| | INDIAN AUTOMOBILE INDUSTRY
Tuesday March 17, 2009
Daily Updates on: Aviation...Insurance...Banking...Metal & Minerals...Infrastructure....Energy | |
| | INDUSTRY
Tatas take Castrol's help for a smooth Nano ride
Selling Nano in the time of Facebook, Orkut
Want a Nano? First, pay for applying
Tata Motors looks within to boost car sales
Tatas' debt to cross Rs 1-trillion mark
Tatas JLR to scout Indian companies for sourcing components
IFC to part-finance Volkswagen India Project in Maha INTERVIEWS/FEATURES CARS, SUVs, MUVs
A-Star records fuel efficiency of 39.4 km
M&M Xylo in South Africa
Ford to roll out small car in 2010
Nissan shuffles brass as projects face delays
Mercedes-Benz launches its M-Class Model in Hyderabad
Year poses big challenges for us: Mercedes India CEO
COMMERCIAL VEHICLES
CONSTRUCTION & AGRI MACHINERY
Mahindra & Mahindra, Ashok Leyland gear up for Afghan ride
2/3 WHEELERS
Hero Honda beats rivals by a mile, sales up 12% COMPONENTS
Govt urged to exempt auto part makers from entry tax
Motherson hopes to turn around Visiocorp in a year
LIC hikes stake in Cummins India to 7.60% | ALLIED INDUSTRIES
FINANCE & INSURANCE
Nano loans to come at hefty premium
Tata Motors joins hands with SBBJ for retail finance
SBT ties up with Tata Motors
Tata Motors credit rating may be downgraded by S&P
Insurers await Nano launch to quote rates
Banks following stringent norms for car loans LUBRICANTS & ALTERNATIVE FUELS
Oil falls below $45 a barrel after OPEC holds off cuts INTERNATIONAL NEWS
Chrysler estimates Fiat deal value at up to $10 bn
Toyota to stay the course on F1 track ECONOMY & FINANCE
Rupee rallies on firm markets
Sensex ends with strong gains | |
| | INDUSTRY Go To Top
TATAS TAKE CASTROL'S HELP FOR A SMOOTH NANO RIDE
Lijee Philip
The Economic Times (Web & Print Edition)
Mumbai: Even as the launch date of Nano draws near, top R&D teams of Tata Motors and Castrol have been quietly working on a specialised low-cost fuel efficient lubricant for the much-hyped Rs 1-lakh car
. This lubricant, exclusively developed for the small car, is expected to reduce emissions and ensure higher engine longevity in a competitive business environment.
A top R&D team from Tata Motors, Castrols technology centre in the UK and its R&D centre in Wadala have been closely working for the past 18-24 months to get the right blend of lubricant. Industry observers say that Castrol had to develop the lubricant keeping in mind that the Nano is a first of its kind-small car, traffic conditions, and wear and tear of the engine.
The lubricant major, which already has an exclusive tie-up with Tata Motors for its passenger and commercial vehicles, will be an original equipment (OE) supplier and after-sales services provider to the Nano. AS Ramchander, director (automotive) Castrol India said, I believe that Nano has a huge potential not just in India, but also in the developed markets. However, he refrained from commenting on the investments made in developing the lubricant.
Industry watchers say that the Nano is expected to generate huge volumes and this will help in improving the bottomlines of vendors and dealers. The auto major is expected to initially produce 60,000-70,000 cars at its interim facility at Pantnagar and Pune. With the Sanand facility to come up in 2010, the capacity is expected to go up to 2.5 lakh units a year.
Analysts say that there could be cost saving of almost 5% if the right lubricant is used. An official close to the development said Tata Motors has made many engineering changes to Nano to improve fuel efficiency. The petrol variant of the Nano should give a mileage of 20kpl.
Auto majors are keenly awaiting the launch of the vehicle to gauge consumer response in a challenging business environment. In addition to the design, Tata Motors which is launching the Nano this month, has put in a lot of effort to develop components to reduce costs and make the rear-engine vehicle fuel-efficient. The car will sport a rear engine, variomatic transmission and boot space under the rear seat.
Copyright 2009, Bennett, Coleman & Co. Ltd. All Rights Reserved"
http://economictimes.indiatimes.com/News/News-By-Industry/Auto/Automobiles/
Tatas-take-Castrols-help-for-a-smooth-Nano-ride/articleshow/4274003.cms
Go To Top
SELLING NANO IN THE TIME OF FACEBOOK, ORKUT
Priyanka Mehra and Shally Seth
mint (Web & Print Edition)
New Delhi/Mumbai: In an advertising campaign that borrows from the low-cost philosophy of the product being advertised, Tata Motors Ltd has used a digital marketing campaign to rustle up interest for the Nano, the ultra inexpensive car.
And so, after spending Rs24 lakh, which can buy someone a little less than three-quarters an entry-level Mercedes, Indias biggest auto maker by revenue has been deluged by enquiries by the thousands from far and wide.Through an eponymous portal, www.tatanano.com, which has been up since January last year, Tata Motors has been spreading the message of the Nano, and extended this to online, high-traffic properties such as Facebook and Orkut.
To be sure, this is not the first time that an Indian firm has used online techniques to market wares and ideas. Indeed, the likes of Microsoft India Pvt. Ltd, organizers of the Indian Premier League cricket tourney and, even, political parties such as the Congress party have done so, some beginning as early as 2006. And, even auto makers such as General Motors India Ltd (GM) or Yamaha Motors Ltd took to social networking in their marketing overdrive.
But the scale and scope of expectations worldwide is different this time. At the Nano page on Facebook, the response is gushy, almost. And so you have Darlene who says: Please bring this car to Toronto, Canada!!!
Then, there is some gratuitous advice for the future in case the Tata company planned a manufacturing beachhead in Americas. You guys should make the Nano in Colombia since it would be a good place to produce them; we are in the middle of the American continent so it can be easily transported anywhere from Canada to Argentina at a lower cost; we have ports in the two oceans and many international cargo airports; we also happen to already have auto maker plants in Colombia too, says Luis.
Tata Motors, in reply, said it had no immediate plans to export or manufacture Nano described by The New York Times last year as a product of Gandhian engineeringin overseas markets.
On its own website, Tatas marketers also discuss sales strategies for what the firm bills the peoples car. Conventional automobile wisdom says that if a car dealer is any way required to complete the transaction, a Web-based option is a mere information window. It can never really be an alternative to a brick-and-mortar dealer, writes Subodh Marathe, head (marketing services) at Tata Motors.
But in this age of e-commerce where you can even buy a house online, selling a car online cannot be ruled out. The option of online car sales is certainly worth exploring, Marathe concludes on a blog with a thread focused on online sales of the car with some 70 comments.
Tata Motors sales push on social networking sites makes for smart marketing even with Indias low levels of Internet penetration, says Sandeep Singh, business director at Quasar Media Pvt. Ltd, given that half of Indias online population of some 50 million users are touched by social media platforms.
Demographic overlaps make it even more compelling, another expert says. The average age profile of a car buyer (between 25 and 46) matches with the members logging in to the social networking sites. It hence becomes an appropriate medium for car manufacturer to build brand, says Pankaj Patel, chief executive of car portal Carazoo.com. If the campaign is successful, Tata Motors stands to benefit from a strong word of mouth that swings car buying decisions, he adds.
Such buzz on social media could help Tata Motors save money in the otherwise cash-strapped times. Tata Nano is relying on social media heavily which is why their digital advertising budget will not run into crores, says Sidharth Rao, founder and chief executive, Webchutney Studio Pvt. Ltd, the agency handling Tata Nanos online account.
A Tata Motors spokesman declined specific comment on the firms exact targets through the online push. As a company it only makes sense to have the communities link on our website. At www.tatanano.com, the company is running a contest where visitors are asked to guess the price of different Nano models. The prize: an invite to the Nano launch function on Monday.
Between now and then, Quasars Singh says that the company would do well to monitor its online presence. Social networking sites are sort of word-of-mouth advertising and like messages can be misconstruedso can online activities. You have to monitor it well otherwise it could lead to a vicious circle of negative perception especially for brands that are yet-to-be launched. Information on prices and features of the product if miscommunicated could kill the product itself.
http://www.livemint.com/2009/03/17001403/Selling-Nano-in-the-time-of-Fa.html
Go To Top
WANT A NANO? FIRST, PAY FOR APPLYING
Niladri Bhattacharya and Abhijit Lele
Rediff India (Web Edition)
Mumbai: Application forms for the Nano, the much-awaited Rs 1 lakh (Rs 100,000) car, will not come for free. Tata Motors is likely to charge around Rs 300 for every application.
"This is for the first time that a manufacturer will charge for an application form. However, it will be refunded if an application is rejected," said a senior executive from a public sector bank.
Bookings are expected to start by the last week of March. The forms, say sources, will be collected through various channels but transferred to the State Bank of India. "All the forms and the collected money will be transferred to SBI, where they will be processed, and loans will be given through various banks within 90 days," said a source at a public sector bank.
"This is being done to manage the applications efficiently, as Tata Motors is expecting a large amount of bookings," the source said. When asked, an SBI official said he could not share any details on the subject.
A senior executive with a large bank said the interest rates could be cheaper than the existing auto loan rates. So far, SBI and Punjab National Bank have announced tie-ups with Tata Motors, and others like Bank of India, Union Bank of India and Bank of Baroda are expected to follow.
"We are in talks with various public sector banks to provide the widest possible range of financing options to the customers of Nano," said a source.
http://business.rediff.com/money/2009/mar/16/pay-to-apply-for-a-nano.htm
Go To Top
TATA MOTORS LOOKS WITHIN TO BOOST CAR SALES
Alka Kshirsagar
The Hindu Business Line (Web & Print Edition)
Pune: Even as Tata Motors Ltd (TML) enters into tie-ups with a series of banks to provide customers with affordable auto finance, the company is prospecting in its own backyard in a bid to boost passenger car sales.
The offer that is open to officer-level staff of both TML and Tata Technologies Ltd involves getting 100 per cent finance from the State Bank of India on the ex-showroom price of the passenger vehicle.
In addition, the company is giving a 6.5 per cent subsidy on the interest component of the EMI, which will be credited to the employees bank account in addition to the salary.
Applicable to TMLs entire range of passenger vehicles and the Fiat Palio Stile, the scheme offers finance ranging from Rs 3-8 lakh depending on the employees grade.
Since its launch some weeks ago, there has been in-house sales of a few hundred cars, a source said. Most of the new customers work in the commercial vehicle unit and have opted for the Indica and the Indigo, whose sales during February 2009 were the highest during the current fiscal.
http://www.thehindubusinessline.com/2009/03/17/stories/2009031751820200.htm
Go To Top
TATAS' DEBT TO CROSS RS 1-TRILLION MARK
PTI
See this story in: The Hindu Business Line (Web & Print Edition), The Financial Express (Web & Print Edition)
New Delhi: Tata group's total debt is set to exceed Rs 1,00,000 crore in the current fiscal, but it appears comfortable on the liquidity front, a report has said. "We expect the total debt of the Tata group as of the end of FY'09 (ending this month) at over Rs one trillion, of which Rs 117 billion is due through March 2010,'' analysts at domestic brokerage unit of financial major Kotak group said.
When contacted, Tata Sons spokesperson told PTI, "We are not in a position to comment on such reports. As you are aware Tata Sons does not aggregate the debt of individual group companies as each company is a standalone legal entity and is evaluated accordingly.'' Increase of more than Rs 30,000 crore in group's overall outstanding debt position from year-ago level of about Rs 70,000 crore is primarily due to its aggressive capital expenditure plans and past acquisitions, the report stated.
Analysts, however, noted that Tatas' funding challenges are manageable and debt obligations could be met through free cash flow generated at various group companies and proceeds from the stake sale by holding company Tata Sons.
"We believe the group's liquidity position is comfortable at an aggregate level,'' Kotak Institutional Equities Research analysts said, adding that possible fund-raising options include monetising Tata Motors' commercial vehicle division and stake sale b y Tata Sons in TCS and Tata Tele Services.
http://www.thehindubusinessline.com/blnus/02161565.htm
http://www.financialexpress.com/news/tatas-debt-to-cross-rs-1trillion-mark/435149/2
Go To Top
TATAS JLR TO SCOUT INDIAN COMPANIES FOR SOURCING COMPONENTS
Sudha Menon
mint (Web & Print Edition)
Pune: British auto manufacturer Jaguar Land Rover (JLR), acquired by Indias Tata Motors Ltd plans to leverage its new parentage to source parts from Indian suppliers even as it struggles to cope with a sharp slump in demand for luxury cars and sport utility vehicles.
Tata Motors will share its vendor list with the loss-making British firm, executives of which will likely meet some of these suppliers over the next month, a person close to the development said, speaking on condition of anonymity.
A JLR team is expected to visit factories of suppliers over the next few weeks to initially conduct audits of the quality and production systems and processes. Since the company is likely to eventually want to even develop a few components from India, given its reputation as a high quality, low-price destination for auto components, the JLR team will also inspect the vendors engineering and product development capabilities, this person added.
Jaguar Land Rover is a subsidiary of Tata Motors. Should Jaguar Land Rover seek to expand its sourcing base from India, Tata Motors would provide it with necessary support, said Debasis Ray, head, corporate communications, Tata Motors, in an email. He added that JLR has been historically sourcing some components from India.
As is the case with all global manufacturers, Jaguar Land Rover sources product from all over the world, including India, and we are in constant discussion with all of those supplier partners. This process continues, but we do not go into specific details on any of our daily operations or travel activity, a JLR spokesperson said in an email.
JLRs move to source parts from India is an expected one. In an analyst presentation in June 2008, soon after the acquisition had been finalized for $2.3 billion, Tata Motors had listed long-term benefits from component sourcing and low-cost engineering and design services as one of the reasons for acquiring JLR.
Meanwhile, Tata Motors continues to try and raise funds to refinance the $2 billion portion of the bridge loan it took to fund the acquisition and which comes due 2 June. A 5 March report from Kotak Institutional Equities said Tata Motors and Jaguar Land Rover have enough borrowing capacity to refinance most of its bridge loan.
On Monday, Standard and Poors Ratings Services maintained its December 2008 BB- long-term corporate credit rating with negative implications for Tata Motors. We believe Tata Motors cash flowsparticularly from Jaguar and Land Rover (JLR)and related metrics may materially deteriorate on a consolidated basis. Thats because, in our view, the operating environment continues to be extremely adverse for JLR and, to a decreasing extent, Tata Motors India operations, said Manuel Guerena, an S&P credit analyst. In addition, the company has high debt, including a big proportion of short-term debt.
Shares of Tata Motors, which have fallen 70.2% since June 2008, closed 2.97% higher at Rs166.40 each on Monday, a day when the Bombay Stock Exchanges benchmark Sensex index rose 2.13% to 8,943.54.
In recent years, global auto makers have turned to India for their component sourcing needs, driven by the need to cut costs and improve efficiencies.
http://www.livemint.com/2009/03/16234702/Tata8217s-JLR-to-scout-Indi.html?h=B
Go To Top
IFC TO PART-FINANCE VOLKSWAGEN INDIA PROJECT IN MAHA
Sanjay Jog
The Financial Express (Web & Print Edition)
Mumbai: The World Bank arm, International finance Corporation (IFC), has proposed a variety of options to part fund Volkswagen India Private Ltd's euro 580-million investment plan at Chakan in Pune district of Maharashtra.
The total project cost, including the construction of the fully integrated green-field car manufacturing plant with an initial capacity of 110,000 units and investment in tooling for the company's suppliers, is estimated at around euro 580 million.
IFC's proposed investment comprises a loan of up to euro 60 million equivalent for IFC's own account, and a syndicated loan of up to euro 75 million.
IFC may consider an equity or quasi-equity component within the proposed euro 60 million for its own account. The company's proposal submitted on March 12 will be taken by the IFC board for its approval on April 15.
According to an IFC report, "In light of the on-going liquidity crisis and the specific challenges faced by the automotive industry, IFC's expected role in the project includes provision and mobilisation of long-term financing necessary to complete the project, which is not available under the current financial market conditions, as well as the provision of local currency financing through swap intermediation, which may not be available under the current market conditions. In addition, IFC will explore the possibility of provision of advisory services to further develop the VW AG's local supplier base."
Besides, the IFC report says the project will generate employment and provide training. The project will benefit the local population by generating significant new employment of about 2,500 direct jobs as well as around 10,000 indirect jobs through the value chain from suppliers to distributors and dealers.
The company was incorporated in 2007 and project implementation started in the same year.
The plant will be operational on March 31. The company will target the small to compact car segments of the Indian market and expects to create a cost-competitive base for large-scale market expansion, which is expected to be achieved through a high degree of localisation of the supplier base.
The company is a wholly owned subsidiary of VW AG, held directly and indirectly, though other wholly-owned subsidiary of VW AG.
http://www.financialexpress.com/news/IFC-to-partfinance-Volkswagen-India-project-in-Maha/435218/
Go To Top | |
| | INTERVIEWS/FEATURES Go To Top
 | |
| | CARS, SUVs, MUVs Go To Top
A-STAR RECORDS FUEL EFFICIENCY OF 39.4 KM
Deccan Herald (Web Edition)
See this story in: The Pioneer (Web & Print Edition)
Bangalore: Maruti, on Monday, announced that its small car Maruti Suzuki A-Star, has achieved top mileage of 39.48 kilometres per litre (kmpl) in a fuel efficiency rally in Mumbai on Sunday. In a similar mileage rally at Chennai, the winning contestant achieved 37.6 kmpl mileage in his A-star, the company said.
Earlier, in a fuel efficiency test conducted by ARAI, countrys automotive research agency, A-Star delivered a mileage of 19.6 kilometres per litre of petrol.
This was the best in class ARAI certified fuel efficiency, among cars in India, Maruti said in a press statement here. In A-Star mileage rally in Mumbai, top 25 participants achieved an average mileage of over 26.72 kmpl, while in Chennai it was 32.5 kmpl.
In both of the cities, the average mileage achieved by all the participants was over 29 kmpl. The cars were driven on a predetermined route of approx 60 kms by participants. There were 51 participants in Mumbai and 45 in Chennai. Before the event, they were given fuel saving tips to get maximum mileage.
High acceleration
Maruti feels A-Stars new-generation three-cylinder, light-weight aluminum K10B engine enhance performance, minimise friction and provide high acceleration. The light weight, 998cc K10B petrol engine offers power of 67ps @ 6200 rpm and torque of 90nm @ 3500 rpm.
The flat torque curve comes in handy while negotiating the stop-go city traffic conditions with ease said a press release. A-Star is the first car from Maruti Suzuki to be fitted with the new KB Series engine, an outcome of over three years of design and development in collaboration with Suzuki Motor Corporation
http://deccanherald.com/Content/Mar172009/business20090316124441.asp
http://www.dailypioneer.com/162974/Snapshots.html
Go To Top
M&M XYLO IN SOUTH AFRICA
The Financial Express (Delhi Print Edition)
Mahindra & Mahindra (M&M) on Monday said that the company has launched its new multipurpose vehicle, the Xylo in South Africa market. The Xylo range for the South Africa market consists of the luxury model, the E8, and the people mover the E2. The vehicle was first introduced in India in January 2009.
Go To Top
FORD TO ROLL OUT SMALL CAR IN 2010
Pankaj Doval
The Economic Times (Web Edition)
See similar story in: The Times of India (Web & Print Edition)
New Delhi: Ford India said troubles with its parent in US will not affect its planned $500 million investments for India, and added that the companys small car would hit the market by early 2010 with localisation as high as 85% to keep the price competitive.
Michael Boneham, MD and president of Ford India, told TOI that the company's expansion plans were going ahead "as scheduled". The US auto major that posted a record $14.7 billion net loss in 2008 globally had announced the half-a-billion dollar investment for India last year to double annual production capacity to 2 lakh units and make 2.5 lakh petrol and diesel engines.
"The last six months have been tough for the auto industry... and we maintain a cautious outlook for the rest of 2009," Boneham said, adding that he expected a turnaround only by 2010. "And this will be the time when we bring in our small car. Thus, we are confident it will get a good response," he added.
The company is making efforts to ensure that its new small car, that is being designed and engineered for the Indian market, is attractively priced considering it faces tough competition from players like Maruti Suzuki, Hyundai and Tata. "It will the first offering from Ford in the mass-market segment and we are making efforts to keep it cost-competitive while making it a great value proposition," he said.
Ford currently sells sedans like Ikon and Fiesta in India apart from the SUV Endeavour and has seen sales shrinking 19% in April-February'09 period at 24849 units (year-on-year). Boneham said he expected numbers to turn positive once the small car hits the market.
Ford's car would come with petrol and diesel engines, both falling within the small car definition of the government to avail lower excise benefits i.e. petrol engine under 1200cc and diesel under 1500cc with overall length below four metres.
Asked whether the company had plans to export the model, Boneham said it would certainly be sold abroad, though the initial focus would be on the domestic market. "Yes, we would look at markets beyond India and these would be countries in the Asian region, South Africa as well as Asia-Pacific area," he said. And in the run-up to the car's launch, the company is beefing up sales and service network in Tier-2 and Tier-3 cities while also working on relationships with banks for broadening retail finance options.
http://economictimes.indiatimes.com/News-by-Industry/Ford-to-roll-out-small-car-in-2010/articleshow/4274086.cms
http://timesofindia.indiatimes.com/Business/Ford-to-roll-out-small-car-in-2010/
articleshow/4273302.cms
Go To Top
NISSAN SHUFFLES BRASS AS PROJECTS FACE DELAYS
Sindhu Bhattacharya
Daily News & Analysis (Web Edition)
New Delhi: The global economic downturn and realities of the Indian automobile market appear to be forcing Nissan Motor to change its strategy. Till last year, the company was viewing India as a "frugal engineering" opportunity, with ambitious manufacturing plans and a detailed product rollout calendar. Though product rollouts are still largely on track, the pace of development on several fronts has slowed down.
Nissan operates a wholly owned subsidiary, Nissan Motor India, a manufacturing joint venture with sister company Renault called Renault Nissan Automotive India and another JV with Ashok Leyland for light commercial vehicles. Besides, it is working with Renault and Bajaj Auto to develop an ultra low cost (ULC) car.
Patrick Pelata, the COO of Renault SA, has already conceded the likelihood of a "slight delay" in the ULC project due to Bajaj's objections on the positioning of the vehicle.
Going by sources, though several prototypes of the vehicle have been prepared, none has been finalised so far. Thus, though both Renault and Nissan appear committed to this ambitious project, Bajaj Auto may well go it alone in the end.
On its part, the LCV JV with Leyland is also suffering. Land acquisition for the project, near Chennai, has been delayed and the partners appear to be looking at scaling down the venture.
A Nissan spokesperson told DNA Money, "Nissan is studying the optimisation of its investments for its LCV business unit. Studies are ongoing and at this stage, we have no comment to make on the timing or outcomes."
Meanwhile, the attempts of Hover, the Indian company which handles marketing, distribution and sales of the X-Trail and Teana cars for Nissan within India, to expand dealership network remain unsuccessful.
Some months ago, Hover had roped in Nitish Tipnis from Reliance Retail for the top job. However, going by sources, the limited sales numbers of the two cars have ensured that the total number of dealerships remain at five.
In a far reaching organisational shake up late last week, Nissan announced the appointment of two separate heads for the manufacturing operations at Chennai and the marketing, sales and distribution function (outsourced to Hover Automotive but based out of Mumbai). Till now, both these functions were being looked after by Shohei Kimura.
But from April 1, Kiminobu Tokuyama has been promoted to the post of MD & CEO of Nissan Motor India even as Neeraj Garg, director and well-known Indian face at the company, has put in his papers.
Tokuyama would look after exports and domestic business for Nissan, the spokesperson said. Sources say he would also be the headquarters' key operative in dealing with the Leyland JV and the ULC projects.
Akira Sakurai, the current general manager of vehicle production engineering division at Renault Nissan Automotive India has been appointed the MD and CEO. Sakurai would be based in Chennai, looking after the production function. The company insists that production of next generation car 'Micra' remains in track from next year.
http://www.dnaindia.com/report.asp?newsid=1239716
Go To Top
MERCEDES-BENZ LAUNCHES ITS M-CLASS MODEL IN HYDERABAD
PTI
See this story in: The Hindu Business Line (Web Edition), The Statesman (Web Edition)
Hyderabad: Mercedes-Benz India on Monday launched its popular SUV the M-Class Model in the city. The new M-Class is available in two engine choices: the ML 320 CDI (featuring a high-torque diesel engine) and the ML 350 (powered by a high output gaso line engine).
Talking to media persons here Mr Suhas Kadlaskar, Director, Corporate Affairs of Mercedes-Benz India, said that "The new M-Class offers best of both the worlds the highest levels of luxury, comfort and on-road refinement combined with excellent off-road capabilities and best-in-class safety standards''.
We have maintained the same price for this product despite significant enhancements of equipment, features and performance, thus making the best value for money offering in this segment,'' he added. The new car ML 350 is priced at Rs 53.77 lakhs, ex-show room Mumbai and ML 320 CDI is priced at Rs 54 lakhs, ex-showroom Mumbai.
The New M-Class offers a high-level of on road refinement. It presents a state-of-the art 7-speed automatic transmission (7G-TRONIC), a height adjustable air suspension (AIRMATIC), an Exterior Sports Package featuring 19 inch alloy wheels, and available luxurious leather interior with burr walnut accents. The M-Class offers excellent off-road capabilities. It features the famous 4MATIC permanent all-wheel drive system with a start-off assist & a Downhill Speed Regulation (DSR), Mr Kadlaskar said.
http://www.thehindubusinessline.com/blnus/02161960.htm
http://www.thestatesman.net/page.news.php?clid=12&theme=&usrsess=1&id=247244
Go To Top
YEAR POSES BIG CHALLENGES FOR US: MERCEDES INDIA CEO
Swarleen Kaur
The Financial Express (Web & Print Edition)
See similar story in: The Hindu Business Line (Web Edition)
Ludhiana: Luxury carmaker, Mercedes Benz, which sold 3,625 cars in India in 2008, seems to be having a bumpy ride this year. For one, the worlds largest luxury carmaker BMW has dislodged Mercedes Benz from the No. 1 slot of the Indian luxury car market in the first two months of 2009. Wilfred G Aulbur, managing director and CEO of Mercedes Benz India, says, The current year is quite challenging for us. We sold 20-30 units in the first two months of the current year. Economic slowdown coupled with liquidity crunch will remain the main issues of concern.
To attract more customers the company plans to pump in Rs 150 crore in 2009-10 to upgrade its existing facilities in Delhi, Chandigarh, and Hyderabad.
The automaker will also keep on offering attractive deals and schemes to woo new customers.
We hope the things will start looking up in the second half of this year, said Dr Aulbur. The general elections will be over by that time. We are quite optimistic to achieve the target set for the year 2009. However, he declined to divulge the sales target of 2009.
The year 2008 proved quite fruitful for the luxury carmaker as the companys national sales grew 47% over the previous year. The market of Punjab contributed significantly to the sales of the companywhen it grew 48%.
The company sold 276 cars in this region (Chandigarh and part of Haryana) last year (Jan-December) as compared to 175 units it sold the previous year.
Aulbur was in Ludhiana to launch its popular SUV the M-Class in the city.
The new M-Class is available in two engine choicesthe ML 320 CDI (featuring a high-torque diesel engine) and the ML 350 (powered by a high output gasoline engine).
http://www.financialexpress.com/news/year-poses-big-challenges-for-us-mercedes-india-ceo/435355/
http://www.thehindubusinessline.com/2009/03/17/stories/2009031751900200.htm
Go To Top | |
| | COMMERCIAL VEHICLES Go To Top
- - - - - | |
| | CONSTRUCTION & AGRI MACHINERY Go To Top
MAHINDRA & MAHINDRA, ASHOK LEYLAND GEAR UP FOR AFGHAN RIDE
Utpal Bhaskar and Shally Seth
mint
Mumbai: Commercial vehicle makers Ashok Leyland Ltd and Mahindra and Mahindra Ltd could soon access an Indian line of credit to sell their products in strife-torn Afghanistan.For cultivation, we need tractors. Mahindra and Mahindra are in talks with us, said A. Munir Khan, commercial counsellor at the Afghan embassy. They have offered to study the conditions of Afghanistan and supply us tractors suited for our environment.
Buses are the main form of transportation in Afghanistan and Ashok Leyland is very interested in supplying buses to us, Khan added. It has also offered to train Afghan automobile engineers at its manufacturing facilities in India.
Both the offers are under consideration of the Afghanistan government. India has provided a $400 million (Rs2,064 crore) line of credit (till August 2008) to Afghanistan, which Indian companies can use to do business in Afghanistan, Khan said.A line of credit is an agreement by a lender to provide a client with loans up to an approved limit, without a formal application. If Afghanistan agrees to import tractors and buses from these companies, which are looking at newer markets to battle a downturn at home, the cost of transaction would be deducted from the line of credit.
An Ashok Leyland spokesperson said he is not aware of the development. A Mahindra and Mahindra spokesperson refused to comment because top company officials were travelling. If the companies are getting line of credit to sell vehicles in Afghanistan, it augurs well for them as there is an untapped potential in countries like these where a lot of rebuilding needs to be done, said Abdul Majeed, partner at audit firm Price Waterhouse.
Currently, only 6% of the land in Afghanistan is under cultivation though 15% of it is suitable for farming. Wheat and cotton are the most important crops; the country also grows barley, corn, and rice. Fruit and nuts are among Afghanistans most important exports. Afghanistan has 3,500 km of asphalt roads and 10,000 km of partially constructed roads. In comparison, India has a road network of 3.3 million km.
India recently completed the 218km road link connecting the town of Delaram on the Kandahar-Herat highway to Zaranj in Afghanistan. The project is expected to transform Afghanistans economic landscape, by connecting its far-flung areas.
http://www.livemint.com/2009/03/16224152/Mahindra-amp-Mahindra-Ashok.html
Go To Top | |
| | 2/3 WHEELERS Go To Top
HERO HONDA BEATS RIVALS BY A MILE, SALES UP 12%
Chanchal Pal Chauhan
The Economic Times
New Delhi: Aphorisms linking crises and opportunities abound, but examples of entities that find opportunities in crisis situations are rare. Indias largest two-wheeler maker is a case in point.
At a time when the Indian automobile company has had to battle its worst crisis in a decade that has seen demand dwindle and sales tumble, Hero Honda has posted the best-ever performance in its 25-year history.
The company, the worlds largest two-wheeler maker for the past eight years on the trot, has posted a 12% sales growth to 33 lakh units in the first 11 months of this fiscal year, almost single-handedly keeping its sector in positive sales territory despite rivals like Bajaj Auto and TVS Motors reporting negative sales.
It is also the only listed two-wheeler maker in India to grow profits and margins in fact, its profit margins for the December 2008 quarter were the highest ever in the past three years. Its net profit rose 9.24% to
Rs 300.42 crore for the quarter while its total turnover rose 5% to Rs 2,881.27 crore.
The companys share price hit a 52-week high at Rs 985 on March 13 this year, a stark contrast to the stock markets benchmark index, which has tumbled to less than half its record high in the past year or so. As on February 27, its market value stood behind just Tata Motors and Maruti Suzuki in the Indian automobile sector.
How has Hero Honda managed this? What makes the company tick? The answer, according to the companys managing director Pawan Munjal, is simple: We make products that customer wants and that is driving sales.
As an explanation, this may sound pedestrian, but it forms the core of the companys strategy. When rivals, including Bajaj Auto, decided to move up the value chain to focus on the more profitable 125-cc segment in motorcycles, Hero Honda decided to consolidate its position in what it did best.
It kept on launching new bikes in the largest segment of the entire two-wheeler industry the 100-cc category.
As the economic slowdown forced customers to maintain their preference for the 100-cc economy
segment instead of scaling up their purchasing dreams, Hero Hondas top-selling 100-cc bike Splendour was out there sporting a price tag cheaper than its rivals.
Sales grew and the company soon found itself with a 48% market share in the 7-million-units-a-year Indian two-wheeler market.
Its a single-minded focus to drive volumes which automatically leads to higher profits, said Munjal, whose family founded the Hero Group that started making bicycle parts. The Hero group tied hands with Japans Honda Motors in 1984 to manufacture motorcycles.
Copyright 2009, Bennett, Coleman & Co. Ltd. All Rights Reserved"
http://economictimes.indiatimes.com/News/News-By-Industry/Auto/Two-wheelers/Hero-Honda-beats-rivals-by-a-mile-sales-up-12/articleshow/4274006.cms
Go To Top | |
| | COMPONENTS Go To Top
GOVT URGED TO EXEMPT AUTO PART MAKERS FROM ENTRY TAX
Business Standard
New Delhi/ Bhopal: The Confederation of Indian Industry has urged the Madhya Pradesh government to exempt motor vehicle parts manufacturers from entry tax.
The state government had brought in an Act - Madhya Pradesh Sthaniya Kshetra Me Mal Ke Pravesh Par Kar Adhiniyam 1976 - and imposed a 1 per cent tax on entry of goods into the local area, their consumption or sale.
However, the automobile sector was given exemption on April 2002 for a period of five years. It had not been extended from April 2007 and auto parts manufacturers are facing a tough competition during this time of recession from those of neighbouring states, BS Khargonekar, CII, chairman MP chapter, said. The CII is likely to meet senior government officials soon in this regard.
The cost of manufacture of automobile or parts has gone up 0.7 per cent or more depending upon model, value and type of motor vehicles due to this. With entry of multinational companies in the segment, the worst sufferers are small scale and medium scale industries in Madhya Pradesh. Uttarakhand has granted special exemptions to automobile manufacturers," the CII said.
At present, automobile attracts 4 per cent value added tax and one percent entry tax. MP has big auto companies like Eicher, Man-Force, Avtec, Mahindra and over 50 auto ancillaries.
http://www.business-standard.com/india/news/govt-urged-to-exempt-auto-part-makersentry-tax/351964/
Go To Top
MOTHERSON HOPES TO TURN AROUND VISIOCORP IN A YEAR
The Hindu Business Line
See similar story in: The Times of India, The Telegraph, mint
New Delhi: Motherson Sumi group, the $1.6-billion auto component group, expects to turn around the recently acquired Visiocorp, the worlds largest automotive mirror maker, in a year.
It will invest 80 million in a year for restructuring Visiocorp, which it acquired earlier this month for Rs 175 crore. The Delhi-based component maker stated that it will raise 50 million through debt and the remaining 30 million through capital infusion.
With the acquisition of Visiocorp, which has about 24 per cent of the global market share, Motherson Sumi now holds 300 patents of the European company.
We will raise 50 million to meet the capital expenditure over the next one year. About 20 million would be invested in tooling costs and the remaining towards restructuring of the plants, said Mr Laksh Vaaman Sehgal, Chief Executive Officer of Samvardhana Motherson Finance Ltd, the group company that bought Visiocorp along with the listed entity, Motherson Sumi Systems Ltd.
As a joint venture company, we have always been constrained by not competing in the markets where our partners have a presence. With this acquisition, we own a technology and a product line that gives us a global presence, said Mr Vivek Chaand Sehgal, Group Chairman. Post the acquisition, the company expects to expand its presence in the bigger auto markets such as the US and China.
Visiocorp has two production facilities in China. So we could look at making it a base for global sourcing, said Mr Sehgal. Visiocorp, which has a turnover of 660 million, has 16 plants worldwide and a workforce of 4,000. With the acquisition, Motherson Sumi groups workforce will now be over 20,000.
http://www.thehindubusinessline.com/2009/03/17/stories/2009031751870200.htm
http://timesofindia.indiatimes.com/Business/Motherson-completes-buyout-of-UK-based-company/articleshow/4273301.cms
http://www.telegraphindia.com/1090317/jsp/business/story_10680900.jsp
http://www.livemint.com/2009/03/16221346/Motherson-Sumi-to-invest-80-m.html
Go To Top
LIC HIKES STAKE IN CUMMINS INDIA TO 7.60%
PTI
See this story in: The Hindu Business Line
Mumbai: Life Insurance Corp of India said it has hiked its stake in engine manufacturer Cummins India to 7.60 per cent after buying additional shares worth Rs 72.22 crore through an open-market transaction. The country's biggest insurance service provider, LIC, purchased 43.22 lakh shares representing 2.18 per cent stake in engine manufacturer, Cummins India said in a filing to the Bombay Stock Exchange.
Prior to the transaction, LIC held 5.42 per cent stake in the company, while now it holds over 1.50 crore shares representing 7.60 per cent stake in Cummins India. Shares of Cummins India were trading at Rs 158.40, up 4.14 per cent on the BSE.
http://www.thehindubusinessline.com/blnus/05161566.htm
Go To Top | |
| | ALLIED INDUSTRY Go To Top
- - - - - | |
| | FINANCE & INSURANCE Go To Top
NANO LOANS TO COME AT HEFTY PREMIUM
Surajeet Das Gupta & Swaraj Baggonkar
Business Standard
New Delhi /Mumbai: Tata Motors is putting the final touches to a finance scheme for the Nano car through a tie-up with the State Bank of India (SBI), Indias largest bank, under which the bank will finance 70 per cent of the price of the car at an interest rate of 14 to 14.75 per cent for a tenure of up to five years.
General managers of SBI branches across the country had a meeting with senior Tata
Motors executives last week to finalise the branches and the method of rolling out the
loan scheme across the country, especially in rural locations and small towns.
The terms for the Nano finance scheme are stiffer than those offered by both government-owned and private sector banks for comparable tenures. Government-owned banks currently charge between 11.5 and 12 per cent, although SBI is charging a concessional 10 per cent for car loans before May 31 for the first year as part of a special scheme.
Private banks like HDFC Bank charge interest of 12 to 12.5 per cent and ICICI Bank 14.5 per cent. Most banks finance up to 85 per cent of the price of the car.
According to sources, the company has already received over 40 million queries on the Nano on its websites. The entry-level model will cost Rs 1 lakh (excluding freight and value-added tax ) and consumers are expected to pay Rs 25,000 to Rs 30,000 more for the air-conditioned model, according to dealers who have still not been given the final pricing. Asked about the finance scheme, a Tata Motors spokesperson said: The booking process and other details will be announced on March 23, 2009. In any case, we have said on February 26, 2009, that Tata Motors is making arrangements for the widest possible network to book the car, so that prospective customers can conveniently avail of booking facilities at their locations, across the length and breadth of India. Your information on interest rates etc is purely speculative. An email query to SBI spokesperson did not elicit a reply.
Those in the know say that the company will be constrained by the number of cars it can roll out from assembly lines in Pune (Maharashtra) and Pant Nagar (Uttarakhand), a makeshift arrangement till the main plant in Gujarat starts operations in October. In the first 12 months, the aim is to roll out around 100,000 cars.
The chances of selling the car at a premium on the black market, however, could be minimised because of the allotment system. A Tata Motors dealer based in Kolkata, said: Cars will be allotted to buyers by random computer sampling, which the company will do, and cars will be delivered in the name of the buyer to us. The chances of black marketing are not possible in such a case.
http://www.business-standard.com/india/news/nano-loans-to-come-at-hefty-premium/352051/
Go To Top
TATA MOTORS JOINS HANDS WITH SBBJ FOR RETAIL FINANCE
Agencies
See this story in: The Financial Express, The Hindu Business Line
New Delhi: Auto maker Tata Motors on Monday said it has tied up wi th public-sector lender State Bank of Bikaner and Jaipur for providing retail finance facilities to customers of passenger vehicles.
"In order to provide an added facility of car finance to its customers, Tata Motors has entered into an understanding with State Bank of Bikaner and Jaipur (SBBJ) for financing its range of passenger vehicles," the company said in a statement.
According to this tie-up, financing facility would be available at all branches of SBBJ and 470 sales touch points of Tata Motors, it added.
SBBJ is a part of the State Bank Group, which has pan India presence with about 860 branches. The lender at present offers car loans up to 85 per cent of the on-road price, for tenure ranging up to seven years. It is offering car loans at rates frozen at 10 per cent till May 31, 2010, for loans sanctioned on or before May 31, 2009.
http://www.financialexpress.com/news/tata-motors-joins-hands-with-sbbj-for-retail-finance/435131/
http://www.thehindubusinessline.com/blnus/02161460.htm
Go To Top
SBT TIES UP WITH TATA MOTORS
The Economic Times
Thiruvananthapuram: The State Bank of Travancore has signed up with Tata Motors for financing the latter's passenger cars.
SBT officials said here that the bank would offer loans up to 85% of the on-road price of cars for tenures up to 7 years, and that the interest would be 10% up to May 15, 2010 for loans sanctioned up to April 30 this year.
Copyright 2009, Bennett, Coleman & Co. Ltd. All Rights Reserved"
http://economictimes.indiatimes.com/Personal-Finance/SBT-Tata-Motors-tie-up-for-auto-loan/articleshow/4271994.cms
Go To Top
TATA MOTORS CREDIT RATING MAY BE DOWNGRADED BY S&P
PTI
See this story in: The Hindu Business Line, The Statesman
New Delhi: Tata Motors faces the possibility of its long-term credit rating being downgraded by Standard and Poor's due to deterioration of its financial profile, particularly after acquisition of British marquees Jaguar and Land Rover.
"We will review Tata Motor's debt and funding plan in the next few days and believe there is a high likelihood that we will lower the rating further, possibly by more than one notch,'' the rating agency said in a statement here 0n Monday.
S&P's current long-term corporate credit rating of Tata Motors is BB-, which implies the possibility of repayment of loans is moderate. "We have kept the ratings on watch pending clarification of the company's strategy to minimise deterioration of its cash flow ... we believe Tata Motors cash flow - particularly from Jaguar and Land Rover - and related metrics may materially deteriorate on consolidated basis,'' S&P said.
The S&P's statement on possibility of downgrade on Tata Motor's credit ratings comes a week before the roll-out of its much-touted Rs 1 lakh car Nano. S&P has no word on Nano in its statement. Earlier this month, another global rating agency Moody's had downgraded Tata Motors' corporate family rating due to its weak financial profile and deteriorating conditions in vehicles market. http://www.thehindubusinessline.com/blnus/05161768.htm
http://www.thestatesman.net/page.news.php?clid=12&theme=&usrsess=1&id=247240
Go To Top
INSURERS AWAIT NANO LAUNCH TO QUOTE RATES
Mayur Shetty
The Economic Times
Mumbai: Insurance companies are awaiting the price list for spare parts for Tatas Nano before quoting rates for a cover. Although auto Insurance for the Nano may end up being the cheapest for any four-wheeler , in percentage terms the rates are likely to be higher than that for other cars.
I do not think it will be possible to price insurance cover for the Nano using standard pricing models. We will have to wait for the price list of spare parts before we can decide on the premium, said Deepak Sood, MD of Future Generali Insurance. He added that insurance companies would also have to factor in the commission expectation from intermediaries and also the accumulation risk since the car is likely to be sold heavily.
According to Vijay Kumar, head motor insurance at Bajaj Allianz General Insurance, The insurance cost would be closer to the premium charged on the Maruti 800 with some discount for the low value of the car . He added that the premium as percentage of value would not be the same as the premium for other small cars. the insurance cover for third-party premium is in any case fixed by the regulator and will be around Rs 800 - the same as for all small cars, he said.
Besides the cost of spares insurance companies are looking out for the profile of the users who will be buying the Nano. If it is largely bought as a second car or a large number of women end up buying the claims frequency might be lower said an official with a private life insurance company.
Insurers feel that the motor insurance premium on the Nano is likely to be over Rs 3,000. In percentage terms this would be around 3% of the cars market value of Rs 1 lakh. This is slightly higher than the average premium rate of around 2.5% of the insured value that is applied to other cars.
Even if the spare parts are cheap they would have to bear in mind that there are fixed administration costs and survey expenses which cannot be reduced. The third aspect is the distribution. In most other cars the dealer gets a sizeable chunk of the first year premium by way of commission. We do not know if Tatas will tie up with a preferred insurer to come out with a special cover for the car said an official with a public sector company.
Copyright 2009, Bennett, Coleman & Co. Ltd. All Rights Reserved"
http://economictimes.indiatimes.com/News/News-By-Industry/Auto/
Insurers-await-Nano-launch-to-quote-rates-/articleshow/4274108.cms
Go To Top
BANKS FOLLOWING STRINGENT NORMS FOR CAR LOANS
Priyanka Vyas
The Hindu Business Line
New Delhi: In spite of falling interest rates, car loans are not going to become easier to come by. This is because banks have made credit appraisal norms more stringent by making minor modifications in the documents that they are now asking from applicants.
Earlier, two years of work experience and one years Form 16 the annual statement from the employer on tax deduction was sufficient. But now chances are that the bank will insist on Form 16 for both years. Some private banks are asking the applicant to also give three to six months old mobile bill to ensure accessibility. For self-employed businessmen, banks require income tax returns for the previous three years.
Their borrowing limit has also been reduced.
We no longer accept any surrogate documents like a two-three years credit card statement of a borrower. In the past it could have been used as a yardstick to know about his bank statement and his credit limit. If the credit limit is up to 2 lakh or so, we would consider giving a loan. But now these documents do not substitute for a bank statement, said a private sector bank official.
When the economy was booming, we were willing to take the risk of lending to even a self-employed businessmen with just two-three years of experience. But based on past mistakes and track records, we have now raised the eligibility to 30 years unless he can get a co-applicant, conceded the official of another private sector bank.
http://www.thehindubusinessline.com/2009/03/17/stories/2009031751530600.htm
Go To Top | |
| | LUBRICANTS & ALTERNATIVE FUELS Go To Top
OIL FALLS BELOW $45 A BARREL AFTER OPEC HOLDS OFF CUTS
AFP
See this story in: The Times of India
Singapore: World oil prices tumbled below 45 dollars a barrel in Asian trade on Monday after the OPEC cartel decided not to cut output during a weekend meeting.
New York's main futures contract, light sweet crude for April, fell 1.91 dollars to 44.34 dollars a barrel.
Brent North Sea crude for delivery in April declined 38 cents to 44.71.
Some analysts had expected the Organisation of the Petroleum Exporting Countries (OPEC) to slash production during its meeting in Vienna on Sunday in a bid to shore up prices, which have tumbled from historic highs after a global economic crisis weakened energy demand.
But the cartel, which pumps about 40 per cent of the world's crude, decided to hold off from further cuts.
OPEC oil ministers delayed the decision until at least May to give rich and emerging nations time to respond to the global economic crisis.
"It's a rollover until May," Iraqi oil minister Hussein al-Shahristani told reporters in Vienna after the meeting, using the technical term for the decision to hold output steady.
For Algerian energy minister Chakib Khelil, it was "a responsible position" that would "give the chance to the G20 to do its job on April 2. In light of the decision they will make, we'll make our decision on May 28."
http://timesofindia.indiatimes.com/Business/Oil-falls-below-45-a-barrel-after-OPEC-holds-off-cuts/articleshow/4269950.cms
Go To Top | |
| | INTERNATIONAL NEWS Go To Top
CHRYSLER ESTIMATES FIAT DEAL VALUE AT UP TO $10 BN
Reuters
See this story in: The Economic Times
Detroit: Chrysler LLC's proposed deal with Fiat SpA is worth up to $10 billion for the cash-strapped U.S. automaker and could preserve 5,000 North American manufacturing jobs, Chief Executive Bob Nardelli said on Monday.
"We estimate the cash value of Fiat's contribution to be between $8 and $10 billion, considering the cost to develop these vehicles, platforms and powertrains from scratch," Nardelli said in an email to employees.
The value of the proposed deal would come from synergies in the areas of purchasing, engineering and contribution of technology, Nardelli said.
"Production of vehicles for Fiat in North America will allow Chrysler to increase its plant utilization, helping to preserve and create in excess of 5,000 manufacturing jobs," Nardelli said. "The overall contributions from Fiat and the synergies we realize will far exceed the value of the government loans."
Chrysler, which has already received $4 billion in emergency U.S. government loans, has requested another $5 billion.
The No. 3 U.S. automaker has a nonbinding deal with Italian automaker Fiat, which has agreed to take a 35 percent stake in Chrysler in exchange for access to technology and overseas markets.
Under the terms of the deal, Fiat will not pay cash for the stake in Chrysler, which is 80.1 percent owned by Cerberus Capital Management.
This is the first time Chrysler has detailed the estimated cash value of the proposed deal with Fiat, even as the automaker makes the case that it can survive without any partners.
Chryler is "absolutely" a viable business on a standalone basis, Nardelli said.
Chrysler and larger rival General Motors Corp have requested nearly $22 billion in additional U.S. government loans to ride out a deep plunge in U.S. vehicle demand.
The automaker has had a series of "very constructive discussions" with the U.S. Treasury and the Presidential task force on its request for $5 billion in additional aid, the CEO said in the email.
"We were asked by the task force whether Chrysler is viable without a global alliance partner," he said. "Our answer is absolutely yes."
More cash generated if market improves
Nardelli said that Chrysler needs to meet all of its government requirements as the first step in finalizing the alliance with Fiat.
Talks between the two automakers were progressing on how the two sides would implement the deal and were at a detailed stage with good momentum, a person familiar with the situation said on Monday.
The U.S. government has mandated that both Chrysler and GM undertake sweeping restructuring actions, including cutting debt and bringing down labor costs, by March 31.
Chrysler still has considerable negotiations and work to be completed to meet the government's deadline, Nardelli said.
On a positive note, Nardelli said the automaker could generate an additional $9 billion in cash if U.S. auto sales recovered to 16 million by 2012.
Chrysler, in its submission to the U.S. Treasury, has assumed U.S. vehicle sales of 10.1 million for 2009, 10.6 million for 2010, 11.1 million for 2011 and 11.6 million for 2012.
U.S. vehicle sales for January and February were at an annualized rate of around 9.3 million, lowest since 1982.
http://economictimes.indiatimes.com/International-Business/Fiat-deal-value-at-10-bn-Chrysler/articleshow/4273329.cms
Go To Top
TOYOTA TO STAY THE COURSE ON F1 TRACK
Agencies
See this story in: The Economic Times
Tokyo: Japanese auto maker Toyota has big ambitions for the upcoming Formula One season, regardless of the global economic slowdown.
While Japanese rival Honda withdrew from F1 in December, the team eventually being sold to team principal Ross Brawn, earlier this month, Toyota chose to continue for an eighth season in a bid to win an elusive GP title.
The economy got worse at the end of last year and that has made things more difficult, Toyota Motor Corporations senior managing director Tadashi Yamashina said at a press conference Monday. But we have a positive outlook and are determined to get our first win this season.
F1 is introducing major regulation changes in a bid to help teams like Toyota cut costs. Toyota will compete using a new race car in 2009 which features a new chassis designed to deliver improved aerodynamics.
Veteran driver Jarno Trulli and second-year member Timo Glock are aiming to improve on their podium finishes. Glock finished second at the Hungary GP while Trulli had a third-place finish in France for Toyotas best results in 2008. The team has never won an F1 Grand Prix.
Toyota reportedly considered following Honda out of F1 but decided to stay after receiving the support of main sponsor Panasonic.
http://economictimes.indiatimes.com/News/International-Business/Toyota-to-stay-the-course-on-F1-track/articleshow/4274063.cms
Go To Top | |
| |
ECONOMY & FINANCE Go To Top
RUPEE RALLIES ON FIRM MARKETS
The Hindu Business Line
Mumbai: The rupee strengthened by about 10 paise from Fridays close as the domestic equity market gained and as the dollar depreciated in the overseas market. The rupee opened at 51.32/34 and closed at 51/40, higher from Fridays close of 51.51/52. The Sensex gained by 196 points, on Monday. During the day, the rupee fell to a low of 51.68/70 on corporate buying, said a forex dealer with a private bank. Other Asian currencies too, were strong against the dollar. The e uro shooting up in the overseas market also helped the rupee, the dealer added. In the forwards premia market, the six-month closed at 2.96 per cent and the 12-month is at 2.34 per cent.
http://www.thehindubusinessline.com/2009/03/17/stories/2009031751560600.htm
Go To Top
SENSEX ENDS WITH STRONG GAINS
PTI
See this story in: The Hindu Business Line
Mumbai: After an intense volitility in the morning trading session the Sensex zoomed with cues from positive Euopean markets opening, strong Dow futures, along with intense short-covering. At close the Sensex rose by 187 points to finish the day at 8943; while the Nifty finished at 2777 up by 57 points.
The benchmark Sensex on Monday opened higher by over 70 points on buying by funds in blue-chips stocks following firm global cues. The Bombay Stock Exchange barometer moved up by 71.57 points to 8,828.18 points in first five minutes of trading.
The wide-based National Stock Exchange's Nifty rose by 17.80 points to 2,737.05 points.
Marketmen said reports of firm trend in overseas markets influenced buying in shares, especially in realty and banking stocks.
After trading in positive territory for sometime, sellers took charge and hammered the Sensex to pare all its gains and the indices slipped into the negative zone.
At 11.45am the Sensex was down by 30 points at 8727. The Sensex is in comeback mode at around 1.00 p.m at 8777 points gaining around 20 points.
All the sectoral indices are in green except IT and power indices.
At around 2.20 p.m. the Sensex spurts nearly 130 points after meandering flatly in the afternoon trade. Dealers say the positive opening in European markets coupled with short covering as the reason for the sudden rise in the indices.
Realty, oil and gas and bank indices were the major gainers.
The Sensex at 3.00 p.m. maintained its winning streak at 8907 up by 150 points on the backdrop of heavy buying and short-covering.
http://www.thehindubusinessline.com/blnus/05161901.htm
Go To Top
Last Financial closing
| Sensex | 8,943.54 | | US$ spot | Rs.51.34 | | US$ | Y.98.3716 | | US$ 6 months | Rs.52.18 | | Yen | Rs.0.52 | | Euro spot | Rs.66.92 | | LIBOR 6 months | % | | Call | % | | GOI sec. 10 years | - - - - | | Aluminium (per kg) | Rs. | | Aluminium Ingot | Rs. | | Copper (per kg) | Rs. | | Gold (10gm) | Rs.15,205 | | Lead (per kg) | Rs. | | Mild Steel Ingots (Mumbai) | Rs.22000.01 | | Nickel (per kg) | Rs. | | Nickel Cathode | Rs. | | Silver (1kg) | Rs. | | Sponge Iron (per tonne) | Rs.16335 | | Steel Flat (per tonne ) | Rs.28470 | | Steel Long GVD (per tonne) | Rs.23965 | | Steel Long BVN (per tonne) | Rs.23140 | | Tin (per kg) | Rs. | | Zinc (per kg) | Rs. | | Zinc Ingot | Rs.- - - - | | Crude Oil (WTI) | $- - - - | | Crude Oil (Brent) | $44.90 |
Automobile
| Scip on BSE | Face Value (Rs) | Last traded Value (Rs) | | Apollo Tyres | 1 | 16.05 | | Asahi Ind | 1 | 34.40 | | Amara Raja B | 2 | 33.40 | | Ashok Leyland | 1 | 17.60 | | Bajaj Auto | 10 | 536.25 | | Bharat Forge | 2 | 95.15 | | Denso | 10 | 33.80 | | Eicher Ltd | 10 | - - - - | | Eicher Motor | 10 | 15.50 | | Escorts | 10 | 40.60 | | Exide Ind | 1 | 38.95 | | Force Motors | 10 | 59.65 | | Gabriel India | 1 | 6.55 | | Hero Honda | 2 | 964.55 | | Hind Motors | 10 | 11.60 | | Hi-Tech Gear | 10 | 33.60 | | Jay. Bh. Maruti | 5 | 24.45 | | Jamna Auto | 10 | 10.21 | | JK Tyres & Inds | 10 | 31.70 | | Kinetic Motors | 10 | 6.65 | | Kinetic Engg | 10 | 48.90 | | KOEL | 2 | 44.55 | | Kirloskar Br: | 2 | 69.70 | | LML Ltd | 10 | 5.50 | | L&T | 2 | 626.15 | | Lumax Ind | 10 | 63.75 | | Lumax Tech | 10 | 16.50 | | M&M | 10 | 374.05 | | Maruti Suzuki | 5 | 698.85 | | Motherson SS | 1 | 60.25 | | Minda Inds | 10 | 90.25 | | MRF | 10 | 1552.75 | | MICO | 10 | - - - - | | Omax Auto | 10 | 43 | | Perfect Circle | - - - - - - | - - - - | | Rico Auto | 1 | 8.20 | | Sona Koyo St | 2 | 5.75 | | SKF Bearing | 10 | - - - - | | SRF | 10 | 70.95 | | Swaraj Mazda | 10 | 105 | | Tata Motors | 10 | 166.40 | | TVS Motor | 1 | 21.85 |
Metals
| Scrip on BSE | Face Value(Rs) | Last traded Value (Rs) | | Bhushan Steel | 10 | 309.20 | | Essar Steel | 10 | - - - - | | Hindalco | 1 | 42.70 | | Hind Zinc | 10 | 372.70 | | Ispat Inds | 10 | 9.72 | | Jindal Iron | 10 | - - - - | | Jindal Stain | 2 | - - - - | | Jindal Steel | 5 | 1084.85 | | National Aluminium | 10 | 229.90 | | SAIL | 10 | 83.70 | | TISCO | 10 | 168.85 | | Visa Steel | 1 | 15.85 | | |
| 
|
| | | |
Posts
No comments:
Post a Comment