An Indian-origin doctor has been appointed Chief Executive Officer of the American India Foundation (AIF), which gives grants for education, public health and livelihood projects in India.
Sanjay Sinho, presently Director of the health at CARE-USA, has controlled over 250 projects in over 50 countries spanning issues from sexual/reproductive, maternal and child health to infectious disease.
Announcing Sinho's appointment, Victor Menezes, co-chair of the AIF Board, said, "We are delighted to have Sanjay join us and are confident that the experience he brings in developing and managing large-scale programmes in India and internationally will take AIF to new heights."
Sinho, a trained pediatrician and a sociologist, has over 24 years of experience in public health.
He worked with CARE India till 1999, when he relocated to the United States to join CARE USA.
The AIF's founding president, Lata Krishnan, and executive director, Pradeep Kashyap, will relinquish their executive roles and become vice-chairs of the board of directors.
Sinho joins the recently appointed senior leadership team at AIF that includes Chief Operating Officer Kris Dasgupta, and the West Coast Regional Director Ethan Veneklasen.
AIF has invested in over 100 Indian non-governmental organisations since its inception in 2001. It awards grants to education, livelihood and public health projects in India with emphasis on elementary education, women's empowerment and HIV/AIDS respectively.
Wednesday, April 30, 2008
Tuesday, April 29, 2008
HUL`s net dips 3% despite 23% rise in operating profit
Company says inflationary pressures are a cause for concern.
Led by price hikes and high consumer demand across categories, fast moving consumer goods major Hindustan Unilever (HUL) achieved a growth of 22.7 per cent in operating profit to Rs 448.8 crore in the first quarter ended March 31, 2008 over the corresponding quarter last year. Net sales grew 19.1 per cent to Rs 3,793.9 crore year-on-year.
However, the company's net profit dipped 3 per cent to Rs 380.95 crore from Rs 393 crore in the corresponding quarter last year. Last year's profit included an exceptional gain of Rs 59 crore.
Harish Manwani, chairman, HUL, said, "Inflationary pressures are a cause for concern but market growth continues to be strong. There is no evidence as yet of any significant impact on consumer spending in our FMCG categories. We are confident of effectively managing the inflationary challenges."
In spite of a result in line with expectations, its share price on the Bombay Stock Exchange dipped by 1 per cent to Rs 247.2 in a weak market.
Led by price hikes and high consumer demand across categories, fast moving consumer goods major Hindustan Unilever (HUL) achieved a growth of 22.7 per cent in operating profit to Rs 448.8 crore in the first quarter ended March 31, 2008 over the corresponding quarter last year. Net sales grew 19.1 per cent to Rs 3,793.9 crore year-on-year.
However, the company's net profit dipped 3 per cent to Rs 380.95 crore from Rs 393 crore in the corresponding quarter last year. Last year's profit included an exceptional gain of Rs 59 crore.
Harish Manwani, chairman, HUL, said, "Inflationary pressures are a cause for concern but market growth continues to be strong. There is no evidence as yet of any significant impact on consumer spending in our FMCG categories. We are confident of effectively managing the inflationary challenges."
In spite of a result in line with expectations, its share price on the Bombay Stock Exchange dipped by 1 per cent to Rs 247.2 in a weak market.
Monday, April 28, 2008
PSLV puts 10 satellites in orbit
India set a record here on Monday when its Polar Satellite Launch Vehicle (PSLV-C9) fired 10 satellites into orbit in a precisely timed sequence.
As each satellite winged out of the vehicle, it had to be re-oriented to prevent collision. The feat proved the versatility, reliability and flexibility of the PSLV. This was the 13th PSLV flight and 12th successful one in a row.
A jubilant G. Madhavan Nair, Chairman, Indian Space Research Organisation (ISRO), told a press conference: “This is a memorable occasion for ISRO and India. We have set a record for launching 10 satellites into orbit [using a single vehicle]. Very few countries have done it. Russia launched 13 satellites at a time. We do not know the result. We have shown the world that we can do multiple launches in a precise manner. We are thrilled at the performance.”
As each satellite winged out of the vehicle, it had to be re-oriented to prevent collision. The feat proved the versatility, reliability and flexibility of the PSLV. This was the 13th PSLV flight and 12th successful one in a row.
A jubilant G. Madhavan Nair, Chairman, Indian Space Research Organisation (ISRO), told a press conference: “This is a memorable occasion for ISRO and India. We have set a record for launching 10 satellites into orbit [using a single vehicle]. Very few countries have done it. Russia launched 13 satellites at a time. We do not know the result. We have shown the world that we can do multiple launches in a precise manner. We are thrilled at the performance.”
Wednesday, April 23, 2008
TCS leads crash in technology stocks
Information technology stocks, led by Tata Consultancy Services, were on a crash course on the Bombay Stock Exchange (BSE) today, even as the benchmark Sensitive Index went up 44 points.
The BSE IT Index fell more than 4 per cent. TCS, which announced disappointing results yesterday, plunged 10.63 per cent to Rs 887.05 a share – the steepest intra-day fall for the country’s largest software services company since its market debut in 2004.
Investors reacted to news that three of the company’s top five clients in the banking and financial services sector have deferred contracts. This deepened investors’ concerns about the slowdown in the US, the sector’s largest market.
The IT index closed at 3930.47 points, down 4.32 per cent or 177.67 points. Other large IT companies too ended the day in the red. Wipro was down 5.06 per cent to Rs 430.7 a share, Tech Mahindra 4.05 per cent to Rs 845.55, HCL Technologies 3.96 per cent to Rs 263.4, Satyam Computers 5.03 per cent to Rs 435.85 and Infosys Technologies 2.81 per cent to Rs 1598.9.
While investors are making a beeline to sell IT stocks, market experts said the sector will increasingly become a defensive play within portfolios. When Infosys Technologies declared its results on April 15, TCS rose more than the Bangalore-based IT company because of high market expectations.
Except for Satyam Computer Services, which posted 7.7 per cent net profit growth quarter-on-quarter, all the other tier-I IT firms (Infosys, HCL and Wipro) reported poor sequential growth numbers. The three firms have recorded low sequential growth in revenue as well.
The BSE IT Index fell more than 4 per cent. TCS, which announced disappointing results yesterday, plunged 10.63 per cent to Rs 887.05 a share – the steepest intra-day fall for the country’s largest software services company since its market debut in 2004.
Investors reacted to news that three of the company’s top five clients in the banking and financial services sector have deferred contracts. This deepened investors’ concerns about the slowdown in the US, the sector’s largest market.
The IT index closed at 3930.47 points, down 4.32 per cent or 177.67 points. Other large IT companies too ended the day in the red. Wipro was down 5.06 per cent to Rs 430.7 a share, Tech Mahindra 4.05 per cent to Rs 845.55, HCL Technologies 3.96 per cent to Rs 263.4, Satyam Computers 5.03 per cent to Rs 435.85 and Infosys Technologies 2.81 per cent to Rs 1598.9.
While investors are making a beeline to sell IT stocks, market experts said the sector will increasingly become a defensive play within portfolios. When Infosys Technologies declared its results on April 15, TCS rose more than the Bangalore-based IT company because of high market expectations.
Except for Satyam Computer Services, which posted 7.7 per cent net profit growth quarter-on-quarter, all the other tier-I IT firms (Infosys, HCL and Wipro) reported poor sequential growth numbers. The three firms have recorded low sequential growth in revenue as well.
Tuesday, April 22, 2008
How to win plaudits at work
We’d all like to be star performers. Whether it’s winning Wimbledon going on Masterchef or coming top of our evening class, we al have our fantasies of success. But there is more to grabbing attention than doing a good job — some people always seem to end up covered in glory. Often to their co-workers’ annoyance: when the Queen gave Scottish airport worker John Smeaton a medal for tackling a terrorist in Glasgow last year, his colleagues protested that they had mucked in too.
It’s tough being the office Cinderella. But you can draw attention to your achievements without sleeping with the boss or turning into an ambition-zombie from ‘The Apprentice.’
First of all, get a grip. One reason we feel underappreciated at work is that we expect too much. “We look for a great deal from our working relationships, and we may use work as a substitute for family or a friendship group,” says Dr. Angela Carter of the Institute of Work Psychology at the University of Sheffield. “Getting positive feedback from colleagues means you know you are valued. But if you don’t get this, you feel undermined.”
And instead of feeling jealous of a colleague, who is getting accolades, look more closely at the way they operate. Chances are they are not drooping over the photocopier in a bobbly cardigan. Part of the secret of how to get noticed at work is presentation and professionalism. If you want to emulate their success — whether or not you feel it is justified - you might benefit from following their example.
Military efficiency
Conduct your campaign with military efficiency. Chuck out your cheap shirts, prepare well for meetings so that you can make lots of useful and considered comments and volunteer for “add-on” activities such as training colleagues or working on cross-team projects. On a simple level, you can increase your visibility at work by setting aside 15 or 20 minutes a day to walk around your office building, chatting to people. Surprisingly few people do it: a recent survey found office workers were less happy than those with manual jobs partly because they are stuck behind their desks all day.
As well as stepping outside your office to see and be seen, try getting beyond a “me, me, me” mindset. “Putting yourself in your manager’s shoes and thinking about what they want to achieve is a starting point,” says Dr. Carter. “It’s not just about your ego, it’s about the success — or otherwise — of the team. Look at how your work fits into the bigger picture, how your department relates to the work of the whole organisation.” If you can come up with some big ideas that show an understanding of this, your boss is unlikely to overlook your efforts.
Chartered psychologist Ben Williams says looking beyond your personal achievement and working with others can help. “Talk about others’ success, and they’ll soon comment on yours,” he says. “This really works.”
Sublimating your ego doesn’t mean forgetting to promote yourself. Quite the opposite. Letting go of the paranoid feeling that workmates are getting the attention, which is rightfully yours can free up a lot more energy. This you can spend networking and being dynamic, instead of lurking about feeling bitter.
As for the ability of others to be the instant centre of attention? It may be something you just have to learn to live with. Some people are, it seems, destined to hog the limelight for no reason — but there is still room for the old-fashioned approach of working hard and getting results.
It’s tough being the office Cinderella. But you can draw attention to your achievements without sleeping with the boss or turning into an ambition-zombie from ‘The Apprentice.’
First of all, get a grip. One reason we feel underappreciated at work is that we expect too much. “We look for a great deal from our working relationships, and we may use work as a substitute for family or a friendship group,” says Dr. Angela Carter of the Institute of Work Psychology at the University of Sheffield. “Getting positive feedback from colleagues means you know you are valued. But if you don’t get this, you feel undermined.”
And instead of feeling jealous of a colleague, who is getting accolades, look more closely at the way they operate. Chances are they are not drooping over the photocopier in a bobbly cardigan. Part of the secret of how to get noticed at work is presentation and professionalism. If you want to emulate their success — whether or not you feel it is justified - you might benefit from following their example.
Military efficiency
Conduct your campaign with military efficiency. Chuck out your cheap shirts, prepare well for meetings so that you can make lots of useful and considered comments and volunteer for “add-on” activities such as training colleagues or working on cross-team projects. On a simple level, you can increase your visibility at work by setting aside 15 or 20 minutes a day to walk around your office building, chatting to people. Surprisingly few people do it: a recent survey found office workers were less happy than those with manual jobs partly because they are stuck behind their desks all day.
As well as stepping outside your office to see and be seen, try getting beyond a “me, me, me” mindset. “Putting yourself in your manager’s shoes and thinking about what they want to achieve is a starting point,” says Dr. Carter. “It’s not just about your ego, it’s about the success — or otherwise — of the team. Look at how your work fits into the bigger picture, how your department relates to the work of the whole organisation.” If you can come up with some big ideas that show an understanding of this, your boss is unlikely to overlook your efforts.
Chartered psychologist Ben Williams says looking beyond your personal achievement and working with others can help. “Talk about others’ success, and they’ll soon comment on yours,” he says. “This really works.”
Sublimating your ego doesn’t mean forgetting to promote yourself. Quite the opposite. Letting go of the paranoid feeling that workmates are getting the attention, which is rightfully yours can free up a lot more energy. This you can spend networking and being dynamic, instead of lurking about feeling bitter.
As for the ability of others to be the instant centre of attention? It may be something you just have to learn to live with. Some people are, it seems, destined to hog the limelight for no reason — but there is still room for the old-fashioned approach of working hard and getting results.
Monday, April 21, 2008
Leaving our mark
Whether you live in a cardboard box or a luxurious mansion, whether you subsist on homegrown vegetables or wolf down imported steaks, whether you're a jet-setter or a sedentary retiree, anyone who lives in the U.S. contributes more than twice as much greenhouse gas to the atmosphere as the global average, an MIT class has estimated.
The class studied the carbon emissions of Americans in a wide variety of lifestyles--from the homeless to multimillionaires, from Buddhist monks to soccer moms--and compared them to those of other nations. The somewhat disquieting bottom line is that in the United States, even people with the lowest energy usage account for, on average, more than double the global per-capita carbon emission. And those emissions rise steeply from that minimum as people's income increases.
"Regardless of income, there is a certain floor below which the individual carbon footprint of a person in the U.S. will not drop," says Timothy Gutowski, professor of mechanical engineering, who taught the class that calculated the rates of carbon emissions. The results will be presented this May at the IEEE International Symposium on Electronics and the Environment in San Francisco.
While it may seem surprising that even people whose lifestyles don't appear extravagant--the homeless, monks, children--are responsible for significant greenhouse gas emissions, one major factor is the array of government services that are available to everyone in the United States. These basic services--including police, roads, libraries, the court system and the military--were allocated equally to everyone in the country in this study. Other services that are more specific, such as education or Medicare, were allocated only to those who actually make use of them.
The students conducted detailed interviews or made detailed estimates of the energy usage of 18 lifestyles, spanning the gamut from a vegetarian college student and a 5-year-old up to the ultrarich--Oprah Winfrey and Bill Gates. The energy impact for the rich was estimated from published sources, while all the others were based on direct interviews. The average annual carbon dioxide emissions per person, they found, was 20 metric tons, compared to a world average of four tons.
But the "floor" below which nobody in the U.S. can reach, no matter a person's energy choices, turned out to be 8.5 tons, the class found. That was the emissions calculated for a homeless person who ate in soup kitchens and slept in homeless shelters.
The analysis was carried out by Gutowski and 21 students in his 2007 class, "Environmentally benign design and manufacturing." They derived a system for making such comparisons, which they call ELSA--environmental life style analysis.
Unlike some other attempts to quantify carbon-emission rates, Gutowski and his students took great care to account for often-overlooked factors, such as the "rebound effect." That's when someone makes a particular choice--for example, buying a hybrid car instead of a gas-guzzler--but then uses the money saved from their reduced gasoline costs to do something else, such as taking a long trip by airplane. The net impact, in such a case, may actually be an overall increase in carbon emissions.
"When you save energy, you save money," Gutowski explains. "The question is, how are you going to spend that money?"
The students looked at the factors within each person's control that might lead to a reduction in carbon output. They found that achieving significant reductions for the most part required drastic changes that would likely be unacceptable to most people. As a result, they said, "this all suggests to us very significant limits to voluntary actions to reduce impacts, both at a personal level and at a national level."
In a continuation of the class this semester, another group of students are exploring this question in more detail, looking at just what kinds of things people really can do to limit their environmental impact. The question they are addressing, Gutowski says, is "can average Americans tighten their belts" in a way that would make a significant difference? Once again, the class will be interviewing people living in a wide variety of ways, including an Amish farming lifestyle. Then, after analyzing the results and possible changes, they will go back to the same people and ask, "Would you consider these alternatives?"
In general, spending money on travel or on goods that have substantial energy costs in their manufacture and delivery adds to a person's carbon footprint, while expenditures on locally based labor-intensive services--whether it's going to a therapist, taking an art class, or getting a massage--leads to a smaller footprint.
But the biggest factors in most people's lives were the obvious energy-users: housing, transportation and food. "The simple way you get people's carbon use down is to tax it," Gutowski says. "That's a hard pill to swallow--politicians don't like to step up" to support such measures. Absent such national actions, he says, it is important to study "what role consumer choices can play" in lowering the nation's carbon emissions.
If nothing else, the members of this class got a whole new perspective. "The students really got into it," Gutowski says. "It raised everybody's awareness about the issues."
The class studied the carbon emissions of Americans in a wide variety of lifestyles--from the homeless to multimillionaires, from Buddhist monks to soccer moms--and compared them to those of other nations. The somewhat disquieting bottom line is that in the United States, even people with the lowest energy usage account for, on average, more than double the global per-capita carbon emission. And those emissions rise steeply from that minimum as people's income increases.
"Regardless of income, there is a certain floor below which the individual carbon footprint of a person in the U.S. will not drop," says Timothy Gutowski, professor of mechanical engineering, who taught the class that calculated the rates of carbon emissions. The results will be presented this May at the IEEE International Symposium on Electronics and the Environment in San Francisco.
While it may seem surprising that even people whose lifestyles don't appear extravagant--the homeless, monks, children--are responsible for significant greenhouse gas emissions, one major factor is the array of government services that are available to everyone in the United States. These basic services--including police, roads, libraries, the court system and the military--were allocated equally to everyone in the country in this study. Other services that are more specific, such as education or Medicare, were allocated only to those who actually make use of them.
The students conducted detailed interviews or made detailed estimates of the energy usage of 18 lifestyles, spanning the gamut from a vegetarian college student and a 5-year-old up to the ultrarich--Oprah Winfrey and Bill Gates. The energy impact for the rich was estimated from published sources, while all the others were based on direct interviews. The average annual carbon dioxide emissions per person, they found, was 20 metric tons, compared to a world average of four tons.
But the "floor" below which nobody in the U.S. can reach, no matter a person's energy choices, turned out to be 8.5 tons, the class found. That was the emissions calculated for a homeless person who ate in soup kitchens and slept in homeless shelters.
The analysis was carried out by Gutowski and 21 students in his 2007 class, "Environmentally benign design and manufacturing." They derived a system for making such comparisons, which they call ELSA--environmental life style analysis.
Unlike some other attempts to quantify carbon-emission rates, Gutowski and his students took great care to account for often-overlooked factors, such as the "rebound effect." That's when someone makes a particular choice--for example, buying a hybrid car instead of a gas-guzzler--but then uses the money saved from their reduced gasoline costs to do something else, such as taking a long trip by airplane. The net impact, in such a case, may actually be an overall increase in carbon emissions.
"When you save energy, you save money," Gutowski explains. "The question is, how are you going to spend that money?"
The students looked at the factors within each person's control that might lead to a reduction in carbon output. They found that achieving significant reductions for the most part required drastic changes that would likely be unacceptable to most people. As a result, they said, "this all suggests to us very significant limits to voluntary actions to reduce impacts, both at a personal level and at a national level."
In a continuation of the class this semester, another group of students are exploring this question in more detail, looking at just what kinds of things people really can do to limit their environmental impact. The question they are addressing, Gutowski says, is "can average Americans tighten their belts" in a way that would make a significant difference? Once again, the class will be interviewing people living in a wide variety of ways, including an Amish farming lifestyle. Then, after analyzing the results and possible changes, they will go back to the same people and ask, "Would you consider these alternatives?"
In general, spending money on travel or on goods that have substantial energy costs in their manufacture and delivery adds to a person's carbon footprint, while expenditures on locally based labor-intensive services--whether it's going to a therapist, taking an art class, or getting a massage--leads to a smaller footprint.
But the biggest factors in most people's lives were the obvious energy-users: housing, transportation and food. "The simple way you get people's carbon use down is to tax it," Gutowski says. "That's a hard pill to swallow--politicians don't like to step up" to support such measures. Absent such national actions, he says, it is important to study "what role consumer choices can play" in lowering the nation's carbon emissions.
If nothing else, the members of this class got a whole new perspective. "The students really got into it," Gutowski says. "It raised everybody's awareness about the issues."
Sensex up 205pts; Tata Steel surges 6% Mumbai April 21, 2008
The Sensex is now up 205 points at 16,687.
The NSE Nifty is up 66 points at 5,024.
Tata Steel has soared nearly 6% to Rs 757, and Jaiprakash Associates has surged 5% to Rs 228.
Hindalco and Bharti Airtel have rallied 3.7% each to Rs 193 and Rs 854, respectively. Ranbaxy has gained 3.5% at Rs 496.
Grasim and HDFC Bank have moved up over 2.5% each to Rs 2,632 and Rs 1,434, respectively. Larsen & Toubro has advanced over 2% to Rs 2,838.
NTPC has added 1.7% to Rs 193, and Reliance Communications is up 1.3% at Rs 538.
Satyam has shed 1.4% at Rs 463, and Infosys has slipped 0.7% to Rs 1,655.
The NSE Nifty is up 66 points at 5,024.
Tata Steel has soared nearly 6% to Rs 757, and Jaiprakash Associates has surged 5% to Rs 228.
Hindalco and Bharti Airtel have rallied 3.7% each to Rs 193 and Rs 854, respectively. Ranbaxy has gained 3.5% at Rs 496.
Grasim and HDFC Bank have moved up over 2.5% each to Rs 2,632 and Rs 1,434, respectively. Larsen & Toubro has advanced over 2% to Rs 2,838.
NTPC has added 1.7% to Rs 193, and Reliance Communications is up 1.3% at Rs 538.
Satyam has shed 1.4% at Rs 463, and Infosys has slipped 0.7% to Rs 1,655.
Friday, April 18, 2008
Citigroup posts $5.1 bn loss for Q
Sub-prime crisis-ridden Citigroup, global banking giant run by India-born Vikram Pandit, today reported over $5 billion of loss for the first quarter of 2008 and said India contributed considerably to its increased credit costs internationally.
The loss of $5.1 billion for January-March period marks the second consecutive quarter in the red for the global banking behemoth, which is yet to see profitability ever since Nagpur-born Pandit assumed the charge late last year.
The loss of $5.1 billion for January-March period marks the second consecutive quarter in the red for the global banking behemoth, which is yet to see profitability ever since Nagpur-born Pandit assumed the charge late last year.
The company attributed its weak performance mainly to its sub-prime related direct exposures in fixed income markets and highly leveraged finance commitments.
The quarterly loss came on the back of $6 billion of sub-prime crisis-related write-downs and increased credit costs and a write-down of $3.1 billion for loans it extended to fund the corporate buyouts. Besides, it recorded a $3.1 billion of additional credit costs related to consumer lending and also wrote down $1.5 billion for its exposure to bond insurers and another $1.5 billion for auction-rate securities.
The company's first quarter revenue fell by 48 per cent to $13.2 billion. The bank said that in the US consumer business, its higher credit costs reflected an increase in net credit losses of $1.1 billion and an incremental net charge to increase loan loss reserves of $1.2 billion. "In international consumer, higher credit costs reflected an increase in net credit losses of $461 million and an incremental net charge to increase loan loss reserves of $312 million. The increase in credit costs was primarily driven by Mexico cards and India consumer finance, as well as by acquisitions and portfolio growth," it said.
Increased credit costs in India also added to the company's international consumer finance business. "Outside of Japan, the net loss of $99 million (for international consumer finance business) mainly was due to an increase in credit costs of 92 per cent, primarily driven by India, and a repositioning charge," the bank said.
Besides, India was the prime reason behind the decline in its overall Asia net income. "The decline in (Asia) net income reflected higher expenses associated with increased collection efforts, primarily in India, and branch openings, as well as higher credit costs in India consumer finance," Citigroup said here.
"Our financial results reflect the continuation of the unprecedented market and credit environment and its impact on our historical risk positions," Citigroup CEO Pandit said.
"During the first quarter, valuations of our sub-prime related exposures in fixed income markets and leveraged finance assets have further declined and credit costs in our consumer lending businesses have increased," he added.
The loss of $5.1 billion for January-March period marks the second consecutive quarter in the red for the global banking behemoth, which is yet to see profitability ever since Nagpur-born Pandit assumed the charge late last year.
The loss of $5.1 billion for January-March period marks the second consecutive quarter in the red for the global banking behemoth, which is yet to see profitability ever since Nagpur-born Pandit assumed the charge late last year.
The company attributed its weak performance mainly to its sub-prime related direct exposures in fixed income markets and highly leveraged finance commitments.
The quarterly loss came on the back of $6 billion of sub-prime crisis-related write-downs and increased credit costs and a write-down of $3.1 billion for loans it extended to fund the corporate buyouts. Besides, it recorded a $3.1 billion of additional credit costs related to consumer lending and also wrote down $1.5 billion for its exposure to bond insurers and another $1.5 billion for auction-rate securities.
The company's first quarter revenue fell by 48 per cent to $13.2 billion. The bank said that in the US consumer business, its higher credit costs reflected an increase in net credit losses of $1.1 billion and an incremental net charge to increase loan loss reserves of $1.2 billion. "In international consumer, higher credit costs reflected an increase in net credit losses of $461 million and an incremental net charge to increase loan loss reserves of $312 million. The increase in credit costs was primarily driven by Mexico cards and India consumer finance, as well as by acquisitions and portfolio growth," it said.
Increased credit costs in India also added to the company's international consumer finance business. "Outside of Japan, the net loss of $99 million (for international consumer finance business) mainly was due to an increase in credit costs of 92 per cent, primarily driven by India, and a repositioning charge," the bank said.
Besides, India was the prime reason behind the decline in its overall Asia net income. "The decline in (Asia) net income reflected higher expenses associated with increased collection efforts, primarily in India, and branch openings, as well as higher credit costs in India consumer finance," Citigroup said here.
"Our financial results reflect the continuation of the unprecedented market and credit environment and its impact on our historical risk positions," Citigroup CEO Pandit said.
"During the first quarter, valuations of our sub-prime related exposures in fixed income markets and leveraged finance assets have further declined and credit costs in our consumer lending businesses have increased," he added.
RBI hikes CRR by 50 basis points
Joining the government in battling the skyrocketing inflation, the Reserve Bank of India (RBI) today hiked the cash reserve ratio (CRR) by 50 basis points to 8%. The ratio indicates the amount of money banks have to keep with RBI as a percentage of their liabilities (deposits).
The rate hike will be introduced in two stages. In the first stage, RBI will raise CRR by 25 basis points to 7.75% on April 26. Another 25 basis point hike will come into effect from May 10, 2008.
As a result of the increase in CRR, about Rs 18,500 crore of'banks resources would be taken out of the system, RBI said in statement.
The inflation, measured by the wholesale price index (WPI), has shot up to 7.41% in the last week of March and remained above 7% in the first week of April.
The overall impact on inflation expectations requires to be monitored and moderated, RBI said.
Liquidity has grown substantially in first two weeks of April. It is one of the factors that stokes inflation. The liquidity adjustment facility (LAF) had been in an injection mode persistently during the second half of March.
Subsequently, there was a large turnaround and an average amount of Rs 40,088 crore was absorbed through the LAF during April 3-17, 2008 as against the average daily injection of Rs. 27,385 crore during March 17-31, 2008.
The rate hike will be introduced in two stages. In the first stage, RBI will raise CRR by 25 basis points to 7.75% on April 26. Another 25 basis point hike will come into effect from May 10, 2008.
As a result of the increase in CRR, about Rs 18,500 crore of'banks resources would be taken out of the system, RBI said in statement.
The inflation, measured by the wholesale price index (WPI), has shot up to 7.41% in the last week of March and remained above 7% in the first week of April.
The overall impact on inflation expectations requires to be monitored and moderated, RBI said.
Liquidity has grown substantially in first two weeks of April. It is one of the factors that stokes inflation. The liquidity adjustment facility (LAF) had been in an injection mode persistently during the second half of March.
Subsequently, there was a large turnaround and an average amount of Rs 40,088 crore was absorbed through the LAF during April 3-17, 2008 as against the average daily injection of Rs. 27,385 crore during March 17-31, 2008.
Thursday, April 17, 2008
Auto Inds set to slow down on high input cost
Inflation, rising rupee also contribute to the sector's woes.
Weighed down by spiralling input costs, the automobile industry is staring at another slowdown this year also. The industry saw a five per cent decline in its sales last year.
Apart from prices of raw materials reaching an all-time high, there is a liquidity crunch in the automobile consumer market. Inflation has affected buying decisions. Finance companies are getting increasingly reluctant to grant loans.
The automobile sector is also facing slower growth in the export market: A weakening US dollar has reduced margins.
Manufacturers are left with no option but to pass on the price rise to customers. Almost all manufacturers and allied sectors, like auto-component makers, say the impact of inflation has become unbearable.
Mahindra and Mahindra, Tata Motors, Maruti Suzuki, and Hyundai say they are trying to absorb price hikes but fear a bulk will be passed on to buyers.
Large, medium, and small-sized auto component makers are also saying the same.
Sales in March were not as high as they traditionally are. That, despite the finance minister announcing a substantial cut in excise duty, from 16 per cent to 12 per cent.
The passenger-car segment saw a rise of just 12 per cent, while the two-wheeler segment recorded a fall of eight per cent.
Pawan Goenka, president, Mahindra and Mahindra (automotive sector), says: “I haven’t seen such a price rise in raw materials in as many years as I can remember. We will witness a lower growth in the first six months of this fiscal.”
Market watchers and analysts say high input prices can be absorbed to a large extent by manufacturers. But, they add, small and medium-sized components makers will have a tough time as their margins are already narrow.
Vishnu Mathur, executive director, Auto Components Manufacturers Association (ACMA), said, “A price escalation of about three to four per cent is understandable. But a sudden spike of 25-30 per cent within three months is not. Most companies are renegotiating prices with OEMs (other equipment manufacturers). If matters are not sorted, the sector will face a slowdown. Component makers are already facing negative profitability for the past seven to eight months.”
Prices of essential commodities like steel, copper, alloys, pig iron, coke, ferro manganese, ferro alloys, and rubber, crude oil have risen by 30-70 per cent in the past few months.
Weighed down by spiralling input costs, the automobile industry is staring at another slowdown this year also. The industry saw a five per cent decline in its sales last year.
Apart from prices of raw materials reaching an all-time high, there is a liquidity crunch in the automobile consumer market. Inflation has affected buying decisions. Finance companies are getting increasingly reluctant to grant loans.
The automobile sector is also facing slower growth in the export market: A weakening US dollar has reduced margins.
Manufacturers are left with no option but to pass on the price rise to customers. Almost all manufacturers and allied sectors, like auto-component makers, say the impact of inflation has become unbearable.
Mahindra and Mahindra, Tata Motors, Maruti Suzuki, and Hyundai say they are trying to absorb price hikes but fear a bulk will be passed on to buyers.
Large, medium, and small-sized auto component makers are also saying the same.
Sales in March were not as high as they traditionally are. That, despite the finance minister announcing a substantial cut in excise duty, from 16 per cent to 12 per cent.
The passenger-car segment saw a rise of just 12 per cent, while the two-wheeler segment recorded a fall of eight per cent.
Pawan Goenka, president, Mahindra and Mahindra (automotive sector), says: “I haven’t seen such a price rise in raw materials in as many years as I can remember. We will witness a lower growth in the first six months of this fiscal.”
Market watchers and analysts say high input prices can be absorbed to a large extent by manufacturers. But, they add, small and medium-sized components makers will have a tough time as their margins are already narrow.
Vishnu Mathur, executive director, Auto Components Manufacturers Association (ACMA), said, “A price escalation of about three to four per cent is understandable. But a sudden spike of 25-30 per cent within three months is not. Most companies are renegotiating prices with OEMs (other equipment manufacturers). If matters are not sorted, the sector will face a slowdown. Component makers are already facing negative profitability for the past seven to eight months.”
Prices of essential commodities like steel, copper, alloys, pig iron, coke, ferro manganese, ferro alloys, and rubber, crude oil have risen by 30-70 per cent in the past few months.
IMF cuts India's share in world GDP
The International Monetary Fund (IMF) has reduced India’s contribution to world gross domestic product (GDP) in purchasing power parity (PPP) terms to 4.6 per cent in 2007 from the earlier estimate of 6.4 per cent.
In its latest World Economic Outlook growth estimates, the IMF has used PPP exchange rates to measure world GDP and contribution to global GDP by individual countries.
“This is for the first time that the IMF has incorporated the new PPP exchange rate in its World Economic Outlook to measure world GDP,” said Joshua Felman, senior resident representative of IMF in India.
A fallout of the new method is the reduced contribution to global GDP by emerging economies like India and China. China’s share in global output in 2007 is now estimated at 10.8 per cent less than the earlier estimate of 15.8 per cent.
On the other hand, the share of the United States has been revised upwards from 19.3 per cent to 21.4 per cent in 2007.
“The new measurement method is the result of a comprehensive survey by the World Bank, the Asian Development Bank and other development banks in various countries in 2005. The survey found that the contribution by countries like China and India to world GDP has been overstated,” Felman said.
However, not everybody agrees. “Output measurement in PPP terms is very controversial. The numbers shown for the Asian countries are terribly off. The data of the IMF is not consistent with other data available,” said Surjit Bhalla, chairman, Oxus Investments.
The new estimates of PPP exchange rates were released by the International Comparison Programme (ICP) in December 2007. PPP rates are an alternative way of comparing exchange rates between countries using a comparison of prices for a basket of goods and services in different countries.
The PPP rate is defined as the amount of a particular currency needed to purchase the same basket of goods and services in various countries. The PPP rate can deviate from the market exchange rate due to influence of international trade and capital flows.
The global growth forecast of 3.7 per cent has also been calculated on the basis of the new methodology. Based on the current estimate, the IMF has concluded that there is a 25 per cent chance that global growth will drop to 3 per cent or less in 2008 and 2009 — equivalent to global recession.
The downward revision of global growth in 2007 to 4.9 per cent from the earlier estimate of 5.2 per cent is mostly due to the revised PPP weights.
In its latest World Economic Outlook growth estimates, the IMF has used PPP exchange rates to measure world GDP and contribution to global GDP by individual countries.
“This is for the first time that the IMF has incorporated the new PPP exchange rate in its World Economic Outlook to measure world GDP,” said Joshua Felman, senior resident representative of IMF in India.
A fallout of the new method is the reduced contribution to global GDP by emerging economies like India and China. China’s share in global output in 2007 is now estimated at 10.8 per cent less than the earlier estimate of 15.8 per cent.
On the other hand, the share of the United States has been revised upwards from 19.3 per cent to 21.4 per cent in 2007.
“The new measurement method is the result of a comprehensive survey by the World Bank, the Asian Development Bank and other development banks in various countries in 2005. The survey found that the contribution by countries like China and India to world GDP has been overstated,” Felman said.
However, not everybody agrees. “Output measurement in PPP terms is very controversial. The numbers shown for the Asian countries are terribly off. The data of the IMF is not consistent with other data available,” said Surjit Bhalla, chairman, Oxus Investments.
The new estimates of PPP exchange rates were released by the International Comparison Programme (ICP) in December 2007. PPP rates are an alternative way of comparing exchange rates between countries using a comparison of prices for a basket of goods and services in different countries.
The PPP rate is defined as the amount of a particular currency needed to purchase the same basket of goods and services in various countries. The PPP rate can deviate from the market exchange rate due to influence of international trade and capital flows.
The global growth forecast of 3.7 per cent has also been calculated on the basis of the new methodology. Based on the current estimate, the IMF has concluded that there is a 25 per cent chance that global growth will drop to 3 per cent or less in 2008 and 2009 — equivalent to global recession.
The downward revision of global growth in 2007 to 4.9 per cent from the earlier estimate of 5.2 per cent is mostly due to the revised PPP weights.
Monday, April 14, 2008
FMCG industry grew 16% in 2007-08: Ficci
The Indian FMCG industry, valued at Rs 74,650 cr in 2006-07, grew by 16% in 2007-08 compared to 14.5% growth in the previous fiscal, a survey by industry body Ficci said.
The high growth in the sector is backed by the rising demand, fiscal incentives provided by the government such as tax exemptions in some states and improved performance by leading companies, the chamber said in a statement.
Driving the growth of the sector, the 'deodorant' segment of the industry has achieved the highest growth of 40% followed by hair dye at 30% and chemical segments including cleaner and repellents at 23%, the survey pointed out. However, there has been some deceleration in the soap and toiletries segment.
The industry has been able to achieve growth despite of rising prices, increase in costs of various inputs such as petroleum products and packaging materials, the chamber said.
According to the study done by Indian Market Research Bureau, the industry has witnessed launch of over 251 new products including 223 variants of existing products during the first 10 months of 2007, compared to 191 products including 173 variants in the same period in 2006.
The on-going retail boom in the country has forced FMCG companies to re-work strategies and make arrangements with retail majors for sales promotion, the chamber said.
The high growth in the sector is backed by the rising demand, fiscal incentives provided by the government such as tax exemptions in some states and improved performance by leading companies, the chamber said in a statement.
Driving the growth of the sector, the 'deodorant' segment of the industry has achieved the highest growth of 40% followed by hair dye at 30% and chemical segments including cleaner and repellents at 23%, the survey pointed out. However, there has been some deceleration in the soap and toiletries segment.
The industry has been able to achieve growth despite of rising prices, increase in costs of various inputs such as petroleum products and packaging materials, the chamber said.
According to the study done by Indian Market Research Bureau, the industry has witnessed launch of over 251 new products including 223 variants of existing products during the first 10 months of 2007, compared to 191 products including 173 variants in the same period in 2006.
The on-going retail boom in the country has forced FMCG companies to re-work strategies and make arrangements with retail majors for sales promotion, the chamber said.
Thursday, April 10, 2008
NTPC net profit up 4% at Rs 7,129cr
NTPC, the country’s largest electricity generator, has recorded a 3.85% increase in net profit at Rs 7,129.30 crore in the financial year ended March 31, 2008. Sales increased 13.53% to Rs 37,004.6 crore from Rs 32,592.2 crore in 2006-07.
"Higher efficiency and increased power generation resulted in higher sales and profits," A K Singhal, director (finance), NTPC, said, adding the profitability was not decreasing.
The company generated 20,086 crore units of electricity during 2007-08, which is 6.46% higher than its generation in the previous financial year.
The company’s coal-based power plants recorded a plant load factor of 92.24% when compared with 89.43% in the previous financial year. Its gas-based power plants, however, suffered as the company received 11. 7 million cubic metres per day (mcmd) of gas during the year when its requirement was 17.35 mcmd for its plants to operate at 90% plant load factor. "This affected the performance of our gas-based power stations," chairman and managing director T Sankaralingam said.
The company imported 2.5 million tonne coal in FY08, which is expected to double to around five million tonne in the current fiscal, Sankaralingam said.
"Higher efficiency and increased power generation resulted in higher sales and profits," A K Singhal, director (finance), NTPC, said, adding the profitability was not decreasing.
The company generated 20,086 crore units of electricity during 2007-08, which is 6.46% higher than its generation in the previous financial year.
The company’s coal-based power plants recorded a plant load factor of 92.24% when compared with 89.43% in the previous financial year. Its gas-based power plants, however, suffered as the company received 11. 7 million cubic metres per day (mcmd) of gas during the year when its requirement was 17.35 mcmd for its plants to operate at 90% plant load factor. "This affected the performance of our gas-based power stations," chairman and managing director T Sankaralingam said.
The company imported 2.5 million tonne coal in FY08, which is expected to double to around five million tonne in the current fiscal, Sankaralingam said.
Wednesday, April 9, 2008
Mastek Q3 net up 65% at Rs 35cr
Matesk today reported a 65% increase in net profit at Rs 35 crore for the third quarter ended March 31, 2007 from Rs 21.22 crore (excluding the contributions from Deloitte joint venture) in the corresponding quarter of the last fiscal.
Revenue for the quarter ended March 31, 2008 at Rs 238.9 crore was up 22% from Rs 195.3 crore (excluding Deloitte JV) for the quarter ended March 31, 2007.
If the Deloitte JV numbers are taken into account, the company’s net profit was down 13% from Rs 40.23 crore and revenue was up 11% from Rs 214.79 crore.
According to a release issued by Mastek today, total income, in dollar terms, increased 33% to $59.9 million in the quarter under review from $44.9 million in the corresponding period of the last fiscal. PAT was higher by 80% at $8.8million when compared with $4.9 million.
For the April-June 2008 quarter, Mastek expects consolidated total income (inclusive of other income) to be in the range of Rs 245-250 crore. Net profit after tax and minority interest is likely to be in the range of Rs 37-38 crore.
Sudhakar Ram, chairman and managing director, Mastek, said: "Other than the STG acquisition, we also had two major deals that added to the quarter numbers. Going ahead, for the full year in dollar terms, we are expecting a growth of 38-39%. For the April-June quarter we are expecting a topline of Rs 240-250 crore and net profit in the range of Rs 37-38 crore."
The acquisition of US-based System Task Group (STG) contributed close to Rs 16 core to the topline due to which the company surpassed its own guidance of Rs 220-225 crore. Its net profit, on sequential basis, also crossed the guidance of Rs 29-30 crore.
Revenue for the quarter ended March 31, 2008 at Rs 238.9 crore was up 22% from Rs 195.3 crore (excluding Deloitte JV) for the quarter ended March 31, 2007.
If the Deloitte JV numbers are taken into account, the company’s net profit was down 13% from Rs 40.23 crore and revenue was up 11% from Rs 214.79 crore.
According to a release issued by Mastek today, total income, in dollar terms, increased 33% to $59.9 million in the quarter under review from $44.9 million in the corresponding period of the last fiscal. PAT was higher by 80% at $8.8million when compared with $4.9 million.
For the April-June 2008 quarter, Mastek expects consolidated total income (inclusive of other income) to be in the range of Rs 245-250 crore. Net profit after tax and minority interest is likely to be in the range of Rs 37-38 crore.
Sudhakar Ram, chairman and managing director, Mastek, said: "Other than the STG acquisition, we also had two major deals that added to the quarter numbers. Going ahead, for the full year in dollar terms, we are expecting a growth of 38-39%. For the April-June quarter we are expecting a topline of Rs 240-250 crore and net profit in the range of Rs 37-38 crore."
The acquisition of US-based System Task Group (STG) contributed close to Rs 16 core to the topline due to which the company surpassed its own guidance of Rs 220-225 crore. Its net profit, on sequential basis, also crossed the guidance of Rs 29-30 crore.
Tuesday, April 8, 2008
L&T bags Rs 1,687cr orders
Larsen & Toubro (L&T) has bagged four orders worth Rs 1,687 crore from the government of Rajasthan, Bhushan Steel, SAIL and Damodar Valley Corporation (DVC).
According to a release issued by L&T to the BSE today, the orders are for water supply projects, sinter plant and cold roll mill and a coal handling plant.
"The construction division of Larsen & Toubro has secured an EPC contract worth Rs 635 crore from the government of Rajasthan for design, supply, build and commissioning of water supply project," the release added.
When completed, the project will provide safe drinking water to the people of Jaisalmer and Barmer including army bases, the release added.
L&T, in consortium with Outotec GmbH, has bagged a Rs 555 crore sinter plant order from Bhushan Steel (BSL).
Apart from these two orders, L&T's ECC has bagged a Rs 272 crore order from the Bokaro plant of SAIL for the construction of civil works for a new cold roll mill.
According to a release issued by L&T to the BSE today, the orders are for water supply projects, sinter plant and cold roll mill and a coal handling plant.
"The construction division of Larsen & Toubro has secured an EPC contract worth Rs 635 crore from the government of Rajasthan for design, supply, build and commissioning of water supply project," the release added.
When completed, the project will provide safe drinking water to the people of Jaisalmer and Barmer including army bases, the release added.
L&T, in consortium with Outotec GmbH, has bagged a Rs 555 crore sinter plant order from Bhushan Steel (BSL).
Apart from these two orders, L&T's ECC has bagged a Rs 272 crore order from the Bokaro plant of SAIL for the construction of civil works for a new cold roll mill.
Saturday, April 5, 2008
Indian rich join the armoured car corps
For years, armoured cars were bought only by the government to provide security for top officials or politicians.
Now, a growing number of well-heeled private citizens are buying armoured vehicles for their safety, providing a profitable new business stream for companies like Jalandhar-based Laggar Industries and automaker Hindustan Motors. The annual market is about 500 vehicles, of which 30 to 40 are bought by private citizens.
“The ownership ratio for armoured vehicle between the government and private individuals is 90:10. We expect the ratio to shift to 70:30,” said an executive of Laggar Industries, one of the country’s leading private armouring companies.
“We have seen a 20 per cent increase in the demand for armoured vehicles from private individuals over the last three years. The surge primarily comes from private high net worth individuals like liquor barons, film stars, property dealers and infrastructure companies,” he added.
Executives of Hindustan Motors, part of the CK Birla Group, said its select clientele for its armoured passenger cars and sports utility vehicles are controversial religious leaders and hoteliers.
Even public sector companies are buying bullet-proof vehicles. For instance, ONGC buys its armoured vehicles from Mahindra Defence Systems (MDS), a subsidiary of Mahindra & Mahindra (M&M).
Laggar Industries was founded during the height of insurgency in Punjab in the 1980s and has armoured about 2,000 units primarily for security forces in Punjab and politicians at high risk. “In good times, we do armouring for about 50 units a year,” the executive said.
While almost every brand of car and utility vehicle can be armoured, security experts said the Ambassador was the most preferred vehicle.
“Once we are notified that a car is destined for armouring we configure the suspension to take the extra weight displaced by armouring,” explains Soni Shrivastav, spokesperson for the CK Birla Group.
Almost all armoured cars are reinforced with 5 to 6mm armoured steel, and fitted with 40 or 50 mm bullet-proof glass.
“The roof and floor of the car are reinforced with a polycarbonate sheet that absorbs shrapnel from a bomb blast, and run flat tyres that clock top speeds even when they are deflated,” said the Laggar Industries official.
The Ambassador base model weighs 1,000 kg and armouring adds 850 kg.
Expectedly, it costs approximately three times the factory price of a car to armour it. A top-end Ambassador model costs about Rs 5.5 lakh. Beefing it with specialised steel costs an extra Rs 15 lakh.
The car manufacturer outsources its armouring unit to a supervised private contractor.
Popular models of armoured utility vehicles include the Mitsubishi Pajero, Tata Sumo and Safari and M&M’s Scorpio & Bolero.
The layers of specialised steel that go into armouring a car determine the security that is guaranteed.
“Armouring a vehicle is a customised operation that is pegged at the level of danger to which the individual is exposed,” explained Khutub Hai, chief executive of MDS, which supplies about 250 units annually to the defence forces.
This level of protection could protect the VIP inside from four levels of gunfire — firing from a 9 mm handgun, .357 magnum, AK 47, and a 7.26 rifle and its international firearms equivalents.
Many individuals are also quietly importing luxury armoured cars from BMW, Audi and Mercedes Benz. BMW’s top-end armoured vehicles incorporate protection from stray missiles.
“Some of our cars incorporate a radar system to detect incoming missiles fired from hand-held rocket launchers,” said a BMW spokesperson.
It takes 35 working days for an Indian manufacturer to complete armouring a car, but the security clearances from government agencies permitting private citizens to own armoured vehicle takes much longer.
“Armouring a vehicle needs clearance from the home ministry and a no objection certificate from the police,” explained Hai.
This elaborate procedure dissuades giant auto majors in the country from supplying large numbers of armoured vehicles to high net worth individuals.
A source said the manufacturer is also questioned by investigative agencies for any incident involving an armoured vehicle.
Now, a growing number of well-heeled private citizens are buying armoured vehicles for their safety, providing a profitable new business stream for companies like Jalandhar-based Laggar Industries and automaker Hindustan Motors. The annual market is about 500 vehicles, of which 30 to 40 are bought by private citizens.
“The ownership ratio for armoured vehicle between the government and private individuals is 90:10. We expect the ratio to shift to 70:30,” said an executive of Laggar Industries, one of the country’s leading private armouring companies.
“We have seen a 20 per cent increase in the demand for armoured vehicles from private individuals over the last three years. The surge primarily comes from private high net worth individuals like liquor barons, film stars, property dealers and infrastructure companies,” he added.
Executives of Hindustan Motors, part of the CK Birla Group, said its select clientele for its armoured passenger cars and sports utility vehicles are controversial religious leaders and hoteliers.
Even public sector companies are buying bullet-proof vehicles. For instance, ONGC buys its armoured vehicles from Mahindra Defence Systems (MDS), a subsidiary of Mahindra & Mahindra (M&M).
Laggar Industries was founded during the height of insurgency in Punjab in the 1980s and has armoured about 2,000 units primarily for security forces in Punjab and politicians at high risk. “In good times, we do armouring for about 50 units a year,” the executive said.
While almost every brand of car and utility vehicle can be armoured, security experts said the Ambassador was the most preferred vehicle.
“Once we are notified that a car is destined for armouring we configure the suspension to take the extra weight displaced by armouring,” explains Soni Shrivastav, spokesperson for the CK Birla Group.
Almost all armoured cars are reinforced with 5 to 6mm armoured steel, and fitted with 40 or 50 mm bullet-proof glass.
“The roof and floor of the car are reinforced with a polycarbonate sheet that absorbs shrapnel from a bomb blast, and run flat tyres that clock top speeds even when they are deflated,” said the Laggar Industries official.
The Ambassador base model weighs 1,000 kg and armouring adds 850 kg.
Expectedly, it costs approximately three times the factory price of a car to armour it. A top-end Ambassador model costs about Rs 5.5 lakh. Beefing it with specialised steel costs an extra Rs 15 lakh.
The car manufacturer outsources its armouring unit to a supervised private contractor.
Popular models of armoured utility vehicles include the Mitsubishi Pajero, Tata Sumo and Safari and M&M’s Scorpio & Bolero.
The layers of specialised steel that go into armouring a car determine the security that is guaranteed.
“Armouring a vehicle is a customised operation that is pegged at the level of danger to which the individual is exposed,” explained Khutub Hai, chief executive of MDS, which supplies about 250 units annually to the defence forces.
This level of protection could protect the VIP inside from four levels of gunfire — firing from a 9 mm handgun, .357 magnum, AK 47, and a 7.26 rifle and its international firearms equivalents.
Many individuals are also quietly importing luxury armoured cars from BMW, Audi and Mercedes Benz. BMW’s top-end armoured vehicles incorporate protection from stray missiles.
“Some of our cars incorporate a radar system to detect incoming missiles fired from hand-held rocket launchers,” said a BMW spokesperson.
It takes 35 working days for an Indian manufacturer to complete armouring a car, but the security clearances from government agencies permitting private citizens to own armoured vehicle takes much longer.
“Armouring a vehicle needs clearance from the home ministry and a no objection certificate from the police,” explained Hai.
This elaborate procedure dissuades giant auto majors in the country from supplying large numbers of armoured vehicles to high net worth individuals.
A source said the manufacturer is also questioned by investigative agencies for any incident involving an armoured vehicle.
Goafest:Lowe to add new biz ventures in India
PepsiCo and Reebok-Adidas are cool and television advertising drives their sales every year in double digits. However, Scott Goodson, founder of New York-based advertising agency StrawberryFrog was approached by Microsoft to make a marketing campaign for traditionally perceived un-cool software on accountancy. Instead of using television and print media for airing advertisements, he made a campaign titled Ideawins that spoke about new business developed by local people and branded it with Microsoft's product. The Ideawins website led to 1.5 million downloads of the software in one year, which was three times their original target of sales.
In India, traditional media like television and print account for over 80% of the total advertising industry. However, advertisers in India are slowly realising the potential of digital advertising media led by the Internet and mobile.
Hemant Malik, marketing executive, ITC said, "ITC has committed just 1% of its advertising budget to the internet. With the changing relevance of new media in consumer's life I am sure this percentage would go up."
Pearl Uppal, director advertising sales, Yahoo India, said, "The Yahoo India front page reaches more people than many of the top daily newspapers in India. Yet Yahoo ads cost much less than what the space in print media costs. However, Indian advertisers haven't woken up to this phenomenon yet."
Some of the international advertisers like GM Motors have committed as high as 50% of their budget to the online media.
In India, traditional media like television and print account for over 80% of the total advertising industry. However, advertisers in India are slowly realising the potential of digital advertising media led by the Internet and mobile.
Hemant Malik, marketing executive, ITC said, "ITC has committed just 1% of its advertising budget to the internet. With the changing relevance of new media in consumer's life I am sure this percentage would go up."
Pearl Uppal, director advertising sales, Yahoo India, said, "The Yahoo India front page reaches more people than many of the top daily newspapers in India. Yet Yahoo ads cost much less than what the space in print media costs. However, Indian advertisers haven't woken up to this phenomenon yet."
Some of the international advertisers like GM Motors have committed as high as 50% of their budget to the online media.
Friday, April 4, 2008
Microsoft joins MIT Kerberos Consortium
MIT today announced that Microsoft joined the MIT Kerberos Consortium as a Founding Sponsor. Slava Kavsan, Director of Development for Windows Core Security at Microsoft, will take a seat on the Executive Board, joining Jordan Hubbard from Apple, Paul Armstrong from Google, Wyllys Ingersoll from Sun, and Wilson D'Souza from MIT.
Kerberos is a network authentication protocol, originally developed for MIT's Project Athena in the 1980s. Over the past two decades, it has grown to become the most widely deployed system for authentication and authorization in modern computer networks. However, it is currently mostly available only in large enterprise networks. Kerberos' ability to require strong mutual authentication has enormous potential to protect consumers doing business on the public Internet from phishing and other types of attacks.
Microsoft has implemented the Kerberos protocol in a number of its products including Windows 2000, Windows XP, Windows Server 2003, Windows Vista, and Windows Server 2008. Kerberos is also the primary authentication mechanism offered by Microsoft Active Directory.
"We are proud to join the MIT Kerberos Consortium as a founding sponsor. Microsoft has always been committed to interoperability of our authentication protocols, and Kerberos' universal authentication platform is of strategic importance for Microsoft and our customers," said Slava Kavsan, Director of Development for Windows Core Security at Microsoft. "Today, the majority of enterprise deployments consist of a large number of heterogeneous systems. Microsoft's implementation of Kerberos on the server side as well as the client side provides our customers with a smooth deployment experience, and we want these implementations to interoperate with others in these diverse environments. Kerberos' vast user base will give us a better opportunity to listen to customer feedback and help us continue to actively contribute to future improvements in Kerberos."
"Microsoft joining the Kerberos Consortium is significant," said Stephen C. Buckley, Executive Director. "They represent a vast number of users of Kerberos. It is an important step forward towards our common ambition to create a universal authentication platform for the world's computer networks."
The MIT Kerberos Consortium was officially launched in September 2007, with the support of Apple, Centrify, Google, Sun, Stanford University, TeamF1, and the University of Michigan.
Since then the MIT Kerberos Consortium has also been very pleased to welcome Carnegie Mellon University, Cornell University, Duke University, Iowa State University, Michigan State University, The National Aeronautics and Space Administration, Pennsylvania State University and The United States Department of Defense as additional Founding Sponsors of the Kerberos Consortium.
Microsoft will participate at the next meeting of the Executive Advisory Board of the MIT Kerberos Consortium, which will be held on April 7, 2008 at Google in Mountain View, California.
The MIT Kerberos Consortium continues to perform the software development, interoperability testing, and the documentation activities necessary to achieve its goal of ubiquitous support for Kerberos-based single sign-on solutions across all aspects of the world's communication infrastructure.
About MIT Kerberos Consortium
The MIT Kerberos Consortium was created to establish Kerberos as the universal authentication platform for the world's computer networks. Building upon the existing Kerberos protocol suite, the Consortium will develop interoperable technologies to enable organizations and federated realms of organizations to use Kerberos as the single sign-on solution for access to all applications and services. It will also promote the adoption of these technologies so that ultimately all operating systems, applications, imbedded devices, and Internet based services can utilize Kerberos for authentication and authorization.
Kerberos is a network authentication protocol, originally developed for MIT's Project Athena in the 1980s. Over the past two decades, it has grown to become the most widely deployed system for authentication and authorization in modern computer networks. However, it is currently mostly available only in large enterprise networks. Kerberos' ability to require strong mutual authentication has enormous potential to protect consumers doing business on the public Internet from phishing and other types of attacks.
Microsoft has implemented the Kerberos protocol in a number of its products including Windows 2000, Windows XP, Windows Server 2003, Windows Vista, and Windows Server 2008. Kerberos is also the primary authentication mechanism offered by Microsoft Active Directory.
"We are proud to join the MIT Kerberos Consortium as a founding sponsor. Microsoft has always been committed to interoperability of our authentication protocols, and Kerberos' universal authentication platform is of strategic importance for Microsoft and our customers," said Slava Kavsan, Director of Development for Windows Core Security at Microsoft. "Today, the majority of enterprise deployments consist of a large number of heterogeneous systems. Microsoft's implementation of Kerberos on the server side as well as the client side provides our customers with a smooth deployment experience, and we want these implementations to interoperate with others in these diverse environments. Kerberos' vast user base will give us a better opportunity to listen to customer feedback and help us continue to actively contribute to future improvements in Kerberos."
"Microsoft joining the Kerberos Consortium is significant," said Stephen C. Buckley, Executive Director. "They represent a vast number of users of Kerberos. It is an important step forward towards our common ambition to create a universal authentication platform for the world's computer networks."
The MIT Kerberos Consortium was officially launched in September 2007, with the support of Apple, Centrify, Google, Sun, Stanford University, TeamF1, and the University of Michigan.
Since then the MIT Kerberos Consortium has also been very pleased to welcome Carnegie Mellon University, Cornell University, Duke University, Iowa State University, Michigan State University, The National Aeronautics and Space Administration, Pennsylvania State University and The United States Department of Defense as additional Founding Sponsors of the Kerberos Consortium.
Microsoft will participate at the next meeting of the Executive Advisory Board of the MIT Kerberos Consortium, which will be held on April 7, 2008 at Google in Mountain View, California.
The MIT Kerberos Consortium continues to perform the software development, interoperability testing, and the documentation activities necessary to achieve its goal of ubiquitous support for Kerberos-based single sign-on solutions across all aspects of the world's communication infrastructure.
About MIT Kerberos Consortium
The MIT Kerberos Consortium was created to establish Kerberos as the universal authentication platform for the world's computer networks. Building upon the existing Kerberos protocol suite, the Consortium will develop interoperable technologies to enable organizations and federated realms of organizations to use Kerberos as the single sign-on solution for access to all applications and services. It will also promote the adoption of these technologies so that ultimately all operating systems, applications, imbedded devices, and Internet based services can utilize Kerberos for authentication and authorization.
Thursday, April 3, 2008
Core sector rebounds in Feb
Better industrial performance in sight.
Riding on higher output in cement, coal and electricity, the index of six core infrastructure industries grew 8.7 per cent in February 2008 against 7.6 per cent in the same month last year.
This is the second-highest growth in the index during 2007-08, next to the 9.2 per cent growth last August.
Riding on higher output in cement, coal and electricity, the index of six core infrastructure industries grew 8.7 per cent in February 2008 against 7.6 per cent in the same month last year.
This is the second-highest growth in the index during 2007-08, next to the 9.2 per cent growth last August.
M&M, ICICI Venture to buy Italian gear maker
A consortium of Mahindra & Mahindra (M&M) and ICICI Venture Funds Management today signed a pact to buy 100 per cent stake in Italian gear manufacturer Metalcastello SpA, the companies said in a release.
They did not disclose the size of the deal.
“Together with ICICI Venture, we expect Metalcastello SpA to help replicate in the gear vertical what MFL (Mahindra Forgings) has achieved in the forgings space,” the release said, quoting Hemant Luthra, member of the M&M board.
Metalcastello has revenues of around $100 million (Rs 400 crore). The company’s product portfolio features gears and shafts used in vehicle transmissions and drivelines.
Customers of the independent gear maker included original equipment manufacturers in tractor, off-highway and construction equipment space, the release said.
Currently, financial investors hold 84.7 per cent in the company and the top management holds 15.3 per cent.
They did not disclose the size of the deal.
“Together with ICICI Venture, we expect Metalcastello SpA to help replicate in the gear vertical what MFL (Mahindra Forgings) has achieved in the forgings space,” the release said, quoting Hemant Luthra, member of the M&M board.
Metalcastello has revenues of around $100 million (Rs 400 crore). The company’s product portfolio features gears and shafts used in vehicle transmissions and drivelines.
Customers of the independent gear maker included original equipment manufacturers in tractor, off-highway and construction equipment space, the release said.
Currently, financial investors hold 84.7 per cent in the company and the top management holds 15.3 per cent.
Wednesday, April 2, 2008
Motorola unit on Videocon radar
The Videocon group has expressed interest in buying telecom giant Motorola’s struggling mobile handset business, which is being split into a separate company.
“We have hired one of the world’s top three investment bankers who will convey our interest to buy out the mobile handset business of the US company,” Group Chairman Venugopal Dhoot told Business Standard.
Explaining why he was bidding for Motorola’s handset business, Dhoot said his group was ready launch its pan-Indian GSM mobile operations at an investment of Rs 6,000 crore.
Also, it has a consumer durables retail chain under the brand name “Next” with over 1,000 stores across the country that stock mobile phones too.
“The Indian market for mobile phones is around 120 million units a year and we have our own retail chain stories that we can leverage. Also, we can transfer the manufacturing plant to India to leverage cheap labour in the country,” added Dhoot.
MOBILE STAKES
(Global market share and sales)
Co Mkt share (%) Handsets sold*
Nokia 38.8 437.1
Samsung 14.3 161.2
Motorala 14.1 159.0
Sony Ericsson 9.2 103.4
LG 7.2 80.5
2007 figures *in millions
“We have hired one of the world’s top three investment bankers who will convey our interest to buy out the mobile handset business of the US company,” Group Chairman Venugopal Dhoot told Business Standard.
Explaining why he was bidding for Motorola’s handset business, Dhoot said his group was ready launch its pan-Indian GSM mobile operations at an investment of Rs 6,000 crore.
Also, it has a consumer durables retail chain under the brand name “Next” with over 1,000 stores across the country that stock mobile phones too.
“The Indian market for mobile phones is around 120 million units a year and we have our own retail chain stories that we can leverage. Also, we can transfer the manufacturing plant to India to leverage cheap labour in the country,” added Dhoot.
MOBILE STAKES
(Global market share and sales)
Co Mkt share (%) Handsets sold*
Nokia 38.8 437.1
Samsung 14.3 161.2
Motorala 14.1 159.0
Sony Ericsson 9.2 103.4
LG 7.2 80.5
2007 figures *in millions
Tuesday, April 1, 2008
Tata, M&M to invest Rs 7,500cr in Maharashtra
Tatas to expand Pune capacity, M&M ups investment in Chakan.
Days after the Fiat-Tata joint venture announced an investment of more than Rs 2,300 crore in the Ranjangaon plant in Maharashtra, Tata Motors and Mahindra & Mahindra have separately committed to invest Rs 7,500 crore to increase capacity at their units in Pune and Chakan, the auto making centres in Maharashtra.
Tata Motors today said that it will invest Rs 6,000 crore over the next 4-5 years to increase capacity at its Pune plant in addition to setting up vehicle testing facilities in Pune district.
This mega investment will be a part of the overall expansion programme of the company which has planned about Rs 10,000-12,000 crore investments by 2010-11.
This will not only make the plant a world class facility, but also hike the company’s capacity at the plant by 40 per cent to about 600,000 units a year. It will roll out all of the company’s products — perhaps even the Nano — from the Pune plant.
Ravi Kant, managing director, Tata Motors, said, “We expect the demand of the Nano to be substantial and we will have to look at manufacturing the car (Nano) also in other parts of the country (apart from Singur). This facility will manufacture all products of the company.”
Days after the Fiat-Tata joint venture announced an investment of more than Rs 2,300 crore in the Ranjangaon plant in Maharashtra, Tata Motors and Mahindra & Mahindra have separately committed to invest Rs 7,500 crore to increase capacity at their units in Pune and Chakan, the auto making centres in Maharashtra.
Tata Motors today said that it will invest Rs 6,000 crore over the next 4-5 years to increase capacity at its Pune plant in addition to setting up vehicle testing facilities in Pune district.
This mega investment will be a part of the overall expansion programme of the company which has planned about Rs 10,000-12,000 crore investments by 2010-11.
This will not only make the plant a world class facility, but also hike the company’s capacity at the plant by 40 per cent to about 600,000 units a year. It will roll out all of the company’s products — perhaps even the Nano — from the Pune plant.
Ravi Kant, managing director, Tata Motors, said, “We expect the demand of the Nano to be substantial and we will have to look at manufacturing the car (Nano) also in other parts of the country (apart from Singur). This facility will manufacture all products of the company.”
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