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GM hopes to return to profit by 2011: court papers!General Motors expects it could return to annual profitability by 2011 after emerging from bankruptcy protection as a new, leaner company, court filings showed.Source: Zee News : Business | 5 Jun 2009 | 12:38 pm Oil rises above $69, buoyed by US jobs data!US crude futures rose above USD 69 a barrel on Friday, but traded below seven-month highs hit in the previous session, drawing strength from positive US jobs data, a rally in stock markets and a weaker dollar.Source: Zee News : Business | 5 Jun 2009 | 12:38 pm GMR Infra Q4 net up 6% at Rs 53.24 cr!GMR Infrastructure, the flagship company of GMR Group, on Friday said its consolidated net profit rose by 6.43 percent to Rs Rs 53.24 crore in the fourth quarter ended March 31, 2009, over the same period last year.Source: Zee News : Business | 5 Jun 2009 | 12:38 pm India 2nd big UK investor; Mumbai, B`lore global hubs!Despite recession, India emerged as the second largest investor in the UK in 2008, after the United States, according to a new study that sees Mumbai and Bangalore as the next top centres of global investment.Source: Zee News : Business | 5 Jun 2009 | 12:38 pm GM to give over $2.5 bln for Delphi buyout: Report !General Motors Corp will give more than USD 2.5 billion of the USD 3.6 billion needed for Platinum Equity to gain control of bankrupt car parts supplier Delphi Corp, the Wall Street Journal said, citing a source.Source: Zee News : Business | 5 Jun 2009 | 12:38 pm Satyam may lay off 5000 employees !The full board meeting of Satyam Computer is likely to be held on June 11 after its new owner Tech Mahindra assumed charge and the board may decide on laying off as many as 5,000 employees in phases.Source: Zee News : Business | 5 Jun 2009 | 12:38 pm Sensex builds on early gains, moves up 121 points !Indian equities markets built on morning gains about an hour after opening bell on Friday, with a key index moving up 121 points.Source: Zee News : Business | 5 Jun 2009 | 12:38 pm Tech Mahindra makes changes in Satyam open offer!IT firm Tech Mahindra has extended the date for approaching the shareholders of Satyam Computer regarding its Rs 1,154-crore open offer for the purchase of a 20 percent stake in the scam-hit firmSource: Zee News : Business | 5 Jun 2009 | 12:38 pm Expect 26% growth in FY10 advances: IDBI BankBK Batra, Executive Director and Head of Corporate Banking, IDBI Bank, seems positive about the banks future growth. We expect 26% growth in advances in FY10.Source: Moneycontrol Top Headlines | 5 Jun 2009 | 11:00 am Producermultiplex war over; rev sharing won\'t hurt: InoxThe twomonth long strike called by film producers has finally come to an end Thursday (June 4, 2008) night. Confirming the news, Inox director Deepak Asher said, \"The resolution is satisfactory for both sides, adding that the earnings profile would not suffer due to the new terms and conditions that both parties had zeroed on.Source: Moneycontrol Top Headlines | 5 Jun 2009 | 10:39 am Time Technoplast in JV with Netherlands firmMUMBAI (Reuters) - Time Technoplast Ltd said it formed a joint venture with Netherland's Schoeller Arca Systems to make a range of material handling systems.Source: Reuters: Money News | 5 Jun 2009 | 10:31 am GM Indian unit sees no issue in project fundingNEW DELHI (Reuters) - The Indian unit of bankrupt General Motors Corp does not see any concern in funding the powertrain plant it is building even though financing had not been finalised, a top executive said on Friday.Source: Reuters: Money News | 5 Jun 2009 | 10:28 am Supreme Court dismisses Ambani-promoted SEZ plea - Business Standard
Source: Google News India - Business | 5 Jun 2009 | 10:25 am Nifty closes below 4600; ITC, Suzlon, Rel Infra down - Economic Times
Source: Google News India - Business | 5 Jun 2009 | 10:23 am GM Indian unit sees no issue in project funding - Reuters
Source: Google News India - Business | 5 Jun 2009 | 10:22 am BSE Sensex provisionally rises 0.6 pct - Reuters India
Source: Google News India - Business | 5 Jun 2009 | 10:20 am PREVIEW-India's May edible oil import to jump, stocks up - Reuters India
Source: Google News India - Business | 5 Jun 2009 | 10:10 am BSE Sensex provisionally rises 0.6 pctMUMBAI (Reuters) - The BSE Sensex provisionally rose 0.59 percent on Friday, extending weekly gains to 13 in a row for the first time in four years, as improving signs the global recession is easing lifted investor confidence across Asia and Europe.Source: Reuters: Money News | 5 Jun 2009 | 10:10 am Canon to build new Japan plant after delayTokyo: Canon Inc. said Friday the recent recovery of the digital camera market would allow it to start building a new factory after a seven-month delay brought about by the global economic slump. “A careful review of recent market and economic conditions by the company indicates that the digital SLR (single-lens reflex) camera market is recovering steadily,” the company said in a statement. Construction of the factory in southern Nagasaki prefecture would start in July, and operations would begin in April 2010, said the high-tech photographic and office-equipment maker. The factory, which will produce 4 million cameras annually, will employ as many as 1,000 workers. Construction had been due to begin in January, and the factory was to become operational in December. The start of construction was delayed twice as the global recession battered Japan, pushing companies including Canon to slash jobs and shut factories. Canon, hailed as a success story in Japan’s recovery from the 1990s recession, saw its profits plunge last year. The company has said it is braced for another tough year but expects to stay profitable. Source: World Business - Livemint.com | 5 Jun 2009 | 10:08 am Sensex ends over 90 pts up on firm global cuesMumbai: Indian shares rose 0.59% on Friday, extending weekly gains to 13 in a row for the first time in four years, as improving signs the global recession is easing lifted investor confidence across Asia and Europe. The 30-share BSE index ended up 94.87 points at 15103.55 , with 20 stocks gaining. The 50-share NSE index closed up 14.25 at 4586.90. Source: LatestNews-Home - Livemint.com | 5 Jun 2009 | 10:04 am GM Indian unit sees no issue in project fundingNew Delhi: The Indian unit of bankrupt General Motors Corp does not see any concern in funding the powertrain plant it is building even though financing had not been finalised, a top executive said on Friday. General Motors has invested more than $1 billion in production facilities India. Earlier this week, its Asia Pacific President said most of the $200 million needed to complete a new engine factory and other projects was yet to be raised. Karl Slym, president and managing director of GM India, said the powertrain plant was due for completion at the end of 2010 and he saw no issues in raising funds for it. “Our finance will be employed during the period of construction, no issues,” he told reporters at an event to launch a new version of their Chevrolet Spark. “It’s not an unusual situation... As far as funding is concerned, there is no difference in where we are today and where we were when we started investing a billion dollars,” he said. Slym said GM India could tap internal accruals, use its agreements with financial institutions and, if needed, would seek help from other GM companies. As part of the 100-year-old automaker’s historic bankruptcy filed on Monday, the US government is set to own 60 percent of a new and leaner GM. Company executives have said that lower-cost Asia-Pacific operations would be a crucial driver for the “New GM”. “It’s business as usual for us in India,” Slym said, adding GM’s new model launches in India were on track and they would continue to add service outlets in the country. GM plans to launch a new mini car at the end of 2009, will price it at around Rs400,000 ($8,500) in India, said Ankush Arora, a vice president with the Indian unit. Source: Home - Livemint.com | 5 Jun 2009 | 10:01 am GM Indian unit sees no issue in project fundingNew Delhi: The Indian unit of bankrupt General Motors Corp does not see any concern in funding the powertrain plant it is building even though financing had not been finalised, a top executive said on Friday. General Motors has invested more than $1 billion in production facilities India. Earlier this week, its Asia Pacific President said most of the $200 million needed to complete a new engine factory and other projects was yet to be raised. Karl Slym, president and managing director of GM India, said the powertrain plant was due for completion at the end of 2010 and he saw no issues in raising funds for it. “Our finance will be employed during the period of construction, no issues,” he told reporters at an event to launch a new version of their Chevrolet Spark. “It’s not an unusual situation... As far as funding is concerned, there is no difference in where we are today and where we were when we started investing a billion dollars,” he said. Slym said GM India could tap internal accruals, use its agreements with financial institutions and, if needed, would seek help from other GM companies. As part of the 100-year-old automaker’s historic bankruptcy filed on Monday, the US government is set to own 60 percent of a new and leaner GM. Company executives have said that lower-cost Asia-Pacific operations would be a crucial driver for the “New GM”. “It’s business as usual for us in India,” Slym said, adding GM’s new model launches in India were on track and they would continue to add service outlets in the country. GM plans to launch a new mini car at the end of 2009, will price it at around Rs400,000 ($8,500) in India, said Ankush Arora, a vice president with the Indian unit. Source: World Business - Livemint.com | 5 Jun 2009 | 10:01 am European stocks rally on Rio Tinto shake-upLondon: Europe’s main stock markets rallied on Friday, lifted by soaring heavyweight mining stocks as Rio Tinto called off a tie-up deal with Chinalco, and following gains in Tokyo and overnight on Wall Street. In morning trade, London’s FTSE 100 index of leading shares jumped 1.56% to 4,455.48 points, as investors in London waited to see if Britain’s under-fire Prime Minister Gordon Brown would keep his job. In Paris the CAC 40 climbed 1.09% to 3,348.29 points and Frankfurt’s DAX 30 advanced 0.59% in value to reach 5,094.68. The DJ Euro Stoxx 50 index of leading eurozone shares increased 0.88% to 2,509.00 points. On the currency market the euro rose to $1.4197 while the pound fell sharply against its main rivals. “After three successive losing sessions, the FTSE is eyeing something of a break from the trend today with the news that dual listed Rio Tinto has abandoned plans to sell more of the stock to Chinalco likely to dominate for many,” said CMC Markets dealer Matt Buckland. Mining giant Rio Tinto on Friday cancelled its controversial tie-up with China’s Chinalco in favour of a joint venture with fierce rival BHP Billiton and a $15.2 billion rights issue. Shares in the Anglo-Australian firm Rio Tinto soared 10.1% to 2,996 pence in London after the announcement, which spared Australian Prime Minister Kevin Rudd from making a politically fraught decision on whether to approve the Chinalco deal. Rio chairman Jan du Plessis said commodities prices had recovered since state-owned Chinalco made its bid to invest $19.5 billion in Rio, making that deal less attractive. Metals prices jumped on the news, in turn lifting the mining sector. BHP Billiton surged 9.34% to 1,592 pence in London, while in Paris the world’s biggest steel producer Arcelor-Mittal jumped 3.46% to €24.81. Also in focus on Friday was Prime Minister Brown’s battle to stay in power after a British government minister called for his resignation, while the ruling Labour Party faced heavy local and European poll losses. In a shock move as polls closed late on Thursday, James Purnell stepped down as work and pensions secretary, prompting Brown to reshuffle his government in a bid to relaunch his premiership. Purnell, tipped as a rising star and possible future leader, is the third cabinet minister to quit this week -- but the first to call openly for Brown to go. Source: LatestNews-Home - Livemint.com | 5 Jun 2009 | 9:58 am Benchmark sees gold ETF investors rising over 50 pctMUMBAI (Reuters) - Indian money manager Benchmark Asset Management aims to grow client base in its gold exchange traded fund by more than 50 percent as it lures investors hurt by a sharp drop in their stock portfolios, a top executive said.Source: Reuters: Money News | 5 Jun 2009 | 9:57 am Brazil mistakes sea ‘trash’ for Air France crash debrisRio de Janeiro: Red-faced Brazilian officials said late on Thursday debris they thought was from an Air France crash in the Atlantic was in fact sea “trash,” adding to the uncertainties surrounding the jet tragedy. “Up to now, no material from the plane has been recovered,” Brigadier Ramon Cardoso, director of Brazilian air traffic control, told reporters in the northeastern city of Recife. Items, including a cargo pallet and two buoys, pulled from the ocean early on Thursday - which Cardoso himself had initially said came from downed Air France flight AF 477 - actually came from another source, most certainly a ship. “We confirm that the pallet found is not part of the debris of the plane. It’s a pallet that was in the area, but considered more to be trash,” he said. The pallet was made of wood, and the Air France Airbus A330 did not have any wooden pallets on board. “That’s how we can confirm that the pallet isn’t part of the remains of the aircraft,” Cardoso said. He also said a big oil slick originally thought to come from the plane probably also came from a ship passing through the zone, 1,000 kilometers off Brazil’s northeast coast. Despite the mistake over the debris, it appeared the Brazilian navy was in the right general area where the Air France came down. Air force planes on Tuesday and Wednesday spotted items in the water, including a seat from a plane and a seven-meter chunk of what looked like fuselage, that Defense Minister Nelson Jobim said were beyond a doubt from the French jet. Air France flight AF 477 came down early Monday as it was transporting 228 people from Rio de Janeiro to Paris. Speculation over what caused the accident has ranged from a massive, lightning-packed storm in the area at the time, to turbulence, to pilot error or a combination of factors. No mayday call was received from the plane, just a series of data transmissions signaling it had lost power and then had either broken up or gone into a fatal dive. Memorial services were held on Wednesday in Paris and Thursday in Rio for those on board the plane, though no bodies have been spotted at sea. Many relatives of the passengers attended, but others declined, refusing to give up hope that somehow, despite the evidence, their loved ones had survived. French Foreign Minister Bernard Kouchner said after speaking at the Rio ceremony “it will probably take some time” before the reason for the catastrophe -- the worst in Air France’s history - would be known. The point in the Atlantic where the plane came down is “immensely deep,” between 3,000 and 4,000 meters, complicating the search for the black boxes, he said. Jobim on Wednesday called an explosion on board the downed plane “improbable” based on the presence of slicks at the crash site, inferring that the fuel would have burned away in a blast or fire. But with the biggest of those slicks now found to be oil from a ship, that hypothesis seemed undermined. Also, a Spanish pilot who was flying at high altitude some distance behind the doomed Air France jetliner said he saw an “intense flash of white light,” according to his airline, Air Comet. A co-pilot and passenger also saw the bright light, according to a report initially given to Spain’s El Mundo newspaper and confirmed by AFP. “Suddenly, we saw in the distance a strong and intense flash of white light, which followed a descending and vertical trajectory and which broke up in six seconds,” the unidentified captain wrote. Source: LatestNews-Home - Livemint.com | 5 Jun 2009 | 9:45 am Q+A: How does BHP-Rio iron ore jv stack up for investors? - Reuters
Source: Google News India - Business | 5 Jun 2009 | 9:42 am Satyam May Cut Wages of Some Staff - Wall Street Journal
Source: Google News India - Business | 5 Jun 2009 | 9:39 am RBI for subject on financial management in schoolsNew Delhi: The Reserve Bank of India (RBI) has proposed to the HRD Ministry to ask the school boards to introduce a subject on financial management in the curriculum to enhance the students’ knowledge in the field. The subject would deal with all aspects of finance and give fundamental ideas on it so that students take interest in the subject and pursue higher studies in the field. However, the ministry is yet to take a final decision on the proposal, a senior ministry official told PTI. The HRD Ministry has sought the view of National Council of Educational Research and Training (NCERT) which has not favoured the idea. The NCERT, which publishes textbooks and prepares broad curriculum for school students, has said that subjects like commerce and economics are already covering aspects of financial management. There is no need to start a separate subject, the NCERT has said. The NCERT has brought out a series of new textbooks in the last three years. The RBI had sent the proposal to HRD Ministry through Finance Ministry, the official said. Source: LatestNews-Home - Livemint.com | 5 Jun 2009 | 9:38 am India plans on track: GM MDGeneral Motors India is one of the key assets of GM Corp globally and will remain part of the restructured company after bankruptcy proceedings, country president and managing director Karl Slym told reporters here Friday.Source: IndiaeNews.com: Business News | 5 Jun 2009 | 9:31 am Crude oil futures up - Hindu Business Line
Source: Google News India - Business | 5 Jun 2009 | 9:31 am Return your junk phone, get a tree plantedEvery time you return a junk mobile phone to a Nokia dealer, the firm will thank you by planting a tree, apart from recycling that phone in an eco-friendly manner.Source: IndiaeNews.com: Business News | 5 Jun 2009 | 9:30 am Banned yes, but who is Ketan Parekh? - MSN India
Source: Google News India - Business | 5 Jun 2009 | 9:29 am India gold traders aim to fix local benchmark priceMumbai: Indian gold traders are aiming to establish a domestic benchmark price for the yellow metal, although differing regional tax rules could hamper the push for uniform pricing, market players said. India, the world’s largest importer of gold, consumes about 25% of global mined output each year. However, it has no national-level physical market, and so local prices are determined by overseas prices, making it difficult for traders to manage currency risk. The Indian Bullion Market Association (IBMA) has mobilised about 10,000 jewellers and traders, through 40 of India’s largest bullion associations, to set up a platform that will determine an Indian benchmark price for gold. “Currently, we have started spot deliverable contracts in six locations and we plan to expand it to 25-30 locations in six to nine months,” said Anjani Sinha, MD and CEO of National Spot Exchange Ltd (NSEL), which holds a 51% stake in IBMA. Sinha said the spot gold contracts will range from 8 grams to 1 kg. The bourse would aim to fix the gold price twice daily, which would be used by jewellers all across the country. NSEL is promoted by Financial Technologies, which is the largest stakeholder in the Multi Commodity Exchange (MCX), India’s biggest commodity bourse. MCX’s gold and gold mini were world’s third- and fourth most-traded gold futures in 2008, Futures Industry Association figures showed. IBMA also plans to approve gold refiners and create standardized bars for deliverable electronic spot trading in association with the NSEL. The London Bullion Market Association, the world’s biggest association for the commodity, follows a similar procedure. “We are ensuring standardised bars for trade... and have already approved two refiners in Ahmedabad and Mumbai,” Sinha said. Currently, prices in different spot markets across India vary by as much as 1 pct depending upon location and local taxes. “The absence of a uniform tax structure may be a challenge to have a benchmark pricing,” said Harish Galipelli, head of research, Karvy Comtrade in Hyderabad. Industry players said India’s policy of not allowing gold exports as a commodity would also hamper its aim to become a global price setter. India allows gold exports in the form of value-added products. “If they are successful in achieving the desired objectives and if standardisation takes place, it would create confidence among the market participants,” said Nayan Pansare, a Mumbai-based industry analyst. Source: LatestNews-Home - Livemint.com | 5 Jun 2009 | 9:28 am Bollywood producers, multiplexes end standoffMUMBAI (Reuters) - Bollywood producers have agreed to end a crippling two-month standoff over revenue sharing with Indian multiplexes that had dried up releases and led to large losses in the world's most prolific film industry.Source: Reuters: Money News | 5 Jun 2009 | 9:27 am India equity funds see highest weekly inflow of $199 mn in a yearNew Delhi: Global investors have poured in close to $200 million in India-focused equity funds in the first week of June, while the overall Asia-dedicated funds witnessed the biggest inflows of as much as $1.54 billion, a report says. According to data compiled by international fund tracking firm EPFR Global, India equity funds saw an inflow of $199 million in the first week of June, which is the highest amount seen in the past 55 weeks. In Asia (excluding Japan), equity funds posted the biggest inflows in dollar terms worth $1.54 billion. “With currency rather than growth issues on their minds, investors gravitated towards markets with a reputation for fiscal discipline (Asia) or big commodity stories (Latin America, Russia ) in late May and early June,” the report said. For the second week running, China’s previously dominant role in Asia (ex-Japan) equity fund flows was muted. Besides, all emerging markets equity funds combined have now taken in $26.1 billion of net inflows year-to-date, a little more than half of the $50 billion in assets lost to net outflows from these funds in 2008. Despite a solid performance by the US equity funds during the week ending 3 June, the declining dollar prompted investors to rotate money out of this fund group with large cap Exchange Traded Funds (ETF) accounting for the bulk of the modest outflows. Sector wise, EPFR Global tracked commodity and energy sector funds saw a good week due to dollar weakness, Chinese demand and OPEC’s apparent unity when it comes to reining in oil production. The commodity sector fund took in $798 million, while energy sector saw an inflow of $281 million. The flows into commodity sector funds were the largest since the fourth week of February 2008 and took year-to-date inflows of over the $6 billion mark, the report added. Another round of largely successful capital raising by major banks helped financial sector funds post inflows of $481 million, while consumer goods and utilities sector funds both absorbed over $100 million for the week. Source: LatestNews-Home - Livemint.com | 5 Jun 2009 | 9:27 am PSU divestment can lower fiscal deficit by 25 bps: ReligareNew Delhi: A possible fund mobilisation of about Rs10,000 crore through planned initial public offerings and strategic stake sales in select public sector entities can help the government lower its fiscal deficit by a quarter percentage points in the current fiscal, a report says. “If the new government manages to mobilise around Rs10,000 crore through lined up public offers and strategic sales in FY10, it can lower fiscal deficit by about 25 bps (basis points) Religare Hichens Harrison said in a report adding PSEs which were identified for disinvestment in the past, but were later shelved, may go under the hammer first. With fiscal deficit ballooning to over 6% of GDP last fiscal, and is expected to remain high this fiscal as well, divestment “is a large window of opportunity for the next government to bolster its finances,” the report said. “Firstly, there are those PSEs which have filed for a public issue with Sebi, but are yet to see the light of day on the primary markets. These include Rites, National Hydro Power Corp, Bharat Oman Refineries, UTI Asset Management Company and Oil India,” the report said, while noting that these five alone have potential to raise over Rs12,000 crore of funds. Besides, there are about 25 PSEs recommended by the Disinvestment Committee which can be potential targets of divestment and there are those PSEs which were slotted for disinvestment but for which the process was later called off for various reasons, the report added. Source: LatestNews-Home - Livemint.com | 5 Jun 2009 | 9:21 am Bank staff plan one-day strike on June 12 - Reuters India
Source: Google News India - Business | 5 Jun 2009 | 9:17 am Bollywood producers, multiplexes end standoffMumbai: Bollywood producers have agreed to end a crippling two-month standoff over revenue sharing with Indian multiplexes that had dried up releases and led to large losses in the world’s most prolific film industry. The deadlock, which piled woes on an industry already battling a slowdown, ended late on Thursday after eight hours of talks when both sides came to a verbal agreement. “The strike has been called off and you will see films being released at the box office from next week onwards,” Tushar Dhingra of Big Cinemas, part of the Reliance ADAG group, told Reuters. Producers had demanded a 50% share in box-office revenues, while multiplex owners favoured a performance-linked model based on a film’s budget and star power, resulting in a deadlock that has seen almost no releases since 4 April. “We have agreed to a 50% revenue share for the first week, across board for all movies, including Hollywood films,” Priti Shahani, senior vice president of the Indian Film Company, told Reuters. Multiplexes are largely concentrated in cities and big towns in India, and have also encouraged the production of low-budget films that are a departure from song-and-dance extravaganzas. India’s filmed entertainment sector, estimated at about $2.2 billion, is forecast to grow by more than 9% every year over the next five years, according to consultants KPMG. Box-office revenues are still less than 10% of Hollywood’s because of low ticket prices. Dhingra said all national multiplexes were part of the agreement. The two month gap will mean a backlog of movies waiting to be released, which may hurt smaller companies. “The deadlock hasn’t really caused losses for the producers so far, because it has only meant releases have been pushed forward,” trade analyst Komal Nahta said. “However there will be a huge pile up of releases in the next few months, which is bad news for smaller films.” Source: Home - Livemint.com | 5 Jun 2009 | 9:16 am Bank staff plan one-day strike on June 12MUMBAI (Reuters) - About 800,000 employees of Indian banks plan to go on a one-day strike on June 12 for higher wages and to oppose outsourcing, a union representative said on Friday.Source: Reuters: Money News | 5 Jun 2009 | 9:06 am Give industry status to retail sector: AssochamThe Associated Chambers of Commerce and Industry (Assocham) Friday urged the government to provide industry status to the organised retail sector, which is expected to grow to 20-22 percent of the total retail market by 2010.Source: IndiaeNews.com: Business News | 5 Jun 2009 | 9:01 am Sensex moves up further in afternoon tradeA key index of the Indian equities markets climbed further Friday afternoon to rule 236 points higher about an hour before the closing bell.Source: IndiaeNews.com: Business News | 5 Jun 2009 | 9:00 am MCA may seek quarterly financial reports of firms from SebiNew Delhi: The Corporate Affairs Ministry may seek quarterly financial statements of companies from market regulator Sebi as part of the exercise to evolve an early warning system to prevent a Satyam-like incident in future. The quarterly reports filed by listed companies with the Securities and Exchange Board of India (Sebi) can be obtained and scrutinized by the Ministry to find out discrepancies and take appropriate actions, sources said. Since the disclosure of the Satyam scam, the Ministry of Corporate Affairs has been trying to develop an early warning system so that it can take advance action to prevent large-scale corporate frauds. Under the current regulations, the listed companies are required to submit annual financial statements with the Registrar of Companies, though they file such statements every quarter with the Sebi. Besides quarterly financial statements, the Ministry is also looking at the option of seeking information about the IPOs to find out whether the funds raised from the public have been used for purposes declared in the prospectus. The early warning mechanism, the modalities of which are still being discussed, would help in avoiding corporate frauds, sources said. Soon after taking charge of his portfolio, minister of state for corporate affairs Salman Khursheed had said the government would put in place a system which would ring alarm bells, in case any discrepancy is noticed. Source: LatestNews-Home - Livemint.com | 5 Jun 2009 | 8:58 am Vedanta to raise Rs10,000 cr debt for Orissa projectNew Delhi: Vedanta Aluminium, a subsidiary of metal and mining giant Vedanta Resources, is believed to be in talks with banks, including SBI, to raise Rs10,000 crore debt for part-funding its project in Orissa. The company is in dialogue with a syndicate of banks, led by the country’s largest lender, SBI, to arrange the debt, which would be used for expanding its aluminium production capacity in Orissa, a source close to the development said. Even as Vedanta Aluminium Limited (VAL) has approached the banks for debt, its parent company Vedanta Resources would not stand as guarantor for the loan, he added. When asked if VAL is in the process of raising Rs10,000- crore debt and has roped in SBI as the lead manager, Sterlite Industries director finance Tarun Jain refused to comment. Sterlite Industries, the flagship company of the London Stock Exchange-listed Vedanta Resources, owns 30% stake in VAL. Vedanta Resources investment arm Twin Star Holding has a 45% stake in the aluminium firm while the rest is with Welter Trading. As part of its expansion, VAL will augment the capacity of its alumina refinery to five million tonnes per annum (MTPA) from the present 1.4 MTPA while that of aluminium smelter to 1.75 MTPA, from close to 0.7 MTPA. Source: LatestNews-Home - Livemint.com | 5 Jun 2009 | 8:57 am Fiat CEO says still interested in OpelTURIN, Italy (Reuters) - Italian automaker Fiat SpA is still interested in German peer Opel, Chief Executive Sergio Marchionne said on Friday.Source: Reuters: Money News | 5 Jun 2009 | 8:56 am Multiplex, flimproducers stir endsIt\'s finally lights, camera and action time once again. Movies will soon be back in the multiplexes. The twomonth long strike called by film producers finally came to an end last night. The President of the Indian Motion Pictures Producers Association, Mukesh Bhatt has confirmed this news.Source: Moneycontrol Top Headlines | 5 Jun 2009 | 8:44 am Rupee steady tracking stocks, Asian currenciesMumbai: The rupee was virtually unchanged in low volume trade on Friday in line with other Asian currencies as a steady stock market failed to provide direction. At 2:12 pm, the partially convertible rupee was at Rs47.04/05 per dollar, stronger than its previous close of Rs47.20/21. On Wednesday, the rupee rose to as much as Rs46.75, its highest since 5 November last year. Some dealers said the central bank was likely buying dollars via state-run banks around 47.05 as the rupee failed to breach that mark for over three hours, but others said the unit was just tracking the steady sharemarket and other Asian units. Indian shares were trading about 1% higher after upbeat US data renewed hopes the global economic crisis was waning, but trading was choppy as investors take profits on a sharp three-month rally. In the currency futures market, the most traded near-month contract on the National Stock Exchange (NSE) and MCX-SX were quoting at 47.15 each, with the total traded volume on the two exchanges at about $485 million. Source: Home - Livemint.com | 5 Jun 2009 | 8:44 am Curbs on Amul and VadilalThe Gujarat Cooperative Milk Marketing Federation, which sells dairy products under the brand name Amul, and Vadilal Industries Ltd have been restrained from using the words American Dry Fruits for their products by a civil court here.Source: Moneycontrol Top Headlines | 5 Jun 2009 | 8:40 am BSNL staff union open to discussing IPO plansIn what could be a softening of stance, the employees union of Bharat Sanchar Nigam Ltd said that it was prepared to discuss the companys proposal for an Initial Public Offering.Source: Moneycontrol Top Headlines | 5 Jun 2009 | 8:33 am NHAI to hold business conclave for NHDP projectsWith the change of guard in the road transport and highways ministry and Kamal Nath setting the agenda, National Highways Authority of India (NHAI) has also swung to action.Source: India Business News | Business News - Times of India | 5 Jun 2009 | 8:32 am Nissan Renault ventures India plans on trackNissan Renault Automotive India Private Ltd, the first joint venture between the global alliance partners Renault and Nissan, announced that its investment plans for India are intact, allaying fears of the project being called off due to effects of global slowdown.Source: Moneycontrol Top Headlines | 5 Jun 2009 | 8:26 am Mumbai worlds sixth most expensive office marketIndias financial hub, Mumbai, has dropped to the sixth position in real estate consultant CB Richard Ellis list of most expensive global office markets, as demand contraction triggered a fall in rentals.Source: Moneycontrol Top Headlines | 5 Jun 2009 | 8:18 am Multiplex operators may sign pact with producersThe eightweek standoff between producers and multiplexes on revenuesharing is believed to have reached a consensus, with few multiplex operators likely to sign an agreement with the United Producers and Distributors Forum (UPDF).Source: Moneycontrol Top Headlines | 5 Jun 2009 | 8:08 am HCL Infosystems starts ‘Green Bag’ campaignNew Delhi: IT firm HCL Infosystems today started its ‘Green Bag’ campaign, where people can discard their old IT equipment like computers, keyboard and printers in an environmental friendly way. The ‘Green-Bag’ campaign will cover 99 ‘HCL Touch’ centres across major metros and mini-metros in the country. These centres will accept eWaste and encourage people to dispose-off their end-of-life IT equipment, including computers, keyboard, scanner and printers in an eco-friendly manner, HCL Infosystems said in a statement. HCL has also tied up with leading eWaste collection and recycling service providers in the country, it added. “HCL being a responsible corporate citizen is launching this campaign by extending its environment protection initiatives through ‘HCL Touch’, to enable one and all to come forward and dispose their eWaste responsibly,” HCL Infosystems chief operating officer JV Ramamurthy said. The company owns a network consisting 11 remote support centres, 505 service offices, 390 warehouses and 150 repair centres under HCL Touch. Source: LatestNews-Home - Livemint.com | 5 Jun 2009 | 8:07 am GMR Infrastructure's last quarter profit up 6.43 percentGMR Infrastructure, promoted by the Bangalore-based GMR group, has posted consolidated a net profit of Rs.53.24 crore for the quarter ended March 31, as against Rs.50 crore in the corresponding quarter the previous fiscal, an increase of 6.43 percent, the company announced Friday.Source: IndiaeNews.com: Business News | 5 Jun 2009 | 7:31 am Tata hopes to sell Nano in USNew York: Tata Motors hopes to offer the Nano, dubbed the world’s cheapest car, in the United States within two years, its chairman said. “It will need to meet all emission and crash standards and so we hope in the next two years we will be offering such a vehicle in the US,” Ratan Tata told a panel at the Cornell Global Forum on Sustainable Global Enterprise late Wednesday. The company plans to offer a European version of the car, which costs about $2,300, in 2011. Tata got the idea to make a car that poor people could afford while thinking about the motorbike and scooter riders who maneuver through the streets of Indian cities with their children on board. The four-seater car gets up to 28 km per liter. Cheap labor helps to keep the price down. Tata said his company was also working to develop cars that run on fuels other than gasoline such as clean diesel, biofuels and batteries. The Nano debuted in showrooms in January 2008, but production was delayed by protests over land use where a plant was to be located. The cars will be available in India by July with a lottery to select the first 100,000 owners. Source: Home - Livemint.com | 5 Jun 2009 | 7:20 am Tata hopes to sell Nano in USNew York: Tata Motors hopes to offer the Nano, dubbed the world’s cheapest car, in the United States within two years, its chairman said. “It will need to meet all emission and crash standards and so we hope in the next two years we will be offering such a vehicle in the US,” Ratan Tata told a panel at the Cornell Global Forum on Sustainable Global Enterprise late Wednesday. The company plans to offer a European version of the car, which costs about $2,300, in 2011. Tata got the idea to make a car that poor people could afford while thinking about the motorbike and scooter riders who maneuver through the streets of Indian cities with their children on board. The four-seater car gets up to 28 km per liter. Cheap labor helps to keep the price down. Tata said his company was also working to develop cars that run on fuels other than gasoline such as clean diesel, biofuels and batteries. The Nano debuted in showrooms in January 2008, but production was delayed by protests over land use where a plant was to be located. The cars will be available in India by July with a lottery to select the first 100,000 owners. Source: World Business - Livemint.com | 5 Jun 2009 | 7:20 am Hotels cut rates, but no demand revival yetMumbai: Faced with falling occupancies and a severe downturn in demand, hotels are lowering room tariffs and offering special packages, but occupancies are yet to pick up, industry officials said. Firms such as Hotel Leelaventure Ltd, Asian Hotels and EIH Ltd have been cutting average room rates or coming out with special ‘family package’ offers, but are yet to see a rise in occupancy, officials and analysts said. Hotel Leela has cut room rates across key city business properties in Mumbai and Bangalore in an attempt to offset falling occupancy levels. The company has cut rates at Bangalore’s Leela Palace to Rs11,000-Rs12,000 (April-May) from Rs15,000 last year. This property alone contributes about 38% of its overall revenues. Rates at its Mumbai hotel have also softened to Rs9,000 rupees per room from about Rs12,000. “Occupancies are also down compared to last year, business travel has been impacted because of the global meltdown, though India has been affected much less than other countries,” Leela’s senior vice president Rajiv Kaul told Reuters. Consequently, the revenues earned per room (RevPars) has also dropped. “There is a drop in RevPars of about 25% compared to last year,” Kaul said, referring to the industry scenario. “We are hoping we will be able to reverse the trend from the third quarter onwards.” Rates at Asian Hotels Ltd, which operates the ‘Hyatt Regency’ chain have also dropped in line with the market, said Sushil Gupta, managing director (west). “Our Delhi and Mumbai properties are averaging around Rs9,000. Last year they were about Rs12,000. Room rates have dropped because of the downturn,” Gupta said. Bookings Down, Challenges Remain The hotel industry has faced unprecedented challenges since the second half of 2008 as an economic slowdown dampened corporate spending and last November’s terror attacks in Mumbai nearly crippled demand. While India has recovered from the aftermath of the terror attacks, corporate spending was still weak and is likely to remain so in the near term said Sridhar Chandrashekar, head of research at Crisil Ltd. “If you go by fundamentals you are most likely to see the curtailment in corporate spending for some time to come. To that extent the sector will continue to be under stress,” he said. Occupancy levels have fallen to around 63% in the first four months of 2009 from 78% a year ago, a study by Crisil across major business and leisure hotels showed. The window for advance bookings had also narrowed to just 3-4 days now, making forecasting on occupancy levels all the more difficult, Rattan Keswani, president of Trident Hotels, said. EIH Ltd’s Trident, which along with Indian Hotels Taj Mahal Palace, was among the sites hit by the terror attacks, has been trying to woo customers through special family packages. It has also marginally lowered room rates for its south Mumbai luxury business hotel to Rs10,500 now from about Rs11,200 last year, but Keswani said occupancy at the hotel continues to remain below last year’s levels. “Bookings are not yet showing an upswing. Because of the swine flu and everything else, travel is disturbed and lower than what we saw last year,” Keswani said, referring to the worldwide epidemic caused by the H1N1 virus. Source: Home - Livemint.com | 5 Jun 2009 | 7:17 am Morning: Markets extend gains over 1% on strong AsiaMumbai: India’s main stock was trading up 1.1% on Friday, on track to post its 13th consecutive weekly gain in four years, after encouraging US economic data lifted markets across Asia. There were bouts of profit-taking following a three-month rally and the market briefly dropped into negative territory, but quickly pulled back up again. Private-sector lender ICICI Bank, outsourcer Infosys Technologies and engineering and construction firm Larsen & Toubro led the gains. However, investors locked in profits in energy giant Reliance Industries, which had more than doubled in value since early March, and diversified cigarette maker ITC. By 11:36am, the 30-share BSE index was up 1.1% at 15,172.83 points, with 24 stocks advancing. A global rally in stocks has propelled the benchmark up 88% from a 2006 low in early March, as cash-flush foreign funds poured more than $6 billion into the market. “The sense that I get from the people in the market is that there is a lot of cash sloshing around the world, waiting to be deployed,” Jayesh Shroff, who helps manage about $1 billion in equities at SBI Mutual Fund, said. Expectations of investor-friendly reforms from the re-elected ruling coalition such as privatisation, easier foreign investment rules in the insurance and pension sectors and a ramp up of infrastructure spending have also boosted investor confidence. “The underlying trend in the market is that, apart from expectations of reforms, there is a visible chance this government will last for the full five-year term and there will be continuity in policies,” Shroff said. The benchmark is up 58% this year, making it one of the best performing markets in the world, after it slumped by more than half in 2008 when risk-wary foreign funds pulled out about $13 billion. There are concerns valuations are expensive, but faster economic growth on increased reforms is expected to fuel corporate earnings and justify share prices, analysts said. No. 2 IT-services firm Infosys Technologies, which gets a large part of its revenue from the Unites States, gained 3.5% to Rs1,684 on signs of easing in the US recession. ICICI Bank climbed 2.9% to Rs755.50 on hopes a revival in economic growth will lead to lesser defaults and spark credit growth. Larsen rose 1.5% to Rs1,478.10 on expectations it will gain from government moves to improve the country’s creaking infrastructure. Reliance Industries, which has the most weight in the main index, fell 0.5% to Rs2,244.10, while ITC dropped 5.2% to Rs192. In the broader section, gainers led losers 2 to 1 on relatively heavy volume of 346.4 million shares. The 50-share NSE index was up 0.6% at 4,601.15. Asian markets were higher on Friday after a Wall Street rally overnight. Japan’s Nikkei was up 0.9%, while MSCI’s measure of other Asian markets rose 0.8%. Fewer US workers filed new claims for jobless benefits for a third straight week last week and productivity rose faster than expected in the first quarter, data showed on Thursday, supporting budding hopes that the recession is losing force. Source: Home - Livemint.com | 5 Jun 2009 | 7:10 am U.S. FDIC eyes Citi top management shake-up - WSJBANGALORE (Reuters) - The Federal Deposit Insurance Corp is aiming at a shake-up of Citigroup Inc's top management, including replacing Chief Executive Vikram Pandit, the Wall Street Journal said, citing people familiar with the matter.Source: Reuters: Money News | 5 Jun 2009 | 7:06 am Supreme Court dismisses RIL's Mumbai SEZ pleaThe Supreme Court on Friday dismissed the Mukesh Ambani-promoted Mumbai SEZ plea for staying the land acquisition process for its project in Raigad in Maharashtra.Source: India Business News | Business News - Times of India | 5 Jun 2009 | 7:05 am Sensex builds on early gains, moves up 121 pointsIndian equities markets built on morning gains about an hour after opening bell Friday, with a key index moving up 121 points.Source: IndiaeNews.com: Business News | 5 Jun 2009 | 7:02 am Rio Tinto scraps deal with Chinese firm ChinalcoSydney: Anglo-Australian miner Rio Tinto PLC on Friday ended its $19.5 billion deal with Chinese company Chinalco, instead saying it plans to raise $15.2 billion in a share sale. Rio Tinto chairman Jan du Plessis said in a letter to shareholders the planned deal with Chinalco was now dead and his company would pay it a $195 million break fee. Investors will be offered 21 new shares for every 40 they hold at A$28.29 ($22.71) each, the company said in a statement posted on the Australian stock exchange. Rio Tinto said the share deal would reduce the company’s overall debt, allowing it to meet repayment obligations. Rio Tinto turned to Chinalco in February to help repair a balance sheet weighed down by $38.7 billion in debt. A payment of $8.9 billion was due in October. Under the now-scrapped deal, Chinalco would have invested $12.3 billion in joint investments in aluminum, copper and ore mining with Rio Tinto, and spent $7.2 billion on convertible bonds in the company. If redeemed for shares, the bonds would have almost doubled Chinalco’s existing 9.3% stake in Rio Tinto Group to 18%. But there has been speculation about the status of the deal for several weeks as the market has changed significantly since the deal was first struck. In a statement, Chinalco president Xiong Weiping said he regretted the termination of the deal. “In recent weeks Chinalco has worked hard to respond constructively and engage with Rio Tinto to make appropriate amendments to the transaction terms ... to better reflect the changed market background and feedback from shareholders and regulators,” he said. “We continue to believe our proposal presented an outstanding value-creating opportunity for all Rio Tinto shareholders and would have provided a strong platform for a long term strategic partnership between the two companies,” he said. Earlier Friday, Rio Tinto and its rival and former suitor BHP Billiton announced they will set up a joint production venture comprising all of their iron ore assets in Western Australia state, a move expected to save them billions. The companies have signed a nonbinding agreement to establish the 50/50 joint venture, which covers all current and future iron ore assets and liabilities. “Both companies believe the net present value of these unique production and development synergies will be in excess of $10 billion,” BHP Billiton and Rio Tinto said in a joint statement. Also, BHP Billiton will pay Rio Tinto $5.8 billion to equalize its contribution to the joint venture at 50%. Source: World Business - Livemint.com | 5 Jun 2009 | 6:57 am Rio Tinto scraps deal with Chinese firm ChinalcoSydney: Anglo-Australian miner Rio Tinto PLC on Friday ended its $19.5 billion deal with Chinese company Chinalco, instead saying it plans to raise $15.2 billion in a share sale. Rio Tinto chairman Jan du Plessis said in a letter to shareholders the planned deal with Chinalco was now dead and his company would pay it a $195 million break fee. Investors will be offered 21 new shares for every 40 they hold at A$28.29 ($22.71) each, the company said in a statement posted on the Australian stock exchange. Rio Tinto said the share deal would reduce the company’s overall debt, allowing it to meet repayment obligations. Rio Tinto turned to Chinalco in February to help repair a balance sheet weighed down by $38.7 billion in debt. A payment of $8.9 billion was due in October. Under the now-scrapped deal, Chinalco would have invested $12.3 billion in joint investments in aluminum, copper and ore mining with Rio Tinto, and spent $7.2 billion on convertible bonds in the company. If redeemed for shares, the bonds would have almost doubled Chinalco’s existing 9.3% stake in Rio Tinto Group to 18%. But there has been speculation about the status of the deal for several weeks as the market has changed significantly since the deal was first struck. In a statement, Chinalco president Xiong Weiping said he regretted the termination of the deal. “In recent weeks Chinalco has worked hard to respond constructively and engage with Rio Tinto to make appropriate amendments to the transaction terms ... to better reflect the changed market background and feedback from shareholders and regulators,” he said. “We continue to believe our proposal presented an outstanding value-creating opportunity for all Rio Tinto shareholders and would have provided a strong platform for a long term strategic partnership between the two companies,” he said. Earlier Friday, Rio Tinto and its rival and former suitor BHP Billiton announced they will set up a joint production venture comprising all of their iron ore assets in Western Australia state, a move expected to save them billions. The companies have signed a nonbinding agreement to establish the 50/50 joint venture, which covers all current and future iron ore assets and liabilities. “Both companies believe the net present value of these unique production and development synergies will be in excess of $10 billion,” BHP Billiton and Rio Tinto said in a joint statement. Also, BHP Billiton will pay Rio Tinto $5.8 billion to equalize its contribution to the joint venture at 50%. Source: Home - Livemint.com | 5 Jun 2009 | 6:57 am Himachal Pradesh to feed power to Punjab from June 11Himachal Pradesh, which has begun selling hydropower to energy-deficient Haryana and Delhi, will begin supplying electricity to neighbouring Punjab next week.Source: IndiaeNews.com: Business News | 5 Jun 2009 | 6:30 am GMR Infra Q4 net profit rises 6% despite recessionMumbai: GMR Infrastructure, the flagship company of GMR Group, on Friday posted 6.43% rise in its consolidated profit for the fourth quarter of fiscal ended 31 March 2009 at Rs53.24 crore. The company had a net profit of Rs50.02 crore for the quarter ended 31 March 2008, GMR Infrastructure said in a filing to the Bombay Stock Exchange. “Despite the recessionary trends in the economy and the effects of the global meltdown, the GMR Group has been able to demonstrate peak revenue growth, spotless project execution, improved operational efficiency and timely funding for all its projects and acquisitions,” GMR Group chairman GM Rao said. The total income of the firm rose to Rs1,327.07 crore in Q4 of FY09, from Rs905.19 crore in the same period a year ago. For fiscal 2009 it reported a net profit of Rs279.45 crore, 33% up from Rs210.08 crore of fiscal 2008. Its total income increased from Rs2,364.53 crore for FY08 to Rs40,40.37 crore for FY09. Shares of GMR Infrastructure were trading at Rs179.75, up 1.27% on the BSE. Source: Home - Livemint.com | 5 Jun 2009 | 6:22 am Goa will be finished if more tourists come: ministerFollowing Goa Home Minister Ravi Naik's call to assess the 'quality' of foreign tourists coming to Goa, Public Works Department (PWD) Minister Churchill Alemao has now raised fears about the quantity of tourists that Goa attracts.Source: IndiaeNews.com: Business News | 5 Jun 2009 | 5:01 am Sensex rises 133 points in early tradeBenchmark Sensex rose by 133 points in initial trade on Friday, extending yesterday's rally, on sustained buying by funds and retail investors.Source: India Business News | Business News - Times of India | 5 Jun 2009 | 4:59 am Rupee strengthens by 14 paise against dollar in early tradeThe Indian rupee strengthened by 14 paise to 47.06 a the dollar in early trade today heavy dollar buying in anticipation of heavy capital inflow by foreign funds.Source: India Business News | Business News - Times of India | 5 Jun 2009 | 4:49 am Sensex starts in the greenA key index of the Indian equities markets started trade in the green Friday.Source: IndiaeNews.com: Business News | 5 Jun 2009 | 4:30 am Sensex rises 133 points in initial tradeThe Bombay Stock Exchange benchmark Sensex rose by 133 points in initial trade on Friday, extending Thursday's rally.Source: Daily News & Analysis: Money News | 5 Jun 2009 | 4:03 am Asia shares gain on appetite for risky assetsHong Kong: Asian shares, oil and higher-yielding currencies rose on Friday as hopes for a global economic recovery drove up appetite for riskier assets, but traders were cautious ahead of US monthly job data. Sterling remained under pressure as political uncertainty deepened in Britain, with a third senior minister quitting the government and calling on Prime Minister Gordon Brown to step down to improve his party’s chances in the next general election. US markets climbed on Thursday as optimistic investors focused on positive signals seen in US weekly jobless benefits and productivity data, downplaying bearish evidence that American consumers, the lynchpin of global exports, are cutting spending. US nonfarm payrolls data due later in the day are expected to show US employers cut 520,000 jobs in May, lower than 539,000 in April, but the unemployment rate is forecast to rise to 9.2% from 8.9% in April. A much worse-than-expected report could dampen expectations that the worst is over for the global economy, hopes that have pushed stock markets from Seoul to London sharply higher since early March. “If the numbers are better than expected investors will get confirmation that the economy’s really improving but there’s worry about what will happen if the figures are worse than consensus,” said Yumi Nishimura, a deputy general manager of the investment advisory section at Daiwa Securities SMBC. The MSCI index of Asia-Pacific stocks outside Japan rose 0.9% as of 7:45am, rebounding from a 1.9% fall on Thursday. The index looked set for a rise of close to 3% on the week, which would take its gains since hitting early March lows to around 63%. Resource shares were among the leading gainers after oil prices surged to a seven-month high on hopes that the global recession had bottomed out. Japanese oil and gas field developer Inpex surged 6.8%. Australian-listed shares of BHP Billiton and Rio Tnto jumped over 10% after they announced they will combine their major Australian iron ore operations. The news pushed up Australia’s main stock index more than 1%. The deal effectively scuppered a $19.5 billion bid by China’s Chinalco to secure a stake in debt-laden Rio. Japan’s Nikkei average rose 0.6%, while Hong Kong rose half a percent. Elsewhere, markets such as in Taiwan and Singapore posted more modest gains. Gains in Asian shares were also underpinned by data on Thursday showing fewer US workers filed new claims for jobless benefits for a third straight week last week and productivity rose faster than expected in the first quarter. An upgrade by RBC Capital Markets of the US banking industry to “overweight” also helped drive Wall Street higher, with major US indexes gaining around 1%. ECB on hold Still, not all signals have been positive. Most US retailers posted disappointing May sales as recession-weary shoppers cut spending, despite early signs of stabilization such as improving consumer confidence. A sustained rebound in consumer demand is vital to a global economic recovery. In another worrisome sign, US mortgage rates surged to their highest in almost six months in the latest week, despite government efforts to keep rates at low levels that will help the hard-hit housing market begin to recover. The caution is being reflected by central banks worldwide. The European Central Bank on Thursday kept interest rates on hold at a record low of 1%. However, President Jean Claude-Trichet left the option open for further easing after the ECB slashed forecasts for the 16-country economy this year and said growth would not return until mid-2010. The Bank of England also left interest rates steady at 0.5% on Thursday and said it was on track to complete 125 billion pounds of quantitative easing by August to kickstart bank lending again. But economists expect it may have to do even more to lift Britain’s economy out of recession. Riskier assets that depend on improving global demand still gained nonetheless. U.S. crude futures rose 42 cents to $69.24 a barrel, building on a rally of more than 4 percent on Thursday. In currency markets, investors switched to higher-yielding plays, though moves were tempered ahead of the US jobs data. The dollar index, a gauge of the greenback’s performance against a basket of six major currencies, fell 0.1% to 79.401. The euro edged up 0.1% from late U.S. trade to $1.4196 crawling towards a five-month peak of $1.4339 hit on EBS earlier this week after the ECB kept rates on hold. Source: Home - Livemint.com | 5 Jun 2009 | 4:01 am Govt asks Bharti for MTN plan details - reportMUMBAI (Reuters) - The government has asked Bharti Airtel to give details about its proposed deal with South Africa's MTN for legal scrutiny, the Business Standard newspaper said, citing a Press Trust of India newsagency report.Source: Reuters: Money News | 5 Jun 2009 | 3:41 am Oil rises above $69 buoyed by US jobs dataSingapore: US crude futures rose above $69 a barrel on Friday, but traded below seven-month highs hit in the previous session, drawing strength from positive US jobs data, a rally in stock markets and a weaker dollar. The oil market added to gains of 4% in the previous session on rising hopes for a recovery in oil demand following data showing the number of US workers filing new claims for jobless benefits fell for a third straight week. “The market is pricing in improved macro economic conditions,” said Yingxi Yu, an analyst at Barclays Capital in Singapore. US crude for July delivery was trading 37 cents higher at $69.18 a barrel by 7:48am, after peaking at $69.45. The market hit $69.60 a barrel a day earlier - its highest level since early November. London Brent gained 21 cents to $68.92. But the market is still trading 53% below the record high of more than $147 hit in mid-July last year. US investment bank Goldman Sachs said on Thursday a potential economic rebound alongside production cuts by the Opec cartel could propel crude to $85 a barrel by the end of the year and to $95 a barrel by the end of 2010. [ Opec seaborne oil exports, excluding Angola and Ecuador, will rise 250,000 barrels per day (bpd) in the four weeks to 20 June, said an analyst who tracks future shipments. Supply unease may also be fed by news that Venezuela is readying to nationalise petrochemical projects as it steps up a drive to put key industries in state hands. Some analysts cautioned, however, that a staggering rebound in oil prices from lows near $30 a barrel this winter might be overdone, given continued soft demand and high stockpiles. “The view is demand is not falling through a hole and Opec will be able to defend prices on the downside. Therefore prices are moving towards the floor explicitly stated by Opec,” Yu said. The US dollar inched down against a basket of major currencies on Friday, with investors shifting money to higher-yielding currencies from the safe-haven dollar on views the global recession is easing. The dollar index, a gauge of the greenback’s performance against a basket of six currencies, slipped 0.2% to 79.353. “Risk aversion moves are inevitable if something happens to dampen hopes, as people have been taking more risks recently,” said Minoru Shioiri, a senior manager of FX trading at Mitsubishi UFJ Securities, referring to the dives in the dollar. “But an overreaction in the market is also unlikely, as players are not taking as risky positions as they did a year ago.” Source: Home - Livemint.com | 5 Jun 2009 | 3:07 am NEWSMAKER - Angelo Mozilo, mortgage risk-taker charged with fraudLOS ANGELES (Reuters) - In two years, Angelo Mozilo, the son of a Bronx butcher and a rags-to-riches icon, went from the charismatic helmsman of America's top mortgage lender to the badly burned face of the nation's housing meltdown.Source: Reuters: Money News | 5 Jun 2009 | 3:00 am Gujarat State Petronet (Rs 62.10): BuyWe recommend a ‘buy’ on Gujarat State Petronet from a short-term trading horizon. It is apparent from the charts of Gujarat State Petronet that its long-term downtrend halted at Rs 25. It formed a bullish double bottom reversalSource: Business Line - Home Page | 5 Jun 2009 | 12:00 am Sibal orders review of all deemed-to-be universitiesNew Delhi, June 4 Deficiencies with regard to the availability of qualified faculty and infrastructure have prompted the Human Resource Development (HRD) Minister, Mr Kapil Sibal, on Thursday to order the UGC to take up a review of theSource: Business Line - Home Page | 5 Jun 2009 | 12:00 am Day Trading GuideInitiate fresh long position only if DLF exceeds Rs 427, with tight stop-loss. ICICI Bank is facing key resistance at Rs 761. Utilise rallies to sell this stock with stiff stop at Rs 761. We re-affirm ourSource: Business Line - Home Page | 5 Jun 2009 | 12:00 am Inflation rate slips to 0.48; food articles rule dearerNew Delhi, June 4 The Wholesale Price Index-based inflation slowed in the fourth week of May, giving policymakers the option to expand measures to stimulate the economy further.Source: Business Line - Home Page | 5 Jun 2009 | 12:00 am SEBI debars 26 entities from tradingMumbai, June 4 In an order which suggests that Ketan Parekh might still be playing an active role in the stock market, the Securities and Exchange Board of India on Thursday debarred 26 entities from transaction in securities until furtherSource: Business Line - Home Page | 5 Jun 2009 | 12:00 am Fundamentals do not support rally, says I-SecCoimbatore, June 4 The FIIs have pumped close to $4 billion into the equity markets in the past few months (which had driven the valuation up), but the fundamentals of the economy do not support the current equity valuations, according to aSource: Business Line - Home Page | 5 Jun 2009 | 12:00 am Sensex breaches 15,000 on divestment newsMumbai, June 4 The Sensex on Thursday closed above the 15,000-level for the first time in nine months as the new UPA Government indicated that divestment of public sector companies was on the cards.Source: Business Line - Home Page | 5 Jun 2009 | 12:00 am Mumbai world’s sixth most expensive office marketNew Delhi, June 4 India’s financial hub, Mumbai, has dropped to the sixth position in real estate consultant CB Richard Ellis’ list of most expensive global office markets, as demand contraction triggered a fall in rentals.Source: Business Line - Home Page | 5 Jun 2009 | 12:00 am Illegal money issue to be vigorously pursuedNew Delhi, June 4 The President, Ms Pratibha Patil, today told Parliament that the Government would “vigorously pursue” the issue of illegal money stashed by Indian citizens in overseas numbered bank accounts. This would be done inSource: Business Line - Home Page | 5 Jun 2009 | 12:00 am Govt draws up plans for ‘people ownership of PSUs’New Delhi, June 4 The Government is drawing up a roadmap for listing and divesting of its equity in public sectorSource: Business Line - Home Page | 5 Jun 2009 | 12:00 am 30 stocks have doubled after UPA winWhile the benchmark Sensex sprinted over 23% to kiss the 15,000 level since the UPA govt received a decisive mandate, there are many stocks which have pole-vaulted over 100% since the counting of votes on May 16.Source: India Business News | Business News - Times of India | 4 Jun 2009 | 10:17 pm Volvo CE diversifying to beat slowdownMrityunjaya Singh, the managing director of Volvo India Pvt Ltd, talks about the construction equipment industry and the company's prospects this fiscal.Source: Daily News & Analysis: Money News | 4 Jun 2009 | 9:59 pm IT training firms change tack as budgets tightenData from staffing firm TeamLease Services shows about 57% of the country's youth has some degree of unemployability.Source: Daily News & Analysis: Money News | 4 Jun 2009 | 9:29 pm Satyam: Corp min lens on MynampatiThe CBI recently endorsed what Raju said in his confession on January 7. But the MCA has found many more instances of wilful default by the Satyam management.Source: Daily News & Analysis: Money News | 4 Jun 2009 | 9:29 pm ITC plans 26 new Fortune hotels by 2011Fortune Hotels Pvt Ltd, a wholly owned subsidiary of multi-business conglomerate ITC Ltd, is planning to launch 26 hotels in India by mid-2011.Source: Daily News & Analysis: Money News | 4 Jun 2009 | 9:23 pm Sebi pulls up Reliance MF over NFO adSebi has pulled up Reliance Mutual Fund for violation of mutual fund regulations relating to the television commercial for its new fund offer.Source: Daily News & Analysis: Money News | 4 Jun 2009 | 9:20 pm NMDC won't shop alone for mine assets abroadMining major NMDC has decided not to pursue any acquisition of coal mines overseas on its own due to unattractive asset prices.Source: Daily News & Analysis: Money News | 4 Jun 2009 | 9:19 pm Get those annual tax statements out nowBefore the July 31, 2009 deadline for filing income-tax returns, make sure you ask your deductor to rectify any errors in your annual tax statement.Source: Daily News & Analysis: Money News | 4 Jun 2009 | 9:10 pm Govt may merge 4 steel PSUs: SourcesA government committee set up the Steel Ministry, and headed by P Ganeshan, ExCMD, KIOCL, is looking at a possible merger between four steel public sector undertakings (PSUs): KIOCL, MSTC, HSCL, FSNL, sources said. The companies may be disbanded and merged according to compatible synergies, sources added.Source: Moneycontrol Top Headlines | 4 Jun 2009 | 8:51 pm Govt may double Air India\'s Rs 4000cr bailout packageThe government may double the amount of the Air India bailout package and a decision on the matter would be arrived at in a fortnight, reports CNBCTV18. A grant of Rs 1,000 crore would be given to the troubled nationalised airline major to meet its working capital requirement till the time a bailout is finalised.Source: Moneycontrol Top Headlines | 4 Jun 2009 | 8:44 pm FM meeting to trigger fresh PLR cutsLending rates may dive 50-75 bps on ample liquidity, low inflation.Source: Daily News & Analysis: Money News | 4 Jun 2009 | 8:23 pm Identity crisis at airlines as losses mountKingfisher now wants to be No.1 low-cost carrier! Jet and Air India increasingly chase low-fare model; And, low-cost airlines try to offer more services on-board.Source: Daily News & Analysis: Money News | 4 Jun 2009 | 8:19 pm New customers to benefit more from rate cutICICI Bank announced a cut of half percentage point on its FRR to boost the housing sector.Source: India Business News | Business News - Times of India | 4 Jun 2009 | 8:04 pm Inflation dips to 0.48%Inflation declined to 0.48 % for the week ended May 23, giving head room to the government to initiate expansionary measures and prompt banks to cut rates.Source: India Business News | Business News - Times of India | 4 Jun 2009 | 8:03 pm Disinvestment, FDI lead reforms roadmapFree from Left shackles, the government will push ahead with economic reforms, pursue disinvestment, encourage FDI and increase public spending without giving up fiscal prudence.Source: India Business News | Business News - Times of India | 4 Jun 2009 | 8:02 pm Kingfisher plans to raise Rs 2,000 crore via debtVijay Mallya's high profile, loss making airline, Kingfisher, is in talks with a clutch of banks to raise Rs 2,000-crore in debt.Source: India Business News | Business News - Times of India | 4 Jun 2009 | 8:01 pm Ketan Parekh still active in market: SebiKetan Parekh (KP), the one-time big bull now banned by Sebi, is operating in the market through a web of associated entities.Source: India Business News | Business News - Times of India | 4 Jun 2009 | 8:00 pm Suzlon faces rough weather over Pune wind parkThe world's fifth largest wind turbine maker, Suzlon Energy, which has been grappling with quality issues with its rotor blades in the US and struggling to repay debt, finds itself in rough weather yet again this time in its home turf near Pune.Source: Business Standard | Front Page Headlines | 4 Jun 2009 | 7:15 pm ICICI Bank cuts lending rates, SBI says scope for 25 bps reductionICICI Bank, the countrys second largest lender, today announced a 50 basis point reduction in its benchmark lending rates, while State Bank of India's Chairman O P Bhatt said there was scope to lower lending and deposit rates 25 basis points, though he did not provide not a timeframe.Source: Business Standard | Front Page Headlines | 4 Jun 2009 | 7:14 pm Ketan Parekh still active, says SebiRegulator finds broker trading through conduits; 26 entities barred from market.Source: Business Standard | Front Page Headlines | 4 Jun 2009 | 7:13 pm UPA mantra: Let's fix governanceAn action-packed agenda loaded in favour of the social sector and inclusive economic reform, with a heavy accent on monitoring expenditure was unveiled by President Pratibha Patil in her address to members of the two Houses of Parliament today.Source: Business Standard | Front Page Headlines | 4 Jun 2009 | 7:12 pm GM reassures buyers, dealers and suppliersMumbai/New Delhi: Days after General Motors Corp. (GM) filed for bankruptcy in the US, its car dealers in India are busy dousing the fire. Soon after the announcement on Monday, General Motors India Pvt. Ltd began working on a campaign that will unfold this week and reassure customers. Meanwhile, several of its dealers are reaching out to buyers to reinforce their faith in the brand. “Ever since the news broke about the bankruptcy filing we have been calling customers from our database to ensure there’s no panic,” said Sameer Pardesi, sales manager at Pune-based Shreyans Automobiles.  Reinstating faith: General Motors is circulating a video among dealers and suppliers featuring India chief executive Karl Slym, reassuring everyone that it’s business as usual for the firm’s India operations. Prashanth Vishwanathan / Bloomberg “We will be unveiling a print campaign later this week, which is aimed at assuring the customers,” said Ankush Arora, vice-president of sales, marketing and aftersales at GM India. The company is also stationing key people at several of its dealerships to provide requisite support. Additionally, it is launching nine mega service camps across key metros. “It’s better over and done with,” says Rajan Mehra, owner of Triumph Motors, a GM dealership in Delhi. Mehra said his two dealerships in the capital region averaged about 15 walk-in customers a day. On Tuesday, that number dropped to 11 but more on account of a holiday in Wazirpur, where his second dealership is. Sandeep Soni, who walked into a GM dealership in New Delhi on Wednesday, said he got good feedback on Chevrolet Spark but was apprehensive after the bankruptcy filing. In the fiscal ended 31 March, GM India sold 61,526 cars in the country, down 7.5% from the previous year. Praveen Aggarwal, who owns a GM dealership, said the car maker is circulating a video among dealers and suppliers featuring Karl Slym, GM India’s chief executive. In the video, Aggarwal said, Slym reassures everyone that it’s business as usual for the firm’s India operations. Marketing experts say that during a crisis such as the one GM is going through, public relations more than advertising can drive the message home. “Advertising is a weaker force for turning your mind away from bad news and stronger one when turning (it) towards goods news,” said Kiran Khalap of Chlorophyll Brand and Communications Consultancy Pvt. Ltd, a Mumbai-based brand consulting firm. shally.s@livemint.com Source: World Business - Livemint.com | 4 Jun 2009 | 4:27 pm In overhaul, GM may look to its far-flung armsGurgaon: What will New GM look like? Part of the answer may be found at the India headquarters of General Motors, a new sandstone and tinted-glass building surrounded by dirt roads and corrugated tin shacks. On the walls are reminders of the company’s past, including photos of the 1953 Corvette. But muscle cars are the last thing that GM India is planning. This week in New Delhi, GM India will unveil its first clean-burning liquefied natural gas car. Later this year, it will introduce a minicar built for the Indian market, with the help of 1,500 frugal-minded engineers. As GM painfully reorganizes in the US and Canada, and spins off its European business, the company’s operations in emerging markets such as China, India and Brazil have survived virtually unscathed, so far. Unlike GM’s US business, these operations have been growing. Sales increased 10% last year in Brazil, 9% in India and 6% in China. Recent numbers in some areas are even better—GM’s sales in the Asia Pacific region were up 44% in May compared with the year before. In these markets, GM has often acted like an entirely different company from the one that is collapsing in Detroit. In China, GM has spent years emphasizing fuel economy and affordability. In Brazil, it created flexible engines that run on ethanol or gasoline, and compact pickup trucks. In India, the new tiny car may be priced to compete with Tata’s $2,500 (around Rs1 lakh) Nano. Cheap labour in these markets helps to bolster profit margins, while millions of people who do not yet own a car make sales growth easy. The so-called New GM may rely on these emerging markets for a chunk of its business. And these international businesses, which are barred from receiving funds from the government investment, will need to be self-sustaining until the company turns around. While GM in Detroit reels from bankruptcy, and doubt lingers over what, if any, sort of car company will survive government ownership, managers in GM’s emerging markets say they are ready to get back to work. GM in India is telling customers and dealers “that’s done, and everyone knows what it looks like, so we can get on with it”, Karl Slym, president and managing director of GM India, said on Tuesday in an interview. Slym, a Briton who worked for the company in Poland, East Germany, South Korea and the US before coming to India, said he expected to add 50 dealers in India this year, stretching into the rural market. GM Brazil’s chief executive, Jaime Ardila, told reporters that the company had a great 2008 and expects a lucrative 2009. And it is eager to talk about new plans. “GM is working pretty aggressively on hybrids, battery technology and fuel cells,” Nick Reilly, president of GM Asia Pacific, said on Tuesday. Emerging markets have been the only bright spots at GM for some time. The North American and European businesses have racked up enormous losses—$14.1 billion from North America’s continuing operations before taxes in 2008 and $3.3 billion in 2007. In Europe, GM lost $2.8 billion before taxes in 2008 and $524 million in 2007. But GM’s Latin American, African and West Asia operations earned $1.3 billion before taxes in 2008, down slightly from the year before. The Chinese operations, conducted through a series of joint ventures with Chinese auto makers, reaped a bonanza as the Chinese government adjusted tax policies and fuel economy regulations to favour small cars. GM’s rivals in China, Toyota and Volkswagen have struggled to keep up. In India, GM has been late to join a veritable car-selling frenzy, after introducing the Opel to lacklustre reception years ago. The company sold just 66,000 cars in India last year, well behind the market leader, Maruti Suzuki, with nearly 800,000. But GM has the capacity to produce four times as many, and has just opened a plant that will help reduce its reliance on imported parts. The company is adding hundreds of engineers to its research and development operations in Bangalore, and plans to build a transmission plant if it can raise the cash in India. Analysts say the company’s emerging market businesses may help to keep GM going while it tackles the company’s most important task: sorting out the North American business. “Latin America is probably one of the more attractive markets globally for the next 10 years,” said Stuart Pearson, an analyst with Credit Suisse in London. “The economy is not in as much difficulty as in previous crisis.” There is less confidence about Asia. “China is still very strong,” but most other Asian car markets have weakened because of global economic crisis, said John Bonnell, director of forecasting at consulting group JD Power and Associates in Asia. Overall, analysts say, GM needs to make sure it does not make the same mistakes in emerging markets that it did at home. “Measured development,” Bonnell said. “Don’t be so exposed with big capacity and big ambition to take on great things.” ©2009/THE NEW YORK TIMES Source: World Business - Livemint.com | 4 Jun 2009 | 4:22 pm Commonwealth Games countdown: Three hotels, including Ashok, to play hostWith 486 days left for the Commonwealth Games, India Thursday named three hotels that will play host to top VIPs who would be in the national capital.Source: IndiaeNews.com: Business News | 4 Jun 2009 | 4:00 pm
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