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NW18: Top stories on NewsWire18 at 1800 ISTNW18: Top stories on NewsWire18 at 1800 ISTSource: Moneycontrol Top Headlines | 12 Oct 2009 | 9:45 am NW18:Coal India may import 4 mln tn thermal coal FY10, 1012 mln in FY11NW18:Coal India may import 4 mln tn thermal coal FY10, 1012 mln in FY11Source: Moneycontrol Top Headlines | 12 Oct 2009 | 9:25 am NW18: Textile minister Maran says to cut duty on manmade fibresNW18: Textile minister Maran says to cut duty on manmade fibresSource: Moneycontrol Top Headlines | 12 Oct 2009 | 9:23 am Tata Motors may not dilute further equity: AntiqueTata Motors last week raise USD 750 million by diluting 12% equity to service its debt. Antique Stock Broking\'s Auto Analyst is of the view that the company won\'t resort to further equity dilution.Source: Moneycontrol Top Headlines | 12 Oct 2009 | 8:37 am Industrial production up 10.4% in August!India`s industrial output rose 10.4 percent in August from a year earlier, higher than estimates, data showed on Monday.Source: Zee News : Business | 12 Oct 2009 | 6:51 am Reliance surrenders 14 blocks to govt!Reliance Industries has surrendered 14 blocks back to the government after incurring an expenditure of Rs 1,400 crore in unsuccessful exploration.Source: Zee News : Business | 12 Oct 2009 | 6:51 am Over 60 cos await SEBI nod for share sale worth Rs 50K cr!Finding the economy and markets back on the recovery path, more than 60 companies are looking to raise an estimated Rs 50,000 crore through sale of shares and awaiting the regulatory nod for the same.Source: Zee News : Business | 12 Oct 2009 | 6:51 am Sensex gains 167 pts in early trade!The benchmark Sensex rose by 167 points in early trade on Monday on fresh buying by foreign funds especially in oil and gas, IT and consumer durables sectors ahead of release of industrial output data.Source: Zee News : Business | 12 Oct 2009 | 6:51 am Indiabulls Power`s $380 mln IPO fully subscribed!An up to USD 380 million IPO of utility Indiabulls Power Ltd was subscribed within half an hour of opening on Monday, underscoring the robust appetite for new share offerings.Source: Zee News : Business | 12 Oct 2009 | 6:51 am Rupee weakens for 2nd day, stocks open eyed!The rupee weakened early on Monday weighed by the dollar`s rise versus major currencies and other Asian units, with traders awaiting the domestic sharemarket open for further direction.Source: Zee News : Business | 12 Oct 2009 | 6:51 am Recession-hit Britain to sell off state assets: PM!The British government will sell off a raft of state assets, Prime Minister Gordon Brown was to say on Monday as he bids to reclaim the initiative on reducing recession-hit Britain`s debt.Source: Zee News : Business | 12 Oct 2009 | 6:51 am Mukesh cool to Anil`s truce offer; fight goes on!Reliance Industries chief Mukesh Ambani has made a guarded response to his younger brother Anil Ambani`s peace offer, saying the conduct of his group makes it difficult to believe if he had a real change of heart.Source: Zee News : Business | 12 Oct 2009 | 6:51 am Mukesh, ADAG firms soar in early trade!The shares of companies of the two feuding Ambani brothers opened on a higher note on Monday.Source: Zee News : Business | 12 Oct 2009 | 6:51 am Can the business of food impact climate change?Can the business of food impact climate change?Source: Moneycontrol Top Headlines | 12 Oct 2009 | 6:36 am Slowing Introductions of New Electronic Products Reduces EWasteSlowing Introductions of New Electronic Products Reduces EWasteSource: Moneycontrol Top Headlines | 12 Oct 2009 | 6:35 am NW18: India FY12 coal production seen 9% lower than 11th Plan targetNW18: India FY12 coal production seen 9% lower than 11th Plan targetSource: Moneycontrol Top Headlines | 12 Oct 2009 | 6:30 am Welspun Gujarat bags Rs 3500 cr orderWelspun Gujarat has bagged an order worth Rs 3,500 crore. The companys current order book stood at Rs 10,000 crore.Source: Moneycontrol Top Headlines | 12 Oct 2009 | 6:09 am Wockhardts CDR package finalised, domestic loans rejiggedWockhardt\'s corporate debt restructuring (CDR) package has been finalised, reports CNBCTV18. All domestic loans have been restructured. Interest rate has not been punitive in the CDR process.Source: Moneycontrol Top Headlines | 12 Oct 2009 | 5:57 am To become the worlds largest jewellery retailer: GitanjaliMehul Choksi wants to become the worlds largest jewelry retailer. He has no room for error.Source: Moneycontrol Top Headlines | 12 Oct 2009 | 5:53 am Sensex closes near 17000; IT, banks gain - Times of India
Source: Business - Google News | 12 Oct 2009 | 4:33 am IIP numbers, FM speak propel markets - Business Standard
Source: Business - Google News | 12 Oct 2009 | 4:26 am Response muted at Indian oil & gas blocks auction - Reuters India
Source: Business - Google News | 12 Oct 2009 | 4:20 am Idea offers lowest tariff at 40paise for all local callsAditya Birla Group company, IDEA Cellular, today announced the lowest tariff for mobile users in the city offering all local calls for 40paise per minute on its network.Source: Daily News & Analysis: Money News | 12 Oct 2009 | 4:12 am Obama aide defends economic stimulus packageWASHINGTON (Reuters) - U.S. President Barack Obama's top economic adviser said on Monday the United States is on the path toward economic recovery, conditions in financial markets are steadier and there have been initial signs of stabilization in the housing market.Source: Reuters: Money News | 12 Oct 2009 | 4:08 am BSE Sensex provisionally closes up 2.2 pctMUMBAI (Reuters) - The BSE Sensex provisionally rose 2.2 percent on Monday, led by Reliance Industries on optimism for a patch-up between warring Ambani brothers and on better-than-expected August industrial output data.Source: Reuters: Money News | 12 Oct 2009 | 4:06 am Corporate India may see 8% salary hike this yr; 10.9% rise in 2010New Delhi: India Inc is expected to witness an average 8% salary increase this year and as much as 50% of companies have strong hiring plans for the next three months, a survey by global HR consultancy Mercer says. The Mercer India Monitor quarterly survey also shows an optimistic sentiment for 2010, with salaries expected to rise by as much as 10.9% next year. “Despite the fact that past year saw slowest growth in a long time, the economy is expected to grow at over 6% and industry is estimated to see overall average salary hikes at 8% for 2009,” Mercer’s information product solutions business India leader Gangapriya Chakraverti said. “Overall forecast for 2010 is at 10.9% compared to 8% this year. Most sectors are forecasting double digit increases for next year,” Chakraverti added. Moreover, most companies have presented a more optimistic picture on workforce and compensation with 50% of respondents hiring in the next three months either to add headcount or to replace for attrition so far, the survey said. In terms of sectors, the IT space, which had a ‘long lasting’ lull of nearly 0% salary increase this year, is showing improved sentiments. The survey revealed that the IT sector is expected to see salary increases by a few percentage points next year. A majority of the companies used guaranteed cash as the basis for arriving at the increments, the Mercer survey said. Some sectors have doled out reasonably high salary increases this year, despite the economic recession. Salary increases in the pharmaceutical, consumer and manufacturing sectors have been in excess of 7%, the report stated. Automobile/ auto component industry has emerged as a sector with fairly reasonable increases this year. IT Industry has been worst impacted with an almost zero increase this year across most companies. But telecom has brought some respite with a fairly reasonable salary hike budget thus pushing the overall increase in the Hi Tech space to about 5%. Besides, chemical is the other sector which has fared reasonably well, while energy has shown a pessimistic sentiment with most companies extending lower salary increases than usual and a few deferring salary increases indefinitely. In terms of hiring plans, over 50% companies in the pharmaceutical, chemical and IT sectors have indicated an intention of hiring to add headcount. However, few companies in manufacturing and pharma sector have indicated an intent to reduce headcount over the next three months. Source: LatestNews-Home - Livemint.com | 12 Oct 2009 | 4:05 am Axis Bank Q2 net up 32 pct, meets f'cast(versus the same period a year earlier, in billion rupees unless stated)Source: Reuters: Money News | 12 Oct 2009 | 4:04 am StanChart gets RBI nod for Rs 5000-cr IDR issue - Sify
Source: Business - Google News | 12 Oct 2009 | 4:00 am TVS Motor eyes 50% of the three-wheeler marketKolkata: TVS Motor, a well-known player in the two-wheeler industry, is now eyeing at least 50% of the three-wheeler market with the launch of its four-stroke autosrickshaw under the brand name TVS King Arjun in Kolkata and other parts of West Bengal. TVS Motor president (marketing) H.S. Goindi said the company was eyeing to become a dominant player in the three-wheeler market. “We want to capture 50% of the three-wheeler market by the end of this year.” At present, the company is selling 10,200 autorickshaws per month, which are mostly two-stroke. TVS has already entered markets in Tamil Nadu, Karnataka, Kerala, Maharashtra, Gujarat, UP, West Bengal, Punjab and Delhi. Goindi said TVS plans to assemble the three-wheelers at the Mahabharat Scooters plant at Uluberia in West Bengal by the end of the year. Source: LatestNews-Home - Livemint.com | 12 Oct 2009 | 3:51 am Exide Industries July-Sept net rises 92%Kolkata: Exide Industries Ltd on Monday reported a 92% rise in July-Sept net profit, led by double-digit volume growth in automotive and industrial batteries. Net profit for the second quarter stood at Rs150 crore billion, from Rs77.84 crore a year ago. A Reuters poll of brokerages had forecast a net profit of Rs113 crore for the quarter ended 20 September. However, net sales rose only 5% as a result of lower selling prices, the company said in a release. “The company benefited by being able to source nearly 40% its lead and lead alloy requirements from its own captive lead smelters and also having increased its market penetration by connecting tier two and tier three cities through a hub and spokes model,” T V Ramanathan, managing director and chief operating officer, said. Volatility in lead prices was still a cause of concern, but the favourable dollar-rupee exchange rate would help in mitigating the impact, he added. Exide also benefited from cost savings as well as volume growth in home UPS, inverters and two-wheeler batteries, Ramanathan said. The company has increased capital expenditure for the current fiscal to Rs130 crore due to increased buoyancy in automotive and industrial segments, it said in a release. The debt-equity ratio of the company stood below 0.1% as on 30 September, the release added. Source: LatestNews-Home - Livemint.com | 12 Oct 2009 | 3:45 am PRECIOUS-Gold steady as rising oil balances firm dollar - Reuters India
Source: Business - Google News | 12 Oct 2009 | 3:44 am Gordon Brown to announce assets sell-offLondon: The British government will sell off the undersea Channel rail link, a bridge, and a betting company, among other assets, to raise £3 billion ($4.8 billion) to help it manage its swelling debt, the Prime Minister will announce Monday. Gordon Brown’s office, which had released details of the plan on Sunday, said the premier will make the announcement in a speech. Business secretary Peter Mandelson told Sky News on Monday the sell-off would “help us reduce the deficit without cutting into vital public services”. Nonfinancial assets to be sold over the next two years include the Channel Tunnel rail link, the Dartford bridge and tunnel crossing the River Thames, betting company the Tote, and the government’s 33% stake in European uranium consortium Urenco. Brown also plans to say that local governments will sell off another £13 billion ($21 billion) in assets such as business parks and leisure centers. The money will help finance capital investment and pay down debt, his office said. An earlier government attempt to sell off the Tote betting chain was abandoned after it failed to attract a high enough price. Government critics say that in the middle of a recession, the latest sell-off amounts to a “fire sale” of government assets. “Attempts to sell off large amounts of government land into a very depressed market such as we have now would be frankly barmy,” said Liberal Democrat economy spokesman Vince Cable. But Mandelson told the BBC that “the market is looking up”. “Of course we’re not going to sell at the bottom of the market ... we’re not idiots,” he said. Britain is suffering its worst recession in decades and the budget deficit, the gap between spending and revenues, is widening. But Brown has recently sounded cautiously optimistic about the economy. In an interview published Saturday, he said the economy would grow by 1.5% next year, more than many economists have foreseen. Monday’s speech is part of a bid to counter arguments by the opposition Conservatives that only deep public spending cuts can slash the debt and turn around the economy. The Conservatives propose raising the state pension age, tightening welfare programmes and freezing the pay of hundreds of thousands of public sector workers. Brown plans to say that slashing public spending would “cut the legs off from under the recovery and lead to higher deficits and debts down the line”. The economy looks certain to be the dominant issue in a national election that must be held by the middle of 2010. Opinion polls give Cameron’s Tories a substantial lead over Brown’s Labour Party, which has been in power since 1997. Downing Street said Brown would call on Monday for “unconventional thinking ... to avert a Japanese-style lost decade of low growth and jobless recovery”. Source: LatestNews-Home - Livemint.com | 12 Oct 2009 | 3:42 am Tengzhong seeks approval for Hummer buy; hurdles seenSHANGHAI/HONG KONG (Reuters) - Tengzhong, the Chinese buyer of General Motor's Hummer brand, aims to close the deal by early 2010, with regulatory approval looming as the first of what will likely be multiple hurdles on the road ahead.Source: Reuters: Money News | 12 Oct 2009 | 3:41 am One million farmers to sell paddy in ChhattisgarhThe Chhattisgarh government Monday started procuring paddy at the minimum support price from about one million farmers.Source: IndiaeNews.com: Business News | 12 Oct 2009 | 3:31 am Tourist hotspot Thekkady still shut, livelihoods hitIt's been nearly two weeks since the Periyar Wildlife Sanctuary shut down following the boat capsize in Thekkady lake that killed 45 people. Tour operators, hotel owners and locals are now urging that the popular tourist spot be reopened soon as their livelihoods are at stake.Source: IndiaeNews.com: Business News | 12 Oct 2009 | 3:31 am India's industrial output up 10.4 percent in AugustFurther signs of recovery in Indian industry emerged Monday with the latest official data indicating a growth of 10.4 percent in industrial production during August this year - highest in the last 22 months - over the corresponding month last year.Source: IndiaeNews.com: Business News | 12 Oct 2009 | 3:30 am Ambani patch-up hopes rise, but end long way awayMUMBAI (Reuters) - Billionaire Anil Ambani's call for an end to a bitter feud with his elder brother Mukesh over the split of the family business empire is unlikely to lead to a resolution ahead of hearing next week in their ongoing battle over gas supplies, analysts said.Source: Reuters: Money News | 12 Oct 2009 | 3:18 am Rupee extends losses as dollar rises versus majorsMumbai: The Indian rupee extended losses in afternoon trade on Monday as the dollar continued to rise further against major units while local shares also pared some early gains. At 1:10pm, the partially convertible rupee was at Rs46.65/66 per dollar, weaker than Rs46.40/42 at close on Friday. On Thursday, the rupee had risen as high as Rs46.22, its strongest since 26 September, 2008. The rupee rose marginally immediately following the factory data which showed output rose 10.4%, its fastest in 22 months, but later pared those gains tracking shares and the dollar’s moves against majors. The dollar edged broadly higher on Monday, extending a short-covering bounce against the yen as investors trimmed dollar-selling positions on caution that US interest rates could move up earlier than expected. Indian shares which rose more than 1% early, pared some gains and were trading up about 0.6%. Source: Home - Livemint.com | 12 Oct 2009 | 3:16 am FTSE breaks back through 5,200 as oil majors gainLondon: Britain’s top shares rose 1.0% early on Monday, regaining 5,200 points for the first time in over a year on advances in oil majors and a rally by Vodafone, with investors awaiting the next batch of US earnings. By 0925 GMT the benchmark FTSE 100 was up 51.29 points at 5,213.16, a fresh high for 2009 and trading back above the 5,200 level for the first time since mid-September 2008. The blue chip index ended just 7.23 points higher on Friday as it moved in a narrow 40-point trading range. Energy issues provided the main lift for the market as crude prices rose over 1% to more than $72 a barrel, helping BP , Royal Dutch Shell and Tullow Oil gain 0.7 to 1.1%. BG Group, which rose 0.9%, was also helped by a Sunday Times report which said the British gas producer has received an unsolicited bid for most of its £1.5 billion power generation business and could announce a sale shortly. With the third-quarter US corporate earnings season underway, investors will be watching for results from the likes of Intel Corp on Tuesday and JPMorgan Chase on Wednesday for fresh evidence on the health of US companies and the extent of recovery in the economy. “With Columbus Day today it’s going to be quite quiet but we have results this week from US firms and that is where everyone is going to be looking,” said Nick Serff, market analyst at City Index. US equity markets will be open on Monday, while the bond market and government departments close for the Columbus Day federal holiday. Japanese stock markets were closed for a public holiday on Monday. Heavyweight Vodafone was a top blue chip gainer in London, up 0.9%, rallying after a recent sell-off precipitated by worries over a price war in the Indian mobile telecoms market. Banks were mixed, awaiting the latest results from their US peers, with the overall sector positive thanks to gains in heavyweight HSBC, up 0.6%, and Standard Chartered, ahead 0.5%. Lloyds Banking Group shed 1.1% on reports the lender has lined up a syndicate of investment banks to underwrite an £11 billion rights issue, the Sunday Times reported, with UBS and Bank of America Merrill Lynch to act as lead underwriters. Barclays was down 0.9% after the Financial Times reported the lender is planning to spin off a £4 billion portfolio of complex credit assets as it presses ahead with a process to clean up its balance sheet. Royal Bank of Scotland fell 0.2% after sources close to the lender said the bank’s advisors, Morgan Stanley and Hoare Govett, have suggested a public listing of car insurer Churchill in a move which could raise billions of pounds, the Independent on Sunday said. Miners mixed Mining issues were mixed, with slightly firmer metals prices having providing some support overall. Kazakhmys, Lonmin and Xstrata added between 0.2 and 0.4%, but Antofagasta, Rio Tinto and Rangold Resources shed 0.3 to 1.6%. China has extended by a month a probe into suspected corporate espionage by Rio Tinto’s employees, a defence lawyer said, a case which has strained ties between Australia and its second-largest trade partner. As a sector, utilities were the only blue chip fallers, led by International Power, down 0.6%, and United Utilities down 0.2%. On the economic front, British interest rates are expected to stay at 0.5% until 2011 and will not rise to 2% until 2014, the Centre for Economics and Business Research (CEBR) said on Monday. No domestic economic data are due for release on Monday although investors will have key UK inflation and unemployment numbers to digest over the next two sessions. Source: LatestNews-Home - Livemint.com | 12 Oct 2009 | 3:16 am Govt gets 76 bids for 36 oil & gas blocks - India Infoline.com
Source: Business - Google News | 12 Oct 2009 | 3:13 am Oil tops $72 on economic optimismLondon: Oil rose above $72 a barrel on Monday, extending last week’s rally, on optimism about the pace of global economic recovery and indications of stronger oil demand. Crude gained 2.6% last week, largely bolstered by a falling dollar, and helped by firmer oil demand forecasts from the International Energy Agency and the US Energy Information Administration. “There are a lot of positive sentiments in the market because of expectations for another rally in stocks markets this week as well as improved energy demand forecasts from the IEA,” said Ben Westmore, a commodities analyst from the National Australia Bank. US crude for November delivery rose 45 cents to $72.22 by 1:30pm. The market reached a 2009 high of $75.00 in August. London Brent crude added 50 cents to $70.50. “Comments from (Federal Reserve chairman) Ben Bernanke that the monetary policy could be tightened is also an indication that the recovery is taking hold in the US.” A firming dollar limited gains. Investors trimmed dollar-selling positions on caution that US interest rates could move up earlier than expected, supporting the greenback against a basket of currencies. Signs emerged on Monday that while world energy demand is expected to rise more strongly than forecast, key exporters are continuing to keep a lid on supplies. Saudi Arabia, the world’s top oil exporter, will keep steady in November its curbs on the contracted volumes of crude it supplies to Asian term buyers, industry sources said on Monday. With holidays in United States, Japan and Canada on Monday, analysts said oil prices would be largely influenced by equities. European stocks has a firmer opening, but Asian shares fell. Some of the biggest US corporate names are scheduled to post earnings this week, a reality check for whether a seven-month rally in stocks this year has further to run. Source: Home - Livemint.com | 12 Oct 2009 | 3:10 am Citigroup set to pay $6,00,000 in fine to FINRA : reportLondon: Citigroup will have to pay $6,00,000 in fine to an US regulator for providing derivative transactions as that helped foreign clients avoid paying billions of dollars in taxes on dividends, a media report says. “Citigroup is to be fined over derivatives transactions that were partly designed to help foreign clients avoid taxes on dividends,” British daily the Financial Times has reported. The $6,00,000 fine by Financial Industry Regulatory Authority (FINRA), which oversees broker dealers, comes after the US authorities hardened their stance on offshore tax operations with a series of actions in the past few months. According to the publication, FINRA’s fine against Citigroup Global Markets is expected to be announced later on Tuesday and partly involves the bank’s failure to control trading related to strategies including so-called “total return swaps”. Such swaps helped Citi’s foreign clients receive the full value of dividends from US securities without paying the withholding tax. As part of their campaign, regulators have targeted the complex derivatives deals used by banks that they allege help offshore bank clients avoid billions of dollars in US taxes. In US, dividends on stock paid to foreign investors is subject to withholding taxes, depending on applicable treaty between America and the foreign investor’s home country. Source: World Business - Livemint.com | 12 Oct 2009 | 3:08 am Citigroup set to pay $6,00,000 in fine to FINRA : reportLondon: Citigroup will have to pay $6,00,000 in fine to an US regulator for providing derivative transactions as that helped foreign clients avoid paying billions of dollars in taxes on dividends, a media report says. “Citigroup is to be fined over derivatives transactions that were partly designed to help foreign clients avoid taxes on dividends,” British daily the Financial Times has reported. The $6,00,000 fine by Financial Industry Regulatory Authority (FINRA), which oversees broker dealers, comes after the US authorities hardened their stance on offshore tax operations with a series of actions in the past few months. According to the publication, FINRA’s fine against Citigroup Global Markets is expected to be announced later on Tuesday and partly involves the bank’s failure to control trading related to strategies including so-called “total return swaps”. Such swaps helped Citi’s foreign clients receive the full value of dividends from US securities without paying the withholding tax. As part of their campaign, regulators have targeted the complex derivatives deals used by banks that they allege help offshore bank clients avoid billions of dollars in US taxes. In US, dividends on stock paid to foreign investors is subject to withholding taxes, depending on applicable treaty between America and the foreign investor’s home country. Source: LatestNews-Home - Livemint.com | 12 Oct 2009 | 3:08 am World's poor see few job benefits from trade boomGENEVA (Reuters) - The boom in global trade over the last two decades has not improved the quality of most jobs in poorer countries, the World Trade Organisation (WTO) and United Nations labour agency (ILO) said on Monday.Source: Reuters: Money News | 12 Oct 2009 | 3:04 am Sensex soars, ruling 2.21 percent upA key index of Indian equities markets shot up during afternoon trade Monday and was ruling 2.21 percent higher than its previous close.Source: IndiaeNews.com: Business News | 12 Oct 2009 | 3:00 am Chandigarh to spend Rs.14 cr for upgrading power sectorThe Chandigarh Administration plans to spend Rs.14 crore this fiscal for upgrading its power infrastructure, a senior official said here Monday.Source: IndiaeNews.com: Business News | 12 Oct 2009 | 3:00 am BMS demands amendment to unorganised workers' welfare lawBharatiya Mazdoor Sangh (BMS) today demanded amendments in the law for welfare and social security of unorganised workers.Source: Daily News & Analysis: Money News | 12 Oct 2009 | 3:00 am Midsession: Sensex rises 2%; Reliance up 3%Mumbai: Indian shares extended gains to 2% on Monday afternoon, led by gains in energy giant Reliance industries which was up over 3% on hopes of a patch-up between the Ambani brothers. Higher European markets also underpinned positive investor sentiment, dealers said. At 2:04pm, the 30-share BSE index was up 2.02% at 16,978.36 points, with 26 components advancing. The 50-share NSE Index was up 1.79% at 5,033.65. Reliance Industries, which has the heaviest weighting in the index, was up 3.15% at Rs2,166.10. “All stocks with the Reliance tag have gone up in a knee-jerk reaction on hopes that there can be a patch up between RIL and RNRL,” said Deven Choksey, managing director and CEO of K.R. Choksey Shares. “But I think it’s too late for that. It’s a corporate battle now, with too many people involved,” he said. Reliance Industries, controlled by elder brother Mukesh Ambani and which has the heaviest weight in the index, climbed 1.6% to Rs2,134, while Anil Ambani-led Reliance Natural Resources Ltd jumped 5.2% to Rs87.30. Reliance Power, Reliance Communications, and Reliance Infrastructure, all controlled by Anil, were trading 1.8-3.2% higher. The latest dispute has been over a deal for Reliance Industries to sell gas to Reliance Natural at below-market rates as agreed in a 2005 family settlement to divide the business following the death of the brothers’ father in 2002. In a statement on Sunday, Anil said he wanted an end to the impasse. Reliance Industries said it welcomed the move, but added the dispute under litigation was not merely a family matter and that it hoped “any overtures for rapprochement are in no way related to the ongoing hearing of the case”. Traders said investors were awaiting August industrial output due by midday. The median forecast in a Reuters poll showed the output may have risen 9.2% from a year earlier, picking up from a provisional 6.8% rise in July, on robust consumer demand and government expenditure. The BSE index has risen over 74% so far this year, powered by foreign inflows of more than $12.8 billion and further gains would depend upon companies perform in the coming quarters, traders said. In the broader market, gainers led losers in a ratio of 1.9:1 in a relatively low volume of 123 million shares. Source: Home - Livemint.com | 12 Oct 2009 | 2:59 am Airbus to move some engineering work to India - paperMUMBAI (Reuters) - European plane maker Airbus will transfer 20 percent of its engineering and design activities to India and other low-cost countries, an executive was quoted as saying by the Mint newspaper on Monday.Source: Reuters: Money News | 12 Oct 2009 | 2:50 am BMW targets sales of over 3,000 units; launches Z4 in IndiaMumbai: German luxury car maker BMW on Monday said it aims to strengthen its position as the numero uno in the Indian luxury car market and is targeting to cross the sales figure of 3,000 units in 2009. The company has sold 2,738 units across all its models till September this year. “We are targeting to sell more than 3,000 units in 2009,” BMW India President Peter Kronschnabl told reporters in Mumbai. He added the company is trying to strengthen its number one position in the Indian luxury car segment. The German car maker had sold 2,908 units last year in the country. The company on Monday launched its sports-car Z4 Roadster priced at Rs59 lakh (ex-showroom). The two-seater sports-car powered by a 2,979 CC petrol engine is being launched as a part of the company’s move to strengthen its position in the Indian luxury car segment. “With the new BMW Z4 we want to reach out to new target groups in India who appreciate a pure driving experience, high standard of elegance and value, and suitability for everyday driving and comfort,” BMW India president Peter Kronschnabl told reporters. He said the company is targeting to sell 30-40 units of the Z4 Roadster in the first year. BMW is currently competing neck-to-neck with rival German luxury car maker Mercedes-Benz for the top slot in the Indian luxury-car market. During the first eight months (January- August) of 2009, BMW had sold 2,305 units as against 2,026 units sold by Mercedes. BMW India’s bulk of sales come from its two luxury sedans-- the 3-Series and 5-Series assembled at its Chennai plant. It also sells the 6-Series and 7-Series in the luxury segment, X3, X5 and X6 in the sports utility segment and M3, M5 and M6 in the convertible sports coupe category as completely-built-units (CBU) in India. Source: LatestNews-Home - Livemint.com | 12 Oct 2009 | 2:36 am Industry expands at fastest pace in 22 monthsNEW DELHI (Reuters) - India's industrial output grew at its fastest pace in 22 months in August as factories cranked out more big-ticket household goods and cars as stimulus spending drove demand, but economists said the Reserve Bank was unlikely to lift interest rates at its review later this month.Source: Reuters: Money News | 12 Oct 2009 | 2:12 am Rupee stable at mid 46-47 levels - Economic Times
Source: Business - Google News | 12 Oct 2009 | 2:02 am India gets 76 bids in oil and gas block auctionNEW DELHI (Reuters) - India has received 76 bids for 36 blocks out of the 70 offered under the latest licensing round for exploration of oil and gas blocks, a government official said on Monday.Source: Reuters: Money News | 12 Oct 2009 | 2:01 am Indian IT industry can bounce to double-digit growth: InfosysAs the global economy recovers fully, the resilient Indian information technology industry can bounce to double-digit growth again, Infosys Technologies chief executive S. Gopalakrishnan has said adding that his own company will expand in Brazil, Mexico and China.Source: IndiaeNews.com: Business News | 12 Oct 2009 | 2:00 am August industrial output up 10.4%New Delhi: India’s industrial output grew at its fastest pace in 22 months in August as factories cranked out more big-ticket household goods and cars as stimulus spending drove demand, but economists said the Reserve Bank of India (RBI) was unlikely to lift interest rates at its review later this month. Industrial output rose 10.4% in August from a year earlier, beating the median forecast in a Reuters poll, and July’s annual growth was revised up to 7.2% from 6.8%, data showed on Monday. Economists said while the data reinforced expectations for rising inflation, the Reserve Bank was unlikely to raise interest rates at an 27 October policy review as it would want more evidence of a sustained economic upturn. “I think it gives leverage to RBI to completely concentrate on inflation,” said N R Bhanumurthy, professor at the National Institute of Public Finance and Policy in New Delhi, who expects tightening in monetary policy by March. “RBI would like to wait for the IIP (index of industrial production) and inflation numbers for the next month,” he said. Consumer durable goods output surged by an annual 22.3% as stimulus measures helped fuel demand, although Ramya Suryanarayan, an economist at DBS in Singapore, said the growth was driven by pent-up demand and pre-holiday season spending that was unlikely to be sustained. “Inflation is rising, production is rising fast, so logically the data does suggest that it makes sense to move, but the central bank will probably wait it out at this meeting,” said Suryanarayan, who expects the first rate hike by January at the earliest. Manufacturing production in Asia’s third-largest economy rose 10.2% in August from a year earlier, while mining output was up 12.9% and power generation rose 10.6%. India’s industrial output growth, which expanded for the eighth consecutive month, was the fastest since October 2007 but still lagged China’s 12.3% growth in August, the quickest pace there in 12 months. The September purchasing managers’ index showed the pace of manufacturing activity picked up as domestic demand and factory orders rose. Offsetting Drought Faster output at factories, mines and utilities has helped offset a decline in farm output after the worst dry spell in nearly four decades and floods in different parts of the country hurt crops and pushed up food prices. And despite looming inflation that some economists say could reach 8% by the end of March, India is fearful of raising rates before growth is more firmly entrenched. Economists think the first policy shift could be an increase in the cash reserve ratio for banks in the December quarter. On Friday, Prime Minister Manmohan Singh said the economy could still grow between 6.3 and 6.5% in 2009-10 (April-March), compared with 6.7% last year and 9% or more in each of the previous three years. He also said the country still had to wait before unwinding stimulus efforts as the economy was not operating at full capacity, and said the inflationary impact of India’s stimulus measures was likely to be minimal. Early last week, Reserve Bank of India governor Duvvuri Subbarao said India needs to tighten its monetary stance, but warned of the risks of mistiming such a move. Analysts say festivals and lump-sum payouts of a backdated wage increase for government staff would keep consumer demand and output growth robust in the December quarter. The RBI cut its main lending rate by 425 basis points between October and April as the global downturn hit the economy harder than expected. It also slashed banks’ reserve requirements and pumped liquidity into markets. Source: Home - Livemint.com | 12 Oct 2009 | 1:59 am India's industrial output up 10.4 percent in AugustFurther signs of recovery in Indian industry emerged Monday with the latest official data indicating a 10.4 percent growth in August over the same month last year.Source: IndiaeNews.com: Business News | 12 Oct 2009 | 1:32 am Lucknow to light up Diwali with eco-friendly crackersConfetti, Flower Power, Fake Note Burst, Snake Mix - guess what these are? Eco-friendly firecrackers that have found many takers among Lucknow residents this Diwali.Source: IndiaeNews.com: Business News | 12 Oct 2009 | 1:30 am Sensex holding on to early gainsA key Indian equities index was holding on to its morning gains and ruling 0.95 percent higher early Monday afternoon.Source: IndiaeNews.com: Business News | 12 Oct 2009 | 1:30 am China’s economy gathers strength in Q3Beijing: China’s economy moved up another gear last quarter in response to aggressive monetary and fiscal stimulus, making it all but certain that the government will hit its full-year growth target of 8%. Gross domestic product grew 8.9% in the July-September quarter from a year earlier, compared with 7.9% in the second quarter and 6.1% in the first three months of the year, according to the median forecast of 18 economists polled by Reuters. Other figures for September, due to be released alongside quarterly GDP on 22 October, are likely to show a further rebound in industrial output, buoyancy in retail sales and investment and a clear ebbing of deflationary pressure. Morgan Stanley shares the most bullish forecast among those polled, pencilling in 9.5% GDP growth. “For the third quarter as a whole, we witnessed a solid recovery in domestic private sector demand (consumption and investment), helping to offset the levelling-off of policy-driven capital expenditure and persistent weakness in exports,” they said in a note to clients. Goldman Sachs is also forecasting 9.5% year-on-year growth, which it said implies a quarter-on-quarter slowdown to an annualised pace of around 14% from about 16.5% in the second quarter. No complacency At the turn of the year, when the economy almost ground to a halt in the depth of the global downturn, Beijing’s totemic target of 8% full-year growth looked fanciful. The economy has since pulled out of its swoon, but policymakers are still guarding against complacency and warning that the expansion is not yet on a solid footing. Chief banking regulator Liu Mingkang became the latest senior official to rein in expectations, telling an audience in Hong Kong on Friday that it was too early to talk about withdrawing policy stimulus as the global crisis was not yet over. But economists both inside and outside the government now firmly expect full-year growth of more than 8%. The Chinese Academy of Social Sciences, the government’s premier think-tank, said in a forecast carried on Monday by the China Securities Journal that GDP would expand 8.3% this year and, barring natural disasters, growth cold hit 9% in 2010. One concern among investors is that the authorities will clamp down too hard on new credit after a record lending spree in the first six months by China’s predominantly state-owned banks to complement Beijing’s 4 trillion yuan fiscal stimulus. But economists at Bank of America Merrill Lynch said they saw no need to worry about liquidity for the real economy. Even though headline loan growth was slowing, they estimated that 1.0 trillion yuan in discounted bill financing extended in the first six months would be converted into normal loans in the second half as the bills matured. Citing positive momentum across most of the economy except for the export sector, the bank said it was sticking to its growth forecasts of 8.7% for all of 2009 and 9.2% for the third quarter. “We expect China’s domestic economic recovery continued to solidify in September. Almost all major indicators will likely improve from August to September,” the bank said in a report. Source: LatestNews-Home - Livemint.com | 12 Oct 2009 | 1:29 am Factory production grows 10.4 pc in AugustIndustrial production grew by a whopping 10.4 per cent in August on the back of double-digit growth in mining, manufacturing and electricity sectors.Source: Daily News & Analysis: Money News | 12 Oct 2009 | 1:25 am Indiabulls Power issue price seems little stretched: IFCI Financial - Economic Times
Source: Business - Google News | 12 Oct 2009 | 1:19 am Ambani patch-up hopes rise, but end long way awayMumbai: Indian billionaire Anil Ambani’s call for an end to a bitter feud with his elder brother Mukesh over the split of the family business empire is unlikely to lead to a resolution ahead of hearing next week in their ongoing battle over gas supplies, analysts said. Shares in firms controlled by the brothers were up on Monday, on hopes for a resolution after Anil Ambani on Sunday made a public call to end the impasse with his older brother, but analysts said the gains may be short lived. “The rise is just a knee-jerk reaction to Anil’s comments yesterday,” said Alex Mathews, head of research at Geojit BNP-Paribas Financial Services. Also Read Anil Ambani offers Mukesh olive branch The Reliance empire, which spans energy, telecommunications and financial services, was split between the brothers in 2005 following the death of their father, Dhirubhai Ambani, a legendary Indian business tycoon who built Reliance from scratch. The siblings have since been involved in several disputes, the latest over a deal for Mukesh Ambani’s Reliance Industries to sell gas to Anil Ambani’s Reliance Natural Resources at below-market rates as agreed in a 2005 family settlement brokered by their mother, Kokilaben. The dispute flared in the midst of the largest-ever sale of India’s oil and gas exploration rights, which aims to attract at least $3 billion in commitments. The row between the brothers has led to a near-daily exchange of words, with Anil Ambani accusing petroleum ministry of taking the side of Reliance Industries. In a statement on Sunday, Anil Ambani said he wanted an end to the impasse. Reliance Industries said it welcomed the move, but added the dispute under litigation was not merely a family matter and that it hoped “any overtures for rapprochement are in no way related to the ongoing hearing of the case”. “The body language does not suggest the issue will be resolved any time soon,” said Sonam Udasi, vice president of research at BRICS Securities. “I don’t think anyone is looking for an out-of-court settlement.” The country’s highest court is set to hear the case over gas supplies on 20 October. Analysts see Anil Ambani’s move as a step in the right direction, and expect the government to push the brothers to resolve the dispute as it has unnerved investors considering oil and gas exploration in India. “There will be pressure from the government for the brothers to patch up. Everyone wants to see an end to this as over the next few years it could escalate to many sectors,” Udasi said. The government has lodged a petition with the Supreme Court to intervene in the gas-supply case, arguing the natural resource is its property. The court, in a hearing on 20 July, did not exclude the government from the case. At 12:09 pm, Mukesh Ambani-controlled Reliance Industries, which has interests in the energy, petrochemicals and retail sector, was up 1.9% at Rs2,139.60. Reliance Natural Resources, controlled by Anil, rose 4.8% to Rs87. India’s benchmark 30-share BSE index was up 1%. Source: Home - Livemint.com | 12 Oct 2009 | 1:05 am Inside Infosys Q2 result - Times of India
Source: Business - Google News | 12 Oct 2009 | 1:01 am Indiabulls Power $380 mn IPO fully subscribedMumbai: Utility Indiabulls Power Ltd’s up to $380 million initial public offering was subscribed within half an hour of opening on Monday, reinforcing the robust appetite for new Indian share offerings. By 11:07am, the sale was subscribed just over two times, data from the stock exchanges showed. Also Read | IPO evaluation The IPO of Indiabulls Power, a unit of Indiabulls Real Estate and which counts billionaire L.N. Mittal as investor, follows strong subscriptions for the past three sales in the country that together raised almost $2.5 billion. On Sunday, sources said Indiabulls Power would issue 18% of the issue at the top end of the Rs40-45 price band to five anchor investors including Nomura. “We recommend subscribe for listing gains. When you look at the capacity that is being financialy tied up, then the per megawatt capital for the company is cheaper compared with its peers,” Nishna Biyani, research analyst, Prabhudas Lilladher. “But for the long term we feel all the private companies will be flooding markets for the funds.” Indiabulls Power is developing five thermal power plants in western and central India, with total capacity of 6,600 megawatts, and will use the issue proceeds to fund two projects. A more than 70% jump in the BSE stock index coupled with net foreign fund flows of $12.8 billion into Indian stocks so far this year have sparked a flurry of new share sales. More than $15 billion of shares have been sold so far this year. “It is refreshing to see Indiabulls Power price its IPO at a 40% discount to other private sector developers,” brokerage Noble said in a note. The discount was largely due to lack of any operational capacity, likelihood of further equity raising in two years and uncertainty on some power sale contracts, it said. Morgan Stanley India is the lead manager to the issue, which closes on 15 October. Source: Home - Livemint.com | 12 Oct 2009 | 1:00 am Infosys result reviewInfosys out-performed both its IFRS and Indian GAAP guidance on the revenues and net profit fronts. It recorded a 2.1% q-o-q jump in its 2QFY2010 top-line in Rupee terms (3.1% y-o-y growth). As per IFRS, the company registered a 2.9% sequential growth in Dollar Revenues (5% y-o-y de-growth), while in constant currency terms, the company clocked a 1.2% q-o-q growth (3.2% y-o-y de-growth). Clickto read complete review Infosys witnessed a 47bp q-o-q expansion in EBIDTA margins to 34.6%, with 20bp improvement attributed to crosscurrency movements and the balance to strong volumes with offshore shift. Pricing increased marginally on a sequential basis, due to the cross-currency benefits. The net profit growth during the quarter was restricted to a 0.9% q-o-q rise for Infosys, which was primarily on account of lower interest income. At the CMP of Rs2,178, the stock is trading at 19x its FY2011E EPS. We recommend an ACCUMULATE on the stock, with a target price of Rs2,475. Source: LatestNews-Home - Livemint.com | 12 Oct 2009 | 12:53 am Reliance surrenders 14 blocks to govt, loses Rs1,400 crNew Delhi: Reliance Industries has surrendered 14 blocks back to the government after incurring an expenditure of Rs1,400 crore in unsuccessful exploration. RIL had in the New Exploration Licensing Policy (NELP) rounds won 45 blocks and of these it has surrendered 14 blocks back to the government as it could not find commercially recoverable oil and gas, sources close to the company said. The company has invested over Rs13,200 crore in exploring oil and gas and their appraisal in the 45 blocks but made commercial discoveries only in two blocks - KG D6 in Krishna-Godavari basin and NEC-25 in Mahanadi basin. Sources said RIL cannot recover the Rs1,400 crore expenditure it incurred on seismic surveys and drilling wells in the 14 blocks and that would be treated as sunk or lost investment. Exploration and production is a highly risky business and end results of the efforts are not known, and under the NELP regime the operators can recover their investment from sale of oil and gas only in blocks where they discover commercial hydrocarbons and the same in the rest are simply lost. In the KG D6 block alone, RIL has committed about Rs38,000 crore till date of which Rs28,000 crore have been already spent, they said. RIL has put on production one oil find and two of the 18 gas discoveries in KG D6. Its plans for nine satellite finds in the block as well as six discoveries in NEC-25 are yet to be approved. Sources said the rate of return of for companies investing in exploration/appraisal and development of a gas field cannot be estimated with any degree of certainty. The exploration and appraisal expenses which do not result in a commercial discovery have to be written off altogether unless a contractor is able to recover these from the proceeds of sale of gas from the field or the block where exploration/appraisal does lead to commercial discovery. Explaining the nature of uncertain and risk laden exploration and production business, they said even after reaching the stage of commercial production, the behaviour of a producing gas field and the recoverable reserves therein cannot be predicted to a degree of certainty even with the help of latest technology. There are no remedial measures available and there is nothing that a contractor can do if the field does not produce the gas at the rate or to the extent anticipated previously. The costs and profits of Exploration and production companies cannot be based on individual blocks but has to be looked from a portfolio point of view, where the cost of production by such portfolio approach can be significantly higher, they added. Source: Home - Livemint.com | 12 Oct 2009 | 12:51 am Money Market updateG-sec Market: The 10-year G-sec 6.90% GOI 2019 opened at a yield of 7.34% compared to the previous closing of 7.32%. The 10-year US Treasury yield hardened from 3.27% to 3.40%. The 3-month Interest Rate Future is trading at a level of 8.00%. The 10-year G-sec 6.90% GOI 2019 is likely to be volatile and trade between 7.30% and 7.40%. Money Market: The Call Rate and CBLO rate opened at 3.30% and 2.95% respectively. The money market rates are expected to remain range-bound. Swap Market: The 5Y OIS swap rate is trading in the range of 6.91% - 6.96%, compared to previous closing levels of 6.89%. The OIS swap rates are expected to trade range-bound tracking G-sec yields. Forex Market: The INR opened at the same level of yesterday Rs 46.55. Rupee is expected to trade in the range of 46.30 – 46.80. Source: LatestNews-Home - Livemint.com | 12 Oct 2009 | 12:31 am Statements by Ambani brothers nudge shares up a tadThe shares of companies in the respective stables of the two feuding Ambani brothers opened on a higher note Monday, a day after the olive branch from younger Anil, that was welcomed as a 'positive indicator' by Mukesh.Source: IndiaeNews.com: Business News | 12 Oct 2009 | 12:30 am Indiabulls Power's $380 mln IPO fully subscribedMUMBAI (Reuters) - Utility Indiabulls Power Ltd's up to $380 million initial public offering was subscribed within half an hour of opening on Monday, reinforcing the robust appetite for new share offerings.Source: Reuters: Money News | 12 Oct 2009 | 12:09 am No Diwali cheer for second quarter earningsBL Research Bureau Investors should expect no fireworks from the September quarter results that will be unveiled over the next few weeks.Source: Business Line - Home Page | 12 Oct 2009 | 12:00 am Gold seen making headway on bleak dollar prospectsGold hit a record high of $1,069 an ounce this week (on Thursday) before closing at $1,048.60 as the dollar strengthened. Before looking into where the yellow metal is headed towards, there are other factors to take intoSource: Business Line - Home Page | 12 Oct 2009 | 12:00 am Philips Q3 beats estimates, cautious onAmsterdam: Dutch conglomerate Philips Electronics’ reported a better than expected third-quarter operating profit on Monday as a result of cost reductions but the company remained cautious, seeing no recovery in most markets. Earnings before interest, taxes and amortisation (Ebita) of €344 million ($507 million) beat the average forecast of €109 million given in a Reuters poll of analysts and compared with €57 million made in the same quarter last year. Individual analysts’ expectations ranged from €29 million to €176 million. “While encouraged by the positive development in sales and profitability during the third quarter, we remain cautious about the short-term outlook in the absence of structural recovery in the majority of our end-markets,” the company said in a statement. The world’s biggest lighting maker, in the top three for hospital equipment and Europe’s biggest consumer electronics producer, Philips is in the process of cutting 6,000 jobs this year to cope with the recession. It expects cost savings of €600 million next year. Source: Home - Livemint.com | 12 Oct 2009 | 12:00 am Spending picks up again as corporates splurge on giftsNew Delhi, Oct. 11 After a subdued season last year, corporate gifting this Diwali is back with aSource: Business Line - Home Page | 12 Oct 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 level isSource: Business Line - Home Page | 12 Oct 2009 | 12:00 am Kingfisher Airlines likely to see range-bound movementI bought three lots of Kingfisher Airlines Ltd 4,250 (total 12,750) of KFA CA 60 Oct contract. My average buying price was Rs 3.43. The day I purchased the underlying was quoting around Rs 58. The contract is currently trading at RsSource: Business Line - Home Page | 12 Oct 2009 | 12:00 am Small, medium firms post rise in turnover, profitability in Q2: CII SurveyNew Delhi, Oct.11 The second quarter of the current fiscal may well have been the upturn point for the micro, small and medium enterprises (MSMEs) sector, according to a MSME outlook survey conducted by the Confederation of Indian IndustrySource: Business Line - Home Page | 12 Oct 2009 | 12:00 am Comex gold may correct lowerComex gold futures ended lower on Friday due to profit-taking as the market took a breather on the dollar’s rebound the day after this week’s sharp rally pushed gold to a record high above $1,060 an ounce. On Thursday, the FederalSource: Business Line - Home Page | 12 Oct 2009 | 12:00 am Anil Ambani offers olive branch to MukeshMumbai/ Delhi, Oct. 11 With days to go before the Supreme Court hears the on-going battle between the Ambani brothers, Mr Anil Ambani, offered an olive branch to his elder brother Mukesh Ambani, to sort out all disagreements, “in aSource: Business Line - Home Page | 12 Oct 2009 | 12:00 am ONGC Mittal Energy cautious on future projectsNew Delhi, Oct. 11 The promoters of ONGC Mittal Energy Ltd (OMEL), ONGC and steel baron Mr L.N. Mittal, would like to tread cautiously on their future oil and gas projects in the backdrop of the current global economic scenario.Source: Business Line - Home Page | 12 Oct 2009 | 12:00 am Blue Star (Rs 368): BuyWe recommend a buy in the stock of Blue Star from a short-term perspective. It is evident from the charts of the stock that after taking support at Rs 125 in March, the stock began to trend upward. Since then it has been on an intermediate-termSource: Business Line - Home Page | 12 Oct 2009 | 12:00 am Gmail No.1 E-mail Service in India - Business Standard
Source: Business - Google News | 11 Oct 2009 | 11:39 pm Sensex gains 167 pts in early tradeThe benchmark Sensex rose by 167 points in early trade today on fresh buying by foreign funds specially in oil and gas.Source: Daily News & Analysis: Money News | 11 Oct 2009 | 11:34 pm Watch/Listen: Mint in Multimedia-12 OctVideo story: Cooking with Lounge | Tangy ‘chana’ Punjabi style Chef Sartaz Khan of Punjab Grill cooks scrumptious Kabuli ‘chana’ Video story: Taking stock for 11 Oct 2009 Sandeep Wagle of Angel Broking says a slight correction in the Sensex is possible over the next week or two, with levels possibly going down to 16,000 Video story: Sectoral tariff reductions emerge as next obstacle in WTO talks Under sectorals, negotiating countries have to agree to a road map to cut import duties in some sectors more drastically than the general tariff reduction Audio story: Election snapshot Lack of a comprehensive election campaign, too many rebels and complacency could cast a shadow over the prospects of the ruling Congress and its allies in Maharashtra, Haryana and Arunachal Pradesh Source: Home - Livemint.com | 11 Oct 2009 | 10:52 pm Rupee plunges 20 paise in early trade; at 46.60 a dollarThe Indian rupee today extended the previous session's weakness and depreciated by 20 paise to 46.60 against the US currency in early trade.Source: Daily News & Analysis: Money News | 11 Oct 2009 | 10:51 pm Oil rises above $72 ahead of US company resultsOil prices rose above $72 a barrel today in Asia as investors looked to a slew of US corporate earnings reports this week for signs of economic recovery.Source: Daily News & Analysis: Money News | 11 Oct 2009 | 10:48 pm 20% of infra projects running late105 of Centre's 591 projects lagging by 1-18 months; face 10% cost escalation.Source: Daily News & Analysis: Money News | 11 Oct 2009 | 3:28 pm Sugar prices set to keep heading northProduction deficit of 8MT, depleting buffer stock will create supply problem next yearSource: Daily News & Analysis: Money News | 11 Oct 2009 | 3:27 pm Rupee-dollar pair to witness consolidation this weekRBI could intervene if pressure rises.Source: Daily News & Analysis: Money News | 11 Oct 2009 | 3:18 pm Realtors feel debt vice tighteningWith little left after servicing loans, they are unable to develop even the projects for which they have taken money upfront.Source: Daily News & Analysis: Money News | 11 Oct 2009 | 3:17 pm Soros to invest $1 bn in clean energy techNew York: Billionaire George Soros, looking to address the political problem of climate change, said he will invest $1 billion (Rs4,650 crore) in clean energy technology and create an organization to advise policymakers on environmental issues. Soros, the founder of hedge fund Soros Fund Management Llc, announced the investment in Copenhagen on Saturday at a meeting on climate change sponsored by Project Syndicate. The group is an international association made up of 430 newspapers from 150 countries. “I want to apply rather stringent criteria to the investments,” said Soros in an emailed message. “They should be profitable but should also actually make a contribution to solving the problem.” Soros, whose own wealth accounts for much of the approximately $24 billion his New York-based money-management firm oversees, didn’t provide any details in his speech on the type or scope of investments he might make. Soros, 79, also will establish the climate policy initiative, a San Francisco-based organization to which he will donate $10 million a year for 10 years. “It will be part advisory service, part policy developer and part watchdog,” said Thomas Heller, who is heading the initiative. Heller is a professor at Stanford University Law School whose expertise is in energy law and regulation and environmental law. Source: World Business - Livemint.com | 11 Oct 2009 | 1:18 pm Road mobility gives Agni-5 global reachThe Advanced Systems Laboratory (ASL) in Hyderabad, which develops Indias strategic (long-range, nuclear-tipped) missiles, has dramatically increased the options for its forthcoming Agni-5 missile by making it highly road-mobile, or easily transportable by road.Source: Business Standard | Front Page Headlines | 11 Oct 2009 | 12:48 pm The worst is over for inflation: PMAttributing rising food prices to the drought, Prime Minister Manmohan Singh today said the worst was over and predicted that the situation would improve with the ensuing rabi (winter) crop.Source: Business Standard | Front Page Headlines | 11 Oct 2009 | 12:46 pm Anil's peace overture fails to impress MukeshThe long-drawn dispute between the two Ambani brothers took another turn today, with both Mukesh Ambani and Anil Ambani saying all disagreements can be sorted in a cordial and conciliatory manner.Source: Business Standard | Front Page Headlines | 11 Oct 2009 | 12:44 pm Taxmen give tax code the thumbs-downTaxmen across the country have been sharply critical of the Direct Tax Code, which was open for public comment in August, opposing proposals to cut personal income and corporate tax and scrap taxes on various transactions, on grounds that these would lead to heavy revenues losses.Source: Business Standard | Front Page Headlines | 11 Oct 2009 | 12:42 pm Biyani recasts Pantaloon to unlock valueMumbai: Two decades after he founded what’s now Future Group, one-time garment supplier Kishore Biyani is recasting flagship Pantaloon Retail (India) Ltd, the country’s largest shopping chain by market value, in a move aimed at clarifying the structure, repaying debt and giving investors greater choice.  Strategic move: Kishore Biyani, managing director of Pantaloon. Hemant Mishra/Mint “This is my dream structure,” Biyani told Mint at his corporate office in south Mumbai where the wall facing him is lined with photographs of his icons such as Sam Walton, Mother Teresa, Rahul Bajaj and N.R. Narayana Murthy. One of the frames holds a mirror, in which Biyani can see himself reflected back. Biyani’s move is expected to unlock the value of the various units and potentially lead to the induction of a strategic partner in some of the verticals, helping him raise funds needed for expansion. Investors can pick the vertical of their liking and the businesses will have to support themselves, rather than be funded by Pantaloon Retail. “This will create a transparent structure,” Biyani said. “Lawyers and chartered accountants are working on” the process so that there will be “no tax implications”. Biyani, who runs the firm with his brother and cousins, is also working on two proposals to sell shares in the company. One involves a strategic initiative with French retail giant Carrefour Group for back-end operations similar to what Wal-Mart Stores Inc. has with Sunil Mittal’s Bharti Group and the second is a financial proposal from Bain Capital Llc, one of the world’s largest private equity funds, to put in more cash.  Growth channels: A Big Bazaar store in Noida, Uttar Pradesh. Pantaloon, which owns the brand, plans to add 5 million sq. ft of retail space over two years to the 9.7 million sq. ft it already has across the country. Harikrishna Katragadda/Mint “All the three companies will be listed,” Biyani said. The listing of “the main holding company will be decided later”. The new structure will also improve operational efficiency, he said. The Pantaloon management knows that it needs to improve inventory management by reducing stock, Dadabhoy and Mathur had written in the same report. The process of creating the main holding company is already under way. On 18 September, eight members of the Biyani family, which owns 48.79% of Pantaloon, traded shares in a so-called inter se transfer. Inter se transfers involve stock changing hands among co-promoters. The company is also looking to raise $210 million (Rs976.50 crore) through the fresh issue of shares to domestic investors to help fund its plan to boost retail space by 5 million sq. ft over the next two years and repay some debt. Pantaloon, whose key brands are Big Bazaar, Home Solutions, Food Bazaar and Central, currently has 9.7 million sq. ft of retail space. In the 2009 fiscal year, the company invested Rs370 crore in its subsidiaries out of a total capital expenditure of Rs1,300 crore. Key concerns about Pantaloon include the high leverage and the risk associated with the funding of expansion plans, Latika Chopra, an analyst with JPMorgan Asia Pacific Equity Research, wrote in a report released on 4 August. Pantaloon raised Rs300 crore in the last fiscal year through an issue of preferential warrants to promoters and Dharmyug Investments, owned by Bennett, Coleman & Co. Ltd, which publishes The Times of India and The Economic Times. Pantaloon, which said net profit grew 12% to Rs140 crore and sales rose 26% to Rs6,345 crore in the last fiscal year, had debt of Rs3,100 crore as of 30 June. Asked specifically about plans to raise cash for expansion, Biyani says this is an ongoing process. The challenge for promoters in a growing market is to raise cheap and riskless capital in such a way that it does not affect the weaker parts of the business, says Sachin Sondhi, senior director, Deloitte, a global consultant. But the challenge companies face is the need to preserve cash to fund different growth channels and retain an ownership structure that creates value for shareholders. Biyani is also taking a cue from infrastructure player Infrastructure Leasing and Financial Services Ltd or IL&FS that runs toll roads, funds various infrastructure projects and is engaged in financial services. IL&FS, which also recently took over Maytas Infrastructure Ltd, is involved in financial services linked to infrastructure and Biyani similarly wants to create what he calls “consumption intermediation” —being present in any business linked to consumption. “Nearly 40% of our trillion- dollar economy is in the consumption business and our companies will be present in this area linked to consumption,” he said. Biyani’s plans for the financial services business include the general insurance venture with Generali Group and the private equity fund. He wants to build a non-banking financial services company that would provide supplier and retailer credit besides debt syndication for firms linked to his business. This would allow Future Group to partially own and fund these companies, he says. The non-banking arm will also help his companies raise debt to grow their business. Future Ventures, the private equity fund that will be insulated from the current restructuring, has invested in Sula Wines, the second largest wine maker, Biba, a garment maker, Mother Earth, a retail chain that supplies organic food and Aadhaar, a joint venture with Godrej. Biyani says his challenge is to streamline the current business, manage the value chain and move ahead to achieve a target of Rs25,000 crore revenue by 2012 with an 8-10% profit margin. Future Learning and Development, which teaches skills to nearly 25,000 people annually primarily to absorb them into the retail chain, will offer such services to rivals as well. Similarly, Biyani plans to lease his warehouses, distribution network and inventory accounting services. Source: Home - Livemint.com | 11 Oct 2009 | 12:31 pm JLR gets $90 million from Arab BankingDubai: ABC International Bank, a unit of Bahrain-based Arab Banking Corp., will provide a $90 million trade facility to Jaguar Land Rover to support the firm’s exports into the Middle East and North Africa, the lender said in an emailed statement on Sunday. Source: World Business - Livemint.com | 11 Oct 2009 | 12:12 pm
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