAL STORM: Incurs AUD6 Million Loss in 2011
WINE UNDERGROUND: Goes Into Liquidation; Owes AUD2.7 Million
C H I N A
CHINA GREEN: Madsen & Associates Raises Going Concern Doubt
EVERGRANDE REAL: Moody's Says 2011 Results No Impact on 'B1' CFR
MASTER SILICON: Child Van Wagoner Raises Going Concern Doubt
SPG LAND: Moody's Says 2011 Results Consistent with Neg. Outlook
SRE GROUP: Moody's Changes Outlook on 'B3' CFR to Negative
H O N G K O N G
BAOSHINN CORPORATION: Albert Wong Raises Going Concern Doubt
JIAN MAO: Court to Hear Wind-Up Petition on April 25
MORGAN STANLEY: Briscoe and Wong Step Down as Liquidators
PRIME TECHNOLOGY: Members' Final General Meeting Set for May 14
RICHMOND VILLAS: Ho and So Appointed as Liquidators
RIL INDONESIA: Seng and Lo Step Down as Liquidators
SUMISHO INTERNATIONAL: Commences Wind-Up Proceedings
SUMISHO LEASE: Lai and Haughey Step Down as Liquidators
SUPPLE MIND: Members' Final Meeting Set for May 14
TASTE KING: Court to Hear Wind-Up Petition on May 30
VILLAWOOD DEVELOPMENTS: First Meetings Slated for May 14
ZIELONA TRANSPORT: Commences Wind-Up Proceedings
I N D I A
AIF ENGINEERING: CRISIL Rates INR27.7MM Loans '[CRISIL BB+]'
AMIT AUTO: CRISIL Assigns 'CRISIL B+' Rating to INR100MM Loans
FOUR STAR: CRISIL Assigns 'CRISIL BB' Rating to INR128.5MM Loans
GEM POLYTECH: CRISIL Assigns 'CRISIL B+' Rating to INR83MM Loan
INDIA POLYROADS: CRISIL Upgrades Rating on INR72MM Loans to 'B-'
JAGDALE INDUSTRIES: CRISIL Reaffirms 'BB' Rating on INR269MM Loan
KINGSTON PAPTECH: CRISIL Raises Rating on INR230MM Loans to 'BB'
MEGATECH POWER: CRISIL Rates INR75MM Cash Credit 'BB+'
MEHER ADVANCED: CRISIL Rates INR12.5MM Loan 'CRISIL BB-'
MULTICOLOR STEEL: Inadequate Info Cues Fitch to Migrate Ratings
MULTITUDE INFRASTRUCTURE: Fitch Holds Rating on Bank Loan at 'B+'
PRAJAY PROPERTIES: CRISIL Cuts Rating on INR1.21BB Loan to 'D'
PRUDENTIAL COOP: Defaulters Delay Prudential Bank Liquidation
PYRAMID SAIMIRA: Proof of Claims' Deadline Set for May 14
SARASWATI TIMBER: CRISIL Puts 'B-' Rating on INR57.5MM Loans
SHREE VENKATESHWARA: CRISIL Puts 'D' Rating on INR113.8MM Loan
SRI P.V.N.: CRISIL Assigns 'CRISIL B+' Rating to INR56.6MM Loans
SUDHIR FORGINGS: CRISIL Reaffirms 'BB' Rating on INR74.4MM Loan
VENKATESWARA ELECTRICAL: CRISIL Reaffirms 'BB-' Rating on LT Loan
J A P A N
ASIA SPECIAL: To Go Into Liquidation
N E W Z E A L A N D
CANTERBURY MORTGAGE: Investors Still NZ$50MM Out of Pocket
BRIDGECORP LTD: Director Get Two Years Jail Sentence
S I N G A P O R E
POWER DRAGON: Court Enters Wind-Up Order
SOUTH ASIA: Court to Hear Wind-Up Petition April 27
VANDA TANKERS: Court to Hear Wind-Up Petition April 27
X X X X X X X X
* Upcoming Meetings, Conferences and Seminars
- - - - -
=================
A U S T R A L I A
=================
METAL STORM: Incurs AUD6 Million Loss in 2011
---------------------------------------------
Metal Storm Limited and its subsidiaries filed with the U.S.
Securities and Exchange Commission its annual report on Form 10-K
disclosing a loss of AUD6.03 million on AUD1.31 million of
revenue in 2011, compared with a loss of AUD8.93 million on
AUD3.34 million of revenue in 2010.
The Company's balance sheet at Dec. 31, 2011, showed AUD1.08
million in total assets, AUD21.07 million in total liabilities,
and a AUD19.99 million total deficiency.
PricewaterhouseCoopers noted that the group incurred a loss for
the year ended Dec. 31, 2011 and, as of that date, the group's
net liabilities totalled AUD19,991,687. These conditions, along
with other matters, indicate the existence of material
uncertainty that may cast significant doubt about the group's
ability to continue as a going concern and therefore the group
may be unable to realize its assets and discharge its liabilities
in the normal course of business.
A copy of the annual report is available for free at:
http://is.gd/4PGldW
About Metal Storm
Headquartered in Darra, Queensland, Australia, Metal Storm
Limited is a defense technology company with offices in Australia
and the United States. It specializes in the research, design,
development and integration of projectile launching systems
utilizing its "electronically initiated / stacked projectile"
technology for use in the defense, homeland security, law
enforcement and industrial markets.
WINE UNDERGROUND: Goes Into Liquidation; Owes AUD2.7 Million
------------------------------------------------------------
Simon Wilkinson at The Advertiser reports that the Wine
Underground, the Pirie St restaurant rebuilt after it was
destroyed in an explosion in 2006, has closed with debts of more
than AUD2.7 million.
The Advertiser relates that more than 100 creditors, including
many local wine and food companies, look set to lose amounts
ranging from a few hundred dollars up to AUD20,000. Staff are
owed nearly AUD4,000.
The most significant losses, however, according to the list of
creditors, will be incurred by owners Rory O'Neill
(AUD1.8 million) and Ken James (AUD527,000), who were both part
of the business when it first opened in 2003, says The
Advertiser.
According to the report, Mr. O'Neill said the business had gone
into liquidation, blaming tough economic conditions and a flawed
business plan.
Simon Miller, a director of liquidators Macks Hall Clifton, said
a meeting with the Wine Underground's directors earlier this
month had decided the company could no longer trade. He said
investigations were continuing, The Advertiser adds.
=========
C H I N A
=========
CHINA GREEN: Madsen & Associates Raises Going Concern Doubt
-----------------------------------------------------------
China Green Creative, Inc., filed on April 13, 2012, its annual
report on Form 10-K for the fiscal year ended Dec. 31, 2011.
Madsen & Associates CPA's, Inc., in Salt Lake City, Utah,
expressed substantial doubt about China Green Creative's ability
to continue as a going concern. The independent auditor noted
that the Company does not have the necessary working capital to
service its debt and for its planned activity.
The Company reported a net loss of $344,901 on $1.93 million of
revenues for 2011, compared with a net loss of $3.35 million on
$2.78 million of revenues for 2010.
The Company's balance sheet at Dec. 31, 2011, showed
$5.59 million in total assets, $8.15 million in total
liabilities, and a stockholders' deficit of $2.56 million.
A copy of the Form 10-K is available for free at:
http://is.gd/0UMhJc
China Green Creative, Inc., located in Shenzhen, Guangdong
Province, People's Republic of China, is principally engaged in
the distribution of consumer goods and electronic products in the
PRC.
EVERGRANDE REAL: Moody's Says 2011 Results No Impact on 'B1' CFR
----------------------------------------------------------------
Moody's Investors Service says that Evergrande Real Estate Group
Limited's 2011 full-year results are generally in line with
Moody's expectations, and have no immediate impact on its B1
corporate family rating and B2 senior unsecured ratings.
The ratings outlook remains negative.
"Evergrande's business strategy of focusing on the lower tier
cities has benefited its sales. Its revenue grew 31.9% Y-o-Y to
RMB60.4 billion in 2011," says Kaven Tsang, a Moody's Assistant
Vice President and Analyst.
The company achieved RMB80.4 billion in contract sales in 2011,
which Moody's considers as satisfactory. The amount is around
115% of its RMB70.0 billion target and 59.4% Y-o-Y growth, when
compared to 2010 .
"Evergrande has exercised tight cost controls despite operating
in an inflationary environment. Its gross profit margin improved
to 33.3% from 29.2% a year ago," says Tsang, who is also
Evergrande's lead analyst.
"However, we are still concerned about the company's high
financial risk due to its debt-funded and rapid expansion," adds
Tsang.
Evergrande's total on-balance sheet debt grew to RMB51.7 billion
as of December 2011, from RMB31.2 billion in 2010, as it funded
part of its RMB32.0 billion land payments and RMB33.1 billion of
construction costs with debt. Its equity grew at the same time by
63.1% to RMB34.9 billion.
Accordingly, Evergrande's debt leverage -- in terms of adjusted
debt/capitalization -- rose slightly to 63.9% as of December 31,
2011 from 63.7% a year ago, and continues to position the company
at the weaker end of the B1 corporate family rating.
Moody's notes that Evergrande plans to slow down its pace of
expansion in 2012 and spend approximately RMB17 billion on land
acquisitions (RMB11 billion for unpaid land premiums plus RMB6
billion for new land acquisitions), compared to RMB32.0 billion
in 2011.
Nevertheless, a material deleveraging is unlikely in the near
term, as the company requires more liquidity to prepare for the
continuous challenging market environment.
As a result, Evergrande's adjusted debt/capitalization will
continue to stay at around 60% and EBTIDA interest coverage in
the range of 3.5x-4.0x in the next 12 months.
"But Evergrande has maintained adequate liquidity throughout
challenging market conditions," says Mr. Tsang.
Evergrande's current liquidity is adequate, underpinned by its
cash-on-hand of RMB28.2 billion at end-2011. Of this amount,
RMB20.1 billion was in unrestricted cash, which sufficiently
covers its maturing debt of RMB10.2 billion.
Evergrande's B1 corporate family rating continues to reflect its
large-scale development, efficient business model, and low-cost
land bank, which address the issues of high asset turnover and
competitively priced products in the mass market.
The principal methodology used in rating Evergrande Real Estate
Group Limited was the Global Homebuilding Industry Methodology
published in March 2009.
Evergrande Real Estate Group Limited is one of the major
residential developers in China, with a standardized operating
model. Founded in 1996 in Guangzhou, the company has rapidly
expanded its business across the country over the past few years.
As of Dec 2011, it had a land bank of 137 million square meters
in gross floor area across 103 cities in China.
MASTER SILICON: Child Van Wagoner Raises Going Concern Doubt
------------------------------------------------------------
Master Silicon Carbide Industries, Inc., filed on April 13, 2012,
its annual report on Form 10-K for the fiscal year ended Dec. 31,
2011.
Child, Van Wagoner & Bradshaw, PLLC, in Salt Lake City, Utah,
expressed substantial doubt about Master Silicon Carbide
Industries' ability to continue as a going concern. The
independent auditor noted that the Company has cash flow
constraints, an accumulated deficit, and has suffered recurring
losses from operations.
The Company reported a net loss of $3.14 million of $15.94
million of revenues for 2011, compared with net income of
$232,979 on $12.95 million of revenues for 2010.
The Company's balance sheet at Dec. 31, 2011, showed
$27.97 million in total assets, $11.15 million in total
liabilities, $10.00 million of Redeemable Preferred Stock-A,
$10.00 million of Redeemable Preferred Stock-B, and a
stockholders' deficit of $3.18 million.
A copy of the Form 10-K is available for free at:
http://is.gd/0Vz2NW
Located in Lakeville, Connecticut, Master Silicon Carbide
Industries, Inc., through its indirectly wholly-owned operating
subsidiary Yili Master Carborundum Production Co., Ltd. ("Yili
China"), manufactures and sells in China mostly high quality
"green" silicon carbide and some lower-quality "black" silicon
carbide, a non-metallic compound that is widely used in
industries such as semiconductors, solar energy, ceramics,
abrasives and optoelectronics.
SPG LAND: Moody's Says 2011 Results Consistent with Neg. Outlook
----------------------------------------------------------------
Moody's Investors Service says that SPG Land (Holdings) Limited's
2011 results are generally consistent with its negative outlook.
"SPG Land exhibited weak contract sales in 2011, and that has
affected its liquidity and financial positions," says Kaven
Tsang, a Moody's Assistant Vice President and Analyst.
The weak sales were due to its focus on the Yangtze River Delta,
where home purchase restrictions had been strictly enforced.
Its RMB3.2 billion in contract sales only attained 49% of its
full year target.
As a result, Moody's downgraded its corporate family
rating/senior unsecured rating from Ba3/B1 to B1/B2 in November
2011.
SPG Land's liquidity position is marginal. It had RMB2.9 billion
cash-on-hand at end-2011, which was just sufficient to cover its
RMB2 billion in short-term debt and unpaid land premiums.
Moreover, its operating cash flow could be volatile in the next
12 months as its sales will still be challenged by the tight
regulatory controls.
"SPG Land also shows weak interest coverage, and this reduces its
financial flexibility," says Mr. Tsang.
SPG Land increased its debt leverage to fund its expansions in
2011. As a result, its financial metrics - adjusted
debt/capitalization above 60% and adjusted EBITDA interest
coverage ratio below 2.5x -- had positioned it at the weaker end
of its rating level.
Moody's expects SPG Land's adjusted EBITDA interest coverage to
stay at 2.0-2.5x over the next 12-18 months as the company will
likely maintain its high debt leverage to preserve liquidity.
SPG Land's B1 corporate family rating continues to reflect the
company's: (1) land bank, which is mainly located in the affluent
and fast-growing Yangtze River Delta region and therefore
benefits the company's long-term development plans, and (2) solid
track record in developing large-scale housing and high-end
integrated projects.
In addition, SPG Land continues to build up its investment
portfolio. Its recurring income grew 65% Y-o-Y to RMB260 million
in 2011, after Holiday Inn Kangqiao in Shanghai and Fraser Suites
in Suzhou commenced their operations.
The principal methodology used in rating SPG Land (Holdings)
Limited was the Global Homebuilding Industry Methodology
published in March 2009.
SPG Land (Holdings) Limited is a Chinese property company that
focuses on the development of large-scale residential and
integrated properties in the Yangtze River Delta. The company has
a land bank of 5.8 million square meters in gross floor area
(GFA) across nine cities in China. Around 70% of the land bank is
spread across cities along the Yangtze River, such as Shanghai,
Suzhou, Wuxi, Changshu, and Huangshan.
Listed on the Hong Kong Stock Exchange in 2006, SPG Land is
majority-owned and controlled by David Wang, the founder and
chairman, who has a 70% stake in the company.
SRE GROUP: Moody's Changes Outlook on 'B3' CFR to Negative
----------------------------------------------------------
Moody's Investors Service has changed to negative from stable the
outlook for SRE Group Limited's B3 corporate family rating and
Caa1 senior unsecured bond rating.
Moody's has also affirmed SRE's corporate family rating of B3.
Ratings Rationale
"The negative outlook reflects the weak execution of SRE's
contract sales in 2011 and Moody's concern that a turnaround in
sales is not likely, given the regulatory restrictions on home
purchases in China," says Jonathan Lee, a Moody's Vice President
and Senior Analyst.
SRE' contract sales in 2011 fell 46% year-on-year to RMB2.2
billion and the company achieved only 56% of its target sales.
As a result of poor sales execution, SRE's credit metrics remain
weak. Its adjusted EBITDA interest coverage was less than 1.5x in
2011.
"The negative outlook also reflects the company's weak liquidity
position, which will pressure its B3 rating," says Mr. Lee, also
the Lead Analyst for SRE.
Moody's expects that the company's development costs and debt
repayment will be greater than its internally generated cash flow
in 2012. Therefore, SRE's refinancing risk in the next 12 months
will increase if the onshore bank funding continues to be tight
for property developers of moderate scale.
Though SRE has some flexibility to raise funds by selling some of
its commercial properties, the current weak market will create
uncertainties related to the timing and realizable value of the
assets.
Still, SRE's B3 rating continues to reflect its long operating
history and good market knowledge in Shanghai. It has also
established its franchise under the "Oasis Garden" and "Richgate"
brands.
Additionally, the rating takes into account the possibility that
SRE may have to provide financial support to China New Town
Development Limited, given its significant ownership in the
company and the latter's fluctuating operating and financial
positions.
SRE's senior unsecured bond rating is notched down to Caa1,
reflecting legal subordination and structural subordination risk.
Its ratio of secured debt to total assets was estimated at 30% at
December 2011 and will likely remain at this level in the next
year or two, as the company will rely predominantly on onshore
borrowings at the PRC subsidiary/project level to fund the
development of its projects.
SRE's rating could be downgraded if its balance sheet liquidity
further declines due to slow sales, its payments for land or
resettlement are higher than expected, or it is unable to raise
adequate new bank financing for property development.
There is no upgrade pressure, given the negative outlook.
However, the rating outlook could return to stable if SRE can
demonstrate a sustained improvement in its contract sales, as
well as adequate balance sheet liquidity to fulfill its payment
obligations.
The principal methodology used in rating SRE Group Limited was
the Global Homebuilding Industry Methodology published in March
2009. Please see the Credit Policy page on www.moodys.com for a
copy of this methodology.
SRE Group Limited, established in 1993 and listed on the Hong
Kong Stock Exchange in 1999, focuses mainly on mid- to high-end
residential development in Shanghai, Shenyang, and Haikou. As of
end June 2011, the company had a land bank of 4.3 million square
meters in gross floor area in these three cities, sufficient for
more than five years of development.
Through China New Town Development Limited (CNTD), a 68.07%-owned
subsidiary dual listed on the Singapore Stock Exchange and Stock
Exchange of Hong Kong, SRE also engages in primary land
development in Shanghai, Wuxi, and Shenyang. CNTD has a total
site area of around 36 square kilometers.
================
H O N G K O N G
================
BAOSHINN CORPORATION: Albert Wong Raises Going Concern Doubt
------------------------------------------------------------
Baoshinn Corporation filed on April 13, 2012, its annual report
on Form 10-K for the fiscal year ended Dec. 31, 2011.
Albert Wong, in Hong Kong, expressed substantial doubt about
Baoshinn's ability to continue as a going concern. The
independent auditors noted that the Company has accumulated
losses.
The Company reported net income of $109,462 on $38.54 million of
revenues for 2011, compared with net income of $79,465 on
$30.60 million of revenues for 2010.
The Company's balance sheet at Dec. 31, 2011, showed
$6.55 million in total assets, $5.61 million in total
liabilities, and stockholders' equity of $940,082.
A copy of the Form 10-K is available for free at:
http://is.gd/st5Aze
Located in Kowloon, Hong Kong, Baoshinn Corporation, through its
Hong Kong subsidiary, is ticket consolidator of major
international airlines, including Thai Airways, Eva Airways,
Dragon Air, Air China, China Southern Airlines, China Eastern
Airlines, HongKong Airlines & HongKong Express. The Company
provides travel services such as ticketing, hotel and
accommodation arrangements, tour packages, incentive tours and
group sightseeing services to customers located in Hong Kong and
Mainland China.
JIAN MAO: Court to Hear Wind-Up Petition on April 25
----------------------------------------------------
A petition to wind up the operations of Jian Mao Shipping &
Trading Co Limited will be heard before the High Court of Hong
Kong on April 25, 2012, at 9:30 a.m.
ITIRO Corporation BVI filed the petition against the company on
Feb. 20, 2012.
The Petitioner's solicitors are:
Laracy & Co.
3701, Tower One
Lippo Centre
89 Queensway, Admiralty
Hong Kong
MORGAN STANLEY: Briscoe and Wong Step Down as Liquidators
---------------------------------------------------------
Stephen Briscoe and Wong Teck Meng stepped down as liquidators of
Morgan Stanley Hong Kong Nominees Limited on April 3, 2012.
PRIME TECHNOLOGY: Members' Final General Meeting Set for May 14
---------------------------------------------------------------
Members of Prime Technology Limited will hold their final general
meeting on May 14, 2012, at Room 1307-8 Dominion Centre, 43-59
Queen's Road East, Wanchai, in Hong Kong.
At the meeting, Chung Cheuk Wai, the company's liquidator, will
give a report on the company's wind-up proceedings and property
disposal.
RICHMOND VILLAS: Ho and So Appointed as Liquidators
---------------------------------------------------
Ho Sui Cheung Spencer and So Yuen Ling on Feb. 28, 2012, were
appointed as liquidators of Richmond Villas Residents Company
Limited.
The liquidators may be reached at:
Ho Sui Cheung Spencer
So Yuen Ling
Room 811, HSH Mongkok Plaza
794-802 Nathan Road
Kowloon
RIL INDONESIA: Seng and Lo Step Down as Liquidators
---------------------------------------------------
Natalia K M Seng and Susan Y H Lo stepped down as liquidators of
RIL Indonesia Services Limited on March 30, 2012.
SUMISHO INTERNATIONAL: Commences Wind-Up Proceedings
----------------------------------------------------
Members of Sumisho International Petroleum (H.K.) Company
Limited, on March 30, 2012, passed a resolution to voluntarily
wind up the company's operations.
The company's liquidator is:
Hiroshi Ebata
Level 28, Three Pacific Place
1 Queen's Road East
Hong Kong
SUMISHO LEASE: Lai and Haughey Step Down as Liquidators
-------------------------------------------------------
Lai Kar Yan (Derek) and Darach E. Haughey stepped down as
liquidators of Sumisho Lease (Hong Kong) Limited on March 30,
2012.
SUPPLE MIND: Members' Final Meeting Set for May 14
--------------------------------------------------
Members of Supple Mind Limited will hold their final general
meeting on May 14, 2012, at 11:00 a.m., at 19A Entertainment
Building, 30 Queen's Road Central, in Hong Kong.
At the meeting, Tang Tin Sek, the company's liquidator, will give
a report on the company's wind-up proceedings and property
disposal.
TASTE KING: Court to Hear Wind-Up Petition on May 30
----------------------------------------------------
A petition to wind up the operations of Taste King Holding
Limited will be heard before the High Court of Hong Kong on
May 30, 2012, at 9:30 a.m.
Shui Hing Investment Company Limited and Yick Fung Estates
Limited filed the petition against the company on March 23, 2012.
The Petitioner's solicitors are:
Ford, Kwan & Company
Suite 3304, 33rd Floor
Tower Two, Nina Tower
No. 8 Yeung Uk Road
Tsuen Wan, New Territories
Hong Kong
VILLAWOOD DEVELOPMENTS: First Meetings Slated for May 14
--------------------------------------------------------
Creditors and contributories of Villawood Developments Limited
will hold their first meetings on May 14, 2012, at 4:00 p.m., and
5:00 p.m., respectively at Rooom 3502, 35th Floor, One Pacific
Place, at 88 Queensway, in Hong Kong.
At the meeting, Lai Kar Yan Derek and Yeung Lui Ming Edmund, the
company's liquidators, will give a report on the company's wind-
up proceedings and property disposal.
ZIELONA TRANSPORT: Commences Wind-Up Proceedings
------------------------------------------------
Members of Zielona Transport Limited, on April 13, 2012, passed a
resolution to voluntarily wind up the company's operations.
The company's liquidator is:
Sze Sau Wan
Room 602, 447 Lockhart Road
Hong Kong
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I N D I A
=========
AIF ENGINEERING: CRISIL Rates INR27.7MM Loans '[CRISIL BB+]'
------------------------------------------------------------
CRISIL has assigned its 'CRISIL BB+/Stable/CRISIL A4+' rating to
the bank facilities of AIF Engineering Private Limited.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Term Loan 13.5 CRISIL BB+/Stable
Proposed Long-Term 0.7 CRISIL BB+/Stable
Bank Loan Facility
Bank Guarantee 120 CRISIL A4+
Overdraft Facility 13.5 CRISIL BB+/Stable
The rating reflects AIF's promoters' extensive industry
experience in manufacturing furnaces for aluminium sector and its
average financial risk profile marked by low gearing and above
average debt protection metrics. These rating strengths are
partially offset by the AIF's revenue dependence on project
implementation in the aluminium sector, its moderate scale of
operations and highly working capital intensive operations,
marked by high gross asset days of over 200 days.
Outlook is Stable.
CRISIL expects AIF's credit risk profile to be maintained on the
back of its promoters' extensive experience in manufacturing
furnaces for aluminium sector. Its financial risk profile is also
expected to remain average marked by low gearing and above
average debt protection measures. The outlook may be revised to
positive in case of a significant improvement in scale of
operations while sustaining the level of operating margins,
leading to a higher than expected cash accruals and thus
improvement in financial risk profile. Conversely, the outlook
may be revised to 'Negative' in case its scale of operations
decline most likely on account of its revenue dependence on
project implementation in aluminium sector or in case of a larger
than expected debt funded capex.
About AIF Engineering
AIF was promoted by Mr. Sandeep Mathur and Mr. Sanjeev Mathur in
November 2007 and is engaged in the design, engineering,
manufacture, supply, erection and commissioning of furnaces and
equipments for aluminium industry. Its corporate office is
located at Noida (Uttar Pradesh) while its manufacturing facility
is at Raipur (Chattisgarh). The company is also involved in
turnkey business offering fabrication, insulation and refractory
lining, mechanical piping, electrical and services from in-house
facilities. Over the past three years, it has executed projects
for reputed customers including Hindalco Industries Limited
(HINDALCO, rated CRISIL AA+/ Stable/ CRISIL A1+), National
Aluminium Company Limited and Bharat Aluminium Company Limited
(BALCO, rated CRISIL AA/ Stable/ CRISIL A1+).
In order to diversify in manufacturing of furnace in ceramics
industry, AIF formed a Joint Venture with a German company in Feb
2009 namely Keramischer OFENBAU India Private Limited. AIF
Engineering holds about 49 per cent stake and the balance 51 per
cent stake is hold by the German player. In 2011-12, in order to
expand its overseas operations, AIF acquired 80% stake in a
France company, Ermat Industries SAS, which is also engaged in
the manufacture of furnace for aluminium industry.
AIF reported a profit after tax (PAT) of INR20 million on net
sales of INR220 million for 2010-11 (refers to financial year,
April 1 to March 31), against a PAT of INR16 million on net sales
of INR110 million for 2009-10.
AMIT AUTO: CRISIL Assigns 'CRISIL B+' Rating to INR100MM Loans
--------------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/Stable/CRISIL A4' ratings to
the bank facilities of Amit Auto Wheels Pvt Ltd.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash credit 45.0 CRISIL B+/Stable
Inventory Funding 60.0 CRISIL A4
Facility
Proposed Long-Term 55.0 CRISIL B+/Stable
loan facility
The ratings reflect Amit Auto's initial stage of operations and
weak financial risk profile, marked by small net worth and weak
total outside liabilities to tangible net worth ratio and debt
protection metrics. These rating weaknesses are partially offset
by the extensive experience of Amit Auto's promoters in the
dealership of commercial vehicles and the benefits that it
derives from the dealership of automobiles manufactured by Tata
Motors Ltd (TML; rated 'CRISIL AA-/Positive /CRISIL A1+').
Outlook: Stable
CRISIL believes that Amit Auto will benefit over the medium term
from its association with TML over the medium term, supported by
its promoters' extensive experience in the dealership of
commercial vehicles. The outlook may be revised to 'Positive' in
case of a more-than-expected increase in Amit Auto's revenues,
cash accruals, or equity infusion, leading to improvement in its
financial risk profile. Conversely, the outlook may be revised to
'Negative' in case of lower-than-expected accruals or any debt-
funded capital expenditure plan, leading to weakening in its
financial risk profile.
About Amit Auto
Set up in 2010 by Mr. Amit Sahni and his family members, Amit
Auto is a dealer in Uttarakhand for commercial vehicles
manufactured by TML. It is the sole distributor for TML's
commercial vehicles in Nainital, Almora, Pithoragarh, Bhageshwar,
Champawat, and Udham Singh Nagar districts in Uttarakhand .It has
a total of one showroom in Haldwani and three sales outlets in
Kashipur, Pithoragarh, and Khatima region of Uttarakhand.
Amit Auto reported a profit after tax (PAT) of INR8.60 million on
net sales of INR1396.92 million for 2010-11 (refers to financial
year, April 1 to March 31), as against a PAT of INR50.80 million
on net sales of INR7428.78million for 2009-10.
FOUR STAR: CRISIL Assigns 'CRISIL BB' Rating to INR128.5MM Loans
----------------------------------------------------------------
CRISIL has assigned its 'CRISIL BB/Stable/CRISIL A4+' ratings to
the bank facilities of Four Star International Ltd (part of the
Four Star group).
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Term Loan 103.5 CRISIL BB/Stable
Secured Overdraft 25 CRISIL BB/Stable
Facility
Packing Credit 10 CRISIL A4+
Inland/Import Letter 10 CRISIL A4+
of Credit
Bank Guarantee 5 CRISIL A4+
Foreign Usance Bills 20 CRISIL A4+
Purchase - Discounting
The ratings reflect the benefits that the Four Star group derives
from its promoters' longstanding experience and its track record
in the cotton export business. These rating strengths are
partially offset by the group's geographical concentration in the
intensely competitive cotton export industry, susceptibility to
adverse changes in regulations, and below-average financial risk
profile marked by a high gearing and weak interest coverage
ratio.
For arriving at the ratings, CRISIL has combined the business and
financial risk profiles of FSIL with those of its group
companies, Four Star International, Gold Star Cottex Ltd, and
Exim Overseas Pvt Ltd, together referred to as the Four Star
group. This is because the four entities are in the same line of
business, under common promoters, and share common product lines,
marketing network, and customers. Moreover, these entities derive
considerable operational, financial, and business synergies from
each other, wherein FSIL, GSCL, and EOPL use FSI's procurement
and marketing network.
Outlook: Stable
CRISIL believes that the Four Star group will continue to benefit
over the near to medium term from its promoters' experience and
its healthy relationships with its customers. The outlook may be
revised to 'Positive' if the group scales up its operations
substantially while maintaining its profitability. Conversely,
the outlook may be revised to 'Negative' if the Four Star group
undertakes more-than-projected debt-funded capital expenditure,
or reports substantial deterioration in its operating margin
leading to decline in cash accruals.
About the Group
The Four Star group was set up by Mr. Ashish Saha and his younger
brother, Mr. Samir Saha, in 1997. The group commenced operations
with export of various commodities to Bangladesh (mainly cotton
and yarn). It also ventured into the redistribution stockist
business of Hindustan Unilever Ltd in 2004-05 (refers to
financial year, April 1 to March 31). The Four Star group also
started manufacturing knitted fabric for itself as well as on
jobwork basis in 2007-08. The group has a knitted fabric
manufacturing and dyeing unit in Kolkata (West Bengal) with a
13.5-tonne-per-day (tpd) and 12 tpd capacity, respectively. FSIL
commenced operations in 2007-08; it exports cotton (contributing
90 per cent to the company's sales) and yarn (4 per cent) to
Bangladesh. The company has also ventured into knitting and
dyeing of fabric through its unit in Kolkata. FSI was established
as a partnership firm in 1997. The firm exports cotton
(contributing 98 per cent to its sales), yarn, and other
commodities to Bangladesh. It also undertakes redistribution
stockists (RS) operations for HUL (15 per cent), which is a low-
risk business and has low margins. GSCL commenced operations in
2008-09 and exports cotton (contributing 98 per cent to its
sales), yarn, and other commodities to Bangladesh. EOPL commenced
operations in early 2000; it exports cotton to Bangladesh.
The Four Star group reported a consolidated profit after tax
(PAT) of INR41 million on net sales of INR5378 million for
2010-11, against a PAT of INR16 million on net sales of
INR3,003 million for 2009-10.
GEM POLYTECH: CRISIL Assigns 'CRISIL B+' Rating to INR83MM Loan
---------------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/Stable/CRISIL A4' ratings to
the bank facilities of Gem Polytech Industries Pvt Ltd.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Term Loan 5.7 CRISIL B+/Stable
Standby Line of Credit 6 CRISIL B+/Stable
Proposed Long-Term Bank 31.3 CRISIL B+/Stable
Loan Facility
Letter of Credit 16 CRISIL A4
Bank Guarantee 1 CRISIL A4
Cash Credit 40 CRISIL B+/Stable
The ratings reflect GPL's relatively small scale of operations
and weak financial risk profile, marked by a small net worth and
weak debt protection metrics. These rating weaknesses are
partially offset by the extensive industry experience of GPL's
promoters and its established market position in the polymer
compounds industry.
Outlook: Stable
CRISIL believes that GPL will benefit over the medium term from
its promoters' extensive industry experience and its established
relationship with clients. The outlook may be revised to
'Positive' if GPL's revenues and profitability increase
significantly, thus improving its financial risk profile.
Conversely, the outlook may be revised to 'Negative' if the
company faces significant pressure on its revenues and
profitability, there are considerable delays in realisation of
receivables, or it undertakes a more-than-expected, debt-funded
capital expenditure programme, thereby weakening its liquidity
and financial risk profile.
About Gem Polytech
Incorporated in 1992, GPL manufactures polymer compounds. The
facility, located in Kolkata (West Bengal), is an ISO 9001:2008
certified unit. GPL mainly manufactures two compounds -
Polyvinylchloride (PVC; capacity of 500 tonnes per month [tpm])
and cross linked polyethylene (XLPE) (280 tpm). The company has
around 50 customers in the cables and shoes industries. The
company is managed by Mr. Sanjoy Kumar Ghosh and Mr. Viswajoy
Ghosh.
GPL reported a profit after tax (PAT) of INR0.71 million on net
sales of INR160.54 million for 2010-11 (refers to financial year,
April 1 to March 31), as against a PAT of INR0.67 million on net
sales of INR122.69 million for 2009-10.
INDIA POLYROADS: CRISIL Upgrades Rating on INR72MM Loans to 'B-'
----------------------------------------------------------------
CRISIL has upgraded its rating on the long-term bank facilities
of India Polyroads Pvt Ltd to 'CRISIL B-/Stable' from 'CRISIL D'.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 50.0 CRISIL B-/Stable (Upgraded
from 'CRISIL D')
Term Loan 22.0 CRISIL B-/Stable Upgraded
from 'CRISIL D')
The rating upgrade reflects IPPL's timely servicing of debt over
the past six months, supported by promoters' timely infusion of
capital in the form of unsecured loans. However, CRISIL believes
that IPPL's cash accruals over the medium term will not be
sufficient to meet its maturing debt obligations of around
INR0.75 million during the same period and, thus, the company
will have to rely on support from its promoter in the form of
equity or unsecured loans.
The rating reflects IPPL's limited track record, and
acceptability of its polymer-based soil stabilization product is
yet to be established. These rating weaknesses are partially
offset by the benefits that IPPL derives from the extensive
experience of its promoters in the civil construction industry
and from its technology transfer agreement with the South Africa-
based company, Polymer Pavements.
Outlook: Stable
CRISIL believes that IPPL will benefit over the medium term from
its promoters' extensive experience in the civil construction
industry. The outlook may be revised to 'Positive' if IPPL
reports significant and sustained improvement in its revenues,
while maintaining its profitability. Conversely, the outlook may
be revised to 'Negative' in case IPPL undertakes more-than-
expected debt-funded capital expenditure programme or if the
company does not receive timely support from its promoters.
About India Polyroads
Set up in December 2009, IPPL is part of the Beekay group of
companies and manufactures polymer based soil stabilisation
products. IPPL has entered into a technology transfer agreement
with Polymer Pavements a South Africa based company. IPPL has a
manufacturing facility in Roorkee (Uttarakhand) with a production
capacity of around 80,000 litres per day.
About the Group
The Beekay group consists of three other companies - Beekay
Engineering Corporation (BEC; rated 'CRISIL BBB+/Stable/CRISIL
A2' by CRISIL), Biltech Engineers Pvt Ltd and BSBK Pvt Ltd (BSBK;
rated 'CRISIL BBB-/Stable/CRISIL A3' by CRISIL). BEC manufactures
equipment for Steel Sector and also executes turnkey contracts
for steel plants. BSBK is engaged in execution of large size
civil and structural works and Turnkey Contracts mainly for Steel
and Power Sector. BSBK is also engaged in construction of
Highways. BEPL is a real estate developer whose construction work
is carried out by BSBK.
JAGDALE INDUSTRIES: CRISIL Reaffirms 'BB' Rating on INR269MM Loan
-----------------------------------------------------------------
CRISIL's ratings on the bank facilities of Jagdale Industries Ltd
continue to reflect the company's established position in the
niche segments of the pharmaceutical and fruit drinks industries.
This rating strength is partially offset by Jagdale's small scale
of operations and product concentration, and the company's
average financial risk profile marked by a high gearing.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 250 CRISIL BB/Stable (Reaffirmed)
Long-Term Loan 19 CRISIL BB/Stable (Reaffirmed)
Cash Management Service 11 CRISIL A4+ (Reaffirmed)
Letter of Credit & 80 CRISIL A4+ (Reaffirmed)
Bank Guarantee
Outlook: Stable
CRISIL believes that Jagdale will maintain its business risk
profile over the medium term, driven by its steady performance in
the health drink and pharmaceutical segments. The outlook may be
revised to 'Positive' if the company successfully undertakes its
capital expenditure (capex) programmes and significantly ramps up
its business volumes as well as its cash accruals, and shows
improvement in its capital structure. Conversely, the outlook may
be revised to 'Negative' if Jagdale undertakes any additional
debt-funded large capex programme or unrelated diversification,
or reports deterioration in its profitability or capital
structure.
About Jagdale Industries
Jagdale is a small multi-division company with business interests
in pharmaceutical formulations, energy drinks, and fruit juices.
It is a closely held company belonging to the Jagdale family and
is a part of the Jagdale group of companies.
For 2010-11 (refers to financial year, April 1 to March 31),
Jagdale reported a profit after tax (PAT) of INR27.1 million on
net sales of INR931.6 million, compared with a PAT of INR24.4
million on net sales of INR704.4 million for 2009-10. For the
nine months ended December 31, 2011, the company, on a
provisional basis, reported a profit before tax (PBT) of INR61
million on sales of INR961 million, against a PBT of INR38
million on net sales of INR738 million for the corresponding
period of the previous year.
KINGSTON PAPTECH: CRISIL Raises Rating on INR230MM Loans to 'BB'
----------------------------------------------------------------
CRISIL has upgraded its rating on the bank facilities of Kingston
Paptech Pvt Ltd to 'CRISIL BB/Stable' from 'CRISIL BB-/Stable'.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 90.00 CRISIL BB/Stable (Upgraded
from 'CRISIL BB-/Stable')
Term Loan 125.20 CRISIL BB/Stable (Upgraded
from 'CRISIL BB-/Stable')
Proposed Long-Term 14.80 CRISIL BB/Stable (Upgraded
Bank Loan Facility from 'CRISIL BB-/Stable')
The upgrade reflects stabilisation of operations at KPPL's
recently added capacities. The company had set up a 100 tonne per
day-(tpd) kraft paper manufacturing unit in December 2010.
Despite some delays in commencement of full-scale commercial
production, its capacity utilisation has improved to over 80 per
cent over the past five months. Improved capacity utilisation has
led to an improvement in KPPL's business risk profile.
The rating also reflects KPPL's small scale of operations, and
limited track record in the paper industry. These rating
weaknesses are partially offset by the benefit that KPPL derives
from its strategically located plant.
Outlook: Stable
CRISIL believes that KPPL will benefit over the medium term from
the high demand for industrial paper, especially the kraft
variant, in the company's region of operation. The outlook may be
revised to 'Positive' if KPPL maintains high capacity utilisation
and achieves more-than-expected growth in revenues and
profitability. Conversely, the outlook may be revised to
'Negative' if volatility in wastepaper prices leads to less-than-
expected profits for the company or if an increase in working
capital requirements limits its financial flexibility.
About Kingston Paptech
Incorporated in 2009, KPPL manufactures multilayer kraft, kraft
board and kraft paper. KPPL's 100-tpd unit is in Sabarkantha
(Gujarat). The unit, which was built at an estimated cost of
INR260 million, was completed in December 2010, with full-scale
commercial production starting in May 2011.
KPPL has reported a net loss of INR2.5 million on net sales of
INR37.9 million for 2010-11 (refers to financial year, April 1 to
March 31).
MEGATECH POWER: CRISIL Rates INR75MM Cash Credit 'BB+'
------------------------------------------------------
CRISIL has assigned its 'CRISIL BB+/Stable/CRISIL A4+' ratings to
the long-term bank facilities of Megatech Power Equipments Pvt
Ltd.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Bank Guarantee 50 CRISIL A4+
Cash Credit 75 CRISIL BB+/Stable
The ratings reflect the benefits that MPEPL derives from its
promoters' extensive experience in the power backup equipment
manufacturing industry, and the company's moderate financial risk
profile supported by increasing cash accruals. These rating
strengths are partially offset by MPEPL's working-capital-
intensive operations and moderate scale of operations in the
intensely competitive power backup equipment manufacturing
industry.
Outlook: Stable
CRISIL believes that MPEPL will benefit over the medium term from
its promoters' extensive experience in the power backup equipment
manufacturing industry. The outlook may be revised to 'Positive'
in case the company reports significant improvement in its
liquidity on the back of significant improvement in its working
capital management or incremental equity infusion by promoters.
Conversely, the outlook may be revised to 'Negative' in case
MPEPL requires larger-than-expected working capital and if lower-
than-expected cash accruals deteriorate its financial risk
profile, particularly its liquidity.
About Megatech Power
MPEPL was set up in 1993 by Mr. Radhakrishnan Nair in Pune
(Maharashtra). The company is engaged in assembling of
uninterrupted power supply (UPS), inverters, and solar street
lamps. MPEPL is ISO 14001:2004 and OHSAS 18001:2007 certified.
The company derives about 60 per cent of its revenues from
government projects and the rest from private players. Also,
MPEPL derives about 10 per cent of its revenues from the export
market.
MPEPL reported a profit after tax (PAT) of INR20.6 million on net
sales of INR318 million for 2010-11 (refers to financial year,
April 1 to March 31), against a PAT of INR7.4 million on net
sales of INR175 million for 2009-10.
MEHER ADVANCED: CRISIL Rates INR12.5MM Loan 'CRISIL BB-'
--------------------------------------------------------
CRISIL has assigned its 'CRISIL BB-/Stable/CRISIL A4+' ratings to
the long-term bank facilities of Meher Advanced Materials Pvt
Ltd.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 12.5 CRISIL BB-/Stable
Letter of Credit 42.5 CRISIL A4+
Bank Guarantee 2.50 CRISIL A4+
Proposed Long-Term 108.8 CRISIL BB-/Stable
Bank Loan Facility
The ratings reflect the extensive experience of MAMPL's promoters
in the capacitor industry and moderate gearing levels. These
rating strengths are partially offset by MAMPL's nascent stage of
operations, modest financial risk profile, marked by a small net
worth, and exposure to intense competition in the imports
segment.
Outlook: Stable
CRISIL believes that MAMPL will benefit over the medium term from
its increasing operating efficiency and healthy operating
margins. The outlook may be revised to 'Positive' if there are
higher-than-expected net cash accruals and lower-than-expected
gearing, leading to overall improvement in the company's
financial risk profile. Conversely, the outlook may be revised to
'Negative' if MAMPL's financial risk profile and debt-servicing
capability are adversely affected, most likely because of delays
in stabilisation of proposed enhancement of capacities., or
substantial increase in working capital requirements.
About Meher Advanced
Set up as a partnership firm in 2006, MAMPL metalises films for
DC type of capacitors. The metalised film finds application in
capacitors, which are used in lighting, electronic equipment, and
telecom instruments. The company's unit has a capacity of around
42 tonnes per month (tpm) and is located in Bengaluru
(Karnataka). MAMPL is planning to increase its current production
capacity to 84 tpm by importing a metallising machine.
MAMPL reported a profit after tax (PAT) of INR3.48 million on net
sales of INR50 million for 2010-11 (refers to financial year,
April 1 to March 31), as against a loss of INR5.5 million on net
sales of INR7.6 million for 2009-10.
MULTICOLOR STEEL: Inadequate Info Cues Fitch to Migrate Ratings
---------------------------------------------------------------
Fitch Ratings has migrated Multicolor Steel (India) Pvt. Ltd.'s
'Fitch BB+(ind)' National Long-Term rating with a Stable Outlook
to the non-monitored category. This rating will now appear as
'Fitch BB+(ind)nm' on the agency's website.
The ratings have been migrated to the non-monitored category due
to lack of adequate information, and Fitch will no longer provide
ratings or analytical coverage of Multicolor. The ratings will
remain in the non-monitored category for a period of six months
and be withdrawn at the end of that period. However, in the
event the issuer starts furnishing information during this six-
month period, the ratings could be reinstated and will be
communicated through a Rating Action Commentary.
Fitch has also classified Multicolor's following bank loan
ratings as non-monitored:
-- INR50m fund-based working capital limits: migrated to 'Fitch
BB+(ind)nm'/'Fitch A4+(ind)nm' from 'Fitch BB+(ind)'/'Fitch
A4+(ind)'
-- INR150m non-fund-based working capital limits: migrated to
'Fitch A4+(ind)nm' from 'Fitch A4+(ind)'
MULTITUDE INFRASTRUCTURE: Fitch Holds Rating on Bank Loan at 'B+'
-----------------------------------------------------------------
Fitch Ratings has affirmed India-based Multitude Infrastructure
Private Limited's National Long-Term Rating at 'Fitch B+(ind)'
with a Stable Outlook. The agency has also affirmed MIPL's
INR238.75m long-term bank loan at 'Fitch B+(ind)'.
The ratings are constrained by MIPL's limited revenue base, weak
profitability margins compared with industry peers, and low
interest coverage. In the financial year ended March 2011
(FY11), revenue was INR88m and EBITDA margin was 15.03%,
significantly up from last year's INR58m and 3.45%, respectively,
and interest coverage (considering only the interest on outside
liabilities) was 0.59x (FY10: nil).
The ratings also reflect the central location of MIPL's hotel in
the tourist city of Jaipur and almost 40 years of operational
track record of the ITC Welcome Group which manages the
operations of the hotel. The ratings also consider the
continuous financial support from the Emaar MGF Group to MIPL
through unsecured loans over the years and INR60m in the form of
equity in FY11 to help the latter service its debt.
As per the unaudited 9MFY12 results, average occupancy increased
to around 58% (FY11: 52%; FY10: 45%) and EBITDA margin was 9.9%,
while revenue was around INR90m in FY12 till February Average
occupancy, revenue and margins are likely to have increased for
FY12 as January to March is traditionally the peak tourist
season, as was witnessed in FY11.
Fitch expects MIPL to have low interest and debt service coverage
over the short-medium term. MIPL is availing a bank loan of
INR250m, which was disbursed during FY11, and also has an
outstanding unsecured loan of about INR800m from EMGF. The bank
loan is to be repaid in quarterly instalments ending in June
2017, while the unsecured loan along with the cumulative interest
amount is to be repaid at the end of 10 years.
Positive rating action may result from a significant improvement
in revenue and profitability margins leading to a net interest
cover of more than 1.25x (considering only the interest on
outside liabilities) on a sustained basis. Any perceived
reduction in group support could be negative for the ratings.
MIPL is 100% owned by Emaar MGF Land Limited through its
downstream wholly owned subsidiaries. Emaar MGF is a JV between
Emaar Properties PJSC (Dubai) and MGF Developments Pvt. Ltd
(Delhi). MIPL has set up a five-star hotel on the upper floors
of the Metropolitan Shopping Mall in central Jaipur. The hotel
has been fully opened to public from October 2009 onwards and
FY11 was the first full year of operations.
PRAJAY PROPERTIES: CRISIL Cuts Rating on INR1.21BB Loan to 'D'
--------------------------------------------------------------
CRISIL has downgraded its rating on the long-term bank facilities
of Prajay Properties Pvt Ltd (PPPL; part of the Prajay group) to
'CRISIL D' from 'CRISIL B+/Stable'.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Project Loan 1213.0 CRISIL D (Downgraded from
'CRISIL B+/Stable')
Proposed Long-Term 7.0 CRISIL D (Downgraded from
Bank Loan Facility 'CRISIL B+/Stable')
The downgrade reflects instances of delay by the Prajay group in
paying the interest on its term debt. The group has not paid the
interest for January 2012, February 2012, till March 20, 2012.
The Prajay group is facing delays in getting necessary approvals
from the municipal authorities, resulting in delay in the
completion of its Prajay Megapolis project that the group has
undertaken. The group has spent around 10 per cent of the total
cost on the project and is facing issues in getting disbursements
from the banks. This has resulted in pressure on the Prajay
group's liquidity and the resultant delays in interest payments.
The Prajay group is also exposed to risks related to completion
and saleability of its Prajay Megapolis project and to
concentration of revenues in a single project. The rating also
factors in the risk associated with the Indian real estate
industry. These rating weaknesses are partially offset by the
extensive industry experience and proven project-execution
capabilities of the Prajay group's promoters and its strong
brand.
For arriving at the rating, CRISIL has combined the business and
financial risk profiles of PPPL and Prajay Land Capital Pvt Ltd,
together referred to as the Prajay group. This is because each
company owns a part of the land on which the Prajay Megapolis
project is being constructed and PPPL will pay a revenue share to
PLCPL for the proportion of land owned by it.
About the Group
Incorporated in March 2007, PPPL is a special-purpose vehicle
promoted by Prajay Engineers Syndicate Ltd (PESL) to develop
17.125 acres (of a total of 21.125 acres) of the high-rise
residential project, Prajay Megapolis, in Hyderabad (Andhra
Pradesh). PESL own 49.5 per cent stake in PPPL; the remainder is
owned by the promoters in their individual capacity. State
General Reserve Fund, Oman, has invested about INR659 million in
PPPL by way of compulsory convertible debentures. PPPL is
developing 4.50 million square feet of built-up area of the high-
rise residential apartments. Excavation at the project site is
currently in progress.
PLCPL is the wholly owned subsidiary of PPPL, which owns 8.35
acres of land out of 17.125 acres under development.
PRUDENTIAL COOP: Defaulters Delay Prudential Bank Liquidation
----------------------------------------------------------------
The Times of India reports that even as shareholders and
depositors of Prudential Cooperative Urban Bank have been making
efforts to revive the over 90-year-old bank, the liquidation
process has been dragging on for years together ostensibly to
benefit influential defaulters.
Big defaulters and some former directors have been working hard
to drag the liquidation process to derail its chances of revival.
The report notes that the real reason is many big defaulters paid
meagre amounts of their outstanding under one time settlement
(OTS) scheme and got away, while some defaulters are yet to clear
their dues.
According to the report, official sources said the liquidation
process of the bank started in December 2004 after it collapsed
financially. When the bank operations were stalled, there were
dues of about INR320 crore from 5,600 defaulters.
PYRAMID SAIMIRA: Proof of Claims' Deadline Set for May 14
---------------------------------------------------------
The Hindu Business Line reports that the Madras High Court
liquidator has set May 14 as the deadline for Pyramid Saimira's
creditors to provide proof of debt/claims.
Business Line recalls that the Madras High Court had handed over
liquidation of the company to an official liquidator in September
2010.
In December 2010, Business Line recalls, the Securities and
Exchange Board of India barred Pyramid Saimira's promoter,
Mr. P.S. Saminathan, from accessing the securities market for 10
years. SEBI had directed Mr. Saminathan to make a public offer
for de-listing based on the valuation made by an exchange enabled
valuer.
SEBI had also directed Bombay Stock Exchange to compulsorily
de-list the company after enabling valuation of its shares, the
report notes.
The regulator had also banned Ms. Uma Saminathan (Mr Saminathan's
wife) from dealing in the securities market for five years.
According to Business Line, SEBI found Pyramid Saimira guilty of
inflating profits and revenues by making fictitious entries,
false corporate announcements and making a preferential issue of
share warrants to promoters without receiving any money in
return.
About Pyramid Saimira
Based in Chennai, India, Pyramid Saimira Theatre Limited --
http://www.pstl.in/-- was a theatre chain company. The
Company's businesses include exhibition (theatre), film and
television content production, distribution, hospitality, food &
beverage, animation and gaming and cine advertising. It operates
in three segments: Production, Exhibition and Distribution. The
Company's subsidiaries include Pyramid Saimira Entertaiment
Limited, Singapore Pyramid Saimira Entertainment America Inc.,
United States, Pyramid Saimira Production International Limited,
India, Dimples Cine Advertising Private Limited, India, Aurona
Technologies Limited, United Kingdom, Aurona Technologies Private
Limited, India and Pyramid Saimira Production Services Limited,
India. It also had a joint venture in Malaysia, Pyramid Saimira
Theatre Chain Malaysia.
SARASWATI TIMBER: CRISIL Puts 'B-' Rating on INR57.5MM Loans
------------------------------------------------------------
CRISIL has assigned its 'CRISIL B-/Stable' rating to the bank
facilities of Saraswati Timber Pvt Ltd.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 17.5 CRISIL B-/Stable
Term Loan 40 CRISIL B-/Stable
The rating reflects STPL's weak financial risk profile marked by
a small net worth, a high gearing, and moderate debt protection
metrics, and small scale and start up nature of operations in the
intensely competitive footwear industry. These rating weaknesses
are partially offset by the extensive industry experience of the
company's promoters.
Outlook: Stable
CRISIL believes that STPL will continue to benefit over the
medium term from its promoters' extensive industry experience.
CRISIL, however, believes that the company's financial risk
profile will remain constrained by its small scale of operations
with large working capital requirements. The outlook may be
revised to 'Positive' in case STPL reports higher-than-expected
increase in its revenues and profitability. Conversely, the
outlook may be revised to 'Negative' in case the company reports
any significant pressure on its revenues and profitability,
undertakes large, debt-funded capital expenditure plans, or
experiences a higher-than-expected increase in its working
capital requirements, resulting in weakening in its financial
risk profile.
About Saraswati Timber
STPL was set up in 2007 by Mr. Arjun Puri, Mr. Angad Puri, and
Mr. Akash Kapoor. It is currently setting up a manufacturing unit
of ethylene-vinyl-acetate-based shoes and sandals at Footwear
Park in Bahadurgarh (Harayana) with a total production capacity
of 100,000 pairs per month. This is being carried out in two
phases. The company commenced commercial production as the first
phase of its project was completed in July 2011. Around 60 per
cent of the second phase is also complete. The unit is expected
to become fully operational by August 2012. STPL's promoters have
also set up other companies, namely Ace Footmark Pvt Ltd (Ace;
rated 'CRISIL BB-/Stable/CRISIL A4+'), NR Footwear Pvt Ltd, and
Focus Shoes Pvt Ltd, which manufacture different types of
footwear. However, all these companies are independently managed.
Currently, majority of STPL's sales are derived from Ace, in
order to benefit from the latter's established distribution
network. However, STPL has also recently started supplying shoes
and sandals for the retail outlets such as Reliance Trends and
Wal-Mart. Going forward, the contribution of sales from this
segment is expected to increase.
SHREE VENKATESHWARA: CRISIL Puts 'D' Rating on INR113.8MM Loan
--------------------------------------------------------------
CRISIL has assigned its 'CRISIL D' rating to the term loan
facility of Shree Venkateshwara Shikshan Sanstha. The rating
reflects instances of delay by SVSS in servicing its debt; the
delays have been caused by the trust's weak liquidity.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Term Loan 113.8 CRISIL D
SVSS also has a weak financial risk profile, marked by a small
net worth, a high gearing, and moderate debt protection metrics;
moreover, it operates in the highly regulated education sector.
SVSS, however, benefits from the healthy demand prospects for the
education industry.
Established in 2000, SVSS operates multiple institutes offering
courses in various disciplines, including engineering,
management, and industrial training; it also offers a diploma in
education (D.Ed). SVSS runs six educational institutes, including
an English-medium school, and two charitable schools. Except for
its charitable schools and its institute for D.Ed, the operations
of the trust's other educational institutes commenced in or after
2009-10 (refers to financial year, April 1 to March 31).
SRI P.V.N.: CRISIL Assigns 'CRISIL B+' Rating to INR56.6MM Loans
----------------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/Stable' rating to the long-
term bank facilities of Sri P.V.N. Raw & Boiled Rice Mill.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
SME Credit 2.5 CRISIL B+/Stable
Cash Credit 42.5 CRISIL B+/Stable
Long-Term Loan 11.6 CRISIL B+/Stable
The rating reflects PVN's weak financial risk profile, marked by
high gearing, small net worth, and weak debt protection metrics,
modest scale of operations, and exposure to intense competition
in the rice milling industry. These rating weaknesses are
partially offset by the extensive industry experience of PVN's
partners.
Outlook: Stable
CRISIL believes that PVN will benefit over the medium term from
the extensive industry experience of its management. The outlook
may be revised to 'Positive' if the firm improves its scale of
operations and capital structure leading to an improvement in its
financial risk profile. Conversely, the outlook may be revised to
'Negative' if the firm undertakes aggressive debt-funded
expansions, or if its revenues and profitability decline
substantially, or if the partners withdraw capital from the firm,
leading to weakening in its financial risk profile.
About Sri P.V.N. Raw
Set up in 2007 as a partnership firm, PVN mills and processes
paddy into rice, rice bran, broken rice, and husk. The firm has
an installed paddy milling capacity of 6 tonnes per hour at its
rice mill located in Nellore (Andhra Pradesh). PVN is promoted by
Mr. Para Srinivasulu and his family members.
PVN reported a profit after tax (PAT) of INR0.1 million on net
sales of INR184 million for 2010-11 (refers to financial year,
April 1 to March 31), as against a PAT of INR3 million on net
sales of INR158 million for 2009-10.
SUDHIR FORGINGS: CRISIL Reaffirms 'BB' Rating on INR74.4MM Loan
---------------------------------------------------------------
CRISIL's rating on the bank facilities of Sudhir Forgings Pvt Ltd
continue to reflect the benefits that Sudhir derives from its
promoter's extensive industry experience, its diversified
customer base, and its adequate debt protection metrics. These
rating strengths are partially offset by Sudhir's small scale of
operations, susceptibility to volatility in raw materials prices
and foreign exchange rates and to intense competition in forgings
segment, limited financial flexibility because of small net
worth, and moderately high gearing.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 74.4 CRISIL BB/Stable (Reaffirmed)
Outlook: Stable
CRISIL believes that Sudhir will continue to benefit from its
promoter's extensive industry experience. The outlook may be
revised to 'Positive' in case Sudhir improves its financial risk
profile, most likely driven by higher-than-expected increase in
revenues and fresh equity infusion leading to increase in net
worth. Conversely, the outlook may be revised to 'Negative' in
case of significant pressure on the company's revenues, leading
to less-than-expected cash accruals, or if the company undertakes
a larger-than-expected debt-funded capital expenditure (capex)
programme, leading to weakening in its capital structure.
Update
For 2011-12 (refers to financial year, April 1 to March 31),
Sudhir's revenues are expected to be about INR370 million, a
growth of around 42 per cent over that in 2010-11, in line with
CRISIL's expectations. Operating margin is expected at 12.5 per
cent for the year. The working capital requirements of the
company increased significantly, which was, however, supported by
infusion of equity capital of INR24 million by the promoters in
the past two years. Large incremental working capital and capex
requirements resulted in the gearing deteriorating to about 1.8
times expected as on Mar 31, 2012. However, liquidity continues
to be adequate, backed by enhancement in cash credit limits.
Sudhir's business risk profile remains constrained by its small
scale of operations, and exposure to risks related to
fluctuations in raw materials prices and foreign exchange rates
and to intense competition in forgings segment.
Sudhir reported, on provisional basis, a profit after tax (PAT)
of INR11.7 million on net sales of INR256.5 million for 2010-11;
the company reported a PAT of INR1.5 million on net sales of
INR151.1 million for 2009-10.
About Sudhir
Sudhir was established in 1989 and promoted by the Garg family of
Ludhiana, Punjab. Sudhir manufactures forged components that are
used mainly in oil and gas transportation and automobile (auto)
components. The company operates in the domestic and export
markets. In the export segment, it mainly sells flanges, mainly
in the US, besides Germany, Argentina, and Canada. In the
domestic market, Sudhir sells mainly to Tier I suppliers of auto
original equipment manufacturers (OEMs).
VENKATESWARA ELECTRICAL: CRISIL Reaffirms 'BB-' Rating on LT Loan
-----------------------------------------------------------------
CRISIL's ratings on the bank facilities of Venkateswara
Electrical Industries Pvt Ltd (part of the Venkateswara group)
continue to reflect the Venkateswara group's sizeable order book
and promoters' extensive industry experience.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Bank Guarantee 99 CRISIL A4+ (Reaffirmed)
Letter of Credit 60 CRISIL A4+ (Reaffirmed)
Long-Term Loan 9 CRISIL BB-/Stable
(Reaffirmed)
Overdraft Facility 140 CRISIL BB-/Stable
(Reaffirmed)
These rating strengths are partially offset by the group's below-
average financial risk profile marked by a small net worth and
weak debt protection metrics, working-capital-intensive
operations, and exposure to intense competition in the
transformers industry.
For arriving at the ratings, CRISIL has combined the business and
financial risk profiles of VEIPL and Senthil Engineering Company.
This is because both the entities, together referred to as the
Venkateswara group, are in the same line of business, are under a
common management, and have fungible funds.
Outlook: Stable
CRISIL believes that the Venkateswara group will continue to
benefit over the medium term from its promoters' industry
experience. The outlook may be revised to 'Positive' if the group
diversifies its revenue profile and improves its liquidity and
debt protection metrics. Conversely, the outlook may be revised
to 'Negative' if the Venkateswara group undertakes a large, debt-
funded capital expenditure programme, thereby weakening its
capital structure, or if its cash accruals and profitability
decline significantly, or it faces a stretch in its receivables
because of its significant exposure to Tamil Nadu Electricity
Board (TNEB).
Update
The Venkateswara group reported provisional revenues of about
INR800 million for 2011-12 (refers to financial year, April 1 to
March 31), an increase of 85 per cent over the previous year. The
increase in revenues was attributable to an increase in offtake
of power transformers by TNEB during 2011-12. The group continues
to derive majority of its revenues from TNEB which exposes it to
customer concentration risk. Moreover, the Venkateswara group has
been facing stretch in receivables from TNEB which has
constrained its liquidity, as reflected in its estimated gross
current asset days of around 220 as on March 31, 2012. The
group's full utilisation of its bank lines during the 12 months
through March 2012 has constrained its financial flexibility.
Though the Venkateswara group's receivables remain high, the
debtor days are estimated to have improved to about 125 as on
March 31, 2012 as against 202 in the previous year. The group
continues to have a prudent inventory policy to maintain only
about a month's inventory of raw materials which helps its
working capital cycle. The Venkateswara group's operating margin
remains stable at around 10.0 per cent during 2011-12 because of
the price escalation clause in most of its contracts. The group
has around INR1.0 billion worth of projects in the bidding stage
as on March 31, 2012. The Venkateswara group is expected to
generate annual net cash accruals of about INR30 million over the
medium term, as against its term debt obligations of INR6.0
million in 2012-13. CRISIL believes that the Venkateswara group
will sustain the increase in its revenues over the medium term,
backed by its SSI status and experience in the power and
distribution transformers industry. However, the management of
the Venkateswara group's working capital requirements and
diversification in the group's revenues will remain a key rating
sensitivity factor over the medium term.
About the Group
VEIPL was set up in 1978 by Mr. V K Arumugam, father of the
company's current managing director, Mr. A Siva Subramani. The
company is based in Chennai (Tamil Nadu). VEIPL manufactures a
wide range of power transformers (up to 100 megavolt amperes) and
distribution transformers (up to 230 kilovolt amperes). The
company mainly caters to TNEB (which accounts for around 90 per
cent of VEIPL's revenues) and other state electricity boards
(around 10 per cent of revenues). The Venkateswara group acquired
SEC in 1995; SEC manufactures distribution transformers, mainly
of low capacities. Both VEIPL and SEC have manufacturing units in
Chennai. The group has an associate entity, Hanuman Homeopathy
Medical Trust, which runs a medical college and trust.
The Venkateswara group reported a profit after tax (PAT) of
INR1.2 million on net sales of INR391 million for 2010-11,
against a PAT of INR9.5 million on net sales of INR299.0 million
for 2009-10.
=========
J A P A N
=========
ASIA SPECIAL: To Go Into Liquidation
------------------------------------
Ellen Huang at www.yieh.com reports that Asia Special Steel, the
struggling Japanese-Korean ingot maker, has failed on all efforts
and decided to go into liquidation.
The report says the currently disadvanatage on strong Yen against
the weak Korean Won has made the production become less and less
competitive, dragging down the output rate and causing the
disaster.
The company is working on selling the new equipment but reluctant
to mention who the potential buyers are, the report notes.
Established in 2007, Asia Special Steel owns capacity of carbon
and special steel ingots of 12,500 tons per month, focusing on
export to South Korea market.
====================
N E W Z E A L A N D
====================
CANTERBURY MORTGAGE: Investors Still NZ$50MM Out of Pocket
----------------------------------------------------------
Fairfax NZ News reports that investors in the Canterbury Mortgage
Fund are still about NZ$50 million out-of-pocket four years after
the fund was frozen. That does not count, the report notes,
interest income not received for four years.
The news agency says the most questioned lending is to property
developers such as Wellington's Terry Serepisos and
Christchurch's David Henderson.
How loans to these borrowers fitted the conservative, low-risk
lender the Canterbury Mortgage Fund was marketed as has not been
adequately answered, the report notes.
Fairfax NZ states that an independent review of some of the loans
for the trustee, Richard McLoughlin of Trustee Executors, may
clarify that.
According to Fairfax NZ, CMF took in investors money and lent it
for the purchase of property -- residential investments and
property development, commercial properties and, to a lesser
extent, rural property.
Fairfax NZ relates that investors were mostly Cantabrians who
have received back just over NZ$200 million in principal,
80.5 cents in the dollar, of the NZ$251 million in the fund when
it was frozen in mid-2008. So almost NZ$50 million of principal
is still outstanding, the report relays.
The last published accounts in August on the Companies Office Web
site show CMF had NZ$25 million of assets then, which suggests
investors may get another 10 cents in the dollar, discloses
Fairfax NZ.
Mr. McLoughlin said that as trustee of the fund, he is running
the wind-up with external credit consultant Graeme Reid. The
process began in early 2009.
According to the report, Mr. Reid is managing the day-to-day
recovery of the loans and that is "run by" the board of the fund
management company, Fund Managers Canterbury, but their role now
is carrying out the financial administration and preparing the
accounts.
A report by a third party reviewing some of the loans is nearing
completion, Mr. McLoughlin, as cited by Fairfax NZ, said.
Fairfax NZ relates that Mr. McLoughlin had to be arm-twisted into
the review by a lot of correspondence from retired lawyer and
investor David Riley, who has continued to question the fund's
lending.
Mr. McLoughlin said 26 loans are still to be recovered. He says
he is not authorized to speak to media as part of his employment
agreement and has probably said too much already, the report
adds.
About Canterbury Mortgage
Formed in 1999 and with NZ$266 million of funds under
management, Canterbury Mortgage Trust offers an alternative
fixed interest investment. The Trust provides managed mortgage
investments and mortgage finance throughout New Zealand.
BRIDGECORP LTD: Director Get Two Years Jail Sentence
----------------------------------------------------
The New Zealand Herald reports that former Bridgecorp director
Gary Urwin, who pleaded guilty to 10 charges of misleading
investors, has been sentenced to two years in prison.
Although Mr. Urwin's lawyer, David Reece had pushed for a
sentence of home detention, Justice Pamela Andrews said this
would not be appropriate, the Herald says.
The Herald notes that the 62-year old accountant originally went
to trial with fellow Bridgecorp directors Rod Petricevic, Rob
Roest and Peter Steigrad, but then changed his plea to guilty.
These men were convicted of misleading investors in Bridgecorp's
offer documents last month and are awaiting sentence, says the
Herald.
According to the report, Justice Andrews said Mr. Urwin was
likely to have known about Bridgecorp's deteriorating financial
health and that the company missed payments to investors before
it collapsed owing NZ$459 million.
"You were either grossly negligent or were likely to have
knowledge of Bridgecorp's negative liquidity position and that it
had missed payments of interest or principal," the report quotes
Justice Andrews as saying.
The judge referenced four victim impact statements from out-of-
pocket Bridgecorp investors, who lost between NZ$10,000 and
NZ$2 million each, the report notes.
"Whatever their loss was, it was money they could not afford to
lose. They have all been severely affected," Justice Andrews, as
cited by Herald, said.
The Herald relates that the judge also said the former director
had knowledge of both sides of the "Barcroft transaction", a
related-party deal between Bridgecorp and a company which
Mr. Urwin had interests in.
About Bridgecorp Ltd
Based in New Zealand, Bridgecorp Ltd. is a property development
and finance company.
Bridgecorp was placed in receivership on July 2, 2007, after
failing to pay principal due to debenture holders. John Waller
and Colin McCloy, partners at PricewaterhouseCoopers, were
appointed as receivers. Bridgecorp owes around 14,500 investors,
which liquidators estimate to approximate NZ$500 million.
Bridgecorp's nine Australian companies were also placed into
voluntary administration, owing about 100 investors about
AUD24 million (NZ$27 million).
=================
S I N G A P O R E
=================
POWER DRAGON: Court Enters Wind-Up Order
----------------------------------------
The High Court of Singapore entered an order on March 30, 2012,
to wind up the operations of Power Dragon Trading Pte Ltd.
Standard Chartered Bank filed the petition against the company.
The company's liquidator is:
The Official Receiver
Insolvency & Public Trustee's Office
45 Maxwell Road, #06-11
The URA Centre (East Wing)
Singapore 069118
SOUTH ASIA: Court to Hear Wind-Up Petition April 27
---------------------------------------------------
A petition to wind up the operations of South Asia Textile
Industries Pte Ltd will be heard before the High Court of
Singapore on April 27, 2012, at 10:00 a.m.
Dbs Bank Ltd filed the petition against the company on March 30,
2012.
The Petitioner's solicitors are:
Rajah & Tann LLP
No. 9 Battery Road
#25-01 Straits Trading Building
Singapore 049910
VANDA TANKERS: Court to Hear Wind-Up Petition April 27
------------------------------------------------------
A petition to wind up the operations of Vanda Tankers (S) Pte Ltd
will be heard before the High Court of Singapore on April 27,
2012, at 10:00 a.m.
Chimbusco International Petroleum (Singapore) Pte Ltd filed the
petition against the company on April 3, 2012.
The Petitioner's solicitors are:
Stamford Law Corporation
10 Collyer Quay #27-00
Ocean Financial Centre
Singapore 049315
===============
X X X X X X X X
===============
* Upcoming Meetings, Conferences and Seminars
---------------------------------------------
Apr. 19-22, 2012
AMERICAN BANKRUPTCY INSTITUTE
Annual Spring Meeting
Gaylord National Resort & Convention Center,
National Harbor, Md.
Contact: 1-703-739-0800; http://www.abiworld.org/
July 14-17, 2012
AMERICAN BANKRUPTCY INSTITUTE
Southeast Bankruptcy Workshop
The Ritz-Carlton Amelia Island, Amelia Island, Fla.
Contact: 1-703-739-0800; http://www.abiworld.org/
Aug. 2-4, 2012
AMERICAN BANKRUPTCY INSTITUTE
Mid-Atlantic Bankruptcy Workshop
Hyatt Regency Chesapeake Bay, Cambridge, Md.
Contact: 1-703-739-0800; http://www.abiworld.org/
November 1-3, 2012
TURNAROUND MANAGEMENT ASSOCIATION
TMA Annual Convention
Westin Copley Place, Boston, Mass.
Contact: http://www.turnaround.org/
Nov. 29 - Dec. 2, 2012
AMERICAN BANKRUPTCY INSTITUTE
Winter Leadership Conference
JW Marriott Starr Pass Resort & Spa, Tucson, Ariz.
Contact: 1-703-739-0800; http://www.abiworld.org/
April 10-12, 2013
TURNAROUND MANAGEMENT ASSOCIATION
TMA Spring Conference
JW Marriott Chicago, Chicago, Ill.
Contact: http://www.turnaround.org/
October 3-5, 2013
TURNAROUND MANAGEMENT ASSOCIATION
TMA Annual Convention
Marriott Wardman Park, Washington, D.C.
Contact: http://www.turnaround.org/
*********
Tuesday's edition of the TCR-AP delivers a list of indicative
prices for bond issues that reportedly trade well below par.
Prices are obtained by TCR-AP editors from a variety of outside
sources during the prior week we think are reliable. Those
sources may not, however, be complete or accurate. The Tuesday
Bond Pricing table is compiled on the Friday prior to
publication. Prices reported are not intended to reflect actual
trades. Prices for actual trades are probably different. Our
objective is to share information, not make markets in publicly
traded securities. Nothing in the TCR-AP constitutes an offer
or solicitation to buy or sell any security of any kind. It is
likely that some entity affiliated with a TCR-AP editor holds
some position in the issuers' public debt and equity securities
about which we report.
A list of Meetings, Conferences and Seminars appears in each
Wednesday's edition of the TCR-AP. Submissions about insolvency-
related conferences are encouraged. Send announcements to
conferences@bankrupt.com
Friday's edition of the TCR-AP features a list of companies with
insolvent balance sheets obtained by our editors based on the
latest balance sheets publicly available a day prior to
publication. At first glance, this list may look like the
definitive compilation of stocks that are ideal to sell short.
Don't be fooled. Assets, for example, reported at historical
cost net of depreciation may understate the true value of a
firm's assets. A company may establish reserves on its balance
sheet for liabilities that may never materialize. The prices at
which equity securities trade in public market are determined by
more than a balance sheet solvency test.
*********
S U B S C R I P T I O N I N F O R M A T I O N
Troubled Company Reporter-Asia Pacific is a daily newsletter co-
published by Bankruptcy Creditors' Service, Inc., Fairless Hills,
Pennsylvania, USA, and Beard Group, Inc., Frederick, Maryland,
USA. Valerie U. Pascual, Marites O. Claro, Joy A. Agravante,
Rousel Elaine T. Fernandez, Ivy B. Magdadaro, Frauline S.
Abangan, and Peter A. Chapman, Editors.
Copyright 2012. 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
Peter Chapman at 240/629-3300.
*** End of Transmission ***