State-run power equipment maker BHEL expects revenue of Rs 10,000 crore from foreign contracts by 2017 even as domestic orders from private companies have taken a hit due to financing constraints. The company is expecting revenue of Rs 1 lakh crore for the company by 2017 of which 10 percent would come from exports. Africa is a focussed market for BHEL and the PSU is looking at a number of projects there. The company is already executing some projects in the African continent and also looking at South-east Asia and Gulf countries. BHEL has order book of nearly 55,000 MW. But commissioning is a problem. Projects are getting stalled, particularly the private sector projects. This is because financing is a problem.
Tata Power and its five customer states for country's first ultra mega power project (UMPP) differ over the provisions of power purchase agreement (PPA). Tata Power is arguing that article related to 'change in law' includes not only Indian laws but foreign laws too. However, five state utilities are not convinced. They also differ over the article related to 'force majeure'. Last month, Tata Power has filed petition before CERC to seek tariff revision following change in Indonesian laws pertaining to coal price. The Central Electricity Regulatory Commission (CERC) heard Tata Power and its customer state utilities of Maharashtra, Rajasthan, Gujarat, Haryana and Punjab to admit the petition of the UMPP developer. Tata Power submitted that it had to pay exorbitantly high cost for import of coal from Indonesia on account of which the company will lose 67 paisa per unit, which is annual loss of Rs 1,800 crore.
Reliance Infrastructure is looking at Reliance Power's ultra mega power projects to boost its order book. Reliance Infra, the Anil Ambani led company that provides engineering, procurement and construction (EPC) for developing power and road projects, saw a reduction in the segment revenues in the July-September quarter at Rs 1,800.49 crore from Rs 2,211.31 crore in the same period last year. R-Power is developing three ultra mega power projects, each of 3,960 mw capacity, in Sasan in Madhya Pradesh, Krishnapatnam in Andhra Pradesh and in Tilaiya in Jharkhand. At present, the order book of the company stands at Rs 13,910 crore and has an exposure of over 5,000 mw in the EPC segment.
Tata Motors plans to launch six new passenger vehicles and 25 new commercial vehicles in the first half of the next fiscal year that starts in April. Earlier, the company posted a 10.5 percent gain in quarterly net profit, but lagged estimates as pricing pressures affected its Indian business margins while slowing economic growth dampened demand for commercial vehicles. The company has reported 749.94% rise in its net profit at Rs 867.11 crore for the quarter ended September 30, 2012 as compared to Rs 102.02 crore for the same quarter in the previous year. Total income of the company has increased by 6.40% at Rs 13920.74 crore for quarter under review as compared to Rs 13083.62 crore for the quarter ended September 30, 2011.
Eicher Motors and Volvo AB will invest 18 billion rupees ($331 million) over the next two years in their Indian joint venture. Volvo, the world's number two truck maker, is among global manufacturers, including Daimler AG, that are muscling in on India's truck and bus industry, which is dominated by local giants Tata Motors and Ashok Leyland. The Eicher-Volvo JV will roll out a new range of trucks and buses built in India using Volvo technology by the end of 2013, and look to export these vehicles to Africa, the Middle East and South East Asia within two to three years. The joint venture is spending more than 4 billion rupees on a factory to build 80,000 engines a year, which will be operational by mid-2013 and supply both Eicher in India and also Volvo's bus and truck manufacturing plants in Europe. Eicher and Volvo have already invested 7 billion rupees in the 50-50 joint venture, which was formed in 2008.
With the deadline set by the PMO for signing of fuel supply pacts drawing near, the Power Ministry has asked state-owned NTPC to ink the agreement with Coal India (CIL) for coal supply. Pulok Chatterji, Principal Secretary to the Prime Minister, had convened a meeting to sort out issues impeding the signing of FSAs between CIL and power producers. As per the government guidelines even those power producers, who currently have not signed a PPA with any electricity distribution company, can sign the FSA but they will be required to produce the PPA before lifting coal.
Pune-based commercial vehicle maker Force Motors will be launching two more variants of SUV 'Force One' in early 2013 as it aims to sell around 5,000 units of the vehicle in the next fiscal. The company, which entered into passenger vehicle segment with the launch of Force One last year, is looking to shore up sales of the SUV with addition of two more variants. The company, which had set a target of selling 4,000 units of the SUV in the current fiscal, has been able to sell only 2,000 units so far. The company is also looking to expand the passenger vehicle division with the launch of a multi-purpose vehicle (MPV) next fiscal.
UCO Bank is shedding its corporate portfolio size and focusing on retail and small entrepreneurs as corporate business hurts more when economic growth slumps. The state-run lender has shrunk its corporate assets by 5% in the September quarter while its retail assets grew 19% with a conscious effort to rein the balance sheet. At the end of September quarter, its corporate assets stood lower at Rs 88,217 crore with retail rising to Rs 33,622 crore. The bank's revenue from corporate banking too dipped 10.5% at Rs 2,314 crore from Rs 2,584 crore while revenue from retail banking grew 18% at Rs 1,045 crore from Rs 887 crore in the last quarter over the previous three months period this year.
Wipro Consumer Care and Lighting, the fast moving consumer goods and lighting division of Wipro, has re-launched Aramusk. Aramusk is one of the oldest soap brands for men in the country and was acquired by WCCLG from Mumbai-based VVF in June 2011. Wipro has expanded the brand portfolio from only soap to newer categories and now has Aramusk offerings in talc, deo, shave foam, shave cream etc. The company has announced the launch of the new product range nationally.
State Bank of India, country's largest bank, has warned Kingfisher Airlines that it should bring in capital of about $1 billion into the airline by November 30 for the bank to allow a corporate debt restructuring. However, it has not specified whether the government would liquidate Kingfisher's assets to recover its dues if the deadline is not met. Kingfisher has turned into a non performing asset (NPA) in most of the banks. The airline would need to repay some part of its outstanding amount to make it a standard asset.