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HDFC reduces retail PLR by 50 bpsHDFC, the premier housing finance company, today announced a reduction in its retail prime lending rates (RPLR) by 50 basis points, effective March 25, 2009.Source: Moneycontrol Top Headlines | 24 Mar 2009 | 5:41 pm Caterpillar lays off 200 employees in IndiaGlobal manufacturing, mining and construction equipment giant Caterpillar is believed to have laid off 200 employees in India. Due compensation has been given to these employees, who were laid off on account of poor performance.Source: Moneycontrol Top Headlines | 24 Mar 2009 | 5:25 pm Employee benefits not on India Inc\'s priority list: SurveyEmployee benefits do not come high up on an Indian company\'s priority list so says a survey by Watcos Wyatt. Companies are required to fully fund employee benefits like superannuation, gratuity or leave encashment.Source: Moneycontrol Top Headlines | 24 Mar 2009 | 5:00 pm Union Bank sees FY09 credit growth at 25%Union Bank sees FY09 credit growth and deposit growth at 25% and 30% respectively. It sees the FY09 net interest margin (NIM) at 2.7% and for FY10 at 2.8%. Union bank said it was in no hurry to raise capital in FY10 as the banks capital adequacy ratio (CAR) stood at 13%.Source: Moneycontrol Top Headlines | 24 Mar 2009 | 4:56 pm ArcelorMittal increases amount of convertible bond to 1.1bnAs a result of the strong demand for ArcelorMittal\'s bonds convertible and/or exchangeable into new and/or existing shares launched this morning, the company has decided to increase the initial amount of the offering from EUR 750 M to 1.1 Billion.Source: Moneycontrol Top Headlines | 24 Mar 2009 | 4:48 pm MM on expansion spree, plays the volume gameNew platforms and new products is MM\'s gameplan when it comes to strengthen its presence in the multiutility vehicle segment. The company will invest one billion dollar over the next three years to achieve its objective.Source: Moneycontrol Top Headlines | 24 Mar 2009 | 4:45 pm Omaxe bags Rs 39.95cr contract from Haryana State RoadsOmaxe Ltd bags Rs 39.95 crore contract from Haryana State Roads Bridges Development Corporation Ltd;Source: Moneycontrol Top Headlines | 24 Mar 2009 | 4:08 pm Nano counterattack: Maruti to roll out Ritz by MaySeen as a counter attack to Tata Motors recently unveiled Tata Nano, automobile major Maruti Suzuki is aggressively working towards launching new cars and improvising the existing ones. In a tussle to capture the Indian passenger car market, Maruti is likely to launch Maruti Splash or Ritz in the second week of May.Source: Moneycontrol Top Headlines | 24 Mar 2009 | 3:54 pm Patel Engineering bags Rs 799cr order for tunnelling workPatel Engineering has bagged an order worth Rs 799 crore for tunnelling work for the Narmada Valley Development Authority. This project is a joint venture with SEW Constructions. Rupen Patel, MD, Patel Engineering, said it is an irrigation project. \"The margins in an irrigation project on an EBITDA level are approximately 15%.\"Source: Moneycontrol Top Headlines | 24 Mar 2009 | 3:30 pm Rel Power renegotiating Shanghai Electrics contract: SrcsSasan ultra mega power project, which has the capacity of 4,000 megawatts, has placed an equipment contract with Chinese maker Shanghai Electric in July last year. But 8months since then the raw material prices have come down considerably. Sources say that this has prompted Reliance Power to try renegotiate its contract with Shanghai Electric.Source: Moneycontrol Top Headlines | 24 Mar 2009 | 3:23 pm Rupee falls by 25 paise against dollarIn tandem with local equity markets amid month-end dollar demand, the Indian rupee washed off its initial gains and ended lower by 25 paise to 50.70/71.Source: India Business News | Business News - Times of India | 24 Mar 2009 | 12:25 pm India tells US to lift ban on dual use items!India asks US to lift ban on sale of dual use items, noting that besides USD 150bn business for US nuke power reactors.Source: Zee News : Business | 24 Mar 2009 | 12:10 pm Ukraine-EU gas deal angers Russia!Ukraine agrees to clean up corruption in its gas export industry in return for Western investment in deal with EU, which sparks a sharp warning from Russia.Source: Zee News : Business | 24 Mar 2009 | 12:10 pm Dell says IBM-Sun talk creates biz opportunity!Dell`s CEO said on Tuesday rumours of IBM possibly buying Sun Microsystems were creating an "enormous opportunity" for Dell.Source: Zee News : Business | 24 Mar 2009 | 12:10 pm `Commonality in agenda of Obama and G-20 countries`!The White House asserts that there is commonality in agenda of new Obama Admin and the leading G-20 nations on the front of financial crisis.Source: Zee News : Business | 24 Mar 2009 | 12:10 pm Global trade to drop by 9 percent this year: WTO!The World Trade Organisation on Monday said that the volume of global trade was expected to contract by nine percent in 2009, the largest such contraction since World War II and significantly worse than had been predicted.Source: Zee News : Business | 24 Mar 2009 | 12:10 pm Suncor to buy Petro-Canada !Suncor Energy says it`ll buy Petro-Canada to create Canada`s biggest oil company.Source: Zee News : Business | 24 Mar 2009 | 12:10 pm BofA investor files to strip CEO of chairman job!Longtime Bank of America Corp shareholder Jerry Finger launched on Monday his formal campaign to strip CEO Kenneth Lewis of his job as chairman.Source: Zee News : Business | 24 Mar 2009 | 12:10 pm Madoff`s house in France could be seized as USD 1bn assets are recovered!A court-appointed trustee has located more than USD 1bn of jailed swindler Bernard Madoff`s assets.Source: Zee News : Business | 24 Mar 2009 | 12:10 pm Top AIG bosses agree to pay back USD 50 million in bonuses amid outcry!AIG`s bosses have agreed to pay back USD 50 mn in bonuses NY AG Andrew Cuomo said on Monday.Source: Zee News : Business | 24 Mar 2009 | 12:10 pm Oil prices ease in Asian trade, above USD 53!Oil prices fell in Asian trade Tuesday after hitting four-month peaks following a US government plan to clear toxic assets from banks.Source: Zee News : Business | 24 Mar 2009 | 12:10 pm Nano bookings to soothe Tata Motors funding woesMUMBAI (Reuters) - Tata Motors looks set to harness massive demand for its Nano, the world cheapest car, helping it raise funds to cover bridge loans for last year's purchase of the luxury Jaguar and Land Rover brands.Source: Reuters: Money News | 24 Mar 2009 | 12:09 pm Nano bookings to soothe Tata Motors funding woesMumbai: Tata Motors looks set to harness massive demand for its Nano, the world cheapest car, helping it raise funds to cover bridge loans for last year’s purchase of the luxury Jaguar and Land Rover brands. Interested buyers need to front up most of the cost of the new car in April, potentially giving Tata Motors $1 billion for at least 3 months and at least $200 million against the delivery of the first 100,000 units -- which could take more than a year. “We are expecting lakhs of applicants, judging from the initial reaction,” said OP Bhatt, chairman of bank State Bank of India, which has a tie-up as a preferred financier for Nano bookings. Tata Motor’s cash needs are pressing. It has $100 million of cash left in its books as of the end of 2008 and is finding it hard to raise Rs7,000 crore ($1.4 billion) for working capital. Before the credit crunch hit last year, Tata bought Jaguar and Land Rover -- and the residual $2 billion of bridge loans on that deal falls due in June. “The company can finance its working capital at nominal interest rates on booking amounts received for Nano,” Brics Securities said in a research note. Big Deposit Nanos have to be booked and a deposit of almost the full price has to be paid between 9 April and 25 April, but the first cars won’t be available until July. Unsuccessful deposits won’t be returned until then, and only if customers elect not to stay on the waiting list for the stubby four-seater. For the basic Nano, a deposit of Rs95,000 ($1,890) is required on a car that will have a showroom price as low as Rs112,735 rupees, and more for models with optional extras. There will be a lottery to select the first 100,000 owners, who may still have to wait more than a year for their car. Once selected, the company keeps their deposit and pays no interest. Assuming some opt for the more expensive models, which have deposits of Rs120,000 and Rs140,000, Tata Motors could receive an average booking fee of $2,000 per car. That is $200 million on the first 100,000 orders. Demand is expected to far exceed 100,000, which will give the company a short-term float over the period its bridge loans fall due. Tata Motors can hold the deposits of unsuccessful applicants, who elect not to remain in the queue, for up to three months after the booking period closes and has said it will put the deposit money to use. A purpose-built plant to make 250,000 Nanos a year will start late this year or early next year, and until then Tata Motors has put annualised capacity at existing plants at 50,000 to 60,000 Nanos. Assuming 500,000 applicants -- a large number but the population exceeds 1.1 billion and 1.3 million cars were sold last year -- and an average deposit of $2,000, that would give Tata Motors $1 billion. On top of that, potential buyers also pay a fee just to submit an application -- 200 rupees if booked online and Rs300 otherwise. Assuming a 50-50 split between 500,000 applicants, that is another $2.5 million. “We expect Tata Motors to benefit from one-time application fees... and funds float, which could be substantial even accounting for cancellations post-allotment, at a reasonable rate of interest at 8.5%,” Bank of America Merrill Lynch analysts S.Arun and Kunal Tayal said in a note. Ratings If people who miss out in the lottery for the first 100,000 Nanos want to remain in queue, their deposit stays with Tata Motors, who will pay 8.5% on deposits held for more than one year, and 8.75% on deposits held for more than two years. The firm has been offering up to 11% for short-term paper after credit ratings downgrades. Earlier this month, Moody’s cut its rating to B3 with a negative outlook from B1, the second cut in five months. Standard & Poor’s has placed it at BB-minus with negative implications. Both rating agencies were concerned by deteriorating cash flows, its funding plan for capital expenditure and future debt composition. Source: Home - Livemint.com | 24 Mar 2009 | 12:07 pm FEATURE - Newly thrifty Americans go foraging, trash-divingNEW YORK (Reuters) - Miranda Walton's old Ford pickup was collecting dust on her ranch in Austin, Texas, so she decided to trade it in for something she needed -- goats.Source: Reuters: Money News | 24 Mar 2009 | 12:05 pm Congress releases manifesto, pushes for rural help, jobsNew Delhi: The Congress Party said on Tuesday in its election manifesto that it would include a hugely subsidised food scheme in new measures to protect farmers and the poor from the impact of the global slowdown. The proposals announced ahead of the April-May general election included guarantees by law that every family living below the poverty line would be entitled to 25 kg of rice or wheat per month at subsidised prices. Economists may see the policy as a populist measure to win votes. Millions of Indians live in poverty. Congress said it would extend interest relief to farmers and build on the national job guarantee scheme, both seen as potential vote winners. The main battle in the 16 April 16 – 13 May ballot will be between a coalition led by the left-of-centre Congress Party and an alliance led by the Bharatiya Janata Party, which has traditionally been more pro-business. “When I look at the opportunities, I am convinced that this country can move forward on a road to faster, more equitable growth,” Prime Minister Manmohan Singh said at the manifesto launch in New Delhi. Congress chief Sonia Gandhi confirmed Singh as the party’s choice to become prime minister if it wins the election, dismissing speculation that she, or her son Rahul, could head the government. The global economic crisis has put pressure on Congress, which fears millions of jobs lost in the export sector could hit its electoral chances. The Indian economy is expected to grow around 7% this year, down from 9% annually in the past three years. But investors are worried that any populist schemes in an election year would widen a fiscal deficit that some analysts say has already risen to more than 10% of GDP. The manifesto included plans to increase public spending in farming and remove all controls on the movement of farm products, measures aimed at the millions of farmers and villagers who make up more than half of India’s 1.1 billion-plus population. “They are going by a populist stance, giving essentials like wheat, rice,” said political analyst N. Bhaskara Rao of the Centre for Media Studies. Congress also said it would maintain government control over state-run firms in the manufacturing and finance sectors. Traders say political uncertainty is weighing on stocks, but the manifesto did not have a direct bearing on the main BSE index, which was up around 1% in late afternoon trading. Many polls show that the Congress-led alliance could beat the main opposition grouping led by the BJP, but it could still fall short of a majority in Parliament. The ruling Congress government gained power in 2004, but many of its economic reforms were blocked by its communist allies which supported the alliance in Parliament. Source: Home - Livemint.com | 24 Mar 2009 | 12:02 pm India axes $1 bln helicopter tender - bidderNEW DELHI (Reuters) - India has cancelled a tender for 22 attack helicopters, European aerospace group EADS said on Tuesday, in a move that could delay efforts to modernise the country's air force over the next decade.Source: Reuters: Money News | 24 Mar 2009 | 11:59 am Airbus to set up manufacturing base in India in 3-4 yrsMajor aircraft maker Airbus Industrie plans to have a manufacturing base in India in the next three-four years, a top company official said on Tuesday.Source: India Business News | Business News - Times of India | 24 Mar 2009 | 11:57 am Tata Sky offers discount on new connection to Nano buyersNew Delhi: Riding on the Nano wave, Direct-to-Home major Tata Sky on Tuesday announced a promotional scheme for consumers booking the people’s car, offering a 20% discount on a new connection. As part of the exclusive offer, consumers can now avail a special 20% discount (about Rs300) on a new connection on submission of their booking proof for Tata Nano at any authorised dealer, Tata Sky said in a statement. “The launch of Nano is one of the biggest historic events in the auto industry. Now, the customers have a way to enjoy the benefits of Nano and Tata Sky through a single offer,” Tata Sky chief marketing officer Vikram Mehra said. The Nano customers will also get a discount of Rs500 on installation and the offer will be on from 9 April, 2009 to 14 May, 2009, it said. Source: LatestNews-Home - Livemint.com | 24 Mar 2009 | 11:45 am What does inflation mean for you - BBC News
Source: Google News India - Business | 24 Mar 2009 | 11:43 am IPL franchisees turn to BCCI to deal with financial lossNew Delhi: IPL franchisee owners are turning to the Board of Control for Cricket in India (BCCI) to deal with commercial issues as potential loss looms large following the shifting of the Twenty20 cricket tournament out of the country. “At present, we are focusing on the cricketing aspect of it. IPL has assured us that they would take care of the commercial issues,” Delhi Daredevils CEO Amrit Mathur said. While Mathur did not give details of the possible loss the team may incur due to change in the venue, he said it is working out with the sponsors. “Our sponsors are very much with us. We have a very enduring relationship with them. But we don’t know how much impact it would have financially,” he said. Hero Honda, one of the sponsors of the tournament and also a partner of Delhi Daredevils, said IPL moving out of India would result in missing opportunities for companies to leverage on their brands. “IPL moving out of India this year is likely to restrict opportunities to leverage our brand association, but it is commendable that IPL is going to take place despite several constraints ... but I strongly feel that no matter what, the show must go on. We remain committed to IPL and Delhi Daredevils,” Hero Honda Motors MD and CEO Pawan Munjal said. Source: LatestNews-Home - Livemint.com | 24 Mar 2009 | 11:41 am Nano bookings to soothe Tata Motors funding woes - Reuters
Source: Google News India - Business | 24 Mar 2009 | 11:40 am IPL could have been held in India, say pvt security providersNew Delhi: Even as the high profile Indian Premier League (IPL) has been shifted out of the country, private security providers claim the tournament could have been held if the organisers had utilised the vast pool of their trained personnel. The central organisation of such firms had written to IPL chairman Lalit Modi in this regard, offering several additional services including assistance in internal and external intelligence gathering. “In such events, at least 80% of the security arrangement is already being provided by private security agencies. And for IPL, we could have played a larger role as the government cannot spare much resources due to elections,” Kr Vikram Singh, chairman Central Association of Private Security Industry, said. There are over 50 lakh trained private security personnel available in the country. This pool also include armed security guards, who are basically ex-servicemen and well-versed in handling different weapons, he said. These agencies also offer a large pool of private intelligence personnel, who, they claim, can assist in gathering internal and external intelligence to abort any kind of threat in time. “Intelligence is the key of security and we have a huge pool of officers trained for gathering and analysis of intelligence inputs,” Singh said. Apart from this, “the well-trained guards are capable of access control, crowd control and sniffing out any eventuality,” said Brigadier B S Sankala (retd) CEO, 24 Guarding Pvt Ltd, which provided security services in all the matches of IPL held in Firozshah Kotla stadium last year. Maj (Retd) N K Gadeok, who is associated with SLV Security Services Private Ltd, said the IPL organisers could have utilised the private security resources to soften the pressure on the government security agencies. They say they could have provided security assistance for the cricket extravaganza by deploying 24 hours wireless communication, quick reaction teams, armed security guards and sniffer dog squads. These security providers, however, say that given the terrorist threat perception, especially in the wake of Mumbai and Lahore attacks, a certain degree of security from the government agencies is “critical” and could not be compromised. “If these agencies are ready to give the minimum required protection, we are confident that we can manage all other security aspects for the prestigious event,” Singh added. Source: LatestNews-Home - Livemint.com | 24 Mar 2009 | 11:38 am PM: economy to revive in big way in 6-7 monthsNEW DELHI (Reuters) - India's economy will revive in a big way in six to seven months as stimulus packages start to take effect, Prime Minister Manmohan Singh said on Tuesday.Source: Reuters: Money News | 24 Mar 2009 | 11:37 am Congress manifesto pushes rural help, jobsNEW DELHI (Reuters) - The ruling Congress party said on Tuesday in its election manifesto that it would include a hugely subsidised food scheme in new measures to protect farmers and the poor from the impact of the global slowdown.Source: Reuters: Money News | 24 Mar 2009 | 11:34 am Airbus, Air India resume talks on A-380 aircraft saleEuropean aircraft manufacturer Airbus Industrie has once again initiated talks with India's flagship carrier Air India to sell its jumbo A-380 aircraft, a senior company official said Tuesday.Source: IndiaeNews.com: Business News | 24 Mar 2009 | 11:31 am Airbus plans to set up manufacturing base in India in 3-4 yrsMajor aircraft maker Airbus Industrie plans to have a manufacturing base in India in the next three-four years.Source: Daily News & Analysis: Money News | 24 Mar 2009 | 11:30 am 'RIL to start gas production at KG-D6 in early April' - Hindu
Source: Google News India - Business | 24 Mar 2009 | 11:29 am India keen on exploring eco ties with south, east Africa - Indopia
Source: Google News India - Business | 24 Mar 2009 | 11:29 am Close: Markets pare losses to end flat, banks retain 2% gainNew Delhi: Markets cooled off from the day’s high to end flat on Tuesday owing to selective profit booking and weak European markets after a strong rally during the day. The Bombay Stock Exchange benchmark Sensex was up by 2% at noon as banking stocks led gains on investor confidence boosted by global financial rally. Markets opened trade more than 1% higher tracking Wall Street and Asian markets gain after US government declared plan to buy toxic assets of banks to give a boost to the world’s largest economy. Buying sentiment was also supported by foreign funds and expectations of the further easing of monetary policy as indicated by Planning Commission’s deputy chairman Montek Singh Ahluwalia. The 30-share BSE Sensex plunged to end at 9,471.04, a moderate 47.02 points up and the 50-share NSE Nifty slipped from its 3,000 mark to close at 2,938.70 or 1.30 points down. Banking segment continued on top despite losses and ended the day’s trade retaining 2.18% along with some buying among realty, capital goods, FMCG and auto sectors. HDFC Bank Ltd stocks advanced the most on the BSE index, rising by 6.31% to Rs940.50, along with ICICI Bank by 2.44% to Rs355.10, Housing Development and Finance Corp by 2.33% to Rs1,564.45 and government-run State Bank of India gained 1.09% to Rs1,034.65. Stocks of Ranbaxy Laboratories also surged by 1.83% to Rs164.00 as UK and Australia approved plants of the pharma company that US had previously rejected. Scrip that dragged gains on the index were of Jaiprakash Associates, down by 6.77% to Rs78.55, Hindalco by 4.51% yo Rs49.70, Reliance Infra by 4.23% to Rs508.15, Reliance Communications by 3.98% to Rs161.45 and Tata Steel by 3.63% to Rs187.35. Infosys Technologies also dropped by 0.58% to Rs1,322.95. Clearly stocks from metal, infrastructure and consumer durables segments pulled the index down. In the global markets, financial stocks rallied Japan’s Nikkei to end 3.3% and Hang Seng 3.4% up. In the European indices fall in commodity prices like of metal and oil are weighing down advances. Source: Home - Livemint.com | 24 Mar 2009 | 11:27 am KG basin D-6 field gas to lower India’s fiscal deficit: GoldmanNew Delhi: Global financial services firm Goldman Sachs on Tuesday said gas production from the Krishna Godavari basin D-6 gas field by end-March 2009, would help in reducing India’s fiscal deficit and is also likely to provide “some downside protection” to economic growth rate. “We believe the increased gas supply will improve somewhat the current account and fiscal deficits and provide some downside protection to GDP growth,” Goldman Sachs said in a research report. India’s fiscal deficit is projected to more than double to 6% of GDP this fiscal against the budgetary target of 2.5%. For the next fiscal, the deficit is estimated to be 5.5% of GDP. It added though the immediate benefits to the macro-economy are limited, it would provide positive news in an environment of negative external shocks and investment slowdown. The report added that gas production would increase the power generation capacity and is likely to lead to investments in the gas transmission and distribution infrastructure of over $10 billion (about Rs50,000 crore) in the next five years. Goldman further expects the gas production to substitute about 7% of oil consumption in 2009-10 and 10-11% over fiscal years 2011-1014. “According to our estimates, the total import bill could fall by 1% in FY’10 and an average of 3% during FY 2011-14,” it added. The gas production is likely to provide more revenue to the government that would increase over time as input cost is expected to come down. “We estimate that the direct impact of this on revenues will be in the order of 0.1% of GDP in FY’10, but increase to nearly 0.2% over FY 2011-FY14,” it said. Source: LatestNews-Home - Livemint.com | 24 Mar 2009 | 11:27 am ArcelorMittal sells euro1.1 bn in bondsBrussels: The world’s largest steel maker ArcelorMittal SA said on Tuesday that there was strong demand for the €1.1 billion in bonds it put up for sale. It said demand led it to increase the investment it is seeking from an initial euro750 million bond sale that it launched earlier Tuesday. It said it could still increase the offering to €1.25 billion. Corporate bonds have faced a tough market in recent months as investors see a higher risk of default during an economic downturn that is hurting company profits. ArcelorMittal insisted last week that it did not need to raise more money by issuing new shares and that it was moving aggressively to reduce debt. The company had net debt of $26.5 billion at the end of last year, a massive burden it accumulated from a recent expansion program and Mittal Steel Co.’s 2006 takeover of Arcelor which formed the company. ArcelorMittal, which makes some 10% of global steel, posted its first quarterly loss in the last three months of 2008 as demand from car makers and construction plunged. It is stepping up cutbacks as it tries to pay off $10 billion in debt by the end of this year. The company has sharply reduced output, shuttered plants and laid off temporary staff. Some 9,000 workers have also been offered voluntary redundancy. CEO Lakshmi Mittal warned in February that it could take up to two and a half years for the steel market to bounce back. He forecast worldwide demand to fall between 7 and 10% this year. Source: LatestNews-Home - Livemint.com | 24 Mar 2009 | 11:19 am Suzuki sells over 50 units of Rs12 lakh bikes in 4 monthsNew Delhi: Nano may be hogging the limelight but Japan’s Suzuki is quietly smiling having sold over 50 units of the bike, each priced 12 times the Rs1 lakh ‘People’s Car’ from the Tatas’ stable. The bikes — Hayabusa and Intruder — are powered by engines that are up to three times more powerful than the Nano. While Hayabusa is powered by a 1,340cc engine, Intruder has a 1,783cc V-twin engine in contrast to Nano’s 623 cc engine. Besides attracting common biking enthusiasts, the company has also succeeded in luring Bollywood actor John Abraham to buy a fresh Hayabusa. “These bikes are for those people who have money and also enjoy biking. We have got good response and sold 51 units so far in the country,” Suzuki Motorcycle India Pvt Ltd (SMIPL) vice president (sales & marketing) Atul Gupta said. The company has sold 23 units of Hayabusa and 28 units of Intruder in Delhi, Bangalore, Pune and Mumbai, he added. SMIPL, the Indian subsidiary of the Japanese major, had launched the two bikes in November last year and both were priced atRs 12.5 lakh (ex-showroom, Delhi). Asked about the customers, who have bought the products, Gupta said: “One of our proud customers of the bikes is actor John Abraham. He owns a Hayabusa.” The company had set a target to sell a total of about 300 units of the two bikes in a year. When asked if the launch of Nano would affect the sales of the company’s commuter segment bikes Gupta said, “Not at all. Mileage is very important to customers and our bikes run about 70 km per litre, while Nano will cover only 25 km.” Cost of ownership in Nano is also almost three times than buying a Suzuki motorcycle, he added. In the National Capital, the price of Suzuki’s 125cc motorcycle Zeus starts from Rs42,393 (ex-showroom), while Nano will be available from Rs1.23 lakh (ex-showroom). Suzuki, which re-entered India in 2006 with the launch of the two bikes after breaking off from a join venture with TVS Motor Company in 2000, is looking to launch at least two models every year. It is also expanding its production capacity to 2.5 lakh units per annum by April, 2009, with an additional investment of Rs150 crore, which would also take care of new product launches. So far it has invested Rs400 crore in the country. Source: LatestNews-Home - Livemint.com | 24 Mar 2009 | 11:17 am BSE Sensex pares rise to 0.5 pct; Infosys dropsMUMBAI (Reuters) - Profit-taking pared gains in the BSE Sensex to 0.5 percent on Tuesday after the market rose nearly 3 percent early, adding to a rise of more than 13 percent over the past two weeks.Source: Reuters: Money News | 24 Mar 2009 | 11:14 am Profit-selling trims gains, Sensex still up 47 points - Times of India
Source: Google News India - Business | 24 Mar 2009 | 11:13 am Profit-selling trims gains, Sensex still up 47 pointsThe Bombay Stock Exchange benchmark Sensex fell from the day's high to end with a moderate gain of over 47 points as funds indulged in booking profits at existing higher levels amid weak opening at European bourses.Source: India Business News | Business News - Times of India | 24 Mar 2009 | 11:06 am RIL to start gas production at KG-D6 in early April: oil secyNew Delhi: Reliance Industries will begin natural gas production at its prolific eastern offshore Krishna Godavari basin KG-D6 fields in the first week of April, Petroleum Secretary R S Pandey said on Tuesday. “I am told that Reliance will start production in early April, (meaning) the first week of April,” he said on sidelines of a conference here. KG-D6, which holds the promise of doubling natural gas availability in the country when it hits a peak output of 80 million standard cubic metres per day in one and a half years, would start with 5-10 mmscmd and ramp it up to 40 mmscmd by July. Pandey said Reliance would sign gas sales contracts with fertiliser companies, its first customers, in the next few days. “I have been told by the Department of Fertiliser and the supplier Reliance that they have almost finalised the agreement and (the Gas Sales and Purchase Agreement) will be signed in the next few days,” he said. Asked if the Government had plans to change the allocation of KG-D6 gas, Pandey said the priority list decided by an Empowered Group of Ministers (EGOM) will not be altered. Source: LatestNews-Home - Livemint.com | 24 Mar 2009 | 11:03 am Congress promises affirmative action, food security actPromising such populist steps like affirmative action in the private sector and a right to food act, the Congress party Tuesday said its economic policy will focus on inclusive growth, middle path and low inflation if voted back to power.Source: IndiaeNews.com: Business News | 24 Mar 2009 | 11:02 am Pacnet ups stake in JV, applies for long distance licencesHong Kong-based telecommunications major Pacnet Tuesday said it has increased its stake in its joint venture with FutureWorld India to 74 percent and will shortly apply for international long-distance (ILD) and national long-distance (NLD) licences.Source: IndiaeNews.com: Business News | 24 Mar 2009 | 11:00 am Markets cool off as profit booking kicks inThe rally in Indian equities markets lost steam Tuesday as investors took advantage of higher valuations and booked profits in select stocks, leading to a key index sliding from the day's high at day's close.Source: IndiaeNews.com: Business News | 24 Mar 2009 | 11:00 am Airbus plans to set up manufacturing base in IndiaNew Delhi: Major aircraft maker Airbus Industrie plans to have a manufacturing base in India in the next three-four years, a top company official said on Tuesday. “We don’t want to copy what we have done in China (having an aircraft manufacturing base there). China started more on the manufacturing side, but the biggest development in India was on engineering and services sector. “... But we plan to develop manufacturing base in India in the next three to four years,” Eric Zenin, head of Airbus business development and International cooperation, said here. Airbus director International Cooperation Swaminathan Dwarakanath said the company projected an expenditure of about $1 billion in India over the next 10 years if it found the “right partners and the right projects” as part of its globalisation plans. Maintaining that Airbus Industrie planned to shift part of its operations out of Europe, its executive vice president Christian Scherer said it planned to build up to 20% of aero structures and 30% of engineering sub- contracting offshore by 2020 and “India will get a large chunk of this business”. He said Airbus Industrie already had five engineering centres outside Europe — two in the US and one each in Bangalore, Beijing and Russia. Source: LatestNews-Home - Livemint.com | 24 Mar 2009 | 10:59 am Dabhol LNG terminal to start in April - GAILNEW DELHI (Reuters) - UK's BG Plc and Indian firms Essar and GVK Group are in the race to lease India's third liquefied natural gas terminal, which is expected to start by mid-April, a top official that owns the facility said on Tuesday.Source: Reuters: Money News | 24 Mar 2009 | 10:53 am PM hopes economy will rebound in 6-7 monthsWith farmers incomes' increasing despite inflation nearing zero, the PM exuded confidence that the economy would revive in a big way in 6-7 months.Source: Daily News & Analysis: Money News | 24 Mar 2009 | 10:52 am Pacnet eyeing Australia’s no. 3 telcoNew Delhi: Asian telecommunications firm Pacnet is interested in acquiring AAPT, but feels the valuation of Australia’s no. 3 phone group has come down since December, Pacnet’s chief executive said on Tuesday. A source had said in December, Pacnet was offering $420 million for AAPT, the Australian unit of Telecom Corp of New Zealand’s, as it looked to round out its Asia-wide telecoms network. “That may have been a correct figure a while ago. Things are different now,” Bill Barney told reporters in the Indian capital, without putting a new price on AAPT. He said Pacnet was in talks with up to nine firms in Australia for acquisitions, and that country was one of the four identified for buys in 2009. “We’ve got our cheque books open,” Hong Kong-based Barney said. “There’re four key markets we’re looking for acquisitions this year -- Japan, China, India and Australia.” But most firms were asking for prices that were above what Pacnet thought they were worth, and many of them had high debt levels as well, diminishing their attractiveness, he said. “There is quite a bit of disconnect between where people think they are and where they are.” Most of the firms Pacnet, Asia-Pacific’s top Internet service provider (ISP), looked to acquire would be smaller ISPs or those that added value to the firm’s offerings. “We have $100-$200 million cash on our balance sheets and we have the ability to raise $400 million-$1 billion cash fairly quickly,” he said, when asked about funds for the purchases. Unlisted Pacnet on Tuesday said it raised its stake in its Indian unit to 74% from 55%, and would apply for licences to offer national and international long distance telephony. Source: LatestNews-Home - Livemint.com | 24 Mar 2009 | 10:48 am India's Dabhol LNG terminal to start in April-GAIL - Reuters India
Source: Google News India - Business | 24 Mar 2009 | 10:47 am More hedge funds, PE firms to scale back in AsiaHong Kong: More hedge funds and private equity firms are likely to trim or shut their Asian operations as the widening financial crisis forces a retreat to core Western markets, two industry experts said on Tuesday. Both hedge funds and private equity firms rushed into Asia in recent years to cash in on the region’s booming economies and surging stock markets. But the global financial crisis has sapped demand for deals and appetite for risk. Exposure to toxic assets has also sparked massive losses at hedge funds, forcing some to shut down for good. While hedge funds have been hit harder so far, more private equity firms are also going to feel the squeeze, said Laure Wang, co-founder and managing director of Asia Alternatives, a private fund of funds. “The PE (private equity) side has definitely been slower. I definitely think it’s going to happen more,” Wang told the Reuters Private Equity and Hedge Funds Summit in Hong Kong. Hedge funds have been swamped by a wave of redemption orders, while less-liquid private equity funds typically require 10-year commitments from their investors. “This is just the beginning,” Wang said, adding that many firms could end up with a “token presence” in the region. The Carlyle Group CYL.UL last year shut down its Asia leverage finance group, which had been set up in 2007 as the region’s first dedicated leverage team among private equity funds. Blackstone Group’s $25 billion credit hedge fund, GSO Capital Partners LP, shut its Asia investment desk after failing to find attractive investments in the region, sources said earlier this year. “Asia became very stylish and I’d say even fashionable starting in 2005,” Timothee Bousser, managing director at Societe Generale in Hong Kong, told the Summit. “Today we are suffering from this excess.” Late last year, UK-based private equity firm 3i Group Plc said it was shutting offices in Hong Kong and Shanghai and moving its China dealmakers to Beijing to save money and focus more on mainland Chinese deals. Also in December, U.S. hedge fund giant Citadel Investment Group LLC said it would close its Tokyo office and its Asia principal investment operations by the end of 2008. Source: Home - Livemint.com | 24 Mar 2009 | 10:46 am Ashok Leyland develops hythane enginesNew Delhi: Hinduja flagship company Ashok Leyland on Tuesday said it has developed hythane engines to power its buses, in association with Australia’s Eden Energy. “The hythane engines are powered by a fuel which is a mix of CNG and hydrogen (usually 20% hydrogen by volume). We have been testing these engines at our Chennai facility,” said Ashok Leyland senior manager (alternate fuels product development) S. Yoganandam. He said it took the company two years to develop the hythane engine, the fuel technology for which has been provided by the Australian partner, but declined to comment on the investment into the project. The six-cylinder, 6-litre engine is compliant with Bharat Stage IV emission norms and application of these engines to buses is at an advanced stage at Ashok Leyland, he added. “As far as commercialisation of the engine is concerned, we are ready but it all depends on the availability of fuel. Right now there are only two hythane stations in the country, which are located in Delhi,“ Yoganandam said. Besides, a four-cylinder 4-litre engine is also being developed for hydrogen-CNG blend in a joint research and development programme with ministry of new and renewable energy and Indian Oil Corp., he added. Source: LatestNews-Home - Livemint.com | 24 Mar 2009 | 10:39 am MRPL to buy Cairn India’s initial output from Rajasthan fieldsNew Delhi: The government has named Mangalore Refinery and Petrochemicals Ltd, a unit of state-run Oil and Natural Gas Corporation (ONGC), as the buyer of Cairn India’s initial output from its prolific Rajasthan oilfields that are expected to begin production within a month from now. “We have named some of the refineries as government nominees to take Cairn crude,” Petroleum Secretary R S Pandey said on the sidelines of a conference here on Tuesday. MRPL has been appointed as the buyer of the initial crude oil and state-run refiner Indian Oil Corporation (IOC) would take the crude once volumes rise. “I am told crude oil production will begin in about a month’s time in small quantities,” Pandey said. Cairn will initially produce 4,000 to 5,000 barrels of oil per day from its fields in Barmer district of Rajasthan which would be transported in trucks to Kandla on Gujarat coast for onward shipment to Mangalore. Though IOC had indicated it can take up to 1.5 million tonnes of Rajasthan crude between its Koyali refinery in Gujarat and Panipat refinery in Haryana, the company would not immediately take the initial volumes as it lacks receiving facility at the refineries. Koyali, where the oil can be transported in trucks, does not have facility which can unload the waxy Rajasthan crude that turns solid at room temperature. Also, it does not have heated storages. Output from the Mangala field, the first of the three fields Cairn is putting to production, would rise to 30,000 barrels per day (1.5 million tonnes) in July-September. The initial output will be transported through trucks. A heated pipeline to transport the crude to Gujarat coast would start in the fourth quarter, when an additional 50,000 bpd will be produced. Peak output of 1,75,000 bpd (8.75 million tonnes a year) from the Mangala, Bhagyam and Aishwariya fields in Rajasthan block is to first go to state refiners, Pandey said. IOC has indicated that it can take 20,000 bpd (one million tonnes) at its Panipat refinery in Haryana and another 0.5 million tonnes at Koyali unit in Gujarat once a delayed coker is installed at the refinery. Mangalore Refinery, which is the official offtaker of Rajasthan crude, wants only 1.2 million tonnes while Hindustan Petroleum says it can take 0.5 million tonnes at its Vizag unit. The remaining unsold output would go to private refiners, he said. Reliance Industries and Essar Oil have expressed interest in buying Cairn crude. RIL wants 30,000 to 60,000 bpd (1.5-3 million tonnes) of Cairn crude each for its two refineries at Jamnagar in Gujarat while Essar Oil has written for 30,000 bpd this year and 1,20,000 bpd (6 million tonnes) by 2011 when it expands its Vadinar refinery in Jamnagar district. Since the crude is waxy, refiners need to put up infrastructure to receive the oil. Laying of spur pipelines and special heated storages for Rajasthan crude would take about six months. The Mangala field is expected to produce 30,000 bpd by the second quarter of 2009-10. Production is then expected to ramp up to 80,000 bpd by the end of 2009 before reaching a plateau of 1,25,000 bpd during H1 of 2010. Besides 1,25,000 bpd of Mangala, the adjacent Bhagyam field would produce 40,000 bpd and Aishwariya another 20,000 bpd. The peak of 1,75,000 bpd would be reached in 2011. Cairn is investing $850 million in a processing facility and another $940 million in a heated oil pipeline from the fields to the port of Viramgam in Gujarat. Cairn India, the subsidiary of UK-based Cairn Energy, holds a 70% stake and is the operator of the Rajasthan block. ONGC is its partner with a 30% stake. Pandey said Cairn and the buyers will work on the pricing of the crude. The crude from the onshore Rajasthan block RJ-ON-90/1 is waxy, low in sulphur, and has an API gravity of between 25 and 35 degrees. Cairn feels the Rajasthan crude could be benchmarked to Indonesian grades, which it resembles, while the buyers want heavy discounts to make up for the waxy nature of the crude. Source: Home - Livemint.com | 24 Mar 2009 | 10:38 am Europe shares dip as commodities weighFrankfurt: European stocks dipped early on Tuesday, weighed down by commodity shares and breaking a three-day winning streak after euro zone and UK macro data showed job losses and higher inflation. At 3:35pm, the pan-European FTSEurofirst 300 index was down 0.1% at 738.76 points. The index is down about 11% this year, but has recovered about 14.8% since falling to a record low on 9 March. Commodity shares tracked weakness in oil and metal prices. Anglo American, Rio Tinto and BHP Billiton were all down 4.5 to 5.9% as copper fell more than 2%, while Royal Dutch Shell fell 2.3%. On Monday, the US government offered incentives for private investors to help free banks of up to $1 trillion in toxic assets, helping shares to a massive recovery. However in Europe banks gave up early gains, with Credit Suisse down 2.6% after it said it would ask shareholders for the option to raise equity capital. HSBC fell 6% on worries about Asian growth. “This is a positive flickering but for me nothing has fundamentally changed. Economic data remains grim,” said Hans-Juergen Delp, equity market strategist at Commerzbank in Frankfurt. British consumer price inflation rose unexpectedly to 3.2% in February, while key figures from euro zone services and manufacturing activity showed the economy’s contraction eased a bit, while companies continue to slash jobs. Across Europe, the FTSE 100 index was down 1.2% Germany’s DAX was up 0.1% and France’s CAC 40 lost 0.2%. Analysts sounded a cautionary note on the US plan. “It is every policy maker’s dream that the private sector will realise that assets are mis-priced and pour in capital to correct such a mis-pricing,” Credit Suisse said in a global equity strategy note on Geithner’s plan. “In reality, the private sector is shell-shocked, ultra cautious and at the very least such an allocation of capital will take some time to implement,” Credit Suisse said. Shares in Metro dropped 3.7% after the world’s fourth-largest retailer reported fourth-quarter results that met analysts’ forecasts, but said it saw 2009 sales falling significantly short of its medium-term goal. “The 2008 numbers were solid, but the missing outlook for 2009 is making the waters murky,” says LBBW analyst Bernd Muell. Source: Home - Livemint.com | 24 Mar 2009 | 10:28 am Geithner to map US financial regulation reform - Reuters
Source: Google News India - Business | 24 Mar 2009 | 10:17 am DLF to open four new malls before Diwali 2009New Delhi: The country’s largest realty firm, DLF, on Tuesday said that it would open four new shopping malls in the Delhi-NCR region before Diwali (mid-October) this year and is expecting a lower rent in its new malls than existing levels. “We have currently eight malls operating across India and we are now launching four new malls in Delhi-NCR before Diwali this year. Although occupancy in the new malls would be slow initially, we expect it to reach 100% later,” DLF Retail Developers managing director Arvind Nair said on the sidelines of a CII conference here. DLF Retail Developers, which is a subsidiary of DLF, constructs shopping malls. The company follows both sale and lease model for its retail space. Nair, however, did not reveal the investment figures for the new malls or total retail space that would be constructed. He said that most of the space in the new malls have already been rented out. “Although there has been some impact on rentals due to the downturn, we have not resorted to any renegotiations in our operational properties. However, rents on an average would be lower in our new malls as compared to existing ones,” he said. Terming footfalls as normal, Nair said developers are focussed on prioritising to avoid the slowdown. “Therefore, we have put our focus mostly on the metro cities,” he added. Source: Home - Livemint.com | 24 Mar 2009 | 10:02 am Go Indian to go global, fashion editor tells Indian designersIndian designers need to focus more on the country's heritage if they are to make a mark internationally, says eminent fashion journalist Suzy Menkes.Source: IndiaeNews.com: Business News | 24 Mar 2009 | 10:00 am Markets give up gains, close lowerIndian equities markets gave up their day's gains to end Tuesday marginally in the red, with a key index ending trade 0.23 percent lower than its previous close.Source: IndiaeNews.com: Business News | 24 Mar 2009 | 10:00 am IPL: Modi, Majola meet at undisclosed placeDurban: Indian Premier League (IPL) Commissioner Lalit Modi will meet Cricket South Africa CEO Gerald Majola at an undisclosed venue Tuesday afternoon to discuss the possibility of hosting the second edition of the Twenty20 event here. “Cricket South Africa’s CEO, Gerald Majola, is due to meet with Lalit Modi, in South Africa Tuesday afternoon at an undisclosed venue to discuss IPL hosting issues,” the CSA said in a statement. The outcome of the meeting would be conveyed later, the cricket board said. According to sources, Modi will check out the possibility of hosting the event here after the government back home had an issue with the dates of the tournament which clash with the Lok Sabha elections. Modi is expected to leave Johannesburg for London Tuesday evening. He is expected to hold talks with the England and Wales Cricket Board there, exploring the possibility of hosting the league there. South Africa, however, has an edge over England as a potential host of the cash-rich event because of the good weather in the April-May period. Source: Home - Livemint.com | 24 Mar 2009 | 9:56 am Deutsche Bank might have to cut jobs: annual reportFrankfurt: The biggest German bank, Deutsche Bank, said on Tuesday it might have to eliminate jobs as it battles the global financial crisis. “New economy measures might be necessary. The elimination of jobs cannot be ruled out,” the bank said in its 2008 annual report. Deutsche Bank’s Josef Ackermann added however that the bank was “well positioned” to deal with the crisis and that early results this year were encouraging. Ackermann, a Swiss national, has given up his 2008 bonus and earned a total of €1.4 million ($1.9 million) last year, 10 times less than in 2007, the report said. Deutsche Bank had already reported a net loss of €3.9 billion in 2008. Source: World Business - Livemint.com | 24 Mar 2009 | 9:48 am Buy Tata Tea, target of Rs 853: Sharekhan - Moneycontrol.com
Source: Google News India - Business | 24 Mar 2009 | 9:46 am Airline industry to lose $4.7 billion in 2009: IATAGeneva: World airlines are set to lose $4.7 billion this year as a result of the global recession that has shrunk passenger and cargo demand, industry body IATA said. The International Air Transport Association had estimated in December the industry would lose $2.5 billion in 2009. “The state of the airline industry today is grim. Demand has deteriorated much more rapidly with the economic slowdown than could have been anticipated even a few months ago,” Director-General Giovanni Bisignani said on Tuesday. “The relief of lower fuel prices is overshadowed by falling demand and plummeting revenues. The industry is in intensive care.” IATA, which represents 230 airlines including British Airways, Cathay Pacific, United Airlines, and Emirates, also raised its estimate of international airline losses in 2008 to $8.5 billion, from its previous $8 billion estimate. The Swiss-based body said its latest forecast was based on a view that the economy and air transport demand would hit bottom by mid-2009 and then start to recover. “We do expect better prospects toward the end of this year or the beginning of 2010,” Bisignani told a news conference at Geneva airport. Leading airlines have slashed fares to encourage continued travel and unveiled a range of cost-cutting measures to stay afloat throughout an economic slump. Fares should stay low throughout the year while airlines compete for the business that remains until global economic activity rebounds, Bisignani said. Asia-Pacific carriers will continue to be hardest hit by global economic turmoil and are expected to post losses of $1.7 billion, against the earlier forecast loss of $1.1 billion in 2009, according to the Geneva-based body. Carriers in North America are expected to deliver the “best performance” among the world’s regions with an estimated $100 million profit, IATA said, crediting their strength to early capacity cuts and relatively little fuel hedging that has permitted them to benefit from sliding oil prices. And European carriers are expected to lose $1 billion in 2009 as a result of the recession that will continue to drag down both economy and premium demand worldwide. Nearly 40 airlines worldwide have suspended their operations in the last 15 months because they could not pay their bills, Bisignani said. International passenger demand fell 5.6% in January compared to the same month a year ago, and cargo volumes fell 23.2% year-on-year, the eighth consecutive month of contraction for cross-border freight. IATA’s February traffic figures are due to be released later this week. The data excludes domestic flights. Source: Home - Livemint.com | 24 Mar 2009 | 9:45 am India has room to ease monetary policy - AhluwaliaNEW DELHI (Reuters) - India's growth is seen slowing to 6.5 percent in the fiscal year that ends on March 31, below official forecast of around 7 percent, and there is room for more monetary easing, a senior government official said.Source: Reuters: Money News | 24 Mar 2009 | 9:30 am Markets hold on to gains in afternoonIndian equities held on to their morning gains Tuesday afternoon on the back of increased buying in banking and realty stocks. A key index was ruling 1.89 percent higher about 90 minutes before the closing bell.Source: IndiaeNews.com: Business News | 24 Mar 2009 | 9:30 am Rejected by US, Ranbaxy gets UK, Australia approvalsNew Delhi: India’s largest drug company said one of its plants that was blacklisted by the United States has been given approval by British and Australia regulators. The US Food and Drug Administration (FDA) said in February that New Delhi-based generics giant Ranbaxy had “falsified data and test results in approved and pending drug applications.” But a statement issued late on Monday by the firm said the plant had been given Good Manufacturing Practice certificates by Britain’s Medicines and Healthcare Regulatory Agency and Australia’s Therapeutic Goods Administration. The British approval will cover new product applications for Britain and also apply to product applications for the rest of the European Union, Ranbaxy added. The announcement came as a boost for Ranbaxy’s beleaguered Japanese owners, Daiichi Sankyo, which has seen the value of its investment sink in Ranbaxy as a result of a flurry of bad regulatory news. Daiichi Sankyo is Japan’s third-largest drugmaker. The FDA suspended evaluations of any new or pending drug approval applications containing data supplied by the suspect plant in northern Himachal Pradesh state until the matter was sorted out. Ranbaxy, which has said it will study the FDA’s allegations, has promised to work with the agency to clear its name. Source: Home - Livemint.com | 24 Mar 2009 | 9:30 am AIG to give back $50 mn in bonuses:officialsWashington: Bosses at embattled insurance giant AIG have agreed to pay back $50 million in bonuses, amid a public outcry over the use of taxpayer money for executive perks, New York Attorney General Andrew Cuomo said on Monday. “So far, nine of the top 10 bonus recipients have agreed to give the bonuses back. Of the top 20, 15 have agreed to return the bonuses,” Cuomo said in a statement. AIG has been lambasted for using $165 million of government bailout funds to pay for staff bonuses, despite massive losses at the firm. In the final quarter of 2008, AIG posted a $61.7 billion loss, the largest quarterly loss ever recorded in the United States. The US government has so far pumped around $170 billion into the insurance giant to keep it afloat, fearing its collapse could deepen a market-wide liquidity crisis. News that AIG staff had received retention bonuses derived from tax payers cash prompted US lawmakers to propose a 90% tax on the premiums. The New York Times earlier reported that $30 million of the bonus payback would come from the firm’s financial products division. The division was widely blamed for the company’s downfall through its investments in complex financial derivatives that turned out to be worth a fraction of their on-book value. “I would like to say this to the individuals who have given the money back: You have done the right thing. You have done what this country now needs and demands,” Cuomo said. The give-backs come as US lawmakers on Capitol Hill mull legislation that would impose punishing taxes on executives who fail to reliquish their bonuses. The House of Representatives last week approved a 90% tax on bonuses paid to employees who earned more than $250,000 at firms if their firms received more than five billion dollars in government rescue funds. Meanwhile, US Treasury Secretary Timothy Geithner and Federal Reserve chief Ben Bernanke face a grilling from lawmakers Tuesday over government aid for AIG after a furor over bonuses at the troubled insurer. Geithner and Bernanke will testify before the House of Representatives’ Financial Services Committee, where they “will have the opportunity to explain directly and publicly the actions they have taken to rescue AIG from collapse and monitor the company’s performance since then,” said Democratic Representative Paul Kanjorski. “They have much to clarify for the American public. I look forward to their appearances,” said Kanjorski, chairman of the panel’s subcommittee on capital markets, insurance, and government-sponsored enterprises. Also testifying Tuesday will be William Dudley, president and chief executive officer of the Federal Reserve Bank of New York Source: World Business - Livemint.com | 24 Mar 2009 | 9:09 am Asus launches laptop with whole-day-battery for Rs 26,000Taiwanese computer maker ASUS has come out with a netbook with 9.5 hours of battery life.Source: Daily News & Analysis: Money News | 24 Mar 2009 | 8:49 am India rupee drops as euro weakens, stks pare gains - Reuters India
Source: Google News India - Business | 24 Mar 2009 | 8:48 am Indian sugar futures drop as spot supplies rise - Reuters India
Source: Google News India - Business | 24 Mar 2009 | 8:47 am Hong Kong-based telecom firm to invest $300 mn in IndiaHong Kong-based Pacnet, one of Asia's leading telecommunications service providers, Tuesday said it will invest $200-300 million in India over the next two-three years.Source: IndiaeNews.com: Business News | 24 Mar 2009 | 8:31 am 'Meltdown an opportunity for India, Africa to deepen ties'The current economic crisis could be a blessing in disguise for both India and Africa, according to Minister of State for External Affairs Anand Sharma.Source: IndiaeNews.com: Business News | 24 Mar 2009 | 8:30 am AIG to give back bonuses worth $50 millionThe bonus payment by AIG had drawn flak from the White House for using the government's bailout funds to pay bonuses to its top executives.Source: Daily News & Analysis: Money News | 24 Mar 2009 | 8:18 am Lawyer goes to court against Ratan Tata for 'helping' Narendra ModiA lawyer in Bihar has gone to court against Tata group chairman Ratan Tata for launching the Nano car ahead of the elections, alleging that the launch would 'help' Gujarat Chief Minister Narendra Modi who provided land to the Tatas after the car project was shifted out of West Bengal.Source: IndiaeNews.com: Business News | 24 Mar 2009 | 7:31 am HSBC sticking to Asia insurance growth targetSeoul: HSBC still sees significant opportunities in Asia’s insurance market, particularly in countries like India and China, and will not rule out possible acquisitions, a top executive said on Tuesday. David Fried, chairman and chief executive of HSBC Insurance (Asia-Pacific) said that he was aiming for the insurance unit to represent 20% of the group’s total profits, versus 16% last year before impairments and goodwill charges. “With the opportunities in Asia, I would expect that we would be the driver of the lot of the growth going in the future,” Fried said. Outside of Japan, South Korea and Taiwan, insurance in Asia-Pacific was for the most part extremely underdeveloped, Fried added. Insurance premiums represent in excess of 8% of gross domestic product in Japan and South Korea but only 1% in Vietnam and 2% in India, he estimated. China spends only 4% of GDP on insurance. In the face of the ongoing economic downturn, Fried said that needs for safer retirements, children’s education and family protection would remain intact. In Asia, demographic changes such as a fast-ageing population would present “significant” opportunities, with China, India, Vietnam and Indonesia among the most promising markets, he said. “I expect... that we will see double digit growth in insurance sales over a ten year period (in these countries).” Asked whether HSBC, whose banking arm last year pulled out of a $6.3 billion deal to purchase a majority stake in Korea Exchange Bank, would consider fresh deals in the insurance sector, Fried said the group remained open. “If a right opportunity did present itself, we would definitely consider it.” HSBC has invested a total of $450 million across the Asia-Pacific region in the last two and a half years, including the establishment of joint ventures. Fried’s comment came after American International Group put its Asian unit up for sale, drawing preliminary bids from Prudential Plc and Manulife Financial Corp, according to sources. In South Korea, unlisted Kumho Life Insurance has been up for grabs since late last year by its parent Kumho Asiana Group. HSBC gained a toehold in the world’s seventh-largest insurance market after it bought a 50% stake minus one share in the insurance unit of Hana Financial Group, South Korea’s No. 4 financial services firm, for $58.4 million last year. Source: World Business - Livemint.com | 24 Mar 2009 | 6:55 am IBM-Sun talk creates business opportunity: DellTokyo: The chief executive of Dell Inc said on Tuesday that talk of IBM possibly buying Sun Microsystems was providing an “enormous opportunity” to the world’s No. 2 PC maker in the corporate server market. Michael Dell said such talk created uncertainty over the future of Sun’s Solaris-based servers and accelerated a customer migration to the servers based on standard industry components, known as x86 servers, which are Dell’s mainstay product. Apart from the potential IBM-Sun union, Dell is also facing an uphill battle with network equipment maker Cisco Systems with and Hewlett-Packard. Cisco has announced a foray into the server market and HP has started to offer a more complete package of technology services to its corporate clients after its purchase of EDS. “Just the rumour of IBM potentially purchasing Sun creates an enormous opportunity because all of the Sun accounts are very concerned what will happen to the Solaris platform and Sparc microprocessor,” Dell told a briefing in Tokyo. “I think this accelerates the migration (to x86-based servers) and sends a lot of those accounts into an opportunity,” he said. Sources with knowledge of the matter have said International Business Machines Corp is in talks to buy Sun Microsystems. The Wall Street Journal reported that IBM was offering to pay at least $6.5 billion in cash, with the total deal value at about $8 billion, including $1.4 billion of cash on Sun’s balance sheet. Dell lags both IBM and HP in the server market, with a 2008 market share of around 12 percent, according to research group IDC. Its focus has been on low- to mid-range x86 servers, and Dell ranks second in that market after HP. Dell also said that the company was exploring the business of smaller screen devices, while its consumer business is growing faster than the industry in the first quarter. The company is considering making and selling smartphones based on Google’s Android operating system and Microsoft’s Windows Mobile software, the Wall Street Journal reported in January. PC sales make up around 60% of Dell’s revenue, and the global recession and popularity of cheaper personal computers caused the company’s quarterly revenue to fall more than expected in the three months to the end of January. Source: Tech News - Livemint.com | 24 Mar 2009 | 6:22 am Profit-selling trims gains, Sensex still up 47 pointsThe Bombay Stock Exchange benchmark Sensex on Tuesday fell from the day's high to end with a moderate gain of over 47 points.Source: Daily News & Analysis: Money News | 24 Mar 2009 | 5:32 am AIG employees hand over bonuses - NYAG CuomoNEW YORK (Reuters) - Fifteen of 20 American International Group leading bonus recipients have agreed to give them back in full, said New York's top legal officer who is probing into $165 million in executive pay at the troubled company bailed out by the U.S. government.Source: Reuters: Money News | 24 Mar 2009 | 5:27 am U.S. woos investors to buy toxic assets from banksWASHINGTON (Reuters) - The Obama administration on Monday offered a raft of incentives for private investors to help rid banks of up to $1 trillion in toxic assets that plunged the world economy into crisis.Source: Reuters: Money News | 24 Mar 2009 | 4:35 am Day Trading GuideFresh short-position can be initiated only if DLF declines below Rs 163, with stiff stop-loss. Buy Infosys stock in dips with tight stop-loss at Rs 1,311. The near-term outlook is bullish onSource: Business Line - Home Page | 24 Mar 2009 | 12:00 am How customers can book their NanoMumbai, March 23 “Tata Nano: Now within Reach.” This is Tata Motors’ tag line as it gets set for a marketing blitzkrieg through online gaming and other non-conventional media to retail the people’sSource: Business Line - Home Page | 24 Mar 2009 | 12:00 am From afar, gloomy Singur watches Nano roll outFrom Singur As the world’s most-awaited car, Tata Motors’ Nano was launched in Mumbai on Monday, gloom descended on Singur from where the car was originally to roll out. The Tata low-cost car project, which was to change theSource: Business Line - Home Page | 24 Mar 2009 | 12:00 am Vijaya Bank (Rs 23.10): BuyWe recommend a buy on Vijaya Bank stock from a short-term trading perspective. It is apparent from the charts of Vijaya Bank that it was on medium-term downtrend from its January high of Rs 39.3 to its March low of Rs 20. The stock had lostSource: Business Line - Home Page | 24 Mar 2009 | 12:00 am Nano wait is overMumbai, March 23 The Tata Nano, India’s least expensive car, was launched at a glittering ceremony at the Parsi Gymkhana on Mumbai’s Marine Drive on a Monday evening. The people’s car will hit the roads inSource: Business Line - Home Page | 24 Mar 2009 | 12:00 am Market rallies on sustained buyingMumbai, March 23 The benchmark index Sensex recorded the highest single day gain of this year on Monday as the market witnessed sustained buying by domestic and foreign institutionalSource: Business Line - Home Page | 24 Mar 2009 | 12:00 am MFs make stock-specific additions in FebruaryNot able to make your mind up on which stocks to buy and which not to? Well, when in doubt, try taking cues from the big guys.Source: Business Line - Home Page | 24 Mar 2009 | 12:00 am Banks get service tax relief on deposit insurance premiumMumbai, March 23 Revenue authorities have done banks a good turn towards the close of the financial year.Source: Business Line - Home Page | 24 Mar 2009 | 12:00 am ‘Nano is a watershed moment for the automobile industry in India’Chennai, March 23 Dr V. Sumantran, formerly Executive Director (Passenger Car Business Unit and Engineering Research Centre), Tata Motors, was associated with the Nano project during its conception. Now Executive Vice-Chairman, Hinduja AutomotiveSource: Business Line - Home Page | 24 Mar 2009 | 12:00 am High open interest in index put option dealsBL Research Bureau Indian stock markets had to climb a wall of scepticism in March. It is perhaps because of this lack of conviction that the short positions in index options have burgeoned to an all-time high this month.Source: Business Line - Home Page | 24 Mar 2009 | 12:00 am Nano is not a gimmick: Ratan TataTata Motors chairman Ratan Tata spoke to TOI about his dream car, its fruition and his expectations from Nano during the mega launch ceremony on Monday.Source: India Business News | Business News - Times of India | 23 Mar 2009 | 9:45 pm New Trai chairman unlikely till JuneNripendra Misra's term as the Trai chairman ended on Sunday, but his replacement has not been named so far.Source: Daily News & Analysis: Money News | 23 Mar 2009 | 9:39 pm Markets surge on US stimulus and short coveringStocks are back in fashion, rallying in the face of a trillion-dollar package by the Obama administration in the US and positive global cues.Source: Daily News & Analysis: Money News | 23 Mar 2009 | 9:12 pm DLF Assets set to raise Rs 2,500 cr of debtDAL, the largest real estate developer in the country, is in talks with national banks and financial institutions to raise about Rs 2,500 crore.Source: Daily News & Analysis: Money News | 23 Mar 2009 | 9:10 pm No more Re 1 airfareDGCA asks airlines to advertise total fare and its break-up.Source: Daily News & Analysis: Money News | 23 Mar 2009 | 9:09 pm Fertiliser firms yet to buy new RIL gas dealTalks between Reliance Industries (RIL) and fertiliser companies over gas supply terms are still not over, indicating some hiccups remain.Source: Daily News & Analysis: Money News | 23 Mar 2009 | 9:02 pm Road Test: Nano second to none!The Nano is a small car concept reduced to the maximum. Bijoy Kumar Y drove one to file this report.Source: Business Standard | Front Page Headlines | 23 Mar 2009 | 7:31 pm Rivals accuse IBM of stifling competitionMountain View, California: Computer services provider International Business Machines Corp. (IBM) has dominated the mainframe computer business since it was created four decades ago. And it still gets about one quarter of its $100 billion (Rs5.05 trillion) in annual revenue from sales, software, services and financing related to the machines.  Battling on: Steven Friedman, president of T3 Technologies, which filed an antitrust complaint against IBM. Chip Litherland / NYT Despite eliminating the Platform threat, IBM still faces the wrath of many in the computer industry. The Computer and Communications Industry Association, a trade group backed by the likes of Google Inc., Oracle Corp. and Microsoft Corp., described the Platform deal as “a clear attempt by IBM to purchase a company solely to foreclose competition in the mainframe marketplace, protecting its cash cow at the expense of consumers”. And T3 Technologies Inc., a small company that resold Platform’s products and was devastated by IBM’s move, has filed an antitrust complaint against IBM with regulators at the European Commission. Platform was not the only potential competitor that drew IBM’s fire. At the same time that it sued Platform, IBM declined to renew a patent licence with Fundamental Software Inc., which also made mainframe emulation software. As a result, Fundamental sits in limbo with a once-popular product it cannot sell, hoping that IBM will change its stance. If IBM were to seal the Sun deal,it would also gain a monopoly on the key storage systems for mainframes In a paper commissioned by Microsoft examining the alternative mainframe technologies, Walter F. Tichy, a professor of computer science at the University of Karlsruhe in Germany, concluded that as a result of IBM’s actions, “customers have been denied the benefits of technological innovation and must instead pay above-market prices for IBM mainframe solutions and premium wages for a dwindling mainframe workforce”. IBM said in a statement that it is confident no competition laws have been violated. No stranger to controversies about its clout, IBM agreed in 1956 to an antitrust consent decree after a battle with the US’ department of justice. Long since expired—it had to do with accounting machines, not mainframes—the decree nevertheless helped companies such as Amdahl Corp., Hitachi Ltd and Fujitsu Ltd sell computers that could run IBM’s mainframe software, which they licensed from the company. By late 1990s, all other mainframe makers decided to abandon the technology because it was too expensive to keep up with IBM’s custom chips and software. More recently, Sun Microsystems Inc., Hewlett-Packard Co. (HP) and Microsoft have made mostly unsuccessful attempts to pull mainframe customers away from IBM by creating products that handle similar tasks, but run on servers. IBM is now negotiating to buy Sun for about $7 billion, and if the deal were to be sealed, IBM would also gain a monopoly on the key storage systems used for mainframes. Mainframes crunch the data just about every time someone withdraws money from an automated teller machine, uses a credit card or buys a product from a large retailer. IBM contends that the continued popularity of mainframes stems from its efforts to modernize the systems so that they can run more contemporary business software. However, A.M. Sacconaghi, an analyst at Sanford C. Bernstein and Co. Llc., suggested that IBM has benefited more from the lack of competition than from updated technology. The growth rate for the amount of mainframe processing power sold per year has fallen over the last eight years, undermining IBM’s claims of rising interest in the products. IBM’s release of new mainframe systems has slowed to every 30-36 months from every 18 months or so. Platform argued that by running emulation technology on standard business servers, it had a cheaper, faster alternative that could meet the needs of smaller businesses, which had been neglected by IBM. The technology lets customers run mainframe and server programmes on the same hardware, meaning they could buy less and do more. “It really was something that the marketplace wanted,” said Ron Hilton, a former Amdahl engineer and later the founder and chief technology officer (CTO) of Platform. Early customers included the University of Alabama Medical Center, Cascade Natural Gas Corp. and Polk County in Iowa. HP liked Platform’s concept and in 2006 it almost bought the company for close to $200 million. Just before the deal was to close, however, it fell apart when HP’s lawyers discovered letters from IBM stating that it would refuse to licence its mainframe software to Platform. IBM sued Platform weeks later, accusing it of infringing on IBM’s patents and undermining the company’s immense investment in mainframe technology. Platform responded with a countersuit, accusing IBM of seeking to eliminate choice in the mainframe market. It later complained to the European Commission about IBM’s alleged abuse of its dominant position in the mainframe market. Platform’s lawyers considered Europe a more likely place for a legal victory, since regulators there tend to have more sympathy for antitrust complaints. Unable to sell products without an IBM software licence, Platform fired most of its staff, keeping five people to pursue the litigation. In November 2007, Platform got a jolt of cash when Microsoft joined Platform’s existing investors, including Intel Capital and Goldman Sachs, to put $37 million more into the company, allowing it to rehire staff and work on a fresh product. But as the legal proceedings dragged on, Platform’s investors grew weary. “We were sixnine months from getting a new product to market,” Gregory Handschuh, former general counsel at Platform, recalled. “The investors just didn’t have the stomach for fighting a very difficult case.” IBM, meanwhile, did not want to risk a lengthy European antitrust investigation, Handschuh said. IBM maintains that it bought Platform for the company’s technology and talent, not to kill a competitive product. Platform’s engineers had explored ways to speed the flow of data between other computers and a mainframe, adding horsepower to jobs such as encryption or data analysis. They also had a view of how they could extend these designs to include other accelerators such as IBM Cell chip. “It was at a point where we could gain time to market with the technology and that means money,” said Mark Anzani, CTO for IBM’s mainframe business. While Platform has disappeared, its fight against IBM lives on in a modified form. T3 Technologies, the biggest packager of Platform’s technology, is carrying on the battle with financial support from Microsoft. In January, T3 presented the European Commission with yet another complaint asserting that IBM had abused a monopoly position in the mainframe market. “You can just be pushed around by a schoolyard bully or you can fight them and stand up for what you believe is right,” said T3’s president, Steven Friedman. “We still want to provide an option for the mainframe marketplace.” ©2009/THE NEW YORK TIMES Source: Tech News - Livemint.com | 23 Mar 2009 | 7:12 pm Nano's real & coolAdil Jal Darukhanawala, editor of Times of Indias zigwheels.com, gets behind the wheel of a Tata Nano to bring you exclusive first drive impressions of a car which is sure to rock the roads.Source: India Business News | Business News - Times of India | 23 Mar 2009 | 7:11 pm Small investors skip debt, equity schemesSmall investors seem to have hit the pause button, especially those in the suburbs of Mumbai.Source: India Business News | Business News - Times of India | 23 Mar 2009 | 7:10 pm Sensex rally could continue till AprilShort covering - buying by speculators, who had earlier sold stocks without owning them, to square off their positions - also pushed up indices.Source: India Business News | Business News - Times of India | 23 Mar 2009 | 7:09 pm 'Affordable for 14m more'The launch of Nano at Rs 1 lakh will make four-wheel vehicles affordable to additional 14 million household in the country, said credit rating agency Crisil.Source: India Business News | Business News - Times of India | 23 Mar 2009 | 7:08 pm Sister brands on Nano rideA lot rides on the Nano for the Tata group, which aims to derive synergies from the buzz around the world's cheapest car to promote its other brands.Source: India Business News | Business News - Times of India | 23 Mar 2009 | 7:05 pm Lifeline for Tata MotorsWhile a standard version will cost Rs 95000 in booking amount, the middle version CX will require Rs 1.2 lakh and the top-end, 1.4 lakh.Source: India Business News | Business News - Times of India | 23 Mar 2009 | 7:02 pm Sensex rises on global optimism, FII inflowsBut the rally can't be sustained, market players say.Source: Business Standard | Front Page Headlines | 23 Mar 2009 | 7:01 pm Nano - finally!The peoples car is finally within reach. Fifteen months after it was unveiled at the Auto Expo in New Delhi, bookings for the Nano, which is set to revolutionise the lower end of the global automotive market, will start from April 9 and end on April 25. Delivery of the cars will begin from July this year.Source: Business Standard | Front Page Headlines | 23 Mar 2009 | 6:58 pm ING chief to staff: please pay back your bonusNetherlands: The incoming chief executive of Dutch financial services company ING Groep NV made a “moral appeal” on Monday for his senior staff to pay back their 2008 bonuses. The call by Jan Hommen comes with ING under fire for handing its new chief financial officer 100,000 ING shares as part of his enlistment package, despite a government bailout of billions of euros to prop up the banking and insurance group. Some ING managers have indicated they were prepared to relinquish their bonuses, Hommen was quoted as saying in an interview published on Monday in the daily De Volkskrant. “That is why we are asking the top 1,200 (managers) to give up their bonus,” he said. No bonuses were planned for this year, he said, and the group is reviewing its policy on pay packages. ING reportedly paid out €300 million in bonuses for 2008. In February, ING reported a net loss of €3.1 billion for the previous quarter and said it planned to cut operating costs by euro1 billion in 2009. The shortfall was caused by losses of €1.07 billion at ING’s banking arm, mostly due to larger provisions for bad loans, and €2.04 billion at its insurance arm, primarily because of investments gone sour. Dutch finance minister Wouter Bos welcomed ING’s decision, but said it did not go far enough. “It’s a good start,” he said. “We will announce this week a number of measures and the main rule will be that if you are supported by the government, the tax payer, then there is no room for bonuses.” Source: World Business - Livemint.com | 23 Mar 2009 | 11:15 am
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