BANGKOK POST

August 30, 2000

LENGTH: 272 words

HEADLINE: THAI PETROCHEMICAL INDUSTRY: Revival plan put back one month: Major creditors seek revision

BODY:

The Central Bankruptcy Court yesterday approved the request of Effective Planners to postpone submission of the business rehabilitation plan of Thai Petrochemical Industry Plc to Sept 23.

Anthony Norman, managing director of Effective Planners, told the court that 90% of the plan had been completed, but that a one-month delay was needed.

Some major creditors of TPI asked for a revision of the plan as there were significant changes in some factors such as higher oil prices which resulted in higher operational costs and tighter cashflows. The slow pace of economic recovery and rising total debt also had led to necessary revisions.

Although he did not disclose detail of the changes in the plan, Mr Norman said the business rehabilitation of TPI would be completed within five years as allowed by the law.

Mr Norman said delays has been primarily due to the need to verify the claims totalling 150 billion baht submitted by creditors.

Claims totalling 110 billion baht were under particular examination, due to duplication. Another 10 billion baht in claims had been lodged by suppliers of TPI, he said.

Mr Norman said he believed the final amount of debt involved in the restructuring plan would remain almost unchanged from earlier projections at $3.6 billion.

A final plan was expected to be submitted to the Central Bankruptcy Court by Sept 11, with a vote by creditors by the end of September, he said.

Shares of Thai Petrochemical Industry closed on the Stock Exchange of Thailand at 4.2 baht yesterday, up 10 satang, in trade worth 2.97 million baht.

Kochakorn Boonlai and Darana Chudasri

LANGUAGE: English

LOAD-DATE: August 30, 2000