TCRAP_Public/130513.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

            Monday, May 13, 2013, Vol. 16, No. 93


                            Headlines


A U S T R A L I A

ABC LEARNING: Former CFO Appears in Court For Deception Charges
HEALTHLINX: In Administration After Termination of Funding Deal
* Fitch Says Aussie Banks Need More Stable Funding to Meet Rules


C H I N A

GOLDEN WHEEL: Moody's Assigns B2 Rating to RMB600MM of Notes
LAI FUNG: Consent Solicitation No Impact on B1 CFR, Says Moody's
SPG LAND: Moody's Eyes Possible Upgrade for Caa1-Rated Debts
SPG LAND: S&P Puts 'B-' Corp. Credit Rating on CreditWatch Pos.


I N D I A

ABIR INFRASTRUCTURE: CRISIL Assigns 'C' Rating to INR10MM Loan
AUGUSTAN TEXTILE: CRISIL Reaffirms D Ratings on INR169.2MM Loans
BASANTH WIND: CRISIL Assigns 'B+' Rating to INR120MM LT Loan
BHASIN & COMPANY: CRISIL Raises Rating on INR110MM Loans to 'B'
DJPR CONSTRUCTIONS: CRISIL Raises Rating on INR50MM Loan to 'BB-'

DOLPHIN NUTRACEUTICALS: CRISIL Rates INR200MM Loan at 'B'
INDIA: Asset Quality and Funding Risks Grow for Banks, Fitch Says
INDIAN RECEIVABLE: Fitch May Cut PTCs Rating to 'BB' on Default
KUN COMMERCIAL: CRISIL Assigns 'B+' Rating to INR300MM Term Loan
PAL & PAUL: CRISIL Assigns 'B+' Ratings to INR250MM Loans

PALMAR MILLS: CRISIL Upgrades Rating on INR91.5MM Loans to 'BB'
REGALE BASMATI: CRISIL Rates INR150MM Cash Credit at 'B+'
UTHAN EDUCATIONAL: CRISIL Ups Rating on INR255.5MM Loans to 'B+'


J A P A N

ARYSTA LIFESCIENCE: S&P Assigns 'B' CCR; Outlook Stable
RENESAS ELECTRONICS: Annual Loss Widens to JPY167.58 Billion
RESONA HOLDINGS: Says Bailout to End in a Few Years
* JAPAN: Securities Firms' Sustainable Growth Uncertain
* S&P Puts Ratings on 3 Japanese Tranches On CreditWatch Positive


N E W  Z E A L A N D

ASCENSION WINE: Placed Into Voluntary Receivership
DOMINION FINANCE: Director Pleads Guilty to FMA Charges
HANOVER FINANCE: Serious Fraud Office Probe Cost NZ$1.1 Million


                            - - - - -


=================
A U S T R A L I A
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ABC LEARNING: Former CFO Appears in Court For Deception Charges
---------------------------------------------------------------
The Sydney Morning Herald reports that a senior ABC Learning
Centres executive appeared in a magistrates court in Brisbane on
May 10 charged with three counts of "authorizing false of
misleading information".

SMH relates that the former chief financial officer, James Black,
was not required to enter a plea, but faces a maximum penalty of
five years in jail for each charge, plus a potential penalty of
AUD22,000 for each charge.

According to the report, the Australian Securities and Investment
Commission alleges Mr. Black gave, or authorized someone else to
give, false or misleading information to an auditor from Pitcher
Partners who was conducting a half-year review of ABC Learning
Centres towards the end of 2006.

The information was in three letters that contained false or
misleading information about the terms of commission payments that
a company called ABC Acquisitions was expected to receive, ASIC
revealed on Friday, SMH relates.

The report says the letters of engagement were contracts between
three ABC related companies -- Learning Care Group in the UK,
Learning Care Group in the US and ABC Development Learning Centres
in New Zealand -- and ABC Acquisitions.

The matter returns to the Brisbane Magistrates Court on June 21,
2013, SMH adds.

                        About ABC Learning

Based in Australia, ABC Learning Centres Limited provided
childcare services and education in more than 1,200 centers in
Australia, New Zealand, the United States and the United Kingdom.

In November 2008, ABC Learning Centres Limited appointed
Peter Walker and Greg Moloney of Ferrier Hodgson as voluntary
administrators of the company and a number of its subsidiaries.
Subsequent to the appointment of administrators, the company's
banking syndicate appointed Chris Honey, Murray Smith and John
Cronin of McGrathNicol as receivers.

The Administrators filed a Chapter 15 petition for the Company
(Bankr. D. Del. Case No. 10-11711) on May 26, 2010.  Joel A.
Waite, Esq., at Young, Conaway, Stargatt & Taylor, represents the
Petitioners in the Chapter 15 case.  ABC's debts and assets were
estimated to be between US$100 million and US$500 million.

A separate Chapter 15 petition was filed for affiliate A.B.C.
USA Holdings Pty Ltd., listing assets and debts of at least
US$100 million.

In June 2010, ABC Learning creditors in Australia voted to wind
up the failed childcare provider.


HEALTHLINX: In Administration After Termination of Funding Deal
---------------------------------------------------------------
Yolanda Redrup at SmartCompany reports that HealthLinx collapsed
following the termination of a key funding agreement.

David Ross and Shanon Thomson from Hall and Chadwick has been
appointed as administrators.

Mr. Ross told SmartCompany HealthLinx owes unsecured creditors
approximately $400,000.

"The debt to unsecured creditors was not that extensive since it's
a listed company, but they just couldn't pay it," the report
quoted Mr. Ross as saying.

Mr. Ross, the report notes, said the objective of the
administration process it to get the company back up and running.

SmartCompany notes that the company has been plagued with
financial problems, and HealthLinx's 2012-13 half-year financial
report shows the company recorded a loss of $2.7 million -- up
236% from the $825,997 loss it recorded in the previous
corresponding period.  The report relates that the company's total
revenue for the six months was only $22,067.

When the company's shares were suspended late last month, the
directors alerted the ASX they were considering the financial
position of the business after a funding arrangement failed to
eventuate, the report notes.

In December 2011, the report recalls that HealthLinx entered into
a funding agreement with La Jolla Cove Investors for it to provide
up to $9 million over three years.

In mid-March, this agreement was terminated less than halfway
through the agreed period, the report relates.  HealthLinx
reported a settlement agreement and mutual release was executed
without penalty, the report notes.

The report says that HealthLinx went on to "seek alternative
funding for its operational activities", but these attempts failed
and Ross says the termination of the funding arrangement signalled
the collapse of the company.

In August last year, the report recalls that the company tried to
sell a number of its assets to Mane Cancer Diagnostics.  But after
due diligence and financing issues the sale agreement fell through
in December 2012, the report relays.

The business suffered further in late March this year when its
non-executive chairman, Greg Rice, resigned, the report adds.

The first meeting of creditors will be held on May 16, 2013.

HealthLinx is a biomarker and diagnostic development business.


* Fitch Says Aussie Banks Need More Stable Funding to Meet Rules
----------------------------------------------------------------
Australian banks need to continue to improve their funding mix to
meet Basel III liquidity requirements, especially as the revised
proposals from the Australian Prudential Regulation Authority
(APRA) stick to the original implementation timetable and liquid
asset definitions, Fitch Ratings says.

"We expect banks to lengthen their wholesale funding to meet the
liquidity coverage ratio (LCR) and net stable funding ratio (NSFR)
requirements, because deposit costs remain high and wholesale
funding spreads have fallen in recent months. As a result, the
improvement in loan-to-deposit ratios over the last five years,
from a peak of around 170% to below 140%, may slow down -- and
possibly even reverse for some banks. However, funding stability
should continue to improve, with better asset/liability matching.

"Adhering to the original timeframe to adopt the LCR in 2015 and
NSRF in 2018, rather than a phased implementation as permitted
under the revised Basel rules, should address a key negative
ratings driver for Australian banks. Their reliance on wholesale
funding, particularly from offshore markets, is high compared with
international peers. This leaves them more exposed to a
dislocation in international wholesale funding markets. We expect
further improvements in funding profiles; but structural issues,
such as Australia's compulsory pension scheme, mean wholesale
funding is likely to remain important.

"APRA's proposals to adopt some softer stress assumptions for the
LCR under the Basel Committee's recent revisions are unlikely to
change the banks' holdings of liquid assets to any great extent.
The banks have already built substantial liquidity buffers against
financial market stress. The revised rules appear to be a sensible
recognition of the actual inflows and outflows experienced during
times of stress.

"The proposal not to exercise the discretion to allow some lower-
rated corporate debt, equities and residential mortgage-backed
securities to come into the definition of high-quality liquid
assets is consistent with APRA's conservative approach to bank
regulation. The revised Basel rules allow for a new 'Level 2B'
category of assets, which we expect to be typically less liquid
under distressed conditions. Some compositional change in
liquidity buffers may occur once APRA's proposals are finalised.

"To address a shortage of government bonds and other qualifying
liquid assets, the central bank will provide a committed liquidity
facility for the purposes of meeting LCR requirements. We expect
there could be changes to the quantity of banks' liquid assets
once the framework for this facility and its size for each bank
are set by APRA. Banks are expected to take all reasonable steps
to meet their LCR requirements before relying on the facility."

APRA released its second consultation on Basel III liquidity
implementation on May 13, outlining its proposed rules.



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C H I N A
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GOLDEN WHEEL: Moody's Assigns B2 Rating to RMB600MM of Notes
------------------------------------------------------------
Moody's Investors Service assigned a definitive B2 senior
unsecured rating to the RMB600 million, 11.25%, three-year notes
issued by Golden Wheel Tiandi Holdings Co. Ltd.

Golden Wheel's B2 corporate family rating remains unchanged.

The ratings outlook is stable.

Ratings Rationale:

Moody's definitive rating is at the same level as the provisional
(P)B2 rating assigned on April 18, 2013. The final terms and
conditions of the bond are consistent with Moody's expectations.

Golden Wheel plans to use the proceeds from the issuance to fund
new property projects, and for general corporate purposes.

The principal methodology used in this rating was the Global
Homebuilding Industry Methodology published in March 2009.

Golden Wheel is an integrated commercial and residential property
developer, owner and operator focusing on developing projects in
Jiangsu and Hunan provinces. These developments are physically
connected or in close proximity to metro stations or other
transportation hubs.

The company leases and manages shopping malls owned by third
parties. As of end-2012, the company had a total land bank of
347,080 sqm in gross floor area located in Nanjing, Yangzhou and
Zhuzhou.


LAI FUNG: Consent Solicitation No Impact on B1 CFR, Says Moody's
----------------------------------------------------------------
Moody's Investors Service sees no immediate impact from Lai Fung
Holdings Limited's consent solicitation on its B1 corporate family
rating and senior unsecured debt ratings.

The ratings outlook remains stable.

The company announced on May 7 2013 a proposed consent
solicitation with respect to amendments on important provisions
including limitations on indebtedness, limitation on restricted
payments, definitions of subsidiary and joint-venture guarantees,
and removal of cross-default acceleration clauses, all pertaining
to its $200 million bond due in 2014.

The purposes of the amendments are to align the covenants of the
2014 bond with its newly issued CNH bond and syndicated loan
concluded in March 2013.

"If the consent is approved by bondholders, it would relax
numerous restrictions on the company's ability to raise funding
and engage in joint ventures with subsidiaries and sister
companies," says Lina Choi, a Moody's VP/Senior Analyst, adding,
"Lai Fung would therefore be better equipped to pursue its
business expansion plans without encountering any liquidity
bottlenecks."

Lai Fung's latest business strategy is to invest its resources in
expanding its investment property portfolio in China, where it
already has high quality assets providing a stable rental income
stream.

"While added financial flexibility is a positive development for
Lai Fung's business expansion strategy, the company has yet to
show a more established track record in building and maintaining a
growing investment property portfolio," says Choi, also lead
analyst for Lai Fung.

The proposal has no effective impact on existing bondholders as
Lai Fung has deposited funds in an escrow account which are to be
used to make contractual and principal payments for the bond until
and including April 2014.

Moody's notes potential risks associated with portfolio expansion,
and will monitor Lai Fung's progress very closely.

With Lai Fung's added financial strength, Moody's will watch for
any signs of aggressive land purchases or participation in non-
core/non-strategic joint venture projects.

The principal methodology used in this rating was Global
Homebuilding Industry Methodology published in March 2009.

Lai Fung Holdings Ltd., a member of the Lai Sun Group, focuses on
mid-market property development and investments in Guangzhou,
Shanghai and Zhongshan. It is 47.47%-owned by eSun Holdings
Limited (unrated), a Lai Sun Group company, and is controlled by
the Lam family, which has interests in property, garment, and
entertainment businesses through a number of listed companies in
Hong Kong. CapitaLand Group, a property company under Temasek
Holdings (Private) limited (Aaa stable), also has a 20% interest
in Lai Fung.

The company has a development land bank with attributable gross
floor area ("GFA") of around 0.9 million sqm. It also has a
portfolio of investment properties with attributable GFA of
approximately 218,000 sqm.


SPG LAND: Moody's Eyes Possible Upgrade for Caa1-Rated Debts
------------------------------------------------------------
Moody's Investors Service placed SPG Land (Holdings) Ltd's B3
corporate family rating and Caa1 senior unsecured ratings under
review for upgrade.

Ratings Rationale:

The rating review follows the announcement made by SPG Land on May
8, 2013 that it has entered into a share-subscription agreement
and an investment agreement with Gluon Xima International Limited.

Gluon Xima International is an indirect wholly-owned subsidiary of
Greenland Holding Group, which is a major China-based property
conglomerate.

SPG Land will -- upon fulfillment of certain conditions in the
agreements and the approval of its shareholders -- receive about
HKD3.0 billion.

The company intends to apply the net proceeds for general
corporate purposes, repayment of loans, and/or payment of special
dividends.

Moody's believes the agreements are positive for SPG Land due to
an expected consequent improvement in its credit profile and the
expected demonstration of support from its new parent, Greenland.

"If the transaction concludes, SPG Land will be able to improve
its liquidity upon receiving HKD3.0 billion in new investments
from Greenland," says Lina Choi, a Moody's Vice President and
Senior Analyst.

Given its substantial short-term debt -- 60% of total debt, or
RMB3.9 billion -- and the tight availability of bank credit for
property developers, SPG Land had started asset disposals during
2012.

Greenland's capital injection of HKD3.0 billion, if successfully
completed, will help mitigate SPG Land's liquidity pressures.

"The expected increase in its equity base will reduce SPG Land's
debt leverage," adds Choi. "Its net gearing ratio is forecasted by
the company to improve to 49% from 120% for proforma end-2012."

"Moreover, as indicated, Greenland, a larger scale developer, will
become the largest shareholder of SPG Land with a 60%
shareholding. This will strengthen the company's operation and
financial support," says Choi.

The transaction comprises two major parts:

- SPG Land will issue new shares to Greenland with the ultimate
shareholding of the acquirer reaching 60%. The shareholding of SPG
Land's chairman and exiting major shareholder, Mr. David Wang,
will be diluted to 14%.

- SPG Land will also make a bonus issue of new shares to existing
shareholders. Shareholders may choose to receive ordinary shares
or Non-Voting Convertible Preference Shares ("CPS"). According to
the company, Chairman Wang will elect to receive CPS only to
ensure that the public float of the resulting entity remains above
25%. CPS will also be issued to Greenland, such that it will hold
60% of ordinary shares in the resulting entity on a fully diluted
basis.

Greenland has no listed subsidiary in Hong Kong. By contrast, SPG
Land has existing property assets and operations of reasonable
scale, and is accordingly positioned to receive further asset
injections.

After the transaction the company will be renamed Greenland Hong
Kong Ltd, and Greenland has undertaken that it will be its only
listed vehicle in Hong Kong for the next three years in the real
estate development/investment business.

Moody's anticipates the investment by Greenland, a major China-
based property conglomerate with broader investment experience and
stronger financial capacity than SPG Land, will help improve the
latter's operations and push its development capabilities to the
next level.

Other benefits from the transaction include SPG Land's ability to
dispose of loss-making businesses. Specifically, prior to
Greenland's capital investment, SPG Land will sell its 50%
interest in the Peninsula Hotel Shanghai to exiting Chairman David
Wang for HKD1.3 billion. Moody's notes that this asset has shown
losses for the past two years and has an off-balance sheet
liability of RMB2.5 billion.

Moody's review will focus on (a) the progress of the transaction;
(b) the final financial profile of Greenland Hong Kong Ltd (ex-SPG
Land) if the transaction completes; and (c) the company's new
business strategy under Greenland.

The principal methodology used in this rating was the Global
Homebuilding Industry Methodology published in March 2009.

SPG Land is principally engaged in the development of large-scale,
high-end residential communities, city center integrated projects,
and travel & leisure projects that target the middle-to-high-end
customer segment. At 31 December 2012, the company held a land
bank of 4.7 million sqm across Shanghai, Kunming, Huangshan,
Suzhou, Changshu, Wuxi, Haikou, Ningbo and Taiyuan.

Gluon Xima International Limited is incorporated in Hong Kong and
is an indirect wholly-owned subsidiary of Greenland Holding Group
and independently operated.

Greenland Holding Group is headquartered in Shanghai and is a
comprehensive enterprise group whose main businesses include real
estate development, energy, and finance activities. As a leading
developer in the China real estate market, Greenland Holding Group
operates real estate projects in over 70 cities across 25
provinces.

Greenland Holding Group is also wholly-owned by the State-owned
Assets Supervision and Administration Commission of Shanghai
Municipal Government.


SPG LAND: S&P Puts 'B-' Corp. Credit Rating on CreditWatch Pos.
---------------------------------------------------------------
Standard & Poor's Ratings Services said that it had placed its
'B-' long-term corporate credit rating and 'cnB-' long-term
Greater China regional scale rating on China-based property
developer SPG Land Holdings Ltd. on CreditWatch with positive
implications.  S&P also placed its 'CCC+' long-term issue rating
and 'cnCCC+' Greater China regional scale rating on SPG Land's
outstanding senior unsecured notes on CreditWatch with positive
implications.

"We placed the ratings on CreditWatch to reflect our view that SPG
Land's business and financial risk profiles are likely to improve
following Greenland Holding Group's proposed acquisition of the
company," said Standard & Poor's credit analyst Frank Lu.
Greenland is an unlisted China-based company that the Shanghai
government owns.

In S&P's view, Greenland's credit profile is much stronger than
that of SPG Land.  SPG Land is likely to gain significant support
from Greenland if it becomes the sole listed offshore platform of
Greenland.

The proposed transactions will require approval from shareholders
and regulators.  Both SPG Land and Greenland expect the
transaction to be completed within 90 days.  The transaction was
announced on May 9, 2013.

"We aim to resolve the CreditWatch within the next three months
after we have more clarity on whether the transaction will go
ahead and to what extent it will support SPG Land's credit
profile," said Mr. Lu.

S&P may raise the rating on SPG Land by at least one notch if it
believes that the company's credit profile will improve materially
as a result of parental support from Greenland.



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ABIR INFRASTRUCTURE: CRISIL Assigns 'C' Rating to INR10MM Loan
--------------------------------------------------------------
CRISIL has assigned its 'CRISIL C/CRISIL A4' ratings to the bank
facilities of Abir Infrastructure Private Limited.

                            Amount
   Facilities             (INR Mln)   Ratings
   ----------             ---------   -------
   Proposed Long-Term        10.0     CRISIL C (Assigned)
   Bank Loan Facility

   Letter of Credit         917.5     CRISIL A4 (Assigned)

   Bank Guarantee          2700.0     CRISIL A4 (Assigned)

   Bank Guarantee           600.0     CRISIL A4 (Assigned)

   Bank Guarantee           682.5     CRISIL A4 (Assigned)

   Cash Credit             1000.0     CRISIL C (Assigned)

The ratings reflect AIPL's stretched financial flexibility due to
high working capital requirements and exposure to risks associated
with delay in overall execution of projects. These rating
strengths are partially offset by healthy order book position and
above average financial risk profile of the company.

Abir Infrastructure Private Limited was set up in the year 2005 by
Mr. Y.Y. Butchi Babu and Mr. K. Gnyandeep and began operations in
2007. The company is engaged in construction activity in
infrastructure sector with focus on power sector. The company
provides engineering, procurement and construction services on
turnkey basis primarily in hydro-electric power (HEP) and thermal
power (TP) sector.

For 2011-12 (refers to financial year, April 1 to March 31), AIPL
reported a profit after tax (PAT) of INR545.5 million on net sales
of INR10.7 billion; AIPL reported a PAT of INR742.3 million on net
sales of INR11.8 billion for 2010-11.


AUGUSTAN TEXTILE: CRISIL Reaffirms D Ratings on INR169.2MM Loans
----------------------------------------------------------------
CRISIL's ratings on the bank facilities of Augustan Textile
Colours Ltd continue to reflect instances of delay by ATCL in
servicing its term loan; the delays have been caused by the
company's weak liquidity.

                           Amount
   Facilities            (INR Mln)   Ratings
   ----------            ---------   -------
   Bank Guarantee           13.4     CRISIL D (Reaffirmed)
   Cash Credit              60.0     CRISIL D (Reaffirmed)
   Long-Term Loan           80.0     CRISIL D (Reaffirmed)
   Proposed Long-Term       15.8     CRISIL D (Reaffirmed)
   Bank Loan Facility

ATCL has a below-average financial risk profile, marked by a small
net worth, small scale of operations with limited revenue
diversity, and its operating profitability is susceptible to
competitive pressures in the textiles industry. However, ATCL
benefits from its promoter's industry experience.

Update

For 2011-12 (refers to financial year, April 1 to March 31), ATCL
reported operating income of INR337 million and operating margin
of 16.5 per cent. However, during 2012-13, the company is expected
to report muted revenue growth and is expected to clock revenues
of around INR350 million. ATCL's financial risk profile remains
weak, marked by a small net worth, high gearing, and weak debt
protection metrics. As on March 31, 2012, the company reported a
net worth of about INR51 million and gearing of about 2.4 times.
The gearing of the company is expected to remain high over the
medium term as it has capital expenditure plans of INR60 million
to be executed during 2013-14 which would be partly funded vide
debt of INR50 million. The high debt level in the capital
structure has resulted in weak debt protection metrics, with the
company reporting interest coverage ratio of less than 2.0 times
during 2011-12. The liquidity of the company remains weak, driven
by high month-end average bank limit utilisation of about 100 per
cent for the 12 months ended December 2012.

During 2011-12, ATCL reported a profit after tax (PAT) of INR12.4
million on net sales of INR337 million, against a net loss of
INR7.5 million on net sales of INR222 million in 2010-11.

Set up in 2005 in Coimbatore (Tamil Nadu), ATCL undertakes
printing, bleaching, and dyeing of fabric and yarn.


BASANTH WIND: CRISIL Assigns 'B+' Rating to INR120MM LT Loan
------------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/Stable' rating to the long-term
bank facility of Basanth Wind Farm (BWF; part of the Basanth
group).

                           Amount
   Facilities            (INR Mln)   Ratings
   ----------            ---------   -------
   Long-Term Loan           120      CRISIL B+/Stable

The rating reflects the susceptibility of the Basanth group's
operations to the regulatory environment, its small scale of
operations, and segmental concentration in its revenue profile.
These rating weaknesses are partially offset by the extensive
experience of the Basanth group's promoters in the wind energy
business.

For arriving at its ratings, CRISIL has combined the business and
financial risk profiles of BWF, Kshema Builders & Developers
(KBD), Kairaly Securities (KS), and Kshema Windfarm Services
(KWS), together referred to as the Basanth group. This is because
all the entities are in similar line of business and are managed
by the same proprietor. Furthermore, there is fungible cash flow
between these entities, and the management has indicated that the
entities will support one another financially as and when
required.

Outlook: Stable

CRISIL believes that the Basanth group's credit risk profile will
remain stable, backed by promoters' extensive industry experience
over the medium term. The outlook may be revised to 'Positive' if
the group diversifies its business risk profile, and achieves
substantial and sustained growth in revenues, leading to higher-
than-expected cash accruals and a consequent improvement in the
financial risk profile. Conversely, the outlook may be revised to
'Negative' in case the group reports deterioration in its
profitability and pressure on its revenues, or larger-than-
expected working capital borrowings, leading to pressure on its
liquidity.

The Basanth group, which comprises Tamil Nadu-based entities BWF,
KBD, KS, and KWS, is the windmill power project business. The
group is promoted and managed by Mr. Satish Basant.


BHASIN & COMPANY: CRISIL Raises Rating on INR110MM Loans to 'B'
---------------------------------------------------------------
CRISIL has upgraded its rating on the long-term bank facilities of
Bhasin & Company to 'CRISIL B/Stable' from 'CRISIL D', while
upgrading its rating on the short-term bank facilities to 'CRISIL
A4' from 'CRISIL D'.

                           Amount
   Facilities            (INR Mln)   Ratings
   ----------            ---------   -------
   Bank Guarantee            3       CRISIL A4 (Upgraded from
                                     'CRISIL D')

   Letter of Credit          7       CRISIL A4 (Upgraded from
                                     'CRISIL D')

   Overdraft Facility       60       CRISIL B/Stable (Upgraded
                                     from 'CRISIL D')

   Proposed Long-Term       38.1     CRISIL B/Stable (Upgraded
   Bank Loan Facility                from 'CRISIL D')

   Term Loan                11.9     CRISIL B/Stable (Upgraded
                                     from 'CRISIL D')

The rating upgrade reflects improvement in Bhasin & Company's
liquidity, as reflected in the clearing of default on the term
loans contracted by the company. The improvement in liquidity is
primarily driven by receipts of loans and advances extended to Dev
Arjuna Promoters and Developers (P) Ltd and infusion of around
INR13 million of interest-free unsecured loans by promoter
partners. The company had extended loans and advances of around
INR56 million to Dev Arjuna as on March 31, 2012. In 2013-14
(refers to financial year, April 1 to March 31), the firm received
back around INR23.5 million of these loans and advances. Further
by July 2013, firm is expected to receive another around INR25
million of these loans and advances, which will support the
overall liquidity profile. Rating upgrade also underscores the
improvement in the working capital management of the firm. Bhasin
& Company's liquidity is expected to improve further on account of
expected improvement in scale of operations, leading to sufficient
cash accruals vis-a-vis its debt obligations and better working
capital management.

The rating on Bhasin & Company's bank facilities continue to
reflects the firm's small scale of operations and below-average
financial risk profile, marked by a small net worth, weak debt
protection metrics, and high gearing. These rating weaknesses are
partially offset by the extensive experience of Bhasin and
Company's promoter in the hosiery garments business and its
established relationships with reputed clients.

Outlook: Stable

CRISIL believes that Bhasin & Company will continue to have small
scale of operations and weak financial risk profile over the
medium term. The outlook may be revised to 'Positive' if the
company's liquidity improves further, driven by more-than-expected
increase in the operating income and profitability, thereby
resulting in increase in net cash accruals or capital infusion by
the promoters. Conversely, the outlook may be revised to
'Negative' in case of increase in financial exposure to Dev Arjuna
and/or if the company incurs large, debt-funded capex or the
firm's working capital requirements increase significantly,
leading to deterioration in its financial risk profile,
particularly its liquidity.

                       About Bhasin & Company

Bhasin & Company was established as a proprietorship firm in 1950
by the late Mr. Ramlal Bhasin. Mr. Balraj Kumar Bhasin manages the
operations of the firm and is assisted by his son, Mr. Mohnish
Bhasin. Bhasin & Company is engaged in the production and sales of
hosiery products and copper, nickel and silver medals. The firm's
sales are completely made to the national armed forces and the
business is completely tender-based.

Bhasin reported a profit after tax (PAT) of INR 2.42 million
million on net sales of INR343.5 million for 2011-12, against a
PAT of INR2.76 million on net sales of INR324.5 million for 2010-
11.


DJPR CONSTRUCTIONS: CRISIL Raises Rating on INR50MM Loan to 'BB-'
-----------------------------------------------------------------
CRISIL has upgraded its ratings on the bank facilities of DJPR
Constructions Pvt Ltd to 'CRISIL BB-/Stable/CRISIL A4+' from
'CRISIL B+/Stable/CRISIL A4'. The upgrade follows enhancement in
DJPR's rated facilities to INR90 million from INR60 million.

                           Amount
   Facilities            (INR Mln)   Ratings
   ----------            ---------   -------
   Bank Guarantee           40       CRISIL A4+ (Upgraded from
                                     'CRISIL A4')

   Cash Credit              50       CRISIL BB-/Stable (Upgraded
                                     from 'CRISIL B+/Stable')

The upgrade reflects improvement in DJPR's financial risk profile
and liquidity and sustainability of its business risk profile
supported by its moderate order book position.

DJPR's financial risk profile and liquidity have improved over the
past 12 to 15 months on account of improvement in its receivables
cycle and higher-than expected cash accruals. During the initial
rating exercise, DJPR's liquidity was under pressure because of
delays in receiving payments from its Niloufer Hospital project
leading to high bank limit utilisation. Over the past few months,
however, the payments from the aforementioned project have been
supported by timely sanctioning of funds from central government,
which, along with higher-than-expected cash accruals, have
supported company's liquidity. The company's cash credit limit,
over the past twelve months through March 2013, had average
utilisation of 71 per cent (it remained more than 90 per cent
utilised during 2011-12 [refers to financial year, April 1 to
March 31]). Furthermore, on account of better-than-expected
profitability and cash accruals and lower-than-expected working
capital requirements, DJPR had moderate debt as on March 31, 2012,
leading to improvement in gearing and debt protection metrics
resulting in the overall improvement in its financial risk
profile. The company as on March 31, 2012, had gearing of around
1.55 times vis--vis gearing of over 3 times a year ago. Gearing
is estimated to improve further as on March 31, 2013, on account
of moderate debt levels and improving net worth. The company had
comfortable debt protection metrics as reflected in interest
coverage and net cash accruals to total debt (NCATD) ratios of 4.0
times and 0.33 times, respectively, for 2011-12; the ratios are
expected to remain comfortable for 2012-13, too.

During 2012-13, DJPR is expected to register year-on-year revenue
growth of 30 per cent over the previous year; it registered
revenue of INR307.2 million during 2011-12 in line with CRISIL's
expectation. Moderate order book position and extended orders for
its existing projects have driven revenue growth during the
ongoing year. CRISIL believes that DJPR's business risk profile
will benefit over the medium term from the moderate order book
position of around INR1085.3 million of the company, which
provides revenue visibility for DJPR over the medium term. It
recorded operating margin of 10.3 per cent during 2011-12 higher
than CRISIL's expectation, which has supported its profitability
during the year. The company's margin is estimated to be 9 per
cent during 2012-13. Over the medium term, too, operating margin
is expected to be in the range of 9 to 10 per cent.

The ratings continue to reflect DJPR's moderate financial risk
profile, marked by moderate gearing and comfortable debt
protection metrics, and the benefits that the company derives from
its promoters' extensive experience in the civil construction
industry and its moderate order book position. These rating
strengths are partially offset by DJPR's modest scale of
operations in the intensely competitive civil construction
industry and its working-capital-intensive operations.

Outlook: Stable

CRISIL believes that DJPR will continue to benefit over the medium
term from its promoters' extensive industry experience and its
moderate order book. The outlook may be revised to 'Positive' if
the company scales up its operations significantly while
maintaining its profitability leading to better-than-expected cash
accruals. Conversely, the outlook may be revised to 'Negative' if
DJPR reports deterioration in its financial risk profile,
particularly its liquidity, most likely caused by larger-than-
expected working capital requirements or delays in project
execution and receivables, or if it undertakes large debt-funded
capital expenditure.

                      About DJPR Constructions

DJPR undertakes civil construction contracts primarily for the
construction of buildings from government entities in Andhra
Pradesh and Karnataka. It was set up in 2009-10 by Mr. D J Prakasa
Rao and his son, Mr. D Sasibhushan. The company acquired the civil
construction business of Mr. Prakasa Rao's former proprietorship
concern, D J Prakasa Rao, which was undertaking the same business
since the 1980s, in April, 2010.

DJPR reported profit after tax (PAT) of INR16 million on total
operating income of INR307 million for 2011-12 against PAT of INR7
million on total operating income of INR172 million for 2010-11.


DOLPHIN NUTRACEUTICALS: CRISIL Rates INR200MM Loan at 'B'
---------------------------------------------------------
CRISIL has assigned its 'CRISIL B/Stable' rating to the bank
facilities of Dolphin Nutraceuticals India Pvt Ltd.

                           Amount
   Facilities            (INR Mln)   Ratings
   ----------            ---------   -------
   Proposed Long-Term       200.0    CRISIL B/ Stable (Assigned)
   Bank Loan Facility

The rating reflects DNIPL's exposure to the risks associated with
implementation, and stabilisation of operations, of its project
this rating weakness is partially offset by the potential growth
prospects of the nutraceuticals industry over the medium term.

Outlook: Stable

CRISIL believes that DNIPL will continue to benefit over the
medium term from the growth prospects of the nutraceuticals
industry. The outlook may be revised to 'Positive', in case the
company registers sustained improvement in its scale of operations
and profitability, post the successful stabilisation of its
operations. Conversely, the outlook may be revised to 'Negative'
in case DNIPL faces time or cost overrun in the implementation of
its project resulting in lower-than-expected cash accruals, or in
case of the lengthening of its working capital cycle, resulting in
weakening of its liquidity and its debt servicing ability.

DNIPL was set up in February 2013 by Mr. Kiran Mahale, his family
members and business associates. The company is expected to
commence production in December 2013; it is expected to cultivate
and process spirulina algae, which is useful in reducing blood
cholesterol, prevention of vitamin A deficiency, and anaemia.
DNIPL has entered into technical collaboration with Green Bubble
Algal Works Pvt Ltd.


INDIA: Asset Quality and Funding Risks Grow for Banks, Fitch Says
-----------------------------------------------------------------
The central bank's recent rate cuts are unlikely to ease asset-
quality pressures to any great extent or help Indian banks correct
their funding imbalances, Fitch Ratings says. The banks' latest
results show a continued decline in overall asset quality as the
economic downturn persists.

The infrastructure sector is likely to be the biggest risk for
Indian banks in the year ending March 2014 (FY14), putting
pressure on asset quality and exacerbating structural funding
mismatches. The pace of infrastructure restructuring is likely to
accelerate, as the start dates of projects under construction are
delayed over the next 18 months. Infrastructure (including power
and telecom) accounted for around 23% of corporate debt
restructurings at end-March 2013, up from 20.5% a year ago.

Lending to the sector has been aggressive since FY08; and despite
some moderation in FY13, it represents the largest single-sector
concentration for Indian banks.

Fitch says "We believe that key structural impediments - such as
the availability of fuel, rising input costs and government
clearances - will be hard to resolve in the short term despite
recent government initiatives to tackle them. However, the outlook
could improve in the medium term if some recently announced
policies are effective.

"In the meantime, we expect restructured loans to keep rising
faster than NPLs and assets. The pace of NPL accretion is slowing,
thanks to the central bank's cumulative monetary easing in FY13.
However, the central bank's concerns about inflationary pressures
and the twin deficit means there is limited scope for further
monetary easing after Friday's 25bp rate cut. A slower-than-
expected recovery could cause NPL growth to pick up again. We
estimate gross NPLs will approach 4.2% for FY13 and 4.4% in FY14
as bad loans start to level off, with very gradual easing of
cyclical pressures.

"The long-term nature of infrastructure assets leaves banks more
exposed to asset/liability mismatches, particularly as deposit-
gathering has not kept pace with credit growth. The persistent
negative real interest rates have channelled domestic savings into
alternative investments, and the banking system loans-to-deposit
ratio has risen to 78% in March from 72% at FYE10.

"We believe that reliance on costly short-term funding, such as
certificates of deposit and bulk deposits, will remain high. This
dependence raises refinancing risks and the volatility of funding
costs, although stable customer deposits still account for a
significant proportion of the system's total funding."

Small- and medium-sized Indian banks with concentrated regional
profiles and limited deposit franchises are likely be most at risk
if stress levels increase. Most large banks, with diversified loan
portfolios and better funding profiles, should be able to absorb
stress through profits alone. However, a few large entities may
experience pressure on their standalone credit profiles if both
funding and asset quality show further signs of deterioration.

The gross NPL ratio for Indian banks rose to 3.7% for the third
quarter ending December 2012, with restructured loans accounting
for an additional 6% during the same period. The Q4 reporting
season is under way.


INDIAN RECEIVABLE: Fitch May Cut PTCs Rating to 'BB' on Default
---------------------------------------------------------------
Fitch Ratings has assigned Indian Receivable Trust January 2013 B
pass-through certificates (PTCs) final ratings as follows:

INR837.2m Series A1 PTCs due March 2014: 'BBB-sf'; Stable Outlook

INR763m Series A2 PTCs due March 2015: 'BBB-sf'; Stable Outlook

INR495.3m Series A3 PTCs due February 2017: 'BBB-sf'; Stable
Outlook

Key Rating Drivers

The transaction is a static securitisation of new commercial
vehicles loans denominated in Indian rupee (INR) originated by
Tata Motors Finance Limited (TMF) which is also the servicer.

The ratings are based on credit enhancement (CE) of 14.3% of the
initial principal balance, the origination, servicing, collection
and recovery expertise of TMF, as well as the legal and financial
structure of the transaction. The ratings address timely payment
of interest and principal in accordance with the payout schedule
in the transaction document.

The CE comprises a first loss credit facility (FLCF) and a second
loss credit facility (SLCF). The FLCF is in the form of fixed
deposits held with IDBI Bank Limited (BBB-/Negative/F3) by Fitch,
in the name of the originator with a lien marked in favor of the
trustee. The SLCF is currently in the form of an irrevocable &
unconditional guarantee provided by Axis Bank Limited
(BBB-/Negative/ F3) by Fitch.

Rating Sensitivities

Fitch assessed the base case default rate, recovery rate, time to
recovery and prepayment rate based on the originator's historical
data. These factors, together with the portfolio's weighted
average yield, were stressed in Fitch's ABS cashflow model to
assess whether the transaction CE level was sufficient for the
current rating level. Fitch also assessed the commingling risk of
the servicer and the liquidity sufficiency for timely payment of
PTCs. The transaction is not exposed to interest rate or foreign
currency risks since both the assets and the PTCs are fixed-rate
and are denominated in INR. Fitch also conducted rating
sensitivity tests. An increase in the base-case default rate by
30%, while keeping other risk factors constant, may result in a
two-notch downgrade of the PTCs to 'BBsf'.

The collateral pool assigned to the trust at par had an aggregate
outstanding principal balance of INR2.1bn and consisted of 2,931
loans as of 31 December 2012.

The tranche thickness percentage (TT%), defined as the ratio of
the issue size of the PTCs to the initial collateral pool balance,
is 100%. The tranche thickness loss multiple, which is calculated
as the TT% divided by Fitch's base case loss expectation, is
62.2x.


KUN COMMERCIAL: CRISIL Assigns 'B+' Rating to INR300MM Term Loan
----------------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/Stable' rating to the term loan
facility of Kun Commercial Vehicles Pvt Ltd.

                           Amount
   Facilities            (INR Mln)   Ratings
   ----------            ---------   -------
   Term Loan                300      CRISIL B+/Stable

The rating reflects KCVPL's start-up nature of operations,
geographical concentration in its revenue profile, and the
susceptibility of its operations to intense competition in the
automotive dealership industry. These rating weaknesses are
partially offset by the extensive experience of KCVPL's promoters
in the automotive industry and their financial flexibility.

Outlook: Stable

CRISIL believes that KCVPL will benefit over the medium term from
promoters' established track record in the automotive dealership
business. The outlook may be revised to 'Positive' if KCVPL
significantly scales up its operations while maintaining its
profitability, resulting in sustained improvement in its cash
accruals and capital structure. Conversely, the outlook may be
revised to 'Negative' if KCVPL is unable to stabilize its
operations in a timely manner, thereby impacting its cash
accruals, or if it undertakes a large, debt-funded capital
expenditure programme, adversely impacting its financial risk
profile.

Set up in 2011, KCVPL is an authorized dealer of commercial
vehicles of Daimler India Commercial Vehicles Pvt Ltd (rated
'CRISIL AA/Stable'). The operations of the company are managed by
Mr. Subramania Suresh.


PAL & PAUL: CRISIL Assigns 'B+' Ratings to INR250MM Loans
---------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/Stable' rating to the bank
facilities of Pal & Paul Builders Ltd.

                           Amount
   Facilities            (INR Mln)   Ratings
   ----------            ---------   -------
   Overdraft Facility       139      CRISIL B+/Stable
   Proposed Long-Term       111      CRISIL B+/Stable
   Bank Loan Facility

The rating reflects PPBL's exposure to risks and cyclicality
inherent in the real estate sector in India and average financial
risk profile. These rating weaknesses are partially offset by the
company's diversified revenue profile and its promoters' extensive
experience in the real estate industry.

Outlook: Stable

CRISIL believes that PPBL will maintain its credit risk profile
aided by its promoters' extensive experience in the real estate
business. The outlook may be revised to 'Positive' if the company
strengthens its business risk profile by improving its scale of
operation and expanding its geographical reach. Conversely, the
outlook may be revised to 'Negative' if there is deterioration in
its financial risk profile either on account of lower-than-
expected profitability, or larger-than-expected working capital
requirements.

Incorporated in 1980, PPBL, based in Delhi, was promoted by Mr. D
S Pal. The company operates in the real estate development and
hospitality sector; it owns Hotel Palm Greens as well as some
service apartments in Delhi.


PALMAR MILLS: CRISIL Upgrades Rating on INR91.5MM Loans to 'BB'
--------------------------------------------------------------
CRISIL has upgraded its rating on the long-term bank facilities of
Palmar Mills Pvt Ltd to 'CRISIL BB/Stable' from 'CRISIL BB-
/Stable', while reaffirming the rating on the company's short-term
facilities at 'CRISIL A4+'.

                           Amount
   Facilities            (INR Mln)   Ratings
   ----------            ---------   -------
   Cash Credit              20       CRISIL BB/Stable (Upgraded
                                     from 'CRISIL BB-/Stable')

   Letter of Credit         15       CRISIL A4+ (Reaffirmed)

   Long-Term Loan           71.5     CRISIL BB/Stable (Upgraded
                                     from 'CRISIL BB-/Stable')

The rating upgrade reflects CRISIL's belief that the financial
risk profile of PMPL will continue to improve over the medium
term, backed by improving cash accruals and absence of any large,
debt-funded capital expenditure (capex) plans.

PMPL's gearing is estimated at 1.1 times as on March 31, 2013 and
is expected to improve to around 0.7 times over the medium term.
The company does not have any debt-funded capex plans and is also
focussing on continuing to manage its working capital cycle
efficiently, which is expected to lead to lower debt levels and
reduced interest expense. The interest coverage and net cash
accruals to total debt ratios, estimated at 2.8 times and 0.2
times for 2012-13 (refers to financial year, April 1 to
March 31), are expected to remain over 3 times and 0.3 times,
respectively, over the medium term.

The ratings reflect PMPL's established position in the cotton yarn
market, supported by its promoters' extensive industry experience.
This rating strength is partially offset by PMPL's small, but
steadily improving, scale of operations, and susceptibility to
volatility in raw material prices and sub-par power scenario in
the state.

Outlook: Stable

CRISIL believes that PMPL will continue to benefit from its
promoters' industry experience over the medium term. The outlook
may be revised to 'Positive' if PMPL reports a significant and
sustained improvement in its scale of operations and resultant
cash accruals, favorably impacting its business risk profile.
Conversely, the outlook may be revised to 'Negative' if PMPL
undertakes any large debt-funded capital expenditure programme, or
registers a significant decline in its revenues and operating
margin, leading to deterioration in its financial risk profile.

Established in 1989, PMPL manufactures and sells cotton yarn (30
per cent of revenues) and polyester yarn (70 per cent) in 30s and
40s counts. The company's units are located at Lakshmipuram and
Sithyankotai (Tamil Nadu).


REGALE BASMATI: CRISIL Rates INR150MM Cash Credit at 'B+'
----------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/Stable' rating to the long-term
bank facility of Regale Basmati India Ltd.

                           Amount
   Facilities            (INR Mln)    Ratings
   ----------            ---------    -------
   Cash Credit               150      CRISIL B+/Stable

The ratings reflect the company's below-average financial risk
profile, marked by a modest net worth and weak debt protection
metrics, its modest scale of operations, and weak profitability.
These rating weaknesses are partially offset by the benefits that
RBIL derives from its promoter's extensive experience in the rice
milling industry along with their funding support.

Outlook: Stable

CRISIL believes that RBIL will continue to benefit over the medium
term from its promoter's extensive experience in the rice industry
and their funding support. The outlook may be revised to
'Positive' in case there is improvement in the company's business
and financial risk profiles due to more-than-expected ramp-up in
its scale of operations and profitability. Conversely, the outlook
may be revised to 'Negative' in case of deterioration in the
company's financial risk profile, particularly its liquidity, due
to lower-than-expected cash accruals, stretch in working capital
cycle, or any debt-funded capital expenditure programme.

RBIL is engaged in the export of parboiled basmati rice (including
PUSA and 1121 variety) to Middle-East countries. The company was
incorporated in 2000 with the name Shailesh Properties Ltd, to
undertake trading in real estate. However, the company did not
have any significant operations till 2010-11 (refers to financial
year, April 1 to March 31). In October 2012, the company's name
was changed to RBIL, and it started exporting parboiled basmati
rice. The company does not own any processing facilities and
outsources the milling to a third party company. The company is
based out of its office in Kotkapura (Punjab).


UTHAN EDUCATIONAL: CRISIL Ups Rating on INR255.5MM Loans to 'B+'
----------------------------------------------------------------
CRISIL has upgraded its rating on the bank facilities of Uthan
Educational Society to 'CRISIL B+/Stable' from 'CRISIL D'.

                           Amount
   Facilities            (INR Mln)   Ratings
   ----------            ---------   -------
   Overdraft Facility      30.0      CRISIL B+/Stable (Upgraded
                                     from 'CRISIL D')

   Term Loan               47.8      CRISIL B+/Stable (Upgraded
                                     from 'CRISIL D')

   Proposed Term Loan     177.7      CRISIL B+/Stable (Upgraded
                                     from 'CRISIL D')

The upgrade in rating reflects timely servicing of term loan by
UES. UES's credit risk profile improved significantly over the
past year, backed by increasing cash accruals, driven by increase
in scale of operations and the absence of significant capital
expenditure (capex) programmes. The cash accruals have increased
to INR65.9 million in 2012-13 (refers to financial year, April 1
to March 31) as compared to INR49.6 million in 2011-12 owing to
increased occupancy and commencement of second shift for its
engineering courses; this has resulted in improved liquidity
profile.

The rating upgrade also factors in the improvement in UES's
financial risk profile, marked by decline in the society's gearing
because of reduction in debt levels on account of repayments,
coupled with increase in corpus owing to higher accretion to
reserves and fund infusion by members of the society. CRISIL
believes that UES will sustain its capital structure over the
medium term, backed by the absence of any debt-funded capex.
Furthermore, with increase in intake for two of its courses,
coupled with commencement of second shift for one course, CRISIL
believes that UES will maintain its liquidity over the medium
term, marked by improved cash accruals, which are expected to be
sufficient to meet all its maturing debt obligations.

CRISIL's ratings on UES's bank facilities reflect the society's
modest scale of operations, geographical concentration, and
susceptibility to unfavorable changes in regulatory policies
associated with educational institutions. These weaknesses are
partially offset by UES's established position in the education
sector in Faridabad (Haryana), and the benefits expected from the
healthy demand prospects in the sector.

Outlook: Stable

CRISIL believes that UES will continue to benefit over the medium
term from its strong brand position in Faridabad and the
surrounding areas, and its members' extensive experience in the
education sector. The outlook may be revised to 'Positive' if the
society reports significantly higher-than-expected revenues, most
likely through higher-than-expected occupancy levels for its
courses. An improvement in UES's operating margin, leading to
more-than-expected cash accruals, further enhancing its business
risk profile, may also result in a 'Positive' outlook. Conversely,
the outlook may be revised to 'Negative' if UES reports lower-
than-expected profitability, leading to low cash accruals
constraining its business risk profile or the society's capital
structure deteriorates, most likely because of larger-than-
expected debt-funded capex, or its fee and hostel receipts decline
because of lower occupancy levels at its college and hostels.

UES was established in Haryana in 1999; it offers BTech, MTech,
MBA and MCA courses. UES belongs to the Manav Rachna group of
institutes founded by Dr. O P Bhalla. The group runs five other
educational societies and a deemed university in Faridabad and
Gurgaon.



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


ARYSTA LIFESCIENCE: S&P Assigns 'B' CCR; Outlook Stable
-------------------------------------------------------
Standard & Poor's Ratings Services said it has assigned its 'B'
long-term corporate credit rating to Japan-based crop protection
provider Arysta LifeScience Corp. and U.S. subsidiary Arysta
LifeScience SPC LLC.  The outlook is stable.  At the same time,
S&P assigned its 'B' issue-level ratings to the proposed
$1.1 billion secured first-lien term loan facility and a
$150 million secured first-lien revolving facility for the U.S.
subsidiary, which has been established for the transaction.  S&P
is also assigning its 'CCC+' issue-level rating to a proposed
$555 million secured second-lien term loan facility for the
subsidiary.

S&P's long-term corporate credit rating on Arysta reflects its
"fair" business risk profile, which S&P base on its status as one
of the world's 10 largest makers of crop protection products
despite its niche focus; concentration of its business in the
cyclical agrochemical industry; its small size and small product
portfolio relative to top global peers; its strength in
registration and formulation, which tempers volatility in earnings
to some extent; and its industry-average profitability.  S&P
assess the company's financial risk profile as "highly leveraged,"
reflecting very high reliance on debt despite a low capital
intensive business model, S&P's assessment of the company's
liquidity as "adequate," and a likelihood the company will
generate sufficient free operating cash flow to cover annual debt
payments.  S&P also incorporates into its assessment the Permira
funds and management's 100% ownership of Arysta and Arysta's
dependence on its owner's intention for its financial policy.  In
S&P's base-case scenario, it believes the company's total debt to
EBITDA in fiscal 2014 is likely to improve gradually to mid-5.0x
from 6.3x in fiscal 2012.  EBITDA excludes nonfinancial related
cash discounts.

Arysta LifeScience SPC will refinance all of the group's existing
debt using the proposed term loans and the revolving facility.
After the refinancing, the group will have no other debt.
Therefore, S&P assigns the issue-level rating on the secured
first-lien term loan and the revolving facility at the same level
as the corporate credit rating, because priority liabilities
comprise no more than 15% of total assets on a consolidated basis.
S&P sets the issue-level rating on the secured second-lien term
loan two notches below the corporate credit rating on Arysta.  S&P
considers the secured second-lien term loan junior to the first
lien debt and thereby to have relatively poor prospects of
recovery in the event of a default.  The two-notch subordination
reflects S&P's view that the priority liabilities, including first
lien debt, exceed 30% of the group's total assets.  Arysta and
related subsidiaries will guarantee the term loans and the
revolving facility.

The outlook is stable.  Despite the cyclical nature of the crop
protection industry, S&P believes the strengths in registration
and formulation that Arysta uses to keep its product portfolio
relatively fresh are likely to underpin its average profitability
relative to its industry peers.  Considering its high use of debt
and gradual debt repayments, S&P believes the company is likely to
maintain a "highly leveraged" financial risk profile for the next
12 months despite gradual improvement in earnings and profit.

The company has a low conversion rate of EBITDA to FFO.  Thus, if
S&P was to consider an upgrade, it would focus on the company's
ability to improve FFO.  S&P is likely to upgrade the company if
its FFO improves materially--as a result of a materially higher
conversion ratio of EBITDA to FFO--and debt declines
significantly.  S&P's upgrade trigger includes FFO to debt above
12% and total debt to EBITDA (EBITDA excludes nonfinancial related
cash discounts) below 5x, both on a sustained basis.  On the other
hand, S&P is likely to lower its ratings if the company faces more
severe competition and the strength of its niche business and
profitability erode, in turn producing a likelihood that total
debt to EBITDA will rise to close to 6.5x.


RENESAS ELECTRONICS: Annual Loss Widens to JPY167.58 Billion
------------------------------------------------------------
The Japan Times reports that Renesas Electronics Corp.'s group net
loss expanded to JPY167.58 billion in the business year ended in
March on sluggish sales and hefty restructuring costs. Renesas
posted a JPY62.60 billion loss the year before, the report says.

The report relates that the company said that its group operating
loss had narrowed to JPY23.22 billion, compared with
JPY56.75 billion the previous year, on sales of JPY785.76 billion,
down 11.0 percent.

According to the report, the company did not release its earnings
projection for the current business year but said it will do so
after Innovation Network Corp. of Japan, a government-backed
corporate turnaround body, and eight of its top clients, including
Toyota Motor Corp., complete their investments in the company.

Renesas is set to receive investments worth JPY150 billion to
improve its deteriorating financial profile, the Japan Times
notes.

The company also announced that its board had decided to name
Omron Corp. Chairman Hisao Sakuta as its chief executive officer
and chairman.  Mr. Sakuta is expected to assume the posts after a
general shareholders' meeting slated in June, the report adds.

                    About Renesas Electronics

Based in Tokyo, Japan, Renesas Electronics Corp. --
http://am.renesas.com/-- manufactures semiconductor systems for
mobile phones and automotive applications.

For the fiscal year that ended March 31, 2012, the chip maker
reported a net loss of JPY62.60 billion and revenue of
JPY883.11 billion.  In the previous fiscal year when the company
was created, it reported a net loss of JPY115.02 billion, The
Wall Street Journal reported.

In February, shareholders of Renesas Electronics Corp. approved a
JPY150 billion investment plan from a government-backed fund and
eight companies to accelerate restructuring steps, he Japan Times
Online reported.


RESONA HOLDINGS: Says Bailout to End in a Few Years
---------------------------------------------------
The Japan Times reports that Resona Holdings Inc. is negotiating
with the Financial Services Agency to repay JPY871.6 billion in
public funds it received in a state-backed bailout within a few
years, sources said.

By next March, the report relates, Resona plans to repay most of
the JPY450 billion that was injected into the banking group via
purchases of preferred shares to rescue and effectively
nationalize it in 2003.

The report says it is also expected to gradually buy back
JPY160 billion worth of other government-held shares from a
previous bailout, but the December 2014 deadline for converting
some of these preferred shares into common stock may be postponed.

The remaining JPY261.6 billion in public funds is represented by
state-held common shares the government may sell, depending on
stock market conditions, the report notes. Resona may buy back
some of them.

As of September 2003, the Resona group had 3.128 trillion in
public funds to repay for its nationalization.

Resona has slowly whittled that down over the course of a decade
by accumulating retained earnings to repay the money.

                          About Resona Holdings

Japan-based Resona Holdings Inc. -- http://www.resona-gr.co.jp/
-- is a holding company.  Through its subsidiaries and associated
companies, the company is engaged in general banking, trust
operation, credit card and financial services.  The company is
comprised of 15 domestic subsidiaries and 21 overseas
subsidiaries, as well as two associated companies.  It has
operations in Japan, the United Kingdom, Indonesia, Thailand and
the Cayman Islands.

Bloomberg News said Resona Holdings in 2010 planned to repay as
much as JPY900 billion of government bailout funds using proceeds
from a share sale and internal reserves.  The Tokyo-based bank on
Nov. 5, 2010, registered to sell as much as JPY600 billion of
common stock this.  It plans to use money from the sale, plus
JPY300 billion of reserves, to buy back preferred stock from the
government and retire the shares to avoid potential dilution,
Bloomberg noted.  The bank is under pressure to repay a 2003
bailout to regain independence and compete with its bigger rivals,
according to Bloomberg.


* JAPAN: Securities Firms' Sustainable Growth Uncertain
--------------------------------------------------------
Japan's large securities companies have benefitted from the new
government's growth strategy as well as expansion of monetary
easing measures, but the sustainability of performance remains in
question, Fitch Ratings says. Ultimately, top-line profitability
is still susceptible to investor confidence -- which may fade if
the government's policy fails to stimulate real and lasting
economic growth.

Year-end results show that aggregate net operating revenue for the
five largest securities firms -- Nomura Holdings, Daiwa Securities
Group, SMBC Nikko Securities, Mitsubishi UFJ Morgan Stanley
Securities and Mizuho Securities -- rose by over 22% in the year
ended March (FYE13). Over a third was generated in the last
quarter ending March (Q4FYE13) when market conditions turned
favorable. The full-year trading gains were particularly strong,
rising by 43% yoy. Fees and commissions were up more modestly, by
12%.

Prime Minister Abe's new economic policy and the Bank of Japan's
additional monetary easing provided a boost to equity values and
trading volume during Q4FYE13. In Q4FYE13, the Nikkei 225 rose by
19%, and total trading volume on the Tokyo Stock Exchange was up
by nearly 60% compared with the previous quarter. The securities
firms have earned wider spreads on client activities, helped by
the upward momentum and greater volatility.

However, it remains uncertain whether the market will be able to
maintain a long-term positive trend without clear evidence of
recovery in the real economy - and, therefore, corporate earnings.
The recent rapid rise in equity prices could result in greater
downside risk, and may dampen investor appetite for further risk-
taking.

A prolonged slump in overseas business prompted Nomura and Daiwa
to restructure their global strategies over the past few years. We
believe the timely reallocation of the sales force as they wind
down unpromising business areas will continue to be critical for
enhancing overall operating efficiency.


* S&P Puts Ratings on 3 Japanese Tranches On CreditWatch Positive
-----------------------------------------------------------------
Standard & Poor's Ratings Services said that it has placed its
ratings on three Japanese synthetic collateralized debt obligation
(CDO) transactions on CreditWatch with positive implications.

The CreditWatch positive placements reflect the tranches'
synthetic rated overcollateralization (SROC) levels, which
exceeded 100% with sufficient SROC cushions at higher ratings than
the current ratings as of April 30, 2013.

S&P intends to review these tranches by the end of this month.

          STANDARD & POOR'S 17G-7 DISCLOSURE REPORT

SEC Rule 17g-7 requires an NRSRO, for any report accompanying a
credit rating relating to an asset-backed security as defined in
the Rule, to include a description of the representations,
warranties and enforcement mechanisms available to investors and a
description of how they differ from the representations,
warranties and enforcement mechanisms in issuances of similar
securities.  The Rule applies to in-scope securities initially
rated (including preliminary ratings) on or after Sept. 26, 2011.

If applicable, the Standard & Poor's 17g-7 Disclosure Reports
included in this credit rating report are available at:

            http://standardandpoorsdisclosure-17g7.com

RATINGS PLACED ON CREDITWATCH POSITIVE
Corsair (Jersey) No. 2 Ltd.
Series 46 credit default swap
To                       From           Amount
BBsrp (sf)/Watch Pos     BBsrp (sf)     JPY3.0 bil.

Signum Vanguard Ltd.
Class A secured fixed rate credit-linked loan series 2005-04
To                       From           Amount
B- (sf)/Watch Pos        B- (sf)        JPY4.0 bil.

Class A secured floating rate credit-linked loan series 2005-06
To                       From           Amount
BpNRi (sf)/Watch Pos     BpNRi (sf)     JPY3.0 bil.



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


ASCENSION WINE: Placed Into Voluntary Receivership
--------------------------------------------------
Georgina Bond at NBR Online reports that Ascension Wine Estate
has been placed into receivership.

According to the report, the landmark winery on Matakana Rd was
put into voluntary receivership on May 6 when owners Darryl and
Bridget Soljan asked the bank to call in the receivers.

The Soljans are the fifth-generation of the Soljan family, of
Yugoslav origins, to grow grapes and make wine for a living, the
report says.

NBR reports that receiver Andrew McKay -- amckay@corpfin.co.nz --
from Corporate Finance said his team will continue to trade the
business, and functions and events booked at the venue will go
ahead.

Ascension Wine Estate is a winery and popular events venue in
Matakana, north of Auckland. The home vineyard makes a range of
red, white and sparkling wine under the Ascension label.


DOMINION FINANCE: Director Pleads Guilty to FMA Charges
-------------------------------------------------------
APNZ reports that failed Dominion Finance director Ann Butler has
pleaded guilty to seven charges of making untrue statements to
prospective investors.

Ms. Butler appeared briefly in the High Court at Auckland on
Friday, the report relates.

She had no comment to make to APNZ as she left court and is due
for sentencing next month.

APNZ adds that the Financial Markets Authority said Ms. Butler was
the 27th finance company director to be convicted in proceedings
taken by FMA and the first of the Dominion Finance directors to
enter a guilty plea.

                       About Dominion Finance

Based in Auckland, New Zealand, Dominion Finance Holdings
Limited was engaged in the provision of financial services
through the raising of debenture stock.  The company operated
through its wholly owned subsidiaries Dominion Finance Group
Limited and North South Finance Limited, and investment vehicle
Dominion Investment Fund Limited.  Both Dominion Finance Group
Limited and North South Finance Limited accepted debenture stock
investments and apply them (in conjunction with its own funds)
towards the provision of certain loans and other financial
accommodation.

Dominion Finance was put into receivership in September 2008
owing about NZ$176.9 million to more than 5,900 investors. It was
put into liquidation by the High Court at Auckland in May 2009.
Associate Judge Faire appointed William Black and Andrew Grenfell
of McGrathNicol as liquidators of the firm.  Receiver Rod
Partington of Deloitte said the liquidation application will not
affect the progress of the receivership.

North South Finance went into receivership in July 2010.

In total, the group is estimated to owe creditors NZ$400 million.


HANOVER FINANCE: Serious Fraud Office Probe Cost NZ$1.1 Million
----------------------------------------------------------------
BusinessDesk.co.nz reports that the Serious Fraud Office
investigation into failed company Hanover Finance cost the
regulator about NZ$1.1 million.

The SFO said it spent about NZ$600,000 on its own staff and
overheads and a further NZ$505,111 on advisers during the 32-month
investigation, the report relates.  The office earlier said it
won't lay charges against any of the firm's directors or owners
because it had exhausted all avenues of investigation and found
nothing to meet its threshold to pursue a prosecution, according
to the report.

"Investigations of this scale are expensive and time consuming,"
the report quotes acting SFO chief executive Simon McArley as
saying. "However it is essential that we are able to make the
commitment to this scale of investigation so that a credible
deterrent to offending is maintained."

The SFO has completed 15 investigations arising out of the
collapse of the finance company sector.

"That collapse had a profound impact on many New Zealanders and
rocked confidence in the integrity of our savings institutions and
financial markets," Mr. McArley, as cited by BusinessDesk.co.nz,
said. The SFO delivered a positive outcome in the majority of
cases, helping rebuild confidence.

                       About Hanover Finance

Hanover Finance Limited -- http://www.hanover.co.nz/-- was
New Zealand's third-largest privately-owned finance company with
total assets of NZ$796 million at December 31, 2007.  The company
was established in 1984 to provide finance to the rural sector
and began lending to property developers and investors in 1995.
The loan portfolio has been gradually downsized since 2006 as a
result of a more cautious approach to lending in the face of
retail funding constraints.

Hanover Finance's investors in December 2008 voted in favor of
the company's Debt Restructure Proposals, including a plan to
fully repay NZ$552.6 million principal it owes over five years.
However, Hanover Finance said in November 2009 it is no longer
likely to fully repay investors under a debt restructuring plan
due to a deterioration in the commercial property development
market, a TCR-AP report on Nov. 12, 2009, said.

In December 2009, investors agreed to swap their Hanover
interests for shares in Allied Farmers Ltd.

The Serious Fraud Office commenced an investigation into the
affairs of Hanover Finance Ltd in September 2010 after
considering complaints received from the Securities Commission,
Allied Farmers and others.

The Financial Markets Authority, on March 30, 2012, filed civil
proceedings against directors and promoters of Hanover Finance
Ltd, Hanover Capital Ltd, and United Finance Ltd.  Proceedings
under the Securities Act have been filed against Mark Hotchin,
Eric Watson, Greg Muir, Sir Tipene O'Regan, Bruce Gordon and
Dennis Broit. They relate to statements made in the
December 2007 prospectuses, subsequent advertising, and the
March 2008 prospectus extension certificate.

SFO on April 30 said it has completed its investigation
of Hanover Finance, bringing to an end its investigations into the
2007/08 finance company collapses. That process, which saw SFO
investigate 15 separate companies, resulted in criminal
prosecutions in relation to nine companies. Overall, 23
individuals have faced charges laid by SFO.



                             *********

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., Washington, D.C., USA.
Valerie U. Pascual, Marites O. Claro, Joy A. Agravante, Rousel
Elaine T. Fernandez, Julie Anne L. Toledo, Frauline S. Abangan,
and Peter A. Chapman, Editors.

Copyright 2013.  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$775 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 215-945-7000 or Nina Novak at 202-241-8200.



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