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Will use rights issue money for acquisition, debt: FortisFortis Healthcare Managing Director Shivinder Mohan Singh said the company would use its rights issue money for three purposes: debt writeoff, potential acquisitions and a Gurgaon project that the company has.Source: Moneycontrol Top Headlines | 12 Aug 2009 | 9:33 am Mastek targets 45% growth from insurance biz by 2012Sudhakar Ram, Chairman and MD, Mastek, expects the insurance industry to be a prime growth generator going forward. \"We expect to touch 45% growth from the insurance sector in the next three years.\"Source: Moneycontrol Top Headlines | 12 Aug 2009 | 8:43 am 45 pc companies anticipate hiring temporary workersRestructuring workforce seems to be another lesson taught by the economic slowdown as a large number of American companies are expecting to hire temporary workers as IT and professional staff in the near future, a survey has found. Source: Hindustan Times News Feeds 'Business' | 12 Aug 2009 | 7:51 am MphasiS set to acquire AIG’s Indian unitIT and BPO services provider MphasiS on Wednesday said it is set to acquire AIG Systems Solutions (AIGSS), part of the troubled insurance giant American International Group Inc, for an undisclosed amount.Source: Hindustan Times News Feeds 'Business' | 12 Aug 2009 | 6:29 am `Secret template leak responsible for fake notes`!The Central Bureau of Investigation has reportedly revealed that the leakage of an ultra-secret template required for making genuine Indian currency notes was mainly responsible for the circulation of fakes in the country.Source: Zee News : Business | 12 Aug 2009 | 6:15 am Four Rio Tinto employees held in China !Four employees of the Anglo-Australian mining giant Rio Tinto have been arrested on charges of trade secrets infringement and bribery, according to a statement of China`s Supreme People`s Procuratorate said Tuesday.Source: Zee News : Business | 12 Aug 2009 | 6:15 am Car makers betting on premium hatchback to drive growth!Auto majors are pinning their hopes on new launches in the premium hatchback segment to give the much needed push for reviving the industry in the midst of the economic downturn.Source: Zee News : Business | 12 Aug 2009 | 6:15 am US economy has bottomed: George Soros!The US economy has hit bottom and the current quarter will see positive growth due to the government`s stimulus spending, billionaire financier George Soros said on Tuesday.Source: Zee News : Business | 12 Aug 2009 | 6:15 am Fed to stay aggressive despite recovery signs!The Federal Reserve opened a two-day policy meeting Tuesday expected to maintain aggressive efforts to jolt the US economy from recession, while mulling an "exit strategy" for when recovery takes root.Source: Zee News : Business | 12 Aug 2009 | 6:15 am Rangarajan to head PM`s economic advisory council!Prime Minister Manmohan Singh on Tuesday reconstituted his Economic Advisory Council (PMEAC), bringing back veteran economist C Rangarajan as its head and inducting two new members.Source: Zee News : Business | 12 Aug 2009 | 6:15 am Indiabulls executive arrested for illegal trading!The vice president of leading share trading firm Indiabulls Securities was arrested Tuesday for allegedly trading illegally by accessing the online trading account of a chartered accountant here.Source: Zee News : Business | 12 Aug 2009 | 6:15 am Maruti rolls out 1,00,000th A-Star!The country`s largest car maker Maruti Suzuki India has achieved the feat of rolling out the 1,00,000th of its flagship export model, A-Star.Source: Zee News : Business | 12 Aug 2009 | 6:15 am Cargo traffic at major ports to grow at 5.2%: CMIE!Economic think-tank, Centre for Monitoring Indian Economy (CMIE), has pegged the cargo traffic growth at major ports in the country at 5.2 per cent for 2009-10.Source: Zee News : Business | 12 Aug 2009 | 6:15 am Madoff firm`s CFO pleads guilty, denied bail!Bernard Madoff`s long-time deputy, Frank DiPascali, on Tuesday pleaded guilty to financial crimes including helping others carry out Wall Street`s biggest investment fraud.Source: Zee News : Business | 12 Aug 2009 | 6:15 am Drab rains to drive up interest rates, WPI in \'10: BanksThe worst fears of a lean monsoon are coming true. As bad rainfall is likely to impact the agriculture sector, it is, in turn, expected to impact the banking sector, which might skew the nonperforming sectors.Source: Moneycontrol Top Headlines | 12 Aug 2009 | 4:53 am Won\'t increase Asarco bid further: SterliteSterlite Industries, which is involved in a heady battle with Grupo Mexico over Asarco, said it had put it its final bid and wont raise it further. Anil Agarwal, Chairman of the Vedanta Group, which owns Sterlite, said it was wellplaced to win the bid \"but it is okay if we dont bag the deal,\" he said.Source: Moneycontrol Top Headlines | 12 Aug 2009 | 4:25 am India gold traders continue to buy for festival demandMUMBAI (Reuters) - India's gold prices rose slightly in the physical market on Wednesday on modest demand as traders continued to replenish stocks to meet festival demand as domestic prices stayed below 15,000-rupee levels, dealers said.Source: Reuters: Money News | 12 Aug 2009 | 4:23 am Raj Oil Mills ends below issue price - Moneycontrol.com
Source: Business - Google News | 12 Aug 2009 | 4:21 am BSE Sensex provisionally falls 0.2 pctMUMBAI (Reuters) – The BSE Sensex pared losses of 2.5 percent and provisionally closed down 0.2 percent on Wednesday as a pullback in European stocks pushed investors to enter the market after it dropped more than 5 percent over the past week.Source: Reuters: Money News | 12 Aug 2009 | 4:13 am FOCUS - Sugar rally seen sweetening mills' FY10 earningsMUMBAI (Reuters) - Indian sugar firms will see a profit surge in the year to September 2010 on soaring prices of the sweetener, and refiners, who sourced their raws cheaper, are set to outdo the sector, industry watchers said.Source: Reuters: Money News | 12 Aug 2009 | 4:13 am AIG to sell HK consumer finance, India IT unitsSHANGHAI/BANGALORE (Reuters) - American International Group, seeking to raise cash to repay around $180 billion in bail-out loans, has agreed to sell its Hong Kong consumer finance and India-based IT services units.Source: Reuters: Money News | 12 Aug 2009 | 4:05 am IEA trims 2010 oil demand growth, recovery patchy - Reuters
Source: Business - Google News | 12 Aug 2009 | 4:03 am Smartphone sales boom on falling prices: GartnerHelsinki: Global cellphone sales continued to fall in April-June, but at a slower pace than in the previous three months as falling prices boosted demand for advanced smartphones, research firm Gartner said on Wednesday. Total cellphone sales fell 6% in the second quarter as recession-hit consumers in both emerging and developed markets reined in spending, Gartner said, adding it still expects the market to fall 4% this year. In January-March the wireless industry saw its weakest ever quarter, with sales to consumers down 9%. “Things are definitely stabilising regarding demand,” said Gartner analyst Carolina Milanesi. In addition to weaker consumer demand, the industry was hit by retailers continuing to unwind large inventories of unsold phones as the economic slowdown bit in late 2008. Gartner said retailers’ stocks fell by some 14 million phones in the latest quarter, compared with a decline of 25 million in the first, and said it expects inventories to have a smaller impact on the overall market in the second half of 2009. Nokia, Apple win smartphone share Bucking the slowdown in the wider market, smartphone sales grew 27% year-on-year in the quarter, boosted by cheaply priced phones like Nokia’s first touch-screen model, the 5800, which make advanced functions available at a 200-300 euro price range. Smartphones share many of the functionalities of computers, offering services like e-mail and Internet browsing. “The concern is: how much money will consumers be ready to spend after the economy improves. Has the market been changed forever as (regards) pricing?” Milanesi said. Gartner said top handset maker Nokia increased its smartphone market share -- a major issue for investors -- to 45 percent, boosted by demand for its cheaper models after its flagship high-end N97 smartphone met with little enthusiasm. Nokia shipped just 500,000 N97s in June, compared to Apple’s iPhone 3G S, which sold 1 million units in its first weekend in the same month, Gartner said. Of the top five vendors, Sony Ericsson saw the sharpest drop in sales from the first quarter, with market share falling to just 4.7% as the firm has missed key trends like full keyboards, Internet browsing and navigation, Gartner said. Large losses at Sony Ericsson have sparked market speculation of a possible breakup of the 50-50 venture, but both owners have said they are committed to the operation and could inject more money into it if necessary. Ericsson chief executive Carl-Henric Svanberg told Reuters late on Tuesday the venture provided an important part of Ericsson’s overall wireless strategy. While that benefit does not justify continuing losses at the business, Svanberg said Sony-Ericsson is adjusting to a quickly falling market and is determined to return to profitability. Source: LatestNews-Home - Livemint.com | 12 Aug 2009 | 3:57 am Axis Bank to sell shares to foundersMumbai: Axis Bank plans to issue 10.83 million shares, worth about $190 million at current prices, to its founders as part of a larger share sale plan to beef up its capital base. “The bank has continued to grow strongly over the last few years and foresees a demand for credit in various sectors including the retail banking segment,” the bank said in a note to investors. “Success in encashing this business opportunity rests on the ability to raise funds by way of equity,” it said. The lender has sought shareholder approval to sell a total of 71.4 million shares through private placement to institutions or global depositary receipts. At current prices the share sale would raise up to $1.25 billion. An economic revival has made companies to revisit expansion plans, fueling demand for loans and prompting banks to raise capital. Earlier sources said smaller rival IndusInd Bank sold shares worth $100 million to institutions. Axis Bank said shares would be issued to founders, Life Insurance Corp., General Insurance Corp. and four general insurance firms to allow them to maintain their 15.16% holding. Another founder and the largest shareholder, government-controlled specified undertaking of UTI, will not participate in the offering and its stake will fall to 22.54% from 27.02%, Axis Bank said in the note. Axis Bank, which the market values at $6.5 billion, was trading down 2.2% at Rs847.50 by 130pmin a weak Mumbai market. The shares have risen 68% so far this year compared to a 53% rise for the benchmark. Source: LatestNews-Home - Livemint.com | 12 Aug 2009 | 3:57 am Smartphone sales boom on falling prices: GartnerHelsinki: Global cellphone sales continued to fall in April-June, but at a slower pace than in the previous three months as falling prices boosted demand for advanced smartphones, research firm Gartner said on Wednesday. Total cellphone sales fell 6% in the second quarter as recession-hit consumers in both emerging and developed markets reined in spending, Gartner said, adding it still expects the market to fall 4% this year. In January-March the wireless industry saw its weakest ever quarter, with sales to consumers down 9%. “Things are definitely stabilising regarding demand,” said Gartner analyst Carolina Milanesi. In addition to weaker consumer demand, the industry was hit by retailers continuing to unwind large inventories of unsold phones as the economic slowdown bit in late 2008. Gartner said retailers’ stocks fell by some 14 million phones in the latest quarter, compared with a decline of 25 million in the first, and said it expects inventories to have a smaller impact on the overall market in the second half of 2009. Nokia, Apple win smartphone share Bucking the slowdown in the wider market, smartphone sales grew 27% year-on-year in the quarter, boosted by cheaply priced phones like Nokia’s first touch-screen model, the 5800, which make advanced functions available at a 200-300 euro price range. Smartphones share many of the functionalities of computers, offering services like e-mail and Internet browsing. “The concern is: how much money will consumers be ready to spend after the economy improves. Has the market been changed forever as (regards) pricing?” Milanesi said. Gartner said top handset maker Nokia increased its smartphone market share -- a major issue for investors -- to 45 percent, boosted by demand for its cheaper models after its flagship high-end N97 smartphone met with little enthusiasm. Nokia shipped just 500,000 N97s in June, compared to Apple’s iPhone 3G S, which sold 1 million units in its first weekend in the same month, Gartner said. Of the top five vendors, Sony Ericsson saw the sharpest drop in sales from the first quarter, with market share falling to just 4.7% as the firm has missed key trends like full keyboards, Internet browsing and navigation, Gartner said. Large losses at Sony Ericsson have sparked market speculation of a possible breakup of the 50-50 venture, but both owners have said they are committed to the operation and could inject more money into it if necessary. Ericsson chief executive Carl-Henric Svanberg told Reuters late on Tuesday the venture provided an important part of Ericsson’s overall wireless strategy. While that benefit does not justify continuing losses at the business, Svanberg said Sony-Ericsson is adjusting to a quickly falling market and is determined to return to profitability. Source: Tech News - Livemint.com | 12 Aug 2009 | 3:57 am Fortis to spend Rs660 cr on hospitals, pref-cap, retiring debtNew Delhi: Hospital chain Fortis Healthcare said on Wednesday, it will spend around Rs660 crore on retiring debts, setting up a hospital in Gurgaon and on redemption of preference shares. The company recently announced that it will raise Rs1,000 crore through issue of shares to its shareholders on a rights basis. The company will issue shares in the ratio of 2:5, that is, shareholders of the company would get two equity shares for every five stocks held, at a price of Rs110 per issue. “Out of the Rs1,000 crore which the company is raising, around Rs200 crore will be spent on repayment of debts, around Rs200 crore on Gurgaon hospital and another Rs260 crore on redemption of preference shares,” Fortis managing director Shivinder Mohan Singh said on the sidelines of Indian Healtcare Forum here. Besides this, the group has also kept around Rs200 crore for acquisitions and the remaining amount would be kept for corporate spending, Singh said. Speaking about the company’s plan he said, “with the opening of its Shalimar hospital, the group would add one more hospital to its kitty.” Fortis has 28 hospitals with a total capacity of 3,300 beds and is aiming to take the total number of hospitals to 40 with a total capacity of 6,000 beds by 2011. Source: LatestNews-Home - Livemint.com | 12 Aug 2009 | 3:55 am Intercontinental Hotels report $29 mn net lossLondon: Intercontinental Hotels Group (IHG) said on Tuesday that it suffered a net loss of $29 million during the first half of 2009 and said the rest of the year would be tough for them. InterContinental, the world’s biggest hotel operator by number of rooms, said its net loss compared with profit after tax of $163 million in the first six months of 2008. The company said it was responding to the “challenging” environment by improving efficiency levels and reducing costs. “Trading was very challenging throughout the first half of the year and we expect the remainder of 2009 to be tough,” IHG chief executive Andrew Cosslett said in comments accompanying the results. “The outlook remains challenging, but we are confident that with our fee-based business model, substantially reduced cost base, strong financial position and the renewal and refreshment of our brands supported by our system scale, we will outperform the competition and be well positioned for the upturn,” he said. Source: LatestNews-Home - Livemint.com | 12 Aug 2009 | 3:50 am Indian rupee trims fall as stx pare losses; data helps - Reuters India
Source: Business - Google News | 12 Aug 2009 | 3:46 am Not aware of PSU promoters selling stake in co: PTCReacting to reports that government publicsector undertakings (PSUs) like NTPC, NHPC, Power Grid and FPC would sell their stake in PTC, the company\'s CMD PN Thakur said he was not aware of any such move.Source: Moneycontrol Top Headlines | 12 Aug 2009 | 3:40 am Rupee trims fall as stocks pare losses; data helpsMUMBAI (Reuters) - The rupee trimmed losses in afternoon trade on Wednesday tracking a recovery in the domestic shares, which had fallen more than 2 percent earlier. Dealers said a better-than-expected factory output also helped.Source: Reuters: Money News | 12 Aug 2009 | 3:35 am British govt says stimulus saved 500,000 jobsLondon: Britain’s fiscal stimulus measures have saved at least 500,000 jobs during the recession, business secretary Peter Mandelson said on Wednesday before the release of figures expected to show unemployment surging. Mandelson said government help for employers coupled with the Bank of England’s quantitative easing programme and 5% cut in interest rates had softened the recession’s impact on jobs. However, Mandelson said he was worried about the damage caused by the recession to Britain’s economic fundamentals and its potential for future growth. “The Treasury (finance ministry) estimates that there would have been at least, probably far in excess of, 500,000 jobs lost in the recession had it not been for the government’s and the Bank of England’s intervention,” he told BBC radio. The level of unemployment would have been “much, much higher” without the intervention, he added. The ILO jobless rate, due to be released at 0830 GMT, is expected to rise to 7.7% from 7.6%, according to analysts’ forecasts. Recent economic surveys have suggested the worst downturn in decades in Britain could be coming to an end, although Mandelson said he was still concerned about the harm it has caused to the British economy. “Two things worry me: one is the damage to our economic fundamentals, our capabilities in our economy on which future economic growth and employment rest,” he said. “That is why we are maintaining spending and investment to the extent that we can, so as to limit the duration of the recession and its impact on the economy. “Secondly, of course I am very concerned about the impact on those who are less well off.” The Bank of England will shed more light on the economy’s outlook at 0930 GMT when it publishes its latest inflation report. Responding to opposition Conservatives’ criticism over the level of public borrowing, Mandelson said the government was not being “fiscally irresponsible”. “Over the medium term we have to rebalance the public finances in order to reduce the fiscal deficit,” he said. “It is going to be achieved when are through this recession and when we are into the economic upturn...when we will have greater scope and flexibility.” Source: LatestNews-Home - Livemint.com | 12 Aug 2009 | 3:35 am DLF gains on metro rail fundraising plans - Business Standard
Source: Business - Google News | 12 Aug 2009 | 3:31 am Steel authority set to bag Chhattisgarh iron ore reserveSteel Authority of India Ltd (SAIL) is set to bag a 2,028-hectare block in the Rowghat iron ore mine deposits in Chhattisgarh to feed its flagship unit, the Bhilai Steel Plant, as it has obtained the final clearance from the environment and forest ministry.Source: IndiaeNews.com: Business News | 12 Aug 2009 | 3:31 am Agri-products perish before reaching consumers, admits governmentEven as the prices of fruits and vegetables soar daily, the central government has admitted large volumes of agricultural produce perish before reaching consumers because of poor preservation facilities.Source: IndiaeNews.com: Business News | 12 Aug 2009 | 3:30 am Swine flu deaths soar to fifteenPune/Nashik: Swine flu pandemic toll on Wednesday rose to 15 with three more persons - two in Pune and one in Nashik - succumbing to the H1N1 virus. 29 year-old Shrawani Deshpande and 33 year-old Balu Kuland died due to the disease in Pune, taking the toll in the worst hit city in Maharashtra to 8, officials said. Nashik registered its first flu death when 38-year-old doctor Rupesh Gangurde died of the viral infection at the Nashik civil hospital on Wednesday morning. He was admitted to a private hospital on Monday after he complained of vomiting and fever. His blood sample was sent to Pune and he tested positive for H1N1. So far, the flu has claimed a total of 15 lives - one each in Ahmedabad, Vadodra, Thane, Chennai and Thiruvananthapuram, two in Mumbai and eight in Pune. With the infection spreading fast, the Maharashtra government ordered closure of schools and colleges in Mumbai for a week and theatres and multiplexes for three days. The decision was taken as part of precautionary measures to check the infection, a senior state government official said. Meanwhile, Shiv Sena and NCP appealed to people to observe ‘dahi-handi’ programmes on the occasion of Janamasthami on a low key to check the virus from spreading. Swine flu cases countrywide have crossed the 1,000 mark with 119 fresh cases eported on Tuesday. In Delhi, two children of Food and Civil Supplies minister Haroon Yusuf have tested positive for swine flu and have been quarantined at home. Three other patients with swine flu symptoms have been admitted to the RML hospital in the capital. With spiraling cases of swine flu countrywide, central teams have been dispatched to all states and Union Territories after health minister Ghulam Nabi Azad chaired a meeting of 35 additional secretaries and joint secretaries drawn from various ministries. He briefed the teams personally on Tuesday before they were dispatched to the state capitals. While 14 additional secretaries would go to the big states, the joint secretaries would go to other states and Union Territories. The teams would stay there for two-three days and would return by 15 August. Azad also spoke to all chief ministers and told them to step up preparedness. The health minister requested the chief ministers to chair the first meeting of these teams so that on-the-spot decisions are taken for swift implementation, a senior health ministry official said. The Central teams will discuss with state governments new guidelines issued by the ministry of health and family welfare with record to capacity building issues such as identification of labs for testing and hospitals in private and public sectors for screening, diagnosis and treatment of swine flu patients. Source: Home - Livemint.com | 12 Aug 2009 | 3:30 am Govt should raise more resources to tackle drought: Rangarajan - Business Standard
Source: Business - Google News | 12 Aug 2009 | 3:26 am Pakistan receives further $1.2 bn from IMFKarachi: Pakistan has received $1.2 billion from the International Monetary Fund (IMF), the third tranche of an emergency loan facility agreed last year, the central bank said on Wednesday. Last week, the IMF increased its loan to Pakistan to $11.3 billion under an economic programme first agreed in November 2008, to avert a balance of payments crisis. “We have received $1.2 billion from the IMF,” Syed Wasimuddin, chief spokesman of the State Bank of Pakistan said. The IMF initially provided a $7.6 billion emergency loan package. The first $3.1 billion tranche was disbursed in November and a further $848 million was released in April. Aninda Mitra, Moody’s sovereign analyst for Pakistan, welcomed the increase of the loan. “It goes to addressing some of the uncertainty that continued to linger in view of lack of clarity about the flows through the budget from the ‘Friends of Pakistan’ pledges,” Mitra said, referring to a donor group made up of friendly governments and multilateral lenders. Moody’s Investors Service confirmed a negative outlook in December for Pakistan’s B3 sovereign bond ratings. Mitra said Moody’s was monitoring Pakistan closely and waiting for the government to clarify how the additional money would be used in the budget. Mitra also said the increased funding would bring Pakistan’s foreign exchange reserves “to the extent that I think it will allow Pakistan to withstand further deceleration of private capital inflows.” The nation’s reserves fell by $50 million in the week to 1 August to $11.72 billion, the fourth straight weekly fall. The latest IMF disbursment will be reflected in data due next week. “The release of $1.2 billion third tranche of the IMF loan will help further strengthen the forex reserve position and should support the rupee in the short term,” said Sayem Ali, economist at Standard Chartered Bank. The rupee was steady at 82.86/96 to the dollar in early trade, but dealers expect it to weaken by another 2 to 3% this year on increased dollar demand from oil imports. The rupee has lost 4.5% this year after plunging 22.1% in 2008. Pakistan also received a record $747.22 million in remittances from its citizens overseas in July, compared with $627.21 million in the same month last year, the State Bank of Pakistan said late on Tuesday. Source: LatestNews-Home - Livemint.com | 12 Aug 2009 | 3:22 am Ahamed for private participation in railwaysKochi: Public-private participation (PPP) was required in the development of railways to bring more benefits to the people, said minister of state for railways E. Ahamed on Wednesday. There was a proposal to develop Ernakulam, Kozhikode and Thiruvananthapuram railway stations to international standard under the PPP model, the minister told reporters. The norms for raising the standard of the stations to international level were being prepared, he said adding a lot of procedures had to be followed before executing the works and it would take some time. Ahamed, on an inspection tour of Kerala to study problems faced by passengers, was speaking after receiving memorandums from the people at the Ernakulam South railway station. He said railways also proposed to construct a multi-facility complex in five railway stations in the state at Kannur, Thrissur, Alappuzha, Palakkad and Ernakulam. The estimated cost of the proposed complex in Ernakulam would be approximately Rs10 crore, the minister said. Ahamed said about Rs48 crore worth of passenger amenities works were being carried out in Kerala. Railways would give priority for ensuring cleanliness of stations, he said. Source: LatestNews-Home - Livemint.com | 12 Aug 2009 | 3:22 am Need govt sponsored equity fund to help SMEs: FICCIFICCI President Harshpati Singhania said that the small and medium sector have not got the real benefit of the reduction in interest rates because interest rates still remain high for them.Source: Moneycontrol Top Headlines | 12 Aug 2009 | 3:12 am Rupee trims fall as stocks pare losses, IIP data helpsMumbai: The Indian rupee trimmed losses in afternoon trade on Wednesday tracking a recovery in the domestic shares, which had fallen more than 2% earlier. Dealers said a better-than-expected factory output also helped. At 2:55pm, the partially convertible rupee was at 48.35/36 per dollar, off an early low of 48.50, its weakest since 30 July, but still below its Tuesday’s close of 47.97/98. Indian shares were trading down about 0.5%, after having dropped more than 2% just before the industrial production data was announced. India’s industrial output expanded at its fastest pace in 16 months in June, beating forecasts by a wide margin, as higher salaries of government employees and stimulus spending boosted consumer demand. In the currency futures market, the most traded near-month contract on the National Stock Exchange and MCX-SX were both quoting at 48.43 each, with the total traded volume on the two exchanges at about $1.7 billion. Source: Home - Livemint.com | 12 Aug 2009 | 3:09 am Sensex falls below 15,000 mark, loses over 300 pointsMarketmen said the equities fell sharply in the last few sessions on concerns that the weakest monsoon in the past five years would lead to lower farm output and spending. Source: Hindustan Times News Feeds 'Business' | 12 Aug 2009 | 3:03 am Oil slips below $69 ahead of IEA stocks data, Fed meetLondon: Oil slipped towards $69 a barrel on Wednesday, falling for the fifth straight session, as growing concerns about the strength of demand pressured prices ahead of the release of weekly US inventory data. World oil demand growth will be lower in 2010 than previously forecast, the International Energy Agency (IEA) said in its monthly market report on Wednesday, with evidence a global recovery is underway still limited. The Paris-based agency, adviser to 28 industrialised nations, said global oil demand was now seen recovering by just 1.3 million barrels per day (bpd) in 2010, having fallen by 2.3 million bpd this year as the economic crisis curbed consumption. World oil demand hit a peak of 86.5 million bpd in 2007. “Evidence of a bottoming out of the recession is still a bit patchy. The latest data on industrial production for some of the larger countries remains negative,” David Martin, analyst at the IEA, told Reuters. “There is not clear evidence yet we have seen the worst.” U.S. light crude for September delivery fell 25 cents to $69.20 a barrel by 0857 GMT, having lost $1.15 on Tuesday following Wall Street losses and after the U.S. Energy Information Administration (EIA) also revised down its oil demand forecast. London Brent crude fell 50 cents to $71.96. US INVENTORIES Falling demand for oil has seen inventories of crude and oil products stack up around the world. Combined with the impact of an insipid U.S. summer driving season, the drawdown in stocks typical of this time of year has not happened. The IEA said stocks in developed countries stood at almost 68 days of forward cover at the end of June. On Tuesday, weekly stocks data from the American Petroleum Institute (API) showed an unexpected fall of 1.4 million barrels in crude stocks, together with a larger-than-expected 2.3 million barrels fall in gasoline stocks. But the data, released after Tuesday’s prices settlement, failed to lift the oil market. “Today traders will be watching the Fed meeting and the EIA data. The stronger dollar and waning sentiment for equities have been short-term bearish for crude, which has been trading as an asset class recently,” said Jonathan Kornafel, Asia director of US-based Hudson Capital Energy. The EIA, the statistical arm of the US Department of Energy, will release its own weekly snapshot of U.S. fuel inventories at 1430 GMT. Data from the EIA and API can diverge widely. An expanded Reuters poll of analysts on Tuesday showed expectations of a 700,000-barrel rise in crude stocks, a 1.3-million-barrel increase in gasoline stocks and a 200,000-barrel drop in distillates stocks. Traders will also keep a close eye on the two-day US Federal Reserve meeting that ends later on Wednesday with a statement expected at about 1815 GMT. Source: Home - Livemint.com | 12 Aug 2009 | 3:01 am Sensex moves up from intra-day lowA key index of the Indian equities markets moved up from its intra-day low Wednesday afternoon but was still 221 points lower than its previous close.Source: IndiaeNews.com: Business News | 12 Aug 2009 | 3:00 am Industrial output surges to 16-month highNEW DELHI (Reuters) - India's industrial output expanded at its fastest pace in 16 months in June, beating forecasts by a wide margin, as higher salaries of government employees and stimulus spending boosted consumer demand.Source: Reuters: Money News | 12 Aug 2009 | 2:57 am Deora meets PM, explains stand on gas pricing rowNew Delhi: Petroleum minister Murli Deora on Wednesday called on Prime Minister Manmohan Singh and apprised him of the stand his ministry has taken in the Supreme Court in the ongoing gas supply dispute between the Ambani brothers. Deora is believed to have explained the oil ministry’s position on gas pricing and utilisation. Last week, responding to comments sought by the Prime Minister’s Office on a letter from industrialist Anil Ambani, the ministry had written to Singh saying that the Ambani family MoU that provides for RIL to supply gas to RNRL will “harm the public interest.” Anil had written to the Prime Minister on 15 July seeking a direction to the oil ministry to stop favouring Reliance Industries in a commercial dispute between two companies. The Bombay High Court’s 15 June order that upheld the MoU, gives “precedence to a private family MoU over the government’s rights under the PSC, the policies approved by the Government and the Constitution of India,” the oil ministry letter to PMO said, seeking to explain the need for government to move the Supreme Court. The apex court will on September one take up for consideration, the government’s petition challenging the High Court order. Source: LatestNews-Home - Livemint.com | 12 Aug 2009 | 2:54 am Market off lows; HDFC Bank, Tata Motors turn positive - Economic Times
Source: Business - Google News | 12 Aug 2009 | 2:49 am ATMs with inbuilt note detectors soonAre you worried about the possibility of ATMs spewing out fake currency notes? Well, a remedy may be at hand. A High Level Group on Systems and Procedures for Currency Distribution has recommended that new ATMs be provided with inbuilt note detectors.Source: Moneycontrol Top Headlines | 12 Aug 2009 | 2:48 am State power firms seek govt ok to exit PTC India - Reuters India
Source: Business - Google News | 12 Aug 2009 | 2:45 am INSTANT VIEW 2-India's June industrial output up 7.8 pct y/y - Reuters India
Source: Business - Google News | 12 Aug 2009 | 2:44 am INTERVIEW - Dena Bk to maintain loan growth despite weak monsoonsMUMBAI (Reuters) - State-run Dena Bank expects to maintain loan growth target of 20 percent in 2009/10 despite weak monsoons so far, its top official said on Wednesday.Source: Reuters: Money News | 12 Aug 2009 | 2:44 am Existing health policies to cover swine flu hospitalisationExisting comprehensive health insurance policies will also cover hospitalisation expenses of patients affected by swine flu, insurance company officials said.Source: Moneycontrol Top Headlines | 12 Aug 2009 | 2:42 am IIP surges to 16-month high at 7.8%New Delhi: India’s industrial output expanded at its fastest pace in 16 months in June, beating forecasts by a wide margin, as higher salaries of government employees and stimulus spending boosted consumer demand. Economists said strong momentum in factory output could help mitigate the effects of a poor monsoon season on overall economic growth, but cautioned that the brisk rate of industrial activity might not be sustainable despite other recent positive signals. “Although the June production number could well prove something of an aberration, bearing in mind just how strong it was, the trend in industrial output is clear,” said Robert Prior-Wandesforde, senior Asian economist at HSBC in Singapore. Some economists have warned that growth in Asia’s third-largest economy could be pared by as much as 2 percentage points this fiscal year if rainfall remains inadequate in the current sowing season. “While the poor monsoon is creating justifiable concerns about agricultural sector output, which in turn is prompting some to revise GDP forecasts lower, today’s release suggests there is plenty of momentum in the ex-agricultural sector,” he said. Factory output in June rose 7.8% from a year earlier, expanding for the six straight month based on revised figures and outpacing a rise of 2.2% in May as New Delhi ploughed investment into infrastructure projects and spent more on rural jobs. The output growth rate is the highest since February 2008 and far exceeded the forecast of 3.3% in a Reuters poll of analysts. The 30-share BSE index pared losses but the rupee rose and then weakened slightly after the data, while benchmark bond yields rose marginally. At its policy review on 28 July, the central bank raised its inflation forecast for the fiscal year through March to around 5% from 4% but also signalled its intention to stick to its policy of easy money for the near term as it helps the government manage a record $95 billion borrowing plan. Wednesday’s strong industrial number would not be enough to trigger a move towards monetary tightening, said Gunjan Gulati, economist at JPMorgan Chase in Mumbai. “We need to see continued and sustained strength in these economic indicators for the central bank to begin normalizing their policy stance,” she said. Output of consumer durable goods such as home appliances and cars rose 15.5% from a year earlier as government employees put their heftier paychecks to work, while capital goods production grew 11.8%, indicating fresh investments. Mining output increased by 15.4% in June and manufacturing output rose by 7.3%, while electricity generation clocked an 8 percent growth. By comparison, China’s industrial output in July grew an annual 10.8%, its highest in nine months but lagging forecasts, indicating that emerging economies were leading the global economic recovery. Monsoon clouds outlook Total rainfall since 1 June, the start of India’s four-month monsoon season, has been 28% below normal and the government said on Tuesday that more than a quarter of the country’s districts were prone to drought. With just over 40% of India’s agricultural land irrigated, farm output is heavily reliant on rains and the shortfall could potentially hurt rural demand, which accounts for more than half of India’s domestic consumption. India’s economy grew at 6.7% last year after three straight years of growth of 9% or more. Analysts forecast growth in the current year of 5.8 to 7.2%, but some have warned that faltering rains pose a downside risk. “It looks like industrial output is being driven by strong domestic demand, though the poor monsoons may have a restraining impact. But this shows recovery is well underway,” said A. Prasanna, economist at ICICI Securities Primary Dealership. Data published earlier, including that of automobile production, had already indicated industrial output would expand in June, even though exports faltered. The infrastructure sector grew 6.5% from a year earlier after 2.8% in May. Exports fell an annual 27.7% in June to $12.8 billion, the ninth straight monthly fall. Weak exports augur poorly for manufacturing even though domestic consumption, at 57% of gross domestic product, accounts for the lion’s share of total demand in India. Signs of expansion continued in July, with car sales rising by a blistering 31% and a survey by Markit Economics showing manufacturing activity expanded for the fourth consecutive month. Source: Home - Livemint.com | 12 Aug 2009 | 2:41 am State power firms seek govt ok to exit PTC IndiaMUMBAI (Reuters) - State-run Power Grid, NHPC Ltd. and Power Finance Corp have sought government approval to offload their entire stake in power trader PTC India, senior company officials said on Wednesday.Source: Reuters: Money News | 12 Aug 2009 | 2:40 am ING Groep posts Q2 profit of euro71mn, down 96%Amsterdam: ING Groep NV, the Dutch bank and insurer, reported net profit of €71 million for the second quarter on Wednesday, down 96% from €1.92 billion in the same period a year earlier, before the financial crisis struck. In its earnings report, the company focused on the ways in which its recent performance is better than the €793 million loss it reported in the first quarter. It cited better margins at its banking operations and the partial recovery of financial markets. “ING posted solid commercial performance in the quarter, as a more favorable interest rate environment and improved margins on savings and lending led to a 19.4% increase in interest income at the banking operations,” said chief executive Jan Hommen in a statement. “In insurance, the recovery of equity markets in the second quarter helped boost fees on assets under management.” However, ING increased its provision against bad loans by €852 million and suffered for being conservative - or wrong - in its positioning during the sharp rebound of recent months. For instance in the US it had a €176 million gain at its insurance operations as the stock market recovery allowed it to value life insurance contracts more favorably on its balance sheets. But that was more than offset by €346 million in losses because it had bet heavily against a rise in the S&P 500 by shorting index futures. The company reported a pretax loss of €204 million at its banking operations on an “underlying” basis, a nonstandard measure that strips out the impact of divestments. On the same basis, its insurance arm reported pretax profit of €278 million. The company reported a litany of write-downs and devaluations. In addition to the loan provisions, the company said it had written down real estate assets by €694 million, and suffered €323 million in impairments on investments in subprime mortgage-related securities. In January, the Dutch state assumed 80% of the risk for ING’s portfolio of €27.7 billion in such derivatives, meaning the losses borne by taxpayers in the Netherlands are four times as large as ING’s. Wednesday’s charge follows a charge of similar size on the same assets in the first quarter. ING said its Tier 1 ratio, a key measure of solvency for banks, slipped to 9.4% from 9.7% in March. According to its balance sheet, total equity was €33.4 billion, €10 billion of which is due to a direct investment lifeline it received from the Dutch government last year. In January, the company announced plans to cut 7,000 jobs, representing 5% of its total work force, but said Wednesday that it has actually cut more than 8,000 already. Source: Home - Livemint.com | 12 Aug 2009 | 2:07 am Not a 'fruitful' monsoon for HimachalIt's been a double whammy for farmers in Himachal Pradesh, known as India's fruit bowl. After poor snowfall last winter, it's deficient rainfall this monsoon that has struck a telling blow.Source: IndiaeNews.com: Business News | 12 Aug 2009 | 2:00 am India's industrial output up 7.8 percent in JuneFurther signs of recovery in India's industrial sector emerged Wednesday with the latest official data indicating a 7.8 percent growth in June over the like month the previous year.Source: IndiaeNews.com: Business News | 12 Aug 2009 | 2:00 am Zooming passion for superbikes in India overrides cost factorA niche market for superbikes is quietly picking up pace in India, with enthusiasts increasingly seeking that tantalising rush of adrenaline, undeterred by the high prices of these roaring mean machines.Source: IndiaeNews.com: Business News | 12 Aug 2009 | 2:00 am ING Q2 profit shrinks on bank loss; scraps dividendAMSTERDAM (Reuters) - Dutch bancassurer ING Groep NV returned to profitability after nearly 5 billion euros ($7.1 billion) of losses in the previous three quarters, but the profit was well below expectations as real estate writedowns drove the banking business to a surprise loss.Source: Reuters: Money News | 12 Aug 2009 | 2:00 am Sun Pharma gets nod for two generics, shares riseBANGALORE (Reuters) - Shares in Sun Pharmaceutical Industries rose more than 3 percent on Wednesday after the Indian drugmaker got the U.S. regulator's approval to launch two generics, including a version of Sanofi-Aventis' cancer drug Eloxatin.Source: Reuters: Money News | 12 Aug 2009 | 1:43 am Nestle H1 sales disappoint, trims 2009 outlookZurich: Nestle, the world’s biggest food group, missed forecasts with organic sales growth of 3.5% in the first half, and pared its full-year outlook, saying only it sees faster growth in the second half. Analysts polled by Reuters had on average forecast that organic sales growth, which strips out currency effects and acquisitions, would be 3.9% after 3.8% in the first quarter. Nestle said it “expects volume-driven organic growth to accelerate in the second half” compared with a previous target for 2009 organic sales growth “at least approaching 5%.” It had already said in June that it expected performance to be weighted towards the second half, when it saw growth coming less from pricing and more from volume. Nestle shares, which have underperformed the DJ Stoxx European food and beverage index this year, were indicated to open down 1.9%, according to pre-market data from Clariden Leu. “The improvement in margins is positive, but whether that is enough to console investors given the rather disappointing growth is unknown. In sum, therefore, rather disappointing,” said a Zurich-based trader. Nestle reported a 30 basis point improvement in its margin on earnings before interest and tax (EBIT) and reiterated it sees an improvement in the EBIT margin at constant currencies for 2009. “The group remains committed to its strategic direction focused on sustainable, long-term profitable growth and is well placed to capture opportunities as economic conditions improve,” chief executive Paul Bulcke said in a statement. Nestle’s bottled water division, which has been hit by environmental concerns and the effects of recession, continued to be the weakest, recording a 3.7% fall in volume, which Nestle said was due particularly to western Europe and North America. Its nutrition business saw volume fall 2.4%, but it said all divisions improved from the first quarter, with infant nutrition doing better in Europe and the United States. Its fastest growing brand, Nespresso, the premium portioned coffee, saw organic growth over 25%, it said. Strong Swiss franc Net profit fell 2% to 5.1 billion francs, compared with an average forecast of 4.9 billion francs, on sales down 1.5% at 52.3 billion francs, against an average forecast of 52.7 billion. The maker of Nescafe coffee, KitKat chocolate bars and Maggi soup took a 4.3% hit on sales from currency effects, largely due to the strong Swiss franc, which had also hit sales in the first quarter. Rival Unilever Plc/NV, the world’s third-biggest food and consumer goods group, beat forecasts last week with a 4.1% rise in second-quarter sales, while volume growth of 2% boosted its shares to a seven-month high. French food group Danone also reported forecast-beating results, with price cuts helping volumes rise 2.7% in the second quarter. Nestle shares are trading at about 14 times 2010 earnings, compared with 13.9 times for Danone and 13.2 for Unilever. Nestle said 0.5% of its organic growth came from volume, against 0.7% expected by analysts, while the rest came from price rises, compared with the 3.2% predicted by analysts. Source: World Business - Livemint.com | 12 Aug 2009 | 1:37 am Nestle H1 sales disappoint, trims 2009 outlookZurich: Nestle, the world’s biggest food group, missed forecasts with organic sales growth of 3.5% in the first half, and pared its full-year outlook, saying only it sees faster growth in the second half. Analysts polled by Reuters had on average forecast that organic sales growth, which strips out currency effects and acquisitions, would be 3.9% after 3.8% in the first quarter. Nestle said it “expects volume-driven organic growth to accelerate in the second half” compared with a previous target for 2009 organic sales growth “at least approaching 5%.” It had already said in June that it expected performance to be weighted towards the second half, when it saw growth coming less from pricing and more from volume. Nestle shares, which have underperformed the DJ Stoxx European food and beverage index this year, were indicated to open down 1.9%, according to pre-market data from Clariden Leu. “The improvement in margins is positive, but whether that is enough to console investors given the rather disappointing growth is unknown. In sum, therefore, rather disappointing,” said a Zurich-based trader. Nestle reported a 30 basis point improvement in its margin on earnings before interest and tax (EBIT) and reiterated it sees an improvement in the EBIT margin at constant currencies for 2009. “The group remains committed to its strategic direction focused on sustainable, long-term profitable growth and is well placed to capture opportunities as economic conditions improve,” chief executive Paul Bulcke said in a statement. Nestle’s bottled water division, which has been hit by environmental concerns and the effects of recession, continued to be the weakest, recording a 3.7% fall in volume, which Nestle said was due particularly to western Europe and North America. Its nutrition business saw volume fall 2.4%, but it said all divisions improved from the first quarter, with infant nutrition doing better in Europe and the United States. Its fastest growing brand, Nespresso, the premium portioned coffee, saw organic growth over 25%, it said. Strong Swiss franc Net profit fell 2% to 5.1 billion francs, compared with an average forecast of 4.9 billion francs, on sales down 1.5% at 52.3 billion francs, against an average forecast of 52.7 billion. The maker of Nescafe coffee, KitKat chocolate bars and Maggi soup took a 4.3% hit on sales from currency effects, largely due to the strong Swiss franc, which had also hit sales in the first quarter. Rival Unilever Plc/NV, the world’s third-biggest food and consumer goods group, beat forecasts last week with a 4.1% rise in second-quarter sales, while volume growth of 2% boosted its shares to a seven-month high. French food group Danone also reported forecast-beating results, with price cuts helping volumes rise 2.7% in the second quarter. Nestle shares are trading at about 14 times 2010 earnings, compared with 13.9 times for Danone and 13.2 for Unilever. Nestle said 0.5% of its organic growth came from volume, against 0.7% expected by analysts, while the rest came from price rises, compared with the 3.2% predicted by analysts. Source: Home - Livemint.com | 12 Aug 2009 | 1:37 am Action against airlines erring in H1N1 screening: RegulatorIndia's aviation sector regulator has warned all airlines operating on international routes of 'appropriate action' if they failed to comply with instructions regarding distribution of health screening cards to passengers on board.Source: IndiaeNews.com: Business News | 12 Aug 2009 | 1:32 am Weatherman predicts rain in drought-hit BiharThe meteorological department here Wednesday predicted widespread rainfall in Bihar in the next 48 hours. Thousands of drought-stricken farmers will get succour if the prediction proves correct.Source: IndiaeNews.com: Business News | 12 Aug 2009 | 1:32 am Sensex drops further into red, down 223 pointsA key index of the Indian equities markets fell sharply Wednesday following a sell-off in realty, capital goods and metal stocks, and was more than 223 points in the red a little before noon.Source: IndiaeNews.com: Business News | 12 Aug 2009 | 1:31 am Swaminathan to skip Sri Lanka till Tamil issue is settledInternationally renowned Indian agriculture scientist M.S. Swaminathan has put off plans to visit Sri Lanka to help it revive its farm sector until the Tamils there get their due. But New Delhi is determined to help Colombo.Source: IndiaeNews.com: Business News | 12 Aug 2009 | 1:31 am Sun Pharma gets US nod for 2 generic drugsBangalore: Shares in Sun Pharmaceutical Industries rose more than 3% on Wednesday after the Indian drugmaker got the US regulator’s approval to launch two generics, including a version of Sanofi-Aventis’ cancer drug Eloxatin. The company also received US Food and Drug Administration’s okay to launch sumatriptan succinate tablets, the generic version of GlaxoSmithKline’s Imitrex tablets to treat migraine, Sun said in a statement to the stock exchanges. Sun Pharma, India’s largest drugmaker by market value, said oxaliplatin injections, a copycat version of Eloxatin, is used to treat colon and rectal cancer and has annual sales of about $2.3 billion in the United States. Sun will share a 180-day marketing exclusivity for oxaliplatin with three to four other generic makers, a spokesman said, but he declined to set a timeframe for the launch of oxaliplatin and sumatriptan. Teva Pharmaceutical Industries Ltd and Hospira Inc on Tuesday announced the launch of oxaliplatin injections after receiving the approval from the US regulator. Nomura Financial said in a report if Sun Pharma were to launch oxaliplatin during the exclusivity period, the product could generate revenues of $75 million and net profit of $64 million. It, however, said the launch would be “at risk” since Sanofi-Aventis had appealed in the appellate court against the New Jersey US District Court’s judgement against the French firm in patent litigation over Eloxatin. “If Sun launches at risk, our conservative assumptions suggest Sun could easily generate about $50 million in profits during the exclusivity window,” Macquarie analysts Abhishek Singhal and Gautam Duggad wrote in a report. Sanofi-Aventis said on Wednesday it was considering options, including asking the appellate court to enforce the stay and was not issuing a revised 2009 earnings guidance following generic entry of Eloxatin in the United States. Shares in Sun Pharma, which has a market value of $5.2 billion, were trading up 3% at Rs1,242 by 0733 GMT, after having risen as much as 3.7% to their highest level in two weeks, in a weak Mumbai market that was down 2.3%. Analysts said the regulatory approval for the two generics came as a boost to Sun whose earnings had been weighed down by the recent seizure of its unit’s medicines by the US health regulator on manufacturing violations. In June, US authorities seized all medicines produced by generic drugmaker Caraco Pharmaceutical Laboratories, a unit of Sun Pharma, at Michigan facilities following, in what health officials said were repeated violations of manufacturing standards. The drugs included generic versions of heart, pain and psychiatric medicines. Source: Home - Livemint.com | 12 Aug 2009 | 1:30 am Monsoon rain gap widens to 29%New Delhi: India’s monsoon rainfall deficit since 1 June widened to 29% on 10 August, weighed down by the continuing dry phase in the soybean-growing central region, government sources said on Wednesday. The seasonal rains were 28% deficient until 9 August. The shortfall in rains over the soybean-growing region of central India widened by 1 percentage point to 20%, the sources said. A top government scientist said that the sugarcane crop had already suffered, but the soybean crop could still withstand the dry spell as it was planted late. “The sugarcane crop has been hit badly but the soybean crop was planted late and it will gain from rains we are expecting soon,” the scientist in the Ministry of Earth Sciences, who did not want to be identified, told Reuters. The weather office has forecast good rains in cane and soybean regions in the next few days. The June-September rains were 42% short until 10 August over the cane-growing region of northwest India, the same as the rainfall quantum until the previous day. Source: LatestNews-Home - Livemint.com | 12 Aug 2009 | 1:19 am Is the real action taking place outside UN forum?New Delhi: Is India’s willingness to take up discussions outside the United Nations (UN) forum a sign that it is changing its negotiating stance on climate change? Several analysts and a government official claim it is. Soon after it inked a deal at the Major Economies Forum (MEF) on energy and climate on 9 July in L’Aquila, Italy, committing India to agreeing to act quickly to limit global temperature increase at 2 degrees Celsius above pre-industrial levels, the country would once again be engaging representatives of the developed world at the Group of Twenty (G-20) meeting, scheduled for 24-25 September in Pittsburgh, US. The agenda for the meeting now includes exploring financing options for efforts to mitigate climate.  Not a numbers game: The Prime Minister’s special envoy on climate change Shyam Saran insists that the consideration of climate change in different forums is a genuine effort to find common ground. PIB The MEF agreement raised questions whether India had implicitly abandoned its stiff opposition to binding emission targets that could harm economic growth and poverty alleviation. Climate change financing, which sets the terms of which countries will pay what to mitigate climate change and how the funds should flow, is one of the key issues being debated in the United Nations Framework Convention on Climate Change (UNFCCC). Experts worry that the negotiations are incrementally setting the agenda even before the UNFCCC meets in Copenhagen, Denmark, in December to work out a new global agreement to combat climate change. “The concern is all the process like the G-8 (the group of eight most industrialized economies), the MEF, or the G-20 are meant to dilute the UN processes. And in order to make sure that you don’t give away the house, you need to know where you need to go. Governments need to evaluate the proposals alongside broader national issues,” said a technology and policy analyst, who did not want to be identified. “We should be worried about this.” He explained that in these processes, not only does the needs of smaller countries get diluted, but the back-up and support of the rest of developing nations also disappear. Shyam Saran, the Prime Minister’s special envoy on climate change, disagreed. “There is no reason to believe that major developing countries like India, China, Brazil, Mexico and Indonesia find themselves at a disadvantage in more restricted fora like the G8+5 (the G-8 and Brazil, China, India, Mexico and South Africa) or the G-20. The consideration of climate change in these fora is not a game of numbers but a genuine effort to find common ground,” he said. In the UNFCCC process, India and China are part of group of 35 like-minded countries that negotiate together for its demands on finance and technology. Rajiv Kumar, director and chief executive, Indian Council for Research on International Economic Relations, said: “Real action is taking place outside the formal governance structure. Earlier it would be G-8, now it is the G-20. We should be much better prepared if we’re going to participate in those.” According to a government official, who did not want to be identified, India has now got a seat at the “high table”, which shows up in the form of membership of a forum such as G-20. Unlike a more democratic forum such as the UN, a seat at the high table comes with enhanced responsibility to show results, the official said. The G-20 is an informal forum to discuss key issues of global economic stability with its members accounting for 90% of global gross national product, 80% of world trade and about two-thirds of the population. It includes the Group of Seven industrialized countries—the UK, Canada, France, Germany, Italy, Japan and the US—and major developing countries—Argentina, Australia, Brazil, China, India, Indonesia, Mexico, Russia, South Africa, Saudi Arabia, South Korea and Turkey—as well as the European Union. While the G-20 is a different platform, a deal among member countries on climate change financing is expected to mesh with the MEF agreement, which brought together 17 nations. Any declaration or statement is not legally binding under the non-UN tracks as it would be at the UNFCCC. “It maybe so, but my understanding (is that) when you agree to certain parameters outside the UN, such as the 2-degree agreement, it can constrain your options within the framework convention,” the analyst said. He added that the framework convention document is sympathetic to developing countries but the US has been wanting to do things outside the UNFCCC for a long time. A report by the South Centre, an intergovernmental organization of developing countries established by an international agreement in 1995, says that current developed country actions in relation to climate financing undermine the institutional effectiveness of the UNFCCC. It estimates that climate financing, that is available or may be made available by the developed world in the foreseeable future, is a little over one-tenth of the minimum estimated requirements for climate financing coming from the UNFCCC or the G-77 (a coalition of developing nations) and China. India and China have also been arguing at the UNFCCC that any funding commitment and flow for climate should be committed under the framework and not externally through bilateral and multilateral agreements. The South Centre report added, “The public financing from developed countries for climate change-related actions that go through non-UNFCCC channels reflect and respond to the donors’ political and economic priorities and interests rather than to the sustainable development priorities of developing countries.” The pace at which negotiations are held and positions crystallized on key issues also pose a challenge to the administrative machinery in India, the same government official said. The existing administrative set-up is not equipped to cope with such rapid decision-making on issues of such far-reaching consequence. For instance, in April, at a G-20 heads of state meeting in London, the summit media statement made only a passing reference to climate change. But in less than six months, India had signed an MEF declaration, which crystallized a position on capping average temperatures. sanjiv.s@livemint.com Source: LatestNews-Home - Livemint.com | 12 Aug 2009 | 1:18 am Industrial output surges to 16-month high India's industrial output rose by a much faster-than-expected 7.8%in June from a year earlier, data showed on Wednesday.Source: India Business News | Business News - Times of India | 12 Aug 2009 | 1:17 am Sensex tumbles 304 points on brisk selling Sensex went below 15,000 by tumbling more than 304 points at noon on Wednesday because of brisk selling by foreign funds and retail investors.Source: India Business News | Business News - Times of India | 12 Aug 2009 | 1:07 am Noon: Sensex tumbles 304 pts; slips from 15k levelMumbai: The Bombay Stock Exchange benchmark Sensex went below 15,000 by tumbling more than 304 points at noon on Wednesday because of brisk selling by foreign funds and retail investors, on monsoon concerns amid weak global trends. The 30-share index dropped by 304.50 points to 14,770.09 at 1200 hrs as stocks of realty, metals and banks suffered heavy losses. Similarly, the 50-share Nifty of the wide-based National Stock Exchange fell by 91.65 points to 4,379.70. All the sectoral indices dipped with losses up to 1.68%. Marketmen said the equities fell sharply in the last few sessions on concerns that the weakest monsoon in the past five years would lead to lower farm output and spending. Markets had fallen 1.5% by late morning as investor caution ahead of the conclusion of the US Federal Reserve’s two-day meeting weighed on markets across Asia following a drop on Wall Street overnight. Worries that a shortfall in crucial monsoon rains will hit economic growth and concerns over pricey stocks also hurt sentiment, traders said. Private-sector lender ICICI Bank, outsourcer Infosys Technologies and engineering and construction firm Larsen & Toubro were among the major losers on the main index. Energy giant Reliance Industries, which has the most weight in the main index, fell 1.4% to Rs1,971, and state-run explorer Oil and Natural Gas Corp slid 2.8% to Rs1118.90 as oil prices fell slightly below $70. Sun Pharmaceutical, India’s top drugmaker by market value, bucked the trend and rose 2.5% to Rs1,235.50 after it got the US Food and Drug Administration’s approval to launch its generic version of GlaxoSmithKline’s Imitrex tablets to treat migraine. The company also received US regulatory approval to launch oxaliplatin injections, the copycat version of Sanofi-Aventis’ Eloxatin that is used to treat colon and rectal cancer. By 11:31am, the 30-share BSE index was down 1.5% at 14,847.55 points, with 27 stocks declining. The 50-share NSE index was down 1.5% at 4,406.55. “The downward trend could continue for a few more days because we just don’t know how much of a negative impact the weak monsoon is going to have,” Ambareesh Baliga, vice president of Karvy Stock Broking, said. “Liquidity was driving up the market till now, but that looks like it is drying up.” The benchmark nosed up 0.4% on Tuesday, after shedding 5.6% over the past three sessions. It had slid 3.25% last week after jumping 16 percent over the previous three weeks, buoyed by a worldwide equities rally on strong corporate earnings and improving signs of a global economic recovery. The index has leapt 87% from a 2009 low in early March, and is up more than 56% this year after slumping by more than half in 2008, raising concerns about rich valuations. ICICI Bank fell 2.5% to Rs699.05, while Infosys eased 1.8% to Rs2,043.50. Larsen & Toubro dropped 3.3% to Rs1,397. In the broader market, losers led gainers by more than 2 to 1 on relatively moderate volume of 109.9 million shares. Asian shares were lower on Wednesday, with Japan’s Nikkei down 1.3% while MSCI’s measure of other Asian markets fell 1.1%. The US Federal Reserve is expected to keep US interest rates steady at near zero at a meeting that concludes on Wednesday, but end its long-term government securities buying programme amid signs the economy is stabilizing from a deep recession. Policymakers will steer a careful course in acknowledging signs a turnaround may be near without triggering expectations that interest rate rises are imminent. Source: Home - Livemint.com | 12 Aug 2009 | 12:57 am MphasiS set to acquire AIG's Indian unit - Hindu
Source: Business - Google News | 12 Aug 2009 | 12:56 am Sensex slips 197 points in early tradeThe 30-share index moved down by 196.58 points, or 1.21 per cent to 14,878.01 points after stocks of auto, metals and realty sectors suffered the most.Source: Daily News & Analysis: Money News | 12 Aug 2009 | 12:55 am China formally arrests four Rio Tinto employeesChina has formally arrested four employees of Australian mining giant Rio Tinto on charges of trade secrets infrigment and bribery.Source: Daily News & Analysis: Money News | 12 Aug 2009 | 12:40 am Car makers betting on premium hatchback to drive growthIn the last few months, the country witnessed an array of launches in the price range of Rs 3.5 lakh to Rs 7.5 lakh, revving up the country's car market.Source: Daily News & Analysis: Money News | 12 Aug 2009 | 12:08 am Strides Arcolab ready to supply swine flu drugBangalore, Aug. 11 Amidst a nationwide rise in ‘swine flu’ cases and concerns, the Bangalore-based drug manufacturer, Strides Arcolab Ltd, said it was ready to deliver one million capsules of oseltamivir phosphate — the genericSource: Business Line - Home Page | 12 Aug 2009 | 12:00 am M&M Financial Services (Rs 230.7): SellWe recommend a sell in Mahindra and Mahindra Financial Services stock from a short-term perspective. It is apparent from the charts the stock has been on a medium-term downtrend from its June high of Rs 294 (a 52-week high). We notice formationSource: Business Line - Home Page | 12 Aug 2009 | 12:00 am Sugar prices gallop past Rs 30/kgChennai, Aug. 11 It is a bitter fact indeed; on Tuesday sugar prices in the wholesale markets crossed the Rs 30-a-kg-mark. Since the beginning of this month, prices have increased over 25 perSource: Business Line - Home Page | 12 Aug 2009 | 12:00 am Govt to rope in private sector for 2,500 model schools in 11th PlanNew Delhi, Aug. 11 The Government’s policy on public-private partnership in the education sector will be finalised in four weeks, the Minister for Human Resource Development, Mr Kapil Sibal, said onSource: Business Line - Home Page | 12 Aug 2009 | 12:00 am IT vendors may have to absorb development costsIT services providers that have invested in creating Intellectual Property-based solutions may initially have to absorb the development costs as clients are unwilling to pay for new technology in a weakSource: Business Line - Home Page | 12 Aug 2009 | 12:00 am Pranab asks CBDT to raise direct tax collection targetNew Delhi, Aug. 11 The unanticipated drought and the likely adverse impact on Government finances has compelled the Finance Minister, Mr Pranab Mukherjee, to tell the Central Board of Direct Taxes (CBDT) to raise the direct tax collection targetSource: Business Line - Home Page | 12 Aug 2009 | 12:00 am The cost of implementing number portabilityWith the country getting ready for number portability towards the year-end, the cellular and fixed-line telecommunication companies estimate that they may have to spend Rs 10,000 crore on upgrading technologies and making their networks ready forSource: Business Line - Home Page | 12 Aug 2009 | 12:00 am Rupee slips on inadequate rainsRupee began sliding against the dollar on weakening stock prices and spike in the dollar. Indian stocks have been southward bound since August 5 on worries of inadequate monsoons and tightening of liquidity by the Chinese Central Bank. ForeignSource: Business Line - Home Page | 12 Aug 2009 | 12:00 am Day Trading GuideWe re-affirm our sell recommendation in DLF, as the near-term stance is bearish. Initiate fresh short-position if ICICI Bank slips below Rs 706 and SBI plummets below Rs 1,706, with stiffSource: Business Line - Home Page | 12 Aug 2009 | 12:00 am Rangarajan to head economic advisory panelThe Economic Advisory Council to the Prime Minister (EAC) has been reconstituted with Dr C. Rangarajan as its Chairman. Dr Rangarajan will assume charge on Wednesday.Source: Business Line - Home Page | 12 Aug 2009 | 12:00 am Sun Pharma climbs 4% on BSE - Business Standard
Source: Business - Google News | 11 Aug 2009 | 11:57 pm Celent sees mutual fund assets at $500 bn by 2014Mumbai: Assets of mutual fund industry could surge to more than $500 billion by 2014 from about $150 billion now, helped by faster growth in profitable retail segment, consultant Celent said in a report on Wednesday. Retail investors account for about 37% of the industry assets, while institutional investors contribute 56%. By comparison, retail contribution to fund assets in markets such as China is 70% and US is 86%. Focus on institutional investors has led to poor distribution in smaller cities and rural India, but Celent forecasts retail segment to grow 35% annually for the next five years, driven by rising income and awareness of mutual fund products. The institutional segment will grow by a quarter annually, driven mainly by the lack of alternative liquidity management instruments for corporates. “The institutional segment will be the volume driver for the industry, while the retail segment drives profitability,” Sreekrishna Sankar and Arin Ray said in the report. They said profits as a percentage of assets under management for the industry dropped to 16.5 basis points in 2008 from 23 basis points in 2006 as the growth during the period was mainly led by relatively less profitable fixed income funds. Even as assets surge, profits will remain at its present level mainly due to increasing cost on development of distribution channels and falling margins due to greater competition among the money managers, Celent said. India’s 36-member mutual funds industry has attracted the likes of Shinsei’s, Italian bank UniCredit’s Pioneer Global arm, France’s Axa and South Korea’s Mirae Asset in the last two years. Allianz, UBS, Sanlam and Credit Agricole are among global firms looking to set up shop. Source: Home - Livemint.com | 11 Aug 2009 | 11:37 pm Sensex plunges nearly 197 points in early trade Sensex fell by almost 197 points in opening trade on selling by foreign funds and retail investors, tracking weak global markets.Source: India Business News | Business News - Times of India | 11 Aug 2009 | 10:53 pm IT cos should expand export base: Pilot Minister of state for IT and communications Sachin Pilot feels that its rural and domestic market that will pilot the growth of both telecom and IT.Source: India Business News | Business News - Times of India | 11 Aug 2009 | 10:49 pm Watch/listen - Mint in Multimedia 12 AugustVideo story: Winds of change India could compromise its stance on climate change as it engages rich nations at forums such as the G-20, say analysts. Mint’s Padmaparna Ghosh explains. Audio story: The state of the Indian blogosphere A cross section of Indian bloggers talk about the Indian blogosphere and what to expect from it in the future Video story: Runaway costs Mint’s Rahul Chandran says the private consortium rebuilding Delhi’s airport has been allowed to pass on some of its huge cost increases to travellers Video story: The Mint Report Power trading company PTC India ltd. is losing some of its promoters; India’s stance on climate change comes under scrutiny Source: Home - Livemint.com | 11 Aug 2009 | 10:21 pm Dell unveils Nickelodeon PC for kidsSan Francisco: Dell Inc on Tuesday unveiled a line of Nickelodeon co-branded personal computer for children, the first in a series of branding deals intended to galvanize its consumer business. Dell’s move is the latest example of PC makers using design and targeting particular demographies to stand apart from rivals such as Hewlett-Packard Co and Acer Inc in an increasingly commoditized industry. The Dell Inspiron Mini Nickelodeon Edition will come clad in the Viacom Inc channel’s trademark “green slime” design, with additional designs based on programs such as “SpongeBob SquarePants” and “iCarly.” The 10-inch netbook has wireless Internet access, weighs less than 3 pounds and comes loaded with entertainment and educational content. It will also feature a personalized user interface with Nickelodeon-branded desktop wallpaper and icons, and easy access to the channel’s online content. Michael Tatelman, vice president of global consumer sales and marketing for Dell, said the Nickelodeon netbook is just the start of its co-branding effort as it pushes into areas such as college students and pro sports. “The PC, like the smartphone, has become a 21st century symbol of self-expression. People are identified by what they carry, and people identify with what they carry,” he said. Leigh Anne Brodsky, president of Nickelodeon and Viacom consumer products, said the “sweet spot” for the PC was the so-called “tween” market. “This really is not a toy. This is the real deal,” she said. The world’s No. 2 PC maker did not announce pricing for the netbook, which will be available in October in the United States through Dell’s online store, and at Wal-Mart Stores Inc outlets and Walmart.com. The Nickelodeon PC is based on Dell’s Inspiron Mini 10v, which starts at $300. Source: Tech News - Livemint.com | 11 Aug 2009 | 10:21 pm Investors seek Bharti+MTN clarityThe two companies have 20 days more to seal their exclusive talks -- August 31 is the extended deadline.Source: Daily News & Analysis: Money News | 11 Aug 2009 | 4:04 pm Telecom leaders take a fresh knock in JulyMost players offering GSM services have added less number of subscribers in July, compared with June. This is despite July having 31 days as against 30 days for June.Source: Daily News & Analysis: Money News | 11 Aug 2009 | 3:51 pm A 'second dip' in China GDP growth is 'near-certain'A surge in China's GDP growth in the first half of 2009 has led to celebratory uncorking of champagne bottles half a world away.Source: Daily News & Analysis: Money News | 11 Aug 2009 | 3:49 pm Truant rain a wet blanket on earnings upgradesMayank Shah, CEO of Anagram Capital Ltd, has been preparing to upgrade Sensex earnings over the last couple of days.Source: Daily News & Analysis: Money News | 11 Aug 2009 | 3:48 pm Epitaph time? Not yet, for full-service airlinesWith the three full service carriers planning to slowly move a large part of their capacity to low fare segment, the airfield in that space has now been left to just one player.Source: Daily News & Analysis: Money News | 11 Aug 2009 | 3:46 pm 'Govt aiming for 6m tourists in 2010'DNA caught up with Sujit Banerjee, secretary, Union ministry of tourism, and Devesh Chaturvedi, additional director general, tourism, Govt of India.Source: Daily News & Analysis: Money News | 11 Aug 2009 | 3:44 pm Post DGH meet, Andhra in two mindsThe government is keen on finding a right business model to pursue the activity, though it has already decided to form a SPV for taking up oil and gas related activity.Source: Daily News & Analysis: Money News | 11 Aug 2009 | 3:43 pm Hostile bid for East India Hotels ruled out: ITCA few weeks ago, at ITC\'s annual general meeting, YC Deveshwar says the company would like to join hands with East India Hotels and work together. He ruled out the possibility of a hostile takeover for EIH.Source: Moneycontrol Top Headlines | 11 Aug 2009 | 3:26 pm RIL files caveat ahead of NTPC appealReliance Industries (RIL) filed a caveat in the Supreme Court, seeking to be heard before it considers any petition by NTPC. NTPC is expected to file a petition challenging last month\'s order of the Bombay High Court that allowed RIL to amend its plea in its dispute with NTPC.Source: Moneycontrol Top Headlines | 11 Aug 2009 | 3:22 pm India 6th most active nation in global IPO spaceA clutch of IPOs, including Asia's third biggest by state-run NHPC, has propelled India to the sixth position in the list of most active nations in the global space of initial public offerings this year.Source: Hindustan Times News Feeds 'Business' | 11 Aug 2009 | 3:22 pm Oil ministry to PMO: Ambani gas pact flouts govt authorityThe part of the Ambani family pact that divides the gas found by Reliance Industries Ltd between brothers Mukesh and Anil group firms is against public interest, flouts government authority and will set a wrong precedent for others, the petroleum ministry has said. Source: Hindustan Times News Feeds 'Business' | 11 Aug 2009 | 2:54 pm Sterlite Ind revises bid for AsarcoVedanta Resources owned Sterlie Industries has revised its bid for bankrupt US copper miner Asarco LLC to Rs 7,618 crore from the earlier cash component of Rs 5,280 crore. Source: Hindustan Times News Feeds 'Business' | 11 Aug 2009 | 2:51 pm Metro home prices see some stabilityResidential real estate prices in Mumbai, Delhi and Kolkata remained stable in the April-June quarter, suggesting a mild upturn in buying sentiment after a slump that lasted six to nine months, says a report by real estate consulting firm Cushman & Wakefield. Source: Hindustan Times News Feeds 'Business' | 11 Aug 2009 | 2:48 pm Nilkamal eyes booming biz from retail unitThe Rs 1,000-crore Nilkamal group, which entered the home furniture and furnishings market four years back with its chain of @home stores, is expecting sound contribution from the business as its expansion plans take shape. Source: Hindustan Times News Feeds 'Business' | 11 Aug 2009 | 2:35 pm Online mutual funds to gain from no-entry load normThe no-entry load regime of Securities and Exchange Board of India (SEBI) has left mutual fund distributors with little choice but to increase their online presence. Source: Hindustan Times News Feeds 'Business' | 11 Aug 2009 | 2:31 pm Tata Cap, Mizuho in global wealth management dealTata Capital, the financial services arm of the Tata group, and Mizuho Securities of Japan, are giving shape to an alliance that seeks to launch a wealth management platform that would facilitate Indians investing overseas and foreign individuals investing in India. Source: Hindustan Times News Feeds 'Business' | 11 Aug 2009 | 2:28 pm Deora gets backing of Ram NaikFacing heat from the opposition Samajwadi Party for allegedly favouring Mukesh Ambani in his legal battle with brother Anil Ambani for gas supply, the government has received support from an unexpected quarter.Source: India Business News | Business News - Times of India | 11 Aug 2009 | 2:28 pm RBI panel for note checking at ATMsIn order to check the menace of fake currency notes, a high-level RBI committee has suggested a slew of measures, including in-built currency checking mechanism at all ATMs and note sorting machines or desktop sorters at all bank branches, in a phased manner.Source: India Business News | Business News - Times of India | 11 Aug 2009 | 2:22 pm NTPC may join gas war between RIL and RNRL NTPC may jump into the high-voltage legal war between RIL and RNRL over the supply of KG basin gas.Source: India Business News | Business News - Times of India | 11 Aug 2009 | 2:18 pm CAG access: Oilmin calls meetThe oil ministry has called a meeting of private explorers, including RIL, who are operating or developing major oil/gas fields, on August 17 to ensure that they provide access to their accounts regarding these fields to government auditor CAG, sources said.Source: India Business News | Business News - Times of India | 11 Aug 2009 | 2:13 pm JLR doesn't need UK govt's support: TataTata Motors on Tuesday said the "positive" economic environment has made the company self-reliant in raising finances and thus it no longer required UK government's support.Source: India Business News | Business News - Times of India | 11 Aug 2009 | 2:08 pm Indiabulls V-P arrested for fraud Siddhartha Daga, V-P of Indiabulls, was arrested for allegedly hacking into the demat account of a client & carrying out a Rs 1-crore fraud.Source: India Business News | Business News - Times of India | 11 Aug 2009 | 2:06 pm Pune malls, multiplexes see up to 70% drop in businessShopping malls, multiplexes and top retailers in Pune are seeing as much as a 70 per cent drop in business owing to the swine flu outbreak in the city.Source: Business Standard | Front Page Headlines | 11 Aug 2009 | 12:52 pm JLR gets funding without UK government aidFraught four-month-long negotiation between Tata Motors-owned Jaguar Land Rover (JLR) and the UK government over a loan guarantee ended in an anti-climax today, with the Mumbai-headquartered automobile maker announcing that it has secured loans from commercial banks and would not need any support from the UK government.Source: Business Standard | Front Page Headlines | 11 Aug 2009 | 12:51 pm Blog it, flog it: the new publicity toolNew Delhi: On 9 August, Saurabh and Swati from Pune wrote to Amitabh Bachchan to tell him how much they enjoyed reading his blog and to wish his friend, politician Amar Singh, a speedy recovery. Barely 24 hours later, the superstar responded: “Saurabh...Swati... hi and welcome to the blog and thank you for enquiring after Amar Singhji... he progresses well...” A cross section of Indian bloggers talk about the Indian blogosphere and what to expect from it in the future Ten years after blogging became accessible to a large, varied, non-technical population, it has assumed multiple faces. Today, it is personal diary, news outlet, discussion forum and publicity agent, sometimes all of these rolled into one. Everyone from stars looking to connect with fans, fans looking to connect with stars, politicians, aspiring writers, poets and musicians, big companies, media organizations and publishing houses seem to have jumped on to the blogging bandwagon.  Kumar, for instance, used his blog to talk about the infamous “belt unbuckling” scandal (where a case was filed against him after photos were published of his wife unbuckling his belt at a fashion show). “Listen, I understand journalists need to sell their papers but guys, you can’t make a fool out of your readers… all that really happened was I came back and drove to the police station myself… it was as boring as that… But I’ve been made to feel like the Bad Boy criminal of Bombay,” he said in a post immediately after the incident. “A blog tells you a story you won’t find on a piece of official communication and facilitates a far bigger emotional connect,” says Prodyut Bora, the convenor of the Bharatiya Janata Party’s IT cell. And despite criticism that prime ministerial candidate L.K. Advani focused too much on his Internet strategy in the run-up to this year’s Lok Sabha polls, Bora maintains that the response that Advani received on his blog was “terrific”.  Illustration: Jayachandran / Mint “There is no doubt that if you write a popular blog today, you are definitely on the radar of publishing houses. Blogs give you visibility and showcase one’s writing style, so if a blogger is interesting/exceptional, chances are he/she will be noticed,” says Avanija Sundaramurti, a commissioning agent with Penguin. “However, the transition from popular blog to book deal is rare. Writing a great blog doesn’t necessarily mean you will get a book deal. Blogs provide limitless writing space, but books are characterized by restraint.” The ease with which content can be posted on a blog, coupled with the fact that it allows instant feedback and easy interaction, have made it the medium of communication for firms as well. Travel and hospitality company Club Mahindra runs a travel and lifestyle blog called CLAY (Club Mahindra And You) targeted at travellers and holiday-makers. The blog features various holiday locations, provides travel tips and invites readers to submit stories. “Blogs have helped us reinforce our brand attribute. People start relating,” says Arun Nair, senior marketing manager at Club Mahindra. Blogs are also used by companies which do not directly sell to consumers as a means of getting feedback from end-users and showcasing new developments. IT solutions company MindTree Ltd has seven corporate blogs focusing on various core aspects of its business, and Intel Corp. , which maintains a gamut of blogs for employees as well as customers, uses blogs to gauge end-user satisfaction with its products. “We can also directly engage, where this is not possible through other traditional forms of advertising and marketing. This is a valuable resource for any company,” says Camille Miranda Gonsalves, head of public relations, Intel South Asia. But these corporate blogging efforts may not always translate into higher sales, according to Kiruba Shankar , chief executive of Business Blogging Pvt. Ltd, which advises firms on social media strategies. “The use of blogs as a medium of publicity is very much in its infancy in India,” Shankar says. “Indian corporates are just about beginning to scratch the surface of all that blogging can do.” However, not everyone is hooked on blogging. Parull Gossain, a publicist based in Mumbai, is one of those who believe that the fuss around the blog is overblown. Gossain has handled publicity for over 50 films including Kaminey, Chandni Chowk to China and Guru, and says she would never advise a client to start a blog to build publicity. “Blogs are passé,” she says. “They are quite boring after a while and they really don’t have enough reach. Even if they are getting 10,000 hits a day, what is that in a country of 1.5 billion people?” This is the second in a four-part series. Tomorrow: The graveyard of abandoned blogs. To read part one click here Source: Tech News - Livemint.com | 11 Aug 2009 | 12:50 pm FM ups direct tax target 8%With drought forcing the government to increase its spending, corporations and salaried individuals can expect a tougher tax regime, with Finance Minister Pranab Mukherjee revising this fiscal's direct tax collection target to Rs 4,00,000 crore from Rs 3,70,000 crore mentioned in the Budget last month.Source: Business Standard | Front Page Headlines | 11 Aug 2009 | 12:49 pm Bill allows merger of Indian companies with foreign firmsThe Companies Act Amendment Bill, which was tabled in Parliament in the Budget session that adjourned last week, has proposed to allow Indian companies to merge with overseas companies, a move that could introduce greater flexibility in cross-border merger and acquisitions (M&As).Source: Business Standard | Front Page Headlines | 11 Aug 2009 | 12:45 pm Monster, ITC launch website for rural job market New Delhi: Online job site Monster.com, owned by Monster Worldwide Inc. and ITC Ltd. which owns internet based service chain for farmers, e-Choupal, have together launched a website aimed at rural job market called “Rozgarduniya.com”. The site is currently available in English and Hindi and can be accessed at e-Choupals in 4 states — Madhya Pradesh, Maharashta, Uttar Pradesh and Rajasthan. The company plans to extend this to all the e-Choupals soon. “We spoke to some big employers over the last 12 months and we got amazing feedback. They have huge expansion plans in the rural areas. So there was a void and we wanted to be the first mover”, Sanjay Modi, managing director (India, Middle-East & South Asia), Monster.com said. The revenue model is subscription based which the employers will pay. For job seekers the site is free. Both the companies would share the revenue though they refused to give details of the revenue sharing agreement. Every application will be rooted through an e-Choupal Sanchalak, the farmer who mans the kiosk, and thus only a rural job seeker will be able to use the service. The employer can be based out of any location. Right now the site has few job listings but within 3 weeks the company says the site will have about 150 of these. Sanjay adds that the employers that they’ll be targeting in the first phase include security agencies, logistics and supply management, FMCG, pharmaceutical, banks, insurance, telecom infrastructure and highway infrastructure companies. Source: Tech News - Livemint.com | 11 Aug 2009 | 11:54 am Dabur looks to increase global presenceNew Delhi: Consumer products company Dabur India Ltd is looking to expand its international presence and is shopping for companies in Africa, apart from trying to build a distribution network in the US.  Aiming high: Dabur’s headquarters in Ghaziabad, Uttar Pradesh. Dabur makes and sells products in the personal, home care and healthcare space under brands such as Vatika, Gulabari, Hajmola, Real and Fem. Some of these products will need to be cleared by the US Food and Drugs Administration before they can be sold in the US. In Africa, Dabur, which already has a presence in the continent, is looking to expand into South Africa and other countries where it currently isn’t present, according to Varma, and it is also considering acquisitions. He declined to comment on a timeline for these buys. Dabur already sells its products in North Africa, has a toothpaste manufacturing unit in Nigeria and a personal care products unit in Egypt. “One more unit in Egypt is being set up,” Varma added. Dabur recently consolidated with itself the operations of Fem Care Pharma Ltd, which it acquired last year. In 2005, the company had bought Balsara’s hygiene and home products businesses. According to analysts, the company has enough money on its balance sheet to fund another acquisition. “Every year, the company generates around Rs400 crore as operating cash which can be used for an acquisition,” Sameer Deshmukh, an analyst with Mumbai-based brokerage Tata Securities Ltd said. “Dabur is equipped to buy a company in the range of Rs500-1,000 crore,” said Anand Shah, analyst, Angel Broking Ltd. Shah added that Dabur should do well in Africa but was doubtful about its ability to do well in the US. “The profile and preferences of African consumers is similar to those in India and it is also an emerging market. But in the case of the US, it is a very tough market to break into, because of the laws of the country and also the choice of (before) the consumers,” said Shah. The company could need to rework its products before launching them in the US, he added. Dabur’s rivals such as Godrej Consumer Products Ltd (GCPL) and Marico Ltd have a presence in Africa. Marico acquired Fiancee, a haircare brand, in 2006 from the Egypt-based Ready Group. In 2007, it acquired Hair Code, a hair cream and gel brand from Cairo-based Pyramids Group. GCPL acquired Rapidol Pty Ltd, a hair colour maker in South Africa, in 2006 and wig and hairpiece maker Kinky Group (Proprietary) Ltd in 2008. Even Wipro Ltd has a presence in Africa through brands of Unza, a Singapore-based consumer goods company it bought in 2007. Dabur’s international division has been growing by at least 50% and contributes around 20% to the total turnover. According to a 27 July investors presentation on the company website, the overseas business grew 52.9% in the quarter ended June. “The division’s topline growth was boosted by robust performances in key geographies like GCC (Gulf Cooperation Council) Egypt and North African markets,” the presentation said. The company also said new markets such as Uzbekistan, Guinea and Belarus were opened during the quarter. For the first quarter ended June, Dabur’s total sales increased 22.1% to Rs748 crore from Rs612.4 crore in the same period last year. And its consolidated net profit rose 29.4% to Rs91.4 crore. On Tuesday, shares of Dabur India fell 1.53% to Rs128.45 each on the Bombay Stock Exchange on a day when the exchange’s benchmark index rose 64.82 points to 1,5074.59. In the past year, the shares have touched a high of Rs141.35 each on 4 August and a low of Rs60 on 27 October 2008. Source: World Business - Livemint.com | 11 Aug 2009 | 10:42 am Citigroup approves $6 bn in new lending initiatives New York: Citigroup says it approved $6 billion in new lending initiatives during the second quarter as part of its programs supported by government bailout funds. The New York-based bank says that it has now approved $50.8 billion in lending programs tied to receiving money as part of the Troubled Asset Relief Program (TARP). Among the money approved for lending, $15.1 billion has been deployed. Two new programs were approved by Citi in the second quarter. Citigroup will provide up to $4 billion in municipal letters of credit and up to $2 billion for mortgage originators. Citigroup has received $45 billion in TARP money since last October. A portion of that money was recently converted into a 34% ownership stake for the government. Source: World Business - Livemint.com | 11 Aug 2009 | 6:28 am
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