SPECIAL COVERAGE
CHANDIGARH

LUDHIANA

DELHI



THE TRIBUNE SPECIALS
50 YEARS OF INDEPENDENCE

TERCENTENARY CELEBRATIONS
B U S I N E S S

Thanks to Asia, economic crisis is rolling back: UN
Washington, July 16
The current economic crisis is rolling back due to the significant progress made by countries in Asia like India and China, a top UN official said on Wednesday. The financial stimulus packages and reforms announced by these countries could help in creating a more integrated and coordinated Asia and the Pacific that builds up on collective regional strengths and resources, UN Economic and Social Commission for Asia and the Pacific (ESCAP) Executive Secretary Noeleen Heyzer, said.

JPMorgan Q2 profit up 36 pc
New York: Financial services major JPMorgan Chase today posted 36 per cent surge in the second-quarter profit at $2.72 billion, propelled by a steep rise in investment banking fees. JPMorgan, which recently repaid Federal funds worth $25 billion, raked in profit worth $2.72 billion on revenues of $25.6 billion for the three months ended June.

Chinese economy expands 7.9 pc in Q2
Beijing/New Delhi: The Chinese economy grew at a pace of 7.9 per cent in the second quarter of 2009, primarily bolstered by the government's stimulus package.



EARLIER STORIES





This file photo shows an aerial view of the Sears Tower in Chicago. On Wednesday, the 36-year-old Sears Tower became the Willis Tower, named after the world’s third-largest insurance broker, Willis Group Holdings Ltd. — Reuters

Tata Nano to hit the roads today
New Delhi, July 16
Five years after his promise to build a people's car, Ratan Tata will hand over the key of his dream project, the Nano, to its first customer tomorrow. From the birth of the dream in 2003, to its launch in 2008 and finally its delivery in 2009, the Nano's journey has been anything but smooth.

GE India to invest $6 b in healthcare
Chandigarh, July 16
The $2.8 billion GE India, the Indian arm of US conglomerate General Electric Company, will be investing $6 billion in medical systems, services and IT services for rural India. GE also proposes to make India as the sourcing hub for its aerospace parts and healthcare products business.

Higher fuel prices push inflation up
New Delhi, July 16
Driven by higher prices of fuel items like petrol and diesel, inflation rose marginally to (–)1.21 per cent for the week ended July 4 against (–) 1.55 per cent in the previous week.

Corporate Results
L&T net jumps to Rs 1,598 cr
Mumbai, July 16
Engineering and construction major Larsen & Toubro today reported a three-fold jump in its net profit at Rs 1,598.20 crore for the quarter ended June 30, 2009, over the same period last year.

PNB not to hike lending rates
Chandigarh, July 16
The government’s plan to borrow Rs 4,00,000 crore for funding its fiscal deficit is unlikely to increase the lending rates as there is enough liquidity in the market.

Sterlite raises $1.5 b to part-fund power projects
New Delhi, July 16
Vedanta Resources group firm Sterlite Industries today said it has raised over Rs 7,000 crore from the American market as equity to part finance its power projects entailing an investment of Rs 50,000 crore.

Alstom, Toshiba to set up units in India
New Delhi, July 16
The government today said private power equipment makers like Alstom, Toshiba would establish their manufacturing units in the country in the coming 3-4 months, giving a push to electricity generation.

BT to revert 2,000 jobs from India
London, July 16
BT chief executive Ian Livingston has announced that the company will revert at least 2,000 call centre jobs from India back to Britain. The company has a significant presence in India where the telecom major has a customer service staff of 11,000 employees.

 

 





Top








 

Thanks to Asia, economic crisis is rolling back: UN

Washington, July 16
The current economic crisis is rolling back due to the significant progress made by countries in Asia like India and China, a top UN official said on Wednesday.

The financial stimulus packages and reforms announced by these countries could help in creating a more integrated and coordinated Asia and the Pacific that builds up on collective regional strengths and resources, UN Economic and Social Commission for Asia and the Pacific (ESCAP) Executive Secretary Noeleen Heyzer, said.

During the course of the UN Economic and Social Council session, which is currently taking place in Geneva, Heyzer highlighted the need for appropriate investments in infrastructure to create economic corridors that link less developed countries to economic centres in the region, thereby increasing intra-regional trade.

As a result, the recovery of larger economies like China, India and the Republic of Korea will have “greater reciprocal positive spin offs” for their smaller neighbours, she said.

Heyzer said that her organization has responded to the crisis by encouraging policies that include social programmes such as health coverage, pensions, education and agricultural extension services, as well as investment in small and medium scale enterprises. — PTI

Top

 

JPMorgan Q2 profit up 36 pc

New York: Financial services major JPMorgan Chase today posted 36 per cent surge in the second-quarter profit at $2.72 billion, propelled by a steep rise in investment banking fees. JPMorgan, which recently repaid Federal funds worth $25 billion, raked in profit worth $2.72 billion on revenues of $25.6 billion for the three months ended June.

The profits have jumped 36 per cent compared to $2 billion in the same period a year ago, the firm said in a statement. It had a profit of $2.14 billion in the first quarter of this fiscal.

Investment banking fees were up 29 per cent to a record $2.2 billion and includes advisory fees worth $393 million. Further, the equity underwriting fees received by the entity rose by $561 million to a record $1.1 billion. — PTI

Top

 

Chinese economy expands 7.9 pc in Q2

Beijing/New Delhi: The Chinese economy grew at a pace of 7.9 per cent in the second quarter of 2009, primarily bolstered by the government's stimulus package.

The encouraging growth figure from China comes at a time when majority of the advanced economies are expected to contract in the wake of the global financial turmoil.

China, the world's fastest growing economy, expanded at a rate of 6.1 per cent in the first quarter of 2009.

"In the first half of this year, the gross domestic product (GDP) of China was 13,986.2 billion yuan, a year-on-year increase of 7.1 percent, which was one percentage point faster than that in the first quarter," National Bureau of Statistics of China said in a statement today. "In terms of growth by quarters, it was up 6.1 per cent for the first quarter, and 7.9 per cent for the second," the statement added. — PTI

Top

 

Tata Nano to hit the roads today

New Delhi, July 16
Five years after his promise to build a people's car, Ratan Tata will hand over the key of his dream project, the Nano, to its first customer tomorrow. From the birth of the dream in 2003, to its launch in 2008 and finally its delivery in 2009, the Nano's journey has been anything but smooth.

The car, first showcased at the Delhi Auto Expo last year, was at the centre of much controversy as its proposed plant site in West Bengal became a rallying point for Mamata Banerjee and her party to gain political mileage.

The controversy surrounding the site led Ratan Tata to abandon Singur and shift the Nano's production to Gujarat.

But the overwhelming support for Tata's dream car was evident when the booking opened early this year. Despite the slowdown in the auto sector, the car attracted over 2.05 lakh bookings.

In the first lot over 1.55 lakh cars would be delivered and the first one lakh will be sold at the announcement price of Rs 1 lakh, making it the cheapest four-wheels in the world. Tata had earlier said that 'a promise is a promise' and keeping his promise he would hand over the first car tomorrow at the price-protected rate. — PTI

Top

 

GE India to invest $6 b in healthcare
Ruchika M. Khanna
Tribune News Service

Chandigarh, July 16
The $2.8 billion GE India, the Indian arm of US conglomerate General Electric Company, will be investing $6 billion in medical systems, services and IT services for rural India. GE also proposes to make India as the sourcing hub for its aerospace parts and healthcare products business.

Talking to TNS on the sidelines of a conference organised by CII-Young Indians, Tejpreet Singh Chopra, president and CEO of GE India, Sri Lanka and Bangladesh, said the company was looking at investing $6 billion in the next 10 years. “These investments will be made as part of the ‘Health Imagination’ campaign of the company. We propose to invest $3 billion in medical systems and services suited to the needs of rural India and another $2 billion will be spent to finance schemes for IT sector and rural India. The remaining $1 billion will be spent on creating awareness about new products and on R&D,” he said.

Chopra said they would have a focus on reducing the cost of healthcare and improving the quality of healthcare products. The idea is to offer value-for-money products in an attempt to make healthcare affordable while covering more people, he said.

The company already has a R&D centre in Bangalore, which is the largest R&D set up of the company outside the US.

He also said that GE Aviation, a leading manufacturer of jet engines, is also looking at sourcing parts from India. The company’s global production is in the range of 2,500- 3,000 engines. “We have a sourcing team in India and by sourcing most of the aerospace parts and healthcare products, we will reduce our cost substantially. We are now in the process of putting in place a supply chain model for the same,” he said.

Taking querries on GE Money, the consumer finance company of GE India, he said they had now changed the focus from retail finance to credit cards, aircraft finance, power plants, oil and gas, water, rail and healthcare. Denying that they were scouting for partners to sell off the company, Chopra said they had just scaled back the retail finance business and were instead investing in infrastructure and other businesses that GE India was involved in. “We have affected certain operational changes which have resulted in significant improvement in overall cost structure,” he said.

Top

 

Higher fuel prices push inflation up

New Delhi, July 16
Driven by higher prices of fuel items like petrol and diesel, inflation rose marginally to (–)1.21 per cent for the week ended July 4 against (–) 1.55 per cent in the previous week.

At the same time, prices of food articles like cereals, pulses, spices, and fruit and vegetables also remained firm.

The wholesale price index during the corresponding week a year ago was as high as 12.19 per cent.

Following the government's decision to raise fuel prices effective July 1, prices of naphtha rose 15 per cent, furnace oil 11 per cent, petrol 10 per cent, high-speed diesel 7 per cent and light diesel oil by 4 per cent.

Fuel items turned expensive as the government increased prices of petrol and diesel by Rs 4 and Rs 2 per litre, respectively. As a result, the Fuel, Power, Light and Lubricants index increased by 3.1 per cent during the week.

This is the fifth week in a row when inflation remained in negative territory.

However, according to analysts, the RBI may not cut benchmark policy rates or reduce the ratios when the central bank reviews the credit policy on July 28.

The RBI should not cut the repo rate and the cash reserve ratio in July monetary policy, said former RBI Deputy Governor S S Tarapore. — PTI

Top

 

Corporate Results
L&T net jumps to Rs 1,598 cr

Mumbai, July 16
Engineering and construction major Larsen & Toubro today reported a three-fold jump in its net profit at Rs 1,598.20 crore for the quarter ended June 30, 2009, over the same period last year.

The company had a net profit of Rs 502.44 crore in the same period ended June 2008, Larsen & Toubro (L&T) said in a filing to the Bombay Stock Exchange. Total income rose to Rs 7,408.29 crore during the current quarter, against Rs 6,941.87 crore in the same quarter previous year.

Bajaj Auto

The country's second largest two-wheeler maker Bajaj Auto today reported a jump of 67.60 per cent in its unaudited standalone net profit for the quarter ended June 30 at Rs 293.49 crore as against Rs 175.11 crore in the year-ago period.

The unaudited standalone total income in the first quarter of this fiscal increased by 1.47 per cent to Rs 2,338.47 crore from Rs 2,304.67 crore in the same period last fiscal, the company said in a statement.

The total sales of the company in Q1, however, fell by 11.68 per cent at 5,47,662 units as against 6,20,095 units in the first quarter of the previous fiscal, it added.

Welspun-Gujarat

Welspun-Gujarat Stahl Rohren, the flagship of Welspun Group, today said its net profit rose by 94.27 per cent to Rs 138.21 crore for the quarter ended June 30, 2009, over the same period last year.

The company had a net profit of Rs 71.14 crore in the same quarter ended June 2008, Welspun-Gujarat Stahl Rohren said in a filing to the Bombay Stock Exchange.

Net sales rose to Rs 1,879.80 crore in the latest quarter, against Rs 1,090.36 crore in the same period last fiscal.

Zee profit dips 43 pc

Zee Entertainment Enterprises today reported a fall of 43 per cent in its consolidated net profit for the first quarter ended June 30 to Rs 91.32 crore over the corresponding period a year ago.

The company had a consolidated net profit of Rs 160.71 crore during the June quarter a year ago, Zee Entertainment said in a filing to the Bombay Stock Exchange (BSE).

The consolidated total income of the entertainment firm fell to Rs 508.44 crore during the 3 month period ended June 30 from Rs 569.76 crore in the same quarter a year earlier.

On a standalone basis Zee Entertainment posted a net profit of Rs 71.27 crore during the April-June period of current financial year, down 45.58 per cent compared to Rs 130.97 crore last year.

Polaris net rises 18 pc

Polaris Software Lab today reported a rise of 18 per cent in its consolidated profit after tax for the quarter ended June 30 to Rs 31.83 crore over the same period last fiscal.

The software firm had a consolidated profit after tax of Rs 27.01 crore during the June quarter a year earlier, Polaris said in a filing to the Bombay Stock Exchange.

The consolidated gross profit of the company rose to Rs 117.67 crore in the latest quarter from Rs 102.30 crore in June quatter last year. — PTI

Top

 

PNB not to hike lending rates
Tribune News Service

Chandigarh, July 16
The government’s plan to borrow Rs 4,00,000 crore for funding its fiscal deficit is unlikely to increase the lending rates as there is enough liquidity in the market. This was stated by Nagesh Pydah, executive director of Punjab National Bank (PNB), while addressing mediapersons on the sidelines of the State Level Bankers Committee Meeting (SLBC) for Haryana here today. While maintaining that PNB would not be increasing its lending rate, he said the government borrowings have been planned in such a way that it will not have any impact on the liquidity side.

It may be noted that country’s largest bank, SBI, has recently said the rates might see an increase in the next couple of months, as the government borrowings this fiscal were pegged at Rs 3.98 lakh crore, in order to fund its rising fiscal deficit.

PNB has the lowest Prime Lending Rate (PLR) of 11 per cent in the banking industry and hopes to maintain a Net Interest Margin (NIM) of 3.62 per cent in the current fiscal.

Talking about the overseas expansion plans, Pydah said they were planning to open offices in Canada, Brazil, South Africa , Norway and Russia. The bank already has presence in Hong Kong, London, China, Kabul and Dubai. “Besides, PNB also plans to open 151 new branches within the country in this year,” he said.

Earlier, while presiding over the SLBC for Haryana, Pydah said deposits increased from Rs 70,919 crore in March 2008 to Rs 82,875 crore, showing a growth of 17 per cent. Similarly, advances increased by Rs 16,191 crore (from Rs 48,547 crore to Rs 64,738 crore) during this period. Priority sector advances increased by Rs 5,231 crore (from Rs 27,048 crore to Rs 32,279 crore). Later, the bank’s ED also disbursed auto loans to 52 LPG auto drivers to run eco-friendly autos.

Top

 

Sterlite raises $1.5 b to part-fund power projects

New Delhi, July 16
Vedanta Resources group firm Sterlite Industries today said it has raised over Rs 7,000 crore from the American market as equity to part finance its power projects entailing an investment of Rs 50,000 crore.

"We are raising about Rs 7,000 crore through ADR to mainly fund the power project. The issue is complete today," Vedanta Resources chairman Anil Agarwal told PTI in an interview from London.

The company offered to sell new equity shares in the form of American Depository Shares that is expected to result in gross proceeds of about $1.50 billion. Besides, the parent firm would buy $500 million (Rs 2,431 crore) of the said issue, the company had said in a regulatory filing.

The group that specialises in mining metals and minerals and is among the world's top three producers of copper and aluminium would expand presence in the power sector, by bidding aggressively for the upcoming 4,000 MW Ultra Mega Power Projects. The government has already bid out to private players four of the nine UMPPs it planned to set up. — PTI

Top

 

Alstom, Toshiba to set up units in India

New Delhi, July 16
The government today said private power equipment makers like Alstom, Toshiba would establish their manufacturing units in the country in the coming 3-4 months, giving a push to electricity generation.

"Alstom, Toshiba, Mitsubishi Heavy Industries and others have taken land here and in 3-4 months they will be establishing their units," Power Minister Sushilkumar Shinde told reporters here.

The Power Ministry aims to add 78,700 MW power generation capacity by March 2012. Further, it has set an ambitious target of over producing additional 1,00,000 MW electricity during the 12th Five-Year Plan Period (2012-17).

"The target for the 11th Plan is 78,700 MW at the moment, in the 12th Plan we need to have more than 1,00,000 MW. The orders for equipment to generate 25,000-30,000 MW in the 12th Plan have been placed," Shinde said. — PTI

Top

 

BT to revert 2,000 jobs from India

London, July 16
BT chief executive Ian Livingston has announced that the company will revert at least 2,000 call centre jobs from India back to Britain. The company has a significant presence in India where the telecom major has a customer service staff of 11,000 employees.

At the group's annual meeting Livingston was asked by an investor when the group will close call centres in India.

Livingston disclosed the plans to revert jobs in his response to the question. — PTI

Top

 
BRIEFLY

Mahindra Holidays gets listed
Mumbai:
Mahindra Holidays and Resorts India Limited (MHRIL) on Thursday listed on bourses, both Bombay Stock Exchange and National Stock Exchange, at a premium of five per cent over the issue price. The Mahindra group company has raised Rs 275 crore through its Initial Public Offering (IPO) last month. — PTI

Sunil MittalSunil Mittal awarded honorary doctorate
New Delhi:
Sunil Mittal, chairman and group CEO of Bharti Enterprises, has been awarded the honorary degree of Doctor of Laws by the University of Leeds, UK. The University of Leeds awards honorary degrees to people distinguished by their contributions to business, government, arts or public life in general. — PTI

Crystal Phosphates unveils new insecticide
Chandigarh:
Pesticide manufacturer, Crystal Phosphates has launched a new product, Tribune, which will provide complete protection of paddy. This insecticide will act as insect growth regulator to control sucking insects like BPH, whitefly, scale insect and mealy bug, said N K Aggarwal, chairman of the company. — TNS

SBI officers condemn abolition of FBT
Chandigarh:
The State Bank of India Officers’ Association has condemned the abolition of Fringe Benefit Tax (FBT) saying that it will shift the burden from the large corporates to the over burdened salaried class. In a press release, Vijay Magan, general secretary of the association said apart from hurting the salaried class, it will also affect the country's economy, which is reeling under recession. By withdrawing the FBT, the spending power of the middle class will be reduced, which will reduce demand and effect economic activity, he said. — TNS

Kingfisher owes Rs 950 crore to oil PSUs
New Delhi:
Vijay Mallaya-owned Kingfisher Airlines owes state-run oil companies over Rs 950 crore in unpaid fuel bills while financial crisis-hit NACIL has cleared almost two-thirds of its outstanding. Kingfisher Airlines owned Rs 1,030.08 crore in unpaid bills for buying jet fuel from Indian Oil, Bharat Petroleum and Hindustan Petroleum on December 31, 2008. It stood at Rs 950.46 crore as on May 31, 2009, Petroleum Minister Murli Deora said in a written reply in Lok Sabha. — PTI

Hardware India 2009
Chandigarh:
India Trade Promotion Organisation (ITPO) will organise ‘Hardware India 09’at Pragati Maidan, New Delhi from October 11 to 14. ITPO is a nodal agency for trade promotion under the aegis of Ministry of Commerce & Industry, Govt of India. — TNS

Top

 





HOME PAGE | Punjab | Haryana | Jammu & Kashmir | Himachal Pradesh | Regional Briefs | Nation | Opinions |
| Business | Sports | World | Letters | Chandigarh | Ludhiana | Delhi |
| Calendar | Weather | Archive | Subscribe | Suggestion | E-mail |