Indosiar sets coupon at 12.8%

Indosiar sets coupon at 12.8%

JAKARTA: Indonesian television company PT Indosiar Visual
Mandiri said Thursday that it has set the coupon for its Rp 717
billion rupiah (US$86 million) in five-year bonds at 12.8%.

The bonds will be offered only to the company's existing
shareholders. For every 500 shares held, one bond can be bought
at Rp 175,000, or 82.5% of the bond's face value.

As a sweetener, each bond will be issued with 131 warrants.
Each warrant can be converted into one share six months after the
bonds are issued at prices that will be determined later.

The company will issue the bonds next month.

The proceeds of the issue will be used for working capital and
to repay debt. -- Dow Jones

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CorporateBrief-AIG-take-over-GE
AIG to take over GE units
JP/14/Brief

AIG to take over GE units

TOKYO: Major U.S. insurance group AIG said Thursday it will
buy General Electric's Japanese life insurance arm, making it
Japan's largest foreign life insurer in a deal that could trigger
further consolidation in the industry.

The deal is worth between US$2.1 and $2.2 billion and includes
the purchase of the GE's U.S. auto and home insurance operations.

The move highlights the potential of Japan's insurance market
-- the second largest in the world -- despite the tough
environment as a flight to quality stands to benefit foreign
insurers that commit long-term, experts said.

American International Group Inc. (AIG) will become the
largest foreign life insurer in Japan after the deal is completed
-- by the end of September at the earliest and by the end of the
year at the latest. -- AFP

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CorporateBrief-BAT-remain-Myanmar
BAT vows to remain in Myanmar
JP/14/Brief

BAT vows to remain in Myanmar

LONDON: Tobacco giant BAT insisted Thursday it would keep
doing business with Myanmar unless ordered to stop, despite Prime
Minister Tony Blair saying it was wrong for British companies to
deal with the military regime.

"At the moment, we have no intention of pulling out. That's
our position," a BAT spokesman said.

Only if the British government or the European Union decided
to impose sanctions on the country, "then we won't do business
there," he said.

BAT, which runs a cigarette factory employing 500 people in
Myanmar, a joint venture with the country's military
dictatorship, was placed in the firing line on Wednesday after
Blair hinted strongly he wanted them to pull out.

Speaking in parliament, the prime minister said: "We are
making it clear to British companies that we do not believe this
is appropriate in circumstances where this regime continues to
suppress the basic human rights of its people." -- AFP