APP to form debt committee

APP to form debt committee

JAKARTA (AFX-ASIA): Asia Pulp & Paper Co said its creditors
have agreed to the establishment of informal committees as part
of the process of drafting of a debt restructuring plan.

"Informal committees representing our bank, export credit
agency and trading company creditors have been formed. An
informal committee representing holders of a substantial portion
of our bond indebtedness has also been formed," APP chief
financial officer Hendrik Tee said.

The company issued the statement after a creditors' meeting in
Singapore attended by representatives of bondholders, Indonesian
and international banks, trading companies, export credit
agencies and the Indonesian Bank Restructuring Agency.

The company also said Chinese state bank creditors of the
company's Chinese operating subsidiaries formed a separate
committee to negotiate with the company and that the company
plans to meet with that group in the coming weeks.