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Satyam vs Upaid: Disparagement case hearing on Jan 7After the Maytas deal and uturn Upaid had filed a motion with the State Court asking that they are looking for a testimony for Ramlinga Raju, Srinvas Vadlamani, and Head of Corporate Governance Jayraman. Court has fixed the hearing date for motion as January 7.Source: Moneycontrol Top Headlines | 31 Dec 2008 | 4:46 pm Stake sale news reports baseless: Vishal RetailReacting to news reports of Vishal Retail looking to sell stake, Manmohan Agarwal, CEO of Corporate Affairs, Vishal Retail, said the rumours. We are not going to expand; we dont need any capital infusion in the company. The organization is selfsufficient. I have absolutely no clue why so much discussion is taking place.Source: Moneycontrol Top Headlines | 31 Dec 2008 | 4:10 pm 2009 to be challenging yet responsive: Castrol IndiaNaveen Kshatriya, Chief Executive and Managing Director, Castrol India, said the company is looking at a challenging but responsive year. \"We will go from strength to strength in the forthcoming year.\"Source: Moneycontrol Top Headlines | 31 Dec 2008 | 3:35 pm Recession hits deal street in 2008In 2008, Indias Deal Street saw very little traffic. But while the flurry of activity may be markedly less than 2007, it\'s still far ahead of 2006. So, how has recession hit deal street?Source: Moneycontrol Top Headlines | 31 Dec 2008 | 2:54 pm \'Taj Mahal Hotel to be fully functional by Oct next\'Krishna Kumar, Vice Chairman, Indian Hotels, said while the Heritage wing will partly reopen by March 2009, Taj Hotels is expected to be fully functional by October 2009.Source: Moneycontrol Top Headlines | 31 Dec 2008 | 2:31 pm Order book healthy as most projects are govtfunded: ABBBiplab Majumder, ABB said his company was not much affected by the slowdown. There could be slight delays in funding some privateowned projects, but government projects are on schedule. Since the power transmission is largely governmentowned, we will continue to have a healthy order book for at least the next couple quarters in those areas.Source: Moneycontrol Top Headlines | 31 Dec 2008 | 2:28 pm RIL arm, Future Group eye stake in Vishal Retail: SourcesVishal Retail is looking to sell stake, reports CNBCTV18 quoting sources. The management, however, denies this. Sources told NewsWire18 that Reliance Retail, Future Group is vying for Vishal Retail stake. Vishal Retail is looking to sell stake at Rs 150200 per share and may sell enough stake to trigger open offer.Source: Moneycontrol Top Headlines | 31 Dec 2008 | 2:19 pm TCS completes acquisition of Citigroup Global Services - Economic Times
Source: Google News India - Business | 31 Dec 2008 | 1:41 pm OVL\'s Imperial Energy buyout likely to sail throughONGCs arm OVL\'s plan for a buyout of Londons Imperial Energy requires 90% of the latters shareholders to submit their approval today by 1 pm London time. So, what strategy is OVL employing to bag this deal?Source: Moneycontrol Top Headlines | 31 Dec 2008 | 1:32 pm Markets Count on ReformsNew Delhi: Even under the uncertain political landscape of the last four years, the Sensex surged from 6,000 to 21,000 by 2008. But with the tremors of the global slowdown hitting India hard this year, in 2009 markets would be excessively dependent on strong political leadership to push through long pending economic reforms. Click here to watch video According to Prime Database managing director Prithvi Haldea the clearance of the long awaited Pension Fund Regulatory and Development Authority Bill would help in stabilizing the falling stock markets. This would also help wean the Indian stock markets’ excessive dependence on FII investments. The Bill if cleared would take away the obligation to pay pensions from the government and shift the responsibility of saving for old age to the individual. Haldea says the government must not give any bail outs to companies nor give a tax incentive for making investments in the stock market. According to him, though the fundamentals of the India economy remain strong, the results of companies in the forthcoming quarter would be hit hard due to the impact of the global economic slowdown. Companies should brace themselves for an even tougher 2009, he warns. Source: LatestNews-Home - Livemint.com | 31 Dec 2008 | 1:32 pm Luxury to hold its ground in IndiaNew Delhi: Luxury goods in India make up the smallest proportion of the overall retail market, just 0.4%, according to a report by Bain and Company. And despite its growing number of millionaires – India had 123,000 millionaires in 2007 - it lags behind China and Brazil. Sanjay Kapoor, Managing Director of Genesis Luxury, says he still expects the brands he represents, including Kenzo, Canali, and Jimmy Choo to grow 30% year -on-year for the next three years. Click here to watch video Kapoor says while the nascent luxury market in India will feel the impact of the global economic downturn, this will only be for a short while. The Bain and Co. study said it expected strong growth to be between 20 and 35% over the next 5 years in the Brazil, Russia, India and China or BRIC markets. The worldwide luxury goods market is expected to considerably slowdown in 2009 according to the Bain study which was released in October 2008. It expected the growth of the worldwide luxury market to slow by 3% for the year. This is in contrast to the 9% growth seen in 2006 and the 6.5% in 2007. Source: LatestNews-Home - Livemint.com | 31 Dec 2008 | 1:24 pm Chidambaram announces intelligence revamp - India Today
Source: Google News India - Business | 31 Dec 2008 | 1:23 pm Indian rupee posts biggest fall since early '90s - Reuters India
Source: Google News India - Business | 31 Dec 2008 | 1:18 pm ONGC lands Imperial Energy for £1.3bn - Financial Times
Source: Google News India - Business | 31 Dec 2008 | 1:14 pm Charting its course through troubled watersInterview with Neeraj Swaroop, Regional CEO - India and South Asia, Standard Charted on how 2008 changed the banking industry Unanticipated biggest turmoil in recent history. I wouldn’t wish another year like that. We saw a lot of change. We also learnt that markets everywhere are interrelated and so are economies. For our company, we are based on our conservative policy and our footprint largely Asia focused. We have not been directly impacted. We continue to be strong. Click here to watch video On outlook for interest rates… There are two sides to rates – deposits and lending. And the deposits rate are still quite high, both the public sector banks and the private sector banks as well as the foreign banks I think for genuine rate cuts to take effect those rates need to come down. So, I would say that there are rate cuts happening, but it is not BPLR that determines rates. Rates happen based on markets, competition and really the supply of deposits. I think we are still starting to see the early cycle of rate cuts happen. So, I don’t think there is any reason for one part of the industry to believe that the market share will shift significantly. We have reduced rates earlier. We will look at rate cuts based on our funding profile. At this point of time the way our funding profile is, we will not be doing rate cuts immediately. So we are in wait and watch situation. I do anticipate however short period there will be rate cuts happening. But I can’t predict a time. On the acquisition of Cazenove Asia Ltd. Right now it is with the intent to get into the business of equities. It’s a product stream, which we were not in, and by doing the acquisitions in Hong Kong and China we are acquiring that capability. Its very early days, I cannot specifically talk about what those plans are. On other acquisitions In India we made an acquisition of STCI securities an year and half ago, which was our first acquisition in the area of brokerages. And we have last week, increased our stake from 49 to 74.9 %. So we are a 74.9 percent stake holder in that company, which is now, branded Standard Chartered STCI services. That’ll be our vehicle for growth in brokerage business in India. On Stanchart’s liquidity position We have adequate capital and have enough liquidity to meet our business plans. You must also know that we are part of the 8 banks which are part of the package but we have not taken capital from the UK government. Are valuations cheap? I don’t think valuations are cheap. We will keep evaluating opportunities that come up. We made some small acquisitions in the last 6 months. Its not that we are not making acquisitions, but I can’t comment on the future, How are you dealing with financial meltdown? It wont have any impact on India ops because in India our operations continue to grow very well. We are very liquid, have strong business, are writing new loans, accepting new deposits. We have been one of the few banks not impacted by the crises. We remain well capitalized. We don’t see any reasons to be impacted. In general sense as global economy slows down and India slows a downturn will impact revenue streams of all banks. We have a strong business model, and we should continue to perform well. But yes, if there is downturn, we will suffer some impact. Source: LatestNews-Home - Livemint.com | 31 Dec 2008 | 1:14 pm Videocon, HFCL agree to resolve Datacom disputeDatacom promoters Videocon and Himachal Futuristic Communications Ltd or HFCL have agreed to resolve their dispute over valuations amicably. Commenting on the same, Mahendra Nahata, Chairman, HFCL said, We are trying to work amicably.Source: Moneycontrol Top Headlines | 31 Dec 2008 | 1:12 pm BSE Sensex posts worst yearly fall, outlook muddyMUMBAI (Reuters) - The BSE Sensex slumped by more than half in 2008, its worst annual performance ever, and the outlook for the new year was muddled by uncertainties with corporate earnings set to slow sharply.Source: Reuters: Money News | 31 Dec 2008 | 1:12 pm LIC Housing cuts lending rates by 75 bpsMumbai: LIC Housing Finance on Wednesday announced a reduction of 75 basis points in interest rates for existing home loans with effect from 1 January. The cut is on EMIs falling due on 1 January, 2009 and payable on 1 February, 2009, the company said in a statement. The move was consequent with a reduction in cost of funds, it said. For new customers, it had already slashed interest rates from 17 December. For loans up to Rs20 lakh and up to five years, the lending rates stand at 9.25%. For loans up to Rs20 lakh and above five years, LIC Housing Finance has reduced lending rates to 9.75%. Source: Home - Livemint.com | 31 Dec 2008 | 1:11 pm Rupee posts biggest yearly fall since 90sMumbai: The rupee fell 19.1% in 2008, its biggest yearly fall since the early 1990s, as foreign fund withdrawals from the stock market and a widening trade deficit weighed. The partially convertible rupee closed at Rs48.70/72 per dollar on Wednesday, weaker than its Tuesday’s close of Rs48.47/49. In 2007, the rupee had gained more than 12% to Rs39.41. Source: Home - Livemint.com | 31 Dec 2008 | 1:02 pm Satyam promoters gradually reduce stakeThe promoters of Satyam Computers, currently facing the wrath of shareholders, used to own as much as 25.60 per cent equity.Source: Daily News & Analysis: Money News | 31 Dec 2008 | 12:59 pm ICICI Bank cuts home, auto loan rates by 50 basis ptsIn a New Year bonanza to home and car loan takers, ICICI Bank reduced the benchmark lending rate by 50 basis points.Source: Daily News & Analysis: Money News | 31 Dec 2008 | 12:44 pm LIC Housing slashes lending rates - Hindu
Source: Google News India - Business | 31 Dec 2008 | 12:42 pm ICICI buys back bonds worth $84.5 mnThe country's top private sector lender ICICI Bank said on Wednesday that it has repurchased bonds worth 84.58 million dollars.Source: Daily News & Analysis: Money News | 31 Dec 2008 | 12:40 pm Bajaj brothers usher in New Year with a smile over settlementThe Bajaj family couldn't have asked for a better New Year's eve gift than brothers Rahul and Shishir smoking the peace pipe.Source: Daily News & Analysis: Money News | 31 Dec 2008 | 12:38 pm Rupee ends lower, bonds higher - Moneycontrol.com
Source: Google News India - Business | 31 Dec 2008 | 12:37 pm Persistence pays - India Infoline.com
Source: Google News India - Business | 31 Dec 2008 | 12:36 pm Sensex ends 2008 with losses, RIL, ICICI Bank take a hitThe Bombay Stock Exchange benchmark Sensex drew the curtains to a forgettable 2008 during which it had shaved off a mind-boggling 10,640 points.Source: Daily News & Analysis: Money News | 31 Dec 2008 | 12:35 pm FUND VIEW - Principal sees India stocks correcting before recoveryNEW DELHI (Reuters) - Indian stocks could see another round of correction in early 2009, though lower valuations and economic fundamentals should lend support later, a fund manager at Principal Asset Management said.Source: Reuters: Money News | 31 Dec 2008 | 12:31 pm Flights cancelled for fog fears, low passenger loadAt least 10 early morning flights were cancelled Wednesday due to low passenger load and anticipation of fog, but flight operations otherwise remained normal, said an airport official.Source: IndiaeNews.com: Business News | 31 Dec 2008 | 12:30 pm Markets fall on year's last day of tradeIndian equities markets closed trade lower Wednesday, the last day of the year, with a key index ending 0.71 percent lower than its previous close.Source: IndiaeNews.com: Business News | 31 Dec 2008 | 12:30 pm Bajaj family dispute inches closer to settlementThe sixyear old dispute in the Bajaj clan seems to have finally ended. Over four crore shares of Bajaj Hindustan changed hands at the Bombay Stock Exchange on Tuesday.Source: Moneycontrol Top Headlines | 31 Dec 2008 | 12:25 pm Sensex ends in red; traders hope for better 2009 - Economic Times
Source: Google News India - Business | 31 Dec 2008 | 12:24 pm Fiscal deficit up on govt spending - Economic Times
Source: Google News India - Business | 31 Dec 2008 | 12:24 pm Reliance Communications GSM services to cover 11,000 towns in first phaseMumbai: Telecom major Reliance Communications today announced nationwide launch of GSM services covering 11,000 towns in the first phase starting tomorrow and in the next few months it would be available in 24,000 towns. Speaking to reporters, Reliance Communications Chairman Anil Ambani said the company would also be participating in the proposed 3G auction next year and is planning an investment of Rs2,000 crore-Rs4,000 crore on 3G network. Reliance Communications is the first operator to offer mobile services on both CDMA and GSM platforms as it is already offering services in CDMA platform. RCOM was the first company which was awarded dual spectrum and it has invested over Rs10,000 crore in the last 15 months to roll out the GSM network. Ambani said RCOM received start-up GSM spectrum only in January 2008 but still the project is running six months ahead of schedule. “The investment has been well within the budgeted amount. We are towards the end of the capex programme and looking forward to free cashflows,” he said. According to Ambani, at present 7 out of 10 mobile subscribers enter into GSM service. The company’s growth all these years has been in CDMA space. He said after the system of portability is launched, a customer will be able to shift from CDMA to GSM phones. Besides, there are handsets available which offer both CDMA and GSM technology on a single phone. Referring to pricing, Ambani said it would be attractive, though he did not divulge details. A company official said the pricing could be different in different circles. Reliance Communications has built huge infrastructure for offering the mobile services and it expects to reap dividends by sharing it with other telecom providers. Ambani said several new entrants who are planning to launch their services have approached RCom for sharing the infrastructure like telecom towers. He also said the group company Reliance Infra would be open to capital raising in 2009. Reliance Infra had planned an IPO early this year but could not go ahead due to weak market. Source: LatestNews-Home - Livemint.com | 31 Dec 2008 | 12:22 pm Stocks open higher on rate cut hopes!Sensex rose by over 109 pts in opening trade on hopes of a second stimulus package and rate cuts.Source: Zee News : Business | 31 Dec 2008 | 12:20 pm Oil prices end tumultuous year on calm note!Oil prices ended the year on a calm note on Wednesday, slightly lower after a tumultuous 2008 which saw prices hit record peaks before plunging to multi-year lows.Source: Zee News : Business | 31 Dec 2008 | 12:20 pm Madoff expected to disclose worth to US regulators !Confessed swindler Bernard Madoff faces a Wednesday deadline to tell regulators how much he is worth and where his money and other assets are, but it will likely be a longer wait before his investors.Source: Zee News : Business | 31 Dec 2008 | 12:20 pm World faces slowdown in 2009!Another day, another batch of warning signs indicating the world will enter 2009 in slowdown.Source: Zee News : Business | 31 Dec 2008 | 12:20 pm Is IBM eyeing stake in Satyam?!A host of private equity firms and global information technology majors are likely to vie for a stake in Satyam Computer Services, as angry investors look for an exit or a change in the outsourcer`s management team.Source: Zee News : Business | 31 Dec 2008 | 12:20 pm Rupee appreciates 13 paise against dollar!The Indian rupee on Wednesday appreciated by 13 paise against the US dollar in early trade following increased dollar selling by exporters amid firm trend on the Asian equity markets.Source: Zee News : Business | 31 Dec 2008 | 12:20 pm India bond yield posts biggest year fall since 2001 - Reuters India
Source: Google News India - Business | 31 Dec 2008 | 12:18 pm Sensex posts worst yearly fall everMumbai: The Bombay Stock Exchange stock index slumped by more than half in 2008, its worst annual performance ever, and the outlook for the new year was muddled by uncertainties with corporate earnings set to slow sharply. Besides falling domestic economic growth and a recession in countries from the US to eurozone and Japan, investors in India will have to factor in heightened political risk with national elections due by May. Analysts say conditions could become favourable for the market to rise in the second half due to an expected recovery in the global financial system and revival in foreign fund inflows to emerging markets such as India. The 30-share BSE index plummeted 52.4% in 2008, its first annual decline since 2001 and sharply more than the previous worst fall of 20.8% in 1995, according to Thomson Reuters data. Foreign fund withdrawals of more than $13 billion weighed down Indian shares in 2008 after record inflows of $17.4 billion in 2007 when the BSE index had risen 47%. Analysts said a revival in the foreign portfolio investments was unlikely until the global credit situation improved. “My view is they will continue to be in a wait and watch mode for some more time,” said Amit Khurana, head of institutional equities at Colin Stewart in Mumbai. The benchmark, which ended down 0.71% on Wednesday at 9,647.31 points, lost about 25% between October and December, its biggest quarterly slide since the three months to June 1992 when it shed 28.1%. However, it has recovered more than a quarter since hitting a three-year low of 7,697.39 on Oct. 27, but is down 54.5% from a record high of 21,206.77 on 10 January. The bear market is likely to continue in 2009 due to risk of lower earnings, while the coming general election was important as a fragmented verdict could hamper policymaking and impact growth, Morgan Stanley said in a report in December. “Any recovery in the market is likely to be long, drawn-out affair. It is unlikely that we’ll get a V-shape recovery out of this bear market,” it said. “Of course, it comes as no surprise that it follows the best bull market in Indian history.” The main index, which had been rising from 2002, soared six times between 2003 and 2007 to end 2007 at 20,286.99. Shares in infrastructure and automobile companies were the worst hit in 2008, as high interest rates crimped demand. Seventeen stocks in the BSE index lost more than half their value during the year. Construction firm Jaiprakash Associates was the biggest loser in the benchmark index, falling 80.5% to Rs83, while top vehicle maker Tata Motors plunged 77.9% to Rs159.05. Consumer good maker Hindustan Unilever Ltd, a unit of Anglo-Dutch conglomerate Unilever Plc, was the only gainer in the key gauge, rising about 17% to Rs250.25 as a defensive play amid a flight from risky assets. Analysts said market sentiment in the short-term could get a boost if the government unveiled another economic stimulus package and the RBI reduced interest rates further to revive Asia’s third-largest economy. The 10-year benchmark bond yield fell to 5.18%, its lowest since May 2004, in early trade on Wednesday on expectations of a rate cut, before bouncing to 5.26% after a television channel quoted finance ministry officials as saying rate reductions may not be steep. The yield had fallen 189 basis points in December. The policy makers have cut rates and duties to shore up growth that has been slowing faster than expected. In the broader market on Wednesday, 1,505 gainers were ahead of 944 losers on average volume of 345 million shares. The 50-share NSE index ended down 0.68% at 2,959.15, losing 51.8% in 2008. Source: Home - Livemint.com | 31 Dec 2008 | 12:14 pm Nokia launches e-waste management initiativeNew Delhi: To promote recycling of electronic waste, Nokia India will launch a campaign where customers can drop their old handset in the company’s stores and win gifts. Mobile phone users can dispose their used handsets and accessories like chargers at any of the recycling bins set up across Nokia Priority Dealers and Nokia Care Centers in New Delhi, the company said in a statement. The ‘Take Back’ campaign, which commences on Thursday, will be rolled out in phases across the country, it added. The Finnish handset major, in turn, will plant a tree for every handset dropped into these bins. “As market leaders in mobile devices, we have a unique opportunity to make an impact that goes beyond our own business. As responsible leaders, we want to drive best practices in our industry,” Nokia India VP and managing director D. Shivakumar said. According to a survey conducted by the company in 13 countries, only 3% said they had recycled their old phone. Also, 50% of those surveyed didn’t know phones could be recycled, with awareness being the lowest in India at 17%. Source: LatestNews-Home - Livemint.com | 31 Dec 2008 | 12:03 pm Nokia launches e-waste management initiativeNew Delhi: To promote recycling of electronic waste, Nokia India will launch a campaign where customers can drop their old handset in the company’s stores and win gifts. Mobile phone users can dispose their used handsets and accessories like chargers at any of the recycling bins set up across Nokia Priority Dealers and Nokia Care Centers in New Delhi, the company said in a statement. The ‘Take Back’ campaign, which commences on Thursday, will be rolled out in phases across the country, it added. The Finnish handset major, in turn, will plant a tree for every handset dropped into these bins. “As market leaders in mobile devices, we have a unique opportunity to make an impact that goes beyond our own business. As responsible leaders, we want to drive best practices in our industry,” Nokia India VP and managing director D. Shivakumar said. According to a survey conducted by the company in 13 countries, only 3% said they had recycled their old phone. Also, 50% of those surveyed didn’t know phones could be recycled, with awareness being the lowest in India at 17%. Source: Tech News - Livemint.com | 31 Dec 2008 | 12:03 pm India's Sensex ends 2008 with 52-percent annualised lossThe dramatic start for Indian equities market in 2008, which saw a key index scale an all-time high, ended in a whimper, with the global economic meltdown pulling the bellwether down by 52 percent - its worst ever performance.Source: IndiaeNews.com: Business News | 31 Dec 2008 | 12:00 pm Riverbank to invest Rs.30 bn on Calcutta Riverside projectRiverbank Developers Ltd will invest Rs.30 billion (Rs.3,000 crore) to develop the Calcutta Riverside project at Batanagar in West Bengal, a top official said here Wednesday.Source: IndiaeNews.com: Business News | 31 Dec 2008 | 12:00 pm The Kamla Bhatt Show-Best of 2008As the year comes to an end, Livemint Radio gets you snippets from the Kamla Bhatt Show as part of our Best of 2008 Series. In this series, we feature some of the best and the brightest from the Silicon Valley. Here’s a list of people who have been included in this series:  Mitchell Baker- Mitchell is the chairperson of Mozilla Foundation and Mozilla Corporation. Sam Pitroda- He is known as the father of Indian telecom. Tim O’ Reilly- Tim is the founder of O’ Reilly Media and is a technology evangelist. Yogen Dalal- Yogen is a managing director at Mayfield Fund, a venture capital firm located in Silicon Valley. Sridhar Vembu- Sridhar is the CEO of Advent Net, the company that produces “Zoho” an office productive suite. He was recently described by The Economist as a dangerous man. Source: LatestNews-Home - Livemint.com | 31 Dec 2008 | 11:52 am Kerala demands higher share of central taxesThe Kerala government Wednesday approved a draft memorandum to be submitted to the 13th Finance Commission with demands including higher share in the central taxes and hike in the open market borrowing cap.Source: IndiaeNews.com: Business News | 31 Dec 2008 | 11:31 am Bharat Sanchar launches net-based TV services in HaryanaState-run telecom operator Bharat Sanchar Nigam Ltd (BSNL) Wednesday announced the launch of its Internet Protocol Television (IPTV) in the Haryana in association with Smart Digivision.Source: IndiaeNews.com: Business News | 31 Dec 2008 | 11:31 am Imperial Energy shareholders accept ONGC offerThe overseas arm of state-run Indian upstream oil major, Oil and Natural Gas Corp, Wednesday announced that more than 96 percent of shareholders of the Leeds-based Imperial Energy have accepted its offer for acquisition at $1.89 billion.Source: IndiaeNews.com: Business News | 31 Dec 2008 | 11:30 am Tripura announces Rs.150 mn package for MuslimsTripura Wednesday announced a Rs.150 million package for the minority Muslims to bring about an all-round development of the community.Source: IndiaeNews.com: Business News | 31 Dec 2008 | 11:30 am LIC hikes stake in Allahabad BankMumbai: Public sector Allahabad Bank on Wednesday said that Life Insurance Corporation of India has hiked its stake in the bank by 2.10% to 10.94% by purchasing shares worth Rs46 crore. Prior to the said purchase, LIC was holding 3.95 crore shares representing 8.84 % stake in the bank. In a disclosure to the Bombay Stock Exchange, Allahabad Bank said that domestic investor LIC has purchased 93 lakh shares for Rs46.88 crore from the open market, representing 2.10% stake in the company. After the purchase, LIC now holds 4.89 crore shares representing 10.94% stake in the bank. Shares of the Allahabad Bank were trading at Rs52.10, up 3.07% on the BSE. Source: LatestNews-Home - Livemint.com | 31 Dec 2008 | 11:21 am ICICI Bank cuts lending rates by 50 bpsMUMBAI (Reuters) - ICICI Bank, India's largest private lender, has cut its main lending rates by 50 basis points from Wednesday, the bank said, joining other lenders that have lowered rates to revive growth.Source: Reuters: Money News | 31 Dec 2008 | 11:14 am FACTBOX - Banks predict spike in defaults in 2009Reuters - Credit strategists predict another gloomy year in 2009 with a sharp jump in "junk"-rated defaults as companies struggle to refinance in what is expected to be the worst global recession since the Great Depression of the 1930s.Source: Reuters: Money News | 31 Dec 2008 | 11:12 am More economic pain seen in 2009, govt's to pump up aidSINGAPORE (Reuters) - Investors said good riddance on Wednesday to one of the worst years on record and prayed that massive government rescue plans will pull the global economy out of its fierce tailspin later in the new year.Source: Reuters: Money News | 31 Dec 2008 | 11:06 am Airlines cut fares, but fare wars not seenNEW DELHI (Reuters) - Indian carriers are sharply cutting fares, seeing falling jet fuel prices an opportunity to try arrest declining demand for air travel without bleeding themselves, but analysts have ruled out a fare war.Source: Reuters: Money News | 31 Dec 2008 | 11:02 am United India's restructuring proceeds at good paceThe restructuring initiatives at the city based non-life major United India Insurance Company Ltd are progressing at a good pace, said a top company official Wednesday.Source: IndiaeNews.com: Business News | 31 Dec 2008 | 11:01 am Markets close lower on year's last dayIndian equities markets ended the last day of the year in the red, with a key index Wednesday closing 0.71 percent lower than its previous close.Source: IndiaeNews.com: Business News | 31 Dec 2008 | 11:00 am Just to Clarify-Best of 2008As part of our Best of 2008 Series, we bring you some of the best snippets from our explainer show, Just to Clarify.  Happy listening! Source: LatestNews-Home - Livemint.com | 31 Dec 2008 | 11:00 am Eventful 2008 for the Indian economyNew Delhi: The global economic downturn made 2008 a forgettable year. It had its usual share of ups and downs for India Inc. Here’s a look at some of the events that shaped the year: 10 Jan: ‘Nano´ is born. The world’s cheapest car costing Rs100,000 unveiled at 9th Auto Expo in Delhi by Ratan Tata. 15 Jan: India’s largest IPO by Reliance Power to raise Rs11,000 crore opens. The issue closed on 18 January but was hammered in the market on debut. The company issued bonus shares to retain investor confidence. 8 Feb: Developer Emaar MGF Land Ltd calls off Rs7,000 crore IPO following poor investor response. 11 Mar: Real estate firm BPTP strikes India’s biggest ever land deal by shelling out Rs5,006 crore for a 95 acre commercial plot at Noida. As financial crisis deepens, the company is now facing problems paying the sum. 26 Mar: Tata Motors announces agreement with Ford Motor to acquire Jaguar Land Rover for $2.3 billion. 19 Apr: Cancer drug maker Dabur Pharma acquired by Singapore-based Fresenius Kabi for nearly Rs1,000 crore. 6 May: Telecom operator Bharti Airtel in talks with South Africa’s MTN Group for a deal that would give it presence in 21 African and Asian countries. 24 May: Bharti Airtel backs out from MTN deal. 28 May: Anil Ambani-run Reliance Communications begins discussions for reverse merger with MTN. Talks fail in July. 11 June: Japanese drug firm Daiichi Sankyo acquires control of Ranbaxy for over Rs22,000 crore - essays biggest Indian pharma industry deal. 18 June: India gets first commercially available hybrid car when Honda Siel launched its Civic Hybrid priced at Rs21.5 lakh. 25 June: Idea Cellular acquires 40.8% stake in a smaller rival Spice Communications for about Rs2700 crore. 27 June: Russia’s Severstal outbids Essar’s $1.2 billion offer for US-based Esmark. 11 July: Gurgaon-based WNS (Holdings) Ltd acquires UK insurance major Aviva’s BPO business Aviva Global Services (AGS) for around $228 million (Rs980 crore). 8 Aug: South Korean steel giant Posco gets approval from Supreme Court to go ahead with its Rs51,000 crore steel project in Orissa after getting environmental clearance. 11 Aug: Low-cost airline Spicejet secures $100 million investment from Goldman Sachs and WL Ross. 21 Aug: Apple’s iPhone makes India debut. 16 Sep: US Foods and Drug Administration bans 30 drugs manufactured by Ranbaxy Laboratories at its two facilities in Dewas and Poanta Sahib. 23 Sep: UAE telecom giant Emirates Telecommunications Corp (Etisalat) buys about 45% of Swan Telecom for up to $900 million. 26 Sep: HCL Technologies makes a cash offer of 650 pence a share for acquiring UK-based SAP consulting firm Axon Group. 3 Oct: Tata Motors pulls out of Singur, where it planned to set up the mother plant for Nano at an investment of Rs1,500 crore. 7 Oct: Tata Motors announces new Nano plant will come up at Sanand in Gujarat at an investment of Rs2000 crore. Oct 8: TCS acquires 96.3% stake in Citigroup Global Services Ltd, the BPO outfit of the American bank, for $505 million. 13 Oct: Jet Airways and Kingfisher Airlines form operational alliance to cut costs. 15 Oct: Jet Airways lays off 1900 of its employees in various work profiles. Two days later, company Chairman Naresh Goyal orders reinstatement of all the sacked employees. 30 Oct: Real estate major Unitech sells 60% stake in telecom venture Unitech Wireless to Norway-based Telenor for Rs 6,120 crore. 4 Nov: Kolkata-based FMCG firm Emami completes acquisition of Zandu Pharmaceuticals. 12 Nov: Japan’s largest mobile operator by users, NTT DoCoMo picks up 26% stake in mobile and wireline operator Tata Teleservices (TTSL) for $2.7 billion. 21 Nov: Dabur India acquires 72.15% stake in women’s skin-care company Fem Care Pharma (FCPL) for Rs203.7 crore. 11 Dec: State-owned telecom operator MTNL launches third generation (3G) services. 16 Dec: India’s fourth largest IT firm Satyam Computer announces acquisition of Maytas Properties and Mytas Infra for $1.6 billion dollars. 17 Dec: Satyam calls off acquisition after angry shareholders response. Since then, four of the company’s independent directors have quit. 23 Dec: Country’s third-largest software services provider Wipro agrees to buy Citi Technology Services Ltd from Citigroup for about $127 million. 25 Dec: World Bank says Satyam barred from doing business with it for eight years; Reliance Petroleum commissions its 580,000 barrels per day refinery ar Jamnagar. 31 Dec: Stock market benchmark Sensex closes trading for the year down 69 points at 9,647.31. It had peaked to 21,206.77 points in January. Source: Home - Livemint.com | 31 Dec 2008 | 10:59 am The Playcast-Best of 2008As part of our Best of 2008 Series, we bring you some of the best snippets from our technology show, The Playcast.  Happy listening! Source: LatestNews-Home - Livemint.com | 31 Dec 2008 | 10:43 am ONGC to proceed with Imperial Energy takeoverLONDON (Reuters) - Indian oil company ONGC said it will proceed with its 1.3 billion pounds ($1.89 billion) takeover of UK-listed Imperial Energy, to the relief of Imperial investors who feared ONGC would back out of the high-priced deal.Source: Reuters: Money News | 31 Dec 2008 | 10:25 am Britain pledges $10 mn aid to GazaLondon: Britain pledged 10 million dollars of emergency humanitarian aid on Wednesday for the Gaza Strip, where Israeli air strikes have wrought havoc for several days and left hundreds dead. International Development secretary Douglas Alexander said the money would help provide urgently-needed food and fuel to Palestinians cut off by the offensive launched on Saturday. “Aid is desperately needed in Gaza,” Alexander said in a statement. “The human cost of this conflict is unacceptable and the humanitarian situation is getting worse by the hour. Thousands are suffering.” Some 385 Palestinians have been killed and more than 800 wounded since the Israeli offensive began on Saturday, medical officials said. A United Nations agency said at least 62 of the dead were civilians. Four Israelis have been killed. In Gaza, which is controlled by the Hamas group, basic food supplies are running low and power cuts are affecting much of the territory. Hospitals were struggling to cope with the high number of casualties from the offensive. Alexander said securing a route to the suffering was urgent. “The limited aid that is getting through cannot be distributed properly because of bombing from the air and rocket attacks launched from inside Gaza. The fighting must stop to enable humanitarian agencies to help people in desperate need,” he said. Israel says it is trying to halt Hamas rocket attacks. Both sides have so far resisted pressure from foreign powers to halt hostilities but Israeli officials have made clear that a French proposal for a 48-hour truce to allow aid into Gaza had not been rejected outright. Source: LatestNews-Home - Livemint.com | 31 Dec 2008 | 10:21 am Terrible 2008 for stocks ending on up noteLondon: World stock markets closed out the year on Wednesday with some having registered their worst annual losses in history, although December looked set to end on a rare up note and there was some optimism about 2009. Dollar was broadly higher while oil fell below $39 a barrel, a 60% loss for the year. Global stocks as measured by MSCI were up slightly on the day, setting the stage for their first monthly gain in seven months. Over 2008, however, they have fallen a record 43.7%, wiping around $14 trillion off the index, which is a major benchmark for global investors. The pan-European FTSEurofirst index, meanwhile, was down around 45% for the year, although it was up 0.6% on Wednesday. Japan’s Nikkei closed the year on Tuesday, down 42%, the biggest annual drop in its 58-year history. Many investors, however, are hoping for a better year in 2009, somewhat reflected in December’s performance. “If there’s any optimism, it’s on the basis that stock markets recover in recessions,” said Justin Urquhart Stewart, director at Seven Investment Management. “Now we have the real recession, rather than the phoney recession. Last year we were so optimistic, that we were fooling ourselves. It’s now gone too far the other way. We’ve discounted a huge amount of bad news.” Germany, Austria, Denmark, Finland, Norway, Sweden, Italy, Spain and Switzerland were already closed for the year. Dollar gain for year The euro was steady against the dollar in thin trade, but it was poised to record its first annual fall against the dollar in three years. The dollar also gained against a basket of currencies for the first time since 2005. The euro has fallen by around 3.4% against the dollar over the year. However, it recovered towards the end of the year, jumping by over 10% during December, a trend analysts expect will continue. The euro rose 0.1% against the dollar to $1.4064. Euro zone government bond markets were closed. Two and 10-year euro zone government bond yields fell to their lowest in nearly two decades on Tuesday. Source: Home - Livemint.com | 31 Dec 2008 | 10:12 am Swaps rise on fading hopes of rate cutsMumbai: The swap rates rose on Wednesday following a rebound in bond yields from near4- year lows as investors pared positions on reduced expectations of aggressive rate cuts. At 1:30pm, the five-year swap rate was at 4.58/4.68%, a shade above Tuesday’s close of 4.56/4.66%. Traders said bonds fell on profit-booking after a sharp rally earlier this week on rate cut hopes. However, some dealers said they still expect a 50-100 basis points rate cut from the RBI, which may push bond yields and swap rates lower. “There is a general expectation that the 10-year yield will touch 5% levels in a volatile rally by the RBI’s January policy meet,” said a trader at IDBI Bank. The 10-year benchmark yield was at 5.25% on Wednesday. Source: Home - Livemint.com | 31 Dec 2008 | 9:19 am Indians rush to sell jewellery as prices soarMUMBAI (Reuters) - Indian gold retail consumers thronged shops to sell old gold ornaments as prices moved above 13,500 rupees per 10 grams, seeking to recycle their jewellery, limiting demand for new bars, traders said.Source: Reuters: Money News | 31 Dec 2008 | 8:29 am ONGC acquires Imperial Energy for $1.9 bnNew Delhi: Oil and Natural Gas Corp (ONGC) has taken control of Imperial Energy Plc for £1.3 billion pound ($1.9 billion) after an overwhelming 96.8% of London-listed firm’s total shareholders accepted its takeover offer. The deadline for the state-owned firm’s £12.50 per share offer closed yesterday and 99,241,110 or 96.8% of the shares were tendered, ONGC Videsh Ltd informed the London Stock Exchange. ONGC Chairman R S Sharma said the company owed the acquisition to the Government support, which has seen OVL in the past seven years increase its number of projects to 39 in 17 countries, from just a single project in Vietnam. ONGC Videsh Ltd, the overseas arm of the state explorer, needed 90% shareholders to approve its deal, which will result in delisting of Imperial. Imperial will be delisted from LSE after it “squeezes out” the remaining untendered shares by posting them cheques of the offer amount and telling the shareholders that these untendered shares were no longer valid. Imperial, the Leeds-based firm that has oil producing blocks in Tomsk region of western Siberia in Russia and Kastanai in north-central Kazakhstan, would be the biggest overseas ever acquisition by OVL. It had paid $1.7 billion to buy a 20% stake in Exxon Mobil Corp’s Sakhalin-I field in Russia and $785 million for a stake in the Greater Nile project in Sudan, both in 2003. OVL will fund the transaction through a combination of loans from the parent company worth $1 billion-equivalent rupee loan. ONGC would lend close to $1-billion to fund the transaction at 5.96% interest rate. The entire acquisition and subsequent delisting may take two to three weeks, the source added. Source: Home - Livemint.com | 31 Dec 2008 | 7:45 am Rahul Bajaj buys 29% in Bajaj HindusthanMumbai: In a step towards settlement of a six-year-long family dispute, Bajaj Group Chairman Rahul Bajaj has purchased over four crore shares representing 29% stake in sugar major Bajaj Hindusthan for Rs265.67 crore through open market transactions. Rahul has bought 3,98,89,840 shares at an average traded price of Rs64.34 in Bajaj Hindusthan, aggregating to 256.66 crore, as per the data available on the block deal counter of the Bombay Stock Exchange. Besides, in a bulk deal on BSE, Rahul Bajaj has further acquired 14,00,540 shares in Bajaj Hindusthan at a price of Rs64.34 each, aggregating over Rs9.01 crore. As per data available at the BSE, Rahul Bajaj has bought 3.46 crore shares from Bachhraj & Co and 51.93 lakh shares from Jamnalal Sons in two block deals. Post acquisition, Rahul has acquired over 4.1 crore shares representing 29.2% stake in the sugar major by way of inter-se-transfer of shares among the promoters through market transactions. Last week, in a notice to the stock exchanges, Bajaj Hindusthan had said Rahul Bajaj would buy 29% stake in the company and would transfer the acquired shares, along with 0.21% already held by Rahul as well as the holdings of six other family members amounting to 29.62%, to his brother Shishir. Post transfer of shares, Shishir would have 32.47% stake in Bajaj Hindusthan. Shares of Bajaj Hindusthan were trading at Rs72.40, up 9.53% in the afternoon trade on the BSE. Source: Home - Livemint.com | 31 Dec 2008 | 7:41 am Mobile tariffs may fall in 2009; TRAI starts reviewNew Delhi: Mobile tariffs may fall in the coming year, as the telecom regulator TRAI today started review of various intra-operator charges including for calls landing in each other’s network. Issuing a consultation paper on “Review of Interconnection Usage Charge”, TRAI has sought information from all stakeholders on various charges payable by operators to one another for carriage and termination of domestic and international calls. The new telecom operators, who are yet to start offering mobile services, had opposed the high rate of termination charge of 30 paise a minute and had demanded that it should be lowered to a maximum ceiling of 10 paise. Termination charge is money paid by an operator to another on whose network the call ends. TRAI has, however, maintained that termination charge cannot be reviewed in isolation. The whole of IUC, which comprises Origination, Termination, Carriage and Transit charges, needs to be looked at. The new telecom players have said that since most of the calls originate from their networks would be terminated on the network of existing players, payment of 30 paise a minute would leave very little scope for them to offer innovative tariff schemes to their subscribers and would also put pressure on their margins. Even Department of Telecom had indicated that termination charges need to be lowered, as the cost of building up networks has come down considerably over the last 4-5 years. TRAI would re-look into the methodology for calculation of mobile termination charge and also whether fixed and mobile termination cost caluculation use the same methodology, TRAI said in a statement. Besides, TRAI would decide whether mobile termination charge be same for all existing and new service providers. TRAI had last reviewed the IUC regime in 2003 and since then most of the cost parameters of telecom services--be it fixed, mobile or long distance telephony--have changed and need to incorporate revised estimates. TRAI would also consider new telecom service like 3G, WiMAX and VoIP and their impact on the industry while reviewing the IUC regime. The regulator had held a pre-consultation meeting with the existing operators and their respective associations during the last three months, and the opinion on methodology and correct level of charges was divided. In such a scenario, TRAI has decided to carry out detailed consulatation process to arrive at new IUC regime and has asked the operators to submit information by the end of January 2009. Source: Home - Livemint.com | 31 Dec 2008 | 7:35 am POLL - Inflation seen at 6.38 pct on Dec. 20MUMBAI (Reuters) - India's annual inflation rate is seen falling to near 10-month lows in the third week of December, as lower fuel prices feed into the economy and the cost of manufactured products slides, a Reuters poll showed.Source: Reuters: Money News | 31 Dec 2008 | 7:34 am More economic pain seen in 2009, govt’s to pump up aidSingapore: Investors said good riddance on Wednesday to one of the worst years on record and prayed that massive government rescue plans will pull the global economy out of its fierce tailspin later in the new year. But more pain is expected in the near-term as bleak economic reports roll in, signalling more bankruptcies, bad debts and layoffs through at least early 2009, and more sleepless nights for everyone from central bankers to consumers struggling to pay off mortgages and credit card bills. “It has been a shocking year, hardly anything was spared in the market carnage,” said Michael Heffernan, senior client adviser and strategist at Austock Group in Australia. Australia’s key stock index has plunged more than 40% this year, roughly in line with other major markets around the world, as recession stalked the world economy. The worst financial crisis in over 80 years, sparked by the meltdown of the risky US subprime mortgage market, made this year one of the worst ever for investors, wiping some $10 trillion off major stock markets. It also radically changed the landscape of global finance, bringing down big US investment banks Bear Stearns and Lehman Brothers and crippling the credit system that keeps the world economy humming. The US S&P 500 benchmark has lost about 40% with just one trading day left in 2008. Its biggest yearly drop was in 1931 during the Great Depression, when it fell 47.1%. No sector has been spared from global banks to autos to resources, and even corner stores. Victims of the crisis are still piling up, with announcements almost daily of fresh company losses, more layoffs, and slumping prices for assets from cars to homes. More bad news Tuesday brought more dismal economic news in the United States, with single-family home prices down 18% in October from a year earlier and consumer confidence plunging to a record low due to severe job cuts. “We are not going to be seeing anything fundamentally positive from the US for the time being,” said Michael Woolfolk, senior currency strategist at Bank of New York Mellon. But with central banks cutting interest rates to spur growth, declining oil prices and governments pumping money into the system, Heffernan said there were some positive signs for 2009. “The blood has been drained and we are now getting a transfusion.” World governments have pumped more than $1 trillion into their economies to keep business afloat and save jobs, and more aid is expected in 2009 in the form of fresh bailouts, rate cuts and other measures to stave off an even deeper recession. Global credit markets are also showing some signs of improvement, but banks remain reluctant to lend to businesses and consumers, fearing a rash of bad loans as economies worsen. Government stimulus plans, corporate bailouts and rate cuts also take time to be felt, and their full benefits are still being hotly debated by analysts and economists. Global growth, if any, could be very weak in 2009 as a whole even if consumers are coaxed to start spending again. The Indonesian government may announce more fiscal plans on Wednesday to help Southeast Asia’s biggest economy withstand the global economic slump. Indonesia’s economy is still expanding, but growth may drop below the 6% pace analysts say the country needs to prevent unemployment from rising among its 226 million people. Mounting job losses are raising fears of growing social unrest in some countries, and piling pressure on governments to act quickly, even if it means huge deficits and debts that will have to be paid off in the future. Investors are now looking to January, which will bring a new US administration when Barack Obama is sworn in as president on 20 January. He is expected to unveil a new government spending programme which sources say could range from $675 billion to $775 billion over two years. The new year will also mark attempts by policymakers to overhaul outdated regulatory systems to head off future crises and give them more power to oversee increasingly complex financial products such as derivatives which have complicated efforts to fix the latest financial mess. Outgoing US Treasury Secretary Hank Paulson said the US government had to battle the financial crisis without the tools needed to do the job effectively, the Financial Times newspaper reported on Wednesday. In one of his last interviews before leaving office, Paulson said, “We’ve done all this without all of the authorities that a major nation like the US needs.” He said even after Congress in October approved the $700 billion troubled asset relief program, Washington still lacked tools such as an adequate special bankruptcy regime for non-bank financial firms. Source: Home - Livemint.com | 31 Dec 2008 | 7:05 am Satyam saga shows holes in India corporate governanceMUMBAI (Reuters) - Just three months ago, India's fourth-largest software services exporter, Satyam Computer Services received a Golden Peacock award from a group of Indian directors for excellence in corporate governance.Source: Reuters: Money News | 31 Dec 2008 | 6:33 am Former dairy boss tried over China tainted milk scandalShijiazhuang: The former boss of the dairy firm at the heart of China’s tainted milk scandal stood trial here Wednesday over a trail of death and sickness that pushed Chinese products off shelves worldwide. A small but vocal group of protesters gathered outside the court in this northern Chinese city, calling for justice after milk laced with an industrial chemical killed six babies and left 294,000 with kidney and urinary troubles. “They should execute them all,” shouted Hua Lian, a 45-year-old woman who described herself as a milk consumer, as roughly half-a-dozen relatives of sick children held up signs calling for justice. “They have to deal with these people harshly. Otherwise people will never learn.” But lawyers monitoring the case for the families said the legal process had been flawed and that there was little chance of justice for the victims. The former head of the Sanlu Group, Tian Wenhua, and three colleagues were put on trial on charges of producing and selling defective products, which lawyers said would mean a maximum punishment of life in prison. The charges were weaker than lawyers for victims’ families had initially expected, extinguishing the possibility that the four would face the death penalty. Sanlu was the first and biggest dairy producer found to have this year sold milk laced with melamine, a chemical used to make plastics which was mixed into watered-down milk to give the appearance of higher levels of protein. In all, 22 Chinese dairy firms were found to have sold tainted milk, and the government last week ordered them to pay $160 million in compensation to the families of babies that died or fell ill. However the families and their lawyers criticised the sum as woefully inadequate, with some parents set to only receive about $300. “I’m a farmer. I don’t have money to pay for the treatment. My son is still sick and he’s not been able to get treatment,” said one man who demonstrated outside the court before police pushed them away. The protesting relatives held up sheets of paper that read: “The victims have a right to participate in judicial proceedings.” This reflected an apparently widespread complaint from the victims’ relatives that they had not been allowed to tell the courts their version of events, and that authorities had rejected civil compensation lawsuits. “We asked to participate in the trial, in the prosecution. We felt that we had a right to participate as we represent the victims,” said Xu Zhiyong, a lawyer working for a group of people seeking to sue Sanlu and other milk firms. “But the court refused to allow us. They didn’t want the testimony of the people we represent. We think the court has violated legal procedures by not letting us participate.” Foreign press were not allowed inside the Shijiazhuang court, but Chinese state-run television and news services were let in to publicise the case. In China, trials are often held behind closed doors and last just one day, with verdicts announced shortly afterwards. Tian’s lawyer, Liu Xinwei, told AFP during an afternoon recess that she had not yet entered a plea. China’s efforts to carefully publicise the trials appeared to reflect the government’s intent to show both a domestic and international audience it was taking the issue seriously. The milk scandal became a global problem after it emerged some of the tainted products had been exported, leading to recalls of Chinese dairy foods around the world. It was just the latest in a spate of Chinese made products to have been recalled overseas in recent years due to safety concerns, with other problem products including toys covered with lead paint and deadly pet food. The four Sanlu executives are the highest profile figures to be hauled before the courts over the scandal, after 17 people mostly accused of being middlemen went on trial in recent days. Those verdicts have yet to be announced, but some of the defendants could face the death penalty. Source: World Business - Livemint.com | 31 Dec 2008 | 6:27 am India reaches out to moon in 2008New Delhi: India demonstrated its scientific prowess in the year gone by with the launch of its maiden moon mission and created a niche for itself by validating the indigenous design of an advanced nuclear power reactor fired by a mix of thorium and uranium. While the lunar mission Chandrayaan-I catapulted the country to a select group of six moon-faring nations, the commissioning of the critical facility of the Advanced Heavy Water Reactor (AHWR) would allow India to utilise its vast thorium resources to generate electricity. Another feather in the cap for the Indian Space Research Organisation (ISRO) was the successful launch of 10 satellites in one go -- a first for any space agency in the world. Government also made sustained efforts to make available accurate district wise weather forecasts to farmers across the country. The Agromet Division of the India Meteorological Department started issuing district-wise weather advisories which are expected to help farmers a great deal on deciding the appropriate time for various agricultural activities. As scientists reached milestones, policymakers were busy framing student-friendly approaches to ensure that enough of them opt for science and boost research and development in the country. The government unveiled scholarships of upto Rs80,000 per year for students who choose to make a career in science. The scholarships are aimed at tapping talent at school level and encouraging them to pursue science by creating assured research opportunities in basic sciences. Indian scientists also played a key role in building the world’s biggest atom smasher the Large Hadron Collider (LHC) commissioned in Geneva in September. The 88,000 tonne 27-km underground magnetic ring through which protons race at lightening speed is propped up by 7,080 jacks supplied by the Department of Atomic Energy. The magnets were designed and developed by the Raja Ramanna Centre for Advanced Technology, Indore. India has also supplied key components to the protection system of the LHC, machine control software to the accelerator, 50,000 litre liquid nitrogen tanks and facility for testing superconducting magnets at liquid helium temperature. After the successful launch of Chandrayaan-I on October 22, ISRO now aims to put a man on moon by 2021-25. For the immediate future, space scientists aim to land a robot on moon by 2012, send an Indian astronaut in space on a Russian mission in 2013 followed by an indigenous manned space mission in 2015. The space agency has also lined up deep space missions beginning with an exploration of Mars between 2013-16 followed up by a comet flypast and asteroid landing programmes. Chandrayaan-I, which will orbit the moon at an altitude of 100 km for two years, is tasked to create detailed maps of the moon identifying its resources and also look for ice in the polar regions. The AHWR critical facility, commissioned in April, is seen as a stepping stone for building a 300 MW reactor which will herald the third-stage of the country’s nuclear power programme. Government has also initiated the process to give scientists upto 30% share in Intellectual Property Rights of the research conduct using state funds. The Protection and Utilization of Public Intellectual Property Bill is aimed at promoting innovation culture in state-run universities and research institutions. After the success of scientists in Antarctica, India this year established a research station ‘Himadri´ in Norway near the North Pole. Research in the region is expected to help scientists understand better the south west monsoon. The India Meteorological Department continued fine tuning its monsoon prediction models and were able to make better forecasts than earlier. The weather office is now studying a new technique of intra-seasonal variability has been studied to understand the active and break monsoon spells during the year. The tsunami warning centre, launched last year, is now equipped to give a warning with 15 minutes of occurrence of earth quake anywhere in the Indian ocean. It monitored a major earthquake in September, which was used as test for the centre, which issued timely advisories. India acquired its seventh research vessel Sagar Nidhi equipped with facilities for carrying out studies of the sea. It will cater to shallow water surveys and act as a supply and support platform for coastal and deep ocean studies. Plans to launch a 24 hour dedicated weather channel also got underway this year. The various expertises available in the research, observations, modeling and communication would form an integral part of the endeavour. Source: Tech News - Livemint.com | 31 Dec 2008 | 5:21 am Singapore Airlines proposes unpaid leave for cargo pilotsSingapore: Singapore Airlines (SIA) is in talks with cargo pilots to take leave with no pay after the global economic slump hammered freight demand, a spokesman said on Wednesday. Stephen Forshaw said the unpaid leave periods will be for up to 30 months and are meant to deal with an expected surplus of pilots next year and beyond while the company sidelines aircraft in the face of falling demand. “The outlook for the freight industry is weak. Around the world, shipping companies are parking vessels and all-cargo airlines are being severely affected,” he said in a statement. “Going forward, SIA Cargo needs to do all it can to contain costs. In doing so, the company will work cooperatively with its staff and unions to deal with the issues that arise, with a focus on steps that can be taken to avoid retrenchments, which will only be considered as a matter of last resort.” There are no discussions for unpaid leave with passenger airline pilots, Forshaw said. SIA filled 60.3% of available cargo space in November, down from 64.5% in the same month last year, according to the latest available data. Aviation industry group International Air Transport Association (IATA) said on Tuesday that global freight fell 13.5% in November from the year before, its largest decline since 2001 in the aftermath of the September 11 terrorist attacks on the United States. Freight traffic shrank a sharper 16.9% for airlines in the Asia-Pacific, which account for almost half of all air cargo, IATA said. Source: World Business - Livemint.com | 31 Dec 2008 | 5:18 am The three who took on the bear and had a tale to tellBL Research Bureau In a year where the bellwether indices were unmercifully battered, were there any stocks at all that withstood the bear onslaught?Source: Business Line - Home Page | 31 Dec 2008 | 12:00 am ONGC Videsh close to buying out ImperialNew Delhi, Dec. 30 ONGC seems to be closing in on acquiring London Stock Exchange-listed Imperial Energy Corporation PLC for £1.4 billion. Late reports were coming in that ONGC was close to receiving acceptance from more than 90 per cent ofSource: Business Line - Home Page | 31 Dec 2008 | 12:00 am We need your support for task ahead, Satyam chief tells staffHyderabad, Dec. 30 The scrip and spirit of Satyam Computer Services management moved up today on positive news emerging from key FIIs and independent directors on theSource: Business Line - Home Page | 31 Dec 2008 | 12:00 am IT employees in the firing lineMumbai, Dec.30 The year 2008 would be remembered by employees of many IT firms as a darkSource: Business Line - Home Page | 31 Dec 2008 | 12:00 am Punjab Tractors sells entire stake in Swaraj MazdaNew Delhi, Dec. 30 Mahindra and Mahindra-owned Punjab Tractors Ltd on Tuesday announced its plans to sell its remaining stake of 14.4 per cent held in Swaraj Mazda to Sumitomo Corporation. Sumitomo already has a 39.49-per cent stake in theSource: Business Line - Home Page | 31 Dec 2008 | 12:00 am A third of equity funds below Rs 10That many stocks have plunged below their IPO prices isn’t surprising, as we take stock of markets in 2008. But did you know that mutual funds too have suffered the same fate? After the market rout, about one in three equity funds (124 outSource: Business Line - Home Page | 31 Dec 2008 | 12:00 am Global markets: No place to hideBL Research Bureau The year 2008 will go down in history as one of worst years for equities since the Great Depression. Whether you invested in developed markets, emerging markets or the hot frontier markets, stock price declines were equallySource: Business Line - Home Page | 31 Dec 2008 | 12:00 am RCom launches GSM serviceMumbai, Dec. 30 The Anil Ambani-led Reliance Communications on Tuesday announced the launch of its nationwide enhanced GSMSource: Business Line - Home Page | 31 Dec 2008 | 12:00 am Short-term consolidation in rupeeThe rupee had been steadily appreciating since 2002 and it was widely believed in the first few months of 2008 that the dollar rupee rate could even rise up to 36. But the Indian currency unit has outdone the most pessimistic forecast bySource: Business Line - Home Page | 31 Dec 2008 | 12:00 am LIC Housing Finance (Rs 227.15): BuyWe recommend a buy in LIC Housing Finance from a short-term trading perspective. It is apparent from the charts of LIC Housing Finance that after encountering significant resistance at Rs 350 in early September, it began to decline and was on anSource: Business Line - Home Page | 31 Dec 2008 | 12:00 am Cops search for Kampani. JM: he's in Dubai on workKampani is the chairman of JM Financial and was an independent director on the board of NFL till April 28, 1999.Source: Daily News & Analysis: Money News | 30 Dec 2008 | 11:14 pm Want the bears to work for you? StripThis is a bearish adaptation of the straddle strategy, developed on the concepts of at-the-money and in-the-money.Source: Daily News & Analysis: Money News | 30 Dec 2008 | 10:59 pm Fasten seat belts, these are interesting times'We live in interesting times', says an ancient Chinese adage, and that is how I would sum up aviation industry in the year that was and the one that's coming.Source: Daily News & Analysis: Money News | 30 Dec 2008 | 9:56 pm Airlines say low fare's goodStarting this week, all airlines are slashing fares. Some like state-owned Air India have announced fare cuts of as high as 82% on specific sectors.Source: Daily News & Analysis: Money News | 30 Dec 2008 | 9:55 pm Private equity firms take a liking to agri sectorIn fact, 2008 saw seven deals in the Indian agro-based companies' space, much more than in previous years.Source: Daily News & Analysis: Money News | 30 Dec 2008 | 9:12 pm Toyota may modify its just-in-time systemMay raise inventories to mitigate the effects of its US suppliers' fall.Source: Business Standard | Front Page Headlines | 30 Dec 2008 | 6:59 pm We are seeing irrational pessimism: TendulkarSuresh Tendulkar is not a pessimist when it comes to the economic situation.Source: Business Standard | Front Page Headlines | 30 Dec 2008 | 6:58 pm Rahul and Shishir Bajaj swap shares, end disputeThe Bajaj family dispute is set to end, finally. Shishir Bajaj today sold his 25 per cent holding in the primary group investment firm Bajaj Sevashram to his brother Rahul Bajaj in an off-market deal.Source: Business Standard | Front Page Headlines | 30 Dec 2008 | 6:56 pm Top 20 biz houses see 65% value erosion in 2008Realty, infrastructure groups lead race to the bottom.Source: Business Standard | Front Page Headlines | 30 Dec 2008 | 6:54 pm Troubled Raju turns to staff for supportSatyam to focus on IT, BPO, chairman tells staff; TR Prasad to stay.Source: Business Standard | Front Page Headlines | 30 Dec 2008 | 6:53 pm Amway eyes US comeback after success, scrutiny in India, ChinaAda, Michigan: Once a household name and reputedly the key to great fortune for modern salesmen hoping to live out a Horatio Alger myth, the Amway brand faded from the US market years ago, tarnished by legal and regulatory problems.  Direct approach: (L to R) Alticor president and co-CEO Doug DeVos, Amway Global managing director Steve Lieberman, and Alticor’s chief marketing officer Candace Matthews. Alticor has brought in Lieberman and Matthews to help revitalize the Amway brand in North America. Photographs By AP In 2000, after Amway become part of an umbrella company called Alticor Inc., the Amway name was dropped in the US and Canada. The hope was that the company could emerge wholly remade in the world of online sales under a new moniker: Quixtar. Now, as Amway’s 50th anniversary approaches in May, Alticor is retiring the inert Quixtar label and pouring millions of dollars into reviving the Amway brand in North America with market research, national television commercials and ads in newspapers and magazines and online. The company will use a transitional name, Amway Global, before reverting in about a year to Amway. “We thought, well, if we’re going to build a brand, build the brand that everybody knows already,” Alticor president and co-CEO Doug DeVos said in an interview. “It’s going to be much more successful and cost a lot less and happen a lot faster.” Despite predictions of continuing economic gloom, Alticor executives hope to repeat in the US the kind of growth they’ve seen abroad in the past —and to revive the mystique that helped the company spread throughout the Midwest and, by the mid-1960s, the rest of the US. Amway’s hundreds of thousands of distributors dreamed of getting rich by selling cleaning products and by recruiting their acquaintances to join the fold. Still operating on that basic model, including prices that tend to be higher than those of their competitors, Amway saw global sales revenue top $7.1 billion in fiscal 2007. The company predicts another $1 billion increase this year. And most of its recent growth, in such developing Asian markets as China, India and Russia, has been under the Amway name. “In the late 1980s, about three-quarters of our business was here in the US,” says Steve Van Andel, Alticor’s chairman and co-chief executive and— like DeVos—the son of one of Amway’s founders. “Now about 80% of it is outside the country.” The company is gambling that consumers at home, where sales have been flat for years, will remember the days when Amway was known less for scandal and more for unrelenting pitches from well-scrubbed and optimistic door-to-door salesmen. Marketing experts say that, despite the baggage attached to the brand, the company is doing the right thing by bringing Amway back to North America in a campaign that launched in March and first made a splash in October with sponsorship of a Tina Turner concert tour that concludes in April. “My sense is that many of the negative associations of Amway have now begun to fade,” says Tridib Mazumdar, a marketing professor at Syracuse University. Daniel Howard, a marketing professor at Southern Methodist University, says each term he asks his students whether they have heard of Amway, and each term “the vast majority” respond affirmatively. “Branding is what marketing is all about, and the decision to do away with Quixtar was an excellent decision,” he says. “The Amway name is already fairly well established in the minds of the American consumer.” The Quixtar name simply never caught on, company executives say. “The research said Quixtar had a recognition (rate) of 3%; Amway had a recognition of 76%, as I remember,” says DeVos, referring to a study Alticor that commissioned in 2006. Van Andel’s and DeVos’ fathers, Jay Van Andel and Rich DeVos, founded Amway—an abbreviation of American Way—in 1959, offering the promise that anyone who worked hard could operate their own successful business. Amway focused at first on household cleaners, then expanded its product line in the 1970s to include more nutritional products and, a decade later, more cosmetics. The company manufactures all its own products. The Federal Trade Commission examined Amway’s business model during the 1970s, concluding in 1979 that it was not an illegal pyramid scheme because compensation is based on retail sales to consumers and because sales people are not paid for recruiting new colleagues. Still, it continues to draw critics and government scrutiny, including recent investigations in England, India and China. Van Andel and DeVos have brought in two key marketing executives to help revitalize the Amway brand in North America. One is Steve Lieberman, managing director of Amway Global, who spent much of his career at S.C. Johnson and Son Inc., which makes household products such as Windex window cleaner and Ziploc plastic storage bags. The other is Alticor chief marketing officer Candace Matthews, who has worked at The Coca-Cola Co., Procter and Gamble Co. and L’Oreal SA. Matthews says her job is to “bring the discipline of marketing to an organization that’s been really sales-driven”. Lieberman came aboard after hearing from a recruiter about an opening at Quixtar. “I said, ‘Quixtar? I’ve never heard of Quixtar.’ So I went on the Internet and went, ‘Oh, it’s the old Amway company.’ I didn’t know they still existed,” he says. His two-pronged attack consists of rebuilding the Amway brand and educating distributors and customers. The new ads phase out the Quixtar brand by showing it gradually decreasing in prominence over the course of the ad campaign. The Amway Global logo modifies the Amway logo that has been used throughout the rest of the world since 2000. Directly below the blue Amway name on a white background now lies the word “Global” in smaller letters, with a thin, red swoosh separating the words. Officials declined to say how much Alticor is spending on marketing, but Lieberman said it’s spending about as much as other large direct-sales companies, such as Mary Kay Inc., Herbalife International Inc. and the industry’s top-seller, Avon Products Inc. “Before, our spending was relatively nonexistent,” he says. The privately owned firm, based in Ada, about 10 miles (16km) east of Grand Rapids, still makes and sells the L.O.C. household cleaners that made Amway famous, as well as food, apparel, baby-care items and jewellery. But the new push focuses on Nutrilite vitamin supplements and Artistry skin care products. Amway does business in most of the world, except northern Africa and West Asia because expanding there would be “too complicated”, Van Andel says. The most logical move was to reinvent Amway in the US. “We’ve got to take a look at the markets that we’ve been in a while, like the US, that are mature, that have been kind of just kind of stable and going along but haven’t had any huge growth spurts,” Van Andel says. “We’ve got to take a look at what we can do now to get those markets up and moving again.” Source: World Business - Livemint.com | 30 Dec 2008 | 5:35 pm Steria hopes French, German are languages of success in EuropeNew Delhi: Outsourcing services provider Groupe Steria SCA is betting large on being able to expand its European business from India after the Paris-based information technology services company acquired a 5,000-strong workforce here after buying British offshorer Xansa Plc. last year.  Language lessons: Mukesh Aghi, India chief executive of Steria. Abhijit Bhatlekar / Mint Companies in Europe, excluding the UK, are set to spend around €49 billion on IT outsourcing in 2009, according to Ovum, a tech services research and consulting firm. Indian IT services companies such as Tata Consultancy Services Ltd and Wipro Technologies Ltd get around 10% of their revenues through clients based in Europe. Many Indian technology and back office service providers have built up their European business as a way to decrease reliance on contracts with US companies, but Indian providers have generally handled that work through centres in eastern Europe or north Africa, in part to account for language limitations including the challenges of finding sufficient French and German speakers in India. Steria is trying to work around that, by training 1,000 of its employees to speak European languages. Plus, “only India has the...capability to get 50 testers overnight,” says Steria’s marketing manager, Sachdev Ramakrishna, referring to ready availability of employees who run tests on new software. Steria is hoping that offering multiple languages in its staff will give it a competitive environment. “Language is a key issue that Indian companies face when going to Europe, so this is an advantage,” insists Steria’s chief executive in India, Mukesh Aghi. He describes a conversation he had with a European customer who runs a BPO in Warsaw and has an employee attrition rate of 70%. The firm has designated its Chennai office as the French centre; its Pune operations will focus on German Chiraj Jain, for example, has been with Steria in India for four years, and took German classes when the company offered them. “We may not be that fluent when it comes to talking, but we have working knowledge,” Jain says, describing an instance where he was able to translate an email that came from a German client, asking about certain technical capabilities. Anil Dhar, another Steria employee who works on a call centre process, says he was able to get by on his French even when he went to Paris for one week on a client visit. Steria’s 1,500-employee office in Chennai is designated as the French centre, while a 1,000-employee operation in Pune will focus on German. The UK-based Xansa worked primarily for British clients, including public sector firms such as the Royal Mail Group Ltd, Britain’s chain of post offices. Steria says UK alone accounts for about 85% of work offshored to India from Europe. After the acquisition, Steria started offering 20-hour French courses to anyone interested in taking them, and around 60-80 employees cycled through each month. Steria then started conducting intermediate classes in conjunction with the Alliance Francaise, with 100 certified French speakers, and around 50 certified in German. The company also supplemented its existing cultural training for Indian employees going to the UK with material on French cuisine and French wine. Steria’s goal is to have 10% of the company’s India workforce speak French or German. “We’re hoping that at some point European governments and enterprises will be forced to look at India much more freely,” says Steria’s human resources director Shantanu Banerjee. Source: World Business - Livemint.com | 30 Dec 2008 | 5:34 pm Indo-US team discovers therapy for pancreatic cancerWashington: A joint Indo-US team of scientists have discovered a new way of treating pancreatic cancer by identifying a receptor whose activation may be responsible for some types of the disease. The team of scientists from Johns Hopkins Kimmel Cancer Center in Baltimore, Maryland, and Institute of Bioinformatics in Bangalore identified a receptor called phosphorylated epidermal growth factor receptor (pEGFR), whose activation may be responsible for some pancreatic cancers. The new personalised therapy involves targeting the receptor, which is the activated form of a protein that binds to Epidermal Growth Factor (EGF), which promotes cell growth and differentiation. When EGF attaches to EGFR, it activates it as a tyrosine kinase enzyme, triggering reactions that cause cells to grow and multiply, a press release by the Johns Hopkins Kimmel Cancer Center stated. EGFR is found at abnormally high levels on the surface of many types of cancer cells, which may divide excessively in the presence of EGF, it said. In a new study, published online in the Journal of Proteome Research, the researchers suggest that physicians potentially could test patients for signs of pEGFR, then direct therapies such as EGFR inhibitors directly at the signal pathway its part of to shrink or prevent pancreatic tumors. Source: Tech News - Livemint.com | 30 Dec 2008 | 1:15 pm
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