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See 3% degrowth, demand murkier than Q2end: SatyamSatyam said the current demand environment is murkier than what it was at the end of second quarter, reports CNBCTV18. \"We sees a 3% hit to growth.\"Source: Moneycontrol Top Headlines | 26 Nov 2008 | 3:51 pm Jet Airways, caught in a tailspin over pay cutsJet Airways chairman Naresh Goyal struggles to keep his airline afloat in these turbulent times. Matters in the company are taking a turn for the worse as the management is unable to push through a salary cut (up to 25%), with the unions refusing to even have a discussion unless expat employees are eased out.Source: Moneycontrol Top Headlines | 26 Nov 2008 | 1:36 pm DAL to raise $450m from PE investors: SourcesDLF Assets (DAL) will raise around USD 450 million from a cluster of private equity investors, reports CNBCTV18, quoting sources. Investment banking sources said JP Morgan, Texas Pacific and others are likely to invest in DAL.Source: Moneycontrol Top Headlines | 26 Nov 2008 | 12:44 pm Citi went wrong in real estate: CEO Vikram Pandit!Citigroup Inc Chief Executive Vikram Pandit on Tuesday blamed prior management for diving too deeply into real estateSource: Zee News : Business | 26 Nov 2008 | 12:10 pm Oil steady near USD 51 after falling overnight!Oil prices were steady near USD 51 a barrel Wednesday in Asia as investors weighed more bad economic news from the US that sparked a sell-off of crude overnight.Source: Zee News : Business | 26 Nov 2008 | 12:10 pm Delhi HC issues notice to Centre over Spectrum allocation policy, asks to reply by Dec 10!Delhi High Court on Wednesday sought response from the government on a petition challenging the policy.Source: Zee News : Business | 26 Nov 2008 | 12:10 pm Sun Pharma buys US-based narcotic maker !Sun Pharmaceutical Industries Ltd said its unit had acquired 100 percent of US-based narcotic producer and importer Chattem Chemicals Inc for an undisclosed sum.Source: Zee News : Business | 26 Nov 2008 | 12:10 pm Sensex gains 132 pts in early trade!The benchmark Sensex on Wednesday rose by over 132 points in opening trade.Source: Zee News : Business | 26 Nov 2008 | 12:10 pm Citigroup 'went wrong' on realty: Vikram PanditVirtually blaming the previous management for the mess within Citigroup Inc, its Indian-American chief executive Vikram Pandit said its unchecked exposure to the US realty industry led to the present crisis.Source: Daily News & Analysis: Money News | 26 Nov 2008 | 12:09 pm India to take up TATA project problems with VietnamIndia will approach Vietnam on land allotment problems relating to Tata Steel's proposed mega steel plant in the South East nation.Source: Daily News & Analysis: Money News | 26 Nov 2008 | 12:06 pm Govt may extend Rs 15000 cr sovereign guarantee to CCI - Business Standard
Source: Google News India - Business | 26 Nov 2008 | 12:01 pm Book Review | My god is a juvenile delinquentNew Delhi: “No child turns to crime out of choice. It is always poverty and circumstances that put one on the wrong path” says the soft spoken Abbas. He is 20 years old and was in Tihar’s Central Jail for three years before shifting to the Observatory Home where he has been housed for over a year now.  Arrested for theft, he is neither bitter nor angry. Not even when told that as a minor (he was 16 when he was charged and confined) his lawyer could have defended him and made sure he at least stayed in a home and not in prison. In ‘My God is a Juvenile Delinquent’ the author takes the reader through a number of such stories based on his painful journey into a world where children are in conflict with the law. From petty theft to murder and sexual harrassment there are cases of gross injustice where a child has been kept under custody for years when he was actually innocent or just a convenient scapegoat. The years of confinement affect children in different ways. Not all are as gentle or forgiving as Abbas. Ruzbeh poignantly captures anger, frustration, depression and suppressed violence that is like a volcano, ready to burst. Taking you through legalese and the knotty ways in which the Juvenile Justice Act works, the book reveals different facets of the author himself - an activist, film maker, researcher, writer, satirist and finally a father. Each story that he tells is like a felt experience, perhaps because it is about children and their vulnerabilities. A good read for all those connected with child welfare and social justice. Case studies are gently woven in like a creative story telling exercise and the last section of the book details the law, how it works, data culled from police records in different states and draft reports that have so far been submitted to the National Council for the Protection of Child Rights (NCPCR). My God is a Juvenile Delinquent has been published by Sainathann Communication and is priced at Rs350. Ruzbeh N. Bharucha has also authored Shadows in Cages and Yamuna Gently Weeps Source: LatestNews-Home - Livemint.com | 26 Nov 2008 | 11:52 am Sensex up over 300 pts on rate cut hopes - Indian Express
Source: Google News India - Business | 26 Nov 2008 | 11:46 am 3G competition to result in lower tariff: A RajaCommunications and IT Minister A Raja said most foreign players are interested in bidding for 3G. Termination charges are being discussed by the Telecom Regulatory Authority of India, or TRAI, he said. The minister believes either lower termination charges or competition will result in lower tariff.Source: Moneycontrol Top Headlines | 26 Nov 2008 | 11:40 am Mumbai is top shop for e-commerce - IT Examiner
Source: Google News India - Business | 26 Nov 2008 | 11:35 am EU Commission approves 200 bln euro stimulus - sourceBRUSSELS (Reuters) - The European Commission approved on Wednesday a package aimed at giving the sagging European economy a sharp, temporary boost with a 200 billion euro ($260 billion) spending plan across the 27-nation bloc, an EU source said.Source: Reuters: Money News | 26 Nov 2008 | 11:33 am Sensex ends above 9K on rate cut hopes; bank, oil stks lead - Moneycontrol.com
Source: Google News India - Business | 26 Nov 2008 | 11:32 am India's Sensex ends above 9,000 on short coveringShort covering helped Indian equities markets to end in green Wednesday after two successive sessions of losses with a key index closing more than 331 points higher to breach the psychologically important 9,000 mark once again.Source: IndiaeNews.com: Business News | 26 Nov 2008 | 11:30 am Buddha for 'cautious' land acquisition policyWest Bengal Chief Minister Buddhadeb Bhattacharjee Wednesday said the state had to take cautious step towards land acquisition.Source: IndiaeNews.com: Business News | 26 Nov 2008 | 11:30 am Indian tobacco prices may head for a correction soonNew Delhi: After hitting records, prices of Indian tobacco may soon see a correction in global markets, with surplus output in two major producing countries threatening to dent prospects of the third largest producer. “China, the largest tobacco producer, is expecting 300 million kg more this year. Similarly, second largest producer Brazil has witnessed surplus output of 60-70 million kg. We think the excess production will dampen prices of Indian tobacco,” Tobacco Board chairman J Suresh Babu told PTI. China is set to produce around 2,300 million kg of tobacco this year from 2,000 million kg last year. Similarly, production in Brazil is pegged at about 700 million kg from 630 million kg in 2007-08, he said. India, too, is projected to produce more tobacco this year, with output estimated at around 270 million kg from 252 million kg last year. Output in the largest producing state, Andhra Pradesh, is pegged at about 170 million kg, while the rest is to come from Karnataka. If Brazil decides not to raise prices and keep them at the present level, India may lose business, as prices of the Indian tobacco are already ruling very high, Babu said, adding that the Brazilian tobacco is also of a bit superior quality. Tobacco prices skyrocketed to a record average of Rs 84.85 per kg during auctions in Andhra Pradesh this year against Rs 47.47 last year, as leading producers such as China witnessed some shortfall last year. Similarly, prices of highest-quality tobacco in Andhra Pradesh spiralled to a record Rs 141 a kg this year against Rs 65 last year. Even the ongoing Karnataka auctions are fetching high returns, as prices have shot up even higher than the Andhra auctions to an average of Rs104.80 a kg. Source: LatestNews-Home - Livemint.com | 26 Nov 2008 | 11:25 am Sensex gains 331 pts, banks surgeMumbai: Hectic buying by funds helped the Bombay Stock Exchange benchmark Sensex on Wednesday regain the 9,000 level at close after six trading sessions. The bellwether index climbed 331.19 points at 9,026.72 in highly volatile trade after a promising start. Banking shares were the clear winners, with ICIC Bank and HDFC Bank shooting up by 9.55% and 8.63% respectively. Marketmen said buying activity picked up in last one- hour trading as major market players covered their long pending positions ahead of Thursday’s settlement in the derivatives segment. They said the rise in Sensex on Wednesday is significant considering the cautious approach of investors ahead of weekly inflation data which will be released on Thursday. Sensex had slipped below 9,000 level on 17 November after a series of relentless selling by FIIs on fears global economic turmoil getting prolonged after more countries in Europe and Japan joined the list of nations in economic recession. The broader index Nifty on National Stock Exchange index also rose by 98.25 points at 2,752.25. Banking sector index gained 5.96% at 4,625.23, Brokers said banking share were over sold in the past since the financial turmoil emerged in the US. Source: Home - Livemint.com | 26 Nov 2008 | 11:21 am Malnutrition downplaying India's economic growth: UNIndia is progressing well in education and showing consistency in economic growth but its progress is getting downplayed due to poor child health conditions, a new UN report has said.Source: IndiaeNews.com: Business News | 26 Nov 2008 | 11:03 am Another setback for delayed Kerala Smart City projectThe already much delayed Rs.15 billion ($375 million) information technology park, the Smart City project, in the state's industrial hub Kochi, received a further jolt Wednesday when the Kerala government changed its stand once again on the project's Special Economic Zone (SEZ) status.Source: IndiaeNews.com: Business News | 26 Nov 2008 | 11:02 am Realty won\'t correct like \'96: Goldman SachsTushar Poddar, Asia Economics Research, Goldman Sachs (India), said the real estate market is set for a big correction, given the current demand and affordability. \"Prices may fall by 30% from here. It is expected that real estate price depression will be less protracted than in 1996.\"Source: Moneycontrol Top Headlines | 26 Nov 2008 | 11:02 am India to upgrade processed food quality, drive exportsThe government is setting up a Rs.2.45-billion food processing laboratory and upgrading existing facilities in a bid to improve quality standards and boost exports of processed food products.Source: IndiaeNews.com: Business News | 26 Nov 2008 | 11:02 am No dip seen in India's foreign investment inflows: OfficialIndia sees no let up in the inflow of foreign direct investment despite the global economic crisis and decision will be taken soon to further liberalise policies to attract overseas capital, a top official said Wednesday.Source: IndiaeNews.com: Business News | 26 Nov 2008 | 11:01 am Equities break bear grip, key index up 331 pointsIndian equities markets at last broke the bear grip Wednesday to end in the green after two successive sessions of losses with a key index closing more than 331 points higher to breach the psychologically important 9,000 mark once again.Source: IndiaeNews.com: Business News | 26 Nov 2008 | 11:01 am Sarkozy, Merkel urge swift action to boost economyParis: The leaders of France and Germany on Wednesday called for quick action within the European Union to halt an economic downturn with measures such as an injection of state funds for small businesses, households and infrastructure projects. President Nicolas Sarkozy and Chancellor Angela Merkel, in a joint newspaper column, insisted the slump will lead some members to surpass the EU’s 3% limit on national deficits as a percentage of economic output. The comments come just as the EU is expected to announce later on Wednesday a two-year European Economic Recovery Plan, in which it calls on the 27 EU governments to spend about euro130 billion to support their economies. The measures would complement a European “toolbox” recently agreed within the bloc to help banks. This time, the focus would be on stimulus for the overall economy, Sarkozy and Merkel wrote. The measures could involve “financing investment and infrastructures, support for small- and mid-sized companies and direct support of households,” they wrote. Member states would decide their own doses of state support. Sarkozy and Merkel said the measures should also fit with the leaders’ goal of long-term budget “sustainability” a topic they will take up with EU partners in the coming days. As for the possible amount, Merkel and Sarkozy wrote that “one point of EU gross domestic product is a good target,” suggesting the subject may come up at the bloc’s summit meeting 11 and 12 December. Also Wednesday, French Finance Minister Christine Lagarde warned on France-Info radio that unemployment figures in the country “will be bad” in the coming months because of the economic slowdown. Speaking later on France-Info radio, she took issue with Britain’s move Monday to cut the basic sales tax, the Value Added Tax, to the EU minimum of 15% from the current 17.5% in a bid to jolt the economy. Lagarde said France’s government wouldn’t cut the sales tax across the board in the same way because such a move would encourage imports, adding that she regretted the British decision to “go it alone” by lowering the VAT. France could target such a reduction only in specific sectors such as the automobile industry, she said. Source: LatestNews-Home - Livemint.com | 26 Nov 2008 | 11:01 am Indian outsourcing companies moving up value chain: StudyIndian business process outsourcing (BPO) companies are moving up the value chain with an increase in the share of high-end judgement-based work, says a study prepared by leading global information services firm Dun and Bradstreet (D and amp;B).Source: IndiaeNews.com: Business News | 26 Nov 2008 | 11:00 am 'Japanese printing industry may shift production to India'Japanese printing ink manufacturers might shift their production to low-cost manufacturing countries like India as a result of the current global financial meltdown, an industrialist here said Wednesday.Source: IndiaeNews.com: Business News | 26 Nov 2008 | 11:00 am No decision yet on fuel price reduction: Govt - India Infoline.com
Source: Google News India - Business | 26 Nov 2008 | 10:47 am Indian Oil Corp sells oil bonds to RBI: sourcesMumbai: State-run refiner Indian Oil Corporation on Wednesday sold special oil bonds worth $56.6 million to Reserve Bank of India, sources told Reuters. “The bonds were sold under the SMO (special market operations),” a company source said, referring to a special liquidity facility extended to refiners by the central bank. The bonds, maturing in 2023, were sold at a yield of 7.84%, market sources said. Source: LatestNews-Home - Livemint.com | 26 Nov 2008 | 10:46 am Anoushka and Ian Anderson’s India tour begins tomorrowBy PTI New Delhi: Sitarist Anoushka Shankar and Jethro Tull front man Ian Anderson will begin their five-city India tour with a performance in Kolkata tomorrow. This will be followed by concerts in Mumbai (November 29), Delhi (November 30), Bangalore (December 2) and Hyderabad (December 3). They will also perform in Dubai on December 4. The concerts will feature solo performances by each of them and a joint one featuring each of their own compositions and new music written specifically for the tour. There will be pieces from Anoushka’s solo albums as well as those that blend sitar in more acoustic-oriented Jethro Tull songs. Shankar said she was excited over the prospect of sharing the stage with Anderson. “Ian Anderson is a wonderful man and incredible musician, and I look forward to working with him in these concerts,” Anoushka had told PTI. “I know he has so many avid fans around India who are looking forward to his return, and I hope they also appreciate the cross-cultural ties we plan to refer through the course of the music we play together.” Widely recognized as the man who introduced the flute to rock music, Anderson remains the crowned exponent of the popular and rock genres of flute playing. He plays ethnic flutes and whistles together with acoustic guitar and the mandolin family of instruments, providing the acoustic textures which are an integral part of most of the Jethro Tull repertoire. Anderson formed Jethro Tull in 1968. It went on to become one of the most successful and enduring bands in British rock history, with landmark albums such as “Aqualung”, “Thick As A Brick” and “Too Old To Rock-n-Roll, Too Young To Die”. Source: LatestNews-Home - Livemint.com | 26 Nov 2008 | 10:45 am Indian call rates ease on ample cash - Reuters India
Source: Google News India - Business | 26 Nov 2008 | 10:35 am Suzuki launches hyper sports bike in IndiaBy PTI New Delhi: Japanese two-wheeler company Suzuki today launched its two hyper sports bikes -- Hayabusa and Intruder M1800R -- in India, both priced at Rs12.5 lakh (ex-showroom Delhi). Hayabusa would be powered with a 1,340 cc engine, while Intruder would be available with a 1,783 cc V-twin engine. “This launch is significant, especially when we are surrounded by uncertainties... Suzuki has been delivering superior technology, which has been proven worldwide. We intend to showcase the same in India,” Atul Gupta, Suzuki Motorcycle India vice-president , sales & marketing, told reporters here. The bikes will be available in Delhi, Bangalore, Hyderabad, Chennai, Pune, Mumbai and Ahmedabad. Source: Tech News - Livemint.com | 26 Nov 2008 | 10:33 am Suzuki launches hyper sports bike in IndiaBy PTI New Delhi: Japanese two-wheeler company Suzuki today launched its two hyper sports bikes -- Hayabusa and Intruder M1800R -- in India, both priced at Rs12.5 lakh (ex-showroom Delhi). Hayabusa would be powered with a 1,340 cc engine, while Intruder would be available with a 1,783 cc V-twin engine. “This launch is significant, especially when we are surrounded by uncertainties... Suzuki has been delivering superior technology, which has been proven worldwide. We intend to showcase the same in India,” Atul Gupta, Suzuki Motorcycle India vice-president , sales & marketing, told reporters here. The bikes will be available in Delhi, Bangalore, Hyderabad, Chennai, Pune, Mumbai and Ahmedabad. Source: LatestNews-Home - Livemint.com | 26 Nov 2008 | 10:33 am TNEB, BHEL tie up for 1,600 MW plant in TuticorinChennai: State-run power equipment maker Bharat Heavy Electricals Ltd. (BHEL) and the Tamil Nadu Electricity Board (TNEB) have signed an agreement for a joint venture (JV) for setting up 1,600 MW Thermal power plant in Tuticorin district, Tamil Nadu. The venture, Udangudi Power Corporation Ltd, would set up 2x800 MW supercritical thermal power project in the state, an official statement said. The total cost of the project, coming up on a 760 acre site at Udangudi, would be Rs8,700 crore, it said. The first unit of 800 MW would be commissioned in March 2012 and the second unit in September 2012. The project will be the first supercritical power project to be installed in Tamil Nadu and will strengthen the power availability in the state. The present installed power generating capacity in Tamil Nadu is 10,122 MW. The boilers and the turbine generators will be manufactured by BHEL in technical collaboration with Alstom and Siemens respectively, who are both pioneers in the field of supercritical technology. Source: Home - Livemint.com | 26 Nov 2008 | 10:28 am BHEL appoints Sutanu Behuria as part-time official director - Economic Times
Source: Google News India - Business | 26 Nov 2008 | 10:18 am NFDC to focus on script development in next five yearsPanaji: Armed with a budget of Rs30 crore for the next five years in the 11th Plan the National Film Development Corporation (NFDC) has embarked on a mission of script development and is focussing on production of atleast five films a year. “NFDC has recently launched ‘Man Beyond the Bridge´, a Konkani film directed by Laxmikant Shetgaonkar, ‘Bubble gum´, a Hindi film directed by Sanjeevan Lal and ‘Parichay´, a Rajasthani film by Seema Kapoor,” said Nina Lath Gupta, Managing Director of NFDC at the launch of the four-day Film Bazaar, on the sidelines of the 39th IFFI. She said that the number of films to be produced will depend on the quality of scripts adding: “We cannot afford to comprise on that aspect.” ‘White Elephant´ is ready for a 2009 release while ‘Lucky Red Seeds´ in Malyalam is under production. ‘Bioscope´ was premiered at the Osians film festival in Delhi. Gupta agreed that distribution of NFDC films was a challenge. “The challenge is more when off beat films are concerned,” she added. Gupta said that she had no magic solution and NFDC was working on distribution strategies. “We can’t apply the same parameters to all films,” she said. To a question on the response to last year’s ‘Film Bazaar´, Gupta said that the market has been useful in business terms and that no deals are done on the spot and takes time to materialise. “But we have got a positive feedback that by and large the film bazaar held in NFDC for the first time last year has been beneficial to the filmmakers,” she added. Source: LatestNews-Home - Livemint.com | 26 Nov 2008 | 10:14 am India retains bullish outlook on FDI; rules likely to ease - Business Standard
Source: Google News India - Business | 26 Nov 2008 | 10:10 am BSE Sensex provisionally closes 3.6 pct higherMUMBAI (Reuters) - The BSE Sensex provisionally rose 3.63 percent on Wednesday, bolstered by short covering ahead of the expiry of monthly derivatives, expectations for an easier monetary policy and mostly higher Asia markets.Source: Reuters: Money News | 26 Nov 2008 | 10:08 am Singapore targets Indian tourists in tier-II citiesSingapore Tourism Board (STB) plans to target tier-II cities, including Jaipur, Chandigarh and Jalandhar, to bolster the growth of tourist arrivals in the city-state.Source: Daily News & Analysis: Money News | 26 Nov 2008 | 10:07 am India’s GDP seen slowing to 7.3% in Sep quarter: analysts - Livemint
Source: Google News India - Business | 26 Nov 2008 | 10:00 am China delivers big rate cut to support growthBEIJING (Reuters) - China lowered interest rates on Wednesday for the fourth time since mid-September, stepping up the pace of monetary easing to help cushion the blow of the global financial crisis the world's fourth-largest economy.Source: Reuters: Money News | 26 Nov 2008 | 9:39 am Arcil plans a shipyard & IT park in BengalKolkata: Asset Reconstruction Co (Arcil), which holds a majority stake in Titagarh Paper Mills, plans to construct a shipyard and an IT park in the state. “The first unit of the Titagarh Paper Mills has been identified for the IT park, while the shipyard has been conceived for the second unit at Kakinara,” Titagarh Industries, which holds the remaining stake in the paper mill, Chairman and Managing Director J.P. Chowdhury said. Chowdhury said that the Titagarh Paper Mills has already communicated its intention to the state Government and had there been no economic downturn, both the proposed projects would have kicked off by now. “The economic downturn has forced us to hold on for the time being,” Chowdhury said declining to give further details. “Titagargh Industries has already formed a separate firm Titagarh Shipyard under which the proposed shipyard would be brought into,” he said. For the proposed IT park, the company was on the look-out for an overseas joint venture partner, which would possibly hold some equity stake in the venture. “Discussions are on, but nothing concrete has shaped up so far,” Chowdhury said. The Titagarh unit of the Titagarh Paper Mills has around 40 acres of land, while the Kakinara unit has over 50 acres of land. Source: Tech News - Livemint.com | 26 Nov 2008 | 9:39 am Arcil plans a shipyard & IT park in BengalKolkata: Asset Reconstruction Co (Arcil), which holds a majority stake in Titagarh Paper Mills, plans to construct a shipyard and an IT park in the state. “The first unit of the Titagarh Paper Mills has been identified for the IT park, while the shipyard has been conceived for the second unit at Kakinara,” Titagarh Industries, which holds the remaining stake in the paper mill, Chairman and Managing Director J.P. Chowdhury said. Chowdhury said that the Titagarh Paper Mills has already communicated its intention to the state Government and had there been no economic downturn, both the proposed projects would have kicked off by now. “The economic downturn has forced us to hold on for the time being,” Chowdhury said declining to give further details. “Titagargh Industries has already formed a separate firm Titagarh Shipyard under which the proposed shipyard would be brought into,” he said. For the proposed IT park, the company was on the look-out for an overseas joint venture partner, which would possibly hold some equity stake in the venture. “Discussions are on, but nothing concrete has shaped up so far,” Chowdhury said. The Titagarh unit of the Titagarh Paper Mills has around 40 acres of land, while the Kakinara unit has over 50 acres of land. Source: LatestNews-Home - Livemint.com | 26 Nov 2008 | 9:39 am India’s GDP seen slowing to 7.3% in Sep quarter: analystsNew Delhi: India’s economy probably grew an annual 7.3% in the July-September quarter, grinding out its slowest pace in nearly four years as tight monetary policy to fight soaring prices put a brake on demand. A Reuters poll of 13 economists forecast expansion in the quarter, the second of the 2008/09 fiscal year, below the previous period’s 7.9% and the average annual 9% witnessed in the past four years. Evidence of a sharp slowdown in Asia’s third-largest economy has surfaced with industrial growth between April and September of just 4.9%, down nearly a half from a year ago. Industrial output accounts for a quarter of India’s gross domestic product. “Industry has started slowing. Slackening of demand, high interest rates and worsening of the global scenario is going to be reflected in the GDP numbers,” said Riyaz Khan, an economist with the Centre for Monitoring Indian Economy. India’s most widely watched price measure, annual wholesale price inflation, rose to a peak of nearly 13% in early August, the highest rate since the current series began in 1995, spurred on by rising food and commodity prices and a 10% hike in retail fuel rates. In response, the Reserve Bank of India lifted its key lending rate to a 7-year high of 9% in late July. Inflation has since slowed to below 9% in early November, largely helped by the collapse in the price of crude oil, a major import for India. Economists said the services sector, which accounts for more than 50% of GDP, would grow at 9.0-10.0%, while farming, which contributes nearly 18% of total output, would likely expand by 4% from a year ago. Indian officials have been steadily rowing back on growth estimates for the full fiscal year after the spreading global financial crisis froze credit markets, and recessions in major economies threatened exports of goods made in India. The Reserve Bank of India has taken aggressive action since October, slashing its key lending rate and banks’ reserve requirements and is expected to act again soon. Finance Minister P Chidambaram has said monetary policy was now biased towards stimulating growth and the central bank was likely to lower rates as inflation cools. Prime Minister Manmohan Singh, has said he expects India to emerge stronger from the global downturn and remained optimistic of 8% annual expansion. But others see a more substantial slackening in pace. The Organisation for Economic Cooperation and Development said India is expected to expand about 7% in 2008 and 2009 before recovering to above 8% in 2010 as world growth picks up. Source: LatestNews-Home - Livemint.com | 26 Nov 2008 | 9:36 am JLR run into recession, ask for govt aidAfter incurring costs for introducing clean technology, Tata\'s Jaguar and Land Rover have run into the recession. They have asked now for a billion pound loan to get past this rough stretch.Source: Moneycontrol Top Headlines | 26 Nov 2008 | 9:31 am European oncology research firm starts Indian operationsOncology Services Europe (OSE), a contract research organization specialising in clinical drug development in oncology, has launched its India operations here setting up clinical services company Oncology Services India (OSI).Source: IndiaeNews.com: Business News | 26 Nov 2008 | 9:31 am Blackstone in talks with CMS for buying majority stakeFears of a slowdown in the Indian economy do not seem to have dampened the enthusiasm of privateequity players. CNBCTV18 learns that Blackstone may be in advanced talks to pick up a significant stake in IT firm CMS Computers.Source: Moneycontrol Top Headlines | 26 Nov 2008 | 8:58 am GMs parts suppliers to discuss future courseIndian auto component suppliers to General Motors Corporation (GM) in the US are meeting in Chennai on Wednesday to discuss the road ahead in the event of American auto maker winding up operations in North America.Source: Moneycontrol Top Headlines | 26 Nov 2008 | 8:52 am Sun Pharma acquires US-based Chattem Chemicals - Business Standard
Source: Google News India - Business | 26 Nov 2008 | 8:46 am HDFC Bank unveils faster ATM facilityHDFC Bank will offer faster transactions and personalised messages through direct banking channels such as ATMs, Internet banking and phone banking. The bank will offer this facility using Aptra eMarketing software, powered by NCR Corporation.Source: Moneycontrol Top Headlines | 26 Nov 2008 | 8:33 am BEL to open product support centre at KochiThe Navratna defence PSU Bharat Electronics Ltd (BEL) will open a product support centre at Kalamassery in Kochi. The centre was opened to address the product support activities for the Indian Navy, National Physical Oceanographic Laboratory (NPOL) of DRDO, Cochin Shipyard and BELs outsourcing partner, Keltron.Source: Moneycontrol Top Headlines | 26 Nov 2008 | 8:31 am Citigroup CEO: Bank 'went wrong' in real estateNEW YORK (Reuters) - Citigroup Inc Chief Executive Vikram Pandit on Tuesday blamed prior management for diving too deeply into real estate, causing losses that led to this week's massive government bailout of the second-largest U.S. bank by assets.Source: Reuters: Money News | 26 Nov 2008 | 8:26 am POLL - Inflation seen at 8.56 pct on Nov 15MUMBAI (Reuters) - Inflation rate is forecast to have eased to a seven-month low in mid-November, following a fall in manufacturing prices and lower aviationSource: Reuters: Money News | 26 Nov 2008 | 8:20 am GLOBAL MARKETS - Bank, metal stocks rally, but fears persistHONG KONG (Reuters) - A financial sector rally lifted Hong Kong and South Korea stock markets on Wednesday following an $800 billion Federal Reserve effort to bolster U.S. lending, while the aftermath of BHP Billiton's dropped bid for Rio Tinto gave a boost to metals shares.Source: Reuters: Money News | 26 Nov 2008 | 8:13 am Obama to keep Gates as Pentagon chiefChicago: Seeking experience in wartime, President-elect Barack Obama intends to retain Defence Secretary Robert Gates as head of the Pentagon - if only temporarily - and has chosen a retired Marine general to be White House national security adviser, officials have said. Gates and retired Gen James Jones would bring decades of experience to the administration of a 47-year-old commander in chief who campaigned on a pledge to withdraw combat troops from Iraq within 16 months while simultaneously ramping up the US military presence in Afghanistan. While Gates has accepted Obama’s appointment, it was not clear that Jones had done the same. Obama has also offered the post of secretary of state to Sen. Hillary Rodham Clinton of New York, his rival in the Democratic presidential primary campaign. Officials have not yet disclosed whether she has decided to give up her seat in Congress to join the Cabinet. Whatever Clinton’s decision, aides to the president-elect say he intends to announce members of his national security team next week, after disclosing his top economic advisers in recent days. Keeping Gates might afford Obama a sort of extended transition, in which critical military issues are left in trusted hands while Obama focuses most intensely on the financial crisis. Gates, who has served as President George W Bush’s defense secretary for two years, will remain in the Cabinet for some time, probably a year, according to an official familiar with discussions between him and the president-elect. His appointment would fulfill an Obama pledge to include a Republican in his Cabinet. Source: LatestNews-Home - Livemint.com | 26 Nov 2008 | 8:12 am Indian, Pak hackers deface govt websitesIslamabad: Indian and Pakistani hackers are engaged in a round of tit-for-tat defacing of government-run websites of the two countries, targeting such major organisations as India’s oil and gas major Oil and Natural Gas Corporation of India (ONGC) and its Pakistani counterpart Oil and Gas Regulatory Authority (OGRA). The cyber warfare began in mid-November when an Indian group of hackers known as HMG or ‘Guards of Hindustan’ defaced the website of Pakistan’s OGRA and deleted all its data. The move created a buzz in cyberspace as HMG had earlier hacked a number of Pakistani communities on the social networking website Orkut. Apparently acting in retaliation, a group calling itself the Pakistan Cyber Army (PCA) hacked five Indian websites, including those of ONGC, Indian Institute of Remote Sensing (IIRS), Indian Railways and the Kendriya Vidyalaya in Ratlam. While the websites of ONGC and Indian Railways were quickly restored, the IIRS website is still blank. In a message posted briefly on the ONGC website, PCA said that the hacking was carried out in retaliation for the hacking of the OGRA website. “Back off, go read some course books, else you will lose both, your name and this game. We will literally smoke your doors off like other groups did before,” said the message from PCA. Responding quickly to the actions of the PCA, HMG took control of the website of Kendriya Vidyalaya in Ratlam. The website still features a message from HMG asking the site owner to fix its ‘flaws’. “Your site was hacked by Pakistani hackers, now ur site is in our Indian hackers’ control,” said the message from HMG. After internet usage became popular in the Indian subcontinent in the early 1990s, Indian and Pakistani hackers including those based in the West often engaged in tit-for-tat defacing of websites of both countries. Those activities subsided after a few years. Hackers cannot control a website permanently even if they break into it. They usually post a fake page on a hacked website. Ironically, PCA has asked Indian authorities to take action against HMG for hacking Pakistani websites or get ready for more action. Source: Tech News - Livemint.com | 26 Nov 2008 | 8:01 am U.S. adds plan to buy debt to global rescue packageNEW YORK (Reuters) - The U.S. Federal Reserve unveiled an $800 billion plan on Tuesday to buy mortgage-related debt and back consumer loans as it tries to revive the U.S. lending market and steer the global economy away from a deep recession.Source: Reuters: Money News | 26 Nov 2008 | 7:59 am Govt sees no slowdown in FDI inflows - industry secyNEW DELHI (Reuters) - Foreign direct investment (FDI) inflows are likely to remain robust as some global firms continue to expand Indian operations despite the global downturn, Industry Secretary Ajay Shankar said on Wednesday.Source: Reuters: Money News | 26 Nov 2008 | 7:41 am Indian carriers withdraw ticket transaction feeMUMBAI (Reuters) - Top airlines in India have withdrawn a transaction fee on air tickets effective Wednesday for tickets sold through call centres, websites or city offices.Source: Reuters: Money News | 26 Nov 2008 | 7:02 am Steel, iron ore industries face tough years: analystsSao Paulo: A quick recovery for world steel and iron ore producers looks more remote every day the global financial crisis weighs on economic growth, analysts said on Tuesday. Stuart Reynolds, manager at Global Steel Consultants, presented a bleak revised medium- to long-term outlook for the steel sector on the first day of the three-day America’s Iron Ore Conference in Rio de Janeiro. The conference’s proceedings were largely drown out by news across the world earlier in the day that BHP Billiton abandoned its hostile takeover bid of Rio Tinto. Participants in Rio were widely tight-lipped about the deal as many were restricted legally from making public statements about it. Others were simply reluctant to comment. “It’s a much less rosy picture today than it was just a few months ago,” said Reynolds before a room full of steel and iron ore representatives who were still openly confident in demand projections from emerging markets like China. The broad study on world steel demand presented by Reynolds suggested the most likely scenario would be for “no growth in steel demand through 2012” and a similar fate is seen for demand of iron ore, the sole purpose for which is steel. The global construction sector consumes over half of all the steel produced in the world, followed by the mechanical engineering sector. Growth in demand for steel from these sectors requires investments, which have become much harder to come by in the current credit climate, Reynolds said. Equity research analyst Roger Downey at Credit Suisse said that steel output grew by nearly 6% annually from 2001 through 2007 and “I see China steel output growth growing 5.5% through 2012.” But China’s expected increase in capacity that is set to come online through 2012 and beyond may not find sufficient demand at home. While world supply and demand for steel was nearly balanced in 2007 and 2008, Downey’s model showed an oversupply growing to 3 percent in 2009, 7 percent in 2010 and to 15% by 2015. However, he was more modest in his view that iron ore prices would fall significantly in 2009. But Reynolds was much more pessimistic, suggesting that Japan may have to retire a third of its steel-making capacity over the next five to 10 years as prices fall to $600 a tonne for hot rolled coil and rebar and less competitive mills get squeezed out of the market. Source: World Business - Livemint.com | 26 Nov 2008 | 6:34 am Steel, iron ore industries face tough years: analystsSao Paulo: A quick recovery for world steel and iron ore producers looks more remote every day the global financial crisis weighs on economic growth, analysts said on Tuesday. Stuart Reynolds, manager at Global Steel Consultants, presented a bleak revised medium- to long-term outlook for the steel sector on the first day of the three-day America’s Iron Ore Conference in Rio de Janeiro. The conference’s proceedings were largely drown out by news across the world earlier in the day that BHP Billiton abandoned its hostile takeover bid of Rio Tinto. Participants in Rio were widely tight-lipped about the deal as many were restricted legally from making public statements about it. Others were simply reluctant to comment. “It’s a much less rosy picture today than it was just a few months ago,” said Reynolds before a room full of steel and iron ore representatives who were still openly confident in demand projections from emerging markets like China. The broad study on world steel demand presented by Reynolds suggested the most likely scenario would be for “no growth in steel demand through 2012” and a similar fate is seen for demand of iron ore, the sole purpose for which is steel. The global construction sector consumes over half of all the steel produced in the world, followed by the mechanical engineering sector. Growth in demand for steel from these sectors requires investments, which have become much harder to come by in the current credit climate, Reynolds said. Equity research analyst Roger Downey at Credit Suisse said that steel output grew by nearly 6% annually from 2001 through 2007 and “I see China steel output growth growing 5.5% through 2012.” But China’s expected increase in capacity that is set to come online through 2012 and beyond may not find sufficient demand at home. While world supply and demand for steel was nearly balanced in 2007 and 2008, Downey’s model showed an oversupply growing to 3 percent in 2009, 7 percent in 2010 and to 15% by 2015. However, he was more modest in his view that iron ore prices would fall significantly in 2009. But Reynolds was much more pessimistic, suggesting that Japan may have to retire a third of its steel-making capacity over the next five to 10 years as prices fall to $600 a tonne for hot rolled coil and rebar and less competitive mills get squeezed out of the market. Source: Home - Livemint.com | 26 Nov 2008 | 6:34 am US announces another $800 bn bailout planWashington: The US government’s commitments to contain the financial crisis now approach $7 trillion. That figure includes funds to guarantee certain corporate assets and debts, although those funds may never actually be spent. Still, the overall figure reflects the huge liabilities the government is taking on to battle the meltdown. Among the government efforts announced on Tuesday are plans to buy up to $600 billion in mortgage-related assets and up to $200 billion in loans for holders of securities backed by various types of consumer debt. The new plans are the latest in a long list of government moves: 11 March: The Federal Reserve announces a rescue package to provide up to $200 billion in loans to banks and investment houses and let them put up risky mortgage-backed securities as collateral. 16 March: The Fed provides a $29 billion loan to JPMorgan Chase & Co. as part of its purchase of investment bank Bear Stearns. July 30: President Bush signs a housing bill including $300 billion in new loan authority for the government to back cheaper mortgages for troubled homeowners. 7 September: The Treasury takes over mortgage giants Fannie Mae and Freddie Mac, putting them into a conservatorship and pledging up to $200 billion to back their assets. 16 September: The Fed injects $85 billion into the failing American International Group, one of the world’s largest insurance companies. 16 September:The Fed pumps $70 billion more into the nation’s financial system to help ease credit stresses. 19 September: The Treasury temporarily guarantees money market funds against losses up to $50 billion. 8 October: The Fed cuts its benchmark interest rate a half percentage point, to 1.5%. It follows a one-quarter point cut on 30 April and a three-quarter-point reduction on 18 March. 8 October: The Fed agrees to lend AIG $37.8 billion more, bringing total to about $123 billion. 14 October: The Treasury says it will use $250 billion of the $700 billion bailout to inject capital into the banks, with $125 billion provided to nine of the largest: Bank of America Corp., which received $15 billion; Bank of New York Mellon Corp., $3 billion; Citigroup Inc., $25 billion; Goldman Sachs Group Inc., $10 billion; JPMorgan Chase & Co., $25 billion; Merrill Lynch & Co. Inc., $10 billion; Morgan Stanley, $10 billion; State Street Corp., $2 billion; and Wells Fargo & Co., $25 billion. The $10 billion for Merrill has been deferred until its purchase by Bank of America closes. 29 October: The Fed cuts its benchmark interest rate to 1%, matching the low point reached in 2003. The rate hasn’t been lower since 1958. 10 November: The Treasury and Fed replace the two previous loans provided to AIG with a new $150 billion aid package that includes an infusion of $40 billion from the government’s bailout fund. 12 November: Paulson says the government will no longer buy distressed mortgage-related assets, formerly the centerpiece of the bailout, and instead will concentrate on injecting capital into banks. 17 November: Treasury says it has provided $33.6 billion in capital to another 21 banks, with the largest stake being $6.6 billion to Minneapolis, Minn.-based US Bancorp. So far, the government has invested $158.6 billion in 30 banks. 23 November: The Treasury says it will invest another $20 billion in Citigroup Inc., on top of $25 billion provided 14 October. The Treasury, Fed and FDIC also pledge to backstop large losses Citigroup might absorb on $306 billion in real estate-related assets. Citigroup will assume the first $29 billion in losses, and after that the government will absorb 90% of losses and the company 10%. In return, the government will receive $7 billion in preferred shares and warrants for more than 250 million additional shares. 25 November: The Fed says it will purchase up to $600 billion more in mortgage-related assets and will lend up to $200 billion to the holders of securities backed by various types of consumer loans. The Fed will buy up to $100 billion in direct obligations from mortgage giants Fannie Mae and Freddie Mac as well as the Federal Home Loan Banks. The central bank also will buy $500 billion in mortgage-backed securities, pools of mortgages that are bundled together and sold to investors. The program on consumer debt will be supported by $20 billion of credit protection from the $700 billion bailout package enacted last month. Source: Home - Livemint.com | 26 Nov 2008 | 5:58 am Goldman ends talks with Panasonic on Sanyo stockTokyo: Goldman Sachs has said that it has ended negotiations to sell its stake in Sanyo, creating trouble for Panasonic’s bid to turn Sanyo into a subsidiary and create one of the world’s largest electronics companies. “We have walked away from the deal because of concerns over the price and deal structure,” Goldman spokeswoman Miyako Takebe said. A Panasonic spokesman would say only that negotiations are ongoing. Earlier this month, the presidents of Panasonic and Sanyo held a joint press conference and said that they were starting talks on a buyout deal. Panasonic has said it hopes to turn Sanyo into a group company by acquiring at least a 50% stake. But any deal must be negotiated with Sanyo’s big three shareholders, Goldman, Daiwa Securities SMBC, and Sumitomo Mitsui Banking Corp., which hold preferred shares that can be converted to about a 70% stake in Sanyo. Goldman and Daiwa hold 29% stakes, while Sumitomo’s is about 12%. So a Goldman exit is not necessarily a death knell for the deal, but it means Panasonic may have to raise its offer. Panasonic is widely reported to be offering ¥120 per share for Sanyo, below the company’s current price on the open market. In morning trade Wednesday, Sanyo shares were down 1.3% at ¥154, and they have fallen by almost a fourth in value since the negotiations were announced. If the major shareholders were to convert some or all of their shares, dilution would likely weigh down Sanyo’s shares further. Spokesmen for Daiwa and Sumitomo were not immediately available for comment. Source: World Business - Livemint.com | 26 Nov 2008 | 4:06 am Oil rises above $51 after 7% fall in US dataSingapore: Oil rose to above $51 a barrel on Wednesday, after a near 7% fall the previous day, when data showed the US economy last shrank at its fastest pace in seven years, highlighting slowing demand in the world’s largest oil consumer. A new $800 billion Federal Reserve rescue package helped US stock markers Dow and S&P 500 achieve their first three-day run since the summer on Tuesday after oil settled, but failed so far to lift oil prices. US light crude for January delivery rose 31 cents to $51.08 a barrel by 7:15am (IST), having settled down $3.73 at $50.77 on Tuesday after two-day gains of nearly 10%. Oil prices have failed to post three consecutive days of gains since September. London Brent crude rose 34 cents to $50.69. Revised US Commerce Department data showed on Tuesday third-quarter US gross domestic product dropped 0.5% against a year earlier, the sharpest fall since the third quarter of 2001. Consumers spending, which accounts for two-thirds of economic activity in the US, fell to a 28-year low. Slowing demand and recession concerns have knocked oil from its peak above $147 a barrel in July, prompting members of the Organization of Petroleum Exporting Countries to call for further supply reductions to support prices. Opec ministers next gather in Cairo on 29 November for a consultative session, with the organisation’s next policy-setting meeting in Algeria on 17 December. Price hawk Iran on Tuesday said non-Opec states should cooperate with Opec in stabilising the oil market because, if the group acts alone, prices will continue to fall. Opec members Iran and Venezuela have called on the cartel to cut production by at least another 1 million barrels per day, after last month’s 1.5 million bpd cut failed to lift prices. Another cut, which may be decided only at Opec’s meeting in December, could fail to raise prices. Adding further gloom to Tuesday’s weak economic data, weekly oil and products US stocks data, due to be released at 9:05pm (IST), is expected to show another rise in US crude stocks. Analysts polled by Reuters project a rise of 800,000 barrels in crude supplies, a 400,000 barrel-increase in gasoline stocks and a 800,000 barrel-fall in distillate inventories-which include heating oil- as cold weather hit the giant US Northeast market. Source: Home - Livemint.com | 26 Nov 2008 | 3:59 am Crisis-hit Sasken sees margins plungingBangalore: Once touted as the next big thing in Indian information technology (IT) Sasken Communication Technologies Ltd has seen its stock plunge, profits decline and key executives depart in recent months in the wake of the credit crisis-induced economic slowdown that has affected telecom and semiconductor firms, its main customers. Two weeks back, the company sent an internal mail to its employees announcing that two of its top officials—president and chief operating officer Kannankote Srikanth and senior vice-president (human resources) Hari Iyer were leaving the company. Chief marketing officer Swaminathan Krishnan left around six months ago. Since January, the company’s stock has fallen 83.7% and closed at Rs55.45 on Tuesday, almost one-fifth of the Rs260 at which shares were sold to the public in September 2005. Shares of Sasken had made a debut on the Bombay Stock Exchange on 9 September 2005, at Rs400 a share. In the past year, the company’s net margin (the net profit expressed as a proportion of revenue) has almost halved from 10% to 5.8%. Sasken’s troubles, analysts say, are representative of the fortune of the country’s IT companies that seek different models than the large IT firms such as Infosys Technologies Ltd and Tata Consultancy Services Ltd, which derive most of their revenue from services such as building software for specific applications. Sasken started life as a products company and has since grown into providing services, largely to equipment makers in the telecom and semiconductor businesses. Also See Tough Times (Graphic) While Srikanth could not be reached for comments, Iyer, who is serving out his notice period, said: “I don’t want to comment. It would be inappropriate at the moment for me to to say anything.” Krishnan, who has taken over as the CEO and director of Bangalore-based The Institute of Finance and International Management Business School, continues to consult for the company as its spokesperson. “We are trying to make an agile company...in terms with the market requirements over the next 12 to 15 months. If a position doesn’t add value, the company has to reconsider it and (such a departure) has nothing to do with the individual,” said Krishnan. In a mail to Sasken’s employees in the mid of this month, a copy of which was reviewed by Mint, Rajiv C. Mody, chairman and CEO of the company said “as initial steps towards achieving this (the objective of building a lean and agile organization), K Srikanth and Hari Iyer will be leaving the company”. Mody himself will take charge of sales and marketing while chief financial officer Neeta Revankar will take on the responsibility of HR. According to an employee who did not want to be named given the sensitivity of the issue, a week later at a town hall meeting which was simultaneously phonecast, Mody announced that the company would cut more jobs. As of 30 September, the company had 3,637 employees. Mody could not be reached for comments despite repeated attempts. While Sasken’s net profit margin has declined, the company has also cut its research and development and sales expenditure (the first by 34%) in the second quarter of this financial year as compared with the first quarter. Analysts say the company’s business model of selling key pieces of software to telecom equipment makers, including phone manufacturers, has suffered given consolidation in the business at least in terms of standards. Phone makers prefer Symbian, Windows or, the new Google Android software. The company had also sold equity stakes to customers including Nokia Oyj, Intel Corp. and Nortel Networks Corp. either directly or through their venture capital arms. Many of these firms have since exited these investments. Intel Capital, which owned 7.77% of Sasken as of 30 September 2007 has exited the investment. Nortel Networks Mauritius Ltd which had a 11.51% stake as of September 2007 has reduced this to 9.51%. And Nokia, which had a stake of 2.16%, exited its investment in 2007. Analysts also point to the flux in the semiconductor industry as another reason for Sasken’s falling fortunes. With demand for chips plunging, semiconductor firms such as Nvidia Corp., Applied Materials Inc. and Freescale Semiconductors have been revising downward their revenue and growth estimates, laying off people, or both. An analyst from a Mumbai-based research firm, who has been tracking the company for more than two years, said Sasken’s business model is risky because around 65% of Sasken’s business comes from just five global clients. “(Too much) emphasis on one vertical—semiconductor and equipment manufacturing—is taking (its) toll. Also, the products business has failed,” said the analyst, who spoke to Mint on condition of anonymity. Products accounted for only 12% of Sasken’s revenue of Rs176.3 crore in the second quarter of this year. “The company will face issues in growth over the next two-three quarters at least,” the analyst added. In order to shore up its stock, Sasken announced on 21 April that it would buy back up to 9.45% shares at a maximum of Rs260. Analysts say that with just Rs81 crore of cash and cash equivalents on its books as on 30 September, Sasken cannot buy growth as a way out of its troubles. They add, however, that the imminent launch of 3G (third generation or data rich telecom services) in India —licences are to be auctioned soon—could help the company that derived 22% of its revenue from the domestic market by offering products and services to telcos rolling out 3G networks. Source: Home - Livemint.com | 26 Nov 2008 | 3:48 am I-Sec sees further policy easing by MarchMUMBAI (Reuters) – The Reserve Bank is likely to cut its short-term lending rate and banks' cash reserve requirement further by March to boost economic growth, the head of a primary dealership said on Tuesday.Source: Reuters: Money News | 26 Nov 2008 | 3:26 am The WPI, PPI, CPI confusionUS inflation talk is subdued, practically absent, these days. The feeling is that the economic slowdown is so severe that businesses have no scope to raise prices. On the contrary, they must discount to be rid of their inventories. The crash inSource: Business Line - Home Page | 26 Nov 2008 | 12:00 am Rupee decline to continueRupee scaled the 50-mark towards the end of last week aided by heightened volatility in equity markets. But nerves were assuaged once Citigroup’s bail-out package was announced, giving a reprieve to both Indian equities as well theSource: Business Line - Home Page | 26 Nov 2008 | 12:00 am Chennai scores over MumbaiMumbai, Nov. 25 Chennai has displaced Mumbai as the most preferred destination for ITeS and BPO companies wanting to set up delivery centres in India, according to a study done by Dun &Source: Business Line - Home Page | 26 Nov 2008 | 12:00 am Market buzz on Citigroup offloadingRumours over imminent sell offs and unchecked lists of local companies in which Citi group outfits and clients supposedly have investments have been doing rounds in the market circles.Source: Business Line - Home Page | 26 Nov 2008 | 12:00 am ‘No change in average 11th Plan growth target’New Delhi, Nov. 25 The Planning Commission has ruled out any immediate tinkering with the average 9 per cent gross domestic product growth target of the 11th Five-Year Plan, though the current year would see some slippage in growth withSource: Business Line - Home Page | 26 Nov 2008 | 12:00 am Day Trading GuideSource: Business Line - Home Page | 26 Nov 2008 | 12:00 am Bay depression may intensify, to cross TN coastThiruvananthapuram, Nov. 25 The well-marked low-pressure area over north Sri Lanka and adjoining southwest Bay of Bengal has concentrated into a depression and lay centred 200 km southeast of Pamban and about 300 km south-southeast ofSource: Business Line - Home Page | 26 Nov 2008 | 12:00 am ‘Fuel price cut decision after Assembly polls’New Delhi, Nov. 25 With a steep fall in global crude prices, the Government is mulling passing on the benefits to the retail consumers of petroleum products. The Petroleum Minister, Mr Murli Deora, said, “The international prices haveSource: Business Line - Home Page | 26 Nov 2008 | 12:00 am 3G, WiMAX spectrum to be auctioned in two phasesNew Delhi, Nov. 25 The Department of Telecom has changed its earlier decision to conduct simultaneous auction for third generation mobile and wireless broadband access spectrum.Source: Business Line - Home Page | 26 Nov 2008 | 12:00 am Bank of India (Rs 233.55): SellWe recommend a sell in Bank of India from a short-term trading perspective. It is apparent from the charts that the stock has been on a broad sideways consolidation in the range of Rs 200 and 300 from this July. The stock tested the upperSource: Business Line - Home Page | 26 Nov 2008 | 12:00 am Make the most of Esop opportunities during meltdownThe current meltdown in the stock markets has had a devastating impact on the value of stock options companies have issued to their employees.Source: Daily News & Analysis: Money News | 25 Nov 2008 | 10:45 pm 'SBI is also safe bank of India'So says OP Bhatt, chairman of State Bank of India as he justifies the bank's hunger for more market share.Source: Daily News & Analysis: Money News | 25 Nov 2008 | 10:41 pm Raja seeks 3-yr extension for STPIThe ministry of information technology is seeking to get the Software Technology Parks of India (STPI) scheme extended by three more years.Source: Daily News & Analysis: Money News | 25 Nov 2008 | 10:23 pm Citigroup's India picks have a tough timeMarket fears are that if the bank eventually decides to get out of its non-core businesses like broking and venture capital, there will be considerable wealth loss.Source: Daily News & Analysis: Money News | 25 Nov 2008 | 10:21 pm China in growth shock, says World BankChina's economy is experiencing a "growth shock" under the impact of the global financial crisis, and will see GDP growth dip to about 7.5% next yearSource: Daily News & Analysis: Money News | 25 Nov 2008 | 10:03 pm Oil PSU officials' strike from Dec 2India's 14 state-run oil sector companies' 55,000 officers plan to go on an indefinite strike beginning December 2 this year, as they are dissatisfied with the quantum of pay revision approved for themSource: Daily News & Analysis: Money News | 25 Nov 2008 | 10:02 pm Kingfisher A380s to carry more passengersKingfisher Airlines has put in a request to Airbus to change the maximum take off weight (MTOW) of the five A380s it has ordered.Source: Daily News & Analysis: Money News | 25 Nov 2008 | 10:01 pm ‘We have the power to change the Net’New Delhi: Anssi Vanjoki was ranked among the 25 most influential people on the Internet by BusinessWeek in September, placing him alongside Microsoft Corp. CEO Steve Ballmer; News Corp. chairman Rupert Murdoch and Apple Inc. CEO Steve Jobs. Vanjoki, executive vice-president of sales, manufacturing, marketing and logistics at Nokia Oyj, is spearheading a push by the world’s biggest mobile phone maker into what it calls the mobile Internet. In New Delhi, on a visit to launch a new phone—the Nokia 5800, an iPhone look-alike—Vanjoki laid out his vision for the company and the mobile Internet in an interview. Edited excerpts: Where do you see Nokia a few years down the line? If you look at the big trends in the market then we have, more or less, come to exhaustion for the mobile phone as it was. There has been growth in places like India and Africa, but if you look at the penetration of mobile phones, in many countries, (it) is already more than 100%. But at the same time it is very positive for Nokia because the whole concept of the product is changing. It’s not just the mobile phone any more. It is becoming more like a computer... Now, with the computer squeezed to a size of a small pocketable thing and always connected...that will change the Internet. The Internet is not going to be something that you occasionally peek in, but it is something that you come to live in. It’s something I call living in the media. What has happened is that I am living in my real life here but at the same time there is a part of me in the Internet meaning that I am in the Net all the time. That means my context is constantly communicated through this small computer to other people, to different services.  Anssi Vanjoki, executive vice-president of sales, manufacturing, marketing and logistics at Nokia Oyj. Madhu Kapparath / Mint We also have 1.2 billion consumers with a Nokia product in their hands. When they move from mobile phones to mobile computers, most of them will remain with Nokia—we know this by the loyalty factors that we have. So we have the power to put this out there and if it does well then we have the power to change the Internet. Why hasn’t the adoption of some of these applications already happened? They are rudimentary in form. Not easy to use. Has the economic downturn hit Nokia in any way? Yes, it has (affected) the cellular market and Nokia as a big player. Two weeks ago, we came out with a statement that we are expecting that the business will not grow as much as we had estimated. Will you be strong enough to acquire assets on the table? We have not said no to any good opportunity that can accelerate our plans. Could Motorola’s handsets division potentially accelerate your plans? No. It would decelerate the plans. Just look at what they have done. They have separated it from the mother company as they see it as a bad asset. Are you diversifying into an end-to-end cellular phone player with services? We made a very clear choice a couple of years ago. We understood that first we need to get the computer business happen—that is one way to grow and add value. And, second, since we have a tremendous position in that market, it is only natural that we become a service company. The value of the mobile computer is in its software. So we are a software company that is monetizing its know-how in hardware and increasingly, we will be monetizing our knowhow in services. Will services ever dominate your business? Probably that will be after my time. But growth certainly by 2010 will be material for us. Growth is increasingly from services for Nokia. Will competition from something like Google’s Android be serious, then? Every competition is serious for Nokia; I don’t know any other kind. Android, from my view, is a very courageous move. If I compare it with Symbian (a Nokia-led effort) making it open source 10 years in development and millions of lines of code, it will be very hard to compete with that asset. It’s why I call Android very courageous. Then, we have an open source asset in the high-end space, Mimo. It takes the power of desktop Linux and squeezes into a mobile phone. Source: Tech News - Livemint.com | 25 Nov 2008 | 7:34 pm GM, Tiger Woods end nine-year dealGeneral Motors Corp agreed to discontinue a marketing accord with Tiger Woods, the worlds top-ranked golfer, at years end as plummeting sales spur cost cuts at the automaker.Source: Business Standard | Front Page Headlines | 25 Nov 2008 | 7:13 pm Another US bailout, this time it's $800 bnThe Federal Reserve took two new steps to unfreeze credit for homebuyers, consumers and small businesses, committing up to $800 billion.Source: Business Standard | Front Page Headlines | 25 Nov 2008 | 7:09 pm Fresenius seeks more time to sell its Dabur sharesMumbai: Fresenius Kabi (Singapore) Pte Ltd, the majority stake holder in the Indian cancer specialty drug maker Dabur Pharma Ltd, has asked for more time from markets regulator Securities and Exchange Board of India, or Sebi, as well as Indian stock exchanges, for complying with norms that require a promoter company to limit its holding to up to 90% in a listed entity.  Shareholding: Dabur headquarters in Ghaziabad, Uttar Pradesh. Rajeev Dabral / Mint Dabur shares, which have plunged, as have Indian markets, closed on Tuesday at Rs34 a share on the Bombay Stock Exchange. Fresenius bought a 73.27% equity stake in Dabur in June at Rs76.50 a share. The German company had also purchased another 17.62% shares from the market through an open offer at the same price. Says Rakesh Bhargava, chairman of Dabur, which will soon be renamed Fresenius Kabi Oncology Ltd: “We have written to the board as well as the leading stock exchanges where the company is listed seeking an extension to bring down the holding to 90% as we will incur a huge loss if we sell the excess holding at the current market price.” “The normal practice is to comply with the listing norms as early as possible, but we have sought time till we arrive at a pricing formula as per the rules,” Bhargava added. Fresenius is yet to hear from Sebi and a senior official at the regulator, who didn’t want to be identified, would only say that such requests are granted case-by-case. He wouldn’t elaborate. If Fresenius sells its excess Dabur shares at current prices, it will potentially incur a loss of more than Rs6 crore, as it would need to sell some 1.5 million shares, bought at Rs76.50 a share, at Rs34 a share. Separately, Bhargava said Dabur is targeting an average annual revenue growth of 20% as the Indian oncology market is growing even faster. “The company, which is part of a multinational group can also leverage its international oncology product portfolio to boost growth here, in addition to the possibilities of expanding its export business to Europe and the US,” he added. Fresenuis last month acquired APP Pharmaceuticals Inc. (APP) in the US. “The Indian oncology company will also sell several of its products to the US through APP,” Bhargava added. Source: Home - Livemint.com | 25 Nov 2008 | 7:06 pm Many Indian firms may not REACH in time; exports at stakeHyderabad: Several Indian firms are set to miss the 30 November deadline for pre-registering the chemicals they manufacture with the European Chemicals Agency (ECHA) and will therefore not be able to export these to the European Union (EU) starting 1 December. At stake, according to the European Commission, are exports from India to EU member countries that were worth €2.78 billion (Rs15,260 crore then) in 2007. “Quite a few companies will miss the pre-registration deadline. Despite attempts to raise awareness, everybody has been waiting for the last minute to take a call on pre-registration for REACH,” said D.M. Wakankar, REACH expert from the chemicals industry body Indian Chemicals Council (ICC) which represents at least 350 companies that manufacture and export chemicals. REACH stands for Registration, Evaluation and Authorization of Chemicals, the EU’s new regulatory regime which requires all chemical substances manufactured or imported into the EU to be pre-registered with ECHA. This requires the submission of detailed technical information about such chemical substances traded so that authorities can verify if those are safe for humans and the environment. The deadline for registration, a process that requires laboratory testing, runs up to 2018 but only chemicals that have pre-registered by 30 November can be registered. As on 21 November, the Union government’s Chemicals Export Promotion Council (Chemexcil) claimed to have completed pre-registration of at least 4,000 chemical substances exported by 175 Indian companies. Although estimates differ, the numbers point to a significant gap. In a January report on Indian chemicals industry, audit and consulting firm Ernst and Young estimated that at least 750 chemicals exporting firms in India would need to comply with REACH to be able to continue trading with European nations. K. Rangarajan, a professor at the Indian Institute of Foreign Trade (IIFT), who has been tracking the evolution of REACH legislation, however, said there are at least 2,000 small-and-medium-sized Indian chemicals manufacturers who would need to comply with REACH regulations. And Chemexcil estimates there are around 7,000 chemical substances that India exports, which need to be registered under REACH. “By the deadline, we expect to complete pre-registration formalities for at least 6,000 ingredients exported by 200 companies,” Chemexcil chairman Anand R. Ladsariya said. In a 12 May story, Mint reported that Indian chemicals and pharmaceutical companies were unaware of the REACH legislation and were ill prepared to face the tough registration process, which started 1 June. “Bigger companies may be able to comply in time but the smaller ones who did not know well in advance about REACH and who were not able to bear the burden of registration costs will die out,” Rangarajan said. According to REACH provisions, non-European firms have to go through a European representative to register. “Bigger chemicals exporting companies do not go through us for the pre-registration; they will hire their own agents in Europe for the same,” Ladsariya added, explaining that there would be more than the Chemexcil-assisted 200 companies that would meet the deadline. ECHA has set up an online system REACH-IT for companies to submit pre-registration applications. “As we knew REACH-IT would be flooded by companies scrambling to complete pre-registration at the last minute, we had set a 15 November deadline for ourselves. But we were unable to meet that deadline,” Ladsariya said. Meanwhile, at least two persons working with Chemexcil on REACH-related activities, independently told Mint, on condition of anonymity, that India has already contacted the EU seeking an extension, citing technical snags on REACH-IT and other reasons. An ECHA spokesperson said in an email that the agency “cannot legally postpone the deadline for pre-registration, as this would require a legislative change”. Rajeev Kher, the joint secretary in India’s commerce ministry who deals with REACH- related activities was not available for comment as he was in Madhya Pradesh on election duty. A senior commerce ministry official, who asked not to be named, denied any knowledge of India seeking an extension. IIFT’s Rangarajan said it was unlikely the EU would agree to an extension. “This would be a blessing in disguise for European countries, who were facing competition from Indian and Chinese companies. Given the current economic scenario, they would not be willing to negotiate to allow fresh competition from non-EU entities.” Source: Home - Livemint.com | 25 Nov 2008 | 7:03 pm Fuel price cut after state polls: DeoraThe government plans to cut retail prices of petrol, diesel and cooking gas after state elections, Petroleum Minister Murli Deora said on Tuesday.Source: Business Standard | Front Page Headlines | 25 Nov 2008 | 7:03 pm Rothschild to auction 3G spectrumNew Delhi: India has picked NM Rothschild and Sons Ltd as the independent auctioneer to help it sell permits for airwaves to offer high-speed mobile phone services, communications and information technology minister A. Raja said on Tuesday. The auction of licences for the third-generation (3G) mobile phone radio spectrum will start in “two to three days” and is expected to be completed by 15 January, said Siddhartha Behura, secretary to the Union government’s telecommunications department. The permits will allow Bharti Airtel Ltd and other mobile phone operators to offer faster services and boost revenue as customers spend more on videos and Internet downloads. India added 10.1 million subscribers in September, more than the eight million added in China, the world’s biggest wireless market. Bharti, India’s largest mobile phone operator, has sought bids for building its 3G network from suppliers such as Ericsson AB and Nokia Siemens Networks and may start the services as early as the fourth quarter of 2009, chief executive officer Manoj Kohli said last week. On 1 August, India said it may allow as many as 10 operators to offer high-speed wireless services to spur competition. India has set a base price of Rs2,015 crore for a licence to provide nation wide 3G services using the global system of mobile communications standard, and overseas operators will be allowed to vie for the permits. The country will start number portability services from June, allowing mobile phone customers to switch providers while retaining their numbers, Raja said. India this year surpassed the US as the largest wireless- services market after China. India had 325.7 million subscribers at the end of October, the country’s telecom regulator said on Monday. Source: Tech News - Livemint.com | 25 Nov 2008 | 7:02 pm Raja backtracks, limits 3G players to five per circleConsumers waiting for third-generation, or 3G, services will have fewer choices with the Department of Telecommunications (DoT) restricting the number of players up to five per circle, includingSource: Business Standard | Front Page Headlines | 25 Nov 2008 | 7:02 pm IT-BPO union to file PIL against 'extended' working hoursThe Indian arm of the Union for Information & Technology Enabled Services (UNITES) is planning to file a public interest litigation (PIL) against the alleged arbitrary policy of manySource: Business Standard | Front Page Headlines | 25 Nov 2008 | 7:01 pm China growth seen slowing to 7.5% next yearNew Delhi: The World Bank said on Tuesday the Chinese economy would grow next year by 7.5%, the lowest rate in 19 years even as India’s chief statistician said India could grow at a rate lower than 7.3% in 2009-10. India, Asia’s third largest economy, has grown at 9% or higher in the past three financial years and China hasn’t grown at a rate lower than 7.5% since 1990 when it grew at 3.8%, but both countries are experiencing the fallout of a global economic slowdown brought about by a credit crisis that originated in the US mortgage market and which has since spread to other parts of the world. Economists here said China’s slower growth wouldn’t have any impact on India, but they admitted that unless the Indian government rolled out a fiscal package, the country’s growth would be seriously compromised. China recently announced a fiscal stimulus worth $586 billion (Rs29.3 trillion). “India’s growth will not depend on what rate China grows. China will be affected more than India because China’s dependance on exports and imports is more than us. It is a much more open economy than India,” said Suresh Tendulkar, chairman of the Prime Minister’s economic advisory council. Also See Reality Check (Graphic) Tendulkar, however, refused to put a number to India’s growth in 2009-10 because the council was analysing this year’s data to review its forecast for 2008-09. The council’s current estimate for growth in India is 7.7%. HDFC Bank Ltd’s chief economist Abheek Barua agreed that it doesn’t make sense to lower any estimate for growth in India just because an estimate for China’s growth had been reduced. “A slowdown in China will not necessarily affect us as a G-7 slowdown will hurt China’s exports more. India...is driven more by domestic consumption. While domestic consumption is 65% of GDP for India, in the case of China it is only 45%.” Barua, however, said the Indian government needs to announce a big fiscal package to avoid a slowdown next year. “We need a much larger package than is being talked about, around $75-$125 billion and we need it very quickly.” Indranil Pan, the chief economist of Kotak Mahindra Bank said that while the country needed a fiscal package, this was unlikely to materialize because elections to the Lok Sabha are due next year, preventing the government from taking any “big bang” measure. While most investment banks and research firms have lowered their estimates of growth in the Indian economy, finance minister P. Chidambaram said on Monday that economic growth this year will slow to 7.5% before bouncing back to 9% next year. “I think we should not be in denial. We should accept the fact that growth prospects are worse than earlier expected. If we keep denying, then the urgency of any big measure will be diluted,” said Barua. Barua said he expects India to grow at 7.3% this year and 6.7% next year. He added that next year’s forecast may have to be revised below 6.5%. On Tuesday, Montek Singh Ahluwalia, the deputy chairman of the country’s apex planning body the Planning Commission said in a conference that India would grow at a slower-than-expected 7% in 2008-09. The Organisation for Economic Cooperation and Development (OECD) said on Tuesday that India would grow at 7% in 2008. The organization said the current financial crisis will likely push the world’s developed countries into their worst recession since the early 1980s. OECD said the US was likely to contract by 0.9% in 2009, Japan by 0.1% and the Euro zone by 0.6%. AP and Reuters contributed to this story. Source: Home - Livemint.com | 25 Nov 2008 | 7:00 pm Hotels feel the pinch, forced to review plans for expansionPune: Slowing growth and declining business travel are forcing several large hotel chains such as Hotel Leela Venture Ltd to review their plans for Pune, which in recent years has emerged as a magnet for expansion in the hospitality sector. At least Rs6,000 crore was supposed to be invested in the city from hotel groups that had announced some 30 properties to add 7,000 rooms over the next three-five years. The rush to open hotels in the city, which had a shortage of 3,000 hotel rooms across categories, came on the back of some Rs6,000 crore plus of investment announced by auto makers such as Daimler AG and Volkswagen AG. In addition, Pune has also enjoyed a boom in the information technology sector which caused room rates to soar to Rs15,000 a night. The global markets meltdown, which has dented international business travel, caused a widepsread credit crunch and put the brakes on India’s economic growth, also seems to have scuttled hotel building plans here, as they have elsewhere. But Pune will feel the impact more because it has a much smaller base than larger cities such as Mumbai and Delhi, said Saurabh Gupta, associate director, HVS International, a hospitality services consultancy firm. “Much of this has happened because real estate players entered the market without understanding the nature of this business, hoping to make a lot of money because of the huge shortage of rooms,” he said. “They have no idea that the hotel industry does not give huge amount of cash inflows in the early stages. In fact, they call for a lot of cash infusion for interiors in the final stages. Now that funding has dried up, these players are putting their hotel ventures on hold and concentrating on finishing their residential and commercial properties which not only generate immediate cash but also attract penalties if not delivered on time.” The Leela group had acquired around 14 acres of land on the Pune airport road where it was to build a 225-room hotel-cum-urban resort at a cost of Rs180 crore. The project has been postponed “at the moment,” said Rajeev Kaul, vice president at the firm, as also a proposed development in Hyderabad. “We will complete our ongoing projects in Udaipur, Chennai and New Delhi and later see how the plans for these two cities go,” Kaul said in a recent interview. Marriott International Inc.’s 250-room JW Marriott property in Pune has been postponed for two years. “There is a slowdown in the sector and we are postponing the launch from 2010 to 2012,” said Atul Chordia, chief executive of Panchshil Realty, which is building the property. Panchshil, however, is on schedule to build four other Marriott properties in the city, he said. Chordia says the slowdown could be a blessing in disguise for the hotel industry. “By 2010 we would have had a major glut of hotel rooms in the city . All of us would be fighting for the pie and we would have to cut prices to remain in business. Now that there are delays and cancellations, the situation is not likely to be so drastic,” he said. Source: Home - Livemint.com | 25 Nov 2008 | 6:36 pm
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