Newspaper Summary - The Mint - 27th September

1. RIL plans Rs 40000 Crore in investment

• The Investment is a part of petrochemical project in Jamnagar as part of expansion drive called J3 which denotes the 3rd phase of expansion of the complex.
• The investment is divided as
1. Rs. 16000 Crore to set up a cracker unit as part of petrochemical project.
2. Rs. 15000 Crore in coke gasification plant to fuel power plants in the complex.
3. Rs.6850 Crore on plant to produce Paraxylene used in fibre and agricultural and personal care products
4. Rs. 4000 Crore for support & Ancillary project which includes Crude Distillation Unit (CDU)
That would use crude from Cairn India Ltd.

• Investments till now :-
Rs.1 Trillion dollars in Hazira ,Vadodra ,Jamnagar facilities.

• The refineries have 1.24 million barrels perday of crude processing capacity which is about 2% of global capacity and 1/3rd of India's capacity.

• Further Plans :-
Exploring various plans at Jamnagar including setting up of 2000MW power plant.

The planned investment is in the direction of realizing Ambani's ambition of doubling the enterprise value of the firm to Rs.7.4 trillion in less than 10 years.

2. Hyderabad airport seeks hike in levies to turn profitable faster

• Built by GMR group at a cost of Rs.2920 Crore.
• Planning to increase User Development Fee (UDF) from Rs. 340 to Rs.500 for Domestic Passenger, Rs.907 to Rs. 2825 for international passengers.


3. SBI overhauls IT operations to meet demand

• To cope up with an increasing number of electronic transactions
• Shifting data center from Belapur in Navi Mumbai to larger facility in Pune
• data recovery center from Chennai to one state.
• Trying to install router to handle multiple transaction in large numbers.
• Trying to put up 4000 more ATMS this year.

4. 3G auction drives expectation of mobile gaming firms

• PWC expects India will have 100 million 3G users by 2015 and mobile gaming industry is going to increase from 541 Crore to 1000 Crore in 2012 & to 3000 Crore by 2014.
• UTV software communications limited in tie up with BSNL has invested 341.25 Crore and are offering 250 games.

5. AMFI wants KYD norms for distributors

• The Association of Mutual Funds of India(Amfi), MF trade bodies, has now come up with know your distributors(KYD) norms for agents. Under the new norms all MF agents will need to register themselves again with MF's under the new format if they wish to continue to sell funds.

• As per the new norms, all agents will need to go personally so that their fingerprints would be recorded and they have to submit their permanent account number (PAN) card along with an address proof in the form of either a ration card, passport, bank account statement, voter identity card, electricity bill and so on.
• Existing agents are given the time till February 2011 to comply with the KYD norms.

6. Sun Pharma's investors will focus on its core business

• Sun Pharmaceutical Industries Ltd is splitting its Rs.5 face value shares into Rs.1 face value shares.
• Liquidity improves as there are more shares in circulation. Sun's share price has also reached the Rs.1,900 level and a split will lead to a lower share price, which does have a psychological effect.
• Sun's biggest win in fiscal 2011 is resolution of the Tero dispute, now it owns 53% of Tero's equity and 69% of its voting rights.
• Sun's share price rose by only 1.7% n 24 September, when the stock split was announced.

7. Tough Basel III regulations may hit Swiss banks

• Domestic regulations could dent Swiss banks competitiveness by setting prohibitive hurdles compared to those faced by other major international banks.
• International regulators this month agreed on tougher “Basel III” capital requirements for banks to protect against financial crises.
• Banks readily highlight the importance of financial services for the Swiss economy -about 12% of GDP, 200000 employees and 15% of national tax revenue. Overall banking assets are valued at eight times Switzerland's GDP.


Submitted By :-
Abhinav Kaul
Abhishek Singh
Aditya Garg
Section “H”