New Delhi:Kingfisher Airlines Ltd will reduce its staff strength by 300 from the current 8,500 as part of an ongoing restructuring, according to a company spokesman.
Deccan Aviation Ltd, which ran Air Deccan, was bought over by Kingfisher late last year and the company renamed after a reverse merger. “As part of a concerted company-wide effort aimed at minimizing the impact of the ongoing turbulence faced by the aviation industry, Kingfisher has, over the last 6 months, embarked on a series of restructuring measures designed to achieve cost savings/rationalization and operational efficiencies,” the airline said in statement as reported by the ‘Business Standard’ on Monday. “As a result, a set of 300 employees have chosen to move on and have parted ways with the company and/or put in their resignations.” Employees have been given “a severance package equal to two months gross salary for every completed year of service (subject to a minimum of 3 months pay-out)” .
— Staff Writer
Oil price is too high as slowdown spreads: IEA
Bangkok: Crude oil prices are “too high” because the economic slowdown is yet to spread to India and China, where subsidies are propping up demand, the International Energy Agency’s (IEA) deputy executive director said.
“When the government gets involved, that makes the market more rigid and more volatile,” William Ramsay said in Bangkok on Monday.
“The economic slowdown in the US, Europe hasn’t gotten into China, India much but at some point you have to presume it will,” he said.
RPL submits mining plan for coal block
New Delhi: Reliance-Anil Dhirubhai Ambani Group’s Reliance Power Ltd (RPL), which is developing the 4,000MW ultra mega power project at Sasan in Madhya Pradesh, submitted the mining plan of the Chhatrasal coal block (150 million tonnes, or mt), one of the three captive coal blocks associated with the project to the coal ministry.
The block will be developed in partnership with North American Coal Corp. RPL has already submitted the coal mining plans for two other blocks. “RPL plans to invest about Rs2,500-3,000 crore over a period of three years, to develop three coal mines,” a company spokesperson said in an email. RPL submitted the coal mine plan for the Chhatrasal block, 40 days after the United Progressive Alliance government in a controversial move allowed it to use surplus coal from the captive blocks meant to feed this plant in its other projects. However, this provision is not applicable to other UMPPs having captive coal blocks such as the Tilaiaya project in Jahrkhand.
— Utpal Bhaskar
PGCIL to spend $1.1 bn on Mundra project
Mumbai: Electricity transmission firm Power Grid Corp. of India Ltd (PGCIL) will spend $1.1 billion (Rs4,824 crore) on a project in Gujarat.
The company will build a transmission system to carry electricity from a 4,000MW project being set up in Mundra in Gujarat, PGCIL said in a statement to the Bombay Stock Exchange on Monday.
BPCL to invest $484 mn in biodiesel project
Mumbai: State-run refiner Bharat Petroleum Corp. Ltd (BPCL) plans to invest $484 million (about Rs2,200 crore ) on setting up a biodiesel project in northern India.
The company will cultivate jatropha on 1 million acres of wasteland and plans to produce 1 million tonnes of biodiesel by 2015, chairman Ashok Sinha told shareholders in Mumbai on Monday.
BPCL has planned a capex of around Rs 6,700 crore over the next three years, a top company official said.
“The capital expenditure for the next two years would be Rs 2,776 crore and in 2010, it will be Rs 4,000 crore,” Sinha said.
— Bloomberg and PTI
Warner Loses ‘Hari Puttar’ Movie Case
New Delhi: The Delhi high court on Monday dismissed a lawsuit by Warner Bros. seeking a ban on the release of Bollywood film ‘Hari Puttar: A Comedy of Terrors’ over its title.
Warner had filed the suit against the producer and director of the Hindi movie, arguing the title sounded similar to ‘Harry Potter’. The Hollywood studio has the franchise of J.K. Rowling’s Harry Potter book series. The court said there’s no “commonality” between the names and allowed the producer of the Hindi film to release it on 26 September.
Amtek withdraws bid for KSM Castings
Mumbai: Auto parts maker Amtek Auto Ltd has withdrawn its bid to acquire KSM Castings Group, a Germany-based maker of casting components.
“The price quoted by us for the deal was lower than their expectation. As we were not keen on revising the price, we decided to withdraw,” said Santosh Singhi, chief financial officer of Amtek Auto.
Industry persons close to the deal, who didn’t wish to be named, said Amtek had quoted at least 10% lower than the enterprise value of €200 million (Rs1,314 crore) put forth by KSM. Amtek was the sole bidder for KSM, Singhi said, adding that the company would continue to scout for companies globally.
— Staff Writer
DLF denies media reports on layoffs
New Delhi: The country’s largest real estate developer by market value, DLF Ltd, has denied a media report that it is retrenching 300 of its employees.
“It is (retrenchment) totally incorrect as we have no plan to (do) that,” DLF spokesperson Sanjey Roy, said. ‘The Economic Times’, on 22 September reported DLF is retrenching 300 employees across all its centres and subsidiaries.
DLF currently has a workforce of 3,500, excluding employees at its subsidiaries. Roy said the company “will continue to hire people as and when required”.
— Staff Writer
Mercator will buy more dredging ships
Mumbai: Shipping company, Mercator Lines Ltd plans to more than double its fleet of dredgers to guard against rate fluctuations in commodity-shipping operations.
Mercator will increase the number of dredgers in its fleet to 10 in the next three years from the current four, chairman H.K. Mittal said on Friday.
The company also plans to add more so-called jack up rigs that aid oil exploration, Mittal said.