/raid1/www/Hosts/bankrupt/TCRAP_Public/981021.MBX
T R O U B L E D C O M P A N Y R E P O R T E R
A S I A P A C I F I C
Wednesday, October 21, 1998, Vol. 1, No. 169
Headlines
* C H I N A & H O N G K O N G *
BROAD UNIVERSAL LIMITED: Winding-up order
CLIMAX INTERNATIONAL: Climax divests Office Partners stake
GOLDEN SHARE COMPANY LTD: In members' voluntary liquidation
GUANGDONG OVERSEAS: Another Guangdong firm in dire straits
HONKO INTERNATIONAL: Stock exchange censures chairman
JETBO INTERNATIONAL LIMITED: Winding-up order
LAP HENG P.V.C. KITES: Winding-up petition
RAINBOW GATE LIMITED: Winding-up order
* J A P A N *
CHINA BANK LTD OF JAPAN: Securities valuation loss
DAIDO STEEL: Moody's cuts steel firms' ratings
DAIWA SECURITIES: Sumitomo Trust to absorb Daiwa trust unit
JAPAN LEASING CORP: Farm creditors have unsecured loans
KAWASAKI STEEL: Moody's cuts steel firms' ratings
KOBE STEEL: Moody's cuts steel firms' ratings
LONG TERM CREDIT BANK: LTCB $26b in debt, report says
NKK CORP: Moody's cuts steel firms' ratings
NICHIMEN COMPANY: Moves to restructure
NIPPON STEEL: Moody's cuts steel firms' ratings
NOMURA SECURITIES: $1.3 billion loss expected
TAKASHIMAYA COMPANY: Results announcement
TOKO STEEL MANUFACTURING: Moody's cuts steel firms' ratings
TOYO COMMUNICATION: Results announcement
* K O R E A *
ANAM GROUP: Plans to restructure debt
DAEWOO GROUP: Collapse of top 5 chaebols a possibility
HANNAM STEEL: Completes creditor reconciliation
HYUNDAI GROUP: Collapse of top 5 chaebols a possibility
KIA MOTORS: Hyundai wins Kia as Ford bid dumped
LG GROUP: Collapse of top 5 chaebols a possibility
SAMSUNG GROUP: Collapse of top 5 chaebols a possibility
SK GROUP: Collapse of top 5 chaebols a possibility
YOUNGDO CIVIL ENG: Completed creditor reconciliation
* M A L A Y S I A *
DATARAN RENTAS SDN BHD: Winding-up petition
GOLDEN INDUSTRY VISIONS SDN BHD: Voluntary winding-up
MAEHUN ELECTRICAL ENGINEERING SDN BHD: Winding-up petition
RADIANT BEAM SDN BHD: Voluntary winding-up
TM PLYWOOD SDN BHD: Winding-up petition
TAIPING SUPER BHD: Results - 30/6/98
TAJO BHD: Results - 30/6/98
TAMADAM BONDED WAREHOUSE BHD: Results - 30/6/98
TRANSMILE GROUP BHD: Results - 30/6/98
UNIPHOENIX CORPORATION BHD: Results - 30/6/98
* P H I L I P P I N E S *
ORIENT COMMERCIAL: Owner asks court not to close bank
PHILIPPINE AIRLINES: Cathay may get Filipino ally for PAL
SIME DARBY PILIPINAS: Delisting bid may be okayed this week
* T H A I L A N D *
ALPHATEC ELECTRONICS: SET threatens to de-list company
BANK OF ASIA: S&P affirms ratings
BUMRUNGRAD HOSPITAL: SET threatens to de-list company
INTERNATIONAL FINANCE: SET threatens to de-list company
LAEM THONG BANK LTD: SET threatens to de-list company
N.T.S. STEEL GROUP PCL: SET threatens to de-list company
SIAM CITY BANK PCL: SET threatens to de-list company
SWEDISH MOTORS: SET threatens to de-list company
UNION BANK OF BANGKOK LTD: SET threatens to de-list company
=================================
C H I N A & H O N G K O N G
=================================
BROAD UNIVERSAL LIMITED: Winding-up order
-----------------------------------------
A winding-up order notice is hereby given that Broad
Universal Limited is undergoing a companies winding-up
proceedings (No 616 of 1998) in the High Court of the Hong
Kong Special Administrative Region court of first instance.
The date of order is on October 7, 1998. The date of
presentation of petition was September 1, 1998.
CLIMAX INTERNATIONAL: Climax divests Office Partners stake
----------------------------------------------------------
According to the SCMP, Climax International has sold its
entire holding in Office Partners (Hong Kong) for $59
million to Lyreco, an independent third party. The amount
is mainly made up of an initial payment of $30.78 million,
an injection by Lyreco of $24.21 million into Office
Partners to discharge funds advanced by Climax and an
additional sum not exceeding $4 million.
According to the Hong Kong Standard, Office Partners (Hong
Kong) has disposed 19 million shares of $1.00 each for the
aggregate transaction value of about $55 million, with
Lyreco SA being the purchaser. As the 95 per cent stake
holder of Office Partners, Climax will be the guarantor of
the deal.
GOLDEN SHARE COMPANY LTD: In members' voluntary liquidation
-----------------------------------------------------------
The companies ordinance (Chapter 32) in the matter of
Golden Share Company Limited (In members' voluntary
liquidation). Notice is hereby given that the creditors of
the abovenamed Company which is being wound up voluntarily
are required on or before November 16, 1998 to send in
their names, addresses and particulars of their debts or
claims to the Liquidators of the said company.
GUANGDONG OVERSEAS: Another Guangdong firm in dire straits
----------------------------------------------------------
According to the Hong Kong Standard, Guangdong Overseas
Chinese International Trust & Investment Corp (Goctic), one
of the most active Itics on the mainland but much smaller
than Gitic and Gzitic, has defaulted on a bilateral loan
owed to Commerzbank's Hong Kong subsidiary. The amount is
part of a US$70 million loan.
A source said Commerzbank bought some Goctic loans from
other banks in the local seconday market before the Itics'
problems emerged early this month. As a consequence of a
cross-default provision, the lenders of the syndicated loan
will decide this week whether to declare Goctic in default
on the rest of the loan. Goctic officials could not be
reached for comment last night.
Goctic's creditor banks informally extended a standstill
agreement in July this year on the US$70 million syndicated
loan which was signed on July 15, 1997. The repayments are
due to begin in 2000 with final maturity in 2002. Arrangers
were Bank of East Asia, Hang Seng Bank, KEB Asia Finance,
LTCB Hongkong, NatWest markets and Robobank Hong Kong,
according to Basis Point.
Basis Point said troubles began at Goctic earlier this year
when it missed a US$14 million final payment on a
syndicated loan in July. The company reportedly had
difficulties exchanging funds to US dollar. It eventually
paid the loan in full, making four payments in two weeks.
A banking source said the Hong Kong division of the Bank of
China cut the credit limit to mainland window companies by
more than 10 per cent in the face of most Itics' distress.
HONKO INTERNATIONAL: Stock exchange censures chairman
-----------------------------------------------------
The Stock Exchange of Hong Kong (SEHK) has censured Honko
International chairman and managing director Lam Yat Keung
and executive director Peter Mok Shau-chuen. The stock
exchange said the two breached the Listing Rules after
having misled investors.
The action came after a disciplinary hearing held by the
listing committee of the SEHK on September 22. It said the
two executives were involved in a transaction concerning
the proposed purchase of Electronic Sales, a manufacturer
and seller of a wide range of electrical, electronic and
plastic products, from locally listed CC Telecom
International at a price of $120 million in exchange for
120 million new issued shares of par value $0.1 each.
The committee said Mr Lam and Mr Mok authorized the
publication of a standard unqualified clarification
announcement on August 26, 1997, which misled shareholders
of the company and the investing public.
JETBO INTERNATIONAL LIMITED: Winding-up order
---------------------------------------------
A winding-up order notice is hereby given that Jetbo
International Limited is undergoing a companies winding-up
proceedings (No 584 of 1998) in the High Court of the Hong
Kong Special Administrative Region court of first instance.
The date of order is on September 30, 1998. The date of
presentation of petition was August 24, 1998.
LAP HENG P.V.C. KITES: Winding-up petition
------------------------------------------
A petition for the winding up of Lap Heng P.V.C. Kites
Industrial Company Limited was presented to the High Court
on Sept 28 by Fong So Han of 5/F., 181 Fa Yuen Street,
Mongkok, Kowloon, and the said petition is directed to be
heard before the court at 9:30 am on Nov 4, and any
creditor or contributory of the said company desirous to
support or oppose the making of an order on the said
petition may appear at the time of hearing by himself or
his counsel for that purpose, and a copy of the petition
will be furnished to any creditor or contributory of the
said company requiring the same by Tam Lee Po Lin, Nina for
Director of Legal Aid, 27th Floor, Queensway Government
Offices, 66 Queensway, Hong Kong, on payment of the
regulated charges for the same.
RAINBOW GATE LIMITED: Winding-up order
--------------------------------------
A winding-up order notice is hereby given that Rainbow Gate
Limited is undergoing a companies winding-up proceedings
(No 593 of 1998) in the High Court of the Hong Kong Special
Administrative Region court of first instance. The date of
order is on October 7, 1998. The date of presentation of
petition was August 26, 1998.
=========
J A P A N
=========
CHINA BANK LTD OF JAPAN: Securities valuation loss
--------------------------------------------------
China Bank Ltd of Japan posted a parent securities
valuation loss of 4.97 billion yen for the six months to
Sept 30. The bank also said it suffered an unrealized net
securities loss of 10.11 billion yen.
DAIDO STEEL: Moody's cuts steel firms' ratings
----------------------------------------------
United States ratings agency Moody's Investors Service
yesterday cut its ratings for six top Japanese steel firms
leaving four at junk bond level, warning they were
suffering from the economic slump. Moody's cut its long-
term ratings for Nippon Steel to medium grade Baa2 from
Baa1 and for Kawasaki Steel to Baa3 from Baa2. The agency
dropped Kobe Steel to junk bond Ba2 from Baa3, and NKK Corp
to Ba2 from Baa3. Moody's also cut its ratings for Daido
Steel, which fell to Ba2 from Baa3, and Tokyo Steel
Manufacturing, which dropped to Ba2 from Ba1.
DAIWA SECURITIES: Sumitomo Trust to absorb Daiwa trust unit
-----------------------------------------------------------
A report in the Nihon Keizai newspaper says Sumitomo Trust
& Banking Co. plans to take over the trust unit of Daiwa
Securities Co. as well as the custody operations of Daiwa's
European banking unit, company sources said Saturday.
Sumitomo aims to enhance its group-wide competitiveness by
consolidating trust banking operations.
Daiwa International Trust Bank, a wholly owned subsidiary
of the brokerage founded in 1993, engages mainly in the
custody of securities, into which investment trust money is
channeled, and settlements. Its trust assets were worth
some 920 billion yen as of the end of March. Daiwa
Securities is negotiating the transfer of Daiwa
International's operations to Sumitomo Trust within the
current fiscal year, the sources said, and is also
considering transferring the custody operations of London-
based Daiwa Europe Bank to Sumitomo Trust.
JAPAN LEASING CORP: Farm creditors have unsecured loans
-------------------------------------------------------
The Nihon Keizai newspaper reports loans at 10 of the 23
prefectural agricultural credit federations (shinren) with
exposure to Japan Leasing Corp., which is effectively
bankrupt, were extended without collateral, an industry
study revealed. The unsecured loans will likely have to be
written off in the course of Japan Leasing's restructuring.
The nonbank affiliate of ailing Long-Term Credit Bank has
applied for protection from its creditors under Japan's
corporate restructuring law.
Unsecured loans accounted for 31 billion yen of the total
118.0 billion outstanding loan balance to Japan Leasing at
the shinren as of Aug. 31. Even where loans from shinren to
the company were backed with collateral, the collateral is
lease assets to Japan Leasing's own customers, making it
unclear if the shinren will be able to collect on that. As
a result, at least six shinren are expected to post losses
in the current fiscal year, industry sources said.
KAWASAKI STEEL: Moody's cuts steel firms' ratings
-------------------------------------------------
United States ratings agency Moody's Investors Service
yesterday cut its ratings for six top Japanese steel firms
leaving four at junk bond level, warning they were
suffering from the economic slump. Moody's cut its long-
term ratings for Nippon Steel to medium grade Baa2 from
Baa1 and for Kawasaki Steel to Baa3 from Baa2. The agency
dropped Kobe Steel to junk bond Ba2 from Baa3, and NKK Corp
to Ba2 from Baa3. Moody's also cut its ratings for Daido
Steel, which fell to Ba2 from Baa3, and Tokyo Steel
Manufacturing, which dropped to Ba2 from Ba1.
KOBE STEEL: Moody's cuts steel firms' ratings
---------------------------------------------
United States ratings agency Moody's Investors Service
yesterday cut its ratings for six top Japanese steel firms
leaving four at junk bond level, warning they were
suffering from the economic slump. Moody's cut its long-
term ratings for Nippon Steel to medium grade Baa2 from
Baa1 and for Kawasaki Steel to Baa3 from Baa2. The agency
dropped Kobe Steel to junk bond Ba2 from Baa3, and NKK Corp
to Ba2 from Baa3. Moody's also cut its ratings for Daido
Steel, which fell to Ba2 from Baa3, and Tokyo Steel
Manufacturing, which dropped to Ba2 from Ba1.
LONG TERM CREDIT BANK: LTCB $26b in debt, report says
-----------------------------------------------------
According to the SCMP, a report said yesterday that LTCB of
Japan was 400 billion yen in debt last month with its
assets valued at their current market price. The debt comes
if all the bank's stocks, real estate and other property it
holds are valued at current prices, Japna Broadcasting Corp
(NHK) said, but under a different accounting procedure,
allowing stocks to be valued at their purchase price, the
bank was not insolvent at the end of last month, according
to Finance Supervisory Agency sources. Neither the agency
or LTCB confirmed the report.
NKK CORP: Moody's cuts steel firms' ratings
-------------------------------------------
United States ratings agency Moody's Investors Service
yesterday cut its ratings for six top Japanese steel firms
leaving four at junk bond level, warning they were
suffering from the economic slump. Moody's cut its long-
term ratings for Nippon Steel to medium grade Baa2 from
Baa1 and for Kawasaki Steel to Baa3 from Baa2. The agency
dropped Kobe Steel to junk bond Ba2 from Baa3, and NKK Corp
to Ba2 from Baa3. Moody's also cut its ratings for Daido
Steel, which fell to Ba2 from Baa3, and Tokyo Steel
Manufacturing, which dropped to Ba2 from Ba1.
NICHIMEN COMPANY: Moves to restructure
--------------------------------------
Nichimen unveiled a plan to cut costs reduce staff and
focus its energies on six key industries. The Japanese
general trading company plans to cut annual costs by 5%, or
5.5 billion yen, by March 2001 through the restructuring
plan, company spokesman said.
Nichimen intends to cut parent company staff by 300
employees to 1,800 by April 1999 and place regional offices
into separate entities. The company will then focus on six
industries -- machinery, telecommunications, chemical,
construction, wood-products and service. Nichimen aims to
raise the ratio of profit it gains from the six companies
to 65% from 52% now, a spokesman said.
NIPPON STEEL: Moody's cuts steel firms' ratings
-----------------------------------------------
United States ratings agency Moody's Investors Service
yesterday cut its ratings for six top Japanese steel firms
leaving four at junk bond level, warning they were
suffering from the economic slump. Moody's cut its long-
term ratings for Nippon Steel to medium grade Baa2 from
Baa1 and for Kawasaki Steel to Baa3 from Baa2. The agency
dropped Kobe Steel to junk bond Ba2 from Baa3, and NKK Corp
to Ba2 from Baa3. Moody's also cut its ratings for Daido
Steel, which fell to Ba2 from Baa3, and Tokyo Steel
Manufacturing, which dropped to Ba2 from Ba1.
NOMURA SECURITIES: $1.3 billion loss expected
---------------------------------------------
Nomura Securities Co. may report a loss of about $1.3
billion for fiscal first half ended September 30. As much
as $1 billion of it is in losses from its U.S. subsidiary,
according to the Nihon Keizai, Japan's largest business
daily. The company's results are due out Thursday.
While losses at Nomura Holding America Inc.'s real estate
securitization operation account for much of the shortfall,
Nomura's operations in London and the parent company are
also expected to show big losses as well, the Nihon Keizai
reported. Several key members of Nomura's U.S. operations
have resigned recently, including last week's departure of
Andrew Friedwald, who co-headed the U.S.-based real estate
securitization business. Nomura officials in Tokyo declined
to comment the report.
TAKASHIMAYA COMPANY: Results announcement
-----------------------------------------
Bloomberg reports shares of Takashimaya Co. fell as much as
35 yen to 886. Japan's largest chain of department stores
said profit fell 61.7 percent in the first half to 1.438
billion yen, or 4.71 yen per share. That's 20.1 percent
below its own forecast and 4.1 percent less than expected
by Toyo Keizai.
TOKO STEEL MANUFACTURING: Moody's cuts steel firms' ratings
-----------------------------------------------------------
United States ratings agency Moody's Investors Service
yesterday cut its ratings for six top Japanese steel firms
leaving four at junk bond level, warning they were
suffering from the economic slump. Moody's cut its long-
term ratings for Nippon Steel to medium grade Baa2 from
Baa1 and for Kawasaki Steel to Baa3 from Baa2. The agency
dropped Kobe Steel to junk bond Ba2 from Baa3, and NKK Corp
to Ba2 from Baa3. Moody's also cut its ratings for Daido
Steel, which fell to Ba2 from Baa3, and Tokyo Steel
Manufacturing, which dropped to Ba2 from Ba1.
TOYO COMMUNICATION: Results announcement
----------------------------------------
Bloomberg reports shares of Toyo Communication Equipment
Co. fell as much as 15 yen to 330. The NEC Corp. affiliate
is likely to report net loss of 3 billion yen in the year
though March, compared with last year's 419 million yen
profit, the Nihon Keizai newspaper reported, without citing
sources. Toyo Communication is likely to book a one-time
charge of about 2 billion yen to repay the Defense Agency
for allegedly overcharging it in fulfilling a procurement
contract.
=========
K O R E A
=========
ANAM GROUP: Plans to restructure debt
-------------------------------------
Anam Group chairman James Kim has announced plans to slash
the company's debt during the next five years to bolster
its finances and to keep investment in the technology
business. Anam Group, the world's largest computer-chip
assembler, would cut its debt to equity ratio to 100% by
2003, from 149.5% at the beginning of this year. Mr Kim
said Anam's debt burden increased last year when the won
lost nearly a third of its value against the dollar,
swelling the won value of a US$1 billion loan that Anam
took out in 1996 and last year to equip new water
fabrication plants.
DAEWOO GROUP: Collapse of top 5 chaebols a possibility
------------------------------------------------------
Two stories appeared in the Korea Times with headlines
indicating that the collapse or disintegration of Korea's
largest family owned conglomerates (or chaebols) is a real
possibility. One story in the national political section
quoted a spokesman from the Chong Wa Dae (Korea's
presidential residence) as saying that President Kim Dae-
jung does not care about the demise of one or two chaebols
if it is in the national interest.
Another article outlined a multi-stage plan presented by
the Financial Supervisory Commission (FSC) on Friday that
would virtually dissolve highly indebted and over expanded
chaebols over a three year period.
HANNAM STEEL: Completes creditor reconciliation
-----------------------------------------------
The Seoul District Court advertised in the Korean language
Maeil Kyungje that the Hannam Steel Company completed its
creditor reconciliation procedure. The company's address is
388 Tangsan-dong 3-ga, Youngdeungpo-gu, Seoul and the
president is Mr. Yi Chung-gi.
HYUNDAI GROUP: Collapse of top 5 chaebols a possibility
-------------------------------------------------------
Two stories appeared in the Korea Times with headlines
indicating that the collapse or disintegration of Korea's
largest family owned conglomerates (or chaebols) is a real
possibility. One story in the national political section
quoted a spokesman from the Chong Wa Dae (Korea's
presidential residence) as saying that President Kim Dae-
jung does not care about the demise of one or two chaebols
if it is in the national interest.
Another article outlined a multi-stage plan presented by
the Financial Supervisory Commission (FSC) on Friday that
would virtually dissolve highly indebted and over expanded
chaebols over a three year period.
KIA MOTORS: Hyundai wins Kia as Ford bid dumped
-----------------------------------------------
According to the SCMP and the Hong Kong Standard, Hyundai
Motor emerged as the surprise winner in the third auction
of Kia and Asia Motors, after the favourite Ford Motor, was
disqualified for offering a tender price lower than the
face value of the shares. Ford also asked for a higher
level of debt write-offs.
But doubts immediately emerged over Hyundai's ability to
sustain Kia Motors in the industry's darkest hour.
Hyundai's chairman Chung Mong-gyu promised to seek tie-ups
with foreign companies, including Ford, to turn around Kia
as soon as possible. He said the company had asked for a
debt write-off of 7.3 trillion won, about 50 per cent of
Kia's debt, and that it would not reduce the level of the
request. The demand was higher than expected amid reports
creditors would reject large write-off requests.
Debts at Kia and Asia Motors are estimated at between 13
trillion and 16 trillion won.
Officials said the battle to buy Kia might not be over. The
outcome will be determined by creditors. There is
persistent speculation that creditors will reject Hyundai
and open private negotiations with Ford to take over Kia.
Hyundai has a debt to equity ratio of about 600 per cent
which it has vowed to bring down to 200 per cent under
government economic reforms, an impossible feat if it
retains Kia. Analysts said that Hyundai is facing a tough
time with falling sales and production and once it absorbs
Kia's debts, there will be nothing left for retooling and
investment. Hyundai would not be able to borrow funds
internationally due to poor credit ratings, while state
funds were the only domestic financing option.
Industry and Energy Minister Part Tae-young and other
officials insisted Seoul would liquidate Kia if creditors
reject Hyundai's offer. With these comments, some market
experts start to take Hyundai's victory seriously.
The Financial Times reports that the deal, if approved by
creditors, would make Hyundai one of the world's top 10 car
makers and strengthen its dominance of the Korean car
industry, increasing its domestic market share to 70
percent from half. Annual production capacity would grow to
2.5m vehicles from 1.7m.
The Times further suggests Samsung is expected to give up
the automotive industry altogether, reducing the number of
Korean car makers from five a year ago to two -- Hyundai
and Daewoo Motor. Daewoo bought troubled car maker
Ssangyong Motor in December.
Another article in the Financial Times says analysts are
saying Hyundai will be forced to close or sell one of Kia's
two main plants, probably at Sohari, near Seoul. The
resulting job cuts from Kia's 20,000 workforce could spark
more labor unrest.
LG GROUP: Collapse of top 5 chaebols a possibility
--------------------------------------------------
Two stories appeared in the Korea Times with headlines
indicating that the collapse or disintegration of Korea's
largest family owned conglomerates (or chaebols) is a real
possibility. One story in the national political section
quoted a spokesman from the Chong Wa Dae (Korea's
presidential residence) as saying that President Kim Dae-
jung does not care about the demise of one or two chaebols
if it is in the national interest.
Another article outlined a multi-stage plan presented by
the Financial Supervisory Commission (FSC) on Friday that
would virtually dissolve highly indebted and over expanded
chaebols over a three year period.
Meanwhile, a Reuters report says LG Group has attracted
more than $700 million in recent deals with foreign
investors and appears to be tackling restructuring more
aggressively than its fellow conglomerates, analysts said.
LG Chemical, a flagship of the group, signed a contract
with Dow Chemical last Wednesday to set up a $320 million
joint venture in LG's petrochemical complex in Yochon.
Another unlisted affiliate, LG Telecom, one of the
country's top five mobile phone operators, announced last
month it was selling a 23.5 percent stake in itself for
$390 million to British Telecommunications (BT) by end-
October. In addition, LG Group is seeking more than $500
million from Japanese companies for a stake in its metal
unit, LG Metals, according to the commerce ministry.
SAMSUNG GROUP: Collapse of top 5 chaebols a possibility
-------------------------------------------------------
Two stories appeared in the Korea Times with headlines
indicating that the collapse or disintegration of Korea's
largest family owned conglomerates (or chaebols) is a real
possibility. One story in the national political section
quoted a spokesman from the Chong Wa Dae (Korea's
presidential residence) as saying that President Kim Dae-
jung does not care about the demise of one or two chaebols
if it is in the national interest.
Another article outlined a multi-stage plan presented by
the Financial Supervisory Commission (FSC) on Friday that
would virtually dissolve highly indebted and over expanded
chaebols over a three year period.
SK GROUP: Collapse of top 5 chaebols a possibility
--------------------------------------------------
Two stories appeared in the Korea Times with headlines
indicating that the collapse or disintegration of Korea's
largest family owned conglomerates (or chaebols) is a real
possibility. One story in the national political section
quoted a spokesman from the Chong Wa Dae (Korea's
presidential residence) as saying that President Kim Dae-
jung does not care about the demise of one or two chaebols
if it is in the national interest.
Another article outlined a multi-stage plan presented by
the Financial Supervisory Commission (FSC) on Friday that
would virtually dissolve highly indebted and over expanded
chaebols over a three year period.
YOUNGDO CIVIL ENG: Completed creditor reconciliation
----------------------------------------------------
The Seoul District Court advertised in the Korean language
Maeil Kyungje that the Youngdo Civil Engineering and
Construction Company completed its creditor reconciliation
procedure. The company's address is 6-9 Taejo-dong,
Eunpyong-gu, Seoul and the presidents are Mr. Yi Chae-gyun
and Park Sun-chol.
===============
M A L A Y S I A
===============
DATARAN RENTAS SDN BHD: Winding-up petition
-------------------------------------------
BMC Construction Sdn Bhd on 16/9/98 petitioned for the
winding-up of Dataran Rentas Sdn Bhd. The petition is
directed to be heard on 14/12/98.
GOLDEN INDUSTRY VISIONS SDN BHD: Voluntary winding-up
-----------------------------------------------------
The members of Golden Industry Visions Sdn Bhd on 12/10/98
resolved to wind-up the company voluntarily. Creditors of
the company are requested to submit their claims before
28/10/98.
MAEHUN ELECTRICAL ENGINEERING SDN BHD: Winding-up petition
----------------------------------------------------------
City Finance Bhd on 26/8/98 petitioned for the winding-up
of Maehun Electrical Engineering Sdn Bhd. The petition is
directed to be heard on 1/12/98.
RADIANT BEAM SDN BHD: Voluntary winding-up
------------------------------------------
The members of Radiant Beam Sdn Bhd on 12/10/98 resolved to
wind-up the company voluntarily. Creditors are requested to
submit their claims before 28/10/98.
TM PLYWOOD SDN BHD: Winding-up petition
---------------------------------------
Startech (Malaysia) Sdn Bhd on 1/9/98 petitioned for the
winding-up of TM Plywood Sdn Bhd. The petition is directed
to be heard on 29/1/99.
TAIPING SUPER BHD: Results - 30/6/98
------------------------------------
Taiping Super Bhd (listed on the KLSE) reported a post-tax
loss of RM4.505mil for the 6months ended 30/6/98, compared
to a post-tax profit of RM3.416mil previously. EPS fell
235.9% from 15.54sen to a loss per share of 21.12sen during
the same period.
TAJO BHD: Results - 30/6/98
---------------------------
Tajo Bhd (listed on the KLSE) reported a post-tax loss of
RM9.188mil for the 6 months ended 30/6/98, compared to a
post-tax profit of RM4.914mil previously. EPS fell 102%
from 8.9sen to 0.2sen during the same period.
TAMADAM BONDED WAREHOUSE BHD: Results - 30/6/98
-----------------------------------------------
Tamadam Bonded Warehouse Bhd (listed on the KLSE) reported
a post-tax loss of RM3.033mil for the 6months ended
30/6/98, compared to a post-tax loss of RM1.459mil
previously. Loss per share rose from 6.7sen to 13.9sen
during the same period.
TRANSMILE GROUP BHD: Results - 30/6/98
--------------------------------------
Transmile Group Bhd (listed on the KLSE) reported a post-
tax loss of RM6.862mil for the 6 months ended 30/6/98,
compared to a post-tax profit of RM8.802mil previously.
EPS fell 160% from RM0.58 to a loss per share of RM0.35
during the same period.
UNIPHOENIX CORPORATION BHD: Results - 30/6/98
---------------------------------------------
Uniphoenix Corporate Bhd (listed on KLSE) reported a post-
tax loss of RM540.508mil for the 18months ended 30/6/98,
compared to a post-tax loss of RM10.731mil previously. Loss
per share rose 3,168% from RM0.06 to RM1.92 during the same
period.
=====================
P H I L I P P I N E S
=====================
ORIENT COMMERCIAL: Owner asks court not to close bank
-----------------------------------------------------
The Asian Wall Street Journal reports that the owner of the
Orient Commercial Banking Corporation, Mr. Jose Go, is
asking a court in Manila not to close the bank. Mr. Go
claims that the decision by the Philippines central bank's
policy making body to place the Orient Commercial Banking
Corporation under receivership was a hasty decision. This
decision was made after Mr. Go failed to meet an October 12
deadline to remit two billion pesos to the central bank to
guarantee the soundness of the bank if it were re-opened.
The bank's operations had been suspended after a rush of
withdrawals last February that were triggered by rumors
that the bank's owner had fled the country to escape
financial troubles.
Following the suspension, the bank was found to have 4.99
billion pesos in non-performing loans, the bulk of which
had been illegally lent to the bank's board of directors.
The Philippine Deposit Insurance Corporation (PDIC) now has
three months to determine if the Orient Bank can be
rehabilitated. The PDIC will act as the bank's receiver.
Mr. Go is also requesting that the PDIC not to take over
the assets of the bank. In the event that the PDIC finds
the bank is beyond rehabilitation, the bank will be
immediately liquidated.
PHILIPPINE AIRLINES: Cathay may get Filipino ally for PAL
---------------------------------------------------------
According to the Hong Kong Standard, a PAL source said that
Cathay Pacific Airways is forming a consortium with a
Philippine company to gain majority control of PAL, and the
Philippine company is not an existing shareholder of PAL.
The source said Cathay was scheduled to present to PAL its
final proposal this week, after obtaining the Cathay
board's approval to the scheme. It said that Cathay has
started due diligence and has told PAL their views on
routes and aircraft, and PAL is expecting an indication
of the investment that they are making. The source also
said PAL is working on a financial rehabilitation plan in
consultation with its financial advisers.
Another source close to PAL said that Cathay executives
informally presented schemes to work with PAL if its
proposed equity investment pushed through. These include a
connecting of flights scheme under which PAL will increase
the frequency of its flights from Manila to Hong Kong.
After arriving at Hong Kong, PAL passengers will take
connecting flights via Cathay for destinations in Europe.
This arrangement will help sustain PAL's operations to
Europe while giving Cathay an opportunity to expand its
operations to Europe from Hong Kong.
Cathay spokesperson declined to comment on specific
proposals saying different options are open and no decision
has been reached yet.
SIME DARBY PILIPINAS: Delisting bid may be okayed this week
-----------------------------------------------------------
BusinessWorld reports holding company Sime Darby Pilipinas,
Inc.'s (SDPI) planned withdrawal from the Philippine Stock
Exchange (PSE) may yet be approved once it meets with the
new prescribed rules for delisting. The Securities and
Exchange Commission (SEC) is slated to come out with a
decision on the PSE's proposal for policies governing
voluntary delisting this week.
Under the proposed rules, the PSE would require companies
seeking to be delisted to buy back 95% of all their shares.
The price of the shares to be bought back would be
determined by a "third party" or a financial adviser. The
Exchange also requires the delisting party to obtain the
approval of 75% of majority of shareholders on the move,
with the exception of controlling shareholders such as
directors and chief executives. Mr. Yulo added that the PSE
continues to mull over SDPI's decision as it is the first
in the bourse's history.
===============
T H A I L A N D
===============
ALPHATEC ELECTRONICS: SET threatens to de-list company
------------------------------------------------------
The Asian Wall Street Journal reports the Stock Exchange of
Thailand (SET) has warned that 47 companies are in danger
of being de-listed unless they raise new capital by
January. Last July the SET said that companies with a
negative net worth should find new funds or investors.
The SET is also urging companies suffering heavy losses to
follow established SET rehabilitation programs to avoid
being de-listed.
BANK OF ASIA: S&P affirms ratings
---------------------------------
The Bangkok Post reports Standard & Poor's yesterday
affirmed its 'BB' long-term and 'B' short-term ratings for
Bank of Asia Plc, and removed the ratings from CreditWatch
with developing implications, where they were placed last
March. A stable rating outlook has been assigned.
BUMRUNGRAD HOSPITAL: SET threatens to de-list company
-----------------------------------------------------
The Asian Wall Street Journal reports the Stock Exchange of
Thailand (SET) has warned that 47 companies are in danger
of being de-listed unless they raise new capital by
January. Last July the SET said that companies with a
negative net worth should find new funds or investors.
The SET is also urging companies suffering heavy losses to
follow established SET rehabilitation programs to avoid
being de-listed.
INTERNATIONAL FINANCE: SET threatens to de-list company
-------------------------------------------------------
The Asian Wall Street Journal reports the Stock Exchange of
Thailand (SET) has warned that 47 companies are in danger
of being de-listed unless they raise new capital by
January. Last July the SET said that companies with a
negative net worth should find new funds or investors.
The SET is also urging companies suffering heavy losses to
follow established SET rehabilitation programs to avoid
being de-listed.
LAEM THONG BANK LTD: SET threatens to de-list company
-----------------------------------------------------
The Asian Wall Street Journal reports the Stock Exchange of
Thailand (SET) has warned that 47 companies are in danger
of being de-listed unless they raise new capital by
January. Last July the SET said that companies with a
negative net worth should find new funds or investors.
The SET is also urging companies suffering heavy losses to
follow established SET rehabilitation programs to avoid
being de-listed.
N.T.S. STEEL GROUP PCL: SET threatens to de-list company
--------------------------------------------------------
The Asian Wall Street Journal reports the Stock Exchange of
Thailand (SET) has warned that 47 companies are in danger
of being de-listed unless they raise new capital by
January. Last July the SET said that companies with a
negative net worth should find new funds or investors.
The SET is also urging companies suffering heavy losses to
follow established SET rehabilitation programs to avoid
being de-listed.
SIAM CITY BANK PCL: SET threatens to de-list company
----------------------------------------------------
The Asian Wall Street Journal reports the Stock Exchange of
Thailand (SET) has warned that 47 companies are in danger
of being de-listed unless they raise new capital by
January. Last July the SET said that companies with a
negative net worth should find new funds or investors.
The SET is also urging companies suffering heavy losses to
follow established SET rehabilitation programs to avoid
being de-listed.
SWEDISH MOTORS: SET threatens to de-list company
------------------------------------------------
The Asian Wall Street Journal reports the Stock Exchange of
Thailand (SET) has warned that 47 companies are in danger
of being de-listed unless they raise new capital by
January. Last July the SET said that companies with a
negative net worth should find new funds or investors.
The SET is also urging companies suffering heavy losses to
follow established SET rehabilitation programs to avoid
being de-listed.
UNION BANK OF BANGKOK LTD: SET threatens to de-list company
-----------------------------------------------------------
The Asian Wall Street Journal reports the Stock Exchange of
Thailand (SET) has warned that 47 companies are in danger
of being de-listed unless they raise new capital by
January. Last July the SET said that companies with a
negative net worth should find new funds or investors.
The SET is also urging companies suffering heavy losses to
follow established SET rehabilitation programs to avoid
being de-listed.
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
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term of the initial subscription or balance thereof are
$25 each. For subscription information, contact
Christopher Beard at 301/951-6400.
* * * End of Transmission * * *