Corporate News | SpiceJet looking to buy two Boeing aircraft

Corporate News | SpiceJet looking to buy two Boeing aircraft

Mumbai: Domestic airlines SpiceJet Ltd is looking to purchase two Boeing 737-800 jets financed by the US Export Import Bank (US Exim), according to the lender’s chairman and president Fred Hoghberg.

The carrier has fleet of 20 Boeing aircraft, all leased.

Spicejet is yet to make an application for the line of credit from the US Exim, but is in preliminary talks with the lender, Hoghberg said at a select press briefing on Friday.

Anup Roy


Tayals derecognized as BoR promoters

Mumbai: In a significant revelation, Bank of Rajasthan Ltd (BoR) on Friday said in its annual results that it would no longer recognize the Tayal group as a promoter.

“Based on legal opinion obtained, they are no longer being treated as the promoters of the bank," the bank said, adding that in the absence of any other category for the dominant shareholders group, the Tayal group’s holding is being shown in the public category.

The Reserve Bank of India (RBI) does not recognize the Tayal group as the promoter of BoR, said G. Padmanabhan, the lender’s managing director and chief executive officer.

Anita Bhoir


Apollo Tyres posts sharp rise in sales, net profit

New Delhi: Buoyed by rising demand from auto makers, Apollo Tyres Ltd, the country’s largest tyre maker, reported a strong increase in annual sales and profit, but a spike in rubber prices may dent profitability this fiscal.

Net sales rose to Rs8,120 crore, a jump of 63% over the year earlier, while net profit stood at Rs653 crore compared with Rs139 crore. The firm earns Rs6 out of every Rs10 from its Indian operations. This is the first time it has reported results on a consolidated basis after the acquisition of Netherlands-based Vredestein Banden BV last year.

For Indian operations, the firm reported a net sales growth of 13% to Rs1,313 crore, while net profit more than doubled to Rs116 core. Apollo’s fastest growth came in the passenger car segment, where is grew 36% last fiscal.

Samar Srivastava


Spain’s Zara opens first store in India

New Delhi: Spanish retailer Zara started India operations by opening its first store in the country in New Delhi on Friday, and plans to open its second store in Mumbai in the coming weeks, followed by another in New Delhi.

After surveying the local market for around three years, Zara’s parent company, Inditex SA, last year forged a 51:49 joint venture with Trent Ltd, the listed retail arm of the Tata group, to open Zara stores in India.

The joint venture is tight-lipped about India investments plans, but said it plans to roll out five stores in the first year of operations.

Rasul Bailay


IOC net rises 246% to Rs10,220.55 cr in FY10

New Delhi: Indian Oil Corp. Ltd on Friday reported a 246% rise in net profit for fiscal 2010. Net profit stood at Rs10,220.55 crore against Rs2,949.55 crore the previous year, IOC chairman B.M. Bansal said.

IOC, however, posted a 16% drop in fourth-quarter profit after higher crude oil prices increased costs and subsidies failed to cover revenue losses from selling fuels below market rates.

PTI & Bloomberg


SAIL reports slight increase in net sales

New Delhi: Steel Authority of India Ltd (SAIL) on Friday reported a slight increase in net sales turnover in its audited financial performance for the Jaunary-March quarter of fiscal 2010.

Net sales increased to Rs12,229 crore during the quarter from Rs11,986 crore in the corresponding period last year.

Devesh Chandra Srivastava


Sharp drop in profits for EIH at 57.23 cr

New Delhi: EIH Ltd, which runs the Oberoi Hotels, reported a 66.4% drop in net profit at Rs57.23 crore for fiscal 2010 against the same period last year. The company’s revenues stood at Rs907.27 crore, a 15.9% drop from the last fiscal.

EIH chairman P.R.S. Oberoi said the drop in revenue and profit was due to the economic slowdown and the swine flu pandemic, along with the closure of the Oberoi in Mumbai following the terror attack in 2009.

Surabhi Agarwal


RIL makes fifth oil find in western India

Mumbai: Reliance Industries Ltd (RIL) on Friday said it struck its fifth oil find in the western part of the country, calling the discovery “significant as it is expected to improve the hydrocarbon potential of this exploratory block and augment the company’s understanding of this region".

The Mukesh Ambani-controlled firm, however, declined to disclose potential reserves in the block, though it hinted at more discoveries. The firm said the new strike is currently providing oil at a rate of 255 barrels per day. RIL said the discovery in the block CB 10 A&B was “significant as this play fairway is expected to open more oil pool areas" and augment the overall prospective reserves there.

Bhuma Shrivastava