B U S I N E S S

ECB holds rates at record low, refuses to show hand on Greece
Frankfurt/Main, February 9
The European Central Bank held interest rates at a record low on Thursday, seeing tentative signs of economic stabilization, but refused to say what part it might play in averting a ruinous Greek default.

Microsoft to unveil Windows 8
San Francisco, February 9
Microsoft Corp on Wednesday revealed plans to unveil a test version of its latest Windows computer operating software later this month.

Etisalat writes off $827 million value against India operations
Dubai, February 9
Etisalat wrote off the $827 million value of its operation in India, a week after the country's Supreme Court ordered the cancellation of licences awarded during a scandal-tainted 2008 auction, including those held by the Gulf carrier's joint venture.

Jan exports up 10.1% 
New Delhi, February 9
India’s exports grew by 10.1 per cent year-on-year in January 2012 to $25.4 billion despite weak demand in western markets, reversing a declining trend shown since the peak of July 2011, according to the latest official data.

Tata-PepsiCo JV eyes Rs 700 cr sales by 2016
Chennai, February 9
Eyeing a turnover of Rs 700 crore in the next five years, NourishCo — a joint venture between Tata Global Beverages and PepsiCo India — today said it will expand its product portfolio of healthy products rapidly.

Sahara launches $25 bn JV with Turner of US
Mumbai, February 9
The Sahara Group on Thursday sewed up a joint venture with US-based Turner Construction and a private equity firm Acropolis Capital to undertake US $25 billion worth projects of Sahara Prime City over the next two decades.

QTLY Results
Tata Steel posts 1st quarterly loss
Mumbai/New Delhi, Feb 9
Tata Steel, the world's No. 7 steelmaker, posted its first quarterly net loss in more than two years, hit by higher raw material costs and weak prices in Europe. The company reported a net loss of Rs 6.87 billion for its fiscal third quarter ended December, compared with a net profit of Rs 9.49 billion a year earlier. After minority interest and share of associates, it reported a net loss of Rs 6.03 billion.

Dieter Zetsche (C), CEO of German auto giant Daimler AG, Andreas Renschler, head of the group’s truck division, and CFO Bodo Uebber smile as they pose next to a Mercedes-Benz SL 500 for a picture prior to the company's annual news conference in Stuttgart on Thursday. Daimler, which owns the Mercedes-Benz car group, said it achieved record sales and profits in 2011, its 125th anniversary year. — Reuters

ECB holds rates at record low, refuses to show hand on Greece

Frankfurt/Main, February 9
The European Central Bank held interest rates at a record low on Thursday, seeing tentative signs of economic stabilization, but refused to say what part it might play in averting a ruinous Greek default.

After days of delay, Greek political leaders clinched a deal on austerity measures needed to secure a bailout to keep the country afloat.

ECB president Mario Draghi said Greek Prime Minister Lucas Papademos had confirmed to him that the Greek parties had endorsed a deal, as demanded by their European Union and International Monetary Fund lenders, after days of delay.

"A few minutes ago I got a call from the prime minister of Greece saying that an agreement has been reached and has been endorsed by the major parties," Draghi told a news conference after the ECB left its main interest rate on hold at 1.0 per cent.

"I'm sorry to say I cannot say anything about how our holdings of Greek bonds ... will be treated," he said.

Draghi will attend a meeting of euro zone finance ministers later on Thursday to discuss a 130 billion euros Greek bailout.

Athens has urged the ECB to hand back profits on its Greek bond holdings, a move which could raise 12 billion euros or more to help fill a gap in its financing needs. As of Wednesday, the ECB's 23-member Governing Council had yet to agree a position.

While the ECB has ruled out joining private creditors in voluntarily accepting a reduction in Greek bonds' value, it could send Athens, via a roundabout route, the profits from bonds it bought at below face value.

Some ECB policymakers are reluctant for the bank to show a willingness to share in the restructuring burden for fear of easing the pressure on Athens to agree spending cuts. The ECB is also prisoner to the Maastricht Treaty, which forbids the central bank from financing governments.

"The question is whether ECB independence has a price tag." said ING economist Carsten Brzeski. "I think that the ECB taking a loss is out of the question - I'm looking for this to be confirmed, and maybe opening the door to eventually not taking a profit."

The euro moved higher against the dollar after Draghi confirmed that Greece had clinched a deal for emergency aid. It was last up 0.2 per cent at $1.3284, not far from a two-month high above $1.33 hit earlier. — Reuters

Microsoft to unveil Windows 8

San Francisco, February 9
Microsoft Corp on Wednesday revealed plans to unveil a test version of its latest Windows computer operating software later this month.

The US technology titan sent out invitations to a "Windows Consumer Preview" event to be held on February 29 at a hotel in Barcelona during a Mobile World Congress gathering in that city. Microsoft promised to release more information closer to the end of the month. The introduction of a test, or beta, version of Windows 8 to the public is expected to be accompanied by the opening of an "app store" stocked with mini-programs tailored for the next-generation operating system.

In December, Microsoft began wooing developers for a February opening of its first Windows Store intended to feature third-party applications crafted for computers powered by the US-based firm's software. It will take on Apple and Google in the booming market of fun, hip or functional programs built for smartphones, tablets and computers. — AFP

‘Iconic’ start button may be removed

Microsoft's iconic start button, which was introduced in Windows 95, is likely to be removed in the software firm's upcoming Windows 8 version, according to a report. The start button evolved to become the operating system's 'launchpad', offering access to software, files and search functions. According to leaked screenshots from the tech site, The Verge, earlier test versions of Windows 8 had flattened the recognisable 'orb', but the new build removes it altogether. — ANI

2G SCAM
Etisalat writes off $827 million value against India operations

Jan exports up 10.1% 

New Delhi, February 9
India’s exports grew by 10.1 per cent year-on-year in January 2012 to $25.4 billion despite weak demand in western markets, reversing a declining trend shown since the peak of July 2011, according to the latest official data.

But higher prices of petroleum and vegetable oils powered imports to a growth of 20.3%, to $40.1 billion, leaving a trade deficit of $14.7 billion, commerce secretary Rahul Khullar told reporters here on Thursday while releasing the provisional figures. According to him, the problems in the US and Europe are clearly weighing on India’s exports.

Export growth had hit a peak of 82% in July 2011, and has since slipped steadily — to 44.25% in August 2011, 36.36 per cent in September and 10.8% in October. Exports had grown by 6.7% year-on-year in December 2011. But export growth for the April-January period was a healthy 25% to $242.8 billion.

“What you are looking at now, is exports for the fiscal of around $300 billion, (and) imports at about $460 billion with a balance of trade of about $160 billion,” Khullar said.

In the April-January period, imports rose by 29.4 per cent to $391.5 billion, widening the trade gap to $148.7 billion. — PTI

Tata-PepsiCo JV eyes Rs 700 cr sales by 2016

Sahara launches $25 bn JV with Turner of US

QTLY Results
Tata Steel posts 1st quarterly loss