The performance of Steel Authority of India Ltd (SAIL) during the first half this fiscal has been affected owing to severe pressure on its margins by way of about Rs. 600-crore increase in the cost of inputs coupled with the continued overall slump in the economy. While the exact figures are still being computed, the possibility of the public sector giant showing any ‘significant’ profits during the sixmonth period is a question mark. During the same period last fiscal, SAIL made a net profit of Rs. 440 crores.
FICCI push for level-playing field
The Federation of Indian Chambers of Commerce and Industry (FICCI) will raise the issue of a level-playing field at its 70th annual general meeting (AGM) scheduled to be inaugurated by the Prime Minister, Mr. I.K. Gujral, on Tuesday. Top-ranking FICCI sources said the chamber felt that “the domestic industry should be provided with all the wherewithal necessary for it to compete with foreign companies”. This comes close on the heels of a similar demand made by another top chamber, Assocham, at its AGM a fortnight ago, where the Prime Minister himself said he was considering the proposals of the Bombay Club, which is a league of industrialists who support the cause.
Telangana Paper being merged with Raasi Cements
The sick Telangana Paper Mills is set to be amalgamated with the profitmaking Raasi Cements Ltd (RCL) as per the modified rehabilitation scheme sanctioned by the Board for Industrial and Financial Reconstruction. Shareholders of RCL had approved the scheme involving the merger at the company’s EGM held recently. As per the scheme, RCL would issue and allot 21,721 equity shares of Rs. 10 each to TPML shareholders at a ratio of one equity share of RCL for every 9 3 equity shares held in TPML.