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To: Zardoz who wrote (67407)	4/9/2001 9:34:50 PM
From: Ahda	Read Replies (2) \| Respond to of 116791

Tuesday, April 10, 2001 Creditors angry as Asia Pulp unveils US$3.9b burden REUTERS in Singapore Prev. Story \| Next Story -------------------------------------------------------------------------------- Debt-ridden Asia Pulp & Paper (APP) told disgruntled creditors it had obligations of US$3.9 billion on top of its direct borrowings, and then asked for another US$200 million. In documents handed to creditors at a closed-door meeting in Singapore yesterday, APP - whose debt restructuring is one of the largest to date in an emerging market - said it would release last year's audited results in June and aimed to have a workout plan for its consolidated debt of US$12.2 billion by March next year. APP, which is looking at divesting unnamed units in China and Indonesia, did not specify the nature of the US$3.9 billion in obligations for which it had acted as guarantor, but the figure could balloon its stated debt. But what seemed to irk creditors most was the request for US$200 million by September to stabilise its Indonesian operations - after the company had frozen all interest and principal repayments on its debt last month to preserve precious cash. "That is a bit much to ask and nobody in that room is going to give them that money," said one banker at the meeting. The world's 10th-biggest paper concern said the debt standstill "will be modified to accommodate new providers of working capital". In return, creditors would have to suspend lawsuits and agree not to seize assets. Several APP units will meet creditors in Jakarta tomorrow. About 500 creditors, many of them Japanese, crammed into the meeting. APP last week disclosed it failed to factor a US$220 million loss on two currency-swap contracts into its financial statements. <?b> Problems are non existent in a Global Community right as you are as good as your hedger in this new corporate world.