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Fares may go up by midSep: SpiceJetAirlines fares could go up by as much as 2025% by mid September, Sanjay Aggarwal, CEO of Spicejet, said. He added that the industry was currently charging below costSource: Moneycontrol Top Headlines | 7 Sep 2009 | 8:12 am Cipla enters into JV with Chinese co for biosimilarsCipla has entered into a joint venture with a Chinese company to enter the biosimilars space. Vikas Dandekar of Pharma Asia said Cipla would be able to discover new price points in biosimilars. \"This is very big for Cipla.\"Source: Moneycontrol Top Headlines | 7 Sep 2009 | 8:08 am India has quit Iran gas pipeline deal: Report!India has exited from a gas pipeline deal it earlier planned with Iran and Pakistan, Mehr news agency reported citing a Pakistani diplomat.Source: Zee News : Business | 7 Sep 2009 | 6:25 am RBS close to selling off Asian assets: Report!Bailed out lender Royal Bank of Scotland is close to sealing a deal to sell its assets in China, India and Malaysia to Standard Chartered, a report said on Monday.Source: Zee News : Business | 7 Sep 2009 | 6:25 am Oil falls below $68 on US demand worries!Oil prices fell below USD 68 a barrel on Monday on concerns that high unemployment in the United States, the world`s top energy consumer, will weigh on demand.Source: Zee News : Business | 7 Sep 2009 | 6:25 am Global regulators flag sweeping new bank rules!Banks will have to set aside more profits as a cushion against hard times and face limits on how much debt they can run up under proposed new global rules agreed by top central bankers and regulators on Sunday.Source: Zee News : Business | 7 Sep 2009 | 6:25 am PNGRB levies turnover tax on cos retailing CNG!In an unprecedented move, oil regulator PNGRB has levied a `turnover` tax on the revenues companies will earn from retailing CNG and natural gas in cities, a move that the industry sees as exceeding its jurisdiction.Source: Zee News : Business | 7 Sep 2009 | 6:25 am Rio Tinto, BHP mull Canada diamond merger: Report!Mining giants Rio Tinto and BHP Billiton are considering merging their Canadian diamond operations, as the former bitter rivals look for savings through increased cooperation, a report said on Monday.Source: Zee News : Business | 7 Sep 2009 | 6:25 am Sensex extends gains in early trade!Tracking a firming Asian trend, the Bombay Stock Exchange benchmark index Sensex extended gains by adding over 149 points in early trade on Monday on funds-based buying in frontline stocks.Source: Zee News : Business | 7 Sep 2009 | 6:25 am Nomura cuts India`s FY10 growth forecast to 6%!India`s economic growth could slow to 6 percent from 6.3 percent in 2009/10 dragged by contraction in agricultural growth, Nomura said in a recent note.Source: Zee News : Business | 7 Sep 2009 | 6:25 am Oil India IPO subscribed within 30 mins: Bankers!State explorer Oil India`s initial public offer to raise up to USD 570 million was fully subscribed within 30 minutes of opening on Monday, three banking sources said, indicating investor appetite remained strongSource: Zee News : Business | 7 Sep 2009 | 6:25 am Tata Steel sales jump 25% in August!Tata Steel Ltd, the world`s No. 8 steelmaker by output, said on Monday that August steel sales at its Indian operations rose 25 percent from a year earlier to 492,000 tonnes.Source: Zee News : Business | 7 Sep 2009 | 6:25 am Gujarat Flourochemicals expects 8.5m carbon credits a yearGujarat Flourochemicals expects 88.5 million carbon credits to be issued to the company per year, says its director Deepak Asher. Based on the current spot price of 13 euro and 25 cents, the value of carbon credit issued is around Rs 220 crore. Issuance was not out of the norm, he added.Source: Moneycontrol Top Headlines | 7 Sep 2009 | 5:58 am No talks with LT on strategic alliance yet: Astra MicroAstra Microwave refutes LT stake sale rumour, says no discussions yet.Source: Moneycontrol Top Headlines | 7 Sep 2009 | 5:32 am China's top 500 firms outperform US rivals in 2008: surveyChina's top 500 companies outperformed their US counterparts for the first time last year, a survey conducted by a business group has revealed, as the financial crisis wreaked havoc in the United States.Source: Hindustan Times News Feeds 'Business' | 7 Sep 2009 | 5:32 am Nagarjuna Const plans to raise USD 75m via QIPNagarjuna Contruction plans to raise USD 75m via QIP and Rs 112 crore via stake sale in Gautami power, YD Murthy, the company\'s VPFinance, said. Further, he said 25 investors had participated in the QIP.Source: Moneycontrol Top Headlines | 7 Sep 2009 | 5:00 am Bank of Maharashtra targets over 13% CAR in FY10Allen CA Pereira, CMD, Bank of Maharashtra, says, the bank had asked to government for Rs 500 crore in December 2008, which, We expect to get in FY10. He says the bank is looking at crossing 13% capital adequacy ratio (CAR) in FY10. The current capital adequacy of the bank stands at 12.05%.Source: Moneycontrol Top Headlines | 7 Sep 2009 | 4:58 am Etisalat awards $400 mn outsourcing contract to Tech Mahindra - Business Standard
Source: Business - Google News | 7 Sep 2009 | 4:27 am Brace for deceleration of India's growth: Mukherjee - Economic Times
Source: Business - Google News | 7 Sep 2009 | 4:21 am Sensex ends above 16000; realty, metals rally - Economic Times
Source: Business - Google News | 7 Sep 2009 | 4:18 am Upping offer price of Rs 120 out of the question: Miglani, Uttam ... - Economic Times
Source: Business - Google News | 7 Sep 2009 | 4:10 am Punjab National Bank to foray into investment banking, Factoring - Reuters India
Source: Business - Google News | 7 Sep 2009 | 4:10 am BSE Sensex provisionally rises 2.1 pctMUMBAI (Reuters) – The BSE Sensex provisionally rose 2.14 percent on Monday to its highest close in 15 months, tracking firmer global peers and positive company announcements.Source: Reuters: Money News | 7 Sep 2009 | 4:07 am Asia awaits rash of life insurer IPOsMUMBAI/SEOUL (Reuters) - Investors in Asia, who currently have few options among insurance stocks, may soon be spoiled for choice as several life underwriters prepare initial public offerings that could raise billions of dollars.Source: Reuters: Money News | 7 Sep 2009 | 4:04 am Tea output in July declines by 4 mn kg - Financial Express
Source: Business - Google News | 7 Sep 2009 | 4:03 am Brace for deceleration of India's growth: MukherjeeThere is little hope of reversing the slowdown in India's merchandise exports in the near term, and the country's growth is expected to decelerate in the next two quarters, Finance Minister Pranab Mukherjee said here Monday.Source: IndiaeNews.com: Business News | 7 Sep 2009 | 4:01 am Sensex, Nifty reach 2009 highsKey indices of the Indian equities markets Monday touched highs not seen previously in 2009, as investors continued to buy, particularly into realty, metal, banking and consumer durables stocks, 20 minutes before the closing bell.Source: IndiaeNews.com: Business News | 7 Sep 2009 | 4:01 am Reliance Comm says not in talks with ZainNEW DELHI (Reuters) - Reliance Communications is not in talks to buy a stake in Kuwaiti telecoms firm Zain, a spokesman for the Indian firm said on Monday.Source: Reuters: Money News | 7 Sep 2009 | 3:57 am Tata Consultancy CEO says demand pipeline goodBANGALORE (Reuters) - Tata Consultancy Services Ltd, India's top IT services firm by sales, is seeing more stability stability and the demand pipeline is good, its chief executive said on Monday.Source: Reuters: Money News | 7 Sep 2009 | 3:56 am Suven gets milestone fee from Lilly; shares jumpMUMBAI (Reuters) - Suven Life Sciences Ltd said on Monday it received a milestone payment for meeting a pre-set target in a drug development deal with Eli Lilly, lifting its shares by the daily limit of 5 percent.Source: Reuters: Money News | 7 Sep 2009 | 3:50 am India likely to grow by 7-7.5% in FY10, says KamathWith greenshoots of economic recovery becoming visible, KV Kamath was optimistic that India will record a growth of 7-7.5% in this fiscal.Source: Daily News & Analysis: Money News | 7 Sep 2009 | 3:50 am Cathay Pacific upbeat over global operationsDespite a five per cent capacity reduction worldwide due to global recession, Hong Kong airline major Cathay Pacific is upbeat over business operations worldwide.Source: Daily News & Analysis: Money News | 7 Sep 2009 | 3:49 am Tech Mahindra to provide IT solutions to Etisalat DBSoftware outsourcer Tech Mahindra will provide telecom operator Etisalat DB with IT solutions and infrastructure requirements for its proposed services rollout in 15 telecom circles, it was announced here Monday.Source: IndiaeNews.com: Business News | 7 Sep 2009 | 3:33 am Fighting climate change good for industry: UN bodyFighting climate change does not contradict development goals, instead it offers 'enormous economic opportunities', says the 2009 report of the UN Conference on Trade and Development (Unctad).Source: IndiaeNews.com: Business News | 7 Sep 2009 | 3:32 am Midsession: Sensex touches 16,000 level; sets new 2009 highMumbai: Indian shares extended gains to 2% in late trade on Monday, touching 16,000 mark and setting new high for 2009. Markets tracked firmer global peers and positive company announcements. At 3:09pm the 30-share BSE index up 2.03% at 16,007.25 points, with 28 components gaining. The 50-share NSE index was up 2.2% at 4,784.35. ICICI Bank and leading telecoms firm Bharti Airtel, which is in merger talks South Africa’s MTN, led the gainers. By 12:37pm, the 30-share BSE index was up 1.05% at 15,853.58 points, with 27 stocks gaining, after falling 1.5% last week. The 50-share NSE index was up 1.3% at 4,741.50. Tata Steel, the world’s No. 8 steelmaker by output, rose 1.7% to Rs437.35 as August steel sales at its Indian operations rose 25% from a year earlier to 492,000 tonnes. Indian Oil Corp firmed 7.5% to Rs663, after the state-run refiner said late on Friday its board would consider a bonus issue on 13 September. ICICI rose 2.4% to Rs761.50% and Bharti was up 3.2% at Rs419.40. State explorer Oil India’s initial public offer to raise up to $570 million was fully subscribed within 30 minutes of opening on Monday, three banking sources said, indicating investor appetite remained strong. Analysts said despite a late revival in the rains, worries remained about farm output. “The market will stay divided between optimism and pessimism and we could see rangebound trade until Diwali,” said Sanjeev Patkar, director of research at Dolat Capital, referring to the festival lights in mid-October. “Currently, monsoon is a bit of a worry. Agricultural output is lower but at the same time, food stocks are decent. So, it is a wait and watch situation,” he said. The BSE index has risen around 65% this year, but fell on four days in a row last week before pulling back a little on Friday. Brokerage Prabhudas Lilladher said it was bullish on the long-term outlook and set a 12-month target of 19,000 for the index. “In our view, the Indian equity market is one amongst very few markets around the world to look poised to advance on a long-term bull phase over the next several years,” strategists Carlos Asilis and Darshan Bhatt said in a note on Friday. State-run oil marketing companies gained after oil prices fell 6.5% last week and traded little changed above $68 a barrel. Bharat Petroleum Corp and Hindustan Petroleum Corp rose 6 and 5.6% respectively. In the broader market, gainers led losers by four-to-one on relatively good volume of 277 million shares. In the region, Japan’s Nikkei gained 1.3%, while MSCI’s measure of other Asian markets was up 1.2%. The US Labour Department said on Friday the unemployment rate rose to 9.7%, though the decline in payrolls was the smallest in a year at 216,000. Source: Home - Livemint.com | 7 Sep 2009 | 3:31 am Tata Steel August sales up twenty five per cent - Press Trust of India
Source: Business - Google News | 7 Sep 2009 | 3:27 am Tata Consultancy CEO says demand pipeline goodBangalore: Tata Consultancy Services Ltd, India’s top IT services firm by sales, is seeing more stability stability and the demand pipeline is good, its chief executive said on Monday. “Essentially, the drastic downturn is behind us and we have entered a new phase where we are seeing stability on the ground and it is not in a downward spiral for sure,” S. Ramadorai, who retires from his office next month and will become vice chairman, told reporters. After posting a scorching pace of growth for years, India’s export-driven outsourcing sector has been battling a slowdown as top global customers were hit by the financial crisis and economic downturn. Ramadorai said the order pipeline was good but there could still be some occasional shocks. Hopes for a pickup in outsourcing demand have increased after leading companies such as TCS and Infosys Technologies beat street estimates in their April-June earnings and on signs of stability in the global economy.. TCS, which provides services such as consulting, system integration and manages call centres, was one of a number of outsourcing firms that won five-year IT contracts from oil and gas major BP last month. “There may be couple of similar deals, which we will be working on,” Ramadorai said, adding the deals would include providing technology infrastructure or call centre services. He had earlier said the BP deal would likely add to revenue from the next quarter and contribute $30 million to $100 million on an annualised basis over the next three to five years. Shares in Tata Consultancy, whose clients include Citigroup, General Electric, Lloyds TSB, and Singapore Airlines, were up 2.9% at Rs547 by 0906 GMT, outperforming the broader Mumbai market that was up 1.7%. Banking, financial services, retail and utility were showing promises in terms of new outsourcing deals, Ramadorai said, but sectors such as manufacturing and telecoms would continue to show sluggishness in the near future. Tata Consultancy gets more than 40% of its revenue from banking and financial services clients and Ramadorai said the company could win some deals from the integration of global banks in the aftermath of the financial turmoil. Pricing environment was stable on improvement in the macro environment, he said. Indian software firms are expanding in markets such as Asia-Pacific and Latin America to cut their dependence on the US market, though they face competition from big global players such as IBM Inc, Hewlett-Packard and Accenture that are also looking for growth in these markets. “Whether it is Latin America or the Asia-Pacific region, we are certainly seeing some opportunities,” Ramadorai said. Source: Home - Livemint.com | 7 Sep 2009 | 3:26 am Oil Rises as Weaker Dollar Encourages Buying, Equities Climb - Bloomberg
Source: Business - Google News | 7 Sep 2009 | 3:23 am Ponting quits Twenty20 internationalsMelbourne: Australia captain Ricky Ponting quit Twenty20 Internationals on Monday, hoping the decision would prolong his career in other formats of the game. Ponting said he would no more feature in Twenty20 Internationals but would complete his contracts with the Kolkata Knight Riders in the Indian Premier League. “After much thought and careful consideration I have advised Cricket Australia of my decision to retire from international Twenty20 cricket,” Ponting said. “I have also spoken to (chief selector) Andrew Hilditch, (coach) Tim Nielsen and (vice captain) Michael Clarke and I feel this decision provides me the opportunity to prolong my Australian Test and one-day career, an opportunity I am extremely determined about,” he said. “As I said after the fifth Test in London, I am hoping to continue playing Test cricket for as long as possible and retiring from the Twenty20 format gives me the best chance of doing this. “I will now have set periods of rest throughout the Australian summer and while touring which I feel will be very beneficial,” said Ponting, who returned home after losing the Ashes to England. Earlier this year, Pakistan captain Younus Khan had also quit Twenty20 Internationals after guiding his team to the World Cup glory. “While I will no longer be available for Australian Twenty20 cricket, I look forward to playing with Tasmania’s KFC Big Bash team where possible and to fulfilling my contract with the Kolkata Knight Riders in the Indian Premier League,“ Ponting said. Ponting has played 17 Twenty20 Internationals, scoring 401 runs at an average of 28.64 and with a healthy strike rate of 132.78. The 34-year-old Australian, regarded one of the best batsmen of his era, has amassed more than 11,000 runs both in Test and ODIs. Cricket Australia Chief Executive Officer James Sutherland said Ponting’s absence would leave a void in the Twenty20 squad but the board supported the player. “We are very supportive of the decision Ricky has made and understanding of the reasons behind it. Needless to say he will be a huge loss to the Twenty20 side but it does present opportunities for the other players and leaders within Australian cricket to gain further experience,” Sutherland said. “While we have not seen much of Ricky in Australia’s Twenty20 matches in recent times, his innings in the first ever Twenty20 International against New Zealand at Auckland was probably the best innings I have ever seen in the Twenty20 form of the game,” the CA official said. A formal decision regarding Ponting’s replacement as captain of the Twenty20 side will be made later in the year, the board said. Source: LatestNews-Home - Livemint.com | 7 Sep 2009 | 3:19 am Now, art auction comes to your cellphone!New Delhi: On the back of expectations of a recovery in the market and over 45 to 50% higher sales for Indian art this summer, market players are introducing technologies to attract buyers as also to make the process user friendly. Leading auction house Saffronart which pioneered online auctions in the country has now introducing bidding through cellphones for its forthcoming auction of modern and contemporary Indian art to be held on 9-10 September, which comprises a wide range of works by Akbar Padamsee, Surendran Nair, Manjit Bawa, Ram Kumar and F.N. Souza among others. Also Read Carvaggio from a Couch The new mobile bidding application, the first of its kind in the world for fine-art auctions, allows users to preview sales, bid, and view the results of the auction through their GPRS enabled handsets, something that even globally renowned competitive art and jewellery auctioneers do not have access to. “By providing clients with this cutting-edge, comprehensive application, we hope to accelerate the pace of innovation in the global auction space,” says Dinesh Vazirani, CEO and co-founder, Saffronart. Globally, the overall value of sales across the major three auction houses, that do Indian art sales, Saffronart, Christie’s and Sotheby’s, were higher in summer than in spring. “There seems to be a strong sense that the market is stabilising, and doing so at lower price levels. This can clearly been seen by the overall value of sales across the these auction houses, where total sales values this summer were 45 to 50% higher than those in the spring,“ says Vazirani. Market research firm ArtTactic puts current average auction price for contemporary Indian art at $24, 536 up from $13, 827 in March 2009. This it says comes after a 76% dramatic drop in prices between September 2008 and March 2009. The total lower and higher estimate for the forthcoming SaffronArt auction are Rs16.43 crores ($3.42 million) and Rs21.70 crores ($4.52 million) respectively. “The wide range of art on offer is attractively estimated, and we hope for a strong response both from established collectors as well as first time buyers,” says Vazirani. Vazirani is optimistic of a good sales and says registration to bidding on the mobile is simple and highly secured due to data encryption technology employed in the process. “Users need to pre-register for the auction to be able to bid for the auction,” he says. Source: Tech News - Livemint.com | 7 Sep 2009 | 3:10 am Google Books moves to reassure EU publishersBrussels: Internet search leader Google Inc. said Monday it is making concessions to European publishers to try and soothe worries over its Google Books project, which aims to put many hard-to-find books online. Google’s digital library has raised hackles among Internet rivals such as Microsoft, Yahoo and Amazon and triggered fears among some European copyright holders that their exclusive rights could be eroded. Google spokesman Bill Echikson said the company would try to take these concerns on board and would appoint two European representatives to a registry that oversees the project — one representative for authors and one for publishers. He also said that Google would do more to check that English-language editions of books originally published in a European language weren’t wrongly listed as out-of-print in the United States. Publishers feared that adding such books to the Google library would lose them sales and hurt their right to sell books in their catalog. The European Commission is Monday holding a hearing to examine the effect of Google’s 10-month settlement with US authors and publishers on copyright holders in the European Union. Unlike the US, Google is only scanning European books over 150 years of age to avoid infringing copyrighted material. Source: World Business - Livemint.com | 7 Sep 2009 | 3:02 am ArcelorMittal not to up offer price for Uttam Galva - execMUMBAI (Reuters) - ArcelorMittal has no plans to increase its open offer price of 120 rupees a share for a 29.39 percent stake in Uttam Galva Steels, its senior official said on Monday.Source: Reuters: Money News | 7 Sep 2009 | 3:00 am NTPC moves SC against RIL to amend its petitionNTPC has moved the Supreme Court against the High Court order allowing RIL to amend its petition. Bombay High Court\'s division bench allowed RIL to amend its plea in the KG basin gas case. RIL has amended the petition to include the EGoM\'s policy on pricing and allocation.Source: Moneycontrol Top Headlines | 7 Sep 2009 | 2:55 am Rupee up as stocks gain, oil eyedMumbai: The Indian rupee rose on Monday as a firm stock market heightened hopes of more capital inflows but dollar buying by refiners checked sharp gains. At 2:28pm, the partially convertible rupee was at Rs48.74/75 per dollar, off an early high of Rs48.7250, and about 0.3% stronger than Friday’s close of 48.90/91. Last week, it fell to Rs49.21, its lowest since 13 July. India’s main BSE share index rose over 1% tracking other Asian indices, which climbed following Friday’s rise on Wall Street and investors focusing on US data showing fewer job cuts in August. Some dollar buying by state-run banks, possibly on behalf of oil refiners, were seen around Rs48.70 per dollar levels, dealers said. Foreign capital is a key of the rupee. Foreign funds have bought a net $8.1 billion of local shares so far in 2009, after selling more than $13 billion last year. One-month offshore non-deliverable forward contracts were quoting at Rs48.77/48.87, weaker than the onshore spot rate. Source: Home - Livemint.com | 7 Sep 2009 | 2:51 am Indian Bank, IOB farm sector lending not hit by droughtAgricultural sector lending by Indian Overseas Bank and Indian Bank has not been impacted by the drought and the banks do not see a buildup of bad debts.Source: Moneycontrol Top Headlines | 7 Sep 2009 | 2:44 am Aban Offshore may get contracts for more offshore rigsAban Offshore may secure contracts for two more offshore rigs from a French company for deployment in South America, according to industry sources.Source: Moneycontrol Top Headlines | 7 Sep 2009 | 2:42 am Ackruti City raises Rs 300cr via QIP: SourcesEarlier, CNBCTV18 informed that realty developer Ackruti City is raising funds via a qualified institutional placement (QIP). The QIP closed on Friday and sources say that the company managed to garner about Rs 300 crore at Rs 501 per share. The proceeds will be used to repay debt and fund expansion plans.Source: Moneycontrol Top Headlines | 7 Sep 2009 | 2:38 am Sensex extends gains on firming Asian cuesTracking a firming Asian trend, the Bombay Stock Exchange benchmark index Sensex extended gains by adding over 149 points in early trade on Monday on funds-based buying in frontline stocks.Source: Hindustan Times News Feeds 'Business' | 7 Sep 2009 | 2:37 am India to set industry efficiency targets by Dec 2010NEW DELHI (Reuters) - India hopes to set up by December next year energy efficiency targets for more than 700 industrial units, which account for 40 percent of India's fossil fuel use, the country's head of energy efficiency said on Monday.Source: Reuters: Money News | 7 Sep 2009 | 2:32 am OIL IPO subscribed 91 pc in an hour - Press Trust of India
Source: Business - Google News | 7 Sep 2009 | 2:21 am Kraft’s $16.7 billion bid for Cadbury rejectedLondon: Kraft Foods Inc. on Monday proposed a £10.2 billion ($16.7 billion) takeover of Cadbury PLC, but said the offer was immediately rejected by the British maker of chocolate, gum and candy. Kraft was undeterred, however, and said it would continue to seek a transaction which Cadbury’s board could support. Cadbury shares shot up 34% to 760 pence on the London Stock Exchange. Kraft, whose brands include Velveeta cheese product and Oreo cookies, said it had proposed paying 300 pence in cash and 0.2589 new Kraft Foods shares per Cadbury share, valuing Cadbury shares at 745 pence. That represents a 31% premium over Cadbury’s closing share price of 568 pence on Friday. Cadbury, which makes Cadbury chocolates, Trident and Dentyne gum and Halls and Bassett’s candies, did not immediately comment. Kraft, based in Northfield, Illinois, said the combination would create “a global powerhouse in snacks, confectionery and quick meals,” with leading positions in developing markets including India, Mexico, Brazil, China and Russia. “This proposed combination is about growth. We are eager to build upon Cadbury’s iconic brands and strong British heritage through increased investment and innovation,” said Irene B. Rosenfeld, chairman and CEO of Kraft Foods. Cadbury, nearly tripled its net profit in the first half of the year as the company pocketed a big gain from the sale of its beverage business and chocolate consumption rose. Net profit in the first half was £313 million, compared to £113 million during the same period a year earlier. Revenue was up 13% to £2.8 billion, or up 4% on a constant currency basis. The company, formerly Cadbury Schweppes, demerged its Americas Beverages business last year and disposed of its Australia Beverages business to Asahi Breweries of Japan in April. Kraft ’s second-quarter profit rose 11% to $827 million, though revenue fell 5.9% to $10.16 billion as the dollar’s strength weighed on international sales. Source: Home - Livemint.com | 7 Sep 2009 | 1:34 am Sensex extends gains in afternoon, up 1.37 percentA key index of the Indian equities markets in Monday's afternoon trade built on morning gains to rule 1.37 percent higher than its previous closing figure.Source: IndiaeNews.com: Business News | 7 Sep 2009 | 1:31 am Himachal Pradesh floats global tender for anti-hail gunsThe Himachal Pradesh government has floated global tenders to buy anti-hail guns to protect fruit crops from hailstorms, according to state Horticulture Minister Narender Bragta.Source: IndiaeNews.com: Business News | 7 Sep 2009 | 1:30 am PNGRB levies turnover tax on CNG, natural gas retailingNew Delhi: In an unprecedented move, oil regulator Petroleum and Natural Gas Regulatory Board (PNGRB) has levied a ‘turnover´ tax on the revenues companies will earn from retailing CNG and natural gas in cities, a move that the industry sees as exceeding its jurisdiction. The PNGRB, which as per its enacting legislation has powers to levy fee, has levied a minimum tax of Rs2 crore per annum on turnover that companies like GAIL and Reliance Industries earn from selling CNG to automobiles and piped natural gas to households and industries. As per the Gazette notification, PNGRB has asked entities to pay Rs2 crore for turnover of up to Rs20,000 crore under the head ‘other charges’. For turnover of up to Rs50,000 crore it has levied Rs2 crore plus 0.008% of revenues in excess of Rs20,000 crore. For turnover up to Rs100,000 crore it will charge Rs4.4 crore plus 0.005% of revenues more than Rs50,000 crore. Besides, 0.2% of capital expenditure during construction period will be payable by entities, it said. Petrofed, a body of oil and gas companies, has opposed the move saying “other charges are similar to levy of turnover tax or sharing of revenue which are not provided for under the PNGRB Act.” A new tax can only be levied by the Finance Ministry and also PNGRB does not have powers to withdraw even a single penny collected in such charges, Petrofed said. In a presentation to PNGRB, it said the Board can levy ‘other charges´ only “against specific service rendered or goods supplied.” Besides the new tax, PNGRB has notified fee payable by companies for registration, authorisation and filing complaints. Petrofed said “levy of other charges is not envisaged in the PNGRB Act.” The Act envisages “Government funding of PNGRB through the Union Budget and as such provides funds for the Board, therefore levy of other charges is not justified,” it said. Drawing parallel with the Central Electricity Regulatory Commission, Petrofed said “the Electricity Act provides for reasonable fee structure for various activities (and) no charge as ‘other charges´ have been levied by the CERC.” “There being similarity in functions related to energy sector, PNGRB is requested to withdraw provisions related to ‘other charges´,” it added. ‘Charges’ means “demand (an amount) as a price for a service rendered or goods supplied. Thus ‘other charges´ provision do not conform to the meaning of ‘charge´ when related to money as no services are being rendered,” Petrofed said. Source: LatestNews-Home - Livemint.com | 7 Sep 2009 | 1:22 am Aurobindo Pharma receives Swissmedic approval - Business Standard
Source: Business - Google News | 7 Sep 2009 | 1:11 am Etisalat India, Tech Mahindra in $400 mln IT dealNEW DELHI (Reuters) - Etisalat's India mobile telecoms unit will outsource its information technology applications to India's Tech Mahindra in a deal valued at $400 million spread over 10 years, the telecoms firm said on Monday.Source: Reuters: Money News | 7 Sep 2009 | 1:02 am Japan’s next PM vows 25% greenhouse gas cut by 2020Tokyo: Japan’s next Prime Minister, Yukio Hatoyama, said Monday his incoming centre-left government would pursue a greenhouse gas reduction target of 25% from 1990 levels by 2020. “As a mid-term goal, we aim at a 25% reduction by 2020 from 1990, based on the levels demanded by science to stop global warming,” said Hatoyama, who is due to take over as Prime Minister on 16 September. Outgoing Prime Minister Taro Aso in June announced a far lower greenhouse gas reduction target, equivalent to eight percent from 1990 levels by 2020, earning criticism from environmental groups. Japan would present its target at international talks in Copenhagen in December aimed at agreeing a follow-up treaty to the Kyoto Protocol which expires in 2012. Japan is the world’s number two economy and the fifth largest emitter of greenhouse gases which are blamed for raising global temperatures, melting the earth’s ice caps and glaciers, and changing weather patterns. Source: LatestNews-Home - Livemint.com | 7 Sep 2009 | 12:58 am Australia, India to hold annual talks after student attacksMelbourne: Australia, on Monday announced annual education talks with India after a wave of attacks and scams targeting students from the country put a multi-billion dollar industry under threat. Deputy Prime Minister Julia Gillard, speaking after a trip to India, also said Australia would explore options for local universities setting up campuses in the giant South Asian country. “This is a big opportunity for Australia in circumstances where India has a huge thirst to grow its education system,” she told public broadcaster ABC. Gillard said the talks would help mitigate the damage to Australia’s lucrative education industry after a series of muggings and beatings drew protests in Melbourne and Sydney and sparked outrage in India. During her trip, Gillard said Australia had “zero tolerance” toward attacks on Indian students and stressed that the nation was “a culturally diverse, welcoming, safe country”. She said Indian authorities, including Prime Minister Manmohan Singh, had accepted her reassurances and agreed to hold annual bilateral talks on education issues. Australia plays host to about 95,000 Indian students a year who are part of a $12.7 billion industry, the country’s third largest export. “I actually was able to strike a positive agreement with the Indian government that we will have a annual ministerial dialogue on education,” she said, adding that business and university representatives would take part. Gillard’s visit was part of an apparent diplomatic charm offensive to restore Australia’s image in India, with Treasurer Wayne Swan due to make a short visit this week and Prime Minister Kevin Rudd expected later in the year. Police patrols have been increased as part of a series of measures aimed at stopping the attacks, which strained ties between New Delhi and Canberra as India demanded protection for its students. Authorities have also vowed to weed out dodgy operators and migration agents after revelations foreign students were falling victim to sub-standard courses and visa scams. Source: LatestNews-Home - Livemint.com | 7 Sep 2009 | 12:55 am China’s top 500 firms outperform US rivals in 2008: SurveyBeijing: China’s top 500 companies outperformed their US counterparts for the first time last year, a survey conducted by a business group has revealed, as the financial crisis wreaked havoc in the United States. Net profits at the nation’s highest-performing firms totalled $171 billion in 2008, compared to $99 billion for the US firms, according to the survey by the China Enterprise Confederation (CEC). The business group has compiled a list of China’s top 500 companies, similar to the Fortune 500, since 2002. The Chinese firms saw their profits fall by 13.2% in 2008 compared to the previous year, according to the survey posted on the CEC’s website — still a better performance than the Fortune 500’s 85% drop in profits. The company that topped the list was state-owned giant Sinopec, the largest oil refiner in Asia, with revenue of 1.5 trillion yuan ($215 billion) in 2008, according to the survey, which was posted at the weekend. The Industrial and Commercial Bank of China, the country’s biggest lender, ranked fourth on the list with a turnover of 490 billion yuan. CEC vice-president Wang Jiming said the performance of China’s top 500 in 2008 showed the financial crisis had less of an impact on the Asian nation’s firms than on their US and global counterparts. But he added it did not signal any substantial improvement in overall competitiveness. “Chinese enterprises enjoy a good policy and domestic market environment,” he was quoted as saying on the website. “But compared to big global companies, they... still lag behind in resource allocation, innovation, international presence, business models and corporate culture.” Source: LatestNews-Home - Livemint.com | 7 Sep 2009 | 12:43 am Kraft seeks Cadbury deal, $16.7 bln bid rejectedLONDON (Reuters) - North America's biggest food group Kraft Foods Inc said on Monday it had made a $16.7 billion bid for Britain's Cadbury but that the world's second-largest confectionery group had rejected the approach.Source: Reuters: Money News | 7 Sep 2009 | 12:35 am Nomura cuts India’s FY10 growth forecast to 6%Mumbai: India’s economic growth could slow to 6% from 6.3% in 2009-10 dragged by contraction in agricultural growth, Nomura said in a recent note. The government expects Asia’s third largest economy to expand by 6.3% in the current fiscal year and the central bank sees it growing by 6% with an upward bias. Nomura cut its 2009-10 agriculture gross domestic product (GDP) growth forecast to 2.2% from 3.5% due to deficient monsoon rains. “Uncertainty still prevails about the extent of the crop damage and the monsoon season is not over until end-September, so we are reluctant to implement a larger downgrade at this stage, but are mindful that the risks are still on the downside,” economist Sonal Varma wrote. The note also said the impact of the deficient monsoon on agriculture GDP will be visible from the third quarter of 2009 when summer harvesting begins. However, Nomura said it sees a recovery in manufacturing and consumption sectors. It raised its industrial GDP growth forecast to 7.3% from 4.9% and services to 7.9% from 7.8% earlier. Hence it has upgraded its 2010-11 growth forecast to 8% from 7.5% seen earlier. Last week Morgan Stanley also cut its 2009-10 growth forecast to 5.8% from 6.4% earlier in anticipation of a drop in agricultural output. Source: Home - Livemint.com | 7 Sep 2009 | 12:35 am Rural BPOs: Karnataka's latest in IT revolutionFor 23-year-old graduate Jayalakshmi, getting a job as an executive at a business process outsourcing (BPO) firm was a dream. But getting it at her village here, near the historic Srirangapatna town in Mandya district, was the icing on the cake.Source: IndiaeNews.com: Business News | 7 Sep 2009 | 12:30 am Bry-Air mulls acquisition in JapanDehumidifier manufacturer Bry-Air (Asia) is looking to expand its Asian footprint by acquiring companies in Japan.Source: IndiaeNews.com: Business News | 7 Sep 2009 | 12:30 am Pankaj Advani sets up title clash in World BilliardsLeeds: Ace Pankaj Advani notched up a thrilling win over compatriot Dhruv Sitwala in the semifinal to set up a title clash with nine-time winner and defending champion Mark Russel in the World Professional Billiards Championship here. The 2008 IBSF World Billiards Championship, Advani edged past Sitwala 1037-972 in an extremely close match. Advani took a slender lead forward to the second two hour session after a nip and tuck throughout. With approximately 13 minutes left, the 24-year-old National Champion at both Billiards and Snooker, compiled a 142 break to pip a much improved Sitwala. In the other semifinal, compatriot Rupesh Shah squandered a first session lead and succumbed to his elementary mistakes to go down 880-1366 against nine time-winner Russel. The first session was in the favour of Shah as he build up a lead of nearly 200 against Russel but in the second session the defending champion started to flow and after his 166 and 267 breaks never looked in trouble. Shah could only manage a poor 272 total points in this session, missing really elementary shots. Source: LatestNews-Home - Livemint.com | 7 Sep 2009 | 12:19 am US leads world in foreign weapons sales: reportWashington: The United States accounted for more than two-thirds of foreign weapons sales in 2008, a year in which global sales were at a three-year low, The New York Times reported on Sunday. Citing a congressional study released on Friday, the Times said the United States was involved in 68.4% t of the global sales of arms. US weapons sales jumped nearly 50% in 2008 despite the global economic recession to $37.8 billion from $25.4 billion the year before. The jump defied worldwide trends as global arms sales fell 7.6% to $55.2 billion in 2008, the report said. Global weapons agreements were at their lowest level since 2005. Italy, the second ranked country, amassed only $3.7 billion in arms sales, while Russia ranked third with sales falling to $3.5 billion in 2008, down from $10.8 billion in 2007. The report attributed the increase in US sales to “major new orders from clients in the Near East and in Asia” as well as to continued contracts for equipment and support services with globally based US clients, the Times said. The USalso led in arms sales to the developing world, signing 70.1% of these weapons agreements at a value of $29.6 billion in 2008, the report said. Such deals with the developing world included a $6.5 billion air defense system for the United Arab Emirates, a $2.1 billion jet fighter for Morocco and a $2 billion attack helicopter for Taiwan. India, Iraq, Saudi Arabia, Egypt, South Korea and Brazil also reached weapons deals with the United States, the Times said. The report revealed the United Arab Emirates was the top buyer of arms in the developing world with $9.7 billion in arms purchases in 2008. Saudi Arabia ranked second with $8.7 billion in weapons agreements, and Morocco was third with $5.4 billion in deals. Source: LatestNews-Home - Livemint.com | 7 Sep 2009 | 12:15 am Tata Steel sales jump 25% in AugustMumbai: Tata Steel Ltd, the world’s No. 8 steelmaker by output, said on Monday August steel sales at its Indian operations rose 25% from a year earlier to 492,000 tonnes. The local operations contribute about a quarter of the group’s total annual global capacity of 30 million tonnes, which includes Corus, Europe’s second-largest steelmaker. The strong performance came on the back of an 81% jump in sales of long products, used in construction, from a year earlier. Saleable steel production in August rose by 14% from a year earlier to 526,000 tonnes, the company said in a statement. Source: Home - Livemint.com | 7 Sep 2009 | 12:11 am Damco: Banking on India to power growth in global operationsTill recently, the logistics activities of AP Moller-Maersk Group were managed under two brands — Maersk Logistics (for supply chain management services) and Damco (for freight forwarding services). Effective September 7, the twoSource: Business Line - Home Page | 7 Sep 2009 | 12:00 am Day Trading GuideThe analysis and opinion expressed in these columns are based on the technical analysis of the past price behaviour. The stop-loss level provided with the recommendation is important. The original view would stand negated if the stop-loss levelSource: Business Line - Home Page | 7 Sep 2009 | 12:00 am Essel Propack (Rs 33.1): BuyWe recommend a buy in Essel Propack from a short-term perspective. It is apparent from the charts that the stock has been on an intermediate-term up trend since its multi-year low of Rs 9.5 recorded in early March. In early July, the stock tookSource: Business Line - Home Page | 7 Sep 2009 | 12:00 am Investors plump for PSU stocksChennai, Sept. 6 Traditionally known for staid returns, low valuations and high dividend yield, stocks of public sector undertakings (PSUs) have seen a sudden surge in investor interest after the market meltdown.Source: Business Line - Home Page | 7 Sep 2009 | 12:00 am NHB Residex to cover 63 cities by next yearNational Housing Bank (NHB) aims to cover all cities with population of over 1 million under its NHB Residex, which is the country’s first official residential property price index.Source: Business Line - Home Page | 7 Sep 2009 | 12:00 am New pricing models find greater acceptance among clients: InfyInfosys Technologies said its new engagement models, wherein customers are charged on either pay-by-use basis, outcome generated or on the number of transactions, are finding greater acceptance with clients.Source: Business Line - Home Page | 7 Sep 2009 | 12:00 am Comex gold may rally higherComex gold futures rose sharply higher on Friday despite a stronger dollar boosting the appeal of metal as an alternative investment. This time around signs of economic weakness is boosting the metal, as a safe haven and also as a hedge againstSource: Business Line - Home Page | 7 Sep 2009 | 12:00 am Gold spurts on speculative interest, but downside risk persistsAugust usually marks limited activities and price movements in the commodity market because of seasonal factors including summer holidays in the northern hemisphere. But this year, we find an unusual spurt in commodity prices in the metalsSource: Business Line - Home Page | 7 Sep 2009 | 12:00 am Chidambaram to discuss security issues in USThe Union Home Minister, Mr P. Chidambaram, will be on a four-day visit of the US from Tuesday.Source: Business Line - Home Page | 7 Sep 2009 | 12:00 am Benchmarks likely to see range-bound movementThe BSE Sensex, the country’s equity market benchmark index, may tend to sink or swim this week on movement of sentiment on daily cues from the news, but is unlikely to break free of the range set between 14,500 and 16,500 points.Source: Business Line - Home Page | 7 Sep 2009 | 12:00 am Chit fund companies on the riseFrom modest beginnings here in the 1800's to provide loans to traders and merchants to tide over financial problems, chits funds have grown by leaps and bounds in Kerala.Source: Daily News & Analysis: Money News | 6 Sep 2009 | 11:55 pm Oil India IPO subscribed within 30 mins - bankersMUMBAI (Reuters) - State explorer Oil India's initial public offer to raise up to $570 million was fully subscribed within 30 minutes of opening on Monday, three banking sources said, indicating investor appetite remained strong.Source: Reuters: Money News | 6 Sep 2009 | 11:43 pm Indian equities open higher on strong Asian cuesA key Indian equities index opened higher on strong Asian cues Monday, with active trading in stocks of realty, metals and public sector companies.Source: IndiaeNews.com: Business News | 6 Sep 2009 | 11:31 pm Cathay Pacific upbeat over global operationsChennai: Despite a 5% capacity reduction worldwide due to global recession, Hong Kong airline major Cathay Pacific is upbeat over business operations worldwide and plans acquisition of new aircraft, as it believes recovery will be a sure but slow process. The airline has already ordered 46 Boeing and Airbus passenger and freighter aircraft, as part of its plans to cut fuel costs. “A minimum of 20% on fuel consumption cost can be saved with newer aircrafts”, Cathay Pacific Airways Ltd (India, Middle East, Africa and Pakistan), general manager Tom Wright said. Of these aircraft, 27 would be passenger jets, he said. On the impact of global slowdown, he said Cathay Pacific had seen a 30% drop in business class travellers early this year. “Things were very bad (early this year). There are some signs that things are improving more on the corporate side”, he said. He stressed that the market recovery would not be rapid but slow and steady. Tom opined that though the swine flu might have a major impact on operations, with lesser number of people travelling, the Middle East market could see strong growth. The airline, however would not offer new connectivity, but might increase the frequencies of flights currently being offered worldwide, Cathay Pacific Airways (India, Nepal, Bangladesh and Bhutan) Marketing and Sales Manager, Rakesh Raicar said. ““It is too early to say. For example, we may increase our connectivity between Los Angeles and Hong Kong” he said. He said a valuable lesson learnt from the global recession was the need to conserve funds. Referring to the airline’s overall sales performance, he said India ranked 10th worldwide, while Bangladesh and Nepal were 25th and 26th respectively. Cathay Pacific offers passenger and cargo services to 114 destinations in Asia, North America, Australia, Europe, Middle East and Africa. It has around 16,700 employees worldwide. Source: LatestNews-Home - Livemint.com | 6 Sep 2009 | 11:27 pm Sensex extends gains on firming Asian cuesTracking a firming Asian trend, the Bombay Stock Exchange benchmark index Sensex extended gains by adding over 149 points in early trade today.Source: Daily News & Analysis: Money News | 6 Sep 2009 | 11:27 pm Oil India IPO subscribed within 30 mins: bankersMumbai: State explorer Oil India’s initial public offer to raise up to $570 million was fully subscribed within 30 minutes of opening on Monday, three banking sources said, indicating investor appetite remained strong. Most of the bids were at the top end of the Rs950-1,050 price band, one banker said. The sale follows muted stock market debut by state hydropower generator NHPC Ltd and private sector utility Adani Power that had together raised $1.9 billion in IPOs, which were subscribed more than 20 times. JM Financial, Morgan Stanley India, Citigroup Global Markets India and HSBC Securities and Capital Markets are the lead managers to the Oil India issue. Source: Home - Livemint.com | 6 Sep 2009 | 11:22 pm Asian markets track higher US markets after jobs dataHong Kong: Asian stock markets rose on Monday, following Wall Street higher after the pace of job losses eased in the world’s largest economy. Benchmarks in Japan, Hong Kong and China added more than 1%, while oil prices were little changed above $68 a barrel. The dollar gained against the yen. Friday’s US government report showed companies cut 216,000 jobs last month, which was less dismal than expected and encouraged investor hopes of a turnaround in the labour market. The figure seemed to eclipse the ugly news that US unemployment, despite fewer job losses, hit 9.7%, its highest since 1983. Also buoying sentiment were policy changes in China that would allow foreign investors to sink more money into the mainland’s stock markets, as well as a pledge by the Group of 20 finance ministers to maintain stimulus measures to prop up the global economy. “We’re turning a little more positive, partly because we had a correction for a month,” said Linus Yip, a strategist at First Shanghai Securities in Hong Kong. “The US report also helps support a belief that that we’re bottoming out and entering a recovery mode, at least for now.” Japan’s Nikkei 225 stock average added 108.68, or 1.1%, to 10,295.79. In Hong Kong, the Hang Seng was up 1.4% at 20,606.70. Shanghai’s main benchmark gained 1.6% to 2,907.50. Australia’s index edged up 0.3%, Taiwan’s market was 0.8% higher and Indonesia’s benchmark rose 0.4%. Markets in Korea and Singapore were little changed. Friday in the US, investors eventually shrugged off news about worsening unemployment and focused on the slower pace of job cuts. In quite pre-holiday trade, the Dow rose 96.66, or 1%, to 9,441.27. The Standard & Poor’s 500 index rose 13.16, or 1.3%, to 1,016.40, while the Nasdaq composite index added 35.58, or 1.8%, to 2,018.78. Wall Street is closed on Monday for a public holiday and will reopen on Tuesday. Oil prices were up slightly in Asian trade, with benchmark crude for October delivery up 18 cents at $68.20, as investors looked to this week’s Opec meeting for a possible change in the cartel’s production. The contract Friday rose 6 cents to settle at $68.02. The dollar strengthened to ¥93.15 from ¥92.95. The euro rose to $1.4334 from $1.4309. Source: Home - Livemint.com | 6 Sep 2009 | 10:18 pm Injury fears follow Nadal into last 16 at US OpenNew York: Rafael Nadal’s bid to complete a career Grand Slam hit a potential snag on Sunday when a right abdominal muscle injury brought new health concerns even as the Spaniard reached the last 16 at the US Open. Third seed Nadal received treatment from a trainer in the third set of a 7-5, 6-4, 6-4 victory over 32nd-ranked countryman Nicolas Almagro and his reluctance to speak about it after the match added more fitness worries. “I don’t want to talk about injuries,” Nadal said. “I try my best every day. I won the match in three sets.” Pressed on whether or not the treatment helped him in the third set, the six-time Grand Slam winner replied, “I won 6-4. You can see I didn’t serve very fast but I think I played better from the baseline than before.” British second seed Andy Murray, last year’s US Open runner-up, defeated US 195th-ranked US wildcard Taylor Dent 6-3, 6-2, 6-2 in the feature night match at Arthur Ashe Stadium. “I love playing night matches,” Murray said. “The atmosphere was great. Obviously the crowd wanted Taylor to win but I played very well.” The 22-year-old Scotsman, trying to become the first British man to win a Slam title since Fred Perry in 1936, will play for a quarter-final spot against Croatian 16th seed Marin Cilic, who beat Uzbek Denis Istomin 6-1, 6-4, 6-3. “He’s got a big serve and moves well for his height,” Murray said of Cilic. “I’ll need to return well and I’ll have to be very solid from the back.” Nadal, whose best US Open run came into last year’s semi-finals, will play for a quarter-final berth against French 13th seed Gael Monfils, who was ahead 6-3, 6-4, 1-0 when Argentina’s Jose Acasuso retired with left knee pain. “I have to come out ready for the next match,” Nadal said. “For today it was enough but for sure I can do better.” Nadal called the trainer after breaking to pull within 2-1 in the third set. After laying on his back on the concrete for treatment of what could be a flare-up of a muscle strain suffered last month at Cincinnati, Nadal held serve, broke for a 3-2 edge and served out to win despite discomfort. “I feel it a little bit now but I will try to recover in time for my next match,” Nadal said moments after the final point. Nadal, the reigning Australian Open champion, is coming off a two-month layoff due to knee tendinitis, a break that kept him from defending his 2008 Wimbledon crown. “I just plan to keep on improving my tennis and keep playing this tournament because it’s special to me,” Nadal said. “It’s special motivation when you try to come back and play your best as fast as possible.” Murray, who matched Novak Djokovic with a tour-best 56th season triumph, fired 39 winners and seven aces against only 13 unforced errors and overpowered Dent, back at the elite level after missing two years for major back surgery. “I returned really well. That was probably the key to the match,” Murray said. “I managed to finish the match off well at the end.” With Murray’s victory, a US Open record 14 of the top 16 seeds reached the fourth round, breaking the old mark from 1992. All 16 men’s top seeds had reached the third round, a Grand Slam first. The only absentees in the round of 16 were US fifth seed Andy Roddick, who lost Saturday, and French ninth seed Gilles Simon, forced to retire with a sore right knee with Spaniard Juan Carlos Ferrero leading 1-6, 6-4, 7-6 (7/5), 1-0. Ferrero, the 2003 French Open champion and 2003 US Open runner-up, won his first title in six years at Casablanca in April and will face Argentine sixth seed Juan Martin del Potro for a last-eight berth. Del Potro lost six games in a row at one stage but fired 20 aces in beating Austrian Daniel Koellerer 6-1, 3-6, 6-3, 6-3. No Frenchman has won a Grand Slam singles crown since Yannick Noah at the 1983 French Open, but seventh seed Jo-Wilfried Tsonga, last year’s Australian Open runner-up, and Monfils are still in the hunt to end the drought. Tsonga ousted compatriot Julien Benneteau 7-6 (7/4), 6-2, 6-4 to book a date with French Open semi-finalist and 2007 Australian Open runner-up Fernando Gonzalez, the Chilean 11th seed who beat Czech Tomas Berdych 7-5, 6-4, 6-4. “(Tsonga) serves really big and he has strong shots,” Gonzalez said. “We have to see who can make more winners.” Source: LatestNews-Home - Livemint.com | 6 Sep 2009 | 10:09 pm ‘Super typhoons’ may hit Japan if global warming continuesTokyo: A ‘super typhoon’, stronger than the deadly Hurricane Katrina that devastated the southern US in 2005 may hit Japan in the later half of the century if global warming continues, a study said. Typhoons packing winds of at least 241.2 kilometres per hour are often called super typhoons but the anticipated one may blow as strong as 288 kph on the ground, the study said. Researchers from Nagoya University and state-run Meteorological Research Institute on Monday said many super typhoons may develop between 2074 and 2087 due to a projected 2 degree celsius rise in sea temperatures in western Pacific ocean south of Japan. “Given that global warming is under way, it is little wonder that typhoons develop in an extreme way,” Nagoya University associate professor Kazuhisa Tsuboki said. “The point is how we will forecast them and take disaster control measures,” he said. The study is based on findings of the Intergovernmental Panel on climate change saying average global temperatures will rise about 3 degree celsius from pre-industrial levels at the end of the century. Using the advanced supercomputer Earth Simulator, the team predicted in detail the occurrence and development of typhoons around Japan during the 2074-2087 period. A rise in sea temperatures generally makes typhoons more powerful as they develop by taking energy from warm seas. Such typhoons would also bring heavy rains as global warming will increase water vapor in the air. Source: LatestNews-Home - Livemint.com | 6 Sep 2009 | 9:57 pm Toshiba may outsource top-line chip productionTokyo: Toshiba Corp is in talks with Singapore’s Chartered Semiconductor and Globalfoundries Inc about outsourcing production of some of its next-generation system chips to help cut costs, two company sources said. Toshiba, which sources have said plans to bid for French nuclear group Areva’s power transmission and distribution unit, is looking to shave costs at its loss-making chip division as it seeks stabler revenues from the power business. The world’s No.2 maker of NAND flash memory chips plans to make 28-nanometre chips at its plant in Oita, southern Japan, but is considering contracting out production of chips exceeding its capacity, said company spokeswoman Hiroko Mochida. The sources said Toshiba is in talks with Chartered and Globalfoundries — two other members in an IBM-led consortium to develop next-generation system chips, used in a wide range of electronics from game consoles to digital cameras. Globalfoundries was spun off from Advanced Micro Devices. IBM’s 28-nanometre process technology alliance also includes Infineon Technologies, NEC Electronics, Samsung Electronics and STMicroelectronics. Toshiba bought Sony Corp’s system chip line for about ¥90 billion ($968 million) last year. Shares of Toshiba were up 3.9% at ¥484 against a 1% rise in the benchmark Nikkei average, in what some market analysts said was likely short-covering after the stock fell on Friday on news of its bid for the Areva unit. Source: World Business - Livemint.com | 6 Sep 2009 | 9:47 pm Oil below $68 on US demand worriesPerth: Oil prices fell below $68 a barrel on Monday on concerns that high unemployment in the United States, the world’s top energy consumer, will weigh on demand. But analysts said a weak US dollar, combined with a firm equities market, would help limit oil’s decline. US crude for October delivery fell 46 cents to $67.56 a barrel by 2359 GMT. The contract settled 6 cents higher at $68.02 a barrel on Friday. London Brent crude fell 39 cents to $66.43 a barrel. “As the long Labor Day weeked comes to an end, we’re looking at the end of peak gasoline demand season in the US, which means we’re now entering a period of slack seasonal demand with refineries scaling back their production,” said Toby Hassall, a commodities analyst at CWA Global Markets in Sydney. “High unemployment in the US also underscores the weakness we’re seeing in the consumer sector, which will put a handbrake on the overall recovery in energy demand even as we see industrial demand recovering.” The US Labor Department reported on Friday that the unemployment rate jumped to 9.7% in August, despite fewer job losses than expected. But Asian shares are likely to rise on Monday, tracking gains on Wall Street which rose as much as 1.8% as investors focused on the bright side of the mixed payrolls report. This week, traders will be watching for Opec’s output policy when it meets in Vienna on Wednesday, with most analysts expecting the producer group, the source of more than a third of the world’s oil supply, to maintain its official output target to keep prices stable around $70. Investors will also eye the monthly release of Chinese economic data due on Friday, analysts said. US crude prices have been trading in a range between $65 to $75 a barrel since the start of August, with prices swinging on economic data as investors seek clues about the speed of a recovery from the recession. Traders will also be watching a weather disturbance which is moving westward from Africa. There is a medium chance of it becoming a tropical cyclone in the next 48 hours, the US National Hurricane Centre said on Sunday. Crude oil speculators on the New York Mercantile Exchange reduced their net long positions in the week to 1 September, the Commodity Futures Trading Commission said in a report on Friday. Source: Home - Livemint.com | 6 Sep 2009 | 8:59 pm G20: promises, recollectionsAs the finance ministers and central bank governors of G20 nations (19 countries and EU) met in London on September 4 and 5, ahead of the Pittsburgh Summit on September 24 and 25, they released a report card on work done and offered more pledges.Source: Hindustan Times News Feeds 'Business' | 6 Sep 2009 | 7:34 pm What if your telco said, 'Don't talk so much'?Should Trai agree, Tata Tele will do just that to its pay-per-call subscribers.Source: Daily News & Analysis: Money News | 6 Sep 2009 | 4:09 pm Chaos: A tale of 4 inflation ratesThese are inflationary times. Daily encounters at the market place confirm this, contradicting the official line that the price situation has taken a benign turn.Source: Daily News & Analysis: Money News | 6 Sep 2009 | 4:07 pm 'I'll bet Havas and Aegis would merge, Publicis will buy Interpublic'Sir Martin Sorrell, group chief executive, WPP, is on his annual trip to India and spoke to DNA.Source: Daily News & Analysis: Money News | 6 Sep 2009 | 3:58 pm 'Reva will soon adopt a licensing model'DNA caught up with Chetan Kumaar Maini, deputy chairman and CTO, RECC, for a chat on the company's new business model.Source: Daily News & Analysis: Money News | 6 Sep 2009 | 3:55 pm Bids for 3G may top Rs 9,000 crThe bid value for pan-India 3G telecom licence has been projected as almost double that of the reserve price set by the government.Source: Daily News & Analysis: Money News | 6 Sep 2009 | 3:53 pm Don't choose MFs only on the basis of returnsFour of the current top five performers ranked at the bottom of the charts during the bear phase through 2008.Source: Daily News & Analysis: Money News | 6 Sep 2009 | 3:41 pm Once again, a social message in a hot cupRemember the politician rendered speechless by a man having tea when he is asked for his qualifications to run the country? Tata Tea’s first round of its “Jaago Re...” brand campaign was a very strong wake up call to get people to do something positive, such as vote and do it responsibly. Source: Hindustan Times News Feeds 'Business' | 6 Sep 2009 | 3:27 pm Why ape when you can create?We Indians are more comfortable copying rather than creating. Not surprisingly, in Bollywood and many of the creative arts, once something becomes successful, you see a glut of look-alikes, hoping to quickly ride on the trend and achieve the same success, writes Madhukar Sabnavis. Source: Hindustan Times News Feeds 'Business' | 6 Sep 2009 | 3:16 pm Star trek: The story of Uday ShankarJust shy of 47 years by nine days, Uday Shankar sits far more comfortably in his chair than he must have been when he first occupied in it October 2007 as the new CEO of Star India. Being offered the job was no small surprise, yet he took all of 10 seconds to accept it, writes Anita Sharan. Source: Hindustan Times News Feeds 'Business' | 6 Sep 2009 | 2:55 pm Await smartbook revolutionCellphones have given rise to “smartphones” — the ones in which you can download software applications, surf the Internet and shoot pictures, make videos and store loads of songs, besides doing some office email or presentations, writes N Madhavan. Source: Hindustan Times News Feeds 'Business' | 6 Sep 2009 | 2:42 pm ArcelorMittal to make open offer for Uttam Galva Steels LtdHaving inked the deal to buy 5.6 per cent stake in the Rs 4,500 crore Uttam Galva Steels Ltd (UGSL), ArcelorMittal Netherlands BV, led by NRI billionaire LN Mittal, would be launching a tender for open offer on Monday to acquire further 29.39 per cent stake, taking the total transaction value to Rs 500 crore. Source: Hindustan Times News Feeds 'Business' | 6 Sep 2009 | 2:39 pm PE funds favour education, infra and healthcareThe post slowdown condition in India seems to have affected changes in the private equity fund investments. The focus is more on three sectors — infrastructure, health care and education. Source: Hindustan Times News Feeds 'Business' | 6 Sep 2009 | 2:36 pm ‘Our focus will be on firms that have no coverage’At a time when Crisil plans to launch grading of listed companies, Roopa Kudva, Managing Director and Chief Executive Officer, CRISIL & Region Head, Standard & Poor’s, South Asia spoke to Hindustan Times about about how this would benefit the companies and individuals.Source: Hindustan Times News Feeds 'Business' | 6 Sep 2009 | 2:31 pm Is the worst over for the real estate sector?New Delhi / Bangalore: Nitesh Shetty, a developer of high-end properties in Bangalore, has no qualms over dropping the premium tag—and prices—in some of his projects as demand for affordable housing picks up pace in India. “Demand lies here and we need (to) adapt accordingly,” said Shetty, founder and managing director of unlisted realty company Nitesh Estate Pvt. Ltd, which is building the Ritz-Carlton hotel in the country’s software capital. Also See Middle-Class Push (Graphics) The builder has revamped the second phase of his luxury Forest Hills project in the Whitefield suburb, renamed it Flushing Meadows and halved prices of residences to Rs20-30 lakh. Another project called Hyde Park was changed on the drawing board itself to target the middle class. Industry experts say demand for affordable homes—loosely defined as costing Rs30 lakh or less—is the only silver lining in the current economic slowdown that has hit the real estate industry. Sales of houses started dropping in the first half of 2008 and contracted severely after that. This was compounded by a severe liquidity crunch in the last few months of the year. After October, most projects of big developers, including DLF Ltd and Unitech Ltd, India’s top two realty companies by market value, were delayed. Projects such as Godrej Woodman Estate, Godrej Properties Ltd’s maiden project in Bangalore, failed to meet their November deadline. “It was like you go to sleep on a Sunday night and Monday morning there is a slowdown,” said Kumar Gera, chairman of the Confederation of Real Estate Developers Association of India, an industry lobby group. “The most savvy developers never expected the slowdown the way it was.” This compelled most developers to refocus their efforts from premium housing to providing cheaper options to attract buyers. An August paper on affordable housing in India by research agency Knight Frank said this segment has a potential market size of Rs3 trillion by 2011 and is expected to see a requirement of at least two million units by that time. Supply is lagging far behind demand, though. It is estimated to be some 427,000 units in 2009, according to PropEquity Research, an online provider of analytics, data and deal flows in the Indian real estate industry. This number is projected to rise to 670,000 houses in 2012. Price correction Residential sales, which contribute at least 30% of a developer’s revenue on an average, started waning in the August-December period in 2008 due to high prices and fear of job losses among buyers. DLF sold just 77 units in November-December, against average sales of 400 units a month. Faced with such a severe decline, many firms started cutting prices at the end of last year. “Prices were way too high and should have been cut by mid-2008. But developers waited till Diwali and when sales still didn’t pick up, they started price cuts,” said Unmesh Sharma, an analyst with Macquarie Research. Bangalore-based Sobha Developers Ltd, for instance, announced an 8% price cut on all projects. The second round of corrections started in early 2009. DLF and other developers either slashed prices in existing projects or launched new ones at lower prices. Developers of luxury real estate such as Orbit Corp. Ltd slashed prices by 30-40%, and others cut prices by 20-30%. DLF led the way when it reduced prices in some of its projects in Bangalore, Hyderabad, Chennai and Gurgaon by 20-30%. Gera pegs the price drop in various micromarkets at 10-40%. Adding to the pressure were buyers who had bought apartments in the projects earlier, when the prices were significantly higher. They came together in online forums to lobby for a price reduction or an exit option with a full refund. DLF offered an exit option to buyers in the Garden City project near Chennai by refunding their booking amounts. But that aside, the price cuts were beginning to work. Revival in demand According to Sameer Jasuja, founder and chief executive, PropEquity Research, the revival started in January-February, with affordable housing giving the sector the fillip it needed. “For the first time, developers realized there is no market for luxury housing and that they had to come out with cheaper products,” said Jasuja. “Launch of affordable housing made demand happen.” The revival in residential real estate seems to be on, agrees Rajiv Talwar, group executive director of DLF. The company plans to launch 1,000-1,200 sq. ft apartments in the Rs25-30 lakh range. The revival was mainly due to the change in the product strategy of developers, said R. Nagaraju, general manager, corporate planning and strategy, Unitech. The firm reviewed its business model and started launching projects that were more affordable. In February, the developer launched Uniworld Gardens II in Gurgaon, on the outskirts of New Delhi, with a price tag of about Rs28 lakh. All the 750 units were sold in 45 days. “The response was way beyond our expectations,” said Nagaraju. “It gave us the confidence that this model will work and we started launching more such projects across cities in the National Capital Region, Chandigarh, Kolkata, Chennai, Bhopal and Lucknow.” Unitech now plans to build 20,000 affordable homes by 2011 across the country in the Rs10-30 lakh range, and has launched a new brand for affordable homes called Uni Homes. “Demand first came back in markets such as Gurgaon, Mumbai and Chennai, where developers had cut prices and projects were launched at lower prices,” said Macquarie’s Sharma. Bangalore and Hyderabad would take longer because many buyers are from the information technology industry and are dependent on its revival, he said. The high-spirted rebound has encouraged developers to again pitch for premium housing. Lodha Group, flush with sales in its mid-segment housing business, Casa, recently opened bookings for two upmarket residential projects. Lodha Primero, a residential tower in Mumbai with prices at Rs2-3 crore, sold 100 flats in two months. In July, it re-opened bookings for Lodha Aria, a project originally launched in March 2008. Pujit Aggarwal, managing director of Orbit, is ecstatic after the company found buyers for all the 13 apartments in Orbit Haven in tony south Mumbai, priced at Rs40,000 per sq. ft, between March and July. Orbit had launched Haven after an eight-month gap. Ajit Krishnan, partner, real estate practice at audit firm Ernst and Young, said the downturn has made developers more cautious. “Now they will build and sell only what people will buy.” Escaping the debt trap In the boom years, developers borrowed heavily to buy land and fund projects. When the cash flow slowed to a trickle, they began borrowing even for working capital requirements. The debt kept piling on. Unitech’s debt at the end of December stood at Rs10,900 crore and DLF’s at Rs15,525 crore. The debt-equity ratio of developers was between 1 and 1.5 (between Re1 and Rs1.50 of debt for every Re1 of equity). The developers managed a quick recovery, selling non-core assets, raising equity funding and reducing and restructuring debt, said analysts. The debt-equity ratio settled at a more comfortable 0.5-0.6. By end-June, DLF had lowered its net debt to Rs11,686 crore by selling hotel plots and exiting long gestation-period projects such as its Bidadi and Dankuni townships in Karnataka and West Bengal, respectively. Unitech reduced its debt to Rs8,262 crore at the end of the June quarter by raising Rs900 crore through the sale of two hotels in Gurgaon and an office complex in New Delhi. It also raised Rs4,385 crore through two rounds of qualified institutional placements (QIPs) in April and June. Its current debt is below Rs7,000 crore, said Nagaraju. Unitech was one of the first developers to admit it had a serious problem and took its shareholders, investors and the media into confidence. “Because of that admission, we could start taking remedial action very soon,” says Nagaraju. “We were prepared to tap the capital market. Shareholders knew the real picture. So they were willing to participate in the equity issuances.” Other real estate companies, too, have tapped the appetite for equity among institutional buyers. Mumbai-based Housing Development and Infrastructure Ltd (HDIL), Indiabulls Real Estate Ltd and Sobha Developers raised money through this route. In QIPs, shares are sold to institutions such as banks without involving retail buyers. HDIL raised about Rs1,688 crore through a QIP and cut its debt to Rs2,900 crore at the end of June from Rs4,143.31 crore at the end of March. Its debt-equity ratio fell to 0.45 from 0.94 and it still has Rs150 crore of cash after the fund- raising. The company has tweaked its business model to focus on cash flow, launched three residential projects and expects to generate Rs1,200 crore from sales, enough for its working capital needs for the next 12-14 months. The improved demand scenario and the offtake in the residential space will be reflected in the financials (for many developers) only two-three quarters after developers start construction, said Aashiesh Agarwaal, an analyst with Edelweiss Securities Ltd. Challenges ahead The revival has seemed easy and developers are already saying prices may bounce back to the peak levels of 2007. Lodha Group and Bangalore-based Brigade Enterprises Ltd have hiked prices by 10-15% in the past few months. M.R. Jaishankar, chairman and managing director of Brigade, had said in an earlier interview that prices would be back to 2007 levels in a year. That’s when prices had started peaking. Altamount Road in southern Mumbai was ranked the 10th most expensive street globally in 2008, with space in that area selling for Rs98,500 per sq. ft. Avenue Princess Grace in Monaco was the costliest at Rs7.5 lakh per sq. ft. It had taken the sector five years after the 1996 downturn to recover, but in the current downturn, the recovery has been faster and easier, said Akshaya Kumar, chief executive, Park Lane Property Advisors Ltd. “Developers resorted to alternate funding options such as QIPs and private equity funds and have started coming out of the woods,” said Kumar. But there are hurdles of the past they still have to clear. Unfinished projects, for instance. As home sales slowed and firms were strapped for liquidity post-October, several projects, such as Godrej Woodman Estate, got delayed. Of the 1,856 apartment or villa projects scheduled for completion in 2008, 1,089 were delayed, according to PropEquity Research. Execution of already launched projects will be a huge challenge, said Jasuja of PropEquity Research. “Developers have oversold compared to what they can build,” he said. “Margins are wafer thin (10-20% now compared with 40-50% earlier), so any increase in commodity prices could lead to delays and quality could be compromised.” The developments too have become more selective. Ernst and Young’s Krishnan said there would be little movement over the next two quarters. “Selective projects will be launched and most of them will be customer-oriented,” he said. “We will selectively launch projects such as hotels,” agreed Talwar of DLF. “Earlier, we had 65 million sq. ft under construction and now we have only 35-45 million sq. ft under construction.” Companies would also have to work on re-tweaking their business models. To counter the slowdown, several developers have suspended construction of office space and delayed launches of retail projects where leasing activity had considerably slowed. “What is not sold or leased, why take a decision now on such projects?” said Talwar. “We have decided to take a call later once market conditions improve.” DLF also denotified four of its proposed special economic zones in Sonepat, Gandhinagar, Bhubaneswar and Kolkata, citing the economic slowdown and slow demand from information technology firms. And then there are the affordable houses, the ones that propped up the sector in its worst times. The most-talked-about low-cost housing project came from Tata Housing Development Co. Ltd, when it launched a 1,100-unit township, with each house priced at Rs4-7 lakh, in Boisar, some 60km from central Mumbai. “Most so-called affordable projects were launched far away from the city where rates are anyway down,” said Pankaj Kapoor, chief executive of Liases Foras Real Estate Rating and Research Pvt. Ltd. “The challenge is to launch homes within the city at lower prices.” Graphics by Ahmed Raza Khan / Mint, Photo by Ramesh Pathania / Mint shabana.h@livemint.com Source: Home - Livemint.com | 6 Sep 2009 | 1:45 pm Jet makes Brussels a gateway to AsiaFor two-and-a-half hours every morning, the Belgian airport of Zaventem turns Indian, signalled in part by a serious spike in the whisky sales of the duty-free shops. Between 8:00 am and 10:30 am, Indias Jet Airways dominates the airports runways with three flights from Mumbai, Delhi and Chennai and another three from New York (JFK and Newark) and Toronto converging in Brussels before flying off in opposite directions again.Source: Business Standard | Front Page Headlines | 6 Sep 2009 | 12:53 pm Banks shorten loan tenuresUncertainty on interest rates and competition among banks are forcing lenders to lend for the short term and introduce interest rate reset clauses that kick in as early as three months.Source: Business Standard | Front Page Headlines | 6 Sep 2009 | 12:52 pm 'Our gas price is fair, our costs are competitive'Reliance Industries gas field off Indias east cost has been a subject of massive controversy for several months, with allegations of costs being inflated, and the government thereby being denied its fair share of revenue. There are allegations of price gouging, and of Reliance reneging on lower price contracts.Source: Business Standard | Front Page Headlines | 6 Sep 2009 | 12:50 pm Himachal wants duty hike on Chinese apple concentrateHimachal Pradesh wants higher import duty on apple juice concentrate from China, saying this was necessary to save the domestic industry.Source: IndiaeNews.com: Business News | 6 Sep 2009 | 8:31 am
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