1.

Toyota to take on rIvals wIth J0 prIce cut by 201J

19 jun pg 4
Toyota |otor Is aImIng to slash (cut) Its
car prIces J0 by 201J through a new
costcuttIng strategy to better compete
agaInst rIvals such as HyundaI, a senIor
executIve saId.

Toyota, the world's fastestgrowIng
carmaker, Is under Intense pressure to
become more competItIve as
7olkswagen, HyundaI |otor and others
narrow the sales gap wIth rapId growth
In ChIna, ndIa and other emergIng
markets.

"Under the scheme called FFC, whIch
stands for ryohIn (qualIty), renka (low
prIce), costs and InnovatIon, Toyota Is
askIng engIneers and staff to work
collectIvely to best desIgn and
manufacture 165 desIgnated
components, settIng a unIque costreductIon target for each. SupplIers are also asked
to contrIbute Ideas.

The plan, whIch kIcked off late last year, marks a major departure from Toyota's
practIce of settIng up dIfferent project teams to decIde the Ideal component desIgn
for only one partIcular model.

Automakers around the world are under IncreasIng pressure to slash the cost of
producIng cars as they seek growth In emergIng markets such as ndIa, where small,
cheaper cars domInate. And Toyota, a laggard (slow coach, Idler) In many such
markets, faces formIdable competItIon. 7olkswagen, whIch has a goal of topplIng
(fallIng over) Toyota as the world's top automaker by 2018, already has a successful
car platform and partssharIng scheme across many of Its group brands IncludIng
Porsche, AudI and Skoda.








2. Yamaha looks to tap rural demand, double sales
outlets In fIve years
19 jun pg 4
Yamaha |otor the world's second
bIggest motorcycle make, plans to
double Its sales outlets In ndIa In
the next fIve years to tap demand In
vIllages as economIc growth boosts
Incomes.

ndIa Yamaha |otor may Increase
showrooms to 2,000, mostly In small
towns and rural hubs, KojI AraI,
dIrector and chIef sales offIcer, saId
on Thursday In Surajpur, near New
0elhI.

ndIa Is spendIng more to buIld
roads connectIng vIllages and
Improve electrIcIty, phone
communIcatIon and health care.
The Infrastructure Investments and
rIsIng prIces for farm produce are boostIng rural Incomes.

"The only Issue wIll be brandIng, because typIcally It Is wordofmouth publIcIty that
works, and Hero Honda has an advantage In thIs."

ndustrywIde motorcycle sales advanced 26 to 7.J mIllIon unIts In the year ended
|arch J1 2010, accordIng to the socIety of ndIan automobIle manufacturers.

Yamaha sold 2,2J,J05 unIts locally In the perIod, accordIng to the group. Hero Honda,
whIch sold 58 of the total In the perIod, gets about 40 of Its sales from vIllages, the
company saId In |arch.

Yamaha, targets an Increase In sales from small towns and rural areas to as much as
J0 of the total In the next fIve years, from about 15 now, AutomotIve Fesearch
AssocIatIon of ndIa (AraI) saId.

The company Is refurbIshIng (redecoratIng) some of the exIstIng outlets In small
towns and rural hubs, and addIng new ones called Yamaha 8Ike Corners, organIsIng
free motorcycle servIce camps and test rIdes, |r 0ubey saId.

"Word of mouth Is very Important In rural ndIa," saId AraI. "So we are takIng good
care of our exIstIng customers."
J. Alcatel may shIft servIces hub to ndIa
19 jun pg 5
European telecom gear maker Alcatel Lucent
may set up Its global servIces headquarters
In ndIa, chIef executIve 8en 7erwaayen saId
on FrIday.

The telecom gear maker wIll Invest over
S500 mIllIon here over three years, If It
decIdes to shIft Its servIces H0.

"ndIa has a lot of potentIal In terms of
people and cost. We are keen to make ndIa
our fourth pIllar," |r 7erwaayen saId. t
currently consIders France, US and ChIna as
Its three pIllars.

f AlcatelLucent goes ahead wIth the move,
It wIll be the second major telecom gear
maker to take thIs step.

n 2008, NokIa SIemens Networks had relocated Its servIces H0 to ndIa from |unIch,
and thIs dIvIsIon now accounts for over 45 of the company's revenues.

The company, whIch has been strugglIng wIth sales globally, postIng a muchwIder
thanexpected fIrstquarter net loss and mIssIng revenue forecasts, Is bettIng bIg on
ndIa, the world's fastest growIng mobIle market.

Alcatel Lucent has been operatIng In ndIa for the past two decades and Is workIng
wIth two leadIng operators - 8hartI AIrtel and FelIance CommunIcatIon to manage
theIr servIces.

"We have the best LTE (Long Term EvolutIon) solutIons In the market and we want to
play an Important role In theIr deployment," |r |ohan saId. So far, amongst the fIve
wInners In the recently concluded broadband spectrum auctIons, only 0ualcomm and
FL have saId they wIll use the LTE platform.









4. TC to celebrate centenary wIth a 1:1 bonus, stock
zooms
19 jun pg 5
CIgarettestoHotel major TC on FrIday
recommended a 1:1 bonus for Its shareholders. The
face value of Its shares Is Fe 1.
After the bonus Issue, the company's authorIsed
share capItal wIll grow twofold to Fs 1,000 crore.
The proposal Is subject to shareholders' approval at
the company's 99th annual general meetIng to be
held on July 2J.

The bonus Issue Is a centenary (bIrthday) gIft to the
shareholders, the company saId In a medIa statement
Issued after the board meetIng held In Kolkata on
FrIday. ncIdentally, TC wIll complete 100 years In
August 2010.

0urIng the day, TC's scrIp surged (rushed) upwards
to an alltIme hIgh of Fs 299.70, before closIng at Fs 294.20. Some 12.42 lakh shares
exchanged hands on the 8ombay Stock Exchange (8SE), as agaInst a sIx month average
of about fIve lakh odd shares. The company's market capItalIsatIon on FrIday was over
Fs 1,00,000 crore.

"TC has evolved Into a multIbusIness conglomerate. Today, It Is one of the leadIng
F|CC marketer In ndIa, the secondlargest hotel chaIn, the market leader In the
ndIan paperboard and packagIng Industry and the country's foremost agrIbusIness
player

5. LIfe Insurers may
get to Invest In
Infra bonds
19 jun pg 7

LIfe Insurers may be allowed to
Invest In longterm Infrastructure
bonds proposed by the ndIa
nfrastructure FInance Co for
refInancIng greenfIeld
Infrastructure projects.

nsurance Fegulatory E 0evelopment AuthorIty (F0A) has decIded to allow Insurers to
Invest In ndIa nfrastructure 0ebt Fund bonds as and when they become avaIlable.

Longterm fInancIal Instruments wIll help lIfe Insurance companIes develop theIr
annuIty busIness.

nsurers have so far remaIned away from InvestIng In greenfIeld Infrastructure
projects. These were consIdered rIsky.
However, Insurance beIng a long term busIness, Insurers have been lookIng for long
term Investment avenues, but there are none avaIlable other than 10year
government securItIes.

Hence, a mechanIsm that could take away the rIsk of faIlure could be very helpful for
Insurers and also cater to theIr longterm Investment requIrements.

As of now, debt fInancIng for Infrastructure projects has been largely confIned to
commercIal banks who are IncreasIngly fIndIng It dIffIcult to provIde longterm debt
due to theIr assetlIabIlIty mIsmatch.

The PlannIng CommIssIon had decIded to set up a commIttee to look Into the vIabIlIty
and modalItIes of creatIng ndIa nfrastructure 0ebt Fund under the chaIrmanshIp of
0eepak Parekh.

6. Claxo bakes plan to
enter premIum
cookIes market
18 jun pg 4
ClaxoSmIthKlIne Consumer Healthcare
Is gunnIng for an even lavIsh (plentIful)
spread by enterIng the premIum, hIgh
margIn bIscuIts and cookIes category.

The Fs 2,100crore maker of HorlIcks
and 8oost health drInks wIll Introduce
a range of hIghend cookIes and
creambIscuIts under the HorlIcks
brand next week, saId CSKCH
executIve vIcepresIdent of marketIng
ShubhajIt Sen.

CSKCH's presence In the bIscuIts
segment Is margInal, wIth the
InexpensIve HorlIcks brand and the
recentlylaunched JunIor HorlIcks aImed at toddlers the only brands In the market.
Almost everyone has a presence In the hIghend segment because of the profItabIlIty
factor nexpensIve bIscuIts are a low margIn busIness, and almost all bIscuIts
manufacturers have reduced the weIght of packs by up to 20 to resIst raIsIng prIces

8IscuIts Is the only category among processed foods on whIch a 12.5 7AT Is levIed
Parle and 8rItannIa enjoy shares estImated at more than J5 each In the overall
organIsed bIscuIts segment, followed by TC's Sunfeast brand
A host of smaller players such as CremIca, PrIyagold, Anmol and 8onn are also jostlIng
for space

7. SpaIn's 8orges enters ndIan F|CC mkt, to Invest Fs
60 cr
18 jun pg 4

SpanIsh F|CC player 8orges on
Thursday announced Its foray Into
the ndIan market, wIth the launch
of Its olIve oIl brands, aImIng to
become a Fs 100crore fIrm In the
country wIthIn the next three years.
The S700 mIllIon company, whIch
had set up a 100 ndIan subsIdIary
last year, has earmarked an
Investment of up to 60 crore for
marketIng Its products by 201J.
ndIa and ChIna are the next bIg
opportunItIes whIch 8orges Is
lookIng Into. The AsIaPacIfIc regIon
Is a huge growth engIne for the company and ndIa wIll be a bIg focus market for us,
saId 8orges ndIa managIng dIrector Fajneesh 8hasIn.
8esIdes, the olIve oIl, he saId the company wIll also Introduce other products lIke pop
corn, table olIve, vInegars and dry fruIts later thIs year. n the next three years, the
company Is lookIng at capturIng a 20 per cent share of the estImated 4,500 tonnes of
olIve oIl market In ndIa, whIch Is currently domInated by domestIc player Leonardo
DlIve DIl, NatureFresh DlIante olIve oIl and 0el |onte.
The company saId It wIll be sourcIng Its products from SpaIn rIght now and wIll later
look at startIng plantatIon In the country.-PT
8. US Icecream brand Swensen's enters ndIa
18 jun pg 4

USbased Icecream brand Swensen's
has entered the ndIa market through
a franchIsee agreement between FavI
JaIpurIaowned 0evyanI nternatIonal
Ltd (0L) and ThaIlandbased |Inor
Food Croup (|FC).
0L, whIch bought the franchIsee
rIghts for South ndIa, wIll retaIl
Swensen's through parlour stores.
|FC Is the largest owner and
operator of Swensen's Icecream
parlors worldwIde and has a 40year
lIcense to develop and franchIse Swensen's In J4 countrIes.
7Irag JoshI, PresIdent E CED, 0L, saId In a statement: "WIth the flagshIp Swensen's
outlet In place at 8angalore, we plan to set up over 50 stores In South ndIa over the
next 45 years. Dur Investment per store wIll be close to 80 lakhs." The Icecream Is
beIng manufactured at 0L's plant In Coa.
9. |IndTree bags U0 deal to develop applIcatIons
18 jun pg 7

Software servIces company |IndTree on Thursday saId
It has bagged a multIcrore T deal from the Nandan
NIlekanIheaded unIque IdentIfIcatIon project (U0).

As part of the deal, |IndTree wIll develop and
maIntaIn applIcatIons for the U0 project, also known
as Aadhaar, the company saId In a statement.

The project wIll Involve desIgnIng, developIng,
testIng, maIntaInIng and supportIng the Aadhaar
applIcatIon to provIde help desk servIces from U0A's
8angalore Technology Centre.

"t Is not just a matter of busIness for us; It Is an opportunIty to serve the natIon. ThIs
partnershIp further affIrms |IndTree's commItment and focus In the ndIan market,"
saId |IndTree PresIdent and CED (T servIces) Anjan LahIrI. The Aadhaar project wIll
authentIcate (valIdate, confIrm) every ndIan In terms of hIs or her IdentIty, based on
bIometrIc verIfIcatIon.

10. CognIzant to buy
French co CalIleo
18 jun 11

NasdaqlIsted CognIzant saId on
Thursday It has reached a deal to
acquIre CalIleo Performance, a ParIs
based fIrm whIch offers testIng
consultIng servIces.
The deal Is also In lIne wIth
CognIzant's "tuckIn" acquIsItIon
strategy, whereIn takIng over small
companIes would help In a smoother
process of IntegratIon.
"The acquIsItIon wIll enable
CognIzant to brIng worldclass testIng
servIces to the French market, and
the addItIon of FrenchspeakIng
consultants wIll help us better serve our customers In the regIon," saId CognIzant
presIdent and CED FrancIsco 0'Souza.
11. 8anks go slow on
commercIal realty
lendIng
18 jun pg 7

8anks are wary of lendIng to real
estate fIrms despIte early sIgns of a
pIck up In demand In the sector, as
commercIal projects contInue to face
oversupply.

0emand In commercIal real estate
has not pIcked up compared to the
sharp uptIck In demand for
resIdentIal unIts over the past few months.

WhIle offIce spaces are stIll unoccupIed, ready projects are unable to fInd takers. The
lack of cash flow In multIplexes, retaIl and offIce spaces have kept bankers averse to
fresh lendIng.

"We are enthusIastIc about IndIvIdual housIng mortgage, but are goIng slow as far as
commercIal real estate Is concerned," saId 8ank of |aharashtra chaIrman E managIng
dIrector Allen PereIra.

The real estate sector, especIally the commercIal segment, was one of the bIggest
casualtIes of the global economIc downturn, as companIes restrIcted expansIon plans.

12. WIpro to develop rda redressal system
20 jun pg 2
nsurance regulator rda on
Wednesday saId T major WIpro
wIll develop a system to
address the grIevances of
Insurance customers.
EarlIer, It had shortlIsted T
fIrms TCS, C|C, WIpro, NSE T
and 0eloItte for Integrated
grIevance management system.
The new system would be an
Improvement over the exIstIng
mechanIsm as It would enable polIcyholders to regIster and vIew the status of the
grIevance fIled wIth the system. EarlIer, It had also shortlIsted three T companIes,
IncludIng |ahIndra Satyam, for provIdIng call centre servIces to handle grIevances.
Dther shortlIsted entItIes for the grIevance call centre were Sparse and 7customer.
1J. SPANSH SNACKS 8TE
21 jun pg 4
SpaIn's 8orges, the world's thIrd largest
olIve oIl brand, Is set to spIce up
competItIon In the fInger snacks
market, domInated by the lIkes of
PepsIco, TC and Parle.
8orges, a recent entrant In ndIa, wIll be launchIng a range of products besIdes Its
core offerIng.
"We wIll be IntroducIng Its own brand of packaged popcorn popItas In ndIa wIthIn
three months," 8orges ndIa |0 FajnIsh 8hasIn saId.
ndIa wIll also be the AsIaPacIfIc hub for 8orges and plantatIons and productIon
facIlItIes here wIll help In supply.

14. 0UCK CUN 0LYS
21 jun pg 4
After burgers and rolls, It's the turn of IdlyIs
and dosas to go the organIsed fastfood
restaurant way.
8IllIonsmIles HospItalIty, whIch operates hIgh
end restaurant 8on South and casual dInIng
chaIn South ndIes, Is to launch 0akshInadhIn
outlets In the north to make the most of the
growIng popularIty of these southndIan
dIshes there.
"ScalabIlIty was lImIted wIth our prevIous
brands and we realIsed that there Is strong
preference for thIs cuIsIne In the north and western ndIan states," saId 8IllIonsmIles
HospItalIty |0 7Ijay AbhImanyu. 0akshInadhIn wIll open In Pune and expand to a J00
outlet chaIn In four years.

15. 8HAFT AFTEL
21 jun pg 4

8hartI AIrtel would soon
launch a campaIgn to
promote Its lIttle known
AIrtel 7oIce 8log.

ndIa's largest cellphone
company unveIled the servIce nearly three months ago
wIthout the usual hoopla, but claIms to have landed
more than 2 mIllIon users, IncludIng celebrItIes lIke AmItabh 8achchan and Lara
0utta. 8hartI Is usIng the offerIng that enables users to communIcate through a blog
they can update by voIce to supplement Its exIstIng lIne of value added servIce.
"We allowed the offerIng to grow through word of mouth InItIally, wIth some help
from an Internet vIral campaIgn, a spokesperson told ET.

16. 8uffett takes agency route to enter ndIan Insurance
21 jun pg 18
8erkshIre Hathaway, the company promoted by the world's most famous Investor
Warren 8uffet, Is makIng a modest entry Into the ndIan Insurance market through a
corporate agency.

8erkshIre Hathaway wIll set up a whollyowned subsIdIary In ndIa, whIch wIll acquIre
a corporate agency lIcence from rda to sell auto Insurance polIcIes from 8ajaj AllIanz
Ceneral nsurance. The subsIdIary wIll sell motor Insurance onlIne and make
Investments of close to Fs 50 crore to set up a support structure, IncludIng a call
centre.

The decIsIon to get a corporate agency was taken by AjIt JaIn who heads 8erkshIre
Hathaway's reInsurance busInesses and Is regarded as a possIble successor to Warren
8uffet.
US dIrect Insurer CeIco (formerly Covernment Employees nsurance Company) Is a
whollyowned subsIdIary of 8erkshIre. CeIco's specIalIty Is that It sells covers or
Insurance polIcIes eIther through the Internet or the telephone.

CeIco Is able to generate substantIal savIngs by sellIng onlIne and pass on the savIngs
to buyers In the form of dIscounts. The company's taglIne In all Its advertIsement Is -
15 mInutes can save you 15.

AccordIng to sources, 8erkshIre Is usIng thIs route because the low foreIgn dIrect
Investment lImIts In all other Insurance busIness make It unattractIve to the US gIant.
Under current regulatIons, any entIty, IncludIng a foreIgn bank or any foreIgnowned
fInance company can become an Insurance agent by acquIrIng a corporate lIcence.

A corporate agency, however, has Its lImItatIons. For one, every IndIvIdual sellIng
Insurance In a corporate agency fIrm has to undergo traInIng. Secondly, the agency
can sell products for only one company.
A corporate agency can, however, look forward to decent margIns wIth commIssIons
goIng up to 15 of the premIum amount.

17. We'll unveIl norms to make UlIps attractIve
21 jun pg 18

8olstered (boosted) by the government's clear mandate to
oversee UlIps, rda Is now workIng on makIng thIs product
more attractIve to Investors, rda chaIrman J HarI Narayan
told Hema FamakrIshnan from 8ahraIn where he has gone to
attend the conference of nternatIonal AssocIatIon of
nsurance SupervIsors.

What are you comments on the government's decIsIon to
gIve Irda the rIght to oversee UIIps!

All over the world, UlIps are overseen by the Insurance
regulator. The DrdInance (order, rule) has made It clear that
UlIps are Insurance products. ThIs automatIcally means that rda has the remIt to
regulate UlIps.
So, the nsurance Act wIll be amended to cover UlIps In lIfe Insurance busIness.
SImIlarly, the SecurItIes Contracts (FegulatIon) Act wIll make It clear that 'securItIes'
wIll not Include UlIps.
They wIll not be categorIzed as a collectIve Investment scheme or a mutual fund, wIth
the amendments to the SebI Act.

Are you tIghtenIng norms for UIIps further!

We wIll unveIl new guIdelInes to make UlIps attractIve for Investors. The lockIn
perIod wIll be fIve years.
nsurers have to mandatorIly offer a lIfe cover, health cover or annuItIes wIth the lIfe
cover. They can offer all three, but at least one wIll be mandatory.

We also want to ensure that the premIum Is not frontloaded. However, Insurers wIll
have to be gIven more tIme to redesIgn theIr products and also refIle them.

WIII UIIps be taxed on maturIty!

A pure Insurance product Is one where the premIum paId by the polIcyholder Is less
than 5 of the sum assured under the exIstIng Incometax law.

The dIrect taxes code has proposed an exempt tax regIme only for pure Insurance
products. CoIng by thIs norm, some products may be exempt from tax at all stages.

8ut products where the premIum Is hIgher than 5 of the sum assured wIll be taxed. f
polIcyholders fInd It attractIve to buy polIcIes that are tax free, Insurers wIll have to
redesIgn theIr products.

18. 'We may set up a whollyowned N8FC here'
21 jun pg 18

French bank 8NP ParIbas has been one of the few
banks, who have In the past few years pIcked up
stakes, and went In for joInt ventures In a host of
areas such as lIfe Insurance, asset management,
home fInance and brokerage. Ceorge SmIth
Alexander speaks to Jacques |Ichel- CED E country
manager of 8NP ParIbas, ndIa, on the bank's plans
for ndIa.
|r |Ichel says ndIa Is among the strategIc countrIes
for 8NP ParIbas globally and Is lookIng to trIple Its
revenues from ndIa In the next J4 years whIle keepIng Its eyes open for InorganIc
growth.

PI has saId foreIgn banks shouId Iook at the whoIIy-owned subsIdIary route. What
are the pIans of NP ParIbas!

Personally, havIng worked In Hong Kong and SIngapore, have already experIenced
thIs In ChIna. ChIna had proposed to foreIgn banks operatIng as branches - as Is the
case In ndIa - to Incorporate locally.

And de facto today, most of the foreIgn banks there -actIve players, IncludIng 8NP
ParIbas, have Incorporated locally theIr ChInese operatIons.

8y doIng so, It became possIble to handle busIness whIch we were not allowed to
under the branch status. So there was a busIness IncentIve for foreIgn banks to
Incorporate locally.

So are you IookIng at IncentIves for the subsIdIary route In IndIa!

We are consIderIng settIng up a whollyowned N8FC, whIch wIll complement our
exIstIng bankIng lIcence.

ThIs wIll help us offer our clIents a larger product offerIng and we wIll be able to use
It for portfolIo management actIvItIes, fIxed Income and equIty derIvatIves to sell
structured products and corporate fInance actIvItIes.

To Incorporate our operatIons Is somethIng we would consIder only If such a status
gIves us further flexIbIlIty of operatIons.

So whIch are the areas where NP wouId Iook at an InorganIc growth In IndIa!

t wIll be In asset gatherIng, what we call nvestment SolutIons. 8NP ParIbas has been
organIsed around three maIn poles - retaIl bankIng, C8 and nvestment SolutIons.

nvestment SolutIons are all the actIvItIes related to asset gatherIng, whIch Includes
wealth management, asset management, Insurance, securItIes servIces and retaIl
brokerage.

We are open to pursuIng any opportunIty whIch mIght match our longterm strategy.

t Is Important to keep In mInd that out of the 85 countrIes, where 8NP ParIbas has a
presence, only very few countrIes have been desIgnated by our top management as
beIng of strategIc Importance. And ndIa Is one of them. As a strategIc country, we
have prIorIty In terms of resources - both capItal and human.

19. Fel 8roadcast sIgns pact wIth C8S for T7 foray
21 jun pg 11

AnIl AmbanIled FelIance 8roadcast
Network (F8N) has fInally
announced that It proposes to enter
Into an equal J7 partnershIp wIth
USbased medIa fIrm C8S StudIos
nternatIonal, a wholly owned
subsIdIary of C8S CorporatIon (C8S),
a source saId.

The deal wIll help F8N to foray Into
the televIsIon segment by ownIng
and operatIng a portfolIo of
televIsIon channels.

WIth thIs, F8N wIll InItIally run
EnglIsh language general
entertaInment channels, and the
partIes wIll explore ownIng and/or
operatIng HIndI and other regIonal languages In future, he saId, addIng It wIll also
Include certaIn programmIng rIghts across ndIa, Nepal, 8hutan, SrI Lanka,
8angladesh, |aldIves and PakIstan at present.

The J7 Company wIll be a lImIted lIabIlIty company Incorporated In ndIa. C8S and
F8NL, or Its subsIdIarIes wIll act as shareholders and shall have an equal 50 equIty
Interest In the J7 Company.

20. Top Cear: Carmakers on dIgItal advertIsement
overdrIve
21 jun pg 4
Carmakers have amplIfIed (Increased) spendIng on
dIgItal advertIsements In recent months, turnIng
theIr attentIon to techsavvy people In the 2544
age groups who fIt the bIll as model automobIle
customers.

CompanIes such as Ceneral |otors ndIa, |arutI
SuzukI ndIa, Honda SIel Cars ndIa and HyundaI
|otor ndIa are InvestIng at least a tenth of theIr
marketIng budgets onlIne.

The dIgItal medIum helps these companIes zero In
on the core consumer profIle that they typIcally

Dver the past sIx months, the auto Industry on an
average has Invested at least 57 of Its total
marketIng budgets onlIne from a neglIgIble 1 earlIer, saId AmIt 8hartIya, general
manager of ad network KomlI |edIa's onlIne audIence measurement and analytIcs
platform 7IzIsense.

Auto companIes now account for up to 10 of onlIne advertIsers In ndIa, second only
to the telecom sector that Invests nearly 12, says a study by AdvIew, 7IzInsense's
onlIne ad monItorIng tool In |arch.

Some companIes are already seeIng theIr efforts payIng off. |arutI SuzukI, for
example, claIms that 18 of sales Is seeded by dIgItal marketIng leads, a nInefold rIse
from 2005. LIkewIse, nearly 75 of all SwIft consumers were drawn from the dIgItal
space. The company has sInce expanded from plaIn vanIlla banner onlIne ads to socIal
networkIng sItes such as TwItter.

21. KIa set to sIzzle on ndIan roads
22 jun pg4
KA |otors, South Korea's second
largest carmaker, Is set to drIve Into
the fastgrowIng ndIan car market and
buIld a manufacturIng facIlIty here, a
person wIth dIrect knowledge of the
development saId.
The company, partly owned by South
Korea's largest carmaker HyundaI
|otors, wIll brIng In compact cars,
hatchbacks and entrylevel sedans
InItIally and wIll expand Into compact
sports utIlIty vehIcles later, saId the
person requestIng anonymIty.
KIa, known for Its sleek but
aggressIvely prIced vehIcles, Is shIftIng Its focus to AsIa from Its largest market Europe
where demand Is shrInkIng. "t Is huntIng for alternate markets after the 2008
fInancIal meltdown," the person saId.
When contacted, a KIa spokesman saId the company was In very early stages of
conductIng a feasIbIlIty study Into the possIble entry Into ndIa. "We are stIll a long
way from makIng any decIsIon," he saId.
The fIrst person quoted, however, saId KIa may launch Its popular hatchbacks
PIcanto and Proceed, besIdes Its topsellIng sedans Forte and FIo.
The sedans wIll be pItted agaInst the segment leader Honda CIty whIle the small
cars could be competIng wIth |arutI FItz and HyundaI I10.
KIa wIll also roll out compact SU7s Soul and Sorento that would compete wIth the
lIkes of |ahIndra ScorpIo and |arutI SuzukI's Crand 7Itara, saId the person.
ndIan car sales grew 25 to touch 15.26 lakh unIts for the year ended |arch. WIth
the economy boomIng, the car market Is expected to contInue Its ImpressIve run.
Known as the small car ally of HyundaI, KIa has global sales of over 1.6 mIllIon
vehIcles a year produced across 14 manufacturIng and assembly operatIons In major
markets such as the US, Cermany, AustralIa and ChIna.
KIa had earlIer attempted to enter ndIa four years ago but eventually abandoned
the plan due to sluggIsh growth In the ndIan market durIng that perIod.
Now the company has engaged an InternatIonal consultancy to conduct product
clInIcs to test Its cars for the ndIan market besIdes a feasIble study of a market
launch.
The plan to relook at ndIa Is also prompted by the success of HyundaI, whose twIn
factorIes In ChennaI makes It the largest ndIan car exporter and the second largest
carmaker In the country.
The move wIll also help HyundaI KIa AutomotIve Croup to gaIn volumes In world's
secondfastest growIng auto market. The group Is the world's fourthlargest carmaker
behInd Toyota, Ceneral |otors and 7olkswagen.
KIa's entry wIll also allow HyundaI to brIdge the gap wIth market leader |arutI
SuzukI In terms of combIned sales volume.
chanchal.chauhan@tImesgroup.com


22. |C FelIance tIes up wIth 8asketball FederatIon
22 jun pg 4

NEW 0ELH: 8asketball In ndIa receIved a shot In
the arm on |onday wIth |C FelIance, a joInt
venture between |ukesh AmbanIled FelIance
ndustrIes and |C WorldwIde, forgIng a tIeup
wIth the 8asketball FederatIon of ndIa to
promote the sport In the country. As part of the
agreement, the federatIon has granted |C
FelIance commercIal rIghts relatIng to basketball
In ndIa, IncludIng sponsorshIps, advertIsIng,
broadcastIng, merchandIsIng, fIlm, vIdeo and
data, Intellectual property, franchIse and new
league rIghts, accordIng to a press release here.
The agreement Is expected to lead to a
professIonal basketball league In ndIa "In whIch
players from around the globe wIll compete
alongsIde ndIan players," the statement saId. -
PT
2J. SIl to reach the UK, |Iddle East E SE AsIan markets
22 jun pg 4

KDLKATA: SIl jams and sauces wIll soon be
avaIlable In the UK, |Iddle East and Southeast
AsIan markets as Its 0anIsh owner Cood Food
Croup plans to take the ndIan food brand to
global markets, reports WrItankar |ukherjee.
The SIl brand wIll be taken global by thIs fIscal
and all the products wIll be launched In
phases," saId FavI Chandra, head (sales and
marketIng) at ScandIc Food, a whollyowned
ndIan subsIdIary of Cood Food Croup. The
move comes wIthIn two years after Cood Food
acquIred the brand from |arIco and relaunched
It In the ndIan market. Cood Food wIll utIlIse
Its global dIstrIbutIon network across 75
countrIes to take SIl abroad.

24. Dh!Calcutta owner to take
PD route to raIse Fs 200 cr
22 junpg 7
SPECALTY Festaurants, whIch owns popular fIne dInIng restaurant chaIns |aInland
ChIna and Dh!Calcutta, Is lookIng to sell J0 stake through a publIc Issue to raIse
about Fs 200 crore, a person wIth dIrect knowledge of the development saId.
The publIc Issue wIll be a mIx of fresh Issue shares and offer for sale by prIvate
equIty fIrm SAF Partners. t wIll allow the company to raIse around Fs 70 crore
through new shares to expand Its restaurant chaIns. The prIvatelyheld fIrm promoted
by Anjan Chatterjee Is In talks wIth Kotak 8ank to facIlItate the Issue and could see
SAF Partners exIt completely durIng the publIc offer. SAF Partners had Invested Fs 90
crore In 0ecember 2007 to buy 20 stake In the food servIces fIrm.
Separate emaIls sent to the spokesmen of SpecIalIty Festaurants and SAF Partners
dId not elIcIt any response.
The company plans to use the funds to Increase the number of restaurants to 100 by
the end of 2011. EstablIshed In 1991, the company currently has 74 restaurants under
varIous brands IncludIng SIgree, |achaan and |ostly Kababs, besIdes the flagshIp
chaIns |aInland ChIna and Dh! Calcutta.
The fIrm also plans to use part of the funds to step up Its presence In the
InternatIonal market and open restaurants In 0ubaI, SrI Lanka and London. t currently
runs a |aInland ChIna branch In 8angladesh. EatIng out has become a bIg busIness In
the country over the past few years. Almost one thIrd of the workIng class eat out at
least once a month and a majorIty of them spend Fs 101150 per meal, as per the
Food FranchIsIng Feport, 2009, prepared joIntly by FIccICFT and FranchIse ndIa
HoldIngs.
ThIs wIll be the second restaurant company to go publIc after JubIlant FoodWorks,
the exclusIve franchIsee for 0omIno's PIzza chaIn In ndIa, launched Its PD early thIs
year.


25. TalenthIt T cos open doors to exemployees
22 Jun pg 1

N0A'S top technology fIrms, nfosys TechnologIes
and E0S|phasIS, are hIrIng back staff they had to
let go durIng last year's economIc crIsIs, as the
country's S60bIllIon T Industry wItnesses a talent
war after almost two years. WhIle nfosys has
launched Its 'Creen Channel' InItIatIve, smaller
rIval HewlettPackardowned |phasIS has kIcked
off a programme 'HomecomIng' for hIrIng
employees who had quIt over the past few
months.
And the candIdates are quIte gung ho at the turn
of events. AshwanI Kant, 29, who left nfosys last
year to joIn multInatIonal rIval CognIzant, Is
among the hundreds of T professIonals plannIng to
return to theIr exemployers.
"0uIttIng was never a mIstake, but If am gettIng better salary, role and vIsIbIlIty
about my growth, why shouldn't joIn back:" Kant asks. "We are back In demand, and
there Is no need to complaIn about that."
TIll 2008, even a 15 attrItIon rate was consIdered conservatIve In an Industry
where some fIrms struggled to keep It under 20J0. However, wIth large customers
lIke JP|organ, CItIbank and CE sendIng more projects to ndIa and wIth
multInatIonals, IncludIng 8| and Accenture, under pressure to hIre more In lowcost
locatIons lIke ndIa, the war for hIrIng and retaInIng talent Is back.
AccordIng to software Industry lobby Nasscom, the ndIan T Industry wIll hIre
around 90,000 thIs year, takIng the total T workforce to around 2.J mIllIon. Last
year, the Industry added only around 20,000 professIonals as companIes stalled hIrIng
plans.
For HF managers, the trend Is a welcome one. "SInce we are famIlIar wIth them,
there are no IntervIew processes for the candIdates. Even senIor employees, who had
worked wIth us, have shown Interest In rejoInIng. would expect at least 2550 of our
former employees rejoInIng us," saId Elango F, chIef human relatIons offIcer at
|phasIS.
|phasIS Is allowIng Its former employees, who left the company durIng the past sIx
months, to apply for a sImIlar role, or even explore newer opportunItIes.
IT cos pIan to hIre IaId-off empIoyees too
NFDSYS' 'Creen Channel' has already helped the company attract applIcatIons from
around J50 professIonals who had left last year.
Some companIes are also reachIng out to staff who had to be sacked because of last
year's crIsIs. For Instance, CalIfornIaheadquartered computer storage vendor NetApp
has hIred back almost half Its staff who left last year. "These employees left only
because of the downturn and, therefore, there was no reason why they should not be
hIred back," saId |anjunath SF, senIor dIrectorHF, NetApp.
FecruItment and HF experts such as E 8alajI, chIef executIve of |a FoI Fandstad, saId
hIrIng back Is always a smart strategy. "t makes sense for fIrms to take back some of
the people who had been asked to leave because one Is aware of the employee's
performance and capabIlItIes. f the fIrm took care of the employee durIng the pInk
slIppIng process, then he would be wIllIng to work for It agaIn," he saId.
Fenewed demand In some crucIal areas Is one of the drIvIng forces behInd thIs
development. 0omaIn knowledge about a vertIcal and customers' busIness processes
are somethIng that may need longer traInIng for new recruIts. "ThIs saves the fIrm
tangIble costs of traInIng. Also, absence of the rIght talent In the market Is another
reason for fIrms to rehIre theIr employees," saId Kunal 8anerjI, CED of Absolute HF
nternatIonal.
WhIle nfosys and |phasIS may have been fIrst off the block as far as rehIrIng Is
concerned, the new uptIck Is beIng led by multInatIonal fIrms such as Accenture,
whIch plans to add around 20,000 employees over the next few years. The demand for
project managers and busIness analysts wIth domaIn expertIse and at least three
years' experIence has pIcked up because of employers such as Accenture.
8ut some employees are concerned. "ThIs tIme around, want to work wIth a
company that would use layoffs as the last resort, and not as a shortterm costcuttIng
measure," saId AvantIka SInha, who was asked to leave along wIth a dozen others by
her employer - a mobIle software fIrm based In 8angalore.



26. Fel LIfe pensIon plan guarantees returns
22 Jun pg 1

PelIance LIfe nsurance has announced
the launch of a nonlInked pensIon
plan - named TradItIonal Colden
Years Plan - offerIng guaranteed
returns. The scheme Is a regular
premIum retIrement plan that
provIdes guaranteed return, to be
declared at the begInnIng of every
fInancIal year durIng the product
term. The accumulatIon rate for
fInancIal year 201011 Is declared as
7.75 per annum. AccordIng to the
Insurer, the mInImum guaranteed
accumulatIon rate wIll not be less
than the savIngs bank deposIt Interest
rate, as declared by the Feserve 8ank
of ndIa. t entaIls the creatIon of an
accumulatIon account for polIcyholders, whIch wIll be credIted wIth accumulatIon
rate at the end of every calendar month on prorata basIs. The plan Is open to
IndIvIduals aged 1875 years, but the vestIng age varIes between 45 and 85 years.

27. AvIva eyes Irregular earners wIth unIversal lIfe plan
22 Jun pg 1

PrIvate lIfe Insurer AvIva LIfe has come
up wIth a UnIversal LIfe PolIcy (ULP) -
0han Sanchay. The product Is targeted
at Irregular Income earners, to address
theIr need for Investment and
protectIon. t offers the optIon of
deposItIng premIum at the convenIence
of the polIcyholder. The lIfe cover wIll
be equal to ten tImes the fIrst premIum.
AccordIng to an offIcIal release, the lIfe
cover does not lapse even If one mIsses
payIng subsequent premIums as long as
there Is suffIcIent balance avaIlable to
meet polIcy fees. The Interest rate Is to
be declared In advance for every
quarter of the fInancIal year and wIll be
credIted to the PolIcyholder 0eposIt Account at the end of respectIve quarter. The
polIcy term Is ten years, wIth the mInImum and maxImum fIrst premIum payments
beIng Fs 2,500 and Fs J0,000 respectIvely.

28. PepsI |ax for macho adults
23 Jun pg 4
PEPSCD wIll throw a
fresh challenge at
CocaCola wIthIn a
month or so by
launchIng Its second
cola, PepsI |ax, whIch
wIll be pItted agaInst
market leader Thums
Up as a macho drInk.
A lowcalorIe, no
sugar drInk posItIoned
as a macho adult
brand, PepsI |ax Is
expected to hIt shop
shelves In the next fourfIve weeks, at least four people famIlIar wIth the
development told ET.
Though a lowcalorIe drInk, |ax has conscIously dIstanced Itself from occupyIng a
'dIet' posItIonIng and Instead has been promoted as a macho drInk targeted maInly at
males - a platform Thums Up has successfully occupIed over the years to lead the Fs
8,000crore fIzzy drInks market by a sIgnIfIcant margIn.
A PepsICo ndIa spokesman neIther confIrmed nor denIed the development, only
statIng that the company "would not comment on market speculatIon". People close
to the development, however, saId PepsICo wants to pIt |ax dIrectly agaInst rIval
Thums Up, orIgInally created by Famesh Chauhan over three decades back and later
acquIred by CocaCola ndIa. "8esIdes attackIng Thums Up, PepsI |ax could also crack
open the lowcalorIe colas market - tIll now a small category, and more assocIated
wIth women," saId a busIness assocIate of PepsICo, requestIng anonymIty. 0espIte
dIet versIons of colas exIstIng for more than a decade, the demand for It remaIns
InsIgnIfIcant and occupIes less than 5 of the total aerated drInks market. "The dIet
cola category Is yet to be cracked open In ndIa, maInly because dIets come wIth a
taste challenge - they taste dIfferent so are not very well receIved by ndIan
consumers," the person saId. "|ax could fIll that gap sInce It does not contaIn
IngredIents of a dIet cola and yet Is a lowcalorIe drInk," he added.
PepsI |ax, sold In more than 40 countrIes, wIll be avaIlable In bottles and PET cans
and It wIll be competItIvely prIced, the sources saId.
WhIle PepsICo may want Its new cola to take on Thums Up, CocaCola may try to
upset Its plans by brIngIng In PepsI |ax's global rIval Coke Zero, a sugarfree cola.
CocaCola Is testIng out the potentIal of Coke Zero In the domestIc market, a person
close to the world's largest beverages fIrm saId. ndIrect Imports of Coke Zero are
already avaIlable In stores.
ndIa Is a key market for cola companIes and has been clockIng quarterly growth
rates In excess of 20. The country, In fact, has come to the rescue of CocaCola and
PepsICo, whIch are facIng stagnant sales In theIr home market, the US. TIll now, all
three cola brands avaIlable In the country are promoted dIfferently. Thums Up Is
advertIsed as a brand assocIated wIth dare devIlry whIle secondranked PepsI Is
promoted as a 'youth' brand. CocaCola trIes to occupy the 'famIly' platform.
n an attempt to shake the stranglehold of Thums Up early last year, PepsICo had
added more fIzz to Its cola brand In Andhra Pradesh (AP) - a tradItIonal bastIon of
Thums Up whIch has a domInant 80plus share among colas In the state.

29. Creat steals durIng slowdown help The Loot flourIsh
23 Jun pg 4
YDU fInd out that lIfe Is just a game of
Inches. So Is football. 8ecause In eIther
game, lIfe or football, the margIn for error
Is so small. Dne half step too late or too
early, you don't quIte make It. Dne half
second too slow or too fast, and you don't
quIte catch It. The Inches we need are
everywhere around us." Al PacIno's
InspIratIonal speech from Hollywood
blockbuster Any CIven Sunday governs the
lIfe of Jay Cupta, managIng dIrector of The
Loot.
A multIbrand retaIl chaIn that offers a
dIscount of 2560 on natIonal and
InternatIonal brands throughout the year,
The Loot posted a turnover of Fs 108 crore
In 200910.
The |umbaIbased company, whIch has a
tIeup wIth about 100 brands, IncludIng
Feebok, NIke, Puma, Wrangler, Lee and
Spykar, has 150 outlets spread across 85
cItIes In 22 states. For a person who always dreamt of easy lIfe, Jay's journey from
fIrst store In 2004 to 150th store In 2010 has been anythIng but easy.
"0urIng my college days, came across an artIcle In a busIness magazIne whIch saId
that three busInesses-chaIn of hotels, banks and retaIl outlets -had the potentIal to
do well In ndIa. zeroed In on garment retaIl as could easIly relate to It," says Jay,
who belongs to a small border town of Faksaul In 8Ihar and came to |umbaI to study
In a college.
So durIng second year of graduatIon, he arranged some merchandIse and started
sellIng them In order to gaIn experIence. " just wanted to have a hang of the busIness
and gauge the trend of the sector as well as taste of the people," says Jay, who wIll
turn J5 thIs Dctober.
Jay's fIrst challenge came after the college when hIs brothers wanted hIm to come
back and joIn the famIly busIness of foodgraIns. 8ut Jay wanted to pursue hIs dream
of makIng It bIg In the bIg world of busIness. So, besIdes Fs 5 lakh that was gIven to
hIm as hIs share of famIly money, Jay borrowed money from famIly members and
frIends, and opened hIs fIrst multIbrand shop In NavI |umbaI. Forget profIt, It was a
learnIng experIence. After a year, Jay realIsed that footfalls were not translatIng Into
busIness. And one of the reasons was that hIs multIbrand store was not able to gIve
people a depth of each brand. So, there was not much choIce for them.
So, he moved from thIs format of busIness. " opened exclusIve showroom of
ColorPlus and AdIdas. 8ut even after a year In thIs busIness, just 89 of the footfalls
translated Into busIness," recalls Jay.
HIgh prIce of the brands was a deterrent and people wanted dIscounts. "ThIs made
me rethInk my busIness plan and opened factory outlets of ColorPlus, AdIdas and
Provogue. There was defInItely a jump In busIness because was sellIng Seconds, but
faced a new set of problems," says Jay.
People started doubtIng the qualIty of the product and used to crIb about lack of
product guarantee and exchange. "Then decIded to conceptualIse a format that sold
orIgInal merchandIse, offered dIscounts and guaranteed product qualIty. So, The Loot
was born," says Jay. f the name of the brand Is unusual, so Is the choIce of Its brand
ambassador-the 8ad |an of 8ollywood, Culshan Crover. "We dIdn't want a style
Icon. We wanted somebody who could go and loot from the bIg brands and gIve It to
people at a dIscount," says Jay, whose company spends 45 of revenues on
advertIsIng. "And nobody does It better than Culshan Crover, who has done wonders
for our brand."

PECESSIDN CAIN

When companIes worldover, and In ndIa, were strugglIng to cope up wIth the global
recessIon, here was one company that actually benefIted from It. The dIscount format
not only gave It an edge to tIde over the crIsIs but It also enabled The Loot to rake In
more moolah. "The recessIon has been good for us as customers have shIfted from
hIghend brands to dIscount formats," says Jay. "Apart from normal dIscounts, we
started many attractIve offers, and It was lapped up by consumers who were already
feelIng the pInch of salary cut and had started undertakIng every possIble costcuttIng
measure."

PPIVATE LAELS

n spIte of havIng a tIeup wIth about 100 local and global brands, The Loot Is bettIng
bIg on prIvate labels. "We have a very challengIng busIness format and no brand can
guarantee us contInuous supply throughout the year. So, prIvate labels were
Introduced to fIll In the gaps," saId Jay, explaInIng the ratIonale for IntroducIng
prIvate labels, whIch contrIbute over 25 to the company's revenues. The company
has two prIvate label brands-'EccentrIc', whIch Is semIcasual wear for men, and
'8us Stop', a casual fashIon wear product that has denIms, shIrts and TshIrts wIth 40
products In these categorIes. "We plan to add two more prIvate label brands to our
portfolIo -'DU', a formal wear for men, and 'Foad', a casual wear for men and
women -and expect the category to contrIbute J0J5 to the company's overall
revenue thIs fIscal," saId Jay.
"At The Loot, prIvate labels provIde qualIty at an affordable prIce."

EXPANSIDN PLANS

The |umbaIbased retaIl chaIn plans to open 50 more outlets over sIx months, and
most of them would be In smaller cItIes. "Smaller towns and cItIes are the next bIg
places for retaIl. Two advantages that they have over bIg cItIes are brand awareness
among people and low property rentals," saId Jay.
After havIng shelved the InItIal publIc offer plan last year, the dIscount retaIler of
branded apparel plans to hIt the capItal market thIs fIscal to raIse Fs 100 crore. "We
had planned to go publIc last year, but market condItIons were not favourable. ThIs
tIme we do not want to go unprepared, so we wIll closely observe the market for a
few months and most lIkely wIll come up wIth an PD thIs fIscal," saId Jay.
Ask hIm about the ImpendIng challenge from retaIl bIggIes such as Wal|art and
Carrefour, and comes the prompt reply that "There Is no threat. would love to see
50 Wal|arts comIng to ndIa. t's such a bIg country. Dnly 5 of retaIl Is organIsed.
So, there Is enough room for growth." He adds that there's not enough competItIon In
the organIsed retaIl sector and the busIness Is confIned In few hands. "|ore players,
domestIc as well as foreIgn, would make ndIa's organIsed retaIl more democratIc,
whIch Is good for the country and people," he saId.

J0. Coogle ndIa's No.1 workplace
2Jjunpg12

S]oy 6hosh of 8CCL
(forth from left),
Prcsen]t 8hcttcchcryc,
CED, 6rect Plcce to
Work lnsttte lndc
(ffth from left),
Sbroto 8cch, vce
chcrmcn cnd crdener,
MndTree (sxth from
left), cnd the 6oole
tecm
t WAS a great place to
celebrate, a great place
to show some
camaraderIe and a great
place to bond. The
awards ceremony of ndIa's 8est CompanIes to Work For2010, an EconomIc TImes and
Creat Place to Work nstItute study, saw CEDs comIng up on stage wIth theIr star
executIves and, In some cases, theIr star workmen, and the mood was aptly captured
by chIef guest Subroto 8agchI, vIcechaIrman of |IndTree, when he compared a great
place to work wIth that most ancIent of human InstItutIons - the famIly.
0espIte the Inclement weather (several parts of the cIty were under water on FrIday
nIght) the banquet hall of the ntercontInentalThe LalIt, was fIlled to capacIty for the
event. Some wIsely arrIved ahead of tIme, some came just In tIme and a few arrIved
late, but none of the wInners was about to mIss receIvIng one of ndIa nc's greatest
accolades. Among the J0plus CEDs present, there was NadIr Codrej, representIng the
house of Codrej, AnIl Khanna, managIng dIrector of 8lue 0art Express, SusIr Kumar,
managIng dIrector of ntelenet Clobal, AnIl Chopra, group CED of 8ajaj CapItal, JIm
|cEleney, CED of 8NY |ellon and Praveen 7IshakantaIah, presIdent of ntel.
ThIs year, the study conducted by The EconomIc TImes In league wIth Creat Places
To Work nstItute (CPTW), has thrown up a new topper.
Coogle now leads the pack as ndIa's best company to work for, followed by
|akemytrIp and ntel. CPTW conducts thIs annual survey among J,800 companIes In
44 countrIes, but the ndIa study, whIch had J95 partIcIpants thIs year, Is currently
the bIggest sIngle workplace study In the world.
Now for some bad news. The thIrd edItIon of the ETCPTW survey reveals that the
greatest places to work are not all that great any more. Two years of slowdown have
taken theIr toll and the average scores of all the companIes, IncludIng the top 50,
have fallen.
Employee perceptIons carry twothIrds weIghtage In the survey (management actIons
account for the rest) and CPTW CED PrasenjIt 8hattacharya says, "Last year, we
conducted the survey In the mIdst of
the downturn when 16 lakh exportled jobs were lost. 8ut thIs year, the mean
scores are even lower than last year."
n other words, fewer people say they are "paId faIrly for the work they do" or
"promotIons go to those who deserve them". CompanIes are seen to be less carIng
than before wIth fewer people sayIng "management shows sIncere Interest In me as a
person" and employees don't trust theIr managers to delIver on promIses as much as
they used to. How do companIes now salvage thIngs and make themselves better
places to work: 8hattacharya says they need to Improve on theIr credIbIlIty (match
actIons to words), faIrness (managers should take great care not to play favourItes)
and respect for employees. "Dpen, twoway, honest communIcatIon Is allImportant,
even If It's bad news that's beIng communIcated," he says.
n hIs speech, chIef guest Subroto 8agchI compared corporates to famIlIes, usIng
some of the parameters of the survey.
UsIng emotIve examples, lIke the chIld creepIng Into hIs parents' bed In the mIddle
of the nIght when's he's had a nIghtmare, the vIcechaIrman of |IndTree ConsultIng
saId leaders need to be there for theIr people.
And, just as famIlIes have theIr unIque lIttle rItuals, the best companIes also
develop unIque ways of doIng thIngs that bInd people together. And, fInally, lIke the
best companIes, the best famIlIes are hard to get Into. "You're eIther born Into a
famIly or marry Into It," he saId. "Compare thIs to companIes lIke |cKInsey or
|Icrosoft, whIch are tough to get Into and hence,
hard to leave." That, In a nutshell, Is a great place to
work.
dIbeyendu.ganguly@tImesgroup.com

J1. Yuan ssue
2J junpg15
A more flexble ycn ccsed mcrkets to rclly shcrply.
8t dobts over the speed of chcnes cnd lcck of
detcls hcve mcde nvestors cctos. ET decphers
the mplcctons of Chnc's move.
What Is the Issue wIth yuan!
ChIna and the US have been tradIng charges over the
exchange rate of the yuan. The US has accused the
country of keepIng the yuan undervalued, whIch, It
argues, Is the prImary reason for the hIgh trade defIcIt
It runs wIth the country. The undervalued yuan, many
experts have saId, Is also the reason for global
Imbalances - defIcIts In the developed world and
surplus In ChIna.
What exactIy has ChIna
decIded!
ChIna's central bank, the People's 8ank of ChIna
(P8C) saId on Saturday," n vIew of the recent
economIc sItuatIon and fInancIal market
developments at home and abroad, and the balance
of payments (8DP) sItuatIon In ChIna, the Peoples
8ank of ChIna has decIded to proceed further wIth reform of the F|8 exchange rate
regIme and to enhance the F|8 exchange rate flexIbIlIty." "t Is desIrable to proceed
further wIth reform of the F|8 exchange rate regIme and Increase the F|8 exchange
rate flexIbIlIty," the P8C added. The P8C also IndIcated that the peg to the dollar
could be abandoned and Instead the renmInbI wIll be benchmarked to a basket of
currencIes.
What are the ImpIIcatIons of ChIna's move!
ChIna's announcement Is beIng seen as Intent to allow a gradual apprecIatIon of the
yuan, largely agaInst the dollar. Though the P8C retaIned the exIstIng tradIng band for
the currency at +/0.5 per day, It Is expected that the renmInbI, another name for
ChIna's currency, wIll apprecIate agaInst the dollar over a perIod. EssentIally, the
tIght tradIng band wIll ensure that there Is no volatIle adjustment In the value of the
renmInbI to the perceIved market prIce of the currency.
How wIII the move Impact the gIobaI economy!
Conceptually, a stronger yuan should erode competItIveness of ChIna's exports,
makIng It easIer for other countrIes to compete. ThIs should help address the global
trade Imbalances - ChIna's surplus agaInst defIcIts of others. However, to the extent
the apprecIatIon Is expected to be very gradual because of the tIght tradIng bands,
there Is unlIkely to be a sudden change In comparatIve trade equatIon or capItal
flows.
n fact, the People's 8ank of ChIna effectIvely ruled out large scale apprecIatIon. t
saId, "WIth the 8DP account movIng closer to equIlIbrIum, the basIs for largescale
apprecIatIon of the renmInbI exchange rate does not exIst."
However, the move wIll help reduce the tensIon between the US and ChIna. |ore
Importantly, It sends a strong sIgnal about the state of the ChInese economy and the
sustaInabIlIty of the global recovery.

J2. Want to reduce your Insurance premIum on your car:
0rIve less
2J jun pg 18

Ftre 6enercl Rolls Dt
Pcy As Yo 6o Motor
lnsrcnce Polcy ln lndc
CAFDWNEFS wIll soon have
the optIon to buy Insurance
cover In proportIon to the
extent they use theIr
vehIcle. Dwners of hIghend
vehIcles wIth very lIttle
mIleage on theIr odometer
wIll gaIn vastly from the new
pay as you go prIcIng for
vehIcles planned by Future
CeneralI nsurance.
SpeakIng to ET, Future
CeneralI ndIa |0 E CED KC
KrIshnamoorthy Fao saId the company Is currently runnIng a pIlot project where data
Is beIng through a CPS devIce placed In 40 vehIcles on the road In varIous parts of
ndIa. 8ased on the data we collect from these vehIcles, we wIll be able to arrIve at a
prIcIng.
The CPS devIce gathers data based on the mIleage, the roads on whIch the vehIcle
has run and the tIme of the day. The Insurance company wIll prIce the cover based on
each of these parameters. "The Idea Is to sell a mInImum base cover that wIll be
enough for say J0 days of drIvIng. nstead of payIng for the entIre year's premIum In
advance, the polIcyholder can pay accordIng to hIs usage."
Future CeneralI plans to Introduce thIs product In assocIatIon wIth LogIca, a UK
based T company whIch wIll provIde the hardware as well as the back offIce support
In terms of the collectIon of data through the CPS system.
AccordIng to C8S 8Indra, global InnovatIon dIrector at LogIca, addItIonal utIlIty of
the devIce Is that It can also track the vehIcle In case It Is stolen. "The cost of the
devIce wIll be buIlt Into the cover and there wIll not be any addItIonal payment to be
made by the carowner," saId |r 8Indra. He saId the devIce wIll use a combInatIon of
CPS and CPFS - the communIcatIon system used by mobIle phones to track the
vehIcle.
AccordIng to |r KrIshnamoorthy, the depressed prIcIng for auto Insurance would not
make It vIable to have the product for A and 8 category vehIcle. The economIcs would
work In larger cars.
Pay as you go schemes were Introduced In other parts of the world, IncludIng the UK
by NorwIch UnIon more than two years ago. However, the InItIatIve was hamstrung by
the hIgh cost of the technology at that tIme. "n the last two years, the cost of
communIcatIons technology has dropped down dramatIcally and It Is totally dIfferent
proposItIon now," saId |r 8Indra.
n addItIon to usIng the servIce for motor cars, Future CeneralI Is also lookIng at the
CPSbased servIce to track road consIgnments where It Is provIdIng cargo Insurance.
"We are talkIng to commercIal vehIcle manufacturers to see If there Is a lIkelIhood of
preInstallIng such devIces whIch wIll brIng down theIr cost consIderably," he saId.

CDVEP 0PIVE

Future CeneraII Is currently runnIng a pIlot project where data Is beIng through a CPS
devIce placed In 40 vehIcles on the road In varIous parts of ndIa
The CPS devIce gathers data based on the mIleage, the roads on whIch the vehIcle
has run and the tIme of the day and the Insurance company wIll prIce the cover based
on each of these parameters


33. UK steps up austerIty drIve, unveIls f40 b In savIngs
to cut budget defIcIt
2J jun pg10
8FTAN'S new ConLIb
coalItIon government went
for severe austerIty measures
In Its maIden emergency
8udget announced by
Chancellor Ceorge Dsborne
on Tuesday, outlInIng almost
f40 bIllIon of savIngs to brIng
down the UK's spIrallIng
budget defIcIt, and also
pushed ahead wIth a
unIlateral bank levy expected
to net f2 bIllIon annually,
wIthout waItIng for global
consensus.
AccordIng to estImates from NESF, a respected economIc thInk tank, thIs wIll lead
to a cumulatIve f120bIllIon fIscal retrenchment from 201011 to 201415. NESF
forecasts that It wIll also reduce C0P growth by 0.2 thIs year, and by 0.4 In 2011.
The chancellor reduced growth forecasts for 2011 from 2.6 to 2.J. "ThIs Is a kIll or
cure 8udget. The aIm Is to elImInate the structural defIcIt over thIs ParlIament, but It
rIsks chokIng off the recovery," saId Andrew SmIth, chIef economIst, KP|C.
|r Dsborne announced a serIes of relatIvely harsh measures, but sImultaneously
provIded sops for manufacturIng, entrepreneurs, and prIvate sector growth. Tarun
ChulatI, chIef executIve of UT nternatIonal, saId that It Is unlIkely to affect the
opportunItIes for ndIan busInesses In the UK. "They have not thrown out the baby
wIth the bathwater, It Is a relatIvely busInessfrIendly 8udget. t Is a step In the rIght
dIrectIon, and ndIan busIness Interests won't be adversely affected, even In fInancIal
servIces."
FIrst the bad news: the government announced a J rIse In valueadded tax (sales
tax) to 20 from January 2011, a move |r Drborne InsIsted was 'unavoIdable',
reducIng all government department budgets by 25 over four years, except for
overseas aId and the NHS, raIsIng capItal gaIns tax for those In a hIgher tax bracket to
28 from 18, and several measures to reduce welfare spendIng, IncludIng chIld and
famIly orIented tax credIts. The good news Is a hIke In personal allowance (standard
exemptIon) on Income tax for those on lower tax rate by about f1000, lowerIng
corporatIon tax by 4 to 26 over 4 years, reducIng small busIness tax rates to 1,
and addItIonal commItments to capItal and transport spends In backward regIons of
the UK. 8usInessfrIendly measures also Include sops on natIonal Insurance paId by
employers, Instead of the Labour government's plan to raIse natIonal Insurance (the
mandatory contrIbutIon made by employees and employers towards fInancIng the
government's welfare and cIvIc spends).
"Df the three constItuencIes he needed to satIsfy: the coalItIon, the electorate and
markets, the latter are lIkely to be most pleased. t presents a clear and credIble
platform for rebuIldIng the government fInances," saId Fathom ConsultIng, an
Independent fInancIal consultancy In a statement.
WhIle the FTSE followed global markets, gIlts rose, and the sterlIng also held Its
own as markets greeted the Emergency 8udget wIth a degree of relatIve relIef. John
Hawksworth, head of macroeconomIcs, PrIcewaterhouseCoopers, saId: "The
addItIonal fIscal tIghtenIng In the Emergency 8udget Is lIkely to reduce growth and
employment somewhat In the short term, but In the medIum term It should contrIbute
to Interest rates remaInIng lower and so to a more balanced and sustaInable economIc
recovery.
A key component of |r Dsborne's plans Includes a unIlateral levy on banks from
AprIl 2011, both UK banks and foreIgn banks' UK operatIons, based on theIr balance
sheets, a move whIch Is expected to raIse f2 bIllIon per annum. France and Cermany
have also announced theIr plans to Impose bank levIes, despIte the C20 stIll not
agreeIng to a unIversal levy. However, thIs wIll be offset by the reductIon In
corporatIon tax, whIch wIll benefIt banks as well.
PolItIcally, |r Dsborne and hIs LIb0em colleagues InsIst thIs 8udget Is as 'faIr' as It
can be, gIven that thIs government InherIted an fragIle economy, and as they InsIst, a
fInancIal mess from the Labour government. The 8udget also poInts In the dIrectIon of
ConservatIve belIef of a smaller government. However, gIven that, by some
estImates, half a mIllIon jobs may go over the next few years. Some analysts poInted
out that In case growth Is more adversely Impacted than forecast, the government has
no Plan 8 to kIckstart the recovery.

J4. ndIa strIkes gold In Press,0esIgn LIons
24 jun
THE ndIan bag at Cannes tIll
Tuesday only had SIlver and
8ronze LIons. That changed on
Wednesday as ndIa struck gold
In the Press LIons and desIgn
categorIes along wIth SIlver and
8ronze LIons In both. The
drought ended wIth F|C ndIa
wInnIng gold for the FujI fIlm
campaIgn, wIth Taproot ndIa
wInnIng the second gold for
TransasIa papers. The two
SIlver LIons was won by Leo
8urnett for TIde and Taproot
ndIa for TransasIa papers.
8ates 141 won a bronze for
7IrgIn |obIle whIle |udra 008 added another metal to Its tally wIth a 8ronze for
8angalore TraffIc PolIce. n all, Press category fetched ndIan agencIes two gold, two
sIlver and two 8ronze.
n the 0esIgn LIons category, PublIcIs won gold for work on PublIcIs communIcatIons
whIle DgIlvy won bronze for Its work done for the 0epartment of Post. The Crand PrIx
In the 0esIgn LIons was won by HappIness 8russels for Toyota.
AnnouncIng the wInners, |ark Tutssel, chIef creatIve offIcer, Leo 8urnett and head
of the press jury at Cannes saId the work that's won thIs year marks the return of the
craft of wrItIng. "The evIdence Is the brIllIant |attle campaIgn that won the Crand
PrIx In prInt," saId Tutssel. CommentIng on the wIn by Taproot ndIa, Agnello 0Ias, co
founder saId that It's a great result In the fIrst year of the agency. "t's hugely
motIvatIng for the team. Paddy, my partner, deserves all the credIt for the wIn," saId
0Ias.
WIth the press and desIgn results, the total tally for ndIa stands at 16 metals wIth
FIlms LIons, FIlm Craft, TItanIum and ntegrated LIons remaInIng. After Wednesday,
the mood In the ndIan contIngent Is slIghtly upbeat wIth many predIctIng the total
tally to touch last year's haul at Cannes LIons. n the next few days, we shall know If
the predIctIon wIll come true.


J5. AK47 trIggers new
brand war
24 jun
AKHL Kumar, Saurav Choshal and ShIva
Kesavan may not be household names
yet, but these athletes wIll soon have
boxIng gloves, squash rackets and racIng
sleds In theIr own names just lIke SachIn
Tendulkar and TIger Woods. WIth the sports economy on the rIse, sports marketers
and management fIrms nfInIty DptImal SolutIons and Co Sports are lookIng to create
brands out of athletes who are popular In theIr respectIve fIelds as demand for sports
equIpment and apparel.
nfInIty DptImal SolutIons wIll launch AK47, a brand of boxIng equIpment and kIts
after Arjuna awardee pugIlIst AkhIl Kumar, and squash kIts and apparel after the
country's top squash player Saurav Choshal before the upcomIng Commonwealth
Cames In New 0elhI, Its cofounder and CED Neerav Tomar saId. "WIth the launch of
AkhIl Kumar's brand, we are targetIng the youth In UP, Haryana and Punjab, where
boxIng Is really popular," |r Tomar saId. He saId the company Is In talks wIth leadIng
squash clubs In |umbaI, 8angalore, 0elhI, ChennaI, Pune and Kolkata to launch Saurav
Choshal's brand.
Co Sports, a 8angalorebased sports management fIrm, plans to Implement sub
brandIng strategy wIth WInter DlympIan ShIva Kesavan. "ThIs wIll help create an
IntangIble entIty outsIde the person. We are workIng on the commercIal aspect rIght
now and Intend to go ahead near the next wInter DlympIcs In FussIa," Nandan
Kamath, cofounder of Co Sports saId.
Commonwealth table tennIs gold medallIst Sharath Kamal Is already gaInIng from
thIs trend wIth the USbased equIpment supplIer KIllerspIn IntroducIng a wood blade,
KIdo SK, after hIm. The blade, whIch Is on a heavIer sIde and suIts fast topspIn style
of play, has found good demand In ndIa. "Lot of young players have come up to me
and told of theIr lIkIng to the blade. There are now talks to put out a lIne of tshIrts
too," Kamal saId.
As per Industry estImates, the sports merchandIse global market Is pegged at more
than S20 bIllIon a year as sports marketers effectIvely tap fans' and aspIrIng
followers' aspIratIon to own a pIece of theIr favourIte player.
8ut not everybody Is excIted about It. "WatchIng athletes play Is one thIng. 8ut
convIncIng consumers to buy them requIres a lot of effort. t Is a completely dIfferent
ball game," saId ShaIlendra SIngh, joInt |0 of sports management fIrm Percept
HoldIngs.


J6. Average prIce of
watches sold Is Fs
20 L
24 jun
Abrchcm Los 8reet, one of the
rectest horolosts of cll tme,
opened the doors of hs now
leendcry wctchmckn bsness n
Pcrs n 1ZZ5. Dver the yecrs, mcny
of the most mc]or nnovctons n
wctchmckn orncted from the Hose of 8reet ncldn the selfwndn
perpetelle wctches, the frst shockprotecton for bclcnce pvots cnd the lke.
Acqred by the Swctch rop n 1, brcnd 8reet mcde cn entry nto the lndcn
mcrket n 2005 cnd hcs snce blt pon ts lon cnd dstnshed hertce. Now ts
eyen c ber retcl footprnt n the contry, where t foresees he potentcl for
rowth. Chrstophe \ere, vcepresdent 8reet for lndc cnd Thclcnd, spoke to
ET's Sreercdhc 0 8cs on the lndcn so]orn.

What Is the kInd of potentIaI reguet sees In IndIa!
When we entered ndIa back In 2005, the feedback from our headquarters was that If
we sold 20 watches annually, It was good enough. 8ut the numbers, as It turned out,
have far exceeded our expectatIons. Today, In terms of the number of pIeces sold,
ndIa Is one of the top 10 markets for 8reguet. And the way we see It, It has the
potentIal to become the No. 1 market In the world. We have been growIng very
rapIdly. ThIs year Itself, we expect to see a 50plus growth.n many other countrIes,
lack of knowledge Is a barrIer. You have to educate customers about the most basIc
Issues. Here In ndIa though, customers are very knowledgeable and eager to learn
more. t's all a questIon of brIngIng the hIstory and legacy of the brand to customers
who are watchlovers and Integrate It Into theIr mIndset.
How has your journey In IndIa been so far!
SInce our entry Into the ndIan market, we've taken thIngs stepbystep. WIth sIx
retaIlers now showcasIng our watches, It's been a really steady and sustaIned growth.
The strategy Is to fInd each cIty whIch Is a market In Itself and zero In on retaIlers
who can be representatIves of the brand and are wellconnected. 8reguet Is not an
easy brand to sell and sometImes dIscussIons can go up two years just to fInd the rIght
retaIler.
What are your expansIon pIans In the country!
After 0elhI, |umbaI, 8angalore, ChennaI and Kolkata, we are now eyeIng Hyderabad
and Ahmedabad. 8ut we are takIng our tIme. 8y the end of the year, we hope to set
up 8reguet's fIrst monobrand boutIque In 0elhI. Then we wIll target the other metros.
As soon as we have the boutIque In place, we wIll also start offerIng 8reguet wrItIng
Instruments and jewellery.
In what prIce range does reguet operate In IndIa!
Dur prIce posItIonIng In ndIa Is very good. When we entered the market, we factored
In the hIgher dutIes prevalent In the country and kept the prIces at very reasonable
levels. n any case, over the last two months, because of currency fluctuatIons, prIces
In ndIa are the lowest In AsIa. Dur watches start at Fs J.5 lakh and go up to Fs 2.5
crore. 8ut In ndIa, the average prIce of the watches sold Is Fs 20 lakh.
Are you consIderIng a brand ambassador here for reguet!
We started out very lowkey In ndIa. We took strong posItIons In some magazInes and
made the message very clear. t's not just about gettIng a superstar to endorse the
brand. 8reguet Is about hIstory. t's somethIng whIch Is Integrated In the culture.
Watches are about emotIons. Why Is the 0ueen of Naples watch so successful,
IncIdentally even In ndIa: That's because people know It was orIgInally created for
Napoleon 8onaparte's sIster CarolIne, the 0ueen of Naples. So gIven Its legacy and
the emotIon and the hIstory assocIated wIth the brand, It's very dIffIcult to fInd the
rIght fIt by way of a brand ambassador. We would lIke to have someone who owns
8reguet, not just someone who hosts a party for the brand. ThIs Is a problem we are
facIng InternatIonally. We even held a global conference to fInd someone who can fIt
the role of a brand ambassador. 8ut we just couldn't pIck anyone.

J7. Tata |otors set to mop up Fs 2,500 cr to trIm debt
pIle
24 jun
TATA |otors wIll consIder ways of
raIsIng equIty or foreIgn currency
convertIble bonds (FCC8s) on
|onday as ndIa's largest truck
and bus maker steps up efforts to
pare debt and Improve Its debt
equIty ratIo.
The |umbaIbased owner of
ndIca and Jaguar on Wednesday
saId Its board wIll meet on
|onday to consIder raIsIng long
term funds. t dId not dIsclose the
end use of the money.
A person close to the sItuatIon
saId the company Is lIkely to pass an enablIng resolutIon to raIse up to Fs 2,500 crore
through global deposItory receIpts (C0Fs), FCC8s or share sale to qualIfIed
InstItutIonal buyers.
"The funds wIll be raIsed to reduce the pressure of debt on the balance sheet as the
debtequIty ratIo has moved up consIderably," saId 7aIshalI Jajoo, analyst at |umbaI
based Angel 8rokIng.
Another research analyst wIth a foreIgn brokerage saId Tata |otors would change Its
debt profIle from shortterm to longterm so that It gets more tIme to repay loans.
Tata |otors, whIch bought 8rItIsh marque brands JaguarLand Fover (JLF) for about
S2.J bIllIon In 2008 from Ford |otor, has been lookIng to raIse money to pay off a
large portIon of Its debt of Fs 18,800 crore. Df thIs, Tata |otors Is to repay around Fs
8,000crore debt thIs year. t also needs around Fs 2,500 crore to meet Its capItal
expendIture, whIch Is largely beIng met by cash flows.
ts debtequIty ratIo Is now 1:2.05 and the company wants to cut It to 1:1.
Tata |otors shares slIpped margInally to Fs 790 In weak trade on Wednesday,
valuIng the company at over Fs 40,000 crore. 8ackoftheenvelope calculatIons show
that It wIll need to dIlute less than 1 to raIse around Fs 2,500 crore. The promoters
hold J7.
Last Dctober, the company had raIsed S750 mIllIon by sellIng C0Fs and convertIble
notes to repay debt taken to buy JLF. t had taken a SJbIllIon brIdge loan to fInance
the acquIsItIon and meet Its workIng capItal requIrement.

Tata Croup buys back pIedged shares

Frees Shares Df 4 Croup Cos For Ps 850 Cr; Tata Sons To SubscrIbe To Pref Shares
In 2 Cos For Ps 1,800 Cr
THE Tata Croup has bought back shares of at least four group companIes that It had
pledged wIth fInancIal InstItutIons, In a transactIon worth around Fs 850 crore at
current market prIce, sIgnallIng a healthy lIquIdIty for the holdIng company of the
|umbaIbased conglomerate.
8esIdes freeIng the shares from lenders, Tata Sons, the unlIsted holdIng company,
wIll Infuse about Fs 1,800 crore by subscrIbIng to preferentIal shares of two group
companIes, Tata Steel and Tata ChemIcals.
The Fs 2,700crore fund outflow wIll lIkely be funded by recent share sales In top
group companIes and a hIghprofIle sale of equIty stake In telecom subsIdIary, Tata
TeleservIces, saId people famIlIar wIth the development. The total fund generatIon
from such transactIons could have grossed Fs 5,000 crore, although thIs could not be
confIrmed. Tata Sons, beIng unlIsted, doesn't dIsclose fInancIal detaIls.
A Tata Sons spokesperson saId: "Tata Sons Is the holdIng company for Tata
companIes. A major part of Its assets Is, therefore, shares of other group companIes.
Some of these shares are pledged agaInst borrowIngs of the company. From tIme to
tIme, the composItIon of the shares pledged Is revIewed and the quantum rebalanced
based on regulatory requIrements and market value of the shares."
WhIle Tata |otors had pledged one mIllIon equIty shares, Tata ChemIcals had put
up 20.7 mIllIon shares to raIse funds for Its growth plans; Tata Steel pledged one
mIllIon shares and beverages company Tata Tea had pledged 0.5 mIllIon shares. The
total value of all the shares, based on theIr current market prIce, Is about Fs 850
crore.
Shares of most of these companIes have been on a rIse for the past few weeks. Tata
|otors gaIned 12 whIle Tata Tea rose 11 In one month. Tata ChemIcals was up 4.7
whIle Tata Steel was down 0.6 durIng the perIod.
"The transactIon shows that there Is Improved lIquIdIty In Tata Sons whIch Is
permanent In nature," says Investment bank Transwarranty FInance managIng dIrector
Kumar NaIr.
WhIle pledgIng of shares Is normal to tIde over a brIdge loan requIrement,
sImultaneously revokIng the pledged stocks of over four group companIes, shows that
the company has robust lIquIdIty and has wItnessed a sharp rIse In stock prIces. Shares
are typIcally pledged by founders and promoter companIes to raIse workIng capItal or
a term loan to fund theIr corporate plans.
AccordIng to SebI norms, It Is mandatory for promoters to report pledgIng of shares
to raIse funds. The promoter group typIcally has to dIsclose the detaIls to
shareholders and to stock exchanges. PledgIng of shareholdIng In a company Is
typIcally consIdered as a last resort.
n 2009, Tata |otors, had pledged the shares It held In group company Tata Steel,
to raIse funds for repayIng the debt Incurred In the acquIsItIon of UKbased luxury car
maker Jaguar Land Fover. Tata |otors' consolIdated debt had totalled about Fs
20,000 crore.

J8. Cheque change rule won't apply to all
24 jun
THE Feserve 8ank of ndIa has clarIfIed that Its dIrectIve to
banks, askIng them not to honour cheques wIth alteratIons,
wIll be applIcable only for cheques cleared under the
Imagebased cheque truncatIon system (CTS).
At present, the cheque truncatIon project Is beIng run
only In the 0elhI area wIth ChennaI expected to move
onstream soon.
The clarIfIcatIon paves the way for bank branches In
metros lIke |umbaI where CTS Is stIll not operatIonal to
accept corrected cheques. F8's dIrectIve had created a
flurry In trade cIrcles and even among utIlItIes that have
been turnIng away cheques wIth any form of correctIon or
alteratIon even If the changes were valIdated by the cheque drawer's sIgnature.
|obIle operator AIrtel had sent a message to subscrIbers, statIng that It wIll not
accept cheques wIth correctIons on amount or the payee's name after July 1. Dther
servIce provIders and traders who have been acceptIng postdated cheques have been
turnIng back cheques wIth correctIons or alteratIons.
"The F8 notIfIcatIon wIll clear confusIon In the mInds of customers' as well as bank
offIcIals at the branch level," saId K UnnIkrIshnan, deputy CED of ndIan 8anks'
AssocIatIon (8A) - the Industry body for commercIal banks In ndIa.
n a notIfIcatIon posted on Its websIte, F8 has clarIfIed that Its dIrectIve on
prohIbItIng alteratIons/correctIons on cheques ``wIll be applIcable only for cheques
cleared under the Imagebased Cheque TruncatIon System (CTS)." F8 has also
clarIfIed that thIs dIrectIve Is not applIcable to cheques cleared under other clearIng
arrangements such as |CF clearIng, non|CF clearIng, overthecounter collectIon
(for cash payment), or even for dIrect collectIon of cheques outsIde the ClearIng
House arrangement.
Cheque TruncatIon Is a system of cheque clearIng and settlement between banks
based on electronIc data/Images or both wIthout physIcal exchange of Instrument.
Here the cheque Is scanned and electronIcally presented for settlement wIth the
clearIng house.
Currently, most of the clearIng Is done on the |CF system and banks often
entertaIned cheques wIth alteratIons, be It the name of the party to whom the
cheque Is Issued, or the date or the amount, provIded the Issuer of the cheques does
Is sIgnature besIdes the correctIon.
However, after the central bank Issued the dIrectIve In February 2010 on alteratIon
on cheques, whIch was only meant for cheques to be settled under CTS, many banks
dId not entertaIn alteratIon on |CF cheques as well. However, over a perIod of tIme
when the whole country would move to CTS, alteratIon of cheques would not be
allowed saId |r UnnIkrIshnan.
CHEDUE IT DUT
The cIarIfIcatIon paves the way for bank branches In metros lIke |umbaI where CTS Is
stIll not operatIonal to accept corrected cheques
At present, the cheque truncatIon project Is beIng run only In the 0elhI area wIth
ChennaI expected to move onstream soon
PI notIfIcatIon wIll clear confusIon In the mInds of customers' as well as bank
offIcIals at the branch level, feels ndIan 8anks AssocIatIon

J9. Khazanah may have to sweeten Parkway offer
24 jun pg1
|DFCAN Stanley, Independent advIser to the dIrectors
of Parkway HoldIngs, has saId the SSJ.78pershare offer
by |alaysIan fund Khazanah to buy a majorIty stake In
the SIngaporebased hospItal chaIn Is reasonable but not
compellIng, puttIng pressure on Khazanah to Increase Its
offer and raIsIng the stakes for FortIs Healthcare should
the ndIan company decIde to make a counterbId.
"Although the value ImplIed by the offer prIce Is
reasonable, the offer prIce Is not compellIng In the
context of a partIal offer InvolvIng a change of control,"
|organ Stanley saId In Its recommendatIon, a day before
the company determInes whIch shareholders are elIgIble
to partIcIpate In the offer.
FortIs, owned by Fanbaxy's former founders |alvInder
and ShIvInder SIngh, Is the largest shareholder In
Parkway wIth a 25.4 stake. The company has saId It Is keepIng Its optIons open whIle
goIng about wInnIng board approval to raIse Fs 2,750 crore through equItylInked
securItIes and raIsIng Its borrowIng lImIt to Fs 6,000 crore. A FortIs Healthcare
spokeswoman declIned to comment on Wednesday's development. News of |organ
Stanley's advIce lIfted FortIs' share prIce by J.7 on 8SE. The Parkway scrIp fell by
1.8 to SSJ.68 on SIngapore's SCX. FanjIt KapadIa of H0FC SecurItIes saId the
recommendatIon could dIscourage shareholders from partIcIpatIng In the offer by
Khazanah, whIch Is lookIng to Increase Its stake to 51.5 from 2J.8.
f Khazanah's bId faIls, It cannot make any offer for the next year, allowIng FortIs to
retaIn control of the company. 8ut If It Increases the offer, then FortIs wIll have to
make a better one If It chooses to counterbId.
Sapna Jhawar, a pharma analyst at Sharekhan, saId |organ Stanley's
recommendatIon could compel Khazanah to Increase Its offer and possIbly draw FortIs
Into a bIddIng war. "Though It wIll be negatIve In the near term, Parkway Is a
strategIc fIt for FortIs," she saId.

40. How ambush marketIng ambushed sport
88C News |agazIne
0utch brewery's World Cup publIcIty stunt has led to arrests, threats of legal actIon
and the loss of an T7 pundIt's job. Why Is socalled ambush marketIng such a hIgh
stakes busIness:

t was, the
authorItIes claIm, a
gImmIck (PublIcIty
Stunt) cynIcally
desIgned to
capture the
attentIon of the
world's medIa
and, If so, It was
wIldly successful.
When J6 young
women wearIng
orange mInIdresses assocIated wIth the 0utch brewers 8avarIa entered the stands at
South AfrIca's Soccer CIty StadIum for the Netherlands versus 0enmark match, the
cameras, predIctably, turned towards them en masse, capturIng shots that would
grab the attentIon of pIcture edItors worldwIde.
The reactIon of those In charge was swIft and ruthless.
All of the mInIskIrted ladIes were ejected from the venue and two were arrested on
charges of organIsIng unlawful commercIal actIvItIes. |eanwhIle, a spokesman for
the tournament's governIng body FIfa saId It was lookIng Into all avaIlable legal
remedIes agaInst the brewery.
n a surreal twIst, exJamaIca and WImbledon mIdfIelder FobbIe Earle was dropped as
an T7 pundIt and as an ambassador for England's 2018 World Cup bId after claIms
that the orange crowd entered the stadIum usIng tIckets Intended for hIs famIly and
frIends.

41. FeformIng France
State of denIaI
PeactIons to a modest pIan to Increase
the retIrement age show how hard
reform Is In France
Jun 16th 2010 1 PARlS
THE French government's longawaIted
pensIon reform, whIch was announced on
June 16th, turns out to be at once
symbolIcally bold and yet ultImately
dIsappoIntIng. Under a plan unveIled by ErIc Woerth, the labour mInIster, France
Intends to raIse the legal retIrement age progressIvely from 60 to 62 by 2018. SInce
thIs alone wIll not meet the state pensIonfund shortfall, the government wIll Increase
the top rate of Income tax from 40 to 41 from next year, and tax capItal gaIns,
stock optIons and other fInancIal Income more heavIly. t wIll also alIgn cIvIl servants'
pensIon contrIbutIons wIth those In the prIvate sector by 2020. n all, the government
thInks It can balance the pensIon fund, whIch currently has a 6J2 bIllIon defIcIt, by
2018.
The symbolIsm of thIs change Is clear. t was PresIdent FranoIs |Itterrand In the
early 1980s who Introduced retIrement at 60 as a mark of progress, and It remaIns a
totem (somethIng regarded as a symbol) for the left and the rIght. |artIne Aubry, the
SocIalIst Party leader, Instantly called the government's plan "IrresponsIble", and
says that the SocIalIsts wIll reverse It If they are elected to power In 2012. UnIon
leaders too have queued up to denounce the reforms. FranoIs Chreque, one unIon
boss, called It "a provocatIon". A day of strIkes and protests Is planned for June 24th.
42. Anupam Kher wIthdraws from fIlm on HItler
Thu Jun 17, 2010 9:56pm ST
|U|8A (Feuters) Protests by ndIa's
small JewIsh communIty have
prompted leadIng actor Anupam Kher
to pull out of a fIlm on the last days
of Adolf HItler, a rare subject for a
movIe In the 8ollywood fIlm Industry.
Kher, who was supposed to play the
role of HItler, told Feuters he had
decIded to wIthdraw from the fIlm
after an outpourIng (Flood) of
messages on socIal networkIng sItes
and protests.
ConsIderIng the IllwIll that the
project Is generatIng among my fans,
wIsh to wIthdraw from It as respect
theIr sentIments, Kher saId In a
statement released to Feuters.
0ear FrIend HItler aIms to gIve audIences a glImpse (0uIck Look) Into HItler's
InsecurItIes, hIs charIsma, hIs paranoIa (obsessIon) and hIs sheer genIus, accordIng to
a statement on the fIlm whIch wIll go on floors next month.
4J. Forth 7alley Foyal HospItal to use robot 'workers'
2J:J1 C|T, Thursday, 17 June 2010 00:J1 UK
The robots wIll carry clInIcal waste,
delIver food and clean the operatIng
theatre
A hospItal In Scotland Is to become the
fIrst In the UK to use a fleet of robots
to carry out daytoday tasks.
The robots wIll carry clInIcal waste,
delIver food, clean the operatIng
theatre and dIspense drugs.
They are currently undergoIng fInal
tests ahead of the August openIng of
the new fJ00m Forth 7alley Foyal
HospItal In Larbert, StIrlIngshIre.
The robots wIll have theIr own dedIcated network of corrIdors underneath the
hospItal.
NHS Forth 7alley chaIrman an |ullen saId the new hospItal would be packed full of
desIgn features to Improve patIent care and Improve the lIfe of staff.
The robots saw look lIke forklIft trucks. However, where you would expect to see a
drIver there Is a rotatIng laser beam, whIch It uses to fInd Its way around.
The robot carrIes all the Items you would expect a porter (Care taker) to move: food,
lInen, dIrty lInen, clInIcal waste. There are separate robots for the dIrty tasks and the
clean tasks. That's very Important from an InfectIon control poInt of vIew.
There are other robots, whIch dId not see, whIch perform tasks such as cleanIng the
operatIng theatre floors. They wIll also have a completely automated robotIc
pharmacy.
ThIs Is the fIrst In the UK where the robots wIll sort, label and dIspense the drugs.
He added: |embers of staff wIll use a handheld P0A to call up the robot to move
meal trays, or lInen, or whatever.
The robot wIll come up In the servIce lIft by Itself, pIck up the Item and go back Into
the lIft.
Tom |cEwen, the project manager for manufacturer Serco, saId a serIes of pre
programmed routes would be set out for the robots to follow.
The robots wIll follow the sytem usIng a serIes of laser beams whIch wIll tell It
exactly where It Is, he explaIned.
Computers on board the robots wIll be able to tell doors to open, and sensors wIll tell
the robots to stop If anythIng or anyone Is In the way. Dne of the most valuable
aspects of usIng robots Is In controllIng InfectIon.
TradItIonally clean and dIrty tasks are carrIed out by the same person, InfectIon
control nurse Lesley Shepherd saId.
Here, you'll have the robots that do dIrty tasks, so they may take dIrty lInen or
clInIcal waste away, and you'll have robots that do clean tasks, such as brIngIng meals
and clean lInen to patIents.
They have separate lIfts so there's no way they can cross, whIch Is great.
Dther robot models wIll clean theatre floors and even dIspense drugs at the
pharmacy. |anagers saId the robots would not replace humans, but would free up
more tIme for staff to spend wIth patIents.
They wIll also have to keep at least one human on standby, should any of the robots
break down.
44. Toyota: ChInese car parts supplIer hIt by strIke
actIon
07:J7 C|T, FrIday, 18 June 2010 08:J7 UK
Labour dIsputes over pay are growIng In number In
ChIna Workers at a ChInese parts supplIer to Toyota
have gone on strIke over wages, the second supplIer
to the carmaker thIs week to be hIt by strIke actIon.
Workers at the Toyoda CoseI plant In the northern cIty of TIanjIn began strIkIng on
Thursday.
Toyota productIon has not yet been hIt by the strIke, the carmaker saId.
Another of Japan's bIg carmakers, Honda, was forced to halt productIon last week at
two assembly plants In ChIna after workers went on strIke.
We are aware of the strIke at TIanjIn Toyoda CoseI. We are checkIng Its Impact on
productIon and wIll contInue to closely monItor the sItuatIon, saId Toyota spokesman
HIdeakI Homma.
A spokesman for the workers saId they were stIll negotIatIng over pay and dId not
know when productIon would resume.
The latest walkout follows a strIke at another plastIcs plant In TIanjIn earlIer thIs
week.
Last week, Honda productIon was hIt by walkouts at exhaustmaker Foshan Fengfu
Autoparts.
ThIs was the second tIme In two weeks that Its ChInese productIon had been hIt by a
walkout over pay at a local supplIer.
The strIkes come as labour dIsputes over pay are growIng In number In ChIna.
45. FelIance 8roadcast In J7 wIth U.S.based C8S
|U|8A
Sun Jun 20, 2010 J:18pm ST
|U|8A June 20 (Feuters) FelIance 8roadcast Network (FELW.8D), part of the AnIl
0hIrubhaI AmbanI group, saId on Sunday It had sIgned an InItIal agreement for an
equal joInt venture wIth U.S.based C8S Corp (C8S.N) to launch televIsIon channels In
ndIa.
The joInt venture wIll operate EnglIsh language channels and wIll later explore
launchIng regIonallanguage general entertaInment channels, It saId In a press
release.
The agreement Is subject to customary dIlIgence, negotIatIon and executIon of a
defInItIve documentatIon, whIch are presently underway, It saId, addIng It plans to
complete the process In a month.
No other detaIls were provIded. (FeportIng by Fajesh Kurup and SwatI Pandey; EdItIng
by Jon LoadesCarter)
46. Dman DIl Co eyes Dman oIl, gas block as 8C exIts
Sun Jun 20, 2010 J:07pm ST
|USCAT/0U8A, June 20 (Feuters) Staterun Dman DIl Company (DDC) Is In talks
wIth Dman's |InIstry of DIl and Cas to take on an exploratIon block ceded by 8rItaIn's
8C Croup (8C.L), a senIor DmanI oIl offIcIal saId on Sunday.
LIke most of Its Culf neIghbours, Dman Is short of the gas It needs to meet rapIdly
rIsIng demand for Industry and power. Across the regIon, governments have embarked
on exploItIng unconventIonal gas reserves, such as Dman's tIght gas.
The gas Is In complex formatIons that Is more expensIve to produce than more
conventIonal reserves.
Dman DIl Company Is In dIscussIon wIth the mInIstry of oIl and gas to take over the
8C concessIon In Dman, Nasser alJashmI, undersecretary for oIl and gas, told
Feuters.
8C pulled out of Its deal to develop Dman's oIl and gas 8lock 60 earlIer thIs month to
focus on global opportunItIes elsewhere.
DDC Is the government's energy Investment arm, and holds both domestIc and
InternatIonal oIl and gas assets.
t was unclear whether the government would retender the block, whIch 8C sIgned up
to develop In 2006, or whether It would award the acreage dIrectly to DDC. The block
covers an area of 1,500 square kIlometres at Abu 8utabul.
8C had planned to start gas output from the block In 2012 and has already made
substantIal drIllIng Investment there.
CAS PFCE, 8P
Cas prIces were also a factor In 8C's decIsIon to exIt the block, one Industry executIve
Involved In the negotIatIons told Feuters on condItIon of anonymIty.
The government has refused to revIse a gas prIce agreed In 2006, he saId. WIthout a
hIgher gas prIce, It would have been hard for 8C to make returns on the Investment
needed to produce the tIght gas, he added.
8rItIsh major 8P (8P.L) was expected to start output from Dman tIght gas fIelds In
August, JashmI saId last month. :::: also saId It would start early gas productIon In
August from two fIelds In block 61. [0:nL0E64P1E2]
8P has saId early output could be between 200 mIllIon and J00 mIllIon cubIc feet per
day (cfd).
8P's plans were unlIkely to be affected by 8C's exIt, another DmanI oIl offIcIal saId.
8P has dIfferent technologIes, dIfferent experIence, he saId. thInk It Is happIer too
wIth the reserves It has In place In Dman.
Dman has sIgned productIon sharIng agreements wIth a number of foreIgn companIes
to boost both oIl and gas productIon.
8C was concentratIng on dIscoverIes In 8razIl, a coal bed methane project In AustralIa
and recent acquIsItIons In shale gas In the UnIted States, a 8C spokeswoman saId last
week.
We have decIded to end our actIvIty In Dman because we need to prIorItIse other
opportunItIes across the global portfolIo for development, she saId. So we are
workIng wIth the (DmanI) government now to fInalIse our exIt from 8lock 60.
47. Toyota parts plant back at work after ChIna strIke
8EJNC
Sun Jun 20, 2010 12:12pm ST
8EJNC (Feuters) Workers at a plastIcs
parts supplIer for Toyota |otor Corp In
ChIna resumed work on Sunday, endIng a
threeday strIke over pay and benefIts,
state medIa saId.
The strIke, at ToyotaaffIlIated parts
maker Toyoda CoseI Co, had forced a
stoppage for most of FrIday at the
Japanese car makers' joInt venture
factory In the northern cIty of TIanjIn,
near to 8eIjIng.
ChIna has been hIt by a rash of strIkes at
factorIes across the country over the past
few weeks, maInly over pay.
The wage rIses demanded by the factorIes would add lIttle to the cost of products
made In ChIna, meanIng the country's role as a manufacturIng base appears secure.
8ut the outbreak of worker unrest presents a trIcky challenge for ChIna's rulIng
CommunIst Party, whIch has vowed to Improve workers' Incomes but Is jIttery
(stressed out) about any protests.
Toyota saId on Saturday Its TIanjIn factory, held joIntly wIth ChInese carmaker FAW,
would resume output on |onday.
Workers at Toyoda CoseI reached a deal late In the afternoon on Saturday and went
back to work on Sunday mornIng, ChIna's staterun news agency XInhua saId.
t quoted a worker surnamed Zhao who saId the company had promIsed at extra 200
yuan (SJ0) a month In fullattendance bonus.
XInhua saId the more than 1,J00 workers at the plant earned an average of about
1,500 yuan a month.
'm not sure the backtowork thIng Is temporary or that all of us have already totally
accepted (the) offer, the report quoted Zhao as sayIng.
48. Second open skIes deal sIgned
12:11 C|T, Thursday, 24 June 2010 1J:11 UK
The deal should make It easIer for US and EU aIrlInes
to buy bIgger stakes In each other
EU transport mInIsters have sIgned a second open
skIes agreement wIth the US at a meetIng In
Luxembourg.
The new deal, whIch follows the fIrst open skIes
agreement of 2007, Is desIgned to make It easIer for
US and European aIrlInes to buy each other.
Currently there are lImIts to foreIgn ownershIp of US and EU aIrlInes.
European carrIers can only own 25 of US aIrlInes at present, whIle US carrIers can
take 49.9 stakes In theIr European competItors.
The deal should see those lImIts raIsed, though the new levels have yet to be decIded.
The provIsIonally agreed deal could also stIll be blocked by US lawmakers, who would
need to approve new legIslatIon to allow foreIgn owners to Increase theIr stakes In US
aIrlInes.
EU Transport CommIssIoner SIIm Kallas welcomed the deal, callIng It good news for
passengers and aIrlInes.
ThIs Is a sIgnIfIcant step forward In our mutually benefIcIal avIatIon relatIonshIp wIth
the US, he saId.
ThIs agreement wIll help the European avIatIon Industry emerge from the recent
perIod of challenges.
EconomIc benefIts
The new agreement also Includes plans for closer cooperatIon on envIronmental
matters, IncludIng carbon tradIng schemes.
The fIrst open skIes agreement, whIch came Into effect In 2008, marked a sIgnIfIcant
step In the lIberalIsatIon of the transatlantIc aIrlIne Industry.
t allowed any aIrlIne to operate flIghts between the EU and the US.
PrevIously, certaIn routes IncludIng flIghts between Heathrow and the US, had been
lImIted to specIfIc carrIers.
The deal also let EU aIrlInes operate flIghts between the US and other nonEU
countrIes, and made It easIer for aIrlInes to enter Into code sharIng agreements and
other types of allIances.
The EU called the potentIal economIc benefIt of the open skIes agreements very
sIgnIfIcant.
n economIc terms, It could be worth up to 12 bIllIon euros In economIc benefIts and
up to 80,000 new jobs, It saId.
49. 8hartI to Invest S150 mln In ZambIa KohlI
Thu Jun 24, 2010 10:04pm ST
LUSAKA (Feuters) 8hartI AIrtel(8FT.8D) wIll spend S150 mIllIon to Improve Its
network In ZambIa, as the mobIlephone operator challenges |TN Croup(|TNJ.J) for
domInance In fastgrowIng AfrIca.
8hartI thIs month completed Its S9 bIllIon acquIsItIon of AfrIcan operatIons from
KuwaIt's ZaIn, makIng It the world's No.5 mobIlephone operator by subscrIbers.
We wIll make an Investment of S150 mIllIon to expand and Improve the qualIty of the
network In the next 2 (to) J years, |anoj KohlI, chIef executIve of 8hartI AfrIca, told
a news conference on Thursday.
KohlI saId on Wednesday the company plans to spend S100 mIllIon In |alawI over the
same tIme perIod.
WIth more than J mIllIon subscrIbers In ZambIa, 8hartI Is the largest mobIletelephone
fIrm In the southern AfrIcan natIon. Across AfrIca, however, 8hartI stIll lags behInd
|TN.
50. Coogle's YouTube wIns 7Iacom copyrIght case
07:J7 C|T, Thursday, 24 June 2010 08:J7 UK
YouTube boasts (Possess) the bIggest vIdeo sharIng
audIence In the world Coogle has won a landmark
rulIng as a judge threw out a S1bn lawsuIt brought by
7Iacom accusIng the Internet gIant of allowIng
copyrIghted materIal on Its YouTube servIce wIthout
permIssIon.
7Iacom had accused Coogle of massIve IntentIonal
copyrIght InfrIngement.
8ut the |anhattan judge saId Coogle and YouTube could not be held lIable merely for
havIng a general awareness that vIdeos mIght be posted Illegally.
|edIa conglomerate 7Iacom saId It planned to appeal agaInst the decIsIon.
Coogle called the rulIng an Important vIctory.
'Safe harbour' 7Iacom had claImed that tens of thousands of vIdeos based on Its
copyrIghted works had been posted on YouTube, and that both YouTube and Its owner
Coogle had known about It but had done nothIng
about It.
7Iacom saId many shows, IncludIng South Park, had
been uploaded Illegally
8ut 0IstrIct Judge LouIs Stanton saId In hIs rulIng:
|ere knowledge of prevalence of such actIvIty In
general Is not enough. The provIder need not
monItor or seek out facts IndIcatIng such actIvIty.
Coogle and YouTube had argued that they were entItled to safe harbour protectIon
under dIgItal copyrIght law because they had InsuffIcIent notIce of partIcular alleged
offences.
Judge Stanton agreed, sayIng that when YouTube was gIven notIces, It removed the
materIal... It Is thus protected from lIabIlIty under a provIsIon In the 0IgItal
|IllennIum CopyrIght Act.
'Not the end'
7Iacom called the rulIng fundamentally flawed and saId It reflected neIther
Congress's Intent (objectIve) behInd copyrIght laws nor recent Supreme Court
decIsIons.
Coogle welcomed the rulIng. ThIs Is an Important vIctory not just for us, but also for
the bIllIons of people around the world who use the web to communIcate and share
experIences wIth each other, Coogle's Kent Walker saId on the company's blog.
0avId Sohn, a lawyer for the Center for 0emocracy and Technology, saId: WIthout
thIs decIsIon, usergenerated content would dry up and the Internet would cease to
be a partIcIpatory medIum.
However, Laura |artIn, an analyst at Needham, saId the battle was not over.
These Issues are really Important for content creators to protect theIr Intellectual
property agaInst the usage by onlIne aggregators. t Is really Important for content
creator to get paId, she saId.
ThIs Is the begInnIng, not the end. Sumner [Fedstone, 7Iacom's chaIrman] won't roll
over and dIe on thIs.
51. NokIa to use LInux for flagshIp NserIes phones
Thu Jun 24, 2010 7:0Jpm ST
A vIsItor walks past a NokIa logo at the
'NokIa World 08' congress In 8arcelona
0ecember J, 2008.
HELSNK (Feuters) NokIa Dyj wIll use
LInux |eeCo software In Its flagshIp N
serIes smartphones, hopIng the new
platform wIll gIve It a better chance to
battle rIvals such as Apple nc and
Coogle nc.
The NserIes has been NokIa's crown jewel for years and It domInated the smartphone
market before Apple's IPhone was Introduced In 2007.
NokIa's next smartphone, the N8, wIll be the last NserIes phone runnIng SymbIan
software.
CoIng forward, NserIes devIces wIll be based on |eeCo, saId NokIa spokesman 0oug
0awson.
NokIa's decIsIon Is the latest blow for SymbIan, the market leader for smartphones,
whIch has lost share In recent years wIth the rIse of the IPhone.
NokIa wIll contInue to use SymbIan for Its vast portfolIo of cheaper smartphones.
SymbIan Is enablIng us to brIng smartphones to more and more people and ensures
the benefIts of scale for our solutIons and servIces, and for developers, 0awson saId.
NokIa bought out other shareholders of SymbIan Plc In 2008, and then gave the code
to the open source communIty, hopIng to generate wIder Interest among developers
and phone makers to create attractIve servIces and software.
However, so far, other phone makers have shown lIttle Interest In SymbIan.
We belIeve It Is now tIme for NokIa to take decIsIve actIon and assume full control of
the SymbIan operatIng system, saId 8en Wood, head of research at 8rItIsh wIreless
consultancy CCS nsIght.
Such a move would gIve NokIa complete control over the destIny of Its most
Important platform at present. PotentIally controversIal, such a move would be an
acknowledgement that thIs part of Its opensource approach has faIled, Wood saId.
52. ndIa outplay SrI Lanka In AsIa Cup fInal
CDLD|8D
Thu Jun 24, 2010 11:51pm ST
SrI Lanka's Chamara Kapugedera hIts the
ball as ndIa's captaIn and wIcketkeeper
|ahendra SIngh 0honI (L) watches durIng
the fInal match of the AsIa Cup oneday
InternatIonal crIcket tournament In
0ambulla June 24, 2010.
CDLD|8D (Feuters) ndIa outplayed SrI
Lanka In all departments of the game on
Thursday to wIn the AsIa Cup fInal by 81 runs and record a fourth wIn In seven
tournament fInals under the captaIncy of |ahendra SIngh 0honI.
ndIa compIled an ImpressIve 268 for sIx wIth opener and manofthematch 0Inesh
KarthIk strIkIng 66 from 86 balls after 0honI had won the toss and decIded to bat fIrst
In 0ambulla.
TheIr pace attack then dIsmIssed SrI Lanka for 187 from 44.4 overs.
SrI Lanka's fIrst fIve wIckets fell for 51 runs and a late rally by ThIlIna Kandamby (J1)
and Chamara Kapugedara (55 not out) who put on 5J for the sIxth wIcket ended In a
run out.
Leftarm fast bowler AshIsh Nehra was the outstandIng bowler, pIckIng up three of the
top fIve wIckets and endIng wIth fIgures of four for 40. He was well supported by
Praveen Kumar and Zaheer Khan who took three wIckets between them.
ndIa last won the AsIa Cup In 1995 In Sharjah.
5J. Fecord kIng sner upstages 0ueen at WImbledon
FrI Jun 25, 2010 4:J1am ST
LDN0DN (Feuters) WImbledon returned
to somethIng resemblIng normalIty at
4.48pm on Thursday when AmerIcan John
sner punched away a backhand wInner
past NIcolas |ahut to wIn a match that
had left the tournament In suspended
anImatIon.
Not even 0ueen ElIzabeth's fIrst vIsIt to
the All England Club sInce 1977 or Fafael
Nadal's flIrtatIon wIth danger could
overshadow a recordshreddIng contest
that ended 7068 In sner's favour In the
decIdIng set after 11 hours and fIve
mInutes of hypnotIc actIon on Court 18
that spanned three days.
The prevIous longest match was the sIx hour JJ mInute duel between Frenchmen
FabrIce Santoro and Arnaud Clement at Foland Carros In 2004. The last set alone In
the sner|ahut war of attrItIon lasted more than eIght hours.
Whatever happens for the rest of the tournament, be It a seventh Foger Federer
trIumph or an Andy |urray coronatIon, It wIll not Impact as wIdely as a rather
nondescrIptlookIng fIrst round match between towerIng AmerIcan sner and French
journeyman |ahut.
PrevIously just on noddIng terms In locker rooms around the world, sner and |ahut
wIll now be Inexorably (InevItably) lInked by a contest that transcended all prevIous
sportIng logIc.
After a certaIn poInt, maybe 25 all, lost track of It, sner, who smashed a world
record 112 aces, told reporters after both he and |ahut had been presented wIth
crystal bowls and champagne flutes durIng an oncourt presentatIon to mark theIr
jawdroppIng 18Jgame match.
The guy Is an absolute warrIor. want to share thIs day wIth hIm, It was an absolute
honour. guess thIs Is somethIng NIc and wIll share forever.
CFEATEST TDUFNA|ENT
0ualIfIer |ahut, who collapsed Into hIs chaIr and looked close to tears at the end, was
admIrably composed as he was paraded In front of the surreal lookIng scorboard whIch
read 64 J6 67 76 7068 In sner's favour.
We played the greatest match ever at the greatest place to play tennIs, |ahut, who
held serve an astonIshIng 64 tImes to stay In the match and blasted 10J aces of hIs
own, saId. WImbledon Is the greatest tournament and we just played the greatest
match ever.
The monarch was already back at 8uckIngham Palace by the tIme sner was collapsIng
In dIsbelIef after hIs vIctory over the valIant |ahut but she left the All England Club
noddIng her approval after watchIng |urray sparkle In the sunshIne.
t Is JJ years sInce she handed over the women's sIngles trophy to 8rItIsh heroIne
7IrgInIa Wade, and |urray wIll hope her return wIll be a good omen In hIs mIssIon to
end a 74year waIt for a home men's champIon.
The world number four's royal etIquette was exemplary as he and opponent Jarkko
NIemInen both bowed Immacutely In front of the Foyal 8ox, and hIs tennIs was regal
too as he took hIs opponent apart after a slIghtly selfconscIous openIng game.
He had a few break poInts In the fIrst game. Then once managed to hold that game,
obvIously got the break straIght away and that settled me down a lIttle bIt, |urray
saId after recahIng the thIrd round wIth a classy 6J 64 62 vIctory.
Asked whether hIs bowIng was up to scratch, |urray was not so sure. saw the
second one when was warmIng down, he saId. They were replayIng It. t wasn't
great don't thInk.
|urray Is seeded to face Nadal In the semIfInals but for a whIle on Thursday the
SpanIard's ImmedIate future In the tournament looked In jeopardy agaInst 0utchman
FobIn Haase.
Top seed and defendIng champIon Federer has scrapped hIs way through the openIng
two rounds, droppIng three sets In the process, but now It was Nadal's turn to sweat.
The SpanIard lost the fIrst and thIrd sets and looked In trouble before emergIng wIth a
57 62 J6 60 6J vIctory.
'm very happy to wIn In fIve sets, Nadal, who wIll play Cermany's PhIlIpp Petzschner
saId.
Everybody prefers to wIn In three, but Is not possIble a lot of tImes, especIally on thIs
surface because It all depends on a few poInts.
0espIte |ahut's recordbreakIng defeat It was a good day for the Frenchmen. Jo
WIlfrIed Tsonga's 64 64 67 57 108 vIctory over Alexandr 0olgopolov of UkraIne was
one of several French successes that slIpped under the radar.
Jeremy Chardy and JulIen 8enneteau were also taken the dIstance In reachIng the
thIrd round where they joIn countrymen Arnaud Clement and Cael |onfIls who play
Federer and Lleyton HewItt respectIvely on FrIday.
Women's top seed Serena WIllIams took out her frustratIon at not playIng In front of
the 0ueen by thrashIng FussIa's Anna Chakvetadze 60 61 on Court Two.
The only way to console me was that just saw so many kIds, these lIttle gIrls, these
lIttle boys. gave some thIngs away. t was fun, the top seed saId of her appearance
on a court that rarely hosts defendIng champIons.
There were few surprIses In women's secondround actIom.
|arIa Sharapova, the 2004 champIon, beat FomanIa's oana Faluca Dlaru 61 64 whIle
thIrd seed CarolIne WoznIackI overcame TaIwan's Chang KaIChen 64 6J.
Poland's seventh seed AgnIeszka Fadwanska beat Alberta 8rIantI of taly 62 60 but
ChIna's 2Jrd seed Zheng JIe fell, losIng In three sets to Petra KvItova of the Czech
FepublIc.
54. 8anks wIn battle for lImIts to 8asel
PublIshed: June 24 2010 19:1J 1 Last updated: June 24 2010 22:44
Plans by global regulators to compel banks to set asIde bIllIons of dollars In extra
capItal to cope wIth future crIses are to be pared back after Intense lobbyIng by the
Industry.
After wranglIng over the detaIls of a regulatory overhaul publIshed sIx months ago, a
consensus on the 8asel commIttee Is suggestIng that Its proposals be thInned down.
A draft of the latest thInkIng of the commIttee, set up to oversee global fInancIal
regulatIon, Is to be presented at thIs weekend's C20 summIt In Toronto.
The most sIgnIfIcant change to the proposed reforms concerns the commIttee's
recommendatIons on the volume of lIquId funds that banks should hold to protect
them agaInst another fInancIal crIsIs.
Proposed shortterm emergency fundIng measures wIll go ahead. 8ut the commIttee Is
lIkely to shelve the Idea that banks should be forced to maIntaIn a longer term "net
stable fundIng ratIo" that alIgns the maturIty of theIr assets and lIabIlItIes. That
contentIous proposal, fIercely (Intensely) opposed by the banks, could be replaced by
an alternatIve system of oversIght, saId offIcIals close to the draftIng process.
8ankers saId that the modIfIed blueprInt would prevent an excessIve hIke In fundIng
costs and In borrowIng charges for customers. Some executIves had argued that the
lIquIdIty measures outlIned sIx months ago could cost the Industry up to 65,000bn In
addItIonal costs.
Analysts had also calculated that the 8asel reforms, were they Implemented In
conjunctIon wIth new taxes around the world - such as the lIabIlIty tax announced by
the UK government thIs week - could have cut a typIcal bank's return on equIty from
20 per cent to 5 per cent.
ScalIng back Its proposals would allow the commIttee to publIsh a basIc foundatIon for
the new rules on tIme, even though dIsagreements on some of Its most contentIous
proposals on capItal, lIquIdIty and leverage are unresolved.
The changed stance, however, whIch follows Intense lobbyIng by the banks, wIll be
crItIcIsed by hardlIne reformers as a retreat.
Dther Issues, such as the capItal treatment of banks' partIally owned subsIdIarIes and
pensIon defIcIts, may be the subject of only mInImal InternatIonal rule makIng, at
least In the short term. |ore radIcal reformers worry that delegatIng too much to
natIonal regulators wIll make a nonsense of efforts to create a globally coordInated
approach.
"The 8asel commIttee Is tryIng to gIve a lot of freedom to IndIvIdual countrIes," saId
one senIor SpanIsh banker. "8ut then, you just have a mess, and no level playIng
fIeld."
55. Coldman Sachs reclaIms top
spot In global |EA
FrI Jun 25, 2010 11:04am ST
LDN0DN (Feuters) Coldman Sachs reclaImed the
top spot for mergers and acquIsItIons advIce In
the fIrst half of 2010, underlInIng the Wall Street
gIant's resIlIence even as It battles U.S. cIvIl fraud
charges.
WIth global dealmakIng stIll subdued,
Coldman's(CS.N) advIsory role on nearly S190
bIllIon of transactIons allowed It to retake the
|EA crown from |organ Stanley(|S.N), whIch last year bested Its archrIval for the
fIrst tIme sInce 1996.
PrelImInary data from Thomson Feuters, released on FrIday, showed global announced
|EA hIt S976 bIllIon In the year to June 22, In lIne wIth last year's subdued levels.
Coldman worked on fIve of the year's 10 largest deals, more than any rIval except
|organ Stanley, advIsIng AmerIcan nternatIonal Croup nc's AmerIcan LIfe nsurance
Co nc (ALCD), CocaCola Co, Schlumberger Ltd, NovartIs AC, and Allegheny Energy
nc.
|EA rankIngs are typIcally based on relatIonshIps buIlt up over years, and deals that
can take many months to craft.
StIll, the recovery Is welcome news for Coldman as It battles the worst blow to Its
reputatIon In decades: an AprIl charge from the SecurItIes and Exchange CommIssIon
of cIvIl fraud over a subprIme mortgagelInked securIty.
Coldman denIes any wrongdoIng, but the epIsode has led lawmakers and others to
query Its commItment to a longcherIshed prIncIple of puttIng clIents' Interests fIrst.
A lot of people are surprIsed by Coldman's resIlIence, partIcularly those of us In the
boutIque world whose marketIng Is based on the fact we gIve Independent, unbIased
advIce, saId PhIlIp KeevIl, a senIor partner at Compass AdvIsers.
8ut what It comes down to Is the strength of the brand no board of dIrectors, no
CFD ever gets condemned for hIrIng Coldman Sachs, saId KeevIl, a former head of
InternatIonal |EA at Salomon 8rothers and head of European |EA at CItIgroup.
Coldman has mounted an aggressIve effort to retaIn clIents who mIght be spooked by
the SEC allegatIon that Coldman faIled to Inform a clIent about a shortseller's role In
packagIng a subprIme mortgagelInked securIty.
Coldman would stIll lIke you to belIeve the fIrm Is run by Cus Levy or John
WhItehead, who was famous for sayIng, 'Put the clIent fIrst and the fIrm second.' 8ut
now It seems lIke everybody Is a (tradIng) counterparty, KeevIl saId. However, If
you're prepared to accept that, they do an IncredIble job.
Coldman, whose |EA busIness has been led by Londonbased U.S. banker Cordon 0yal
sInce 2004, declIned to comment on Its leaguetable standIng.
A Londonbased head of |EA, who declIned to be IdentIfIed whIle dIscussIng a rIval,
saId Coldman's legal dIffIcultIes sImply reflected wIder pressure on the Industry and
would not meanIngfully hurt Its advIsory busIness.
They are great professIonals, they are a tough competItor and don't expect them to
go anywhere, thIs banker saId.
|UF0DCH
Among the other bIg Wall Street banks, advIce to Fupert |urdoch's News
Corp(NWSA.D) on Its S12 bIllIon move to take full control of 8rItIsh satellIte
broadcaster 8Sky8 helped JP|organ Chase E Co claIm top spot for European
announced |EA.
JP|organ ranked thIrd worldwIde, as It dId last year, whIle 8ank of AmerIca |errIll
Lynch stood sIxth.
Cermany's 0eutsche 8ank, whose |EA busIness Is run from London by U.S. banker
8rett Dlsher and NorwegIan HenrIk Aslaksen, advanced to fourth place from eIghth. t
leaped to 4th from 18th place In U.S. |EA, helped by advIce to telephone company
CenturyTel on Its S22 bIllIon takeover of peer 0west and advIce to |etLIfe nc on the
S15.5 bIllIon takeover of ALCD.
Keefe, 8ruyette and Woods analyst |atthew Clark saId 0eutsche 8ank emerged from
the fInancIal crIsIs as a relatIve wInner In reputatIonal terms, and has made a
sustaIned effort to boost market share In corporate fInance.
Although bankers cautIoned agaInst drawIng strong conclusIons from a thIn market In
whIch a few key deals can lead to bIg swIngs In rankIngs, consIderable movement was
evIdent elsewhere In the league tables.
0espIte a role In the year's bIggest deal |exIcan bIllIonaIre Carlos SlIm's
consolIdatIon of hIs telecoms empIre vIa AmerIca |ovIl CItIgroup fell to seventh
place globally from fourth a year earlIer.
Lazard, whIch enjoyed a bIg role on KraftCadbury last year, also dropped, to 10th
from sIxth, whIle U8S and 8arclays CapItal claImed top10 spots after rankIng 12th
and 11th, respectIvely, for the fIrst half of 2009.
56. FussIa workIng to joIn WTD
In 2011 trade negotIator
WASHNCTDN
FrI Jun 25, 2010 8:00am ST
WASHNCTDN (Feuters) FussIa Is workIng to
resolve outstandIng Issues wIth other countrIes In
the World Trade DrganIzatIon and hopes to joIn
the global tradIng body In 2011, the country's
chIef WTD negotIator saId on Thursday.
WTD negotIator |axIm |edvedkov, speakIng after talks between FussIan PresIdent
0mItry |edvedev and U.S. PresIdent 8arack Dbama, saId FussIa would do everythIng
possIble to joIn the WTD, probably next year.
57. ChIna wants to double trade wIth Canada by 2015
DTTAWA
FrI Jun 25, 2010 4:1Jam ST
DTTAWA (Feuters) ChIna, the world's
bIggest exportIng natIon, wants to double
Its trade wIth Canada to S60 bIllIon by
2015, PresIdent Hu JIntao saId on
Thursday.
Hu made hIs remarks durIng a meetIng
wIth CanadIan PrIme |InIster Stephen
Harper, whose ConservatIve government Is
tryIng hard to boost tIes wIth 8eIjIng.
have agreed wIth PrIme |InIster Harper
that we should take actIve measures to
make our countrIes' twoway trade volume
reach a target of S60 bIllIon by 2015, saId
Hu, who noted that bIlateral trade last year totaled S29 bIllIon.
Canada, whIch sends 75 percent of all exports to the UnIted States, Is eager to
dIversIfy Into other markets to offset weak demand from Its maIn customer.
As ChIna's energy consumptIon booms It Is lookIng to Canada as a stable supplIer of
resources, and over the last year ChInese companIes have begun IncreasIng theIr
Investment In Canada's oIl sands.
CanadIan fIrms doIng bIg busIness In ChIna Include plane and traIn maker 8ombardIer
nc and engIneerIng fIrm SNCLavalIn Croup nc.
n theIr publIc comments, neIther Harper nor Hu mentIoned IrrItants In the trade
relatIonshIp. ChIna contInues to restrIct CanadIan canola wIth blackleg dIsease to a
few ports away from Its rapeseed growIng areas.
Dttawa recently persuaded ChIna to extend those lImIted provIsIons but would lIke
8eIjIng to lIft all restrIctIons. Harper raIsed thIs Issue on a vIsIt to ChIna In late 2009.
ChIna Is one of the few countrIes that contInues to ban all CanadIan beef sInce the
dIscovery of mad cow dIsease In 200J.
58. TwItter settles prIvacy charges wIth U.S.
Thu Jun 24, 2010 11:12pm ST
NEW YDFK (Feuters) |IcrobloggIng servIce
TwItter has agreed to a settlement wIth the
U.S. Federal Trade CommIssIon over charges
It put Its customers prIvacy at rIsk by faIlIng
to safeguard theIr personal InformatIon.
The settlement announced by the FTC on
Thursday stems from a serIes of attacks last
year on TwItter, the threeyear old
phenomenon that lets people send short text
messages to groups of followers. Under the
terms of the agreement, TwItter Is creatIng
an Independently audIted securIty program,
among other measures.
The FTC saId serIous lapses In TwItter's
securIty allowed hackers to send out phony
tweets pretendIng to be from U.S. PresIdent 8arack Dbama and Fox News. Hackers
also managed to take admInIstratIve control of TwItter and gaIn access to prIvate
tweets, or short text messages of 140 characters or less.
8etween January and |ay 2009, hackers were able to vIew nonpublIc user
InformatIon, gaIn access to dIrect messages and protected tweets, and reset any
user's password and send tweets from any user account, accordIng to the FTC
complaInt.
TwItter acknowledged 45 accounts were accessed by hackers In January last year and
10 In AprIl 2009 for short perIods of tIme.
t saId the January attack resulted In unauthorIzed joke tweets from nIne accounts.
The hackers may also have accessed data such as emaIl addresses and phone numbers,
the prIvately held company saId.
n the AprIl IncIdent, TwItter saId It cut off the hacker's admInIstratIve access wIthIn
18 mInutes of the attack and quIckly Informed affected users.
The FTC saId TwItter was exposed to these attacks because It faIled to take
reasonable steps to prevent unauthorIzed admInIstratIve control of Its system.
When a company promIses consumers that theIr personal InformatIon Is secure, It
must lIve up to that promIse, 0avId 7ladeck, dIrector of the FTC's 8ureau of
Consumer ProtectIon, saId In a statement.
And If a company allows consumers to desIgnate theIr InformatIon as prIvate, It must
use reasonable securIty to support that desIgnatIon, he saId.
Under the terms of the settlement, TwItter wIll be barred for 20 years from
mIsleadIng consumers about the extent to whIch It maIntaIns and protects the
securIty, prIvacy, and confIdentIalIty of nonpublIc consumer InformatIon.
TwItter must also establIsh a comprehensIve securIty program that wIll be assessed
by a thIrd party every year for ten years, accordIng to the FTC.
TwItter saId It already made many of the changes suggested In the settlement, whIch
comes less than two months after another popular socIal sIte, Facebook, suffered Its
own securIty breaches.
The agreement wIll be subject to publIc comment for J0 days, startIng on Thursday
and contInuIng through July 26, 2010, after whIch the FTC wIll make a fInal decIsIon.
59. TPC to Invest In 7Ishal FetaIl chmn says
NEW 0ELH
Thu Jun 24, 2010 12:29pm ST
NEW 0ELH (Feuters) 7Ishal FetaIl Ltd(7FL.8D) saId on Thursday prIvate equIty fIrm
Texas PacIfIc Croup (TPC) wIll be a strategIc Investor In the company.
As we are under the C0F (corporate debt restructurIng) mechanIsm so we are not In a
posItIon to comment on the sIze of the deal. Though would lIke to Inform you that
TPC Is comIng as a strategIc Investor In 7Ishal FetaIl, chaIrman F. C. Agarwal told
Feuters In an emaIl.
He saId the |oU between 7Ishal and TPC announced on Wednesday was not an
agreement but a nonbIndIng nonexclusIve |oU whIch Is only an understandIng
between both the partIes.
7Ishal FetaIl has been lookIng to raIse funds for more than a year to cut Its 7.J5
bIllIon rupees debt. The retaIler, whIch runs a chaIn of 170 stores, ran Into dIffIculty
In late 2008 after It faIled to raIse equIty amId an economIc downturn whIch also hIt
sales.
The |oU wIth TPC has been sIgned In consIderatIon wIth the dIrectIves of HIgh Court
and C0F commIttee, Agarwal saId, addIng that the detaIls of a deal wIth TPC would
be fInalIsed after the due dIlIgence process.
7Ishal approached lenders In November for debt restructurIng. SIx lenders are part of
C0F mechanIsm whIch Is underway, Agarwal saId. |eanwhIle, a court rulIng last
month, whIch came In response to a petItIon by SIngapore's lender 08S 8ank, bars
7Ishal from sellIng assets tIll November.
7Ishal was In talks wIth TPC and may close a deal In 2J months, Agarwal had told
Feuters earlIer thIs month.
Shares In 7Ishal FetaIl were up 0.9 pct In mIdday trade In a flat |umbaI market after
rIsIng as much as 4.9 pct earlIer In the day.
60. ToshIba to buIld drIve motors for hybrIds In Houston
0ETFDT
Tue Jun 22, 2010 11:J9pm ST
0ETFDT (Feuters) Japanese electronIcs conglomerate ToshIba Corp saId on Tuesday
that It wIll begIn producIng drIve motors for hybrId vehIcles for Ford |otor Co.
The company saId It would produce the automotIve propulsIon unIts at an exIstIng
facIlIty In Houston, Texas the fIrst tIme It has manufactured the unIts outsIde
Japan.
ToshIba saId It would need to expand capacIty at the Texas plant throughout 2011 In
order to accommodate the new lIne and would begIn productIon of the motors In
2012.