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Seeing demand for residential properties at present: HDILSarang Wadhawan, MD, HDIL, said buyers are willing to invest and are picking up houses at particular price points. What we have seen over the last one week is that there is demand at a lower level but as you increase prices, buyers still do exist and there is good demand. Source: Moneycontrol Top Headlines | 13 Mar 2009 | 3:46 pm Dont see RBI reverse repo cap to support bonds: HSBC IndiaVineet Malik, Director and Head Interest Rates, HSBC India, said he does not see the Reserve Bank of India putting a cap on reverse repo as it wouldnt solve the problem of bond prices crashing.Source: Moneycontrol Top Headlines | 13 Mar 2009 | 3:13 pm Satyam race: Issues that bidders faceThe Satyam race picture got clearer Thursday evening when it emerged that Tech Mahindra, Larsen Toubro, Spice Corp, and later iGATE, had thrown in their hats to bid for a controlling stake in the beleaguered tech giant. Here are issues that bidders face.Source: Moneycontrol Top Headlines | 13 Mar 2009 | 1:34 pm Grew at 11% between Apr \'08 and Feb \'09: Hero HondaPawan Munjal, MD, Hero Honda sees strong March sales. He said the company saw a growth of 11% in AprilFebruary period while the industry grew 2%.Source: Moneycontrol Top Headlines | 13 Mar 2009 | 12:57 pm Tech Mah gets MM, BT\'s nod to participate in Satyam bidFive pm on Thursday marked the deadline for filing Expression of Interest (EoI) in Satyam. The Satyam board is meeting today and, probably, will take a decision on whether or not to make the names of the registered parties public.Source: Moneycontrol Top Headlines | 13 Mar 2009 | 12:30 pm Satyam\'s lawsuit liability could be $500m:Vianale VianaleA USbased research firm has pegged Satyam\'s class action lawsuit liabilities at under USD 100 million. Commenting on this, Ken Vianale of Vianale Vianale said Satyams class action suit liability could be close to USD 500 million. The estimates of USD 100 million is on the low side, he added.Source: Moneycontrol Top Headlines | 13 Mar 2009 | 12:28 pm Won\'t be surprised if HP, CSC bid for Satyam: Moshe KatriMoshe Katri, Managing Director, Cowen Co said Accenture and IBM are unlikely to bid for Satyam. He wouldn\'t be surprised if HP CSC put a bid for Satyam.Source: Moneycontrol Top Headlines | 13 Mar 2009 | 11:47 am West Bengal government gears up for auto components parkAfter the Singur jolt, the West Bengal government is slowly making arrangements to house the state's first auto components park in Guptamoni in West Midnapore district.Source: IndiaeNews.com: Business News | 13 Mar 2009 | 11:33 am Mott MacDonald opens new design centre in KochiLondon-based engineering and consultancy major Mott MacDonald Friday opened its new design centre in Kochi, Kerala.Source: IndiaeNews.com: Business News | 13 Mar 2009 | 11:31 am Ads influencing children to consume junk food: studyJaipur: Even as majority of children get influenced by advertisements and consume junk food, parents, who succumb to their demands, are also responsible for inculcating unhealthy food habits, according to a recent study. The study ‘Junk Food Trap´, which was carried out by the Centre for Consumer Action Research & Training (CUTSCART), a Jaipur based consumer advocacy group, found that 85% children are influenced by advertisements. While around 35% parents blame it on advertisements for the increasing demand of junk food among children, the study said both school administration and parents are equally responsible for the trend. “Around 63% of the schools have canteens, which sell junk food without any restriction and 86% parents prefer packed food items as gift on festivals and other occasions,” it said. The survey, conducted in 30 government and private schools across the city, is part of a global strategy by CUTSCART to advocate against the marketing of unhealthy foods on the eve of the World Consumer Rights Day (WCRD) on 15 March. Source: LatestNews-Home - Livemint.com | 13 Mar 2009 | 11:31 am Bulls rule the roost, Sensex up 5 percentBulls had a free run at Indian equities markets Friday as investors took heart from the strong gains posted by world markets. A key index shut shop almost 5 percent higher than its previous close.Source: IndiaeNews.com: Business News | 13 Mar 2009 | 11:30 am China ready for dialogue over Tibet, says Wen - Hindu
Source: Google News India - Business | 13 Mar 2009 | 11:29 am Honda Accord V6 launched by Honda Siel - Autorama.in
Source: Google News India - Business | 13 Mar 2009 | 11:21 am Hearing on merger petition posted for 27 Mar: SubhikshaNew Delhi: Cash strapped retail chain Subhiksha on Friday said hearing on the petition for merger of the company with Chennai-based Blue Green Constructions at the Madras High Court has been deferred till 27 March due to the ongoing stir of the lawyers. The Madras High Court was to hear the petition on Friday, but it had to be deferred due to the ongoing boycott of courts by lawyers, Subhiksha Trading Services Ltd said in a statement. “A hearing was scheduled for today in respect of the merger petition of our company with Blue Green Construction at the Madras High Court. The matter has now been posted for 27 March 2009,” it added. “No arguments were made as there is an ongoing boycott of the Madras High Court by the lawyers for the last few weeks and the boycott is still continuing,” the company said. The merger petition pertains to the purchase of 40% stake in Blue Green Constructions for Rs2 crore by Subhiksha in 2008, followed by the retail chain’s decision to merge the two entities. The issue has come to the forefront in the past couple of months after private equity player ICICI Ventures, which holds 23% stake in Subhiksha, moved the Madras High Court opposing the merger plan. Subhiksha is currently undergoing a corporate debt restructuring (CDR) process to make it eligible for liquidity injection of up to Rs300 crore. Operations in its 1,600-odd stores are at a standstill presently due to cash crunch. Source: LatestNews-Home - Livemint.com | 13 Mar 2009 | 11:18 am BSE Sensex posts biggest rise in 3 mths; banks upMUMBAI (Reuters) – The BSE Sensex rallied nearly 5 percent on Friday to post its biggest rise in three months, as hopes for a recovery in the battered U.S. banking system boosted investor confidence across the world.Source: Reuters: Money News | 13 Mar 2009 | 11:17 am Madoff fraud investigation widens - BBC News
Source: Google News India - Business | 13 Mar 2009 | 11:17 am Close: Sensex highest in 7 weeks at 5% led by RealtyNew Delhi: Markets gained further grounds to close at its highest in seven weeks at 4.9% on Friday. Buoying on global rally buying sentiment was accelerated after European markets also opened positive. Investor confidence picked cues from strong Asia that followed Wall Street rally on profitable business by US’s largest bank, Bank of America and corporate relief swept in after General Electric escaped severe credit rating by S&P. The Bombay Stock Exchange benchmark Sensex continued its surge for a second consecutive day today, keeping up Thursday’s positive close of 2.25% nudged by lowest inflation figure since June 2002 for February. Bullish sentiment lingered among traders after Thursday’s announcement of record low inflation at 2.3%. Industrial production though still negative, it is only a marginal contraction of 0.5% from the month of January. The 30-share BSE index surged above the 8,700 mark to end at 8,756.61 or 412.86 points up and the 50-share NSE Nifty traded above the 2,700 mark to close 101.80 points up at 2.719.25. Strong buying was witnessed across the board with realty topping by gaining 7.5%. DLF stocks led the rally on BSE surging by 11.47% to Rs152.55. Banking, metal IT and oil and gas stocks were also on the buyer’s ride today. Other top gainers were Tata Motors by 10.72% to Rs161.60, Tata Power by 9.18% to Rs662.85, ICICI Bank Ltd by 8.60% to Rs308.70, Hindalco by 7.99% to Rs42.55 and Sterlite Industries by 7.93% to Rs283.00. In the global market Japan’s Nikkei jumped by 5%, its biggest one-day gain in three months after data showed stable US retail sales. Homg Kong shares also rose by 4.4%, also one of its best weekly rise in a month. Source: Home - Livemint.com | 13 Mar 2009 | 11:12 am India cbank meets bankers on bond yields-sources - Reuters India
Source: Google News India - Business | 13 Mar 2009 | 11:08 am Banks help European stocks rallyLondon: European stocks rose in early trade on Friday, gaining ground for a fourth day in a row, on easing fears over banks and after signs of stabilisation in US consumer spending that fuelled a sharp rise on Wall Street. Banking and insurance stocks led the rally, after US lender Citigroup said the bank does not need any more emergency cash from the government and expects to stay private, while rival Bank of America said it was profitable in January and February, calming worries over the faith of the two stricken banks and the financial system in general. FTEU3 index of top European shares was up 1.8% at 709.34 points. The index has gained 10% since hitting an all-time low on 9 March, but is still down 14.7% this year, hit by the rapidly escalating global economic downturn. “The technical rebound we have seen over the past few days could soon be over as people will be keen to book profits,” said Alexandre Le Drogoff, technical analyst at Aurel BGC. Banks and insurers, which had been the most hammered stocks so far this year, led the rally on Friday, with Societe Generale up 6.3%, Credit Suisse up 8.2%, Barclays up 7.9% and AXA up 2%. Despite the recent rebound, the DJ Stoxx bank and insurance indexes are still down 26% and 34% respectively in 2009. Mining shares, which have shown resilience so far this year, were also surging on Friday, gaining ground along with metal prices on hopes over the outlook for the Chinese economy, fuelled by comments from Chinese Premier Wen Jiabao. Wen held out the prospect of extra stimulus spending if needed to hit China’s 8% growth goal this year. Around Europe, UK’s FTSE 100 index .FTSE was up 1.7%, Germany’s DAX index up 1.4%, and France’s FCHI up 1.9%. French telecoms equipment maker Alcatel-Lucent rose 12% after its financial head told French daily Les Echos the firm is aiming to achieve a net profit most likely in the second half of 2010. US stocks sharply rose on Thursday, after helped by data showing sales at US retailers fell by a smaller-than-expected margin in February after a surprise gain the prior month. But despite the market’s recent rally and better-than-feared data, analysts remain worried about the prospect for economic growth and corporate profits in the years to come. Investors will keep an eye on the G-20 meeting over the weekend, hoping for more coordinated action to tackle the global economic slowdown. Washington is urging the biggest industrialised countries to spend 2% of their gross domestic product to boost demand and pull the global economy out of its tailspin, but France and Germany have rejected US and British calls for fresh spending. Source: Home - Livemint.com | 13 Mar 2009 | 11:06 am G20 split on crisis response as talks loomHORSHAM, England (Reuters) - Japan and China on Friday backed government spending as the top priority in attempts to counter the global economic crisis, ahead of a G20 meeting where the United States and Europe are split over the need for more aggressive stimulus.Source: Reuters: Money News | 13 Mar 2009 | 10:57 am Satyam board to tilt on IT co as suitor: Prabhudas Liladher - Moneycontrol.com
Source: Google News India - Business | 13 Mar 2009 | 10:57 am World mints report soaring demand for gold coinsLONDON (Reuters) - Mints around the world say demand for gold coins has risen sharply as interest in the precious metal soars on the back of financial instability and concerns over the inflation outlook.Source: Reuters: Money News | 13 Mar 2009 | 10:52 am Rights offered to correct debtequity position: Alok IndDilip Jiwrajka, MD, Alok Industries, said the company has announced rights issue to correct debtequity position. Jiwrajka said the rights issue is fully underwritten, adding that the company cannot put up plants without both debt and equity. Of total Rs 6000 crore, Rs 4000 crore is term debt and Rs 2000 crore working capital needs.Source: Moneycontrol Top Headlines | 13 Mar 2009 | 10:49 am Dropped expansion plans for next two qtrs: Vishal RetailAmbeek Khemka of Vishal Retail said the retail company had not yet shut down stores but was relocating lossmaking stores. We have dropped all expansion plans for next two quarters for want of capital, Khemka said. The conversion rate, Khemka said, stood at 60% despite low footfalls.Source: Moneycontrol Top Headlines | 13 Mar 2009 | 10:47 am Infosys to hire all to whom call letters have been sentNew Delhi: Software maker Infosys Technologies on Friday said it would employ all those candidates to whom call letters have already been sent, although the company is going slow on hiring due to slowing business. “All the call letters that have been sent out will be honoured... we are sticking to our numbers... we will honour the commitments we have made,” Infosys co-chairman Nandan Nilekani told reporters on the sidelines of a CII event. Infosys, one of the biggest employers in the country, has said that all general hiring in the company has come to a standstill as business has slowed down considerably. Though Nilekani did not give out any numbers, it is understood that the Nasdaq-listed company is resorting to need-based recruitment, had made offers to 18,000 students of the 2009-10 batch from different campuses. “They will be joining us in July this year,” Infosys chief executive officer S. Gopalakrishnan had said recently. For the current fiscal, Infosys has been maintaining that it would hire 27,000 people. Asked about the US government’s decision to put curbs on H1-B visas, Nilekani did not offer any direct response but said protectionist measures won’t help anybody. “Certainly we are all for free trade, its good for the world, its a way of spurring growth. While there is this murmur (H1-B visa issue), fundamentally I am hopeful that people realise that we need free trade,” he said. The US Government’s move to eliminate tax benefits to firms shipping jobs outside is stirring reactions from the Indian IT and BPO industry, seeing it as a protectionist step. The Indian IT and BPO sector employs two million IT professionals. Source: LatestNews-Home - Livemint.com | 13 Mar 2009 | 10:43 am Nifty closes above 2700; DLF, Tata Motors surge - Economic Times
Source: Google News India - Business | 13 Mar 2009 | 10:34 am Buy crude around Rs 2280-2300/bbl: Angel Commodities - Moneycontrol.com
Source: Google News India - Business | 13 Mar 2009 | 10:34 am Kingfisher Airlines leads in February market shareKingfisher Airlines has emerged as the dominant player for the second consecutive month in February flying 904,000 passengers, official data released here Friday showed.Source: IndiaeNews.com: Business News | 13 Mar 2009 | 10:31 am Markets post handsome gains, Sensex up 5 percentIndian equities posted handsome gains Friday, with a key index ending trade almost 5 percent higher than its previous close.Source: IndiaeNews.com: Business News | 13 Mar 2009 | 10:30 am Did organisational rejig for mkt dynamics: Bharti CEOBharti Airtel named Sanjay Kapoor as Deputy CEO, who will be reporting to the company\'s CEO Manoj Kohli. Commenting on the apex level organisation changes, Kohli said management changes that were announced on Thursday were thought of in last six months. These apex changes have been taken proactively for market dynamics.Source: Moneycontrol Top Headlines | 13 Mar 2009 | 10:28 am Satyam’s bidders face task of pricing the unknownBangalore: Satyam Computer Services looks an attractive takeover target given the massive plunge in its share price and a long list of marquee clients, but bidders face a tough job to put a price tag on the fraud-hit Indian company. Uncertainty about Satyam’s financial accounts and its liabilities, including lawsuits, makes a deal difficult to complete and even harder to sell to shareholders. Two investment banking sources, who declined to be identified, said up to eight registrations had been made by Thursday when the deadline for registering bid interest ended. Reuters could not independently verify the number. The sources did not want to be identified because they were not authorised to speak to the media. Satyam declined comment. The Satyam Fiasco (Full Coverage) New York-listed Satyam has been struggling since founder and chairman Ramalinga Raju shocked investors in January, saying profits had been overstated for years and assets falsified in what has become India’s biggest corporate scandal. “The Satyam buyer is going to put a good amount of money in these hard times. Obviously nobody would like to take undue risk by buying Satyam without knowing its finances and liabilities,” said Tejas Doshi, head of research at Sushil Finance in Mumbai. Engineering and construction firm Larsen & Toubro, IT services company Tech Mahindra, diversified Spice Group and iGate Corp all said they had registered their interest for a 51% stake the company that once ranked as India’s fourth-largest IT services company. Larsen, which has built up a stake of about 12% in Satyam, is seen by many as a front-runner. Buying Satyam will help Larsen boost its smaller IT unit. Satyam’s government-appointed board is keen to bring in an investor to restore confidence among its roughly 50,000-strong staff and more than 600 customers, which include General Electric and Qantas Airways. At Thursday’s closing price of Rs47.20, Satyam was valued in the market at about $625 million, a fraction of $7 billion in May 2008. Pricing Satyam Investment banking sources said most bids were likely to be between Rs40 and Rs50, but that could change depending upon disclosures about its legal liabilities, receivables, cash balance and client numbers. Satyam shares closed at Rs47.2 on Thursday, and were weaker on Friday. “It is too fluid as we are not sure how much information will be made available to the potential bidders,” said an investment banking source, who declined to be named as he was not authorised to speak to the media. “With whatever I know, I will give Rs40 a share.” Satyam’s bidders have until 20 March to submit a detailed expression of interest and show they have at least Rs1,5oo crore ($290 million) available. Shortlisted bidders will get access to certain business, financial and legal information, but restated financial accounts won’t be available during the bidding process. “It is a risky buy and we have to see to what extent the buyer is able to factor in the risks into the final price,” said Harit Shah, a sector analyst with Angel Broking. “The company has a good business model, but I think the pricing will be conservative after adjusting the liabilities.” Late last year, HCL Technologies bought British consultancy Axon for $616 million, valuing it at 16-18 times 2008 earnings, analysts said. But with Satyam’s earnings still to be restated, such a value is hard to estimate. The growth rate of India’s IT services sector has also taken a beating as a global economic crisis crimps orders. Goldman Sachs and India’s Avendus are advising Satyam’s board on bringing in a strategic investor. Satyam faces class-action lawsuits from US shareholders, and the Times of India newspaper had reported this could cause a liability of between $440 million and $840 million, quoting the chairman of Spice Group.. Investment banking sources said Tech Mahindra could tie up with private equity firms for its bid, which if successful would lift it into the top tier of Indian outsourcing firms. Global IT firm Capgemini has said it had no interest to buy a stake in Satyam. Earlier, sources told Reuters IBM was unlikely to be interested in bidding. “I admit it’s risky but I would argue that there is an appropriate price for everything,” said Karl Keirstead, a technology analyst with Kaufman Bros in New York. “Given the obvious risk profile around the lack of financial statement clarity, the fact that clients are beginning to depart, the fact that IT spending is declining, clearly the bids would come in low, but there is a fair price for Satyam and that’s well above zero.” Source: Home - Livemint.com | 13 Mar 2009 | 10:23 am Gold recovers by Rs95 at Rs15,320 on firm global cuesNew Delhi: Snapping a three-day losing streak, gold prices on Friday recovered by Rs95 to Rs15,320 per 10 gram in the bullion market on emergence of buying by stockists influenced by firming global trend. Buying activity in gold picked up following reports that the metal surged nearly $21 to $931 an ounce in New York last night, marketmen said. The precious metal, which normally moves in tandem with the international trend, was in demand among stockists despite an off marriage and festival season, they said. Standard gold and ornaments recovered by Rs95 each to Rs15,320 and Rs15,170 per 10 gram respectively and sovereign gained Rs50 to Rs12,400 per piece of eight gram. A similar firm trend was noticed in white metal as silver ready recorded a gain of Rs100 to Rs21,800 per kg and weekly-based delivery moved up by Rs80 to Rs22,150 per kg. However, silver coins held steady at Rs28,300 for buying and Rs28,400 for selling of 100 pieces. Source: LatestNews-Home - Livemint.com | 13 Mar 2009 | 10:20 am Suzlon Energy appoints new CFOMUMBAI (Reuters) - Wind turbine maker Suzlon Energy Ltd said on Friday it has appointed Robin Banerjee as its new CFO, effective immediately, replacing interim CFO Kirti Vagadia.Source: Reuters: Money News | 13 Mar 2009 | 10:09 am Satyam's bidders face task of pricing the unknownBANGALORE (Reuters) - Satyam Computer Services looks an attractive takeover target given the massive plunge in its share price and a long list of marquee clients, but bidders face a tough job to put a price tag on the fraud-hit Indian company.Source: Reuters: Money News | 13 Mar 2009 | 10:06 am NHPC to commission two power projects by Dec 09 - Business Standard
Source: Google News India - Business | 13 Mar 2009 | 9:57 am Don’t see RBI reverse repo cap to support bonds: HSBC India - Moneycontrol.com
Source: Google News India - Business | 13 Mar 2009 | 9:51 am Tata Motors ties up with State Bank of Travancore - Hindu Business Line
Source: Google News India - Business | 13 Mar 2009 | 9:51 am Reliance Comm adds 3.3 mln customers in FebNEW DELHI (Reuters) - Reliance Communications, India's second-largest mobile operator, has added 3.3 million wireless customers in February, the compnay said on Friday.Source: Reuters: Money News | 13 Mar 2009 | 9:46 am RIL may start gas production from KG basin by March endMumbai: Reliance Industries is likely to begin gas production from its Krishna Godavari basin gas field around 31 March. Initial output is likely to be between 5 and 15 million standard cubic meters per day (mmscmd) and will rise at the rate of 10 mmscmd per month to reach the critical 40 mmscmd in July. Initially, Reliance will have eight producing wells and slowly the number will rise to 18. Most of the 1395-km pipeline from Kakinada, the landfall point of the KG-D6 gas, to Baruch in Gujarat is ready to flow the gas. The line is already connected to the pipeline network of monopoly gas transporter GAIL India in Andhra Pradesh while in Gujarat it is connected to GSPL network. A company spokesperson could not be immediately contacted for comments. The source said gas sales was likely to begin from mid-April, with the first gas going to fertiliser companies. Ratnagiri Gas and Power Pvt Ltd, the new owner of beleaguered Dabhol power plant in Maharashtra, will get at par with fertiliser companies. Power plants which have been placed at priority after fertiliser and RGPPL would start getting gas from July. Reliance had last week recommenced crude oil production from the MA field in the KG-D6 block. The company has so far made 18 oil and gas discoveries in block KG-DWN-98/3, popularly known as KG-D6. Of these, Dhirubhai-1 and Dhirubhai-3 discoveries are being brought to production at a cost of $5.2 billion. MA discovery has been brought to production at an additional cost of $2.1 billion. Source: Home - Livemint.com | 13 Mar 2009 | 9:43 am Reliance Cap unit to buy 51% in UK firmMumbai: Reliance Capital is acquiring 51% in UK-based exchange and money transfer firm No 1 Currency, a spokeswoman for the Indian unit said on Friday. She was confirming a report in the Economic Times, which said the deal would give Reliance Money Express access to money transfers by large expatriate Indians overseas. The newspaper cited a person with direct knowledge of the transaction as saying the deal was struck for Rs1 billion ($19.3 million). The spokeswoman declined to comment on the deal value. Reliance Capital, part of Anil Dhirubhai Ambani Group (ADAG), runs India’s largest mutual fund with almost $16 billion of assets under management. “The existing management of No 1 Currency would continue to lead the firm. Reliance ADAG will get 2-3 board seats once we complete the transaction,” the paper quoted Sudip Bandyopadhyay, CEO of Reliance Money as saying. Source: LatestNews-Home - Livemint.com | 13 Mar 2009 | 9:42 am Tax department to be consulted before changing insurance Form IIndia's insurance regulator will seek the opinion of the Central Board of Direct Taxes (CBDT) before changing the format of the valuation balance sheet, or Form I, as demanded by private insurers, a top official said.Source: IndiaeNews.com: Business News | 13 Mar 2009 | 9:31 am Varanasi all set to rock in its first discothequeThis ancient holy city whose lanes and riverbank resound with the chanting of prayers by priests and hundreds of Hindu devotees will now have a discotheque where people can dance to the latest Bollywood and international tunes.Source: IndiaeNews.com: Business News | 13 Mar 2009 | 9:31 am Gems and jewellery exports fall 4.6% in April 08-Feb 09Mumbai: India’s gems and jewellery exports fell 4.6% during April 2008 to February 2009, provisional data from the Gem & Jewellery Export Promotion Council (GJEPC) showed. Overall gems and jewellery exports in dollar terms fell to $17.79 billion versus $18.65 billion in the same period last year, GJEPC said in a statement on Friday. In rupee terms, exports rose 5.65% to Rs794 billion in April-Feb as the rupee depreciated 21.5% against the dollar in the same period. Source: LatestNews-Home - Livemint.com | 13 Mar 2009 | 9:28 am Govt removes mandatory quality control on 3 steel itemsNew Delhi: The government has exempted three crucial steel items used in construction and packaging sectors from the list of mandatory quality control order, a move that could increase the supply of low quality metal. Among the items exempted from compulsory certification by the Bureau of Indian Standards (BIS) are TMT bars, structural steel and tin plates, a government official said. These steel products are used not only for construction purposes but also by food companies for ready-to-eat products, canned juices and soft drinks. Besides exempting three steel items from quality control order, the government has deferred the certification on eight others till February 12, 2010. Had the mandatory certification on 11 steel items come into effect from last month, the producers and importers would have required to seek BIS certification for their products, which as of now is optional. “This would have not only ensured safety of housing and infrastructure, but also health of human beings,” an industry expert said. Steel Secretary P K Rastogi admitted such certifications are desirable in the long run, but said the practical aspects of implementing the same also needs to be looked after. “Of the total long steel production, over 50 per cent is by secondary producers, who are not well-equipped to go for the mandatory norms now,” Rastogi said. Source: LatestNews-Home - Livemint.com | 13 Mar 2009 | 9:24 am Jiabao warns China’s growth target will be toughBeijing: China’s Premier Wen Jiabao reassured the world on Friday that China would deliver on its promise of 8% growth in 2009 despite a slate of challenges, and could roll out extra stimulus spending if needed to meet the goal. Wen also said he was closely monitoring the US economy and was concerned about the safety of Chinese assets there, which he called on Washington to protect. But Beijing does not think depreciation of its yuan currency would be appropriate currently, even though its export sector is under huge pressure as markets in industrialised nations crumble. The government wants to see a stable currency, he added. In an annual news conference on the sidelines of the National People’s Congress, China’s largely ceremonial parliament, Wen said that stopping growth slipping below 8% would be a struggle, but the financial system was basically healthy. “I believe that there is indeed some difficulty in reaching this goal. But with effort it is possible,” Wen told journalists. “After a decade of reform, China’s finance (system) is basically healthy and stable,” he added, reflecting the mix of caution and optimism which has characterised Beijing’s approach to the threat of the global financial crisis. Beijing has also kept some of its powder dry in case the crisis worsens, even after rolling out a 4 trillion yuan ($585 billion) plan to expand and speed up government spending. China’s ruling Communist Party has staked its claim to legitimacy on providing years of continuous economic expansion, so keeping growth at a minimum eight percent now tops its agenda. Eight percent expansion is widely thought to be the minimum needed to hold down the jobless rate at manageable levels -- although the country is already struggling to find jobs for at least 20 million unemployed migrant workers. Officials fear social unrest could flare if they remain out of work for long, or many more men and women join their ranks. Forex safe Wen said China had worked to diversify its foreign exchange reserves, the world’s largest at nearly $2 trillion, and that they were “safe overall”. But he also sent a stark message to the United States, with most of Chinese FX reserves held in dollar-denominated assets and China the biggest holder of US government debt. “Of course we are concerned about the security of our assets and, to speak truthfully, I do have some worries,” Wen said. A collapse in exports and a slump in factory output growth in February surprised investors who had taken recent manufacturing surveys and electricity output data as signs that China’s economy, the world’s third largest, had already bottomed out. But a sustained surge in bank lending since late last year has fuelled hope that ample financing is in place for the government’s stimulus package to gain traction. With 10 months to go in 2009, China is already more than half way towards reaching its goal of at least 5 trillion yuan in new bank lending. Retail sales also slowed in the first two months, though only slightly, suggesting that Chinese consumers, like the broader economy itself, remain in better shape than their counterparts in the rest of the world. Source: LatestNews-Home - Livemint.com | 13 Mar 2009 | 9:20 am Satyam sees interest from about 8 suitors - sourcesMUMBAI (Reuters) - About eight potential bidders have registered with Satyam Computer Services to buy a 51 percent stake in the fraud-hit Indian outsourcer, two investment banking sources said on Friday.Source: Reuters: Money News | 13 Mar 2009 | 9:18 am Satyam sees interest from about 8 suitors: sourcesMumbai: About eight potential bidders have registered with Satyam Computer Services to buy a 51% stake in the fraud-hit Indian outsourcer, two investment banking sources said on Friday. “There has been at least 5-8 bids. We expect a much smaller number to proceed to the next stage of putting in a financial bid,” one banker with knowledge of the deal said. He declined to be named as he is not authorised to speak to the media. Satyam was plunged into a crisis in January after its founder quit as chairman revealing profits were falsified for years. The company is now overseen by a government appointed board, which has begun the process of inducting a strategic investor. Also Read | The Satyam Fiasco (Full Coverage) The last day for registering expression of interest was Thursday, and the bidders will need to show the ability to invest Rs1,500 crore ($290 million) by 20 March. Engineering and construction firm Larsen & Toubro, which owns a 12% stake in Satyam, diversified Spice Group, IT services firm Tech Mahindra and Nasdaq-listed iGate have all expressed interest. The bankers declined to reveal the names of the other bidders. Final bids are expected to come in at between Rs40-50 a share but the price could change depending on the disclosures, they said. By 0850 GMT, shares in Satyam were down 4% at Rs45.30 valuing the firm at about $600 million. Source: LatestNews-Home - Livemint.com | 13 Mar 2009 | 9:13 am Goa casino operator moves court after relocation threatThe Panaji bench of the Bombay High Court has directed the Goa government to freeze its directive to offshore casino operators to move outside the city limits and drop anchor in a nearby bay.Source: IndiaeNews.com: Business News | 13 Mar 2009 | 9:00 am TUF scheme for Indian paper industry on the anvilCoimbatore: The Centre has in principle agreed to come out with a Technology Upgradation Fund Scheme (TUFS) for the benefit of the paper industry, an official of Indian Agro and Recycled Paper Mills Association (IARPMA) said today. The industry already informed the concerned ministry on the need to have a scheme for this, on the lines of textile industry and modalities are being worked out, S R Rabinder, Vice President of the associaton said here. Inaugurating a two-day workshop on ‘Automation in paper and paper board manufacturing,´ he said the government, against the demand for Rs 1,000 crore, agreed to give Rs 600 crore towards interest subsidy as initial fund for TUFS. The official announcement in this regard could be expected, after the Lok Sabha elections, he said. Once the scheme is through, about 700 to 800 paper manufacturing units in the small and medium sector would go for upgradation and improve the quality of the products, he said. Stating that some of the ‘A´ grade paper mills in India has modernised, he said the need of the hour was to upgrade the technology, so that the mills have competitive edge, with international standards. Source: LatestNews-Home - Livemint.com | 13 Mar 2009 | 8:42 am Markets extend gains, Sensex rises four percentIndian equities rose further Friday afternoon, with a key index ruling almost four percent higher about 90 minutes before the closing bell.Source: IndiaeNews.com: Business News | 13 Mar 2009 | 8:32 am Reliance in first term diesel deal with HessNEW DELHI/SINGAPORE (Reuters) - Reliance Industries has sold at least 4 diesel cargoes of 65,000 tonnes each to Hess Corp, its first-ever term contract with the U.S.-based refiner, with supplies beginning in April, trade sources said.Source: Reuters: Money News | 13 Mar 2009 | 8:24 am LIC raises State Bank stake to 9.16 pctMUMBAI (Reuters) - State-run Life Insurance Corp of India has raised its stake in top bank State Bank of India by 2.12 percent to 9.16 percent through market purchases, the state-run lender said in a stock exchange filing.Source: Reuters: Money News | 13 Mar 2009 | 7:15 am Bulls march on, strong global cues propel marketsIndian equities markets witnessed a smart bull rally Friday morning, backed by strong gains in global bourses. By about noon, a key index was propelled firmly into the green, ruling 3.41 percent higher than its last closing figure.Source: IndiaeNews.com: Business News | 13 Mar 2009 | 7:01 am Oil falls below $47 ahead of Opec meetingSingapore: Oil edged down below $47 a barrel on Friday ahead of Opec’s meeting this weekend which pushed prices up by more than 11 percent in the previous session, helped by better-than-expected economic data. Easing some demand worries and pushing equities up, the US commerce department said on Thursday sales slipped 0.1% in February after a hefty 1.8% rise a month earlier, an unexpectedly small drop and a rare dose of good news for an economy trapped in a 14-month recession. US light crude for April delivery fell 43 cents a barrel to $46.60 a barrel, having jumped $4.70 on Thursday to settle at $47.03, erasing the previous two sessions’ losses. London Brent crude was 54 cents down at $44.55. “The market is sitting on the fence ahead of the meeting. Prices were strong yesterday on the back of equity markets and will hold to these gains today, except if equities fall,” said Mark Pervan, ANZ’s senior commodities analyst. “The market is pricing another cut. It could rise $4-$5 if OPEC cuts again but the upside will not last. The economy is going to be the main draw.” Asian stock markets rose on Friday, tracking the rally in US stocks, with Japan’s Nikkei rising by 5% propelled by increasing confidence in the financial sector stemming from hopes that large US banks will survive without a government takeover and may even profit. China’s economic data on Thursday had also lent some hope, as a continued surge in bank landing in February spurred optimism the economy would soon rebund, even if the country’s industrial growth ground to a record low at the start of the year. The market is eyeing Opec’s meeting on Sunday, waiting to see if ministers will decide further cuts or call for stricter compliance, which seems to be the preferred option for influential member Saudi Arabia. Oil has hovered between $33 and $50 since the beginning of the year, halting its slide from last July’s records above $147 a barrel, after OPEC agreed successive cuts for a total of 4.2 million barrels per day (bpd) since September. “All told, the advice for OPECologists this weekend is watch the flows, not the rhetoric. Oil is never far from political intrigue, but in the end fundamentals will prevail,” JP Morgan said in its Oil Markets Weekly report. Opec seaborne oil exports, excluding Angola and Ecuador, will fall to a five-year low in the four weeks to 28 March, to 22.76 bpd, down 350,000 bpd, UK consultancy Oil Movements said in its latest weekly estimate on Thursday. Potentially capping prices on Friday, both Paris-based consumer watchdog the International Energy Agency and Opec will release monthly reports on Friday expected to show yet more downward revisions for oil demand this year. Opec will slash its forecast for 2009 oil demand by one million barrels per day in its monthly report, the group’s secretary general Abdullah al-Badri said on Monday. The US Energy Department’s forecasting arm on Tuesday was the first to revise down its monthly forecast, saying it expected world oil consumption to average 84.27 million barrels per day in 2009, down 430,000 bpd from its previous monthly forecast and the lowest level since 2005. Source: Home - Livemint.com | 13 Mar 2009 | 6:59 am Samsung, LG expect difficult 2009Seoul: Samsung Electronics and LG Display, two of South Korea’s top technology companies, are bracing for a very difficult year and remain cautious on any near-term recovery in the battered sector. Consumer demand for electronic gadgets has slumped as the financial crisis grew into a broad recession that has already engulfed the United States and much of Europe and has dampened demand in once-resilient emerging markets. “Developed countries may post negative growth this year,” said Samsung vice chairman and chief executive Lee Yoon-woo. “Demand is expected to decline in some core businesses that had been leading our company’s growth,” he said, referring to television and handsets in particular. Lee was speaking at the company’s annual shareholders meeting. Samsung, the world’s top maker of memory chips and liquid crystal displayers, posted its first-ever quarterly net loss in January as a sharp downturn battered its memory chip unit. LG Display, the world’s No. 2 maker of liquid crystal display (LCD) screens, also provided a cautious outlook on the sector. The company had seen its utilisation levels recover to close to full levels recently after a sharp cut in output late last year, but may resume output cuts this year if its Taiwanese rivals step up production, CEO Kwon Young-soo said. LG Display swung to a record loss in the fourth quarter, its first loss in seven quarters, in part due to a price-fixing fine, and predicting lower shipments and weak prices. Samsung’s Lee however said it aims to maintain its profit and work at posting sales growth that would exceed the market rate in 2009. Lee said Samsung would be managed in a financially disciplined way with an emphasis on maintaining stable liquidity. He also said Samsung would invest taking into account several risk scenarios. Samsung has so far declined to release any specific forecasts or targets for 2009. It has previously said it would be conservative in this investments this year and signalled a sharp drop in capital expenditure after spending more than 11 trillion won in 2008. Source: Home - Livemint.com | 13 Mar 2009 | 6:23 am ANZ to offshore Melbourne back-office ops to IndiaMelbourne: Australian ANZ Bank is reportedly offshoring its back-office operations in Melbourne to India by the end of the year. According to an ANZ spokesperson most of the jobs about to be scrapped were in Melbourne with around 500 jobs being slashed. “In 2008, the size of the operation in Bangalore grew by around 500 people and it is reasonable to expect there will be some further growth in 2009,” said an ANZ spokeswoman in a statement. However, call centres will remain in Australia and New Zealand, the bank said. The decision has led to criticism from the Finance Sector Union, with National Secretary Leon Carter calling on the federal government to set conditions on the support it provides to Australians in the form of government guarantees. Last year, the bank was advised by consultants to cut 620 jobs between January and September 2009, with 870 jobs identified for “offshore migration”. At the time, the bank refused to quantify any local cuts. The move will allow ANZ to focus more on its Asian business and the latest round of cuts in Australia would boost the 3,000-strong workforce it already has in Bangalore. Centralising the processing centre in India is part of the ANZ’s plan to grow into a super-regional bank in Asia, as outlined by chief executive Mike Smith. Late last year, the bank moved 500 back-office jobs to India as part of the transition. The jobs are separate from the 800 retrenchments ANZ announced in December affecting local employees. Austock banking analyst John Buonaccorsi said ANZ’s Smith was “more aggressive” and “less sentimental” about moving back office jobs than his predecessors, as the bank moved to centralise its processing centre ahead of regional growth. Buonaccorsi said that typically, when a bank moved jobs to India more positions were created overseas in the process because of the lower productivity of workers relative to their Australian counterparts. Rod Masson, policy director at the Finance Sector Union, described the cuts “scurrilous”. “It shows contempt for the Australian community and in a more targeted sense for Australian workers and finance workers.” He called on the Government to address the issue of off-shoring by banks. Source: Home - Livemint.com | 13 Mar 2009 | 5:57 am ANZ to offshore Melbourne back-office ops to IndiaMelbourne: Australian ANZ Bank is reportedly offshoring its back-office operations in Melbourne to India by the end of the year. According to an ANZ spokesperson most of the jobs about to be scrapped were in Melbourne with around 500 jobs being slashed. “In 2008, the size of the operation in Bangalore grew by around 500 people and it is reasonable to expect there will be some further growth in 2009,” said an ANZ spokeswoman in a statement. However, call centres will remain in Australia and New Zealand, the bank said. The decision has led to criticism from the Finance Sector Union, with National Secretary Leon Carter calling on the federal government to set conditions on the support it provides to Australians in the form of government guarantees. Last year, the bank was advised by consultants to cut 620 jobs between January and September 2009, with 870 jobs identified for “offshore migration”. At the time, the bank refused to quantify any local cuts. The move will allow ANZ to focus more on its Asian business and the latest round of cuts in Australia would boost the 3,000-strong workforce it already has in Bangalore. Centralising the processing centre in India is part of the ANZ’s plan to grow into a super-regional bank in Asia, as outlined by chief executive Mike Smith. Late last year, the bank moved 500 back-office jobs to India as part of the transition. The jobs are separate from the 800 retrenchments ANZ announced in December affecting local employees. Austock banking analyst John Buonaccorsi said ANZ’s Smith was “more aggressive” and “less sentimental” about moving back office jobs than his predecessors, as the bank moved to centralise its processing centre ahead of regional growth. Buonaccorsi said that typically, when a bank moved jobs to India more positions were created overseas in the process because of the lower productivity of workers relative to their Australian counterparts. Rod Masson, policy director at the Finance Sector Union, described the cuts “scurrilous”. “It shows contempt for the Australian community and in a more targeted sense for Australian workers and finance workers.” He called on the Government to address the issue of off-shoring by banks. Source: World Business - Livemint.com | 13 Mar 2009 | 5:57 am Japan leads Asian stock rise on US bank hopesHong Kong: A 5% surge in Japan’s Nikkei average led a charge in Asian stocks on Friday, propelled by increasing confidence in the financial sector stemming from hopes that large US banks will survive without a government takeover and may even profit. The Swiss franc fell to a near three-month low against the euro after its biggest ever one-day drop against the single currency on Thursday on news the Swiss National Bank sold francs to halt deflation, a move that left some analysts wondering if this was the first shot in a currency war for trade competitiveness. Citigroup Inc told Reuters the bank does not need any more emergency cash from Washington and expects to stay private, while Bank of America said it was profitable in January and February, easing fears about further instability in the banking industry and sparking a rush back into equities. “The economic situation seems to be better than what people were saying at the beginning of the year - a view that has come about now that it seems that US banks’ earnings may not be atrocious,” said Masaru Hamasaki, senior strategist at Toyota Asset Management in Tokyo. Yet for every piece of news that improved investor confidence, there was another that left questions about the sustainability of the market rebound. For example, Wall Street chalked up its best three-day run since November after Standard & Poor’s raised its outlook on General Electric Co’s credit ratings to stable from negative, though it stripped the company of its “AAA” status. On the other hand, Berkshire Hathaway, Warren Buffet’s conglomerate, lost its AAA rating and has a negative outlook from Fitch Ratings. Tokyo’s Nikkei led the charge in Asia, climbing 4.9 %, and was well on its way to the biggest weekly gain of the year. Shares of large Japanese banks were outperformers, with Mitsubishi UFJ Financial Group up more than 6%. The MSCI index of Asia Pacific stocks outside Japan rose 3.1%, maintaining this week’s up trend and hitting its highest level in about two weeks. The materials and financial sectors were the biggest boosts. Bank stocks were also the prime movers behind the 3.8% rise in Hong Kong’s Hang Seng index. HSBC rose 3.7% as investors bought back the beaten down shares after an $18 billion rights issue. Comments from Bank of America, Citigroup and JPMorgan this week have put downward pressure on the most widely watched gauge of market volatility, the Chicago Board Options Exchange’s volatility index, or the VIX. The index closed just above its 200-day moving average on Thursday, and has not closed below it since September 2008. After Switzerland, is Japan next? While equity markets were buzzing about banks, currency markets were focused on the aftermath of unexpected actions taken by the Swiss National Bank, as more central banks turned to unorthodox measures to support their economies. The Swiss National Bank stunned markets overnight with intervention to weaken the Swiss franc, an interest rate cut and plans for outright purchases of franc-denominated debt as it forecast a deep recession. The policy change was the first intervention in currency markets by an advanced economy since the financial crisis broke out in the summer of 2007 and marked a new chapter in a global fight against the rising threat of deflation. The euro stood up 0.4% on the day against the Swiss franc to 1.5380 francs, near a three-month high. The US dollar climbed 0.3% to 1.1888 francs. The dollar was steady against the yen at ¥97.56. The SNB’s move has also started a guessing game of which country might follow suit. But Masahiro Sato, joint general manager of the treasury division at Mizuho Trust & Banking Co., doubted Japan would intervene to weaken the yen. “Competitive currency devaluation is not likely in Japan now because the risks of sparking trade friction are too great,” Sato said. “The Swiss can get away with this because of the relatively small size of their economy and the limited role they play in the global economy.” Gold prices slipped in the spot market to $924.35 an ounce, as dealers took profits on the 2% rise overnight. However, concerns that more central banks will intervene to weaken their currencies as well as the continued buildup of holdings in the world’s largest gold exchange traded fund, suggested a rising price trend would continue. US crude futures dipped back under $47 a barrel after rocketing 11% higher overnight following a not-so-dire U.S. retail sales report for February. Crude for April delivery slipped 0.5 % to $46.77 a barrel. Source: Home - Livemint.com | 13 Mar 2009 | 5:57 am Madoff pleads guilty, is jailed for $65 bn fraudNew York: Bernard Madoff pleaded guilty on Thursday to orchestrating the biggest investment fraud in Wall Street history and was jailed to await a sentence that could keep him in prison for the rest of his life. As some of his victims looked on in the courtroom, the former Nasdaq stock market chairman calmly described for 10 minutes a long-running, worldwide Ponzi scheme that he knew was criminal from the start but thought would end quickly. “I am painfully aware that I have deeply hurt many, many people,” including family, friends and associates, the grim-faced Madoff, 70, said before US Judge Denny Chin in Manhattan federal court. It was the first time he had spoken publicly of his crime. “When I began my Ponzi scheme I believed it would end shortly and I would be able to extricate myself and my clients from the scheme,” said Madoff, who wore a gray suit but none of the rings that were a signature of his style. Madoff, who read from a prepared statement, did not mention the size of the scheme, but prosecutors have said it amounted to as much as $65 billion over 20 years and involved more than 4,800 client accounts. Madoff said that shutting down the scheme, in which early investors were paid with money from new ones, proved impossible. “As the years went by, I realized that my arrest and this day would inevitably come,” he said. Madoff has become one of the most vilified men in America, a symbol of the unraveling of Wall Street that has laid bare other multimillion dollar frauds. Some onlookers cheered as he was led out of the courtroom in handcuffs. Dozens of investors caught in Madoff’s web huddled outside the courthouse, commiserating, crying and passing judgment on the disgraced financier. Two suicides have been associated with the collapse of Madoff’s scheme. Where were the watchdogs? The swindle has cast a harsh light on securities regulators for failing to uncover the scam, even after a whistleblower brought it to the attention of the US Securities and Exchange Commission in May 1999. The case has intensified demands for greater regulation of the financial industry. Madoff’s investors included hedge funds, banks, Jewish charities, the wealthy, and small individual investors in North and South America and Europe. Three investors accepted an opportunity to speak in court. One of them, George Nierenberg, tried to address Madoff directly. “I don’t know whether you had the chance to turn around and look at the many victims,” Nierenberg said. Madoff pivoted in his seat slightly and briefly looked at him. As the world slipped into recession and Madoff’s investors started asking for their money, his swindle collapsed. Madoff told the court that the essence of his scheme was telling customers that he would “invest their money in shares of common stock, options and other securities of large well-known corporations.” He admitted that he simply deposited clients’ money in an account at Chase Manhattan bank instead of investing it. When people wanted their money, “I used the money in the Chase Manhattan bank account that belonged to them or other clients to pay the requested funds.” After his arrest last December, Madoff was released on bail and confined to his $7 million Manhattan penthouse. After he pleaded guilty, the judge ordered Madoff to jail and scheduled his sentencing for 16 June. Madoff can get up to 150 years for the 11 charges against him, which include securities fraud, money laundering and perjury. Madoff headed a family-run business in which his brother, Peter, and sons Mark and Andrew were executives in the brokerage arm of his firm. Madoff insisted that the brokerage unit was a legitimate business. Neither they nor his wife of nearly 50 years, Ruth, were in court. During the hearing, which ran more than an hour, rapt attention was broken by scoffs or laughter at a reference by defense lawyer Ira Lee Sorkin to Ruth Madoff paying for security at their apartment as part of her husband’s house arrest and bail package. Madoff will be jailed in a shared cell at the nearby Metropolitan Correctional Center, a far cry from his opulent lifestyle that included boats and mansions. Where’s the cash? Investors have said that any money in Ruth Madoff’s name is likely proceeds of her husband’s fraud and belongs to them. Prosecutors have said that as of 30 November, 2008, Madoff’s client accounts purportedly had $64.8 billion, but in reality “held only a small fraction of that.” They are seeking $170.8 billion in forfeiture from him, a sum they estimate of all the money and property that can be traced back to the fraud. They have not said how they arrived at that figure, and Madoff’s lawyers have challenged that amount. After the once-respected trader answered each of the charges with the word “guilty,” Chin accepted the plea and rejected his request to stay out on bail until sentencing. His attorney said he would appeal the ruling revoking bail. Acting US Attorney for Manhattan Lev Dassin said in a statement that Madoff’s guilty plea “is one step in an ongoing investigation.” He said, “We are continuing to investigate the fraud and will bring additional charges against anyone, including Mr. Madoff, as warranted.” Some of the investors in the courtroom and in another room nearby watching a video feed of the proceedings, said they were unsatisfied by Madoff’s admission and apology. Many wanted a trial. Source: World Business - Livemint.com | 13 Mar 2009 | 5:36 am Madoff pleads guilty, is jailed for $65 bn fraudNew York: Bernard Madoff pleaded guilty on Thursday to orchestrating the biggest investment fraud in Wall Street history and was jailed to await a sentence that could keep him in prison for the rest of his life. As some of his victims looked on in the courtroom, the former Nasdaq stock market chairman calmly described for 10 minutes a long-running, worldwide Ponzi scheme that he knew was criminal from the start but thought would end quickly. “I am painfully aware that I have deeply hurt many, many people,” including family, friends and associates, the grim-faced Madoff, 70, said before US Judge Denny Chin in Manhattan federal court. It was the first time he had spoken publicly of his crime. “When I began my Ponzi scheme I believed it would end shortly and I would be able to extricate myself and my clients from the scheme,” said Madoff, who wore a gray suit but none of the rings that were a signature of his style. Madoff, who read from a prepared statement, did not mention the size of the scheme, but prosecutors have said it amounted to as much as $65 billion over 20 years and involved more than 4,800 client accounts. Madoff said that shutting down the scheme, in which early investors were paid with money from new ones, proved impossible. “As the years went by, I realized that my arrest and this day would inevitably come,” he said. Madoff has become one of the most vilified men in America, a symbol of the unraveling of Wall Street that has laid bare other multimillion dollar frauds. Some onlookers cheered as he was led out of the courtroom in handcuffs. Dozens of investors caught in Madoff’s web huddled outside the courthouse, commiserating, crying and passing judgment on the disgraced financier. Two suicides have been associated with the collapse of Madoff’s scheme. Where were the watchdogs? The swindle has cast a harsh light on securities regulators for failing to uncover the scam, even after a whistleblower brought it to the attention of the US Securities and Exchange Commission in May 1999. The case has intensified demands for greater regulation of the financial industry. Madoff’s investors included hedge funds, banks, Jewish charities, the wealthy, and small individual investors in North and South America and Europe. Three investors accepted an opportunity to speak in court. One of them, George Nierenberg, tried to address Madoff directly. “I don’t know whether you had the chance to turn around and look at the many victims,” Nierenberg said. Madoff pivoted in his seat slightly and briefly looked at him. As the world slipped into recession and Madoff’s investors started asking for their money, his swindle collapsed. Madoff told the court that the essence of his scheme was telling customers that he would “invest their money in shares of common stock, options and other securities of large well-known corporations.” He admitted that he simply deposited clients’ money in an account at Chase Manhattan bank instead of investing it. When people wanted their money, “I used the money in the Chase Manhattan bank account that belonged to them or other clients to pay the requested funds.” After his arrest last December, Madoff was released on bail and confined to his $7 million Manhattan penthouse. After he pleaded guilty, the judge ordered Madoff to jail and scheduled his sentencing for 16 June. Madoff can get up to 150 years for the 11 charges against him, which include securities fraud, money laundering and perjury. Madoff headed a family-run business in which his brother, Peter, and sons Mark and Andrew were executives in the brokerage arm of his firm. Madoff insisted that the brokerage unit was a legitimate business. Neither they nor his wife of nearly 50 years, Ruth, were in court. During the hearing, which ran more than an hour, rapt attention was broken by scoffs or laughter at a reference by defense lawyer Ira Lee Sorkin to Ruth Madoff paying for security at their apartment as part of her husband’s house arrest and bail package. Madoff will be jailed in a shared cell at the nearby Metropolitan Correctional Center, a far cry from his opulent lifestyle that included boats and mansions. Where’s the cash? Investors have said that any money in Ruth Madoff’s name is likely proceeds of her husband’s fraud and belongs to them. Prosecutors have said that as of 30 November, 2008, Madoff’s client accounts purportedly had $64.8 billion, but in reality “held only a small fraction of that.” They are seeking $170.8 billion in forfeiture from him, a sum they estimate of all the money and property that can be traced back to the fraud. They have not said how they arrived at that figure, and Madoff’s lawyers have challenged that amount. After the once-respected trader answered each of the charges with the word “guilty,” Chin accepted the plea and rejected his request to stay out on bail until sentencing. His attorney said he would appeal the ruling revoking bail. Acting US Attorney for Manhattan Lev Dassin said in a statement that Madoff’s guilty plea “is one step in an ongoing investigation.” He said, “We are continuing to investigate the fraud and will bring additional charges against anyone, including Mr. Madoff, as warranted.” Some of the investors in the courtroom and in another room nearby watching a video feed of the proceedings, said they were unsatisfied by Madoff’s admission and apology. Many wanted a trial. Source: Home - Livemint.com | 13 Mar 2009 | 5:36 am NHPC has not curtailed capex plans- CMDNew Delhi: NHPC has not curtailed its capex plans and has already tied down most of the funding required, a top official said on Friday. “We have not curtailed our capex plans, we are going as strong as before the economic meltdown,” S.K. Garg, its chairman and managing director, told an industry conference. NHPC has outlined a capital expansion of Rs210 billion in the five years ending 2011-12. “Most of our capex is tied down with financial institutions and funding agencies,” Garg added. Source: Home - Livemint.com | 13 Mar 2009 | 5:35 am CAG pulls up J-K govt for violation of financial normsThe comptroller and auditor general of India (CAG) has pulled up the Jammu and Kashmir government for violation of financial norms.Source: Daily News & Analysis: Money News | 13 Mar 2009 | 5:26 am Satyam sees volatility in early tradeSatyam witnessed high volatility in early trade, a day after firms submitted expressions of interest to participate in the bidding process.Source: Daily News & Analysis: Money News | 13 Mar 2009 | 5:23 am Sensex surges 245 points on firm global cuesThe Sensex surged by 245 points in early trade on increased buying by funds driven by an extended rally on the US markets.Source: Daily News & Analysis: Money News | 13 Mar 2009 | 5:17 am GM confident of survival in March without new aidDetroit: General Motors Corp has told US officials that it can survive without $2 billion in additional aid that it had requested to get through March, the automaker said on Thursday. GM said in a statement that it had been able to defer the first tranche of its aid request after stepping up the pace of planned cost-cutting and holding back on some spending that had been planned for January and February. However, it remains unclear whether the development will result in a scaled-back overall request for assistance on top of the $13.4 billion bailout approved in December. “A lot depends on how the market and the economy goes. We’ve run a little ahead on some of the cost reduction stuff, which is good, but at this point the market is still tough,” GM chief executive Rick Wagoner said on the sidelines of a business conference in Washington. “We haven’t updated it.” An Obama administration task force headed by Treasury Secretary Timothy Geithner and White House economic adviser Larry Summers is considering GM’s request for more than $16 billion in additional help and a separate request for up to $5 billion from Chrysler. Chrysler received $4 billion in the same bailout package that was extended to GM last year. The task force has until the end of March for its deliberations as GM works to secure new concessions from its bondholders and the United Auto Workers union to cut its debt by a combined $28 billion. Shares of GM jumped after the announcement and closed up 17% to $2.18 in New York trade. Despite GM’s decision on Thursday, the White House is still taking a deliberate approach for dealing with the distressed auto industry. “In terms of what GM has announced today, I don’t know whether that makes the current job that much easier,” said White House spokesman Robert Gibbs of task force decision-making. Gibbs said Obama has been briefed on progress of the task force. The White House also said the task force is focusing on struggling suppliers, who serve US and overseas manufacturers and have also sought billions in government assistance to stay in business. Wagoner also expressed concerns about that sector on Thursday. “I think the state of the supply base is difficult. We’re watching it closely and we’re trying to work with them and we need to do that,” Wagoner said. On Wednesday, the top US executive of Toyota Motor Corp told reporters that the company is concerned with the health of about 100 suppliers but is worried about 20 to 30 within that group. Jim Lentz said Toyota is working on contingencies to offset any possible supply disruption. GM burned through $5 billion in the fourth quarter and ended the year reliant on the first $4 billion in loans it received from the Treasury. Under the restructuring plan submitted to the government in mid-February, GM had forecast that it would burn through another $5.1 billion in January and February. It was not immediately clear how the cost-cutting efforts GM made in the first months of the quarter had affected its projected cash burn rate. Source: World Business - Livemint.com | 13 Mar 2009 | 4:17 am Countries should promote fiscal stimulus to boost demand:ObamaPresident Obama has asked major economic powers to come up with fiscal stimulus packages which could boost demand in these countries.Source: Daily News & Analysis: Money News | 13 Mar 2009 | 3:50 am ANALYSIS - Banks toughen as flimsy boom-time loan deals hurtLONDON (Reuters) - Flimsy loan agreements drawn up in haste during the credit boom are coming back to haunt lenders as private-equity owned companies blow up without advance warning, forcing banks to rein in lending and tighten standards.Source: Reuters: Money News | 13 Mar 2009 | 3:27 am Prices head south, gloom recedes a bitAll's not well on the global front but there is some light at the end of the tunnel for the domestic economy.Source: Daily News & Analysis: Money News | 12 Mar 2009 | 10:33 pm UBS sights Indian upturn in JulyThe Indian economy, now adrift in the sea of global recession, may be just three months away from the promised land of a sustainable domestic recovery.Source: Daily News & Analysis: Money News | 12 Mar 2009 | 9:36 pm Manufacturing contracts in 12 out of 17 sectorsFor the second successive month, the index of industrial production registered a decline of 0.5% year on year in January 2009.Source: Daily News & Analysis: Money News | 12 Mar 2009 | 9:35 pm Dec-Feb credit growth down by 98%Between December 26, 2008 and February 13, 2009 (as per data released by RBI on March 6) banks have lent a minuscule Rs 1,368 crore.Source: Daily News & Analysis: Money News | 12 Mar 2009 | 9:33 pm IT's still hiring in some domainsThe hiring is mostly in domains such as healthcare, pharma, energy and communication, which have not been as severely hit by recession.Source: Daily News & Analysis: Money News | 12 Mar 2009 | 9:27 pm Has consolidation begun in M-VAS?Common to the deals is the fact that all these players in the VAS space decided to take the merger and acquisition (M&A) route to expand their businesses.Source: Daily News & Analysis: Money News | 12 Mar 2009 | 9:18 pm Bharti stock tanks as CEO sells stake for 'personal reasons'Manoj Kohli, CEO and joint managing director of Bharti Airtel, sold his entire stake in the company for Rs 7.24 crore for personal reasons, a move that saw the stock tank 6.3 per cent, becoming the top loser on the Bombay Stock Exchange on a day the becnhmark Sensex rose 2.25 per cent, on speculation that he was leaving the company.Source: Business Standard | Front Page Headlines | 12 Mar 2009 | 7:02 pm L, Tech Mahindra, Spice sign up for SatyamHindujas opt out of race.Source: Business Standard | Front Page Headlines | 12 Mar 2009 | 7:01 pm Meher Pudumjee of Thermax is the BS CEO of the YearFour other award winners also announced.Source: Business Standard | Front Page Headlines | 12 Mar 2009 | 7:00 pm Big-bang auto order plan for defence forcesPart of government strategy to push demand.Source: Business Standard | Front Page Headlines | 12 Mar 2009 | 6:59 pm Proposed 20p ceiling may stretch margins of mobile firms furtherNew Delhi: Arecommendation by the Telecom Regulatory Authority of India (Trai) to restructure charges on calls between phone networks, if accepted by the government, will add pressure in the coming quarters on customer billings and operating profit margins at mobile phone service firms, already bruised in a tariff war that promises to escalate.  Trouble ahead: Customers at a mobile phone shop. Analysts have predicted a fall in the key performance indicators of telecom firms. Discounts being offered by phone firms are expected to lead to a sharp fall in average revenues per minute and result in lower customer billings measured by average revenue per user. Madhu Kapparath / Mint Still, analysts expect the new regime to kick in the April-June quarter as against the second half of fiscal 2010. Trai has asked for the implementation to kick in on 1 April. Termination charge refers to what one operator pays another for completing a phone call between networks; the operator from whose network a phone call emanates gets to keep an originating charge. Firms such as Bharti Airtel Ltd and Idea Cellular Ltd, both of which use GSM (global system for mobile communications) networks, will bear the impact of change of termination charges more than rivals such as Reliance Communications Ltd (RCom) that run on the rival CDMA (code division multiple access) protocol. “If the industry tariffs are cut to the extent of passing on 50% of the benefit of lower termination (that is, by 5 paise) from day one when the new rates go live (that is 1 April ), then the impact on (estimated fiscal year 2010) Ebitda and PBT (using Bharti as an example) could be 8% and 13%, respectively,” Rahul Singh and two co-analysts at Citigroup Global Markets India Pvt. Ltd wrote in a report published on Wednesday. Ebitda is a measure of operating profits and stands for earnings before interest, tax, depreciation and amortization, while PBT is profit before taxes. Already, analysts predict a fall in the key performance indicators of the telecom firms. Discounts being offered by phone firms—triggered by RCom’s entry into GSM services with prepaid tariff packages starting at Rs49—are expected to lead to a sharp fall in average revenues per minute, also called realization, and result in lower customer billings measured by average revenue per user, or Arpu, in this quarter. Singh predicted “an accelerated decline” on account of lower termination charges over Citigroup’s 10% per annum assumption in estimated Arpu for fiscal 2010 and fiscal 2011. Such a contraction in Arpu comes on top of billings that have been sliding. Arpu at RCom fell 7.4% to Rs251 in the quarter to 31 December from the preceding three months. Market leader Bharti Airtel posted a fall of 2% to Rs324 in the December quarter from the previous one. To be sure, Arpus have been on a downslide for years but the current quarters (including the one gone by) are witness to the slide despite marginally better per minute realization at companies such as Bharti Airtel, Idea Cellular and Vodafone Essar Ltd. In a recent interview, Manoj Kohli, chief executive and joint managing director of Bharti Airtel, said his firm has in recent months “pulled back including free minutes, subsidized minutes, some irrational packages here and there”. Bharti Airtel announced a Lifetime 99 plan on 12 January where a subscriber gets connection with lifetime validity and Rs10 calling value. Idea Cellular also has a lifetime validity plan for Rs99 with all local calls at 60 paise a minute and domestic long distance calls at Re1. RCom allows night calls between one phone to another on its GSM and CDMA networks at zero tariffs on a Rs15 recharge. State-run Bharat Sanchar Nigam Ltd last month announced a new Golden Fifty plan where customers can call mobile phones on any network anywhere in India for 50 paise a minute. A rise in minutes of usage will probably buffer the situation. “We have seen the (minutes of usage) rising steadily over the past eight quarters and there is no reason for them to fall this quarter,” said Nishna Biyani, an analyst tracking telecom stocks at with Prabhudas Lilladher Pvt. Ltd. The total number of mobile customers in India at the end of January stood at 362 million reflecting a rise of 15.41 million, or 4.5%. In February, GSM operators grew their customer base by 3.43% to 277 million, according an industry body representing them. The data for CDMA firms such as RCom and Tata Teleservices Ltd have not been released yet. Source: Tech News - Livemint.com | 12 Mar 2009 | 6:14 pm Asian shares turn lower after global rally!Japanese shares fell 1 percent on Thursday and other Asian markets were on the defensive as investors viewed rare gains this week as overdone in light of a shaky global economy and financial system.Source: Zee News : Business | 12 Mar 2009 | 12:35 pm Japan economy shrank 12.1% in Q4!Japan`s economy shrank less than first thought in the fourth quarter of 2008.Source: Zee News : Business | 12 Mar 2009 | 12:35 pm Satyam suitors to declare bidding intentions!Suitors for fraud-hit Satyam have to give notice on Thursday that they are interested in bidding for the Indian outsourcing giant amid lingering uncertainty over the true state of its finances.Source: Zee News : Business | 12 Mar 2009 | 12:35 pm Bill Gates still world`s richest: Forbes !US tycoons are back on top with Microsoft founder Bill Gates again the world`s richest man in a year when even billionaires felt the heat of the global recession, Forbes magazine said on Wednesday.Source: Zee News : Business | 12 Mar 2009 | 12:35 pm World Bank says global economy to shrink 1-2 percent this year!The global economy is on track for its worst recession since the 1930s with output likely to shrink by 1-2 percent this year, World Bank President Robert Zoellick told a newspaper.Source: Zee News : Business | 12 Mar 2009 | 12:35 pm Inflation eases to 2.43%!Inflation falls to 2.43 percent for the week ended Feb 28 from 3.03 percent in the previous week.Source: Zee News : Business | 12 Mar 2009 | 12:35 pm Mukesh and Mittal lead Indian businessmen in Forbes` list!Reliance Industries chairman Mukesh Ambani and NRI steel baron Lakshmi Mittal lead the pack of 24 Indians in the Forbes` list of world`s richest people.Source: Zee News : Business | 12 Mar 2009 | 12:35 pm BMW results miss expectationsFrankfurt: BMW, the world’s largest premium carmaker, had a disastrous fourth quarter that made its 2008 results miss market expectations, sending its shares down nearly 12%. Group earnings before interest and tax fell 78% to €921 million ($1.18 billion), it said on Thursday, well below the average estimate of €1.54 billion in a Reuters poll of 20 analysts. It proposed cutting its 2008 dividend on common stock to €0.30 from €1.06 after taking a writedown of €1.06 billion for the reduced value of cars coming off leases and for bad debts. Its shares pared losses to trade down 8.3% at €21.04 by 1028 GMT while the DJ Stoxx European car sector index was off 3%. Demand for BMW’s sporty models like the Z4 roadster withered in the last quarter of 2008, forcing the company to reveal a decline of 4.3% in group sales volumes last year -- its first annual drop since 1993. Much like rival Mercedes-Benz, BMW has thrived from the debt-fuelled consumerism in markets like the United States where they aggressively pushed volumes for years with attractively priced leasing deals that cost the carmaker just over €1 billion euros through the end of September alone. Analysts are now re-evaluating previous assumptions regarding the premium market’s true potential, after the worst excesses of easy credit have come to a screeching halt. In addition, increasingly stringent emission requirements are putting a massive strain on R&D budgets for Mercedes and BMW and forcing the carmakers to replace heavier engines that earn fatter margins with downsized motors. Source: World Business - Livemint.com | 12 Mar 2009 | 11:32 am Credit Suisse appoints David Mulford as vice chairman intlNew Delhi: Zurich-based Credit Suisse today appointed former US Ambassador to India David Mulford as its Vice-Chairman International. Mulford, who will start his role at Credit Suisse with immediate effect, is expected to focus on government as well as corporate clients across the globe, the bank said in statement. The bank said that Mulford has a long association with Credit Suisse dating back to start of his investment banking career at White, Weld and Company as Head of International Finance. He was responsible for coordinating efforts with its partner, Credit Suisse White Weld on international business. “David brings to Credit Suisse an unparalleled depth of experience and relationships spanning more than thirty years in investment banking and government service, working around the world in both developed and emerging markets,” Group’s CEO Brady Dougan said. Mulford had a five-year term as the US Ambassador to India. He has also served the US government as Under Secretary and Assistant Secretary of the US Treasury for International Affairs from 1984 to 1992. Source: World Business - Livemint.com | 12 Mar 2009 | 11:10 am Nintendo sells 100 million DS consolesTokyo: Nintendo said sales of its handheld DS have topped 100 million machines less than five years since its launch, reaching the milestone faster than any other game console. Worldwide sales of the dual-screen DS passed 100 million on 6 March, including the original model -- which was launched in November 2004 -- as well as the DS Lite and DSi, Nintendo said in a statement on Wednesday. The success of Nintendo DS consoles has been helped by the popularity of “brain-training” and other games titles that have broadened the customer base from core gamers to women and older people. “We aim to shift from one machine for one family to one machine for one person,” the Kyoto-based company said. The latest model with built-in cameras, the DSi, went on sale in Japan in November and is due to be released in the United States in April. The DS trumped Sony’s PlayStation 2, which took five years and nine months to achieve the 100 million mark. Nintendo has also enjoyed strong sales of its Wii home console, helping it to weather the economic downturn better than other electronics makers. Source: Tech News - Livemint.com | 12 Mar 2009 | 10:31 am
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