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GOA, FRIDAY, 18 JUNE, 2010
CMie projects GDP at 9.2% PTI MUMBAI, JUNE 17
After two years of economic slowdown, the Indian economy is on the rebound with three key sectors - industrial, services and manufacturing - expected to fare well, leading to an over 9 per cent GDP growth in FY 11, a leading economic think-tank said. With these three sectors projected to exhibit an improved performance this fiscal, the Centre for Indian Monitoring Economy (CMIE) has forecast that the domestic economy would grow at 9.2 per cent this fiscal. The growth rate is expected to be around 2 per cent higher as compared to FY 10 when the domestic economy registered a 7.4 per cent growth, it said in its latest report. "We expect Gross Domestic Product (GDP) to grow by 9.2 per cent in 2010-11 as compared to a 7.4 per cent growth in 2009-10," CMIE said in its report on the state of the domestic economy.
CMIE is maintaining a 9.2 per cent growth in 2010-11 since March this year, it said. India's Central Bank has however, forecast an 8.2 per cent economic growth in FY 11. According to CMIE, the Indian economy had grown by over 9 per cent between 200506 and 2007-08 and it is now returning to the same level after a two-year blip. The report forcecasts a 9.6 per cent growth for the Industrial sector (including construction) this fiscal as against the 9.2 per cent clocked last fiscal. "In fiscal 2010-11, growth in the manufacturing sector will be led by the food products segment, especially sugar and edible oil," CMIE said. At the same time, acceleration in consumption and investment growth in the current fiscal would contribute to a higher growth in consumer durables and capital goods output, respectively, the report stated.
BSNL chooses Pyro for CTop-up deal PTI MUMBAI, JUNE 17
Mobile technology solutions provider, Pyro, today said it has won the contract from BSNL for implementing its Ctop-up solution on BSNL's Network, now on a pan-India basis. BSNL is one of the leading telecom operators in India with over 60-million pre-paid and post-paid mobile customers. Through Pyro's Ctop-up solution, BSNL's GSM and CDMA customers will be able to electronically recharge their prepaid account through BSNL's chain of over 1-million retailers as well as through BSNL's website, a press release issued here said. Being a highly scalable platform, the system is technologically well equipped to handle the demands of the fast-growing Indian mobile market for the next 5-years, it said. "We are pleased to have won the tender to offer PAN India Ctop-up solution to BSNL," Pyro's Chief Executive Officer, S M Reddy, said.
All eyes on RIL; Mukesh to unveil growth plans today PTI NEW DELHI, JUNE 17
Within days of a truce with younger brother Anil, Asia's richest man Mukesh Ambani will address shareholders of Reliance Industries tomorrow and is expected to announce mega investment plans, possibly in power and telecom sectors. The cash-rich company has its options open to enter telecom, power and finance sectors that were hitherto no-go areas as spelt out in a separation agreement between the two brothers on June 18, 2005. But, the non-compete pact was scrapped last month as part of a truce reached shortly after the Supreme Court ver-
dict denying cheap gas to Anil Ambani-led RNRL from Mukesh-run RIL on the basis of a family agreement. The bonhomie has also led to speculation that RIL may pick minority equity in three companies, including Reliance Communications, led by Anil and that younger Ambani, along with his wife Tina and mother Kokilaben, would at-
tend the RIL AGM tomorrow. Mukesh, 53, may use his address to RIL shareholders at Mumbai's Birla Matoshree auditorium, the first after the Supreme Court judgment on the bitter gas dispute, to spell out how the USD 2-3 billion of surplus cash the company is generating every year will be put to use. Friday also marks five years to the day since matriarch Kokilaben Ambani brought about a family settlement, dividing the Reliance group empire between the two brothers. What is keenly watched is whether Mukesh will make any comments on the dispute over pricing and supply of gas from RIL's KG-D6 fields to Anil Ambani Group's power plants.
Double-digit inflation a worry: RBI PTI MUMBAI, JUNE 17
The RBI today said that high inflation is a cause of worry for the central bank and it is willing to take policy actions as per the changing economic environment. "Double-digit inflation is a cause of worry more than the external factors...it is not out of our estimates. If things change fast, there will be more measures depending upon the environment... "The message is already there that we are moving from the accommodative policy. I cannot say when this will happen," RBI Deputy Governor K C Chakrabarty told reporters on the sidelines of a seminar here. Wholesale prices based inflation provisionally rose to 10.16 per cent in May, entering double digits for the first time in nearly 20 months, and put pressure on the central bank to hike its policy rates. Earlier this week, Finance Minister Pranab Mukherjee said food inflation -- which is fuelling overall inflation – has started coming down a little bit and expected it to ease with a good monsoon and crop. Food inflation stood at 16.12
per cent as of June 5. "So far as the monetary part is concerned, the Reserve Bank will look into it, will consider it," Mukherjee had said, indicating that RBI may tighten money supply even before its scheduled July 27 review of the monetary policy. The Central Bank has already twice this year raised key pol-
icy rates to check food inflation from spreading to manufactured goods. Asked whether the European financial crisis will weigh on RBI's policy decisions, Chakrabarty said while external shocks can claim some adverse impact on the economy, the RBI is more focused on containing high inflation in the
Food inflation declines PTI NEW DELHI, JUNE 17
Food inflation dropped marginally to 16.12 per cent for the week ended June 5 raising hopes that prices might go down further as indicated by Finance Minister Pranab Mukherjee. A 0.62 percentage point decline in food inflation over 16.74 per cent in the previous reporting week would also ease pressure on the Reserve Bank to take immediate policy measures to tame rising prices. The food inflation declined mainly due to softening of prices of fruits, vegetables and tea. Mukherjee, earlier in the week, had expressed the hope that food prices would decline by mid-July in view of the likelihood of a good monsoon. Monsoon accounts for 80 per cent of the annual rains the country receives. Nearly 60 per cent of area under cultivation is rain fed.
PNB aims to earn foreign revenue PTI HYDERABAD, JUNE 17
The country’s second largest public sector lender Punjab National Bank is on an international expansion spree to increase foreign revenue share. According to Bank's Chairman and Managing Director K R Kamath, the bank aims to double the revenue from international operation by 2013. The bank is set to raise USD 100 million loan to meet the expansion plans. "Our foreign revenue contribution stands at three per cent. We want to make it six per cent by 2013," Kamath told reporters here today. The bank would be opening a subsidiary in Canada and a representative office in Sydney, Australia, besides upgrading its representative offices in
China and Norway. The bank also set to pick up 64 per cent stake JSC Dana Bank in Kazakhstan. Presently the PNB operates in nine countries, with branches at Kabul, Dubai and Hong Kong, representative offices at Almaty, Dubai, Shanghai and Oslo, a wholly-owned subsidiary in the UK, a joint venture with Everest Bank in Nepal and Druk PNB Bank in Bhutan. "It is very difficult to open a bank on foreign soil. It requires lot of capital. So we decided to acquire controlling stake. We want to tap market in that region before someone else does that," the banker said. The bank will be spending close to USD 24 million to acquire the stake in the Kazak bank.
Banks should not take excessive risks’ PTI MUMBAI, JUNE 17
Prime Minister's Economic Advisory Council Chairman C Rangarajan today said that banks should be discouraged from excessive risk taking to ensure a healthy financial system. "There is no argument that the regulatory regime needs to be restructured...Excessive risk taking and leveraging by banks need to be discouraged by appropriate regulatory measures or controls," Rangarajan said at a seminar organized by Skoch Foundation. Rangarajan also called for improvement in the country's corporate-bond market saying that this will help even small companies to raise adequate funds.
Buffett, Gates ask rich Americans to donate half their wealth PTI NEW YORK, JUNE 17
Warren Buffett and Bill Gates, two of the wealthiest people in the world, are urging rich Americans to pledge at least half of their wealth to charities.
Legendary investor Buffett along with Microsoft founder Bill Gates and his wife Melinda Gates are leading an initiative asking wealthy Americans to commit majority of their wealth for philanthropy. "Now, Bill and Melinda Gates and I are asking hundreds of rich Americans to pledge at
least 50 per cent of their wealth to charity," Buffett has written in a letter titled 'My Philanthropic Pledge'. The letter was posted on the website of 'The Giving Pledge' initiative, being led by the three of them. The US has more than 400 billionaires, according to the Forbes magazine.
Well known for his wise investment decisions, the 79-year-old Buffett is the chairman of conglomerate Berkshire Hathaway that has invested in diverse companies.
Sensex closes 154 points up PTI MUMBAI, JUNE 17
Extending its gains for the seventh consecutive session today, the benchmark Sensex closed 154 points higher on heavy buying at RIL and L&T counters, supported by firm European cues. The Bombay Stock Exchange's 30-share barometer, which was inching upwards during the first half of the session, spurted after European stocks edged higher and closed at 17,616.69, up 153.82 points, or 0.88 per cent. In the afternoon session, the Sensex took a hit and touched a low of 17,394.90 on rumours that a US brokerage firm has filed a USD 1 billion law suit against ICICI Bank. However, it recovered shortly thereafter as European markets opened in the positive.
BUFFET
GATES
"More than 99 per cent of my wealth will go to philanthropy during my lifetime or at death. Measured by dollars, this commitment is large. In a Aban Offshor, 712, 737.45, 707, 730.8 Abb Ltd., 857.55, 867, 857.55, 865.55 Abg Shipyard, 253.5, 258.8, 252.55, 255.45 Acc Limited, 864, 872.6, 857.05, 865.45 Adani Enterp, 541, 549.4, 540.45, 545.5 Aditya Birla, 770, 778.65, 761.25, 765.25 Allahabad Ba, 162.5, 162.5, 159.75, 162 Alstom Proje, 596, 605.05, 590.2, 600.1 Ambuja Cemen, 116.7, 117.4, 115.5, 117 Andhra Bank, 136.1, 136.65, 131.75, 133.6 Ashok Leylan, 62.8, 62.9, 60.8, 61.95 Asian Paints, 2335, 2398, 2305, 2368.35 Axis Bank Li, 1220, 1223, 1191.95, 1215 Bajaj Hindus, 114.5, 117.9, 113.45, 115.9 Bank Of Baro, 729, 729.5, 711.5, 714.25 Bank Of Indi, 330, 332.7, 325.15, 326.1 Beml Limited, 1006.5, 1020, 1001.25, 1013.75 Bharat Elect, 1836, 1844, 1809.75, 1816.7 Bharat Forge, 280.5, 284.5, 276.5, 283.75 Bharat Petro, 539, 542.95, 533.1, 535.4 Bharti Airte, 266.1, 269.5, 263.4, 267.1 Bhel, 2395.05, 2395.15, 2361.2, 2382.75
comparative sense, though, many individuals give more to others every day," the billionaire investor said. In 2006, Buffett had pledged
Bhushan Stee, 1360, 1385, 1360, 1374.9 Biocon Limit, 313, 316.2, 308.45, 310.65 Bombay Dyein, 510.05, 515.9, 501.65, 504.85 Bosch Limite, 5550, 5784.9, 5512.1, 5578.25 Brigade Ente, 137.6, 140, 137, 138 Cairn India, 310, 310.1, 305, 306.8 Canara Bank, 425.5, 426, 418, 420.2 Central Bank, 145, 146, 143.15, 144.3 Century Text, 460, 462.85, 452.65, 458.2 Cesc Ltd, 380.1, 394.9, 380.1, 386.95 Chambal Fert, 63.7, 63.7, 62.4, 62.65 Chennai Petr, 250, 250.95, 242.1, 242.9 Cipla Ltd, 334, 336.25, 329.25, 334.65 Colgate Palm, 849, 849, 821, 823.25 Container Co, 1314.9, 1317, 1266, 1268.4 Crompton Gre, 257, 263.5, 254.1, 260.15 Cummins Indi, 594.7, 614, 590.1, 606.8 Dabur India, 190.95, 192, 188.05, 189.55 Deccan Chron, 131.25, 131.25, 126.4, 128.15 Dish Tv Indi, 43.5, 43.85, 42.65, 43.35 Divi’s Labor, 765, 779.8, 762, 770.05
to give all the stocks he owns in Berkshire Hathaway to philanthropic foundations. Buffett said he has already distributed about 20 per cent of his Berkshire shares and would continue to "annually distribute about 4 per cent the shares I retain". "At the latest, the proceeds from all of my Berkshire shares will be expended for philanthropic purposes by 10 years after my estate is settled. "Nothing will go to endowments; I want the money spent on current needs," the letter noted.
Dlf Limited, 278, 284.8, 275, 283 Dr. reddy’s, 1427.8, 1427.8, 1408.5, 1423.45 Edelweiss Ca, 428.9, 431.8, 420, 420.3 Educomp Solu, 530, 532.7, 518.05, 520.05 Eih Limited, 117.05, 122, 114.5, 119.6 Engineers In, 326.25, 328.9, 320.15, 323.1 Essar Oil Lt, 128, 129.4, 126.6, 127.7 Essar Shippi, 85, 91.45, 84.05, 89.1 Exide Indust, 125, 130.5, 125, 129.9 Federal Bank, 318.05, 326.55, 316.65, 323.05 Financial Te, 1313, 1334, 1304.05, 1313.7 Gail (india), 465.6, 476.8, 462.05, 475.15 Gammon India, 202, 208.8, 201.1, 203 Glaxosmithkl, 2098, 2117.3, 2071.8, 2096.7 Glenmark Pha, 271, 273, 268.25, 271.8 Gmr Infrastr, 56.45, 57.1, 56.15, 56.8 Godrej Indus, 154.25, 155.45, 151.4, 153.05 Grasim Indus, 1800, 1807, 1774.35, 1781 Great Offsho, 449.5, 449.5, 441.3, 447.4 Gtl Infra.Lt, 43, 43.9, 41.8, 42.4 Gujarat Mine, 128, 129.35, 125.4, 127 Gujarat N R, 59.5, 63.45, 58.9, 62.85
Gujarat Stat, 94, 95.4, 93.35, 94.2 Gvk Pow. & I, 40, 45.3, 40, 44.7 Hcl Technolo, 382.45, 390, 375, 385.65 Hdfc Bank Lt, 1983, 1999, 1968.05, 1996.1 Hdfc Ltd, 2848, 2956.95, 2848, 2932.75 Hero Honda M, 2005.55, 2010, 1970, 1983.75 Hindalco in, 145.95, 147.8, 142.35, 146.75 Hindustan Co, 117.5, 118, 114.8, 115.65 Hindustan Ma, 72.8, 73.9, 70.25, 71.3 Hindustan Pe, 345, 347.15, 341.2, 343.95 Hindustan Un, 255, 256.7, 248.55, 253 Hindustan Zi, 1015.75, 1021.5, 999, 1011.1 Housing Dev, 246, 248.85, 240.7, 246.3 Icici Bank L, 878, 891.9, 846, 883.85 Idea Cellula, 55.45, 55.9, 54.3, 54.7 Ifci Ltd, 54, 54.95, 53.7, 54.45 India Cement, 112.5, 114.25, 112.35, 113.35 India Infoli, 97, 99.2, 95.7, 97.1 Indiabulls F, 133.6, 141.65, 132, 139.45 Indiabulls R, 150, 150.7, 146.7, 149.9 Indian Bank, 226.05, 228.45, 218.55, 225.55 Indian Hotel, 101.65, 101.95, 99.35, 99.7
This year, Gates and Buffett were ranked as the world's second and third richest people, respectively, by the Forbes, which pegged Gates' wealth at USD 53 billion and Buffett's at USD 47 billion. Buffett said the pledge to donate wealth would not affect his and his children's lives. "They (children) have already received significant sums for their personal use and will receive more in the future....I will continue to live in a manner that gives me everything that I could possibly want in life," he wrote in the letter. Indian Oil C, 334, 338, 330.05, 337.25 Indian Overs, 97.8, 102.5, 97.3, 101.85 Indus Dev Ba, 117.1, 117.8, 116, 116.7 Indusind Ban, 189.25, 195.1, 187.55, 192.65 Infosys Tech, 2776, 2783.8, 2736, 2764.85 Infra. dev., 162, 164.9, 160.05, 164.35 Ispat Indust, 17.3, 17.85, 17.2, 17.7 Itc Ltd, 291, 296.9, 289.15, 293.9 Ivrcl Infras, 182, 183.85, 180.15, 181.85 Jai Corp Lim, 267.85, 269.75, 261.2, 262.45 Jaiprakash A, 127, 131, 126.5, 130.3 Jet Airways, 524.2, 524.2, 507.5, 511.15 Jindal Saw L, 200, 204.9, 197.3, 201.8 Jindal Steel, 655.6, 669.6, 648.05, 665.5 Jsw Steel Li, 1057.4, 1062, 1036.5, 1049.1 Kotak Mahind, 759.75, 775.95, 753.1, 772.8 Lakshmi Mach, 1820, 2064.9, 1815, 2009.6 Lanco Infrat, 69.25, 69.5, 66.5, 68 Larsen & Tou, 1720, 1782, 1711, 1777 Lic Housing, 1004, 1007.3, 991, 999.15 Lupin Limite, 1880, 1899, 1867, 1879.9 Mahanagar Te, 61.5, 65.6, 61.15, 64.35 Mahindra & M, 625, 641.2, 625, 634.7
economy. "International situation is not that volatile. Something has happened in Europe, it has not happened in US. It has some adverse implications. But I think more than that the domestic inflation will definitely be a matter of worry," Chakrabarty said. The RBI, which started exiting its accommodative stance in October last year, is set to announce its quarterly review of the annual monetary policy on July 27 and is widely expected to hike its repo, and reverse repo rates on or before policy to check inflation. Moving ahead, the apex bank's policy measures will depend on the economic environment and buying back of G-secs, announced last evening, was a part of the apex bank's efforts to ensure adequate cash flow in the market, he said. RBI, yesterday, said that the government will prematurely buy back three types of bonds worth up to Rs 20,000 crore beginning Friday, as liquidity has come under pressure due to much higher 3G and broadband spectrum licence fees, and the first quarter advance tax.
RCom launches MobileNet PTI MUMBAI, JUNE 17
As a part of its value-added service offerings to its customers, private telecom operator, Reliance Communications, today launched a single data plan, MobileNet, which claims to provide hassle-free Internet access. Through MobileNet, RCOM GSM and Reliance Telecom Limited (RTL) subscribers can now avail GPRS through multiple channels such as self-care (RWorld, SMS, USSD), erecharge, paper voucher, Internet, etc, a press release said here. Presently, RCom GSM/RTL subscribers can avail GPRS services through mobile, using different APN like RCom Wap (via RWorld) and connect phone to PC/ laptop /modem to browse internet using RCom Net (via NetConnect charges applicable). "MobileNet GPRS plans will give customers Internet access on mobile as well PC/Laptop. The customer can use the MobileNet to access information, services and entertainment, much the same way as that on a PC," RCom Head (VAS), Anil Pande, said.
PoweR STRuGGLe iN AMuL’S PAReNT Co Chairman can't accept MD's resignation: GCMMF directors PTI VADODARA, JUNE 17
At least nine of the 13 directors of the Rs 8,000-crore Gujarat Cooperatives Milk Marketing Federation which markets Amul products, have questioned powers of the Federation Chairman Parthi Bhatol to accept resignation of Managing Director B M Vyas. The directors on board of GCMMF from the affiliated dairies of the Federation, during a meeting held here yesterday, said the power to accept resignation of the Managing Director only vests with the board of directors and not with the Chairman. The meeting was presided over by Ramsinh Parmar, Chairman of Kheda District Cooperative Milk Dairy, which also owns the brand Amul. "All the directors have decided to submit a memorandum to Bhatol demanding convening of meeting of the Board of Directors for discussing Vyas's resignation," one of the Directors said on condition of anonymity. According to one of these directors only three directors from Banaskantha, Ahmedabad and Panchmahals milk dairies cooperative union were absent
Maruti Suzuk, 1369, 1387, 1356.5, 1379.75 Max India Lt, 162.75, 164.5, 160.55, 161.85 Maytas Infr., 212.5, 221.3, 211.6, 216.45 Moser-baer (, 62.9, 62.9, 61.4, 62.25 Mrpl, 68.9, 70.05, 68.05, 69.25 Nagarjuna Co, 187, 190.9, 184.4, 189.4 Nagarjuna Fe, 30.4, 30.4, 29.75, 29.95 National Alu, 437, 446, 433.05, 435.7 Neyveli Lign, 155, 156.9, 154.1, 156.45 Ntpc Ltd, 201, 201.25, 198.2, 199.75 Oil And Natu, 1163, 1189.9, 1161, 1186.05 Omaxe Limite, 95.5, 97.8, 95, 96.25 Oriental Ban, 328.7, 336, 328.15, 333.05 Pantaloon Re, 422, 422, 415, 417.1 Parsvnath De, 125.95, 127.25, 125, 126.6 Petronet Lng, 80, 81.4, 78.1, 78.9 Power Fin Co, 293.5, 294.85, 287.25, 291.7 Power Grid C, 102.65, 103.35, 102.25, 102.85 Praj Industr, 79.7, 81.6, 78.7, 81.2 Punj Lloyd L, 127.9, 128.6, 125.7, 126.15 Punjab Natio, 1033, 1039.65, 1025.25, 1033.85
during the meeting held on Wednesday. Majority of directors on federation board have opposed acceptance of resignation of Vyas by the Chairman, he said. "Bhatol knows about it and that is why he is avoiding to convene board of directors meeting. We will not allow him to succeed in his "sinister design" and compel him to convene the meeting as per the cooperative Act," the director said. Vyas had refused to step down from his post until the board accepted his resignation, which was tendered several days ago. The move resulted into a showdown of sorts between GCMMF Chairman Bhatol and Vyas when the former asked the latter to step down. Vyas had handed over his resignation to Bhatol. When Bhatol had called Vyas to his office last week, Vyas had refused to accept the Chairman's orders saying only the board could take a call on his resignation. Several directors of the board want Bhatol to step down while he is determined to complete his second term, the board of director said.
Rajesh Expor, 77.75, 80.8, 77.65, 80.05 Ranbaxy Labs, 434.9, 444.5, 431.1, 442.7 Rashtriya Ch, 84.5, 85.5, 83, 83.75 Rel. nat. re, 68, 69.2, 66.75, 67.85 Reliance Cap, 755, 767.7, 749, 764.25 Reliance Com, 188.5, 193.35, 186.5, 191.7 Reliance Ene, 896, 906.96, 896, 902.92 Reliance Ind, 1004, 1032.7, 995.5, 1006.8 Reliance Ind, 1063.3, 1077, 1058.3, 1071.4 Reliance Pow, 175.05, 177.75, 173.1, 176 Rolta India, 168, 168, 165.25, 167.05 Satyam Compu, 87.3, 88.4, 85.75, 86.95 Sesa Goa Ltd, 354.5, 363.95, 346.5, 360.05 Shipping Cor, 163.85, 166.5, 163.3, 165.1 Sintex Indus, 295.25, 298, 286, 294.9 Sobha Develo, 296, 296.7, 285.75, 289 State Bank O, 2359, 2362, 2323.55, 2350.85 Steel Author, 198.5, 199.35, 196.5, 197.95 Sterlite Ind, 691.5, 698.9, 682.2, 694.85 Sun Pharmace, 1705.9, 1720, 1685, 1698.75 Sun Tv Netwo, 404, 405.5, 400.25, 402.4 Suzlon Energ, 57.5, 58.2, 56.5, 57.45
Tata Communi, 259.9, 265.75, 258.1, 260 Tata Consult, 777, 784.8, 763.7, 775.3 Tata Motors, 784, 805.5, 775, 802.2 Tata Power C, 1256.4, 1276, 1250, 1261.1 Tata Steel L, 486, 486.95, 476.45, 480.95 Tata Tea Ltd, 1128, 1158.8, 1121, 1144.4 Tata Teleser, 23, 23.4, 22.15, 22.85 Tech Mahindr, 725, 748, 725, 743.95 The Ge Shpg., 293.55, 295.9, 291, 293.85 The Phoenix, 215, 223.75, 214.75, 220.25 Thermax Ltd, 728, 729, 695.15, 710.35 Tv18 India L, 90.9, 91.15, 88.4, 90.85 Uco Bank, 80.8, 80.8, 78.6, 79.5 Ultratech Ce, 981, 994.9, 975, 982.85 Union Bank O, 306.5, 311.85, 304.3, 310.7 Unitech Ltd, 70.9, 70.9, 69.05, 70.2 United Phosp, 187.1, 194.2, 186, 189.5 Videocon Ind, 202.1, 203.7, 200.2, 202.1 Vijaya Bank, 57, 63.1, 57, 61.95 Voltas Ltd, 184, 190.65, 182, 188.8 Wipro Ltd, 409.6, 415.9, 403.2, 413.4 Yes Bank Lim, 279.45, 285.9, 279.05, 284.2 Zee Entertai, 303, 304.6, 298, 300.7