I wanted an emotional component to Bond’s character: Director

ICICI Bank net drops 27.4% to Rs 651.8 cr....

EMI- a film on loans and recovery....

Global crisis hits India where it hurts most: Dip in exports...

Interest rates are likely to moderate in coming months: SBI

NEW DELHI, Oct 27: Largest public sector lender State Bank of India today said interest rates have peaked and now borrowers could see some softening of rates in the coming months mainly due to steps taken by the Reserve Bank and Government to infuse liquidity.

"Interest rates have peaked. You could see some moderation in coming months," SBI Chairman O P Bhatt told reporters here after announcing nearly 40 per cent increase in net profit during second quarter ended September 2008.

Asked about whether the bank intends to cut its lending and deposit rates, he said, at the moment "status quo" will be maintained.

On the interest rate outlook, Bhatt said, inflation is moderating and there is adequate liquidity with the banking system. "In this context interest rates in short term is likely to be stable while in medium term it would moderate," he added.

The bank has not slowed down lending because of liquidity problem, Bhatt said, adding advances during the second quarter jumped up by whopping 162 per cent to Rs 51,020 crore.

Following global financial meltdown and outflow of FII money from India RBI has reduced mandatory deposit that bank keep with the central bank unlocking Rs 1,00,000 crore and simultaneously reduceding the benchmark short-term lending rate (repo) by 100 basis points to ease the liquidity.

In addition to the measures taken by RBI, Government has raised the allocation for various schemes by making provision for additional cash outgo of Rs 1,05,000 crore for various scheme in the first batch of supplementary demands for grants, which was approved by Parliament last week. (PTI)

ICICI Bank’s UK subsidiary posts USD 35 mn loss

MUMBAI, Oct 27: Amid criticism of its exposure to ‘toxic’ assets abroad, India’s largest private sector lender ICICI Bank today said its UK subsidiary has registered a USD 35 million (around Rs 160 crore) net loss for the half year ended September 30 on account of higher provisioning in its investments abroad.

"After making the required provisioning on our investments abroad, our UK subsidiary has made a net loss of USD 35 million...(however) as on September 30, the net NPAs of this unit is zero," ICICI Bank’s Joint Managing Director Chanda Kochhar told reporters here.

The UK subsidiary has a total deposit base of USD 4.9 billion as at September-end, out of which 39 per cent constituted term deposits, Kochhar said.

For the second quarter, the lender posted a marginal rise of 1.1 per cent in its net profit at Rs 1,014 crore from Rs 1,003 crore in the same quarter in the previous fiscal while the total income rose to Rs 9,712 crore as compared with Rs 9,588 crore.

In the face of challenging market conditions, the bank has been closely monitoring all segments of its operations to maintain credit quality and sustain growth in key sectors, Kochhar said.

"We are monitoring all portfolios very closely. Retail lending still constitutes 55 per cent of our total advances...We haven’t seen any major changes (in bad assets) in the last quarter," Kochhar said. (PTI)

Suzlon suspends Rs 1,800-cr rights issue plan

MUMBAI, Oct 27: Wind power major Suzlon Energy today said it will suspend the Rs 1,800-crore rights issue plan due to uncertain capital market conditions.

"In view of the current capital market environment; it has been decided to suspend the rights issue," Suzlon Energy said in a filing to the Bombay Stock Exchange.

Last month the Suzlon board had approved the raising of Rs 1,800 crores through allotment of shares to existing shareholders on rights basis.

"... The proposed suspension shall not impact the original plans of the company," the filing added.

Further, the company said it will suspend the process of negotiation to conclude a "domination agreement" with REpower.

Last month, Suzlon had entered into an agreement with Portugal-based Martifer for acquisition of the latter’s 22.48 per cent stake in REpower Systems for euro 270 million. The acquisition would have consolidated Suzlon’s total holding in REpower to about 90 per cent.

(PTI)

BHEL, DVC, CIL set up Industrial Training Centre in WB

NEW DELHI, Oct 27: State-run power equipment maker Bharat Heavy Electricals today said it is setting up an industrial training centre at Bolpur in West Bengal.

"BHEL is setting up Industrial Training Centre (ITC) at Bolpur in West Bengal alongwith Damodar Valley Corporation (DVC) and Coal India Ltd (CIL)," a company statement said.

This institute, which is being developed at a cost of Rs 23 crore, would provide a pool of talented youth with enhanced skills, it said.

BHEL, DVC and CIL will provide part financial support to the venture, while technical guidance and support would be extended by BHEL and Central Electricity Authority (CEA).

These institutes are being developed for suitable industrial employment and to generate good human resources for industries in the 11th (2007-12) and 12th (2012-17) Five Year Plans.

To manage setting up an operation of ITC, a society of members from BHEL, DVC, CEA, CIL and Government of West Bengal has been registered under the West Bengal Societies Registration Act, 1961. (PTI)

I wanted an emotional component to Bond’s character: Director

NEW DELHI, Oct 27: James Bond, the fictional spy would now be seen in an avatar that is more emotional and humane in ‘Quantum of Solace’ the latest movie on the secret agent scheduled for release early next month.

Director Marc Froster says he wanted to experiment with the character of the elusive secret agent and bring out a new Bond different from the on-screen image established by his predecessors.

"Change is always for good and it seemed interesting to experiment. I wanted to bring more of an emotional component to the Bond movie," Froster told PTI through email.

Froster, who is known for making sensitive and character-driven films like Oscar winning ‘Monster’s Ball’ and ‘Finding Neverland,’ admits that directing ‘Quantum of Solace" was one of the biggest challenges of his career.

"The biggest challenge ever for me was to keep the legacy going as there were lots of expectations," he says.

The latest James Bond adventure, which is releasing in India on November 7, is one of the longest running series in the film history with 22 films.

Among other changes that he has introduced in the movie Froster has done away with trademark catch-phrases like ‘My name is Bond, James Bond’ and the famous one-liners about having his martinis ‘shaken, not stirred’ in the film which is a sequel to ‘Casino Royale.’

"Phrases like "The name is Bond,James Bond," and "shaken, not stirred" are immortal, but then why not try something real new with the grandest ever Bond film?" Froster quips.

He, however, clarifies that removing these catch-phrases was not a deliberate decision.

"There was a ‘Bond, James Bond’ in the script. There are several places where we shot it, but it never worked out as we hoped. I just felt that we should cut it out and Barbara Broccoli and Michael Wilson (the film’s producers) agreed. But trust me, we were not being stubborn on this," Froster says.

When asked whether there was any apprehension while removing these immortal lines from the film and Froster admits that the producers were initially reluctant.

"At first discussion with the producers and all of them were like should we or shouldn’tt we? But everyone knew what we were going ahead with. It was Bond of the new era that we were looking ahead," Froster says adding there wasn’t much fuss about it in the end.

The new changes that have been introduced are in keeping with the new look of the whole film. "The producers wanted to have the franchise go in a different direction. Last time, they took a risk with Daniel Craig in the film. That was a success, so this time they felt they could take it to another step and see how it goes with another filmmaker," he adds.

But what Froster was not sure was whether he would be able to do justice to one of the most legendary characters in the history of cinema.

"I was a director with no experience of action, whose successes have almost exclusively been character-driven dramas. Actually, even the thought of directing an action movie was much more intimidating to me," he says.

Talking about film’s impending India release, Froster says, "India is a niche market for Hollywood films now. People appreciate our hardwork and that really boosts our morale."

The director says that the decision to release the film in phases was to get in tune with feedback. (PTI)

ICICI Bank net drops 27.4% to Rs 651.8 cr....

MUMBAI, Oct 27: ICICI Bank’s consolidated net profit dropped 27.4 per cent to Rs 651.48 crore in the July-September quarter, although total income grew by nearly 13 per cent to Rs 15,590.46 crore.

The consolidated figures include results for the bank as well as its subsidiaries, including ICICI Bank UK, and insurance, brokerage and mutual fund businesses.

On standalone basis, the country’s top private sector lender said profit after tax rose to Rs 1,014 crore, up by a modest 1.1 per cent on a year-on-year basis.

The bank’s unconsolidated total income rose to Rs 9,712.13 crore in the quarter under review from Rs 9,588.41 crore in the same period last year.

The company’s core operating profit rose to Rs 2,437 crore in Q2-2009, from Rs 1,712 crore in year-ago period.

The bank said that its operating expenses dropped by 12 per cent due to its cost-rationalisation measures and its capital adequacy ratio currently stands at 14.01 per cent.

The bank said that its current and savings account deposits rose 16 per cent to Rs 66,914 crore at the end of September quarter, up from Rs 57,827 crore a year ago.

However, its total deposits fell marginally on a year- on-basis due to reduction in term deposits, the bank said.

The bank and its subsidiaries have entirely exited their non-India linked credit derivatives portfolio at no incremental loss over and above the provisions already made.

ICICI Bank UK’s profit before mark-to-market impact and provision on investments was USD 43 million for H1-2009. After the provisioning charge related to its investment portfolio, including the MTM impact of credit spread widening during the period, ICICI Bank UK reported a net loss of USD 35 million.

"ICICI Bank UK’s capital position continued to be strong with a capital adequacy ratio of 18.4 per cent at September 30, 2008," it noted, adding that ICICI Bank UK had zero net non-performing assets at the end of the quarter.

ICICI Bank Canada’s profit after tax for the six months ended September 30 was 22 million Canadian dollars.

The bank’s net interest income rose by 20 per cent to Rs 2,148 crore, while fee income increased by 26 per cent to Rs 1,876 crore.

The bank said that it has expanded its network to 1,400 branches and 4,530 ATMs. The consolidated advances of the bank, its banking subsidiaries and ICICI Home Finance Company increased by 16 per cent to Rs 264,665 crore.

ICICI Bank’s NRI remittance volumes increased by 38.2 per cent to Rs 11,946 crore.

On a standalone basis, the bank’s net non-performing advances rose to Rs 4,232.9 crore in the quarter under review from Rs 2,970.9 crore in the year-ago period. The bank said that specific provisions for NPAs, excluding the impact of farm loan waiver, were Rs 868 crore in the second quarter compared to Rs 878 crore in the previous quarter. (PTI)

EMI- a film on loans and recovery....

NEW DELHI, Oct 27: With credit cards, loans and a recovery agent- Easy Monthly Installments (EMI) the Bollywood movie starring Sanjay Dutt would hit theatres soon in the backdrop of a financial meltdown and a crisis looming large over banks and credit card industry.

"Liya Hai To Chukana Padega!" (If you have got the loan, you have to repay) depicts Sanjay Dutt in the role of a loan recovery agent and Urmila Matondkar as a super-sweet next door girl in a plot that portrays contrasting characters who spend without thinking."

After playing a super-vamp in ‘Karzzzz’, Matondkar enacts a light hearted comedy based on a very serious issue.

"Both are different characters. In ‘Karzzzz’, it was a negative role but in this film I am playing Prerna, who’s husband dies and she needs money to take care of herself and her daughter. So she takes a loan," she says.

"I have not done any film to prove myself as an actress. I chose roles from my conviction and self belief. Even I have not taken loans and don’t know about EMIs much, I enjoyed doing the film and I am sure people will like it," she adds.

‘Easy Monthly Installments’ (EMI), which also stars Arjun Rampart, Aashish Choudhary and Maliaka Arora Khan, is a tale of the interconnecting characters coming from different strata and styles who live off credit cards and personal loans, and it takes recovery agent, Sattar Bhai (Sanjay Dutt) to make them realise their blunder.

Slated for release this month, the film is directed by debutante Saurabh Kabra and music by Chirantan Bhatt with Sanjay Dutt lending his voice to the title track.

Film director Saurabh Kabra says he wanted to release the film around festivals when people do more shopping so that they can relate to the film. "We don’t want to give any message but the film is on a subject which is very real and the scenes will make audiences in two minds before going for a loan next time."

When asked why he chose Dutt for the role of a loan recovery agent, the director says, "Only Sanjay could have done justice to the role. He suits the image of a bhai. If he asks somebody to pay the money back to banks, I don’t think anyone can dare to say no."

Adds Urmila, "Sanjay has matured as an actor. He is getting better and better with age. It was a big challenge for me to act opposite such a great talent."

Aashish Choudhary, who is playing a contemporary, hard working and ambitious executive in the film, says, "I am from a very middle class family. My dad started with scratch. I bought everything, from television to car, by taking loans and paying in easy installments. For me, EMIs translated my career into a success. I have not yet faced the harsh realities behind the loan recovery methods. May be because I am not a defaulter." (PTI)

Global crisis hits India where it hurts most: Dip in exports...

NEW DELHI, Oct 27: Global economic crisis has hit India where it hurts the most as over a dozen job-oriented export sectors slipped into disarray showing up to 70 per cent negative growth last month over a year-ago period.

Alarmed by sharp decline in export value in tea (-20 per cent), handicrafts (-70 per cent), carpets (-32 per cent), oil meals (-50 per cent), man-made yarn (-17 per cent), cotton yarn (-19 per cent) and marine products (-19 per cent), the Commerce Ministry is likely to recommended lifting of export curbs on items like steel and agro products.

At a high-level meeting, convened by Commerce Secretary G K Pillai on October 24, it was pointed out that the government needs to "re-look" at all the export restrictions.

"The global financial crisis is significantly impacting the Indian exports and the impact could be more in the coming days," an official involved in stock-taking exercise said.

With several sectors putting up a dismal show, the overall export growth in September this fiscal plunged to a little over 10 per cent from 26.9 per cent in August.

Exports for the April-August period had shown growth of 35.1 per cent.

The US and the 27-nation European Union bloc, two of the largest markets for Indian exports, are in the midst of the worst economic crisis since Great Depression of the 1930s.

The volume of decline in the international trade is also reflected in the crash in the shipping rates. Rates for bulk cargo have dropped by nearly 50 per cent.

Ironically, dismal export performance in September - figures for which are yet to be officially released - has come about in the face of close to 25 per cent depreciation in rupee value. A declining rupee results in better realisations for the exporters. (PTI)

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