Corporate

Market leader Maruti Suzuki has taken a seemingly bold decision to make further steps on the diesel car market. The Japanese car maker announced the strategic move of constructing a diesel engine plant with license from the current engine partner- Italy’s Fiat. The new engine plant will be constructed at Gurgaon.                 Maruti’s announcement is the first breaking decision taken by a car maker in India on further step on the diesel car front. The automobile firms were adopting a wait and watch policy because of the uncertainty regarding the stability of the government’s diesel pric

The Supreme Court’s dismissal of the government challenge of Vodafone verdict is not the end of the dispute. The next round will start once the Parliament passes the retrospective legislation on tax on foreign transactions of domestic assets. The newly introduced amendment, brought by the Finance Minister aims to make overseas transfer of underlying Indian assets taxable in India.      Indeed, the government now is well equipped with the ammunition to face the overseas deal on Indian assets with the passage of the change. There is more clarity on the taxation right for government of India.  The amendment also changed the dispute scenario completely i

The strategic significance of the newly formed Sesa Sterlite is very clear. The company is going to take on Reliance Industries on the upstream (crude production) front. Around one and a half years ago, when Vedanta acquired Cairn India, it was a secret over the night deal. The implication of the deal was that a fresher is coming into compete in the Indian petroleum upstream business. Till then, the upstream sector was dominated by ONGC and Reliance Industries with Cairn India being a foreign operator.             Vedanta’s entry indicated that Reliance is not going to be the sole major private sector upstream operator i

Ms Aneesha was a former employee of the trouble hit Kingfisher Airlines (KFA), and is now with another major airliner. When contacted about the miseries of her former company, Aneesha, reacted that she is little surprised about the present condition of the company, citing that the firm was extravagant on many front.   Insiders of the company who have already joined other firms have similar opinion. Most of them assess that the company was extravagant on service delivery and on brand developing. For KFA, air hostesses were ‘flying models’ and they should have a model look. KFA has incurred big money for their training. All these were done without considering t

The color of Kingfisher is now truly red. Liquor Barron- Vijay Mallya promoted Kingfisher Airlines (KFA) is in serious financial trouble and the situation is worsening with each quarterly report. Mallya is often described as the Indian Richard Branson, but he may now get a rather unpleasant description of producing one of India’s biggest corporate failures.  Kingfisher’s annual loss is expected to cross Rs 1500 crore this fiscal year. Already the company’s debt is close to Rs 8000 crores. The leader of the consortium of lenders to Kingfisher- State Bank of India already declared KFA as an NPA (Non Performing Asset or bad debt).                        

The just concluded 2012 edition Australian open men’s single final which lasted for almost six hours is now considered as one of the greatest ever grand slam finals.    The match, played between the world number one- slim built Novak Djokovic and Spain’s world number two- Rafael Nadal, lasted for about six hours, is ranked alongside the greatest of all-time. The high quality of tennis lasted till the end of the physically and mentally gruesome encounter.      Both Rafa and Novak have converted the Rod Laver Arena into a Collossium in a night where they smashed the ball at each other with dead precision.  Rallies were extended to d

Debt is like disease; people will run away from you! - ask DLF. The company is India’s largest property developer. In the present slow-down phase of the economy, DLF is struggling because of declining property prices and increasing debt service payments.             DLF’s total debt amounts to around Rs 22500 crores, which is almost equal to the non-sovereign debt of Air India. Remember, King Fisher has a debt of Rs 7500 crores which is around one-third of DLF’s. The developer is India’s largest corporate debtor now.             To escape from the