PSU OMCs can go for free pricing
New Delhi: The Government will now allow state-owned oil marketing companies (OMCs) to fix their own prices for the four petroleum products — petrol, diesel, kerosene and liquefied petroleum gas (LPG) — if international crude oil prices rise above $75 a barrel. The officials said that the periodicity of the revision had not been decided yet.

Officials said if the crude price rises above $75 a barrel on an average for the four petroleum products, prices would be increased; however, on falling, the prices would be rolled back.

Officials said under the model developed by the NDA regime, oil marketing companies were required to come to the ministry for approvals for price revision and for a short while, oil PSUs could review fuel prices every fortnight in line with the global trend.

The source said that the latest increase in auto fuel prices along with a fiscal package for oil companies has been worked out at global crude oil price at $71 a barrel. For every dollar increase in global crude oil prices, retail price of petrol per retail must be increased by 39 paise, diesel 30 paise, kerosene 36 paise and cooking gas by 67 paise.
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REL to generate 16,000 MW
Mumbai: Reliance Energy (REL) is planning to set up power generation projects that will generate a total of 16,000 MW of power with an investment of Rs60,000 crore. The company is also aiming to develop 2,000 MW of nuclear capacity and has set up an in-house core team for this purpose.

The largest of these generation projects is the 7,480 MW (Phase I of 5,600 MW) Dadri project in Uttar Pradesh, for which 2,100 acres of land has been acquired. Next is a 4,000 MW power project in Raigad, Maharashtra for which the company is in the process of acquiring land.

Reliance Energy is also participating in the ultra mega power project scheme and has submitted requests for qualification for projects at Sasan, Madhya Pradesh and Mundra, Gujarat. The company has also filed expressions of interest for ultra mega projects at Girya, Maharashtra and Tadri, Karnataka.

Reliance Energy has also participating in the rural electrification programme and has 7,220 villages in Uttar Pradesh under its fold, of which 2,500 have been electrified. In the transmission area, REL expects to sign project agreements to form a joint venture with Power Grid Corporation of India Ltd (PGCIL) to set up transmission lines for Parbati and Koldam hydel projects in Himachal Pradesh. The company will hold 74 per cent stake in the joint venture companies.
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Motorola to set up manufacturing facility in TN
Chennai: Motorola signed an agreement with the Tamil Nadu Government to establish a manufacturing facility in the 300-acre Sriperumbudur Hi-Tech Special Economic Zone, coming up 40 km west of Chennai. The company will set up the facility with an initial investment of $30 million (Rs135 crore), which will go up to $100 million (Rs450 crore) within a year.

The $37-billion US telecom company will manufacture sub-$30 (Rs1,350) handsets — initially for the Indian market and later exports according to Dayanidhi Maran, Union Minister of Communications and Information Technology.

The special economic zone is being jointly developed by the Tamil Nadu Government, Motorola and component suppliers such as FoxConn, a Taiwanese company. Motorola will set up its plant in 70 acres of land within the proposed SEZ.

The first phase of 2.50 lakh sq. ft will be ready by January 14, and about 3,000 employees would be working at the facility. The number of employees would increase to 7,500 by the end of second phase.

A Motorola press release says that the facility will also undertake full-scale production, to support a wide range of Motorola handsets. It will also support production and assembly of network base stations for products across Motorola's Networks and Enterprise portfolio. Apart from mobile handsets, Motorola plans to produce set-top boxes and network equipment at the Chennai plant.
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Postpaid users to get credit limit
New Delhi: Telecom regulator TRAI has asked all telecom service providers to provide details of credit limit set for postpaid customers in the monthly statement/bill on a regular basis.

This was after the regulator received various complaints of hardships and inconvenience caused to subscribers due to disconnection of service or barring of calls when the usage exceeded the credit limit decided by the operators.

One of the conditions mandated in the direction was that the credit limit set for the postpaid subscribers should be intimated to the customers in advance.
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Air Deccan to revamp operations
Bangalore: Air Deccan has begun a restructuring exercise as its passenger load continues to rise and it gears itself up to handle nearly eight million passengers by the end of this fiscal.

The airline has identified key areas, which need improvement and has overhauled them and has started inducting professionals from international airlines to man important positions in the technical as well as operations' departments.

The engineering department of the airline has been fully overhauled to reduce the number of cancellations of flights and to increase the turnaround of the aircraft. The utilisation of aircraft over the last four-five months has increased by over 20 per cent. It has also started replacing its handling agents in major airports to increase the efficiency at the ground level. The airline plans to hire 100 more pilots during this year alone, which will increase the number of pilots to around 450. The airline has a fleet of 35 aircraft, which will go up to 45 by the end of this fiscal.
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Ranbaxy signs agreement with Zenotech for oncology products
Hyderabad: Ranbaxy Pharmaceuticals Inc (RPI), Ranbaxy Laboratories' (RLL), wholly owned subsidiary in the US, has entered into an agreement with the Hyderabad-based Zenotech Laboratories (ZLL) for development of oncology products.

According to the terms of the agreement Zenotech would develop, submit for regulatory approval and manufacture 11 oncology products that Ranbaxy would market as generic formulations in the USand Canada under the Ranbaxy label. The combined branded sales of these products were estimated at $3.7 billion as per March 2006 statistics.

Zenotech is a speciality generic injectables company with a biotech core. Its predominantly high-value injectables product portfolios serve niche therapy areas such as oncology, anesthesiology, gynaecology, and neurology. It has full-fledged research and development facilities in India and in the US. Its oncology and biologics manufacturing facilities are located in India.

Ranbaxy Pharmaceuticals based in Jacksonville, Florida, is engaged in the sale and distribution of generic and branded prescription products in the US healthcare system.
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Biocon's cancer drug may get USFDA approval
Bangalore: Biocon's BIOMab EGFR, the first indigenously developed monoclonal antibody used in treating many cancers, may get USFDA approval as it has received `favourable review' from the drug regulator according to Biocon CMD, Ms Kiran Mazumdar-Shaw.

Biocon's monoclonal antibody therapy has been developed over two years with Cuban collaboration and is considered one of the most promising cancer treatments. Shaw said that although M A bs have been introduced in the country, they are not affordable and the home-grown product could make a difference, she said.

Biocon said it joins the exclusive league of monoclonal antibody developers worldwide and aims to be a key player in this segment in the coming years.
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Corporate results: Jindal Steel & Power, LIC Housing

Jindal Steel & Power announces Q4 & FY 06 results
Jindal Steel & Power Ltd has announced the following results for the quarter and year ended March 31, 2006:

The unaudited results are as follows

The company has posted a net profit of Rs1506.60 million for the quarter ended March 31, 2006 (Q4 FY 05-06) as compared to Rs1467.00 million for the quarter ended March 31, 2005 (Q4 FY 04-05). Total income (net of excise) has increased from Rs6326.70 million in Q4 FY 04-05 to Rs6804.80 million for Q4 FY 05-06.

The audited results are as follows

The company has posted a net profit of Rs5729.40 million for the year ended March 31, 2006 (FY 05-06) as compared to Rs5157.00 million for the year ended March 31, 2005 (FY 04-05). Total income (net of excise) has increased from Rs22821.50 million in FY 04-05 to Rs26177.60 million for FY 05-06.

The audited consolidated results are as follows

A net profit is attributable to the Group of Rs5829.30 million for the year ended March 31, 2006 (FY 05-06). Total income (net of excise) is Rs26176.40 million for FY 05-06.

The board of directors has recommended final dividend of 200% i.e. Rs10/- per equity share of Rs5/- each on 3,07,92,268 equity shares. Dividend amount including corporate tax on dividend, works out to Rs351.10 million. The board had earlier declared an interim dividend @ 100% i.e. Rs 5/- per share of Rs 5/- each on October 31, 2005.

LIC Housing announces Q4 & FY 06 results
LIC Housing Finance Ltd has announced the following audited results for the quarter & year ended March 31, 2006:

The company has posted a net profit after tax of Rs413.80 million for the quarter ended March 31, 2006 (Q4 FY 05-06) as compared to Rs141.70 million for the quarter ended March 31, 2005 (Q4 FY 04-05). Total Income has increased from Rs2759.10 million in Q4 FY 04-05 to Rs3544.00 million for Q4 FY 05-06.

The company has posted a net profit after tax of Rs2085.70 million for the year ended March 31, 2006 (FY 05-06) as compared to Rs1437.20 million for the year ended March 31, 2005 (FY 04-05). Total income has increased from Rs10496.10 million in FY 04-05 to Rs12688.30 million for FY 05-06.

The consolidated results are as follows:

The group has posted a net profit after tax of Rs2090.00 million for the year ended March 31, 2006 (FY 05-06) as compared to Rs1462.20 million for the year ended March 31, 2005 (FY 04-05). Total income has increased from Rs10486.50 million in FY 04-05 to Rs12683.50 million for FY 05-06.

The board has recommended a dividend of 60% on equity shares subject to approval of the members of the Company at the forthcoming Annual General Meeting.
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