“Unlike previous months, where the change was due to the withdrawal of ratings, the deterioration in January was largely the result of weakening liquidity profiles, particularly of Chinese corporates and more specifically of Chinese property developers,” says Laura Acres, a Moody’s Vice President and Senior Credit Officer. “Furthermore, the increase to 12.5% is the largest month-on-month deterioration since Oct-Dec 2008.”

“Nevertheless, the index remains generally far below the 37% high recorded in Oct-Dec 2008 and is broadly in line with Jan-Mar 2011,” adds Acres. “Overall, the number of issuers in the SGL-4 category rose to 12 in January from nine in December.”

The Asian LSI measures the percentage of companies with the lowest speculative-grade liquidity rating (SGL-4), and increases when corporate liquidity appears to deteriorate.

“In addition, the ratio of downgrades to upgrades shows the peak of the credit cycle has passed. In the second half of 2011, there were more downgrades than upgrades. We are also seeing a very clear negative bias:

in January, eight companies had outlook changes, and of these, six were negative, and one was put on review for downgrade,” says Acres.

Looking ahead, markets in Asia will remain choppy and deals are still being delayed and pulled as the result of concerns over European sovereigns, while a more general economic slowdown in recent months is making investors nervous.

At the same time, January also saw the launch of a US$ bond by an Indonesian utility, Cikarang Listrindo, reinforcing our assertion that the markets could only be reopened by a higher-rated, existing issuer.

But, it remains to be seen whether this will be sufficient to break the deadlock and reopen the floodgates to new issuers coming to the markets.

The amount of high-yield debt rated by Moody’s in Asia fell in January to

$40.1 billion from $47.8 billion in December, reflecting the move by two Indonesian Government Related Issuers (GRIs) to investment-grade after the upgrade of the sovereign to Baa3 from Ba1. The two accounted for $5.5 billion and $1.5 billion of this decline, respectively.

The net number of issuers fell in January to 96 from 97 at the end of December.

The monthly index looks at looks at liquidity trends throughout the Asia-Pacific region (excluding Japan and Australia) for the speculative-grade companies Moody’s rates, and quantifies the proportion of companies with inadequate liquidity.

The report is entitled Moody’s Asia Liquidity Stress Index. It can be found at www.moodys.com

Al-Khobar | Kingdom of Saudi Arabia: Prince Mohammad bin Fahd University (PMU) Vice Rector for Academic Affairs, Dr. Nassar M. Shaikh welcomed a delegation from the University of California in San Diego (UCSD), headed by its Assistant Vice Chancellor, Mounir Soliman.

This delegation interacted with the PMU Academic leadership including the Deans and Directors to discuss the future cooperation between these two universities through the academic exchange programs.

Both PMU and UCSD explored future academic cooperation. It is expected that such cooperation will bridge the relation between the two universities.

“Agreements with the institutions like UCSD would be helpful for PMU to further excel in its mission to offer quality education,” said Dr. Nassar M. Shaikh.

“The areas at which PMU and UCSD would focus for mutual cooperation are the research activities and academic programs. The sub areas would be exchanging visits and the cooperation for the development of new academic programs,” said a joint statement.

PMU prepares its students as decision-makers. Their exposure to the global trends is therefore important to become responsible individuals. This university develops relations with several reputed institutions to instill the culture of research and academic exploration.

The UCSD delegation toured to all PMU Colleges. They had thorough discussion with respective faculty members and got an overview of its various academic programs.

with world-class innovation and design

Bangkok, February 3, 2012: Acer Computer (Thailand), Number 1 position in Thailand and the leader in innovation and a brand that inspires confidence worldwide, is focusing on “Global Trust Local Touch” as a key strategy and is ready to take on the mobility market with its world-class design and innovation with the thinnest and lightest Ultrabook model, the Aspire Timeline Ultra. It is also announcing AcerCloud, an innovative service that offers added value to users so they can securely connect all personal smart devices for convenient access, anytime and anywhere.

Acer has also aligned its business to deliver an IT Digital Lifestyle and to better serve  customers and now brings Acer Service closer to users by enabling a service team and setting up more centers in convenient locations while Acer also announced its support for the 2012 Olympics in London.

Acer Thailand’s Managing Director Harry Yang said: “We can look at ICT trends in two aspects: consumer and commercial.  Acer sees preferences for both groups to be around design, innovation and convenience.  People need to be securely connected anywhere, anytime with the thinnest, lightest and latest devices.  They bring their lifestyle with them, whether it is from the office to home or from their home to the office.  They also want simple, friendly, timeless and experienced services,” he added.

“In 2012, ‘Global Trust Local Touch’ is our strategy.  Acer is ready to go to market with a perfect combination of technology, product design, solutions and services, whether it be in terms of the latest innovation or about slim and elegant design and this will now include cloud-based services.  Acer’s unique Channel Business Model has been instrumental in the company’s latest success because we engage with first-class channel partners and suppliers and provide our customers with latest innovation, competitive pricing and quality service,” the Acer Thailand Managing Director said.

“Acer’s dedication and commitment to the research and development of innovative products such as the Acer Aspire Ultrabook and the Acer Aspire Timeline, products that are recognized for pioneering change around slim and lightweight devices, is triggering a comeback for the IT market this year,” he added.

“In addition, Acer has created AcerCloud to provide a complete mobility and social media solution that supports Acer PCs as the foundation for data storage and transmission. The data is backed up to the cloud or is done so automatically from mobile phones or tablet computers with full security for the data, being a new dimension in computing that Acer will offer to enhance customer service,” Mr. Yang said.

He added that one of Acer’s strategies this year was that products would be more targeted and market-driven, with a focus on mobility products, commercial product offerings, desktops and peripherals with complete and comprehensive services in all product groups.

“As for commercial business, cloud, big data and virtualization are the key trends.  We will see more private cloud adoption and more digital content created, especially of unstructured data like images, photos and video.  Businesses need to analyze this content for their planning and to create competitive business models.  Acer’s servers and storage equipped with the latest innovations can serve corporate needs and Acer eDC is a cloud storage service available for commercial users that is now ready for local businesses as well.”

“As for customer service, we will make a difference by moving and opening service centers in shopping malls in addition to IT malls so that our customers will have access to Acer’s service seven days a week with support from our logistics and supply-chain resources. This will improve our quality of service since we believe that this is the best strategy to counter intense market competition,” he added.

“Last but not least, Acer has responsibilities at a global level and is a sponsor of the 2012 Olympic Games in London, which reinforces Acer’s role as an innovation leader. All of this demonstrates the achievements of Acer that have seen continuous development and which give us confidence in being a brand that is trusted worldwide. This, together with paying attention to our customers and being close to them, is the driving force that enables Acer to maintain its strong leadership,” he said.

Looking ahead, for the overall PC market, IDC estimates that it will grow by double digits, or at least 10 percent, over the coming year while the PC market in Thailand is expected to grow by between 7 and 10 percent with some 4.1 million PCs sold. And this year Acer expects to see 25 percent growth.

“And we have not forgotten our return to society with our help to schools and the young people affected by the flooding through our ongoing ‘Acer ARSA’ (Acer Volunteer) project that began last year. This year we aim to rebuild and strengthen schools affected by the massive flooding at the end of last year by working to bring students to participate in the restoration and repair of school libraries and sports facilities to restore them to their original condition,” Mr. Yang noted.

“Looming sovereign-credit and financial crises have subdued business sentiment and consumer confidence, while expected austerity measures in developed economies further constrain prospects for economic growth in Asian countries that depend on exports,” says Simon Wong, a Moody’s Vice President and Senior Analyst.

“Similarly, reduced investor appetite for high-yield names, arising partly from concerns over corporate governance and tighter lending conditions, will restrain the prospects for Asian corporate issuers.”

Wong was speaking on the release of Moody’s special report on corporate issuers in Asia, which he co-authored.

The report also notes that certain sectors and firms are at greater risk.

These include, Chinese property developers, and the regional steel, oil & gas refining & marketing, as well as technology and semiconductor sectors.

These are sectors most vulnerable to adverse policy tightening, cyclicality, and excess capacity.

Moody’s also expects bonds to replace some bank lending, and overall capital costs to rise.

The availability of credit will tighten due to deleveraging by banks in developed markets, and risk aversion among investors and lenders.

As loans become more expensive or harder to come by, domestic bond markets and an emerging, offshore Renminbi or “dim-sum” market will fund an increasing share of Asian companies’ financial needs.

Finally, default rates are likely to rise again after a two-year low, in-line with the moderate increase predicted for global speculative-grade defaults.

The report is titled “Review of 2011 and Outlook in 2012 for Corporate Issuers in Asia (ex Japan): Risks will Test Corporate Fundamentals”. It can be accessed on www.moodys.com.

Shipping industry sees hope in arising opportunities and resilient sectors
Singapore, 2 February 2012 – Several bright spots in the maritime industry are showing prospects and opportunities even as the global shipping industry faces a slow sail this year. Offshore, shipbuilding, green shipping and a growing Asia – these sectors will be the focus of the Asia Pacific Maritime (APM) 2012, which takes place in Singapore from 14 to 16 March this year.
Regarded as Asia’s premier maritime event, APM is set to see dynamic discussions between world maritime leaders on the outlook of the shipping industry and the opportunities to help industry players cope with the slowing economy.
Industry heavyweights, Mr Nobor Ueda, Chairman and President of ClassNK and Vice-Chairman of the International Association of Classification Societies Ltd. (IACS) Council, and Mr Simon Bennett, External Relations Director of the International Chamber of Shipping (ICS) will co-host the keynote session at APM 2012, themed Asian Shipping: Coping with Turbulent Waters.
“The strength of the shipping industry is inexplicably tied to volatile economic trends and trade patterns. However, despite the uncertainty in the industry, the outlook for Asia remains bright,” said Mr Ueda. “Singapore, in particular, with its tripartite model of forging partnerships is a shining example of how to overcome the downsides of the sluggish global economy.”
Mr Bennett has a more cautious view. “It is currently necessary for any prudent ship operator to anticipate the unexpected. While we had assumed that the worst was over following the 2008 banking crisis, the health of the global economy is still very fragile, and most shipping markets expect a very rough ride in 2012. The only real bright light perhaps is Asia, which continues to sustain demand for many shipping trades, although with the current uncertainty in Europe, even this cannot be guaranteed.”
Maritime associations in Asia are optimistic on the region’s ability to ride out the storm and steer towards a positive forecast.
“The maritime industry in Indonesia is now more advanced and the focus has moved beyond domestic trade to international trade as well. Domestically, shipbuilding, offshore, tugs and barges, and vessels are performing well,” said Mrs Carmelita Hartoto, Chairman of Indonesian National Shipowners’ Association (INSA).

KASIKORNBANK’s 4 Domain Coordinator officially set the Bank’s strategy for 2012 which will be heavily focus on ASEAN Economic Community (AEC) as well as reaching out to provincial customers. The four domain coordinators from left to right are as follow:   Mr. Somkiat Sirichatchai, Senior Executive Vice President, Resource Domain Coordinator, Mr. Predee Daochai, Senior Executive Vice President Resource, Risk Domain Coordinator, Mr. Teeranun Srihong, Senior Executive Vice President, Infrastructure Domain Coordinator and Mr. Krisada Lamsam, Senior Executive Vice President, Business Domain Coordinator. The Press Conference was recently held at KASIKORNBANK, Phaholyothin.

Al-Khobar| Kingdom of Saudi Arabia:

They met PMU Vice Rector for Academic Affairs, Dr. Nassar M. Sheikh, Deans, Directors and the faculty members to discuss the avenues for academic collaborations in future.

The Director of the Department of Medical & Health Sciences Programs at the Saudi Arabian Cultural Mission (SACM) in the USA, Dr. Samar Al Saggaf accompanied the UAB delegates while they visited PMU. She showed optimism about the fruitful outcome of this visit.

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This visit was aimed at discussing the collaboration opportunities between PMU and UAB which is one of the SACM affiliates.

“Such collaborations would offer a breakthrough for further growth in higher education in the Kingdom,” said Dr. Samar Al Saggaf.

This delegation had a detailed meeting with Dr. Nassar M. Sheikh and the academic and administrative leadership at PMU. They discussed various means of cooperation between the two universities.

The exchange of ideas was to explore future mutual cooperation between these universities especially for the postgraduate study programs in sciences in health and hospital management which PMU plans to start in the near future.

Finding out the possibilities about the special training opportunities in the fields of health management sciences came under their discussion.

25 January 2012, Bangkok – Her Royal Highness Princess Maha Chakri Sirindhorn, as the

Representative of His Majesty the King, presided over the Presentation Ceremony of the

Prince Mahidol Award 2011 at the Chakri Throne Hall.

THAI Airways International (THAI) was a proud sponsor of this prestigious occasion,

bringing award selection committee members and award recipients to the Kingdom of

Thailand. Mr. Ampon Kittiampon, Chairman of Thai Airways International Public

Company Limited was present to congratulate this year’s award recipients in the field of

Medicine: Professor Dr. David T. Wong and Dr. Paul M. Grant, representative of this

year’s Laureate, Professor Aaron T. Beck, from the United States of America, and

Professor Dr. Ruth F. Bishop from Australia, in the field of Public Health.

The Prince Mahidol Award Foundation under the Royal Patronage was established in

commemoration of the Centenary Birthday Anniversary of His Royal Highness Prince

Mahidol of Songkla in 1992. The Award is conferred annually upon individuals or

institutions that have demonstrated outstanding and exemplary contributions to the

advancement of medical and public health services for humanity throughout the world.

This year’s ceremony also marked the 20th Anniversary of the Prince Mahidol Award and

the 120th Birthday Anniversary of His Royal Highness Prince Mahidol of Songkla.

Picture shows Awardees with THAI’s senior executives: (from left) Mrs. Sunathee

Isvarphornchai, THAI Vice President, Corporate Communications, Mr. Ampon

Kittiampon, Dr. Paul M. Grant, Professor Dr. Ruth F. Bishop, Professor Dr. David T.

Wong, Mr. Apiporn Pasawat, THAI Board Member, Mrs. Nareeluck Wimooktanon,

THAI Vice President, VVIP/VIP Travel Planning & Coordination Department and

Mr. Niruj Maneepun, Executive Vice President, Corporate Secretariat Department.

Fitch Ratings-Bangkok/Singapore – 25 January 2012: Fitch Ratings (Thailand) has assigned Hana Bank’s (Hana) senior unsecured bonds of up to THB10bn with a minimum maturity of three years a National Long-Term ‘AAA(tha)’ rating.

Hana’s Long-Term Foreign Currency Issuer Default Rating (LTFC IDR) of ‘A-’ with Stable Outlook is at the same level as Thailand’s Long-Term Local Currency Issuer Default Rating (LTLC IDR) of ‘A-’/Stable, which is correlated to ‘AAA(tha)’ on the Thai National Rating scale.

Hana’s LTFC IDR is driven by the bank’s Support Rating Floor of ‘A-’, reflecting Fitch’s expectation of an extremely high probability of support from the South Korean government (‘A+’/Positive), given its systemic importance as one of the major commercial banks in Korea.

Hana’s ‘AAA(tha)’ issue rating could be downgraded if Hana’s LTFC IDR were to be downgraded below Thailand’s LTLC IDR of ‘A-’. Such a scenario would arise if Korea’s sovereign rating is downgraded or the bank’s systemic importance to the Korean economy is reduced. However, either scenario is not expected in the near-term. If Thailand’s LTLC IDR rating were to be upgraded, then Hana’s baht bonds would also be downgraded.

Hana is the sixth-largest bank in Korea with total assets of KRW159trn (or USD141bn) at end-Q311. The bank has a sizable franchise in the Korean banking system, holding 8.6% and 9.7% of the system’s total assets and deposits, respectively, through its nationwide branch network at end-Q311. Hana is the flagship subsidiary of Hana Financial Group.