Copyright 2000 AFX News Limited  
AFX - Asia

May 9, 2000 Tuesday

SECTION: COMPANY NEWS

LENGTH: 385 words

HEADLINE: Ferrier Hodgson appointed to represent Robinson creditors1

DATELINE: BANGKOK

BODY:
     Ferrier Hodgson said it has been appointed to represent the creditors of Robinson Planner Ltd in the preparation of a comprehensive rehabilitation plan for Robinson Department Store Plc.

Ferrier Hodgson is an accounting, financial restructuring and recovery firm.

Robinson was suspended from trading on the Stock Exchange of Thailand yesterday until a suitable plan is drafted.

In a statement, Ferrier said Robinson Planner Ltd was jointly set up by Ferrier Hodgson and Robinson with the support of Robinsons' creditors and its largest shareholder, Central Retail Corp.

A petition to appoint Robinson Planner Ltd to prepare a rehabilitation plan for creditors' approval was accepted by the Bankruptcy Court on 2 May 2000.

Warwick Kneale, director at Ferrier Hodgson Thailand Ltd, said negotiations between all parties have been "consistently amicable."

"We are very pleased with this appointment and are confident that we can work together with all relevant parties to prepare a plan that is in the best interests of the company's stakeholders, including financial creditors, management, employees, suppliers, customers and shareholders," Kneale said.

The petition, approved by the bankruptcy court on May 2, was entirely consensual, he said.

"It was a collective undertaking with no objections raised by any party."

As mandated by the court, the final plan must be submitted to the court within three to five months.

Robinson Department Store CEO Dr Kanok Wongtrangan said a comprehensive rehabilitation plan for the company would be completed within this timeframe.

"During this consensual plan preparation period, there will be no disruptions whatsoever to our routine business operations.

"Our staff especially should be aware that their jobs and future with the company are secure," Wongtrangan said.

Negotiations between Robinson and its creditors, most of which are foreign financial institutions, have been ongoing for the past 18 months.

Delays in reaching an agreement on the restructuring of the Robinson Group's 463 mln usd in debt have been attributed to the complexity of the transaction and the diverse number, nationality and classification of debts.