TCRAP_Public/980831.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, August 31, 1998, Vol. 1, No. 133

                    Headlines


C H I N A   &   H O N G   K O N G

ANEX INTERNATIONAL HOLDINGS: Results announcement
AWT HOLDINGS: AWT hit with $8.3m loan writ
CHINA EASTERN AIRLINES: Results announcement
G-PROP (HOLDINGS) LIMITED: Results announcement
HONKO INTERNATIONAL: Auditor reveals doubts over accounts

NANJING PANDA: Results announcement
PARAMOUNT PUBLISHING: Results announcement
SEAPOWER RESOURCES INTERNATIONAL: Results announcement
SOUTH SEA DEVELOPMENT: Results announcement
STYLAND HOLDINGS LIMITED: Results announcement

THEME INTERNATIONAL: Troubled Theme faces rent action


I N D O N E S I A

CHANDRA ASRI: Creditors give JV three years' grace
DAGANG NATIONAL INDONESIA: Moody's withdraws Dagang ratings
DARYA-VARIA LABORATORIA: Results announcement
PT GARUDA: Reschedules US$285 million in debt


J A P A N  

ASAHI BANK: Moody's slashes bank's ratings
HINO MOTORS: Widens pre-tax loss
JAPAN LEASING: Charged with giving loans to group firms             
LONG TERM CREDIT: Merger plans with Sumitomo postponed
RHYTHM WATCH: Results expected sharply lower

TATSUTA ELECTRIC: Reverses earnings forecast
TOKAI BANK: Moody's slashes bank's ratings


K O R E A

DONGBANG PEREGRINE: Unveils self-rescue plan


M A L A Y S I A

ANDALAS TRAVEL & TOURS SDN BHD: Winding-up petition
AUTOWAYS HOLDINGS: Restructuring plan will work
CEC ENTERPRISE (M) SDN BHD: Winding-up petition
FA PENINSULAR BHD: Maintains a low profile
FISCO SDN BHD: Winding-up petition

MONEX TIMBER PRODUCTS SDN BHD: Winding-up meeting
PKNK TRADING SDN BHD: Winding-up petition
SECTER SDN BHD: Winding-up petition
SINEWAH SDN BHD: Voluntary winding-up
SYARIKAT WAJAHNIKA SDN BHD: Winding-up petition

TANG AH ELECTRICAL CONSTRUCTION: Winding-up petition


P H I L I P P I N E S

PHILIPPINE AIRLINES: Pilots' cases dismissed


S I N G A P O R E

DEVELOPMENT BANK OF SINGAPORE LTD: S&P lowers DBS ratings
MCL LAND: Makes provisions on freehold plots


T H A I L A N D

BANGKOK BANK OF COMMERCE: Eight BBC cases pending
PETROLEUM AUTHORITY OF THAILAND: Expects lower profits
THAI FARMERS BANK: Outlines plan to raise $3 billion
THAI SAMSUNG ELECTRONICS: B400m committed by Korean parent


=================================
C H I N A   &   H O N G   K O N G
=================================

ANEX INTERNATIONAL HOLDINGS: Results announcement
-------------------------------------------------
Losses at Anex International Holdings have widened in the
year to March 31 to HK$ 52.11 million from HK$42.37 million
in the previous year. Loss per share amounted to 14.6 cents
against last year's 12.5 cents. The company incurred an
exceptional loss of HK$12.10 million representing
provisions for bad debts and the deficit on the revaluation
of investment properties.  

In the prior year, on 24 November, 1996, the Group disposed
of a 21% equity interest in Supreme Investment Holding
Limited ("SIHL") at a loss of HK$4,251,000 and thereafter
the remaining 30% equity interest was classified as an
interest in an associated company and accounted for under    
the equity accounting method.

In June 1997, a legal action was taken out by the founder
shareholders of SIHL against the Company to buy back the
remaining 30% equity interest in SIHL for a consideration
of HK$12,075,000. To be prudent, the Directors made a
provision amounting to HK$27,973,000 against the interest    
in the associated company at the balance sheet date to the
recoverable amount in the event of an unsuccessful defence
of the claim.

On 14 November 1997, the Company and the founder
shareholders reached a settlement for the legal action (the
"Settlement"). Pursuant to the terms of the Settlement, the
Company agreed to sell back to the founder shareholders the
30% equity interest in SIHL for a cash consideration of    
HK$17,075,000 resulting in a gain on disposal of
HK$3,400,000 after deducting related legal fees.


AWT HOLDINGS: AWT hit with $8.3m loan writ
------------------------------------------
According to the SCMP, troubled freight forwarding company
AWT Holdings has been hit with a writ demanding $8.3
million in alleged unpaid loans.

The writ said that Canadian Eastern Finance is seeking the
sum from AWT as guarantor after the original borrower,
Konmore, defaulted in payments in June this year.

Canadian Eastern is also seeking interest at the rate of
6.5 percent per annum and costs.

AWT, which suffered a net loss of $287 million for the five
months to February, said in May that it had received writs
from creditors demanding repayment of $45 million.


CHINA EASTERN AIRLINES: Results announcement
--------------------------------------------
China Eastern Airlines posted a loss of 33.2 million yuan
for the first six months of 1998 down from a 306 million
yuan profit during the same period last year. China Eastern
blamed pressure to discount, regional currency
depreciations and surplus capacity as factors weigh down
its interim results.


G-PROP (HOLDINGS) LIMITED: Results announcement
-----------------------------------------------
G-Prop (Holdings) Limited announced results for the year
ending March 31, 1998 as a net loss of HK$720 million on
turnover of HK$280 million. This compares to a net profit
of HK$27 million on turnover of HK$282 million for the
corresponding 1997 period. The loss was attributable to
several exceptional items, among them a deficit arising
from a  revaluation of investment properties of HK$442
million.


HONKO INTERNATIONAL: Auditor reveals doubts over accounts
---------------------------------------------------------
According to the SCMP, the auditor of electronics product-
maker Honko International Holdings has disclaimed its
opinion on the company's accounts, which showed a $382.06
million net loss in the year to March 31 against a $45.68
million net profit in the previous year.

The disclaimer of opinion was based on significant
uncertainty surrounding the company's negotiations with
bank creditors over a formal standstill agreement on $157
million in outstanding debts.

Honko said it had appointed a financial adviser to look for
an interested party to buy a stake in the company in
exchange for cash.

Floated only 22 months ago, the company's net loss was
largely attributed to a $365.52 million exceptional loss.
Turnover dropped 4 percent to $523.91 million. Loss per
share was $1.19 compared with earnings per share of 20
cents previously.


NANJING PANDA: Results announcement
-----------------------------------
Nanjing Panda Electronics Company Limited announced half-
year results as a net loss of RMB 194 million on turnover
of RMB 998 million. This compares to a net profit of RMB 47
million on turnover of RMB 1.2 billion for the  
corresponding 1997 period.


PARAMOUNT PUBLISHING: Results announcement
------------------------------------------
Paramount Publishing, a Hong Kong listed company, has
narrowed its loss to HK$59.54 million for the year to March
31, 1998 from a loss of HK$75.28 million last year.
Turnover increased to HK$398.4 million from HK$380.9
million in the previous corresponding year. Loss per share
amounted to 25.4 cents compared to 32.1 cent last year.


SEAPOWER RESOURCES INTERNATIONAL: Results announcement
------------------------------------------------------
Seapower Resources International Ltd saw net profit plunge
70.6% to HK$15.35 million for the year to March 31,
compared with HK$2.25 million in the previous year.
Turnover rose to HK$956.3 million in the period under
review from HK$806.1 million in the financial year of 1997.
Operating profit increased to HK$82.5 million from HK$70
million. During the period, the company reported
exceptional losses of a HK$80.48 million.

The auditors concluded that financial statements for the
year ended 31st March, 1998 gave a true and fair view of
the state of affairs of the Company and the Group as of
31st March, 1998 and of the profit and cash flows of the
Group for the year then ended.

However, the auditors added to their report an explanatory
paragraph describing the fundamental uncertainty relating
to the valuation of land held by the Group for development
in Indonesia, which was stated at a book value of
approximately HK$202,706,000 as of 31st March, 1998.


SOUTH SEA DEVELOPMENT: Results announcement
-------------------------------------------
A large exceptional loss made South Sea Development Company
Limited, a Hong Kong investment holding firm and textile
manufacturer, a net loss of HK$451.8 million for the year
to March 31, 1998. The loss is around 4.8 times the
previous year's HK$78.47 million loss. The company said it
recorded a HK$300.67 million exceptional loss, about 6.6
times more than the HK$39.42 million loss a year ago, while
loss per share widened by 58.2% from a HK$13.62 to a
HK$71.81.

Due to changes in the market situation, the directors of
the Company disposed of the Group's audio product sales
business mainly carried out in the People's Republic of
China ("PRC") and the interior decoration and contracting
business solely carried out in Hong Kong.

Assets and liabilities relating to the respective
businesses were assigned at their fair value at 31 December
1997 and 31 January 1998, respectively.


STYLAND HOLDINGS LIMITED: Results announcement
----------------------------------------------
Styland Holdings Limited announced results for the year
ending March 31 as a net loss of HK$45 million on turnover
of HK$150 million. This compares to a net profit of HK$10
million on turnover of HK$113 million for the corresponding
1997 period.


THEME INTERNATIONAL: Troubled Theme faces rent action
-----------------------------------------------------
According to the SCMP, slump-hit retailer Theme is being
sued by King Prosper Enterprises for failing to pay rent
for its Causeway Bay store since July and faces eviction.

The rent arrears amount to $514,705. According to the writ,
a tenancy agreement was signed in April for Theme to lease
the premises until April 2000 at $245,000 a month.

King Prosper is also seeking damages, interest and costs.

Theme has also been hit with litigation over alleged unpaid
rent of $2.5 million for 4 other stores.


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

CHANDRA ASRI: Creditors give JV three years' grace
--------------------------------------------------
Kyodo News reports the Export-Import Bank of Japan and
seven other creditor banks to a giant Japan-Indonesian
chemical company agreed Friday to give it a three-year
grace period for repayments of some 720 million dollars in  
loan principal, bank officials said.

The seven other creditors are two Japanese banks -- Fuji
Bank and the Bank of Tokyo-Mitsubishi -- and five
Indonesian state banks.

The Chandra Asri joint venture has a total of 472 million
dollars in outstanding loans from the Japanese banks and
247 million dollars from the Indonesian banks.

The joint venture, which is owned by Marubeni, Showa Denko
K.K. and Indonesian concerns and has one of the largest
ethylene plants in Southeast Asia, began operating in 1995
but fell into financial trouble as a result of falls in  
chemical product prices caused by the Asian economic
turmoil.


DAGANG NATIONAL INDONESIA: Moody's withdraws Dagang ratings
-----------------------------------------------------------
According to the Hong Kong Standard, Moody's Investors
Service said Thursday it had withdrawn its long and short
term foreign currency deposit and financial strength
ratings for Bank Dagang National Indonesia (BDNI).

It said the move followed the suspension by the central
bank of the operations of BDNI, Indonesia's fourth largest
bank, on August 23. Ratings withdrawn were "Ca" long-term
and "Not Prime" short-term foreign currency deposit
ratings, and the "E" financial-strength rating.


DARYA-VARIA LABORATORIA: Results announcement
---------------------------------------------
Darya-Varia Laboratoria, the Indonesian pharmaceuticals
subsidiary of First Pacific, said attributable losses
widened to HK$468.6 billion rupiah for the six months to
June 30 from 26.1 billion rupiah the previous year, due to
foreign exchange losses and increased interest costs on US
dollar debt. Turnover grew 36.4 % to 122.7 billion rupiah.


PT GARUDA: Reschedules US$285 million in debt
---------------------------------------------
According to Asia Pulse, national carrier PT Garuda
Indonesia had rescheduled $US285 million of its US$400
million debts which were due in five years, president
director Robby Djohan said.

He also said the Garuda Maintenance Facility (GMF) would be
sold to improve the efficiency of the company. He said  
the rescheduling of debts would boost Garuda's financial
performance and the company was expected to be profitable
by the year 2000.


=========
J A P A N  
=========

ASAHI BANK: Moody's slashes bank's ratings
------------------------------------------
An AP report says Moody's Investor Service Thursday lowered
the long-term debt and deposit ratings of Asahi Bank Ltd.
and Tokai Bank Ltd. by two ranks to "Baa1" from the  
previous "A2."

A "Baa1" rating is two steps up from a non-investment
worthy, or junk, grade rating. Reduced creditworthiness
indicates increased risk for investors, so the downgrade
could raise the banks' borrowing costs.

Moody's said in a statement that it was concerned about the
banks' loan exposure to the troubled construction and real
estate sectors.

Moody's said both banks still have strong operating
franchises in regional retail and middle banking markets,
however.


HINO MOTORS: Widens pre-tax loss
--------------------------------
Bloomberg reports shares of Hino Motors, Ltd. fell 80 yen
to 298. The bus and heavy-duty truck maker widened its
parent pretax loss forecast to 20 billion yen for the half-
year ending in September. That's 300.0 percent more than
the most recent forecast by Toyo Keizai.


JAPAN LEASING: Charged with giving loans to group firms             
-------------------------------------------------------
Kyodo News reports an opposition lawmaker charged Thursday
that Japan Leasing Corp., an affiliate of the troubled
Long-Term Credit Bank of Japan, extended 259.8 billion yen
in loans to seven group companies that exist only on paper.

Raising the issue at the House of Representatives' special
committee on financial stabilization, Rikukai Sasaki of the
Japanese Communist Party said bad loans held by Japan
Leasing could have been transferred to these paper  
companies.

A Japan Leasing official who serves as a board member of
one of the seven companies declined to comment on Sasaki's
claims.

Most of the companies were set up for real estate
investment during the bubble economy in the late 1980s and
are now in the red.

Grappling with mountains of bad loans, LTCB announced a
restructuring program last Friday that calls for waiving
claims on 520 billion yen in outstanding loans to three
nonbank financial affiliates, including 250 billion yen to
Japan Leasing.


LONG TERM CREDIT: Merger plans with Sumitomo postponed
------------------------------------------------------
An AP report in the Korea Times reports that the
anticipated merger between the Long Term Credit Bank of
Japan Ltd. (LTCB) and the Sumitomo Trust and Banking
Company Ltd. has been put off for at least a month,
according to a Sumitomo spokesman. The reason cited was
that it will take until October to complete the
investigation of LTCB's bad loans by the Japanese
government's Financial Supervisory Agency. Sumitomo Trust
itself will also complete its own examination of LTCB's
loan portfolio before proceeding with the merger. The
existence of merger talks between these two banks was first
announced in late June of this year.

Moody's Investor Service Inc. downgraded the credit ratings
of the LTCB earlier this month. According to an AP report,
the bank's long-term deposit rating has now dropped to just
above speculative, or junk bond status. Its senior debt was
also reported cut to speculative grade.

Furthermore, the ratings outlook for the bank was listed as
negative because of uncertainty regarding the confirmation
of the pending merger with the Sumitomo Trust and Banking
Company Ltd.

Standard and Poor's Ratings Group also has reduced earlier
this month the long-term senior debt, certificate of
deposit, and counterparty-credit ratings of the LTCB from
to triple B-minus to double B plus. Its short-term ratings
were also reduced to B from A-3. These downgrades reflected
concern about the bank's unimproved funding situation and
the slight chance that the planned merger with Sumitomo
Trust & Banking Co. might not go through.

According to earlier reports in the Asian Wall Street
Journal, the LTCB is Japan's 10th largest lender and is
also the bank in this deal that is the most troubled.  
Sumitomo is smaller but more sound. The LTCB was set up
after WWII as one of an exclusive group of three providers
of long-term loans. These three banks were given exclusive
access to key areas of the domestic bond market in order to
provide a stable source of long-term funding and to fuel
Japan's economic growth.

The Nihon Keizai reports Finance Minister Kiichi Miyazawa
told the Diet on Thursday that Long-Term Credit Bank of
Japan is "certain to fail unless it receives an injection
of public funds." The government will extend such support
if former bank executives return their retirement
allowances and other conditions are met, he said.

Appearing before the same lower house committee, Masaharu
Hino, head of the Financial Supervisory Agency, did not
rule out the possibility that his agency will order the
bank to suspend operations.


RHYTHM WATCH: Results expected sharply lower
--------------------------------------------
Bloomberg reports shares of Rhythm Watch Co. fell 5 yen to
189. The clock maker reversed its previous forecast to a
parent pretax loss of 300 million yen for the half-year
ending in September. That's 400.0 percent more than the
most recent forecast by Toyo Keizai.


TATSUTA ELECTRIC: Reverses earnings forecast
--------------------------------------------
Bloomberg reports shares of Tatsuta Electric Wire and Cable
Co. fell 14 yen to 196. The electric wire and cable maker
reversed its previous forecast to a parent pretax loss of
400 million yen for the half-year ending in September.
That's 500.0 percent more than the most recent forecast by
Toyo Keizai.


TOKAI BANK: Moody's slashes bank's ratings
------------------------------------------
An AP report says Moody's Investor Service Thursday lowered
the long-term debt and deposit ratings of Asahi Bank Ltd.
and Tokai Bank Ltd. by two ranks to "Baa1" from the  
previous "A2."

A "Baa1" rating is two steps up from a non-investment
worthy, or junk, grade rating. Reduced creditworthiness
indicates increased risk for investors, so the downgrade
could raise the banks' borrowing costs.

Moody's said in a statement that it was concerned about the
banks' loan exposure to the troubled construction and real
estate sectors.

Moody's said both banks still have strong operating
franchises in regional retail and middle banking markets,
however.


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

DONGBANG PEREGRINE: Unveils self-rescue plan
--------------------------------------------
The Korea Herald reported that Dongbang Peregrine
Securities Company has announced its self-rescue plan to
meet the requirements of the Financial Supervisory
Commission (FSC). The plan calls for the company to raise
35 billion won ($26.5 million) by issuing subordinate bonds
and making additional rights issues by September 15. The
company also plans to buy back its 44.3 percent stake from
the Hong Kong-based Peregrine Securities Company for one
($1) dollar, and reduce its own capital.  

The company will also close a wholly owned subsidiary,
Dongbang Peregrine Investment Trust Management, and then
merge with DIBC Futures, subsidiary of its parent firm
Daihan Investment Banking Corporation. This plan will
be presented to shareholders at a September 12th meeting.

The FSC found earlier this month that Dongbang Peregrine
Securities Company had an operating capital ratio of minus
73.9 percent. It is also one of four brokerage houses that
the FSC requires the submission of rehabilitation plans
outlining how they plan to meet a 150 percent capital
adequacy requirement and a 100 percent asset to debt ratio.  
The FSC will then decide whether or not to approve these
plans, which are due on September 19. Those failing to have
their revival plans approved will face closure.  

The Korea Times also report earlier that the FSC has banned
Dongbang Peregrine Securities from purchasing new foreign
currency securities and from investing in offshore funds
and derivative trades in order to prevent it from
additional debt exposure.


===============
M A L A Y S I A
===============

ANDALAS TRAVEL & TOURS SDN BHD: Winding-up petition
---------------------------------------------------
Perbadanan Pembangunan Bandar on 30/6/98 petitioned for the
winding-up of Andalas Travel & Tours Sdn Bhd. The petition
is directed to be heard on 30/10/98.


AUTOWAYS HOLDINGS: Restructuring plan will work
-----------------------------------------------
Singapore BusinessTimes reports Autoways Holdings Bhd,
which has been granted court protection against  
creditors under Section 176 of the Companies Act, firmly
believes it can be reformed into a vigorous entity and
dynamic business through judicious restructuring.

Chairman Chua Sin Han says in the group's latest annual
report that with the restructuring, the group will be able
to ride out the downturn and be in excellent form to reap
maximum profits from the inevitable upturn, or revival  
of the market.

According to one of the notes to accounts, the proposed
restructuring scheme involves a capital reduction, debt
reconstruction, issue of new shares and injection of new
viable businesses.

Details of the scheme, which have yet to be finalised, are
subject to the approval of the shareholders, creditors, the
High Court and relevant authorities.

In the year under review, the group suffered a pre-tax loss
of RM237.94 million on a turnover of RM139.54 million. Loss
after tax was RM237.03 million while loss per share was
990.9 sen. As a result, the group has a shareholders  
deficit of RM171.1 million.

Arthur Andersen & Co, in its auditors' report to
shareholders of Autoways, says that "the ability of the
group to continue as a going concern is dependent upon the
successful completion of the restructuring exercise."


CEC ENTERPRISE (M) SDN BHD: Winding-up petition
-----------------------------------------------
Public Bank Bhd on 15/9/97 petitioned for the winding-up of
CEC Enterprise (M) Sdn Bhd. The petition is directed to be
heard on 2/9/98.


FA PENINSULAR BHD: Maintains a low profile
------------------------------------------
FA Peninsular Bhd, a company listed in the KLSE involved in
the cocoa and stockbroking sectors, will maintain a low
profile until the economic situation turns for the better.

Its stockbroking arm recorded a loss of RM9mil against a
profit of RM3.3mil previously.

The group made a pre-tax loss of RM15.6mil for the
financial year ended 31/3/98, from a loss of RM0.7mil last
year.


FISCO SDN BHD: Winding-up petition
----------------------------------
Perbadanan Pembangunan Bandar on 30/6/98 petitioned for the
winding-up of Fisco Sdn Bhd. The petition is directed to be
heard on 30/10/98.


MONEX TIMBER PRODUCTS SDN BHD: Winding-up meeting
-------------------------------------------------
Pursuant to the directors' resolution to wind-up Monex
Timber Products Sdn Bhd, a first meeting is called for the
creditors on 24/9/98.


PKNK TRADING SDN BHD: Winding-up petition
-----------------------------------------
Multi-Usage Trading Sdn Bhd on 28/6/98 petitioned for the
winding-up of PKNK Trading Sdn Bhd. The petition is
directed to be heard on 3/10/98.


SECTER SDN BHD: Winding-up petition
-----------------------------------
Bank of Commerce (M) Bhd on 30/6/98 petitioned for the
winding-up of Secter Sdn Bhd. The petition is directed to
be heard on 30/10/98.


SINEWAH SDN BHD: Voluntary winding-up
-------------------------------------
The members of Sinewah Sdn Bhd on 24/8/98 resolved to wind-
up the company voluntarily. Creditors of the company are
requested to submit their claims before 28/9/98.


SYARIKAT WAJAHNIKA SDN BHD: Winding-up petition
-----------------------------------------------
Perbadanan Pembangunan Bandar on 30/6/98 petitioned for the
winding-up of Syarikat Wajahnika Sdn Bhd. The petition is
directed to be heard on 30/10/98.


TANG AH ELECTRICAL CONSTRUCTION: Winding-up petition
----------------------------------------------------
Public Bank Bhd on 21/8/98 petitioned for the winding-up of
Tang Ah Electrical Construction Sdn Bhd.


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

PHILIPPINE AIRLINES: Pilots' cases dismissed
--------------------------------------------
BusinessWorld reports the National Labor Relations
Commission (NLRC) has dismissed both cases filed by members
of the Airline Pilots Association of the Philippines
(ALPAP) against the PAL management.

Sources privy to the drafting of the decisions said NLRC
labor arbiter Voltaire Balitaan has already dismissed the
illegal lock-out case filed by the pilots on the basis of
the existence of the assumption of jurisdiction order     
issued by then Labor Secretary Leonardo Quisumbing last
December 1997.

BusinessWorld sources also said the NLRC also rejected the
ALPAP's petition for a temporary injunction barring the PAL
management from pushing through with the pilots'
termination.


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

DEVELOPMENT BANK OF SINGAPORE LTD: S&P lowers DBS ratings
---------------------------------------------------------
A report in the Asian Wall Street Journal says that  
Standard and Poor's Ratings Group has lowered its ratings
for the Development Banks of Singapore Ltd. (DBS). The
public information rating for the bank (the only rating
that S&P issues for the DBS) were lowered from AA-pi to A-
pi.

The downgrade reflects the view that the near to medium
financial profile has been affected by the continuous
regional economic downturn and the poor asset quality of
the Thai Danu Bank, of which DBS purchased a 50.3 percent
share in March. According to the report, since the purchase
of this bank, DBS's non-performing loan ratio has tripled
to over 6 percent. S&P was also reported as stating that
DBS may have underestimated the asset quality of the Thai
Danu Bank.


MCL LAND: Makes provisions on freehold plots
--------------------------------------------
Singapore BusinessTimes reports MCL Land, a property arm of
Cycle & Carriage, made massive provisions of $113.4
million, which included downward valuations of its freehold
properties. It is believed to be the first developer here
to have treated its freehold plots thus.

The provisions resulted in net losses of close to $100
million in the first half (from a profit of $16 million)
despite a 64.2 per cent rise in sales to $168.9 billion.
Losses per share stood at 27 cents (from earnings of 4.3
cents), while net asset value fell 18.9 per cent to $2.59.


===============
T H A I L A N D
===============

BANGKOK BANK OF COMMERCE: Eight BBC cases pending
-------------------------------------------------
According to the Bangkok Post, eight cases of alleged fraud
at the Bangkok Bank of Commerce (BBC) will be lodged with
the Attorney-General's Office this month, according to Pol
Maj-Gen Chakthip Kunchorn Na Ayuthaya, head of the Economic
Crime Investigation Division.

The Bank of Thailand has accused several former executives
of the BBC of breaching the Commercial Banking Act. Twenty-
four cases are under police investigation.

Other institutions the central bank has asked the police to
investigate include Mahathun Finance, Chao Phraya Finance
and Securities Plc, Thai Fuji Finance and Securities Plc
and Dynamic Eastern Finance.


PETROLEUM AUTHORITY OF THAILAND: Expects lower profits
------------------------------------------------------
The Bangkok Post reports the Petroleum Authority of
Thailand (PTT) expects its net profit for the year ending
next month to slip to half of the previous year's level, to
one billion baht, with revenue dropping 11.2% to 95 billion
baht.

PTT Oil president Prasert Bunsumpun said cut-throat
competition among oil marketers and the 10% drop in
domestic oil demand were the two main factors depressing
the state oil company's financial results.

PTT is adopting belt-tightening measures, targeting at
least a 10% reduction in its operating expenditures in the
second half of the calendar year.

In the first half of this year, PTT had a gross profit of
600 million baht on revenue of 51 billion baht.


THAI FARMERS BANK: Outlines plan to raise $3 billion
----------------------------------------------------
The Bangkok Post reports Thai Farmers Bank directors
yesterday agreed to raise up to $3 billion in new capital
through the issue of preferred shares, capital securities
and debentures. The bank plans to issue one million
preferred shares, at $1,000 per share, to raise $1 billion.

Directors also agreed to plans to raise up to $2 billion
through special purpose vehicles, according to Boontak
Wangcharoen, TFB senior vice-president.

TFB earlier this month announced that its capital ratio
stood at 16.9%, with 14.8% comprised of tier-one capital.
Analysts agree that TFB and market leader Bangkok Bank are
the two strongest banks in the country.

In a statement to the Stock Exchange of Thailand, the bank
said directors had approved increasing registered capital
by 10 million baht to 13.57 billion by issuing one million
new preferred shares to institutional investors.

Also approved was a proposal to issue up to $3 billion in
debentures to local and overseas institutional investors,
with a maturity of up to 100 years and interest rates set
according to market conditions.


THAI SAMSUNG ELECTRONICS: B400m committed by Korean parent
----------------------------------------------------------
According to the Bangkok Post, Korea's Samsung Electronics
plans to increase the capital of its Thai subsidiary by 400
million baht by the end of this year, with funds going to
repay loans and to launch promotional campaigns for its
products.

This will be the second capital increase for Thai Samsung
Electronics Co this year. In May the company's capital was
increased to 560 million baht from 360 million. The new
total will be 960 million baht.

Samsung of Korea will hold an 82.5% stake in Thai Samsung,
up from 49%, with the remaining 17.5% held by the Saha
Group.

Kang Soo Lee, assistant managing director of Thai Samsung,
said some of the new funds would go to pay down debts to
local banks in order to reduce the company's interest
burden.


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., Princeton, NJ USA, and Beard Group, Inc., Washington,
DC USA.  Debra Brennan and Lexy Mueller, Editors.

Copyright 1998.  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.

The TCR -- Asia Pacific subscription rate is $875 per
month 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
$25 each.  For subscription information, contact
Christopher Beard at 301/951-6400.

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