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Watch: Raghav Bahl\'s speech at Forbes India launchSpeaking at the launch of the Forbes magazine, Raghav Bahl, Managing Director, Network18, said audiences in India would need global content, which was global but seamlessly woven into the genes of local Indian content.\"Source: Moneycontrol Top Headlines | 23 May 2009 | 3:45 pm Russian firm offers to invest in Facebook: Report !A Russian Internet-investment group has offered to invest 200 million dollars in Facebook Inc, The Wall Street Journal reported.Source: Zee News : Business | 23 May 2009 | 12:23 pm GM borrows USD 4 bn more, prepares for bankruptcy!General Motors Corp on Friday borrowed another USD 4 billion from the US Treasury and won a cost-cutting deal from Canadian auto workers as a showdown with bondholders set the stage for a bankruptcy filing by the end of the month.Source: Zee News : Business | 23 May 2009 | 12:23 pm Obama signs sweeping credit card reform bill!US President Barack Obama signed into law on Friday sweeping reforms that restrict credit card interest rates and fees.Source: Zee News : Business | 23 May 2009 | 12:23 pm Sensex ends historic week with a 14% gain - Sify
Source: Google News India - Business | 23 May 2009 | 11:33 am Fed\'s easy money policy led to US crisis: Steve ForbesSteve Forbes, President and CEO, Forbes, and EditorinChief, Forbes Magazine, said the crisis is a creation of the Fed and its policy of easy money over the last decade.Source: Moneycontrol Top Headlines | 23 May 2009 | 11:27 am NEWSMAKER - Mukherjee takes charge of slowing Indian economyNEW DELHI (Reuters) - Veteran Congress party leader Pranab Mukherjee takes over as finance minister at a time when Asia's third-largest economy faces slowing growth, worsening public finances, falling exports and massive job losses.Source: Reuters: Money News | 23 May 2009 | 11:27 am Satyam has 10000 excess staff: Tech Mahindra - India Infoline.com
Source: Google News India - Business | 23 May 2009 | 11:18 am Fox Star Studios enters Tamil film industry with MurugadossFox Star Studios, a joint venture between Twentieth Century Fox and Star, has decided to expand its operations to the Tamil film industry by signing an exclusive deal with 'Ghajini' director A.R. Murugadoss.Source: IndiaeNews.com: Business News | 23 May 2009 | 11:01 am Pranab's first priority to present budget for 2009-10Often described as a man for all seasons and seen by his party as a trusted trouble shooter, Mukherjee's first task would be to present the budget for 2009-10.Source: Daily News & Analysis: Money News | 23 May 2009 | 10:51 am Monsoon hits Indian coast, early crop sowing likelyNEW DELHI (Reuters) - Annual monsoon rains, vital for India's farm-dependent economy, have hit the country's southern coast raising hopes of early sowing of rice, oilseeds and cotton, the weather office said on Saturday.Source: Reuters: Money News | 23 May 2009 | 10:44 am Reached bottom of financial crisis: Steve Forbes - Moneycontrol.com
Source: Google News India - Business | 23 May 2009 | 10:32 am Mukherjee is point person again on matters economicVeteran Congress party leader Pranab Mukherjee, who has been given the finance portfolio, will have his hands full in the coming weeks and months as he has the onerous task of lifting the Indian economy out of its current woes, presenting a national budget and get reforms back on track.Source: IndiaeNews.com: Business News | 23 May 2009 | 10:31 am Team Manmohan: six portfolios announcedNew Delhi: India on Saturday named Congress party leader Pranab Mukherjee to head the key finance ministry at a time when Asia’s third-largest economy has been hit harder than expected by the global recession.  Mukherjee, 73, is a veteran Congress leader and has held several key posts in earlier governments. He was the foreign minister and acting finance minister in the previous Manmohan Singh-led government, and is seen as a safe pair of hands. A sign of his priorities was seen in February when Mukherjee said spending may have to jump later this year to shield the economy from a global slump and stem job losses. Singh was sworn in on Friday for a second five-year term after a general election with expectations his strengthened left-of-centre coalition could both reform a slowing economy and help millions of poor. The Congress party-led coalition has a stronger parliamentary majority than the previous administration, meaning the government could last its full five-year term and focus on policy issues without the pressures of a fragile coalition. The coalition planned to present and win parliament approval for the federal budget for 2009-10 by the end of July, a government minister said after the first meeting of the cabinet. Unfettered by its former leftist allies, Congress is likely to push reforms such as raising the foreign investment limit in insurance and opening up the pension sector to spur growth in Asia’s third-largest economy. With the fiscal deficit running at the highest since the early 1990s, the coalition will have to decide whether to spend more on social programmes that helped Congress win the election. Sharad Pawar, a key Congress ally, retained his agriculture portfolio while senior party leader A.K. Antony would be the defence minister, a government statement said. Palaniappan Chidambaram, 63, also retained his home (interior) ministry. He is seen as having successfully revamped India’s security apparatus after last November’s Mumbai attacks. Mamata Banerjee, leader of the Trinamool Congress and a crucial ally for the coalition, was named to head the Railways ministry. Singh plans to appoint more members to his cabinet early next week. Source: Home - Livemint.com | 23 May 2009 | 10:31 am Lawyer duo's blackmail bid on RIL goes horribly wrong - domain-B
Source: Google News India - Business | 23 May 2009 | 10:17 am DMK to participate in Manmohan's ministry, formal decision soon - Hindustan Times
Source: Google News India - Business | 23 May 2009 | 10:16 am Maruti Suzuki to launch diesel version of SX4 car - Khabrein.info
Source: Google News India - Business | 23 May 2009 | 9:59 am SKorean ex-president Roh dies in apparent suicideSource: LatestNews-Home - Livemint.com | 23 May 2009 | 9:38 am Pistachio, walnut prices down on sluggish demandPrices of pistachio and walnut today fell by Rs 5-15 per kg in the national capital in view of sluggish demand from retailers and stockists against adequate stocks position.Source: Daily News & Analysis: Money News | 23 May 2009 | 9:26 am Two killed in Nepal blast as PM vote nearsKathmandu: Two people were killed and at least a dozen wounded when an explosion ripped through a church near the Nepali capital on Saturday, police said, hours before the country’s parliament was set to elect a new prime minister. The blast hit the Dhobighat suburb in Lalitpur, an adjoining town 4 km south of Kathmandu. “The wounded people have been rushed to a local hospital and we are investigating,” superintendent of police Kedarman Singh Bhandari said. Police cordoned off the area, which was strewn with shattered window panes. There was no claim of responsibility but a little-known Hindu group, the Nepal Defence Army, threw pamphlets around the site demanding Nepal be declared a Hindu state. Nepal became a secular state three years ago after a decade-long civil war ended. Nepal’s parliament was due to choose a new prime minister later on Saturday after Maoist leader Prachanda resigned amid a row over his plan to fire his army chief. Former Maoist rebel leader Pushpa Kamal Dahal, who still uses his nom de guerre Prachanda, meaning “fierce”, resigned on 4 May after President Ram Baran Yadav stopped him from firing General Rookmangud Katawal. Prachanda accused Katawal of undermining the civilian government. A loose alliance of 23 political parties is backing moderate communist Madhav Kumar Nepal for the job. Party officials said his election was a mere formality because the coalition controlled nearly 360 members in the 601-seat parliament. He is from the moderate Communist UML party, second biggest group in the alliance, and is known for his ability to negotiate with rivals. “He may be elected unopposed. And even if there is a vote he is certain to win,” senior UML leader Shankar Pokharel told Reuters. Difficult year Nepal, home to eight of the world’s 14 highest mountains including Mount Everest and the birthplace of Lord Buddha, is facing a difficult year of crippling power shortages, soaring inflation, unemployment, food shortages and poor public security. Business executives say political turmoil could hit industrial output and tourism, a key source of income that was beginning to rebound on peace hopes. Landlocked Nepal has had 18 prime ministers in the past 19 years. Analysts said the new leader faced a crucial test of his abilities to keep together allies who harbour deep mutual mistrust and old enmities. “Co-existence is not easy,” a banner headline in the daily Nayapatrika newspaper said, referring to the fragile alliance. The new government has just one year to oversee the drafting of a new constitution, a key part of the peace deal that brought to an end the civil war against the Maoists, an insurgency in which more than 13,000 people were killed. It must also rehabilitate more than 19,000 former Maoist fighters housed in 28 UN-monitored camps, crucial to the stability of a nation tucked in the Himalayas between giants China and India. Active support of the Maoists, who have vowed to continue “fighting” for Katawal’s ouster, is key to the success of both jobs. Source: LatestNews-Home - Livemint.com | 23 May 2009 | 9:22 am Govt hopeful of passing budget by 31 July: ChidambaramNew Delhi: The Congress-led UPA government on Saturday said it would try to pass the union budget by 31 July in order to restore growth of the economy which has taken a hit due to the economic slowdown. “We hope we will be able to pass the full budget by 31 July, cabinet minister P Chidambaram said at a press conference here after the first meeting of the new cabinet. In case the government is unable to get the budget passed by Parliament by 31 July, he said, it could become necessary to take another vote-on-account for a short period. The vote-on-account, which is approved by Parliament, allows government to spend money from the exchequer only a specified period of time. Chidambaram also said that the Prime Minister Manmohan Singh had asked the cabinet to focus on the economy. “We have made number of promises and we have promises to keep,” Singh had told the cabinet, said Chidambaram. The first session of 15th Lok Sabha will be convened from 1 June to 9 June. President Pratibha Patil will address the joint sitting of Parliament on 4June, the day when Rajya Sabha will also commence its session. Manik Rao Gavit would be the pro-term speaker as he is the senior-most member of parliament from the Lok Sabha. However, Pranab Mukherjee of the Congress and L K Advani of the Bharatiya Janata Party are the senior-most parliamentarians in the 15th Lok Sabha, a senior government official concerned said. Source: LatestNews-Home - Livemint.com | 23 May 2009 | 9:06 am 3i Infotech gets into media space for IT servicesICICI Bankpromoted software company 3i Infotech has ventured into providing IT services to the media and entertainment industry in India.Source: Moneycontrol Top Headlines | 23 May 2009 | 9:00 am Portfolios: Krishna gets Defence, Finance goes to Pranab, PC ... - Press Trust of India
Source: Google News India - Business | 23 May 2009 | 9:00 am Cairn in talks to sell Rajasthan crudeCairn India will begin commercial production of oil from the Rajasthan fields by mid2009 for which sales talks are going on.Source: Moneycontrol Top Headlines | 23 May 2009 | 8:56 am Delhi HC dismisses Nokia Siemens appealThe Delhi High Court today dismissed a petition filed by Nokia Siemens Networks (NSN) seeking a stay in the tendering process of staterun telecom firm BSNL.Source: Moneycontrol Top Headlines | 23 May 2009 | 8:51 am DoT, Defence Ministry bury the hatchet on spectrum vacationThe Department of Telecom and the Ministry of Defence have finally signed the memorandum of understanding for vacating spectrum after both sides softened their stance on the various demands put up by the armed forces.Source: Moneycontrol Top Headlines | 23 May 2009 | 8:46 am Monsoon to set in over Kerala in a day or two - SamayLive
Source: Google News India - Business | 23 May 2009 | 8:41 am Tech Mahindra says Satyam has 10,000 excess staffNew Delhi: Satyam Computer Services’ has more than 10,000 excess staff, new owner Tech Mahindra said on Friday, and the fraud-hit outsourcer’s chairman said revenues remained on a downward slope. Vineet Nayyar, the chief executive of Tech Mahindra which last month won an auction for a controlling stake in Satyam, said there was a need to lower headcount. “It’s more than 10,000 people are excess,” Nayyar said. “Ultimately if the company fails, you have 40,000 people out of the job. Nobody wants that.” “I think the future is great but there will have to be a few sacrifices in terms of compensation, in terms of a large number of things... Some form of least painful way of reduction in staff is an option which will have to be looked at,” he said. However, Kiran Karnik, chairman of the board appointed by the government to salvage the company, said Satyam was looking at cost-control steps including wage cuts but not layoffs. Satyam’s founder and former chairman shocked investors in January by saying profits had been overstated for years, putting in doubt the survival of a company once ranked as India’s fourth-largest software services exporter. The government quickly stepped in and sacked the board to limit damage to India’s once-shining IT sector. Satyam lost some customers, and Karnik said the company was yet to stem the losses. “Without a doubt, revenue is on a downward slope just now. We are hoping to pick up, but the pick-up won’t happen immediately,” Karnik told reporters. “There is stress on the company’s bottom line and very clearly some definite and fairly strong actions will have to be taken,” he said. Karnik said Satyam had high operating costs which it was looking to rein in, adding Tech Mahindra would take the final decision on how they would be lowered. “It’s been like a patient is being rushed back to health, but it’s not yet cured. There are yet things that need to be taken... some bitter medicine.” Source: LatestNews-Home - Livemint.com | 23 May 2009 | 8:36 am R-Infra to issue fresh equity to promotersMumbai: In a move that is expected to save its promoters roughly Rs3,074 crore, Reliance Infrastructure Ltd (R-Infra) informed the stock exchanges on Friday that its board will on Sunday consider allotting to its promoters 43 million shares, or equity-related securities. According to a company spokesman, the allotment will be done at Rs925 a share. R-Infra is promoted by billionaire industrialist Anil Ambani. Ambani and his associate firms currently hold 43 million share warrants that have a conversion to equity deadline of 19 July at Rs1,822 per share, almost twice the price per share that is being proposed to the board on Sunday for fresh allotment of securities. An R-Infra statement to the Bombay Stock Exchange (BSE) said the board meeting will “consider the preferential allotment of equity and/or equity-related securities entitling up to 4.3 crore equity shares, to the promoters and/or other investors against cancellation” of the existing stack of equal number of warrants. Mint had reported on 21 May that R-Infra promoters were unlikely to convert their existing warrants as the company’s stock price was about half the conversion price. The previous share warrant scheme would have required an investment of Rs7,835 crore by the promoters had they chosen to convert the warrants. They had already paid 10% of that amount in January 2008 when the warrants were issued. If the board approves the new proposal, the promoters will have to infuse Rs3,977.50 crore at Rs925 a share for 43 million shares, besides forfeiting Rs783.50 crore on the previous warrants. This puts their total cost at Rs4,761 crore, Rs3,074 crore less than what the promoters would have paid for converting the warrants issues earlier.  “This works out to be far cheaper and fund infusion seems more certain than before, when conversion of warrants seemed doubtful. The new proposal puts the ball back in promoters’ court,” said an analyst with a Mumbai-based foreign brokerage, who didn’t want to be identified. He viewed the development as “net-net positive” for the firm. The BSE announcement was made after markets closed for trading on Friday. R-Infra shares closed 0.97% higher at Rs1,120.70 each on BSE, while the bellwether Sensex ended at 13,887.15 points, 1.10% higher. R-Infra has already undertaken two rounds of buy-backs between March 2008 and April 2009, buying 11.26 million shares for an aggregate amount of Rs920 crore. These shares were extinguished, effectively raising the promoters’ holding from 34.68% at the end of December 2007 to 43.79% in March 2009. The promoters’ holding is set to rise further if the latest preferential allotments are approved by the board. Source: Home - Livemint.com | 23 May 2009 | 8:11 am Key Indian market index has steepest jump in 17 yearsThe bulls are smiling again in Indian equities markets with a key index breaking several records this week, moving up by over 14 percent to register the steepest weekly gain in 17 years.Source: IndiaeNews.com: Business News | 23 May 2009 | 8:01 am Tech Mahindra says Satyam has 10,000 excess staffNEW DELHI (Reuters) - Satyam Computer Services has more than 10,000 excess staff, new owner Tech Mahindra said on Friday, and the fraud-hit outsourcer's chairman said revenues remained on a downward slope.Source: Reuters: Money News | 23 May 2009 | 7:53 am UPA must bring us development, peace, says northeastEconomic stimuli and peace - that's what India's restive northeastern region is looking for as the Congress-led United Progressive Alliance (UPA) government begins its second term at the centre.Source: IndiaeNews.com: Business News | 23 May 2009 | 7:31 am Reliance Infrastructur board to consider fund raisingMUMBAI (Reuters) - India's Reliance Infrastructure Ltd board will meet on Sunday to consider issuing up to 43 million preferential shares to its founders and other investors to raise funds, the company said late on Friday.Source: Reuters: Money News | 23 May 2009 | 7:04 am Russian firm offers to invest in Facebook: reportWashington: A Russian Internet-investment group has offered to invest $200 million in Facebook Inc., The Wall Street Journal reported late Friday. Citing people familiar with the matter, the newspaper said it was unclear whether Facebook had responded to or decided to accept the offer from Digital Sky Technologies. The offer comes as the social-networking company has been talking to a range of venture-capital and private-equity firms about raising more money to help fuel its growth, the report said. One source familiar with the matter said the DST proposal is the latest in a string of funding offers Facebook has received, according to The Journal. Under the terms of DST’s two-part offer, the Russian investment group would also offer to buy between $100-150 million in Facebook common stock at a 6.5 billion valuation, the paper said. The amount, which would likely be used to buy up some Facebook employees’ shares in the company, would depend on how many employees were interested in selling their shares, The Journal pointed out. Source: World Business - Livemint.com | 23 May 2009 | 6:46 am Russian firm offers to invest in Facebook: reportWashington: A Russian Internet-investment group has offered to invest $200 million in Facebook Inc., The Wall Street Journal reported late Friday. Citing people familiar with the matter, the newspaper said it was unclear whether Facebook had responded to or decided to accept the offer from Digital Sky Technologies. The offer comes as the social-networking company has been talking to a range of venture-capital and private-equity firms about raising more money to help fuel its growth, the report said. One source familiar with the matter said the DST proposal is the latest in a string of funding offers Facebook has received, according to The Journal. Under the terms of DST’s two-part offer, the Russian investment group would also offer to buy between $100-150 million in Facebook common stock at a 6.5 billion valuation, the paper said. The amount, which would likely be used to buy up some Facebook employees’ shares in the company, would depend on how many employees were interested in selling their shares, The Journal pointed out. Source: LatestNews-Home - Livemint.com | 23 May 2009 | 6:46 am IBM sets up ‘innovation center’ in VietnamWashinton: US computer giant IBM on Friday announced it had set up its first “innovation center” in Vietnam and forged partnerships with leading Vietnamese universities. The IBM Innovation Center, located in Ho Chi Minh City, aims to develop “new technologies to support demand for digital infrastructure projects in banking, telecommunications, energy and government industries,” IBM said. The center will provide entrepreneurs, business partners, academics and venture capitalists across Vietnam, Cambodia and Laos with access to training workshops and consulting services to help bring new technologies to market. IBM, in a statement, also said it had agreed to collaborate with Vietnam National University’s University of Technology in Ho Chi Minh City and with VNU’s College of Technology in Hanoi. It said it will help establish a cloud computing center at the Ho Chi Minh City campus and a Service Science Management and Engineering department at the Hanoi school. “With this IBM Innovation Center and new university collaborations, we are able to make IBM’s technical resources and expertise more accessible to fuel innovation and help local businesses and academics compete on a global scale,” said Jim Corgel, an IBM general manager for developer relations. IBM said the information technology sector in Vietnam has been growing at more than 20 percent annually and that more than 20 million Vietnamese have access to the Internet today. IBM currently runs 43 innovation centers around the world. Source: LatestNews-Home - Livemint.com | 23 May 2009 | 6:13 am IBM sets up ‘innovation center’ in VietnamWashinton: US computer giant IBM on Friday announced it had set up its first “innovation center” in Vietnam and forged partnerships with leading Vietnamese universities. The IBM Innovation Center, located in Ho Chi Minh City, aims to develop “new technologies to support demand for digital infrastructure projects in banking, telecommunications, energy and government industries,” IBM said. The center will provide entrepreneurs, business partners, academics and venture capitalists across Vietnam, Cambodia and Laos with access to training workshops and consulting services to help bring new technologies to market. IBM, in a statement, also said it had agreed to collaborate with Vietnam National University’s University of Technology in Ho Chi Minh City and with VNU’s College of Technology in Hanoi. It said it will help establish a cloud computing center at the Ho Chi Minh City campus and a Service Science Management and Engineering department at the Hanoi school. “With this IBM Innovation Center and new university collaborations, we are able to make IBM’s technical resources and expertise more accessible to fuel innovation and help local businesses and academics compete on a global scale,” said Jim Corgel, an IBM general manager for developer relations. IBM said the information technology sector in Vietnam has been growing at more than 20 percent annually and that more than 20 million Vietnamese have access to the Internet today. IBM currently runs 43 innovation centers around the world. Source: World Business - Livemint.com | 23 May 2009 | 6:13 am MCXCOMDEX trades up - Myiris.com
Source: Google News India - Business | 23 May 2009 | 5:31 am Obama 'confident' GM can thrive after restructuringWASHINGTON (Reuters) - U.S. President Barack Obama said in an interview released on Saturday he was confident General Motors would thrive after restructuring, but made no mention whether the automaker might have to enter bankruptcy to complete reorganization.Source: Reuters: Money News | 23 May 2009 | 4:38 am New Bangalore airport set to turn one - quietlyThe new Bengaluru International Airport starts its second year Sunday without any fanfare. Yet to be officially inaugurated or christened, the airport has got mixed reviews from passengers during the first year of its operations.Source: IndiaeNews.com: Business News | 23 May 2009 | 4:00 am Virmani, PNB chief to be RBI deputy governors? - Economic Times
Source: Google News India - Business | 23 May 2009 | 2:39 am U.N. financial summit may be postponed - spokesmanUNITED NATIONS (Reuters) - A U.N. summit to discuss the global financial crisis planned for early June may be postponed by a few weeks, the spokesman for General Assembly President Miguel D'Escoto Brockmann said on Friday.Source: Reuters: Money News | 23 May 2009 | 1:39 am Manmohan begins second termNew Delhi, May 22 With the swearing in of Dr Manmohan Singh as Prime Minister and a 19-member Cabinet at the Rashtrapati Bhavan on Friday, the new Government is in the saddle.Source: Business Line - Home Page | 23 May 2009 | 12:00 am ITC Q4 net rises 10% to Rs 809 crITC has posted a 10 per cent rise net profit in the fourth quarter of 2008-09 at Rs 808.99 crore against Rs 735.64 crore recorded in the comparable quarter the previous year.Source: Business Line - Home Page | 23 May 2009 | 12:00 am Global airlines woo travellers with bargain faresIf you are planning a trip abroad, this is the best time to do so with airfares being offered at rock-bottom levels.Source: Business Line - Home Page | 23 May 2009 | 12:00 am RBI Governor cautions Govt against more fiscal stimulusMumbai, May 22 The Reserve Bank of India Governor, Dr D. Subbarao, has cautioned the new Government that another fiscal stimulus package would exert pressure on the rising fiscalSource: Business Line - Home Page | 23 May 2009 | 12:00 am DoT, Defence Ministry bury the hatchet on spectrum vacationThe Department of Telecom and the Ministry of Defence have finally signed the memorandum of understanding for vacating spectrum after both sides softened their stance on the various demands put up by the armed forces.Source: Business Line - Home Page | 23 May 2009 | 12:00 am Fund houses line up new offers on whiff of positive sentimentMumbai, May 22 Mutual fund houses are hoping to push through their new fund offers as they sense investor sentiment turning positive after the recent rally in stocks.Source: Business Line - Home Page | 23 May 2009 | 12:00 am Satyam facing stress on bottomline: KarnikNew Delhi, May 22 Admitting that there is stress on Satyam’s bottomline, the Chairman, Mr Kiran Karnik, said on Friday that the board is considering options to control costs – including wage cuts, sabbatical for some employees andSource: Business Line - Home Page | 23 May 2009 | 12:00 am Coffee crop hopes gain on timely blossom showersBangalore, May 22 Timely pre-monsoon and backing showers in the country’s key coffee growing areas of Kodagu and Chikmagalur have raised the prospects of a better crop for 2009-10.Source: Business Line - Home Page | 23 May 2009 | 12:00 am Markets this WeekThe Congress led UPA's (United Progressive Alliance) astounding victory in the Lok Sabha elections pushed the Indian bourses to dizzying heights on Monday, though only for a fleeting moment. At the opening, the markets were locked at a 15% high andSource: Business Line - Home Page | 23 May 2009 | 12:00 am Private sector insurers facing capital pressureBangalore, May 22 Private sector non-life insurance companies in the country are beginning to face the heat of capital pressure, with global parents slowing down on investments in theSource: Business Line - Home Page | 23 May 2009 | 12:00 am Speed makes QIP the hot routeCorporate India is taking the fastest, cheapest and easiest route to raise capital - the qualified institutional placement.Source: Daily News & Analysis: Money News | 22 May 2009 | 10:29 pm Rel Infra promoters to increase stake by 10%Anil Ambani and other promoters of Reliance Infrastructure will surrender their high-priced warrants and invest into the company through fresh instruments.Source: Daily News & Analysis: Money News | 22 May 2009 | 10:28 pm Air India to seek more government fundsAir India, which has been seeking funds to the tune of Rs 4,000 crore from the government, may be looking to increase this demand.Source: Daily News & Analysis: Money News | 22 May 2009 | 10:25 pm Sobha Developers to hive off non-realty businessesSobha Developers Ltd, the Bangalore based real estate player, is looking to spin off into different companies its businesses.Source: Daily News & Analysis: Money News | 22 May 2009 | 10:23 pm Infosys sees early signs of recoveryInfosys chief Kris Gopalakrishnan said on Thursday that the US recession had been biting and impacted its order book.Source: Daily News & Analysis: Money News | 22 May 2009 | 10:23 pm Obama signs sweeping credit card reform billWASHINGTON (Reuters) - U.S. President Barack Obama signed into law on Friday sweeping reforms that restrict credit card interest rates and fees, marking a victory for Democrats trying to help recession-weary consumers and a setback for banks seeking to retain sorely-needed revenues.Source: Reuters: Money News | 22 May 2009 | 10:21 pm Service tax clarity profit booster for SEZsThe government has provided the much-needed relief sought by developers or units inside special economic zones (SEZ).Source: Daily News & Analysis: Money News | 22 May 2009 | 10:20 pm HC notice to petroleum regulator over IGL pleaThe Delhi High Court has issued a notice to Petroleum and Natural Gas Regulatory Board on Indraprastha Gas Ltd's lawsuit.Source: Daily News & Analysis: Money News | 22 May 2009 | 10:19 pm IRB's key project cost falls 20%IRB Infrastructure Developers expects the cost of its 239-km Surat-Dahisar six-lane project to fall by nearly Rs 560 crore.Source: Daily News & Analysis: Money News | 22 May 2009 | 10:16 pm Tables turned on table toppers; Deccan enters IPL finalCenturion: Australian Adam Gilchrist blasted 85 off 35 balls to lead Deccan Chargers into the Indian Premier League final with a six-wicket victory over Delhi Daredevils on Friday. The Deccan captain reached his half-century off just 17 deliveries, an IPL record beating the previous mark of 21 balls set by Yusuf Pathan of the Rajasthan Royals last year. Deccan were chasing 154 for victory and left-hander Gilchrist, opening the batting, smashed 10 fours and five sixes in his innings to help the underdogs recover from the early loss of Herschelle Gibbs for a duck in the second over. He eventually fell to the leg spin of Amit Mishra the ball before the strategic timeout at the halfway mark. With Deccan needing 52 more runs in 10 overs and seven wickets in hand, the outcome was obvious. Tirumalsetti Suman and Andrew Symonds both scored 24 as victory was completed in the 18th over. Mishra was the one bowler to shine for Delhi, taking three for 19 in four overs. Another Australian, Ryan Harris, had given Deccan an early advantage in the field, removing Delhi openers Gautam Gambhir and David Warner for ducks with the innings only an over old. Virender Sehwag and Sri Lankan Tillakaratne Dilshan produced an impressive stand of 85 off 60 balls before Sehwag was trapped leg-before by Symonds for 39. Dilshan pressed on and was finally run out for 65 off 50 deliveries in the final over. Four wickets fell for eight runs in the last seven balls to leave Delhi on 153 for eight. Deccan will meet the winners of the second semi between Chennai Super Kings and Bangalore Royal Challengers in Sunday’s final. Source: LatestNews-Home - Livemint.com | 22 May 2009 | 7:38 pm Steel faces longer term threat from use of aluminium in autosSeoul: A collapse in steel demand from the ailing auto sector may be foremost on steel makers’ minds at the moment, but rising government fuel standards are the greater cause for alarm as aluminium and magnesium steal market share. While the auto industry consumes only about 6% of the world’s crude steel production, mills have long counted on steady growth in car sales to generate new business—growth that may now be in doubt as aluminium and other light materials replace steel to help meet tougher environmental regulations. The threat became more apparent this week as US President Barack Obama introduced the most aggressive proposal yet to boost US auto fuel economy standards, which would encourage auto makers to invest in fuel-saving technology. Under the new standards, US passenger vehicles and light trucks must raise fuel efficiency by 5% yearly to an average 6.62 litres per 100km by 2016. The current law requires a similar gain by 2020. “To achieve weight-saving and improve fuel efficiency, it’s inevitable to replace steel to lighter materials, as steel accounts for around 50-60% of total vehicle weight,” said Han Do-suck, principal researcher of South Korea’s Hyundai Motor Co.’s materials research team. “We are open to all possibilities and new technologies but any dramatic and immediate change is unlikely, mainly because of cost issues.” The incentives are clear: fuel efficiency usually rises by 5-10% for every 10% reduction in vehicle weight, and per-vehicle steel consumption is well over 1 tonne. That can be a big blow to already reeling steel makers, such as Nippon Steel Corp., POSCO and AK Steel, which count auto firms as a big client and face reduced demand as auto output falls by as much as 20% this year. Already auto makers are increasingly stripping off sheets of steel in favour of lighter and more stylish materials, such as aluminium, magnesium, titanium, plastics and carbon fibre. The Mazda2 subcompact, for example, reduced weight by around 100kg from its predecessor by using lightweight and thinner tensile steel, altering the electrics, suspension and exhaust, and even by changing door speakers to save weight. The substitution has been led by aluminium, which can halve weight of vehicle body frames, thus dramatically reducing emissions of carbon dioxide blamed for global warming.  Aluminium, which is as stiff as steel but weighs one-third as much, has been developed for around two decades for use in autos but its high price and relatively complicated processing structure have prevented its use for the whole auto-body frame. “Aluminium is some three-four times more expensive than steel per volume, and as a relatively less standardized and commoditized processing tool it costs a lot more to process the metal for auto use,” said Kim Hyung-wook, a chief researcher at Korea Institute of Materials Science. “That’s why the use of aluminium has been limited to premium auto models, where manufacturing and material costs are relatively minimal compared with total vehicle price.” Audi AG, a unit of Volkswagen AG, has led the replacement and introduced all-aluminium body vehicles such as A8, but most carmakers have limited the use of the metal mainly to hood and trunk lid due to high prices. feedback@livemint.com Source: Home - Livemint.com | 22 May 2009 | 7:30 pm Markets | Unitech floats two fixed deposit schemesNew Delhi: Realty firm Unitech Ltd has floated two fixed deposit schemes, offering an interest rate of 11-12%. Under the non-cumulative scheme, it is offering 11% interest on a minimum public deposit of Rs25,000 for a year, 11.5% for two years and 12% for three years, Unitech said in an advertisement on its website.  Unitech, which recently raised Rs1,621 crore through a qualified institutional placement issue, has been selling assets to ease liquidity crunch. The company is targeting to raise Rs900-1,100 crore through asset sales. —NewsWire18 ********* JSW Steel plans to raise funds overseas Mumbai:JSW Steel Ltd said it plans to raise funds selling securities overseas. The plan will be considered at a board meeting on 28 May, the Mumbai-based company said on Friday in a statement to the Bombay Stock Exchange, without mentioning the amount. —Bloomberg Source: Home - Livemint.com | 22 May 2009 | 7:28 pm The Indian PM can educate President Obama on economicsMumbai: The chairman and chief executive officer of the eponymous publishing company Forbes Media Llc, and editor-in-chief of Forbes, Steve Forbes, does not mince words. He was in Mumbai to launch the Indian edition of his popular business magazine, which hit the newsstands in collaboration with Network18 Media and Investments Ltd. Forbes spoke about what the magazine’s iconic list of the world’s richest tell us about economies, the inability of many media companies to embrace the Internet and how Prime Minister Manmohan Singh can teach a thing or two about good economics to US President Barack Obama. Edited excerpts.  ‘Light years ahead’: Forbes says the long-standing tradition of the rule of law puts India well ahead of many other countries, and the fact that English is spoken here gives it an added advantage in global business. Ashesh Shah / Mint The list will give very valuable insights not just on wealthy individuals, but also the changing nature of the national and global economy. You touched on the turnaround on the list. It is remarkable. We tend to think of wealth as physical things. But wealth is mostly metaphysical: It is based on perceptions. Technology can change circumstances. Wealth can very rapidly increase or decrease. Just to give you one example. In the US, we did a first list in 1982—the 400 richest Americans. That list was full of Rockefellers and Duponts. Today, there is not one Dupont in our Forbes list. The only Rockefeller in the list is David Rockefeller, who is 90 years old. I think it’s a sign of a dynamic economy. This year, our list of global billionaires was down. Indians took a hit as well, including (the subject of) our first cover story (L.N. Mittal of ArcelorMittal). But those things are temporary. We believe the crisis will be over in a few months. The long-term trend expansion of global economies and the rise of global wealth and the rise of new entrepreneurs will continue. That’s the virtue of entrepreneurial capitalism. That’s the reason for people from unlikely backgrounds to achieve great success. Whoever thought that 20 years ago that an Indian entrepreneur will create the world’s largest steel company? Just as in the US, Bill Gates dropped out of Harvard, Larry Ellison was an orphan, Steve Jobs was given up by his biological parents. These people rise up and achieve great things even as many people fail. The striving of people trying to create new things enables us to move forward. What made you to bring the ‘Forbes’ brand to India? The Indian economy has made enormous strides since 1991. We believed that India has a fantastic future, even before the recent elections. One is the long-standing tradition of the rule of law. Which many other countries in the globe are just developing. You are light years ahead of them. The fact that English language is spoken here gives the added advantage, as English is the lingua franca of global business. And bind that with liberalization of 1991, presumably the new (Indian) government will push for some reforms so that the country can truly create economic zones to facilitate growth. So India is in a position that US was in the 19th century. These are very trying times for the US media industry. Where do you see the road ahead for the media industry? Well, the hurricane-like force of the Internet has been there for years. Craigslist very clearly is going to decimate a huge source of income for newspapers. But compounding those pressures has been the financial crisis, which has temporarily devastated the advertising market. So, you are hit on both sides, the cyclical downturn and a game changer from new technology. Thankfully, Forbes from the beginning didn’t see the Web as a threat to the print media. We saw it as another way to reach our core constituency which is entrepreneurial business people, investors, and so we nurtured the website. It has some 20 million visitors per month.  It turned profitable in 2003. Revenues on the Web are not what they are in the print side, but it’s a different dynamic and so it is more profitable. Now, we see the Web strong enough to integrate (print and online offerings). So, we are in the process of bringing together the editorial teams of both sides. In this modern day in journalism you have to be multiplatform. You have to have the skills for more than one platform. That process is under way at Forbes. How do you assess President Obama’s initial days in the White House? They (Obama administrating) still needs a lot of educating on the importance of free trade. They came in with a very parochial attitude, that was to please their local constituents. President Obama signing the legislation banning trucks from Mexico is a flagrant violation of the international trade agreement with Mexico. That was done to pay off the Teamsters union that supported Obama when he was running for the presidency. In recent days they have backed off some of their extreme protectionist rhetoric from the campaign days. But they have to grasp that they are in Washington and not in Chicago. It’s an educative process. When the new government is formed in, I hope the Indian Prime Minister will visit President Obama and assist in his educating process. Has India changed in your perception? I was in Mumbai in 1995. I see some changes in terms of the city’s physical look. In a more profound way, I see a psychological change. There’s an energy in the air. Presumably, the new government will move more vigorously in investing in infrastructure (laughs). Source: LatestNews-Home - Livemint.com | 22 May 2009 | 7:27 pm DLF shares soar, windfall for Capital Research, Deutsche BankNew Delhi: Investors such as Capital Research Management Co. and Deutsche Bank AG have made a $401 million (Rs1,892.72 crore) paper profit buying DLF Ltd stock from the founders of India’s biggest developer last week before a record rally in stocks. A unit of Deutsche Bank, Capital Management, Copthall Mauritius Investment Ltd and other funds bought a 9.9% stake in DLF on 13 May for Rs3,860 crore, according to the Bombay Stock Exchange’s website.  Good sign? DLF vice-chairman Rajiv Singh. The stake sold by his family on 13 May is now worth Rs5,750 crore. Harikrishna Katragadda / Mint “The government is strongly encouraging state-owned banks to increase the credit limit to core sector companies, including construction and real estate, which is a good sign for the cash-strapped real estate sector,” said R.K. Gupta, who oversees about $127 million in equities at Taurus Asset Management Co. Ltd in New Delhi. “DLF’s stake sale to large foreign investors has also given some confidence to retail investors in India.” DLF shares gained 47% in the first two days of this week, after a vote tally on 16 May showed Manmohan Singh’s Congress party led coalition as the winner in the national elections. The stock soared 40% to Rs342.45 as of Thursday from its 12 May close, the day before Rajiv Singh’s family sold the stake.  The investments by Deutsche and Capital Management have also benefited from a rally in India’s currency as the rupee climbed to a five-month high, and is headed for the biggest weekly advance in 12 years. Capital Research EuroPacific Growth Fund bought almost 55.3 million shares in DLF for Rs12.7 billion, according to the Mumbai exchange’s website. At Thursday’s closing price, that stake was worth Rs1,890 crore. Chuck Freadhoff, a Los Angeles-based spokesman for Capital Group, declined to comment in an email on the firm’s stake in DLF. Copthall Mauritius bought 20.1 million shares for Rs462 crore, while Deutsche Securities Mauritius Ltd bought 16.3 million shares for Rs374 crore, according to the exchange. The other buyers weren’t named on the site. Sanjey Roy, a DLF spokesman, declined to name the remaining buyers or comment on whether they are barred from selling the stake for a certain period. Deutsche Bank and JPMorgan Chase and Co. arranged the 13 May sale of 168 million shares by the founding family for Rs230 apiece. Deutsche Bank’s Mumbai-based spokesman Linus Chettiar declined to comment. DLF chairman K.P. Singh and his family now own about 78.6% of the stock, compared with 88.6% as of 31 March, the company said. The founders have no immediate plans to sell more shares, Rajiv Singh has said. Source: Home - Livemint.com | 22 May 2009 | 7:27 pm ITC: tepid growth, regulatory riskAnalysts had been saying that ITC Ltd was shifting its focus from topline growth to managing profitability. Even so, they had not reckoned with a 1% drop in the company’s net sales in the March quarter, compared with the year ago period. Profit after tax, though, was up 10%.  The main reason for the lower revenue lies in the lower volumes in the agri-business section, with revenues in the divisions falling 51%. That’s a continuation and a deepening of the trend in the December quarter, when lower soya volumes and a rationalization of the product portfolio was blamed, but the decline has been much worse in the March quarter. Also See Smoked Out (Graphics) Also expected were the lower revenues in the hotel business, which analysts attributed to lower occupancies and a decline in room rates on account of the economic slowdown. The drop in revenues in the hotels segment is also a continuation of trends in the December quarter, but again the y-o-y decline was worse in the March quarter. While profits in the hotel business declined, they rose substantially for the agribusiness segment, on account of a steep rise in leaf tobacco prices. The company’s non-cigarette fast moving consumer goods businesses appear to show signs of stabilization, although analysts point out that it’s too early to draw a firm conclusion on that. Revenues in the business rose by 13.5% y-o-y, a rate of growth higher than in the December quarter. Most importantly, the losses in the segment are the same as that incurred a year ago and lower than in the December quarter. Revenues in the paper segment rose significantly, thanks to capacity expansion, as did margins on account of lower fuel and coal prices.  But the cigarette segment has not done as well as in the December quarter. Year-on-year revenue growth in the segment was 16.3%, compared with a y-o-y growth of 17.7% in the December quarter. Net revenues as well as profits from the segment during the March quarter were lower than in the December quarter. That raises a question mark over the company’s famed resilience in cigarette volumes. Margins too declined compared with the December quarter. Also, as Vijay Chugh, analyst at Ambit Capital points out, the most important influence on the stock will be the impact of regulatory changes, especially any changes in taxation in the forthcoming budget. The pictorial warnings on cigarette packs may also have some impact, though some analysts point out that the company has so far been able to make up the impact on volumes through higher prices. It’s true that the stock has underperformed the market. But it currently trades at 21 times trailing earnings, which looks rich seen against the net profit growth of 4.6% in fiscal 2009 and 10% in the March quarter. Write to us at marktomarket@livemint.com Graphics by Ahmed Raza Khan / Mint Source: Home - Livemint.com | 22 May 2009 | 7:25 pm Rupee completes best week in 13 yearsThe rupee completed the biggest weekly advance in 13 years on optimism Prime Minister Manmohan Singh, armed with a fresh mandate, will revive efforts to sell state assets and attract foreign investment. The currency climbed to a five-month high as the benchmark stock index this week rallied the most since 1992. Singh, the first premier to win re-election after serving a full term since 1971, has the backing of 322 lawmakers and doesn’t need the support of communists who had previously blocked economic reforms. “The new administration, sworn in on Friday, raises the prospect of a stronger growth outlook, economic reforms and a more prudent fiscal policy,” Stewart Newnham, Morgan Stanley’s Hong Kong-based currency strategist, wrote in a research note. “The improved economic prospects change our rupee outlook to positive.”  The rupee strengthened 4.9% this week, the most since March 1996, to 47.125 per dollar at the 5pm close in Mumbai, according to Bloomberg data. The rally took gains this month to 6.5%, the best performance among the 10 most-active Asian currencies. The currency may rise to 46 by the end of the year, according to Newnham. The nation will sell stakes in firms as promised by the Congress party in its election manifesto, former finance minister P. Chidambaram said on 18 May. The new administration may start by resuming share sale plans for electricity producer NHPC Ltd, explorer Oil India Ltd and fuel retailer Hindustan Petroleum Corp. Ltd, according to Mumbai-based brokerage Religare Capital Markets Ltd. Source: Home - Livemint.com | 22 May 2009 | 7:24 pm Crazy Cup Corn’s multiplex battleMumbai: It is served hot, in brightly coloured paper cups, with a twist of lime and dash of salt. A cousin of the humble popcorn that is staple fare at the movies, Crazy Cup Corn came into its own five years ago when its founders Tushar Shah and Kevin Marpyres spotted an opportunity in selling the steamed corn snack to a new class of cinemagoer, as they harnessed their fortunes to India’s fledgling multiplex industry. Demand skyrocketed following the opening of the first counter, emblazoned with its signature red, yellow and green colours, at a Reliance BIG Cinema-owned multiplex in the Mumbai suburb of Mulund in December 2003, and the future looked promising for the entrepreneurs who took just two years to recoup their initial investment of Rs20 lakh. After all, multiplexes typically collect up to one-fourth of their total revenues from sales of food and beverages.  Contingency plans: Corns n Cones’ Marpyres (left) and Shah say they may diversify into construction since multiplex sales have crashed 90%. Ashesh Shah / Mint “This cycle between the multiplexes and producers is affecting everyone,” says Marpyres, seated in front of his laptop, in between taking calls from employees with the latest news on sales figures. “It is pathetic. Business has come to a standstill with sales down 90%. These are the peak months for us because it is the summer holidays. So we are waiting to see how long this goes on for.” In place of the 80,000 cups sold every month in Mumbai, the company is now only selling between 8,000 and 10,000 cups, while their suppliers have been forced to lay off their 12 delivery boys. “Every vendor at the multiplexes has been badly hit,” adds Marpyres, a bearded man who punctuates his statements with vigorous hand gestures for emphasis. “It is mainly because of the lack of movies, but also because of the economy. Families who come to the movies will spend on tickets, but they will compromise on buying food. And since January there have been no good movies, and business depends on the film. When the films are good, business rocks.” With their woes set to increase as the corn farmers, who have already been forced to sell the surplus corn at a discount in the open market, increase their prices during the monsoon, Marpyres and his partner Shah are drawing up contingency plans: to invest away from corn, and into the construction industry. “This is one of the peak periods during the year, along with Diwali and Christmas, and things are bad with everyone suffering,” says Shah, the more reticent of the partners, who have tie-ups with all the national chains, apart from PVR, and ply the steamed corn at 250 multi-screen cinemas across the country. “We believe that it is an ego hassle between the two. Since we started the business, this is the lowest point we have been at. We are waiting until the end of May and then we will take a call on what to do. But we are thinking of diversifying into the construction business.”  “Our business is suffering badly,” says Mahesh Wadhwa, co-founder of A1 Samosa, which retails to all the national cinema chains. “From 20,000 samosas a day, we are now selling about 5,000 samosas. It is getting very difficult to pay our workers. We usually hire temporary workers during this time, but this year we have not. The only reason we are surviving is because we are also selling samosas to other shops. But we can only survive for one more month and if the strike does not end, then I will look to start another business. I think I will open a small restaurant or a hotel.” Meanwhile, Gourmet Gelato Co. Pvt. Ltd, which sells its Amore brand of ice cream in multiplexes, has pulled out its counters from one multiplex chain, and is looking to hedge itself by supplying to a range of shops and restaurants instead. “Multiplexes are a substantial part of our business, and we have been affected,” says Charan Narang, general manager of Gourmet Gelato Co. in Mumbai, who insists he is optimistic that there will be a resolution soon. “It has been a difficult year and before this, there were few good movies. The impact on the bottom line and on liquidity have been significant. We have tweaked the model slightly, and we have cut back from a major multiplex and are moving to other distribution outlets.” With multiplexes garnering up to 25% of their total revenues from sales of food and beverages, the chains claim that they are keen to keep the food vendors on board and defend themselves against accusations from some of the vendors that there has been little communication or support from the chains. “They are an important source of income for us,” says a spokesman for Fame India Ltd. “We choose our partners after a lot of deliberation and we have had a very long relationship with most of them. They understand the issues we are faced with and we are helping them out by trying to get them into other similar businesses so they can sell in places like retail chains. And once things are normal, we will look for ways to cover them for these losses.” Source: Home - Livemint.com | 22 May 2009 | 7:22 pm Higher prices of cigarettes prop up ITC profit by 10%New Delhi: The country’s biggest tobacco company, ITC Ltd, posted a 10% increase in fourth quarter profit on higher prices of cigarettes. Net profit rose to Rs809 crore in the three months ended 31 March, from Rs736 crore a year earlier, the company said in a statement to the Bombay Stock Exchange (BSE) on Friday. That compares with the Rs824 crore median estimate of 13 analysts surveyed by Bloomberg. ITC, 32% owned by British American Tobacco Plc., raised prices of some brands in June and again in April after the government increased taxes on cigarettes. The Kolkata-based firm is expanding sales of shampoo, food, clothing and other goods as the government increases taxes and restrictions on cigarettes, which account for about half of its revenue. The cigarette maker’s shares rose 0.60% to Rs183.25 each on BSE, on a day the exchange’s benchmark index gained 1.1% to 13,887.15 points. ITC has climbed 6.9% this year, trailing the 44% gain in the Sensex. The company on Friday announced a dividend of Rs3.70 per share, 20 paise more than last year. Analysts, however, are impressed with the growth in revenue and rise in profits from cigarette sales during the quarter till March. Revenue grew 16.25% over the previous year to Rs2,011.54 crore, while net margin from cigarette sales grew 310 basis points. This resulted in overall margin in Q4 expanding by 590 basis points, said Anand Shah, an analyst with Angel Broking Ltd. One basis point is one hundredth of a percentage point. “The increase in margins from cigarette sales is way ahead of what we had expected,” Shah said. Profit before tax and one-time gains rose 24% to Rs1,080 crore. The government imposed a nationwide ban on smoking in public places, including office buildings, restaurants and pubs on 2 October to prevent smoking-related diseases. The country’s top court on 29 September rejected ITC’s petition challenging the ban.  ITC’s total revenue in Q4 fell 2.8% to Rs3,930 crore. Analysts expected Rs4,300 crore. Other income, which includes investments, fell 67% to Rs35.6 crore. Revenue from ITC’s hotel business fell for the second straight quarter because of the global recession and terrorist attacks in Mumbai in November. Revenue declined 29% to Rs221 crore in the quarter. Profit before taxes and interest halved to Rs71.1 crore. The firm said the losses incurred in the new businesses that includes garments, greeting cards, incense sticks and food narrowed to Rs117 crore, from Rs118 crore a year earlier. Revenue rose 14% to Rs837 crore. Profit before tax and one-time gains or costs at the company’s agriculture business, which includes commodity trading, rose 43% to Rs53.06 crore. Revenue dropped 51% to Rs526 crore. Revenue from the paper business rose 26% to Rs714 crore in the quarter. Profit before tax and interest rose 24% to Rs152 crore. “The results aren’t great, but not disappointing either. Particularly heartening is the 20% growth in ITC’s newly launched FMCG businesses. Also, it is very significant that losses in these businesses have stabilized,” said Rajesh Agarwal, an analyst with Kolkata-based broking firm CD Equisearch Pvt. Ltd. Aniek Paul of Mint contributed to this story. Source: LatestNews-Home - Livemint.com | 22 May 2009 | 7:21 pm A false start?New Delhi: Manmohan Singh formally took charge as the country’s next prime minister, the first since Jawaharlal Nehru to be re-elected after serving out a full five-year term, along with 19 ministers, but did not announce their portfolios because it was unable to resolve the differences with its key ally in time. The Congress has been locked in a dispute over ministerial berths with the Dravida Munnetra Kazhagam (DMK), the third largest constituent in the ruling coalition, and many of whose leaders skipped the swearing-in ceremony. The token DMK presence was former telecom minister A. Raja. Immediately after taking oath, Singh told journalists outside Rashtrapati Bhawan that the key priority of the government would be to “revamp the economy”. Click here to watch video According to an official in the finance ministry, secretaries of different departments are working on Saturday, which is otherwise a holiday, as they might have to brief the as-yet-unnamed minister on the the making of the forthcoming Union budget. The Congress, in its manifeto, had promised to present a budget within 45 days of coming to power. The mini-Cabinet of the Congress-led United Progressive Alliance (UPA) included party veterans such as Pranab Mukherjee, P. Chidambaram and A.K. Antony, alongside key allies such as Mamata Banerjee of the Trinamool Congress (TC) and Sharad Pawar of the Nationalist Congress Party (NCP). More ministers are expected to be sworn in on Tuesday.  Analysts had expected the new cabinet to sport several young faces, but the the team that took charge on Friday was made up entirely of experienced politicians, eight of whom are from the Rajya Sabha and, therefore, haven’t been elected by the people. The new faces include Ghulam Nabi Azad, M. Veerappa Moily and S.M. Krishna (former chief ministers of Jammu and Kashmir and Karnataka, respectively). C.P. Joshi, president of Rajasthan state Congress, also found place in the cabinet, while B.K. Handique and Anand Sharma, both ministers of state in the previous government, have been elevated to cabinet rank. Arun Jaitley, general secretary of the Bharatiya Janata Party, the main Opposition party in Parliament, said, “This is a cabinet comprising senior leaders of Congress and two from the allies. We can only hope that the (new) UPA government will be more decisive than its first tenure.”  “They (DMK) are our valued colleagues. They will come back,” Singh said. Arguing similarly, Vayalar Ravi, one of the ministers sworn in, said: “The problem can be solved after discussions...it is our coalition partner after all.” DMK leaders, who held several rounds of discussions with Mukherjee, Azad and Congress president Gandhi’s political secretary Ahmed Patel over portfolios, said the Congress’ formula was not acceptable to them. The DMK, which has 18 members in the Lok Sabha, also announced on Thursday that it would support the government, but not be part of it. Congress leaders, who spoke on condition of anonymity, said the DMK wanted three cabinet berths and four ministers of state positions. They also added that the prime minister had some reservations against the re-induction of DMK’s T.R. Baalu and Raja into his cabinet. Both ministers have had controversial stints in power. However, Prime Minister Singh denied this was the case. “They are our honoured colleagues. There is no question about having any reservation (about their inclusion)”. Analysts expect the DMK and other allies to be included in the cabinet expansion likely on Tuesday The Congress won only 145 seats in 2004; in 2009, it has managed to win 206 seats, the first time it had crossed the 200-mark since 1991. This has translated into greater leverage in cabinet formation. The Congress has even rejected the induction of the Samajwadi Party and the Rashtriya Janata Dal into the government, although these parties still support it. Analysts expect the dispute to be resolved soon and ministers from the DMK and a few other allies to be inducted into the cabinet on Tuesday. A release from the Prime Minister’s Office said that Singh would expand his cabinet in “next few days”, including other cabinet ministers, ministers of state with independent charge and ministers of state. “This expansion will give due representation to allied parties,” the release added. Analysts and Congressmen list young party leaders such as Jyotiraditya Scindia, Sachin Pilot, Jitin Prasada; Mukul Wasnik and Jairam Ramesh; and National Conference’s Farooq Abudllah among those who may be inducted into the cabinet on Tuesday. Santosh K. Joy and Sanjiv Shankaran of Mint, and PTI also contributed to this story. Source: Home - Livemint.com | 22 May 2009 | 7:18 pm Best weekly sensex gain in 17 yrsThe week that started with an unbelievable 17.3% gain for the BSE sensex, ended on a winning note with the weekly gain at over 14%, the best for the index in the last 17 years.Source: India Business News | Business News - Times of India | 22 May 2009 | 7:10 pm Infrastructure | Tata group to invest in eight logistics parksNew Delhi: The Tata group plans to invest Rs2,000 crore to develop eight logistics parks over the next four-five years. “The investment will be made through Tata-owned Tata Realty and Infrastructure Ltd and Drive India Enterprise Solutions Ltd,” Drive India chief executive Ajay Chopra said on Friday. Four of these logistics parks will come up at Gurgaon, Kolkata, Nagpur, and Gurgaon-Jaipur highway, while the fifth will either be in Chennai or Hyderabad. The eight logistics parks will cover an area of 38.5 million sq. ft. Source: LatestNews-Home - Livemint.com | 22 May 2009 | 7:10 pm Rupee up 25p/$India's rupee completed the biggest weekly advance in 13 years on optimism PM Manmohan Singh, armed with a fresh mandate, will revive efforts to sell state assets and attract foreign investment.Source: India Business News | Business News - Times of India | 22 May 2009 | 7:08 pm Airlines slash fares 50% for holiday seasonIt is bonanza time for international travellers yet again, with foreign carriers like Singapore Airlines, British Airways and Cathay Pacific cutting fares almost 50 per cent.Source: Business Standard | Front Page Headlines | 22 May 2009 | 7:06 pm PNB chief, Virmani in lead for RBI dy guvsWith the Manmohan Singh-led Congress government sworn in on Friday, two key appointments of deputy governors in the Reserve Bank of India (RBI) are likely to be made soon.Source: India Business News | Business News - Times of India | 22 May 2009 | 7:05 pm Bajaj low-cost bike pegged at Rs 20-24kProduction of the 125 cc motorcycle has started in an assembly plant in China, putting the countrys second-largest maker a step ahead of competitor Hero Honda, which is also working on a motorcycle reportedly between the Rs 17,000 and Rs 20,000 price point.Source: Business Standard | Front Page Headlines | 22 May 2009 | 7:05 pm More stimulus not needed: SubbaraoReserve Bank of India (RBI) Governor D Subbarao today said another stimulus package could help the economy in the short-term but a sustainable recovery required the government to return to fiscal consolidation.Source: Business Standard | Front Page Headlines | 22 May 2009 | 7:04 pm Economy will revive by year-end, says SubbaraoRBI governor D Subbarao expects India to emerge out of the current economic slowdown by the end of the current year.Source: India Business News | Business News - Times of India | 22 May 2009 | 7:03 pm 19-member Cabinet sworn in, more to come next weekSouring the celebrations following the electoral triumph of the United Progressive Alliance (UPA) last week, a truncated Cabinet of 19 members was sworn in today amid a tussle between the dominant 206-member Congress and its second-largest ally, the 18-member Dravida Munnetra Kazhagam (DMK), over portfolio distribution.Source: Business Standard | Front Page Headlines | 22 May 2009 | 7:03 pm Air fares set to increase by June-endAlthough airlines are offering low air fares for travelling abroad now, fares will soon rise as the travel industry expects traffic to pick up from late June.Source: India Business News | Business News - Times of India | 22 May 2009 | 7:01 pm Geithner carries fat fiscal burden but thin walletWASHINGTON (Reuters) - What's in the wallet of Timothy Geithner, whose hands as U.S. Treasury secretary are on some of the fattest government purse strings in the world?Source: Reuters: Money News | 22 May 2009 | 7:00 pm 'Denotification fine if duty benefits are returned'The Export Promotion Council for EOUs and SEZs on Friday said cash-starved realty major DLF should be allowed to denotify its special economic zones if the developer is willing to refund the duty-free benefits claimed.Source: India Business News | Business News - Times of India | 22 May 2009 | 6:59 pm DLF may gain from SEZ closureDLF has the potential to gain from losing the SEZ status for its second IT/ITeS centre in Rajarhat on the northern fringes of Kolkata since a denotification would free it of the numerous restrictions imposed on the kind of clients it can attract to such a facility.Source: India Business News | Business News - Times of India | 22 May 2009 | 6:57 pm Soap prices set to go upThe tide is turning for the fast-moving consumer goods (FMCG) sector with input costs witnessing an upward trend.Source: India Business News | Business News - Times of India | 22 May 2009 | 6:43 pm ITC Q4 net profit jumps 10%Diversified giant ITC on Friday said its Q4 net profit jumped 10% to Rs 809 crore from Rs 735.64 crore in the corresponding period in 2007-08 on the back of a good showing by the paperboard, tobacco and agri businesses.Source: India Business News | Business News - Times of India | 22 May 2009 | 6:42 pm Welspun completes takeover of Grasim's sponge iron armWelspun Power and Steel, which had signed the agreement to buy Vikram Ispat 11 months ago, on Friday completed the takeover of the sponge iron business from Grasim Industries.Source: India Business News | Business News - Times of India | 22 May 2009 | 6:41 pm NTPC fourth quarter profit rises 58% on tax refundNew Delhi/Mumbai: The country’s biggest power generator, NTPC Ltd, posted a 58% increase in fourth quarter profit after selling more electricity and getting a tax refund. Net income climbed to Rs2,110 crore in the three months ended 31 March from Rs1,340 crore a year earlier, the utility said in a statement to the Bombay Stock Exchange on Friday. That compares with a provisional Rs1,740 crore announced by chairman R.S. Sharma last month.  Robust growth: NTPC chairman R.S. Sharma. India aims to add 78,700MW of capacity by 2012, cutting peak-hour shortages that reached a provisional 12% in the year ended 31 March, according to the Central Electricity Authority. “The company benefited from a tax refund this quarter compared with the year-ago quarter, when extraordinary high tax payment had led to a fall in profit,” said Girish Solanki, a Mumbai-based analyst at Angel Stock Broking Ltd. “We see earnings growth from plans to add more than 3,000MW capacity with steady fuel linkages,” Solanki added. The company received Rs151 crore as tax refund during the quarter compared with tax of Rs812 crore it paid a year earlier. Interest payments fell to Rs567 crore from Rs810 crore. NTPC shares rose 2.1% to close at Rs216.6 in Mumbai trading. The share has advanced 20% so far this year, compared with a 44% increase in the benchmark Bombay Stock Exchange Sensex index. NTPC has 22 plants with a total installed capacity of 27,850MW, according to its website. That’s about 19% of India’s present capacity of 147,965MW. Net sales rose 6.6% to Rs11,450 crore, NTPC said. feedback@livemint.com Source: Home - Livemint.com | 22 May 2009 | 6:35 pm Scrambled subscriber reportingIndias telecom subscriber base may have crossed 400 million, but the industry is yet to formulate a uniform subscriber reporting standard. Kenan Machado delves into the maze of subscriber reporting.Source: Moneycontrol Top Headlines | 22 May 2009 | 6:11 pm Era Infra bags Rs 117.84 cr contractEra Infra Engineering Ltd., through its construction and contracts division, announced that it has secured another contract worth Rs 117.84 cr from Aravali Power Company Private Limited (a JV between NTPC, HPGCL and IPGCL) to construct a permanent township at the Indira Gandhi Super Thermal Power Project, Jhajjar.Source: Moneycontrol Top Headlines | 22 May 2009 | 4:39 pm See economic turnaround later this year: SubbaraoRBI Governor, D Subbarao said that one could expect an economic turnaround later this year. The RBI says it will use a combination of monetary and debt measures to maintain government borrowing and to spur investment and demand.Source: Moneycontrol Top Headlines | 22 May 2009 | 4:34 pm Satyam has won new deals: Tech MahindraNEW YORK (Reuters) - Satyam Computer Services Ltd has won some new deals in recent weeks, the chairman of its new owner Tech Mahindra said, amid fears the worst may not be over for the fraud-hit outsourcer.Source: Reuters: Money News | 22 May 2009 | 3:46 pm Indian tech firms see glimmer of hope but long way to goBANGALORE (Reuters) - Financials on the mend and signs the world economy is not falling off the cliff are good news for India's high profile IT outsourcing industry but that's still not enough for the sector to regain its past glory.Source: Reuters: Money News | 22 May 2009 | 3:33 pm India Inc looks at 'conducive' milieu under ManmohanRiding high on optimism, India Inc has expressed great hope that Manmohan Singh's second term as prime minister will bring India back on the path of economic growth.Source: IndiaeNews.com: Business News | 22 May 2009 | 3:31 pm See demand for property come back in 1 year: Saffron AssetOn property prices, Ajoy Veer Kapoor of Saffron Asset said that prices wont remain stagnant for as long as they were when the real estate bubble burst in 1996. \"I dont see this as a sevenyear cycle [like in 19962002]. I see that the pentup demand that exists from the enduser will come back into the market in the next 1215 months,\" he said.Source: Moneycontrol Top Headlines | 22 May 2009 | 2:35 pm First priority restoring economy : Manmohan SinghPrime Minister Manmohan Singh Friday said the new government's focus will be on restoring the economy and ensure inclusive growth.Source: IndiaeNews.com: Business News | 22 May 2009 | 2:30 pm 'Poor pesticide use causing crop loss of Rs.1,000 bn'Non-judicious use of pesticides is leading to an annual loss of more than Rs.100,000 crore (Rs.1,000 billion/$21 billion) in the agricultural sector, according to the Associated Chambers of Commerce and Industry (Assocham).Source: IndiaeNews.com: Business News | 22 May 2009 | 1:30 pm Satyam names four new directorsIndia's fourth largest outsourcer Saytam Computers Friday said it has appointed four more directors on its board following a Company Law Board (CLB) directive April 16.Source: IndiaeNews.com: Business News | 22 May 2009 | 1:01 pm After state-owned telcos, Airtel launches Net PCLeading telecom operator Bharti Airtel, which has about 2.7 million Internet subscribers, Friday launched its Net PC initiative that provides Internet connectivity to users without the need to invest in personal computers (PC).Source: IndiaeNews.com: Business News | 22 May 2009 | 1:00 pm
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