Maruti may set up diesel engine plant
Chennai: Maruti Udyog Ltd (MUL) is planning to setting up a diesel engine assembly plant near its automobile manufacturing facilities at Gurgaon, near Delhi, says a media report. This could mark a distinct shift in the company's strategy regarding diesel engine options for its vehicles and it has the potential to redefine the dynamics of the small car market.

Company sources were quoted as saying that the plans are still in the initial stages and the exact details regarding size, investments and technology have not been finalised. The plan for setting up the new engine plant is essentially to provide for a continued presence in the diesel-driven vehicles market for Maruti Udyog, without depending on imported diesel engines.
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BPL Mobile to buy out AT&T in cellular venture
Mumbai: BPL Mobile, the holding company for BPL's cellular operations in India, has announced that it is buying out AT&T's 49-per cent stake in BPL Mobile Cellular Ltd. Company officials, however, declined to disclose the cost of this acquisition. AT&T has invested over Rs 740 crore ($150 million) over the last six years, and this includes a recent investment of Rs 200 crore ($40 million).

The rationale provided for AT&T's exit is much the same that was provided by Bell Canada's exit from Tata Cellular some years ago — that the foreign company's strategic focus is not India. In this case, AT&T's focus is on North America; this sale being "part of its ongoing plan to monetise non-North American assets."
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Accenture to double local count by end-2004
Bangalore: Accenture, the $11.8-billion global consulting, technology service and outsourcing company, will more than double its headcount in India to 10,000 by end-December next year. Accenture's senior management demystified myths surrounding its local operations. Martin Cole, managing partner for Accenture's outsourcing group, said manpower additions will take place for all offerings — consulting, software services, BPO and call centre.

But he did not provide the hiring pattern by specific service offerings. Accenture's corporate policy does not permit disclosure of country-specific revenues or headcount employed by a specific service offering, he said. The company's outsourcing business last year was $3.6 billion and is growing at 30 per cent annually. It now offers outsourcing services to 350 clients, 80 of whom are served from India. System integration, technology services and BPO are its growth platforms.
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SUVs zoom pasts; automakers plan new strategies
New Delhi: Sports utility vehicles (SUVs) are on a fast track again. While the diesel variants are facing a supply shortage that extends from 30 days to nearly two months, the petrol vehicles are repositioning themselves to regain footfalls.

General Motors has slashed the price of its Chevrolet Forester by Rs 3 lakh, bringing it down to Rs 12 lakh and is offering its EPCG customers a competitive tag of just Rs 8 lakh. Maruti is all set to launch a brand new version of the Grand Vitara XL-7, complete with a more powerful engine and a slightly higher tag, early next week.
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ACC to acquire UTI stake in IDCOL
Mumbai: ACC, after acquiring an 86.79-per cent stake in IDCOL Cement from the Orissa government, is set to buy out UTI's 13.21-per cent stake in the company. The acquisition of IDCOL Cement's 1-million-tonne plant at Bargarh, Orissa, will make ACC the largest cement manufacturer in India, with an installed capacity of close to 18 million tonnes per annum, ahead of Larsen & Toubro's 16.5 million tonnes.

Ashok K Jain, executive director, ACC, said: "UTI has expressed an interest in selling its stake to us. However, we will take a final call on the issue after completing the formalities of acquiring the 86.79 per cent stake from the Orissa government." ACC's Rs 176.41 crore bid for the Orissa government's stake in IDCOL Cement was approved yesterday, by the Cabinet Committee on Disinvestment.
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Anchor takes control of JV with Daewoo
Mumbai: The Anchor group has bought a substantial part of the 87-per cent stake held by Daewoo in their joint venture, Daewoo Anchor Electronics. It is investing Rs 100 crore in the company to clear the liabilities, expand operations and build the brand.

"Anchor has taken over management control of the joint venture after buying a substantial portion of the 87 per cent stake held by Daewoo. It has also inherited liabilities to the tune of Rs 70-80 crore as part of the deal," a source familiar with the development was quoted as saying in a newspaper. Following financial problems in its home country, Daewoo had put its electronics unit on the block. The Korean company held roughly an 87-per cent stake in the venture, while the balance was held by Anchor Electronics.
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A-I, IA integration commences
Mumbai: The operational integration of Air-India (A-I) and Indian Airlines (IA), aimed at the emergence of a single national carrier, appears to have gained tremendous momentum, says a report. The surplus employees of one carrier will now work for the other.

The airport security operations at Delhi is being handled by IA while in Mumbai it is handled by A-I. The excess Air-India employees in Delhi have been deployed to offer their services to IA. The financial implications, in terms of salary and allowances, will be adjusted between the two airlines based on an internal agreement between the two companies, a senior A-I executive was quoted as saying.
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