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PM for developing countries' greater role in financial management - Times of India
Source: Google News India - Business | 13 Nov 2008 | 2:03 pm The party is over - Sify
Source: Google News India - Business | 13 Nov 2008 | 1:59 pm Indian billionaires lose $212 bn since last year: Forbes - Business Standard
Source: Google News India - Business | 13 Nov 2008 | 1:51 pm Manmohan Singh leaves for G20 summit in WashingtonPrime Minister Manmohan Singh left for the US capital Thursday evening to attend the G20 Summit among leaders of rich and developing nations to find ways that could reverse the current global economic slowdown and avert a future financial crisis.Source: IndiaeNews.com: Business News | 13 Nov 2008 | 1:02 pm India has stake and role in global financial stability: PMIndia has vital stake and a role to play in the global economic stability, Prime Minister Manmohan Singh said Thursday as he left for the US capital to attend the G20 Summit among leaders of rich and developing nations to find ways that could reverse the current global economic slowdown and avert a future financial crisis.Source: IndiaeNews.com: Business News | 13 Nov 2008 | 1:01 pm AMD unveils new chip for server platformLeading chipmaker Advanced Micro Devices (AMD) Thursday unveiled a more powerful chip based on 45 nm (nanometre) quad-core Opteron processor, codenamed 'Shanghai', for server platform.Source: IndiaeNews.com: Business News | 13 Nov 2008 | 1:00 pm Companies told to stick to basics during slowdownsDuring an economic slowdown, companies should stick to basics, quickly grab market share, cut costs, conserve cash, go in for acquisitions financed by long-term borrowings and bring down output prices to boost demand, a management meet attended by top managers concluded here Thursday.Source: IndiaeNews.com: Business News | 13 Nov 2008 | 1:00 pm Mukesh Ambani pips NRI steel tycoon Lakshmi Mittal in Forbes India Rich list!Reliance Industries` Mukesh Ambani has overtaken NRI steel tycoon Lakshmi Mittal as the richest Indian in the world, with a net worth of USD 20.8 billion, Forbes said in its annual rich list for the country.Source: Zee News : Business | 13 Nov 2008 | 12:47 pm US backs away from plan to buy bad assets; Democrats seek auto aid!Urgently shifting course, the Bush administration is abandoning the centerpiece of its massive USD 700 billion economic rescue plan and exploring new ways to shore up not only banks but credit-card, auto-loan and other huge nonbank businesses. Democrats are pressing hard to include a multibillion-dollar bailout for faltering automakers, too — over administration objections. Unimpressed by any of the talk on Wednesday, Wall Street dove ever lower.Source: Zee News : Business | 13 Nov 2008 | 12:47 pm Historic G20 summit hopes to head off global recession!Leaders of the world`s 20 biggest economies will hold a historic meeting Saturday in a bid to head off the threat of a protracted global recession and forge a new world financial order.Source: Zee News : Business | 13 Nov 2008 | 12:47 pm Asian shares sink on global economy fears, Nikkei slides 5.1 percent!Asian shares sank on Thursday to their lowest this month on uncertainty about whether the United States can succeed in its massive banking rescue and a revenue warning from Intel Corp.Source: Zee News : Business | 13 Nov 2008 | 12:47 pm Oil falls to 22-month low at $55!Oil fell for a third straight day on Thursday to hit a 22-month low of USD 55 a barrel as mounting pessimism about the global economy outweighed OPEC`s comments that it could cut output again as early as end-November.Source: Zee News : Business | 13 Nov 2008 | 12:47 pm Intel`s shock warning sounds alarm for tech sector!Chip giant Intel Corp cut its fourth-quarter revenue forecast by about 14 percent citing weak demand across the world and in all its products, indicating the economic crisis is set to hurt computer sales in the holiday season and beyond.Source: Zee News : Business | 13 Nov 2008 | 12:47 pm Three Indian wines bag silver at Indian Wine ChallengeThree Indian wines produced by leading brands Chateau Indage, D'Ori and Sula, respectively, won a silver medal each at the Indian Wine Challenge that saw 16 countries participating.Source: IndiaeNews.com: Business News | 13 Nov 2008 | 12:33 pm Saint Gobain wants suppliers to slash ratesThe Indian arm of leading French glass maker Saint-Gobain, which is developing a greenfield plant in Bhiwadi, Rajasthan, Thursday said it will renegotiate rates with the project's suppliers to achieve substantial cost savings.Source: IndiaeNews.com: Business News | 13 Nov 2008 | 12:31 pm Mahindra Group to Deploy SAP Across its Companies - Network Computing
Source: Google News India - Business | 13 Nov 2008 | 12:30 pm Bejan Daruwalla foresees prosperity in 2009Take heart, recession hit Indians. Renowned astrologer Bejan Daruwalla sees a year of plenty ahead.Source: Daily News & Analysis: Money News | 13 Nov 2008 | 12:29 pm Bell quits IAF's light utility chopper bidsUS chopper manufacturer Bell has now backed off from the contest for 197 light utility helicopters (LUHs).Source: Daily News & Analysis: Money News | 13 Nov 2008 | 12:23 pm Indian billionaires lost $212 bn since last year: ForbesIndia's richest have suffered a value erosion of a massive USD 212 billion largely due to the global financial turmoilSource: Daily News & Analysis: Money News | 13 Nov 2008 | 12:20 pm Inflation foxes Government economists, again!Inflation has not only burdened the common man but foxed economists and policy planners with its erratic movement.Source: Daily News & Analysis: Money News | 13 Nov 2008 | 12:18 pm Germany and China feel the pain of global downturnLONDON (Reuters) - Germany is in recession and China's industry output growth has waned to its weakest in seven years, data from the world's top exporting nations showed on Thursday, providing further evidence of a global economic slide.Source: Reuters: Money News | 13 Nov 2008 | 12:15 pm StanChart agrees to acquire Cazenove AsiaStandard Chartered said that its subsidiary, Standard Chartered Bank (Hong Kong) has agreed to acquire leading financial services firm, Cazenove AsiaSource: Daily News & Analysis: Money News | 13 Nov 2008 | 12:14 pm BSNL plans to launch 3G services in TNBSNL is planning to launch 3G services in Tamil Nadu by January and will partner Univercell for the rollout of the services, said Mr M.D. Velusamy, Chief General Manager of Chennai Telephones.Source: Moneycontrol Top Headlines | 13 Nov 2008 | 12:12 pm Sharp dip in inflation makes room for rate cutsNEW DELHI (Reuters) - Indian inflation dropped sharply to its lowest in nearly six months in early November as prices of metals and fuels fell, and analysts said the unexpectedly low figure gave the Reserve Bank room to cut rates.Source: Reuters: Money News | 13 Nov 2008 | 12:08 pm Wal-Mart post higher net, cuts full-year forecastNEW YORK (Reuters) - Wal-Mart Stores Inc reported better-than-expected quarterly profit on Thursday as shoppers seeking relief from deteriorating global economic conditions scoured its aisles for discounts on groceries and medicine.Source: Reuters: Money News | 13 Nov 2008 | 12:08 pm Lanco Hills hikes project cost to Rs 7,200 crLanco Hills, a special purpose vehicle of Lanco Infratech, has hiked the cost of the mixed development project that includes a special economic zone near Hyderabad from Rs 6,000 crore to Rs 7,200 crore.Source: Moneycontrol Top Headlines | 13 Nov 2008 | 12:08 pm No buyback for now: SatyamPutting to rest speculation about the likely buyback offering, Satyam Computer Services has made it clear that the company is not contemplating that option for now.Source: Moneycontrol Top Headlines | 13 Nov 2008 | 12:07 pm Oil hits 22-month low below $55, demand sinksLONDON (Reuters) - Oil dropped to a 22-month low under $55 on Thursday as evidence piled up global recession would have a deep impact on demand and news OPEC might take more emergency action did only a little to halt the sell-off.Source: Reuters: Money News | 13 Nov 2008 | 12:06 pm Ratan Tata to group cos: Freeze acquisitions, capex plansWarning of hard days ahead, Mr RatanTata has asked all the Tata Group companies to put on hold their acquisition and capital expenditure plans.Source: Moneycontrol Top Headlines | 13 Nov 2008 | 12:04 pm India's Inflation Rate Declines the Most in 18 Years (Update2) - Bloomberg
Source: Google News India - Business | 13 Nov 2008 | 11:54 am Skoda unveils luxury car ‘Superb’ at Mumbai auto showPTI Mumbai: Auto major, Skoda India, today unveiled its luxury car ‘Superb´ at the Autocar Performance Show 2008 here. Skoda would launch Superb in February 2009 and would announce the price at that time. Superb was launched in Europe in June. “Superb was recently launched in all European markets and has received great response. In India, the Superb will be a benchmark in its class in terms of design, safety and value,” Skoda India Board Member Thomas Kuehl told reporters here. Skoda has sold about 16,000 cars in the Indian market this calendar year. “We are growing at 50% above the previous year,” Kuehl said. Kuehl said there is pressure globally, but in India the company is better-placed. He added that the company is working on the concept of a small car for the Indian market and other developed markets. “The small car will take 3-5-years to come,” he said. It would be in the price range of Rs3-5 lakh, he said. Source: LatestNews-Home - Livemint.com | 13 Nov 2008 | 11:51 am Three out of four Indian billionaires aged 50 or aboveThe Indian billionaire club seems to be top-heavy in terms of age of its members, with three out of every four being at least 50-year old.Source: Daily News & Analysis: Money News | 13 Nov 2008 | 11:49 am India at G20 meet shows changing global economy - PMNEW DELHI (Reuters) - India's presence at an emergency summit in Washington to decide on how to contain the damage from the financial crisis shows the changing landscape of the global economy, Prime Minister Manmohan Singh said.Source: Reuters: Money News | 13 Nov 2008 | 11:46 am ONGC Videsh, IRP Red Sea strike oil in EgyptONGC Videsh Ltd and its partner IRP Red Sea Ince have made a second oil discovery in an offshore block in Egypt.Source: Daily News & Analysis: Money News | 13 Nov 2008 | 11:46 am Accel to raise $60 mn for investing in IndiaPTI New Delhi: Venture capital firm Accel India today said it would raise $60 million to invest in the country’s high growth sectors, including technology, media and consumer products services.Accel Partners, Venture capital, Erasmic Venture Fund The venture fund, which would invest in seed and early stage opportunities in India, has attracted top tier institutional investors from North America, Europe and Asia, Accel India said in a statement. “The fund will pursue a multi-sector strategy, targeting opportunities in technology, technology-enabled services, media, life sciences and other services which are on high-growth sectors of the Indian economy,” it said. Seed and early stage markets continue to be under-served in India, attracting less than 5% of the total venture capital funds, it added. Earlier this year, Accel Partners had acquired Bangalore- based Erasmic Venture Fund to set up operations in India. Accel, established in 1983, has over $4 billion asset under management. “Accel would be the first institutional investor in a new venture, and would play an active role in supporting the management to shape the portfolio company’s direction,” the statement said. “The Accel India team is already functioning as a key element of our Accel global network, to the benefit of talented, passionate entrepreneurs in India and around the world,” Partner at Accel Partners Peter Wagner said. Source: LatestNews-Home - Livemint.com | 13 Nov 2008 | 11:42 am Diageo reviewing collaboration with United Spirits: reportBy Reuters London: Diageo Plc, an alcoholic drinks group, said it was reviewing a possible collaboration with India’s United Spirits Ltd after Indian media reported about Diageo taking a stake. “We are reviewing a possible collaboration with United Spirits,” said a Diageo spokesman on Thursday. Market talk that Diageo, the maker of Johnnie Walker whisky and Smirnoff vodka, may take a minority stake in United Spirits has continued for a while with European drinks makers keen to increase their presence in India’s fast-growing drinks market. Earlier, the Economic Times in India reported that Diageo was in exclusive talks to buy a minority stake of 14.99%, initially. The same paper reported a year ago that Diageo was in talks to buy a slightly smaller stake. United Spirits is the world’s No. 3 spirits maker by volume and is controlled by Vijay Mallya through the UB Group. “There was a meeting with Diageo yesterday. We have entered into exclusive discussions with them for a limited period,” Mallya told the Indian paper. The paper, citing unnamed sources, said United Spirits was seeking to price the deal at almost double Wednesday’s closing share price of Rs771.1, with the stake sale raising $450 million to $500 million. The proceeds could be used to reduce United’s debt of $1.2 billion from its purchase of Scottish spirits maker Whyte & Mackay in 2007, it added. Source: LatestNews-Home - Livemint.com | 13 Nov 2008 | 11:40 am StanChart agrees to acquire Cazenove AsiaPTI Mumbai: Global banking major Standard Chartered today said its subsidiary, Standard Chartered Bank (Hong Kong), has agreed to acquire leading financial services firm Cazenove Asia from JPMorgan Cazenove for an undisclosed sum. The acquisition, which is subjected to regulatory approvals, is expected to be completed in the first quarter of 2009. As per the agreement, StanChart will acquire 100 per cent stake in the brokerage firm, the bank said in a statement issued here today. “Standard Chartered is investing where we see opportunities to grow our businesses...Cazenove Asia has a strong management team and the business is a great cultural and geographic fit for us,” Standard Chartered’s Asia CEO Jaspal Bindra said. A member of the Hong Kong Stock Exchange, Cazenove has offices in New York, London, Singapore, Shanghai and Beijing. In the Asian region, the company is mainly engaged in corporate finance and equity sales, trading and research for institutional clients. Since 1997, the company has been a part of 218 transactions valued at over $98 billion on behalf of clients in the region, the company said. The acquisition is expected to give a strong equity markets platform to StanChart to offer its clients financing, distribution, equity research and enhanced advisory capabilities, the bank said. Source: LatestNews-Home - Livemint.com | 13 Nov 2008 | 11:34 am Standard Chartered to acquire Cazenove Asia Ltd - Moneycontrol.com
Source: Google News India - Business | 13 Nov 2008 | 11:31 am Diageo reviewing collaboration with United SpiritsLONDON (Reuters) - Diageo Plc, the world's largest alcoholic drinks group, said it was reviewing a possible collaboration with India's United Spirits Ltd after Indian media reports concerning Diageo taking a stake.Source: Reuters: Money News | 13 Nov 2008 | 11:31 am Hit by demand slump, Sweden's SKF planning to cut jobsSweden's leading bearing maker SKF Thursday said it was considering cutting jobs globally as part of the company's restructuring activities to cope with the 'changing demand situation'.Source: IndiaeNews.com: Business News | 13 Nov 2008 | 11:30 am India's inflation rate in single digit after 21 weeksIndia's annual rate of inflation fell sharply to 8.98 percent for the week ended Nov 1, from 10.72 percent for the week before, in a development that should bring some cheer to the United Progressive Alliance (UPA) government, ahead of the ensuing state elections.Source: IndiaeNews.com: Business News | 13 Nov 2008 | 11:30 am ISRO to launch Chandrayaan-II by 2012: Nair - Economic Times
Source: Google News India - Business | 13 Nov 2008 | 11:23 am Adverse climatic conditions hit oil cropsPTI Ahmedabad: Scanty and untimely rainfall in western and southern states during August-September has dented major oilseed crops such as groundnut and soyabean, leading to a 7% fall in industry’s initial estimates on production. The Central Organisation for Oil Industry and Trade (COOIT) has now projected an output of 164.1 lakh tonnes for kharif 2008, compared with 175.5 lakh tonnes in its first advance estimate released on 29 September. “The dry spell in August, and un-seasonal rains spanning from September-end to the middle of October has been a major factor for damage to groundnut and soyabean crop in Gujarat,” convenor of COOIT’s crop estimate panel G G Patel told PTI. Moreover, adverse climatic conditions impacted these crops in southern states like Andhra Pradesh, Tamil Nadu and Karnataka, he added. From its first advance estimates, the industry body has revised downward soyabean and groundnut output figures by eight lakh tonnes and four lakh tonnes, respectively. Soyabean output in 2008, however, is projected at 98.9 lakh tonnes, compared with 107 lakh tonnes in the first advance estimate. However, the production is higher than that of the last kharif at 94.6 lakh tonnes. In groundnut, COOIT has projected the output to decline to 45.2 lakh tonnes in this kharif from 49 lakh tonnes in the earlier estimate. The output this kharif is lower than 48.7 lakh tonnes in kharif 2007. The association has projected total oilseeds production during the kharif 2008-09 season at 164.1 lakh tonnes, marginally down from last year’s 164.9 lakh tonnes. However, according to the government’s first estimates, total oilseeds output in kharif 2008-09 would be 179.47 lakh tonnes, against 198.42 lakh tonnes last year. Source: LatestNews-Home - Livemint.com | 13 Nov 2008 | 11:20 am India focus at 2009 Spanish Art fairBy PTI New Delhi: Reflecting a growing popularity of Indian art, leading artists and top galleries from across the country have been invited to showcase their works at ARCOmadrid, the prestigious international Contemporary Art Fair of Spain. The annual fair, which is among the best-known in Europe and a big social event bringing together galleries, artists, collectors, curators, musuem directors and experts worldwide, will host India under its Panorama section, which features art from guest countries. “Arco is one of the four main fairs in contemporary art worldwide. We chose India to be the focus this year because it is a fascinating country with a rich heritage and has been highlighted at various important events like the fashion scene in Paris and the Frankfurt Book Fair,” Luis Eduardo Cortes, chairman of IFEMA, the trade fair Institution in Madrid told PTI. “Also Indian contemporary art is still to be discovered in Spain and we wanted to give young artists a chance to showcase their work to the world,” he said. A selection of 13 galleries by curator Bose Krishnamachari will bring to the fair recent works of 50 contemporary artists of the Indian scene including stalwarts such as M F Husain, Tyeb Mehta and Subodh Gupta. Along with established artists younger creators such as pianter Anandajit Ray, sculptor Chintan Upadhyay, video artist Manjunath Kamathand multidisciplinary creator Riyas Komu would offer comprehensive insight into the current art scene in India. Source: LatestNews-Home - Livemint.com | 13 Nov 2008 | 11:20 am Kerala IT cos meet Achuthanandan to tackle slowdownIf the current downturn finally hits the state's information technology (IT) companies, the Kerala government should offer sops to help them cut operational costs, chiefs of top IT companies told Chief Minister V.S. Achuthanandan in a meeting here Thursday. At the moment, they were fine, the companies said.Source: IndiaeNews.com: Business News | 13 Nov 2008 | 11:01 am BT to cut 10,000 jobs, 2Q net profit risesLondon: Shares at BT Group PLC, Britain’s largest phone company, surged 11% on Thursday morning after the company announced it is cutting 10,000 jobs this year to boost earnings and said net profit for the second quarter rose 18% on higher sales. The majority of job cuts will hit workers employed through outside agencies, contractors and offshore workers, and represents a 6 percent reduction in BT’s global work force, the company said. Net profit for the three months to 30 September was $595 million, up from 339 million pounds a year earlier. Revenue for the period rose to $7.9 billion from 5.1 billion pounds. Chief executive Ian Livingston said the job cuts, which will be made by March of next year, were a necessary part of the company’s previously announced scheme to reduce costs by as much as $1.2 billion this year. Source: Home - Livemint.com | 13 Nov 2008 | 11:01 am Inflation drops to single digit, touches 8.98 pc - IBNLive.com
Source: Google News India - Business | 13 Nov 2008 | 10:59 am Israel opens fuel crossing point with Gaza StripNew York: Israel opened its fuel crossing point with the Gaza Strip on Wednesday but closed it again after less than 230,000 litres were delivered, citing ongoing clashes on the Gaza side, the United Nations said on Thursday. Gaza is facing acute shortage of fuel as Israel in allowing only limited supplies to go in. “If no industrial fuel deliveries are allowed in tomorrow, Gaza’s power plant will have to be switched off this weekend,” the UN Office of the Special Coordinator for the Middle East Peace Process (UNSCO) said. Apart from the fuel crossing, all Gaza commercial crossings remained closed yesterday for the seventh day in a row, with no humanitarian or commercial commodities being allowed in. UNSCO said there were concerns in Gaza over the growing shortage of cooking gas and a number of bakeries have been forced to shut down, leading to worries over the availability of bread. The UN Relief and Works Agency for Palestine Refugees in the Near East (UNRWA) said the current blockade of Gaza is affecting its operations “as never before.” Materials prevented from entering Gaza include linens for a centre for blind children, textbooks for young students, and fire extinguishers. UNRWA had on Tuesday said that food distributions to 750,000 people in the Strip, about half the total population there, would end today unless critical supplies, including wheat, powdered milk and oil, were allowed in. Source: LatestNews-Home - Livemint.com | 13 Nov 2008 | 10:55 am Panipat thermal plant breaks recordThe Panipat Thermal Power Station- two (PTPS-2) of Haryana Power Generation Corporation Ltd. (HPGCL) has broken all previous recordsSource: Daily News & Analysis: Money News | 13 Nov 2008 | 10:53 am For banks, bad debts a growing burden - Livemint
Source: Google News India - Business | 13 Nov 2008 | 10:45 am Govt should reimpose import duty on steel: RoongtaPTI New Delhi: The government should re-impose import duty on all categories of steel soon to ward off the threat of cheaper shipments from countries like China amid the global economic recession, SAIL Chairman S K Roongta today said. As anti-dumping laws are there in India, the government should act swiftly and take precaution to safeguard the domestic steel industry, Roongta told reporters on the sidelines of a metal conference here. Asked if SAIL is contemplating cutting production due to the slackening demand for steel, Roongta said the company’s output would be “market-oriented” and in accordance with the demand. Even as Roongta refrained giving a clear picture of the production cut, Steel Secretary P K Rastogi had a couple of days back said that the state-run steel behemoth may have to lower output for some of its products as its offtake in October dipped by as much as 37%. According to industry experts, demand for steel in India has nosdived by over 30% in the last few months, mainly on account of the slowdown and potential buyers putting off purchases in anticipation of prices falling further. As a fallout of reducing demand for the commodity, steel producers have announced cutting output by over 20%. Sajjan Jindal-led JSW Steel has said it would rationalise the product mix as per the current market conditions and modify the production programme to reduce output by around 20% from November. Ruias-promoted Essar Steel and Vinod Mittal-led Ispat Industries are operating below optimum capacity. “It is true that our steel plants are operating at about 75% of their capacities,” an Essar spokesperson said. Source: LatestNews-Home - Livemint.com | 13 Nov 2008 | 10:42 am Intel slashes 4Q outlook on dimming PC demandSan Francisco: Intel Corp. whacked more than $1 billion from its fourth-quarter revenue forecast and ratcheted down its profit expectations because a clampdown on spending is reducing demand for its chips. Intel’s announcement on Wednesday illuminates how the economic crisis is rippling across industries. As consumers and businesses cut back on buying all kinds of things, their reduced purchases of PCs are harming computer makers and their suppliers. Intel is the world’s largest supplier of microprocessors, the brains of personal computers, with roughly 80 percent of the global market. Intel now expects sales of $9 billion in the last three months of the year, plus or minus $300 million. It previously expected sales between $10.1 billion and $10.9 billion, and analysts polled by Thomson Reuters were looking for $10.3 billion. Intel blamed “significantly weaker than expected demand in all geographies and market segments” and PC makers buying fewer new chips as they burn through existing inventory to save money. Intel’s profit is being hurt badly. The company’s closely watched gross profit margin will now come in around 55% of revenue, plus or minus a couple of percentage points. The previous guidance was for roughly 59%. Gross margin measures profit on each dollar of revenue once manufacturing costs are stripped out. It’s an especially important measurement for chip makers because upgrading and maintaining their factories is hugely expensive. The technology sector in general is bracing for a prolonged slump. Cisco Systems Inc., the world’s largest maker of computer networking gear, offered a sign of the trouble last week when it reported that orders fell off abruptly in October. As the first major technology company to report results including October, Cisco’s grim forecast suggested that other tech companies will likely have to absorb major damage to their sales as well. More specific warning signs for the PC sector emerged last week when Lenovo Group Ltd., the world’s fourth-largest PC maker, reported that profits plunged 78%. Intel shares fell $1.13, or 8.4%, in extended trading after the warning was announced. The stock had fallen 41 cents, or 2.9%, to $13.52 during the regular trading session. The shares have lost about half their value since a 52-week high of $27.99, reached last 6 December. Intel actually had been performing well before the downturn struck. A new manufacturing process that shrinks the size of its chips’ circuitry has allowed it to wring healthy profits despite pressure on prices for those chips. One of those pressures has been the rise of so-called “netbooks,” which are pint-sized PCs that are cheaper than regular laptops and are used primarily for surfing the Internet. Intel’s $2.01 billion in profit for the third quarter beat Wall Street’s expectations. At the time of the earnings release, the company was optimistic about what lay ahead, if fuzzy on details. Intel warned that it would be tough to predict fourth-quarter results but predicted steady profits. Source: LatestNews-Home - Livemint.com | 13 Nov 2008 | 10:42 am Intel slashes 4Q outlook on dimming PC demandSan Francisco: Intel Corp. whacked more than $1 billion from its fourth-quarter revenue forecast and ratcheted down its profit expectations because a clampdown on spending is reducing demand for its chips. Intel’s announcement on Wednesday illuminates how the economic crisis is rippling across industries. As consumers and businesses cut back on buying all kinds of things, their reduced purchases of PCs are harming computer makers and their suppliers. Intel is the world’s largest supplier of microprocessors, the brains of personal computers, with roughly 80 percent of the global market. Intel now expects sales of $9 billion in the last three months of the year, plus or minus $300 million. It previously expected sales between $10.1 billion and $10.9 billion, and analysts polled by Thomson Reuters were looking for $10.3 billion. Intel blamed “significantly weaker than expected demand in all geographies and market segments” and PC makers buying fewer new chips as they burn through existing inventory to save money. Intel’s profit is being hurt badly. The company’s closely watched gross profit margin will now come in around 55% of revenue, plus or minus a couple of percentage points. The previous guidance was for roughly 59%. Gross margin measures profit on each dollar of revenue once manufacturing costs are stripped out. It’s an especially important measurement for chip makers because upgrading and maintaining their factories is hugely expensive. The technology sector in general is bracing for a prolonged slump. Cisco Systems Inc., the world’s largest maker of computer networking gear, offered a sign of the trouble last week when it reported that orders fell off abruptly in October. As the first major technology company to report results including October, Cisco’s grim forecast suggested that other tech companies will likely have to absorb major damage to their sales as well. More specific warning signs for the PC sector emerged last week when Lenovo Group Ltd., the world’s fourth-largest PC maker, reported that profits plunged 78%. Intel shares fell $1.13, or 8.4%, in extended trading after the warning was announced. The stock had fallen 41 cents, or 2.9%, to $13.52 during the regular trading session. The shares have lost about half their value since a 52-week high of $27.99, reached last 6 December. Intel actually had been performing well before the downturn struck. A new manufacturing process that shrinks the size of its chips’ circuitry has allowed it to wring healthy profits despite pressure on prices for those chips. One of those pressures has been the rise of so-called “netbooks,” which are pint-sized PCs that are cheaper than regular laptops and are used primarily for surfing the Internet. Intel’s $2.01 billion in profit for the third quarter beat Wall Street’s expectations. At the time of the earnings release, the company was optimistic about what lay ahead, if fuzzy on details. Intel warned that it would be tough to predict fourth-quarter results but predicted steady profits. Source: Tech News - Livemint.com | 13 Nov 2008 | 10:42 am Global econominc crisis to slow IT spendingWorldwide spending on information technology, especially in the United States will slow "significantly" in 2009 due to the global financial crisis, a leading IT market intelligence firm has forecast.Source: Daily News & Analysis: Money News | 13 Nov 2008 | 10:35 am IIMs issue advisory for CAT takers; 276000 students to appear - MBAUniverse.com
Source: Google News India - Business | 13 Nov 2008 | 10:34 am Tata Motors Jamshedpur unit may see second closure in NovTata Motors\' Lucknow plant is likely to be shut for another week, reports CNBCTV18, quoting sources. A Tata Motor\'s spokesperson said the companys Lucknow plant will go for block closure from November 1015. However, sources said the company\'s Jamshedpur plant will go for a second round of block closure by Novemberend.Source: Moneycontrol Top Headlines | 13 Nov 2008 | 10:32 am Animation parks to generate two lakh additional jobs by 2010: AssochamNew Delhi: Setting up animation parks with hi-tech studios will make India a hub for 3D animated movies to enable domestic animation industry perform all its production activities within the country and not be forced to spend its funds in the US, Canada, Philippines, China and Malaysia for making advanced animated movies, according to a paper on “Will Indian animation industry emerge as the next knowledge destination for jobs” brought out by industry chamber, Assocham. The suggested parks could alone generate employment opportunities for skilled animators to the extent of a minimum of two lakh in the next three years because of rising potential in the industry and a large number of trained youth ready to embark on a career in animation. These parks will help the Indian animation industry reach a market size of over $1 billion by 2010, with a CAGR of 30%. In 2007, the animation industry’s market size was estimated at $450 million. Key Findings * In the absence of hi-tech studios and improved technology, currently Indian animation corporate houses are outsourcing their advanced animation work to countries like US, France, Canada, Malaysia, China * Animation industry will be dominated by 25-30 year olds * Dearth of quality institutions which can provide technical training has resulted in shortage of animators, visualizers, conceptualizers and 3D modellers; animated movie makers are turning to overseas studios at high costs * There is a large gap between available courses and training needs as recognized by most animation companies in the country *Corporates that intend to set up these parks should be accorded with a minimum 10-year tax holiday incentive with concessional rates for land allocation which should be equipped with advance technology to remove competitive threats from Asian countries like Malaysia, Philippines, China * Shortage of skilled manpower and specialized training institutes, lack of government funding, hi-tech studios and tax incentives could impact the industry * In the absence of hi-tech studios and improved technology, Indian animation companies are outsourcing their advanced animation work to countries like US, France, Canada, Malaysia and China * Currently Indian animation industry employs around 9000-15,000 animators and needs additional 30,000 people; need for skilled professionals like creative animators, conceptualizers, visualizers, 3D modellers, character designers and digital effects artists who can handle multimedia software such as 3D studio Max, Maya, Tictactoon would be needed * Indian companies have captured business of around $100-110 million which is a small pie of the $15 billion global animation industry; there is need to capture overseas markets through outsourcing and low cost of movie production * Adoption of animation in Indian cinemas is very low; while our budget would be within a few crore of rupees Hollywood films like Spider Man need an investment of Rs100-125 crore Source: LatestNews-Home - Livemint.com | 13 Nov 2008 | 10:32 am Animation parks to generate two lakh additional jobs by 2010: AssochamNew Delhi: Setting up animation parks with hi-tech studios will make India a hub for 3D animated movies to enable domestic animation industry perform all its production activities within the country and not be forced to spend its funds in the US, Canada, Philippines, China and Malaysia for making advanced animated movies, according to a paper on “Will Indian animation industry emerge as the next knowledge destination for jobs” brought out by industry chamber, Assocham. The suggested parks could alone generate employment opportunities for skilled animators to the extent of a minimum of two lakh in the next three years because of rising potential in the industry and a large number of trained youth ready to embark on a career in animation. These parks will help the Indian animation industry reach a market size of over $1 billion by 2010, with a CAGR of 30%. In 2007, the animation industry’s market size was estimated at $450 million. Key Findings * In the absence of hi-tech studios and improved technology, currently Indian animation corporate houses are outsourcing their advanced animation work to countries like US, France, Canada, Malaysia, China * Animation industry will be dominated by 25-30 year olds * Dearth of quality institutions which can provide technical training has resulted in shortage of animators, visualizers, conceptualizers and 3D modellers; animated movie makers are turning to overseas studios at high costs * There is a large gap between available courses and training needs as recognized by most animation companies in the country *Corporates that intend to set up these parks should be accorded with a minimum 10-year tax holiday incentive with concessional rates for land allocation which should be equipped with advance technology to remove competitive threats from Asian countries like Malaysia, Philippines, China * Shortage of skilled manpower and specialized training institutes, lack of government funding, hi-tech studios and tax incentives could impact the industry * In the absence of hi-tech studios and improved technology, Indian animation companies are outsourcing their advanced animation work to countries like US, France, Canada, Malaysia and China * Currently Indian animation industry employs around 9000-15,000 animators and needs additional 30,000 people; need for skilled professionals like creative animators, conceptualizers, visualizers, 3D modellers, character designers and digital effects artists who can handle multimedia software such as 3D studio Max, Maya, Tictactoon would be needed * Indian companies have captured business of around $100-110 million which is a small pie of the $15 billion global animation industry; there is need to capture overseas markets through outsourcing and low cost of movie production * Adoption of animation in Indian cinemas is very low; while our budget would be within a few crore of rupees Hollywood films like Spider Man need an investment of Rs100-125 crore Source: Tech News - Livemint.com | 13 Nov 2008 | 10:32 am ONGC Videsh strikes oil in EgyptA consortium led by ONGC Videsh (OVL) has struck oil in an Egyptian block, which is estimated to have reserves of 800 barrels of oil per day.Source: IndiaeNews.com: Business News | 13 Nov 2008 | 10:31 am Raise mkt development assistance plan fund to Rs1000 cr: FieoPTI Mumbai: Leading exporters body Federation of Indian Export Organizations (Fieo) today demanded a 10-fold increase in the Market Development Assistance Scheme to Rs1,000 crore to meet the country’s export target of $200 billion in FY’09. The scheme should be made available to all exporters and the fund should be increased from Rs100 crore to Rs1,000 crore, FIEO President Ganesh Kumar Gupta said in a statement. Even this 10-fold increase would only mean making available 0.10% of the total export target as against the present meagre 0.01%. “Raising it to Rs1,000 crore too would work out to be a small amount in percentage terms considering the export target of Rs1,00,000 crore,” he said. FIEO also called for benefit under the focus market scheme to be enhanced to five per cent and demanded that the scheme be extended to more countries. With the country’s exports showing a negative growth for the first time in five years (15%), Gupta said that the Government should announce a stimulus package for the industry. “Exporters are not awaiting a relief package but instead a stimulus package, so as to stimulate the export sector,” Gupta said. This could be in the form of increased availability of credit, competitive cost of credit, availability of dollar-denominated credit, insurance for exports to new buyers or countries, greater encouragement to participate in international trade fairs and exhibitions and abolition of Fringe Benefit Tax (FBT), he said. Source: Home - Livemint.com | 13 Nov 2008 | 10:31 am Hamburg launches 'India Week'Hamburg, a leading port city of Germany, has launched a business event - 'India Week'- to boost business ties between India and itself.Source: Daily News & Analysis: Money News | 13 Nov 2008 | 10:29 am Siemens posts 2.4 bn euro loss in Q4AP Frankfurt: Industrial conglomerate Siemens AG on Thursday reported a net loss of 2.4 billion euros ($3 billion) for its fiscal fourth quarter, a figure that was weighed down by large one-time charges including about 1 billion euros ($1.24 billion) to settle a bribery investigation. However, the Munich-based company said full-year net profit rose by 46%, climbing to 5.9 billion euros ($7.4 billion) from the previous year’s 4 billion euros. The fourth-quarter figure compared with a loss of 74 million euros a year earlier. Siemens said that a major factor was a 1.16 billion euro ($1.46 billion) loss from discontinued operations related mainly to its sale of a 51% stake in the Siemens Enterprise Communications unit. Siemens also has said it would book a charge of about 1 billion euros ($1.24 billion) in the fourth quarter to settle any costs related to an ongoing bribery investigation. Sales for the quarter rose 4% to 22.2 billion ($27.5 billion) from 21.3 billion euros a year earlier. Source: World Business - Livemint.com | 13 Nov 2008 | 10:27 am Siemens posts 2.4 bn euro loss in Q4AP Frankfurt: Industrial conglomerate Siemens AG on Thursday reported a net loss of 2.4 billion euros ($3 billion) for its fiscal fourth quarter, a figure that was weighed down by large one-time charges including about 1 billion euros ($1.24 billion) to settle a bribery investigation. However, the Munich-based company said full-year net profit rose by 46%, climbing to 5.9 billion euros ($7.4 billion) from the previous year’s 4 billion euros. The fourth-quarter figure compared with a loss of 74 million euros a year earlier. Siemens said that a major factor was a 1.16 billion euro ($1.46 billion) loss from discontinued operations related mainly to its sale of a 51% stake in the Siemens Enterprise Communications unit. Siemens also has said it would book a charge of about 1 billion euros ($1.24 billion) in the fourth quarter to settle any costs related to an ongoing bribery investigation. Sales for the quarter rose 4% to 22.2 billion ($27.5 billion) from 21.3 billion euros a year earlier. Source: Home - Livemint.com | 13 Nov 2008 | 10:27 am Inflation drops to 8.98% for week ended 1 NovNew Delhi: India’s wholesale price index rose 8.98% in the 12 months to 1 November, sharply below the previous week’s annual rise of 10.72%, government data showed on Thursday. The rate was well below a median forecast of 10.37% in a Reuters poll of analysts. Inflation for the week ended 6 September was revised up to 12.42% from 12.14%. The annual inflation rate was 3.35% during the corresponding week of the previous year. The wholesale price index is more closely watched than the consumer price index, which is published monthly, because it covers a higher number of products and is released weekly. Source: Home - Livemint.com | 13 Nov 2008 | 10:24 am Fitch sees Asia banks bad loans up till 2010SEOUL (Reuters) - Asian banks will continue to suffer from rising bad loans next year or into 2010 as the global economy stutters, and banking stocks will remain under pressure, a senior official at Fitch Ratings told Reuters on Thursday.Source: Reuters: Money News | 13 Nov 2008 | 10:23 am German economy now in recessionAP Berlin: New government data show that the German economy is officially in recession. Europe’s biggest economy recorded negative growth for a second consecutive quarter in the third quarter. The Federal Statistical Office said Thursday that gross domestic product contracted by 0.5% in the July-September period compared with the previous quarter. The economy contracted by 0.4% in the second quarter - its first decline since late 2004. A technical recession is defined as two consecutive quarters of negative growth. Source: Home - Livemint.com | 13 Nov 2008 | 10:23 am British Telecom cutting 10,000 jobsLONDON (Reuters) - Britain's BT Group beat second-quarter earnings forecasts on Thursday and announced 10,000 job cuts and a possible boost to its pension scheme, sending its shares up over 12 percent just days after a profit warning.Source: Reuters: Money News | 13 Nov 2008 | 10:08 am Internet under threat from cyber-criminalsPTI London: The internet is under increasing threat from hackers who aim to bring down entire networks as battles between cyber-criminals intensifies, a new report has warned. A survey of 70 of the world’s largest internet companies brought out the growing anxiety from growing threat from hackers. It found growing concern over a range of new threats from malicious hackers, many of them rival criminal gangs trying to damage each other’s operations. To make matters worse, while the ferocity and frequency of the hackers’ attacks were growing, the capability of their targets to cope was weakening due to financial pressures. The chief weapon remains so-called botnets, or networks of infected or robot PCs, which can be hijacked by the hacker to transfer vast amounts of data over the internet. The aim being to swamp computer servers with large amount of data and bring down entire networks. The new study by US company Arbor Networks, which helps internet service providers (ISPs) monitor the performance of their networks, found that the size of the biggest botnet attacks has grown a hundredfold since 2000. It noticed a significant increase in attacks being targeted at e-commerce sites. Hackers have sprayed up to 40 gigabits of data around the internet in recent attacks which, given that the biggest networks carry only a quarter of that amount, is guaranteed to overwhelm the system, the Daily Telegraph newspaper said. According to the British daily, many of the attacks are carried out by one group of cyber-criminals against another as they fight over control of online scams such as pyramid schemes. According to the report, a popular technique employed by hackers is called reflective amplification and involves hijacking a small number of computer than can channel a vast amount of data toward a victim. Source: Tech News - Livemint.com | 13 Nov 2008 | 9:49 am YouTube channels Google with search-driven adsSan Bruno: Facing more pressure to profit from its huge audience, YouTube is letting advertisers promote their commercial clips alongside the search results at the Internet’s most popular video site. The system introduced on Wednesday channels a concept that has turned Google Inc., YouTube’s owner, into one of the world’s most profitable companies. And it gives Google a new way to try to profit from the $1.76 billion it paid to buy YouTube two years ago. Just as they do at Google, advertisers can now tie their commercials to specific words entered into YouTube’s search box. For instance, a contractor might want to bid for the right to show a video ad when people search for home improvement clips. The new platform, initially available only in the United States, also is expected to appeal to video creators who want to attract a larger audience to clips they have posted on YouTube. Some clips that might not rank high in the primary results of a YouTube search theoretically could appear on the first page as a “sponsored” video if a bidder is willing to pay a high enough price for a click and offers compelling content. Like Google, YouTube’s formula for deciding which sponsored results to display is based on a combination of factors primarily how much money an advertiser is willing to pay per click and how much interest the message has drawn in the past. It’s easy for clips to get lost in the mix at YouTube, given that 13 hours of new video are being uploaded to the site every minute. Google is becoming more aggressive about mining revenue from YouTube as it tries to realize a return from buying the video site. Last month, for instance, YouTube began allowing advertisers to place a button under videos to offer viewers a chance to buy music, movies or other products featured in a clip. YouTube also is experimenting with ads that could appear before, during and after the professionally produced TV shows and movies that can now be watched on YouTube. Although it attracts more than 300 million worldwide users, YouTube hasn’t delivered a big payoff for Google yet much to the frustration of impatient investors. And Google could definitely use an additional lift, even though the Internet search leader’s revenue has climbed 37% so far this year. As the economy heads into what’s expected to be its deepest recession in a quarter century, analysts are convinced Google’s growth will decelerate dramatically - a concern that has caused the company’s stock to plunge by 58% so far this year. Google shares fell below $300 for the first time in more than three years Wednesday to close at $291, down $20.46, or 6.6%. Google doesn’t break out YouTube’s contribution to its finances, but Collins Stewart LLC analyst Sandeep Aggarwal estimates the video site will generate $180 million to $200 million in revenue this year. That’s just 1 percent of Google’s projected revenue of about $20 billion this year. But Google Chairman Eric Schmidt has promised it won’t be much longer before YouTube comes up with an approach that will encourage advertisers to substantially increase their spending on Internet video commercials. Most analysts also have high expectations. The research firm eMarketer Inc. estimates US advertisers will be spending $5.8 billion on video ads in 2013, up from $505 million this year. Aggarwal predicts YouTube’s revenue will double next year to about $400 million. Even if video advertising takes off, it will still be far smaller than Google’s bread and butter, the search advertising market. EMarketer expects that market to more than double in the United States during the next five years to $23.8 billion. YouTube’s search-driven ads seem unlikely to make as much money as Google’s, partly because fewer people are looking to buy things when they visit YouTube. Some advertisers also might be reluctant to have their messages shown alongside YouTube results for fear of being displayed along some risque or wacky content that could hurt their brands, said Forrester Research analyst James McQuivey. Source: Tech News - Livemint.com | 13 Nov 2008 | 9:39 am LSE halts share buy-back, shares plummetLondon: London Stock Exchange Group halted its $773.3 million share buy-back programme on Thursday, sending shares lower even as it announced a 57% rise in operating profit. “Following the significant changes in global financial market conditions, it is currently prudent to retain a more robust balance sheet and to provide financial flexibility to pursue investment opportunities,” it said. Markets would remain “difficult and uncertain”, the British bourse said, just as a spate of new market entrants are forcing it to cut fees. By 1:55pm, LSE stock was down 9.2%. The FTSE 100 Index of blue chips was 0.4% weaker. LSE shares have fallen 70% since the start of the year, a sign of concern that increasing competition after the introduction of new European Union financial rules, known as MiFID, will put the bourse’s revenue under pressure. “We believe the impact of competition will not be limited to trading but will be extended to its information services division as well,” said MF Global analyst Mamoun Tazi. For the six months ending September, the British bourse said operating profit before amortisation and exceptionals rose by 57% to $278.2 million, above Reuters Estimates forecasts of 164 million pounds. Source: Home - Livemint.com | 13 Nov 2008 | 9:20 am Gold dips by Rs150 on weak global cuesNew Delhi: Gold prices on Thursday tumbled by Rs150 to close at Rs11,850 per 10 gram in the bullion market here largely in tandem with weakening global market as dollar rallied. Silver prices, too, dropped by Rs275 at Rs 16,600 per kg amid reduced off-take by consuming industries and speculators. Trading sentiments turned weak after gold in global markets dropped by $21.90 to $707.80 an ounce, the lowest level this month as a rally in the dollar eroded the appeal of the precious metals and other commodities. In the domestic market, standard gold and ornaments fell by Rs150 each at Rs11,850 and Rs11,700 per 10 gram respectively, while sovereign moved down by Rs50 at Rs10,350 per piece of eight gram on subdued demand. Silver ready continued its slide largely in line with weak global trend and dipped by another Rs275 at Rs16,600 per kg and weekly-based delivery slipped by Rs131 at Rs16,627 per kg on reduced off-take by speculators. Silver coins shed Rs100 at Rs26,900 for buying and Rs27,000 for selling of 100 pieces. Source: Home - Livemint.com | 13 Nov 2008 | 9:02 am Microsoft’s new Windows Live aims to be hub for WebReuters Seattle: Microsoft Corp said on Wednesday its next release of Windows Live online services will integrate e-mail, instant messaging, photos and Web applications from other companies into a single platform. Microsoft aims to position Windows Live with its widely-used e-mail and messaging services as the hub for a growing number of Internet applications and incorporate new features similar to those found on popular social networks. The strategy puts Microsoft into competition with social networking sites Facebook and News Corp’s MySpace, which started to open their fast-growing websites to outside software developers last year. The new Windows Live service plans to feature a main profile page that updates users to their friends’ activities within Windows Live and on more than 50 outside Web services including Yahoo Inc’s Flickr photo site and career-oriented social networking site LinkedIn. “It’s a race to see who will work better and faster with everyone else,” said Charlene Li, founder of consulting company Altimeter Group. “It’s the recognition that you can’t be an island of yourself.” Microsoft said Web users are overrun with accounts at multiple Internet sites, each requiring a password and each with a different set of friends. Its goal is to simplify the Web lives of its users who go to Microsoft’s Windows Live e-mail or instant messaging accounts. The company’s Windows Live strategy is also central to its plans to wrestle away online advertising revenue from Google Inc, which has used its dominant search engine to expand into e-mail, online word processing and other businesses that compete directly with Microsoft. Microsoft plans to roll out the new Windows Live services, which will include a revamped e-mail, calendar and a new photo application, in the United States over the coming weeks and then make it available in 54 countries early next year. Fill in the seams In this third major release of Microsoft’s Windows Live services, Microsoft said it aims to fill in the seams between its different Web services to create a unified experience. Brian Hall, general manager of Windows Live, pointed to Microsoft’s Outlook application, which brought together e-mail, calendar and contacts programs into a single integrated software suite, as a model for how it wanted to tie together a loose network of Web services. He also noted that the latest Windows Live release is focused on creating a more polished user experience, which, in the past, may have been sacrificed in order to get new programs out quicker. Other new services include an online movie maker program, a “groups” service that allows a group of users to create a joint calendar, share photos and documents or chat together online. Microsoft also plans to increase the size of its free storage service to 25 gigabytes from 20 GB. Microsoft boasts more than 460 million Windows Live users and analysts said the goal for the company is to keep that audience in front of the company’s websites for as long as possible and to prevent defection to other Web destinations. “I don’t think Microsoft is going to steal a whole lot of eyeballs from Facebook or MySpace,” said David Card, research director at Forrester. Facebook has 120 million active users and many of those rely on its mail and chat applications to communicate with friends instead of traditional e-mail and messaging services offered by Microsoft and Yahoo. Microsoft and Facebook are pursuing the same strategy, according to analysts, albeit from different sides and areas of strengths. Last year, Microsoft paid $240 million for a 1.6 percent stake in privately-held Facebook. Source: Tech News - Livemint.com | 13 Nov 2008 | 6:06 am Japan may provide IMF $106 bn aid, deflation loomsTokyo: Japan is ready to offer $106 billion to the International Monetary Fund if it needs extra funds to help emerging economies, a Japanese government source said on Thursday, as a central bank board member warned the financial crisis has a long way to run. Deflation rather than inflation is becoming an increasing concern across the globe, with Japanese wholesale inflation slowing sharply in October and analysts warning of weakening demand for goods as the crisis pushes developed economies towards recession. Financial markets have remained jittery despite efforts by governments and central banks worldwide to ease the pain from the crisis. Tokyo’s Nikkei stock average sank 5% on Thursday as a wave of grim earnings forecasts from the United States boosted worries about the global economy. Prime Minister Taro Aso will propose offering IMF the fund when leaders of the Group of 20 industrialised and emerging nations meet for a crisis summit in Washington on Friday, the government source told Reuters. Under Aso’s draft proposal, Japan will lend part of its currency reserves totaling $980 billion, to the IMF for emerging market loans, the Nikkei business daily reported in its Thursday edition. Although the amount is still undecided, the maximum is expected to be about 10% of Japan’s foreign exchange reserves, the paper said. Selling US government bonds held by Japan in order to provide the funds in cash would affect US bond yields. Tokyo may therefore consider lending US government bonds to the IMF, which the institution can then use as collateral to raise funds, the newspaper added. Bank of Japan policy board member Seiji Nakamura warned of difficult times ahead, saying Japan may be on the brink of a drawn-out adjustment phase as the global financial crisis could slow down the world economy. “Japanese banks’ lending attitude is turning cautious due to concern over the economy and the earnings outlook, suggesting a change in easy monetary conditions,” Nakamura told business leaders in a speech on Thursday. Japan’s economy shrank at the fastest pace in seven years in April-June, and some analysts think it may have contracted again in the following quarter, which would meet the most common definition of a recession. The median forecast in a Reuters poll for July-September gross domestic product, due out on Monday, is for an increase of 0.1%. Annual wholesale inflation, as measured by the corporate goods price index, slowed to 4.8% in October from 6.8% in September, data showed on Thursday, surprising market players who had forecast a rise of 5.5%. While the slowdown was mostly due to declines in oil and commodity prices, some analysts said weak domestic demand may add downward pressure on overall prices ahead. The Bank of Japan, which had opted out of coordinated interest rate cuts earlier, joined the global trend late last month by cutting its key rate to 0.30 from 0.50%. Tokyo announced last month that it was ready to tap its massive foreign reserves if the IMF were to require additional resources to help countries facing financial meltdown. At the time, officials did not provide any further details. Finance ministry officials told Reuters over the past few weeks that Japan had not acted on its offer as the IMF still had sufficient funds and had not asked for help. Source: Home - Livemint.com | 13 Nov 2008 | 5:28 am Intel's shock warning sounds alarm for tech sectorNEW YORK (Reuters) - Chip giant Intel Corp cut its fourth-quarter revenue forecast by about 14 percent citing weak demand across the world and in all its products, indicating the economic crisis is set to hurt computer sales in the holiday season and beyond.Source: Reuters: Money News | 13 Nov 2008 | 5:19 am Mukesh Ambani pips Mittal in Forbes India Rich listPTI Kuala Lumpur: Reliance Industries’ Mukesh Ambani has overtaken NRI steel tycoon Lakshmi Mittal as the richest Indian in the world, with a net worth of $20.8 billion, Forbes said in its annual rich list for the country. Mittal, who has moved to second position with a net worth of $20.8 billion, is followed by Mukesh’s younger brother Anil Ambani, whose wealth stood at $12.5 billion. Telecom czar Sunil Mittal and realtor K P Singh are ranked fourth and fifth with net worth of $7.9 billion and $7.8 billion, respectively. The magazine said that the combined net worth of India’s 40 richest has declined by 60% due to weak stock markets amid depreciating rupee against the greenback. Their total wealth is now $139 billion, down from $351 billion just a year ago, according to Forbes India Rich List. “These are painful times for India’s tycoons. The country’s once soaring stock market fell 48% the past year, the rupee depreciated 24% against the dollar, and GDP growth is expected to slow by at least a percentage point, in part owing to double-digit inflation,” Forbes Asia said in a statement. While all 40 tycoons listed last year were billionaires, only 27 have 10-figure net worths now. A net worth of $760 million was needed to make to the list this year, $840 million less than last year. Source: Home - Livemint.com | 13 Nov 2008 | 4:59 am US stocks plunge on Paulson commentsNew York: US stocks plunged on Wednesday after a shift in how the US government will use its $700 billion bailout fund fed uncertainty and oil prices slid to 21-month lows on fears of a deep global recession. US Treasury Secretary Henry Paulson said he was backing away from buying troubled mortgage assets and would focus on the capital needs of non-bank financial institutions. Banking shares took the brunt of the government’s shift in how to address a credit crisis whose genesis lies in the slumping US housing market. Shares of Citigroup fell below $10 for the first time since it became a public company. The shift in government plans caught investors off-guard. Paulson’s comments also underscored the head winds the US economy faces, adding to the slide in stocks and feeding a bid for such safe-haven assets as government debt and the yen. The threat of deflation, which would hurt corporate profits, also slammed stocks and made risk-averse investors steady buyers of US Treasuries. Sterling tumbled to a six-year low against the dollar and a record trough against the euro after the Bank of England warned the British economy will shrink sharply next year. Its governor bolstered expectations of aggressive interest rate cuts. The pound traded as low as $1.4898, the weakest level since June 2002, and the US dollar fell sharply against the yen as investors shunned riskier assets. Oil fell more than 5% to less than $56 a barrel at one point after the US government again chopped its forecast for global demand due to slowing economic growth around the world. US crude, which peaked at more than $147 a barrel in July, fell $3.17 to settle at $56.16 a barrel, its lowest settlement since January 2007. Fresh signs of economic weakness also pummeled stocks. The top US electronics retailer. Best Buy, warned that the business climate was the worst in 40 years and said consumer spending is falling fast, adding more evidence of pending economic gloom. The Dow Jones industrial average closed down 411.30 points, or 4.73%, at 8,282.66. The Standard & Poor’s 500 Index was down 46.65 points, or 5.19%, at 852.30. The Nasdaq Composite Index was down 81.69 points, or 5.17%, at 1,499.21. The technology-rich Nasdaq marked its lowest close since May 2003, and the S&P’s close was less than 4 points off a 5-1/2-year low. Shares of Best Buy fell 8%, and the S&P retail index fell 5.8%. Banking shares fell harder, with the S&P financial index down 6.9%. Bank of America fell 9% and American Express fell 10.5%. Data from Europe added to the gloom. Euro zone industrial production fell a larger-than-expected 1.6%, while British unemployment rose to its highest level in more than a decade in the three months to September. The Bank of England said the British economy would shrink sharply next year and inflation could be less than 1%. Source: Home - Livemint.com | 13 Nov 2008 | 4:28 am Industrial growth slips in Sept; but ‘encouraging’A negative growth of 3.3 per cent in intermediate goods in September compared with 10 per cent in the corresponding period last year pulled down growth in the Index of Industrial Production (IIP) to 4.8 per cent in September 2008 as against 7 perSource: Business Line - Home Page | 13 Nov 2008 | 12:00 am Ratan Tata to group cos: Freeze acquisitions, capex plansMumbai, Nov. 12 Warning of hard days ahead, Mr RatanTata has asked all the Tata Group companies to put on hold their acquisition and capital expenditure plans.Source: Business Line - Home Page | 13 Nov 2008 | 12:00 am Japan’s DoCoMo acquires 26% stake in Tata TeleMumbai, Nov. 12 Japan’s largest mobile operator NTT DoCoMo on Wednesday became the latest entrant in the world’s fastest growing mobile telephony market when it picked up a 26 per cent stake in the city-based Tata Teleservices (TTSL)Source: Business Line - Home Page | 13 Nov 2008 | 12:00 am RBI aid puts mutual funds on recovery roadMumbai, Nov. 12 Almost one month after the RBI stepped in to help the mutual fund industry out of its liquidity problems, it does appear that they are on the road to recovery, said mutual fundSource: Business Line - Home Page | 13 Nov 2008 | 12:00 am India misses out on global health fund’s largesseMumbai, Nov. 12 India has missed the opportunity to get a slice of $2.75 billion worth of funds, recently approved by The Global Fund to fight AIDS, Tuberculosis and Malaria, due to the technical quality of its proposals.Source: Business Line - Home Page | 13 Nov 2008 | 12:00 am Rupee falls sharply as FIIs sell in equity marketMumbai, Nov 12 The rupee fell by Rs 1.20 against the dollar, the sharpest single day fall in the recent past, on heavy dollar demand on Wednesday. Currency dealers said rupee came under pressure as FIIs sold heavily in the equity market.Source: Business Line - Home Page | 13 Nov 2008 | 12:00 am DoCoMo’s entry to set off race for mobile applicationsNew Delhi, Nov 12 Mobile applications such as ‘Imadoco’ and ‘Osaifu-Keitai’ could become Indian rage soon.Source: Business Line - Home Page | 13 Nov 2008 | 12:00 am High inventory cuts car makers’ growth outlookBangalore/Mumbai, Nov. 12 With inventory levels in car dealerships across the country doubling in recent months, the Indian auto industry may be facing a far more serious situation than was expectedSource: Business Line - Home Page | 13 Nov 2008 | 12:00 am The financial crisis will hit our aging agenda hardFinancial fire-fighting has become a daily occurrence at almost every level. While at the household point awry budgets seem to find solution in shrunken menus on the dinner table, the macro scene has the central bankers manning every conceivableSource: Business Line - Home Page | 13 Nov 2008 | 12:00 am No buyback for now: SatyamHyderabad, Nov. 12 Putting to rest speculation about the likely buy-back offering, Satyam Computer Services has made it clear that the company is not contemplating that option forSource: Business Line - Home Page | 13 Nov 2008 | 12:00 am Paulson backs off asset plan; crisis cures at riskNEW YORK (Reuters) - The U.S. Treasury backed away from using a $700 billion bailout fund to cleanse bank balance sheets of bad mortgage debt, while Europe reported more gloomy economic news, fanning fears of a worldwide recession.Source: Reuters: Money News | 12 Nov 2008 | 9:54 pm Mohan Parasaran to replace TS Doabia in RILRNRL caseThe government has withdrawn its Counsel TS Doabia from the Reliance IndustriesReliance Natural Resources case. Additional Solicitor General of India, Mohan Parasaran, will replace TS Doabia.Source: Moneycontrol Top Headlines | 12 Nov 2008 | 9:00 pm NBFCs face slowdown due to lower demandThe slowdown in the nonbanking finance companies is getting evident. After a Crisil report that pointed to a 50% drop in volumes, NBFCs agree that the situation is grim but the outlook is not gloomy. Sundaram Finance, a veteran in vehicle financing, says that the slowdown is not because of the liquidity crunch but due to lack of demand.Source: Moneycontrol Top Headlines | 12 Nov 2008 | 7:45 pm We have to expand the market not served by our technologyBangalore: From the time Cleve Moler and Jack Little’s team ran its first prototype on the IBM personal computer in 1984, their company The MathWorks Inc. has taken math to businesses that traditionally have had nothing to do with mathematics.  High goals: MathWorks’ Little says Indian engineering graduates can move up the algorithm chain to develop high-level computing language. Hemant Mishra / Mint The company sold its first licence in India, to the Indian Institute of Management, Ahmedabad, in 1985, but took 23 years to enter the country, which is its third largest market in Asia. Probably a recent discovery that India ranked fourth in its online visitors category, after the US, China and Germany, helped it firm up its plans. In Bangalore to launch MathWorks, president and co-founder Little spoke about how Indian companies, science and engineering students could use technology to innovate. Edited excerpts: Why did you take so long to come here? Asia is more complicated than Europe for American companies (to do business). We went to China last year and we’ll be going to Japan next year, even though it’s the largest market. I think it’s the right time to enter India as we have reached a stage where it’s difficult to manage distribution and, at the same time, schools, government and companies are familiar with our products. We’d like to build on that. One-third of your revenue comes from the education sector. How do you think you can make a difference there? In terms of percentage, education will contribute less as we are going to increase our revenue from the commercial sector. But India produces the second largest number of engineering graduates in the world, who can move up the algorithm chain—from coding in assembly (language) or C to a high-level computing language. Our programs and models can be used by an individual researcher who has a cool idea, which sometimes works, sometimes doesn’t… But, to be used across the organization, one needs to follow certain processes and tools, which ensure that users become global participants. Your revenue exceeded $450 million (Rs2,196 crore) last fiscal. What’s your market share? That’s a really hard question to answer. It’s true we are the leading developers of software for technical computing and model-based design, but in a market share discussion, how do you set the denominator? What is the addressable market? I’d say we are changing that market… Our competitors are not companies but business-as-usual. We are growing at average 15% and we can grow at that rate forever, but we have to expand the market, which is not served by these technologies. For instance, the tool testing, validation and verification segment is pleading with us to develop more tools. With so many grids coming up, do you see opportunities in grid computing? India is building one of its own. Yes, we think we can make a difference by extending parallel computing to grids and cloud (computing). People have built capacity, but there’s no usage as everybody needs algorithm to run their program on the grid. At this size and longevity, why are you still privately held? So that we have the freedom to do what we do. I don’t have to talk to analysts or investors; I can invest in research and development. I wanted to build tools, which I am doing, Cleve (a mathematician) wanted to enhance knowledge and we haven’t strayed from that. Now we are investing heavily in computational biology for we believe as engineers we are fairly bold and can simulate things which biologists would not ever think of… But conceivably, at some point we may need funds if we want an acquisition. Source: Tech News - Livemint.com | 12 Nov 2008 | 6:30 pm Telenor to focus on 2G rollout now, no call yet on 3GTelenors Global Chief, Jon Fredrik Baksaas, said cash flow for Indian investment has been negatively received by investors. He said Telenor will focus on 2G roll out now and has not yet taken a call on 3G roll out.Source: Moneycontrol Top Headlines | 12 Nov 2008 | 4:58 pm Downtrend in realty affecting furniture retailingOrganised furniture retailing has been witnessing growth of over 30% every year. But the present downtrend in the real estate sector seems to have directly affected furniture retailers like Future Group\'s Home Town, among others.Source: Moneycontrol Top Headlines | 12 Nov 2008 | 4:38 pm Spectrum allocation: HC asks govt to respond by Dec 10The Delhi High Court has sought response from the Centre on a petition challenging its first comefirst serve procedure adopted in spectrum allocation. The High Court has asked the government to file its response within three weeks and posted the matter to December 10 for hearing.Source: Moneycontrol Top Headlines | 12 Nov 2008 | 4:08 pm Chandrayaan-1 closer to final orbit: IsroBangalore: Chandrayaan-1 spacecraft is slated to reach about one km away from its final orbital home of 100 kms above the moon’s surface on Wednesday evening. Isro scientists are planning the final orbit reduction manoeuvre for about one minute at around 7 pm that would bring the lunar spacecraft to around 101 kms above the moon’s surface, Isro sources said. The circular orbit is expected to be trimmed to 100 kms on Thursday, they added. Source: Tech News - Livemint.com | 12 Nov 2008 | 1:45 pm
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