Mumbai: South Korean car maker Hyundai Motor Co.’s India unit will cut production by a quarter from Monday as a spreading global downturn bites its sales, a senior executive said on Friday.
Hyundai expects to sell just 490,000 cars including exports, against a target of 530,000, in 2008 as the industry grapples with falling sales and tighter credit, H.S. Lheem, managing director of Hyundai Motor India Ltd, said.
“We have decided to go in for a two-shift production instead of three shifts now as demand has declined,” he told reporters after opening a new showroom in Mumbai.
HDFC Bank raises Rs1,728 cr via bonds
Mumbai: HDFC Bank Ltd said it has raised Rs1,728 crore through the private issue of subordinated debt.
On a private placement basis, the bank has issued unsecured non-convertible redeemable subordinated bonds in the nature of debentures, HDFC said on Friday in a regulatory filing to the Bombay Stock Exchange.
RBI’s third quarterly review on 27 Jan
Mumbai: Amid talks of further easing the monetary policy, the Reserve Bank of India (RBI) on Friday said it will come out with the third quarterly review of monetary policy on 27 January.
“D. Subbarao, governor, Reserve Bank of India, will present the third quarter review of monetary policy for the year 2008-09 on Tuesday, 27 January 2009,” the central bank said in a statement.
Nov iron ore sales rise as China buys more
Mumbai: India’s iron ore exports in November rose as China increased purchases.
Shipments were at 8.74 million tonnes (mt), compared with 4.14mt in October, the Federation of Indian Mineral Industries, a group of iron ore miners, said in a statement on Friday.
Chinese mills are buying more from India because they want suppliers such as BHP Billiton Ltd and Rio Tinto Plc. to cut prices, said R.K. Sharma, secretary general of the association.
This is a way of putting pressure on Rio and BHP, he said over the telephone from New Delhi.
Tata Steel: land issue delaying Vietnam plans
Mumbai: Tata Steel Ltd said on Friday a $5 billion (Rs23,950 crore) integrated steel plant it plans to build in Vietnam would be delayed as the location for the project was still being finalized.
“The Vietnam government are yet to give us land. They had indicated a plot, but are now changing the location,” Tata Steel spokesman Sanjay Choudhary said.
Earlier on Friday, the ‘Business Standard’ newspaper reported the commissioning of the first phase of the plant, which will eventually have a capacity of 4.5 million tonnes a year, would be put back by at least a year to 2011, quoting an unnamed company spokesperson.
The paper said the delay was due to the large number of projects proposed for an economic zone in the South-East Asian nation.
Foreign reserves rise $3.6 bn to $254.1 bn
Mumbai: India’s foreign-exchange reserves rose $3.6 billion (Rs17,244 crore) to $254.1 billion in the week ended 19 December, the central bank said.
Foreign-currency assets increased $3.58 billion to $245.3 billion, while the nation’s gold reserves remained unchanged at $7.86 billion, the Reserve Bank of India (RBI) said in an emailed statement. India’s special drawing rights with the International Monetary Fund (IMF) were unchanged at $3 million and its reserves with the IMF climbed by $16 million to $880 million.
The change in foreign-currency assets is partly because of changes in the value of the dollar against the euro, yen and other currencies during the period, RBI said.
Jubilant Organosys may buy back bonds
Singapore: Drug maker Jubilant Organosys Ltd said it may buy back convertible bonds it sold in foreign currencies. The company’s board will “explore” opportunities to retire bonds, it said in a filing to the Bombay Stock Exchange on Friday, without being more specific.
(The promoters of HT Media Ltd, which publishes Mint, and promoters of Jubilant Organosys Ltd are closely related. The companies have no promoter cross-holdings.)
Fund raising: Wockhardt to seek shareholder nod
Mumbai: Drug maker Wockhardt Ltd said on Friday it will seek shareholder approval on 19 January to raise up to Rs500 crore through issue of redeemable preference shares.
It could be raised from a variety of investors including foreign institutional investors, using options including public or rights issue, preferential allotment or private placement, Wockhardt said in a statement to the stock exchanges.
US singer and actor Eartha Kitt dies at 81
Washington: Eartha Kitt, the versatile American singer and actress who mesmerized audiences worldwide for over six decades with her sultry voice and sensuality on stage and screen, died on Thursday. She was 81.
Kitt, whose outspokenness was a mainstay of her career but also led to a self-imposed exile to Europe in the 1960s and 70s after her stinging critique of the war in Vietnam, won two Emmy television awards and was nominated for two Tony awards and a pair of Grammys.
She was being treated for colon cancer at a New York hospital, her friend and publicist Andrew Freedman said.
Govt slams door on foreign-based players
New Delhi: The government on Friday slammed the door on foreign-based players such as Prakash Amritraj and Sunitha Rao and made it clear that only Indian citizens would represent the country in international events.
“The government has decided that, henceforth, players who are Indian citizens only can avail themselves of government assistance to represent the country in the national teams representing the country,” a government release said here on Friday.
The decision leaves the tennis quartet of Prakash Amritraj, Sunitha Rao, Shikha and Neha Uberoi—all US citizens—at a crossroad even though Shikha is believed to be ready to surrender her American passport to continue playing for India.
Advance tax collection for Q3 down 22%
New Delhi: Advance tax collections from the Indian companies declined by at least 22% to Rs42,600 crore in the third quarter of this fiscal. In the same period last fiscal, the advance tax collection stood at Rs54,900 crore.
For the first three quarters ended 15 December, advance tax collections fell by 2.6% to Rs1.13 trillion from Rs 1.16 trillion in the corresponding period last year, finance ministry sources said. Fall in advance taxes reflect anticipations of lower profits by companies this fiscal.
However, direct tax collections were up 11.5% at Rs2.32 trillion till 24 December from Rs2.08 trillion in the year-ago period.
India likely to miss $200 bn export target
New Delhi: India is likely to miss the export target of $200 billion (Rs9.58 trillion) by 5-10% this fiscal as exporters face payment defaults, price cut and order cancellations with deepening of global financial crisis.
“Feedback from the apex chambers of commerce and different export promotion councils (EPCs) suggests that the target for the current year is unlikely to be achieved,” a top official said.
He said with the worsening situation in the global markets, the number of exporters not realizing the dues from buyers in the US and Europe would “increase substantially”.
The recession in the key markets, is likely to result in cash flow difficulties for exporters, delay in execution of orders in hand and high cost of insurance cover.