Billionaire investor Rakesh Jhunjhunwala & Sterling Holiday Resorts

Can any one imagine that I owned this stock for Rs "ONE".... Jhunjhunwala converts warrants into equity in Sterling Holidays

Bay Capital and other investor Radhakrishna Damani have also converted their warrants into stake

Press Trust of India / New Delhi Jul 23, 2012, 18:45 IST Billionaire investor Rakesh Jhunjhunwala has picked up an equity stake in Sterling Holiday Resorts India Ltd by converting the warrants, which he had subscribed in September last year. Similarly, the promoter cum a private equity firm Bay Capital and other investor Radhakrishna Damani have also converted their warrants into stake. The total value of these conversion is estimated to be around Rs 17.1 crore.

The company got its board of directors approval on Monday to allot 30,39,888 equity shares arising out of conversion of warrants issued on preferential basis. 
The warrants converted are from who invested around Rs 80 crore for a little over 14% stake in the company, last year. The converted shares would amount to around 4.87% of the total shares.
In September last year, Jhunjhunwala and investor Damani have invested around Rs 80 crore for a little over 14% stake in Chennai-based Sterling Holiday Resorts India Ltd, founded by timesharing veteran R Subramanian in 1986....................http://www.businessstandard.com/india/news/jhunjhunwala-converts-warrants-into-equity-in-sterling-holidays/179771/on

2004	17.10	26.80	7.56	19.45	68,29,580	31,877	11,80,73,000	19.24	2.35
2005	20.00	76.60	14.35	70.25	2,69,33,659	65,727	1,31,05,05,421	62.25	50.25
2006	71.00	145.20	36.00	64.65	3,09,11,501	1,14,363	2,59,27,14,923	109.20	-6.35
2007	65.00	83.25	36.00	83.25	3,28,48,174	1,22,646	1,84,69,74,039	47.25	18.25
2008	86.80	97.00	8.45	19.55	1,29,49,833	36,349	59,58,16,953	88.55	-67.25
2009	20.25	73.95	18.55	72.90	1,79,93,108	33,289	94,64,53,781	55.40	52.65
2010	72.55	111.70	66.15	80.75	3,03,71,567	96,927	2,68,26,30,201	45.55	8.20
2011	81.80	129.20	55.10	84.50	3,06,80,225	1,17,891	2,97,78,73,414	74.10	2.70
2012	85.00	106.00	72.20	87.00	1,42,68,820	53,806	1,27,51,35,683	33.80	2.00

Markets are for "Dreams of Execution"

In my latest Tweet told that the markets are headed for 4950 level which is still valid. As I mentioned in my earlier postings, the markets are positioned for a breakout .......... which side ???????????? Anybody's guess!!!!!!!!!!!!!!. For now don't short because of external steep falls due to EURO crisis.

I will favour Bears due to economic conditions, monsoon and liquidity crunch and other political instabilities. I am with BEAR's so long they KEEP NIFTY below the 5000 mark on closing basis. 

Technically the markets are still in bull grip.The DAX is in Bulls grip until it floats above 6130 - 6090 level. 

---

I offered my personal advice to buy on 1st June period and at the same time I asked to sell from 5335 till 5380 level ( During 1st week of July-12). 

Market participants very rarely utilize the opportunity market provides but every body speculate and live in "Dreams of Execution" after the events/news is known to every body. This type of thinking keep a HAPPY FEELING for being a market participant. I am no eception to this theory....This is universal...

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posted on 24th June Bammidi.NageswaraRao ‏@BNR STOCKS

GOOD NEWS FLOWING, MARKETS ARE AGAIN IN BULL GRIP.I ASKED TO BUY 4700 TO GET 5180 NOW BE CAUTIOUS AT 5280-5330 LEVEL TO TEST 4940-60 LEVEL.

posted on 7th June Bammidi.NageswaraRao ‏@BNRSTOCKS

NOT IN BULL GRIP BUT BULLS MANAGED TO BRING NIFTY TO 5030 SAFE ZONE LEVEL. MONDAY THE RISE IS STRONG,SHALLNOT FALL BELOW 4880 TO TEST 5365

posted on 5th June Bammidi.NageswaraRao ‏@BNRSTOCKS

THE FALL IN THE EUROPE IS DENTING OUR RISE BUT NOT TRIGGERED A STEEP FALL. NIFTY4800 IS A GOOD SUPPORT. ANY HOPE TO BULLS IS ONLY ABOVE 4989

posted on 28th May Bammidi.NageswaraRao ‏@BNR STOCKS

SO MARKETS ARE CONSOLIDATED FROM 4800 LEVEL. THOSE WHO BELIEVED SBI BUYING AT 1930 MADE A KILLING., HAS POTENTIAL TO TOUCH 2400

The Libor Fix

Satyajit Das | Agency: DNA | Sunday, July 22, 2012

Depending on context, the word ‘fix’ can mean ‘set’ or ‘determine’, ‘manipulate’ or ‘rig’ as well as ‘repair’ or ‘correct’. ‘In a fix’ means to be in difficulty. In colloquial use, ‘fix’ is a dose of an addictive substance that is habitually consumed. The current furore surrounding manipulation of money market rates contains all these meanings and more.

In June this year, UK and American authorities fined UK’s Barclays Banks £290 million ($450 million) for manipulating key money market benchmark rates, such as the London Interbank Offered Rate, or Libor, and Euro Interbank Offered rates, or EuroIBOR.

Barclays’ chief executive officer (CEO) Robert E Diamond Jr and chief operating officer Jerry del Missier were forced to resign. Barclays’ chairman Marcus Agius resigned but agreed to remain temporarily to find a new CEO.

Libor originally reflected the rates at which banks in the euro-dollar market lent surplus liquidity to each other. Demand for a standard benchmark for instruments based on money market rates led to the creation of the British Bankers’ Association (BBA) Libor fixings, which commenced officially in 1986.

Libor is defined as: “The rate at which an individual Contributor Panel bank could borrow funds, were it to do so by asking for and then accepting inter-bank offers in reasonable market size, just prior to 11.00 London time”. Each bank must submit a rate accurately reflecting its belief about its cost of funds, defined as unsecured interbank cash borrowings or fund raised through issuance of interbank certificates of deposit, in London as at the relevant time.

There are 150 different Libor rates published every day, covering 10 currencies (including US$, C$, A$, NZ$, Euro, £, yen and Swiss Francs) and 15 maturities (ranging from overnight rates to 12 months).

There are between 8 and 20 banks on each currency panel. Each bank provides its quote. The top and bottom 25% are ignored and the remaining quotes are averaged (the inter-quartile mean) to arrive at the quoted Libor. The process is overseen by the BBA but daily calculations are undertaken by Thomson Reuters, which publishes the rate after 11:00 am, generally around 11:45 am each trading day, London time.

The rates are a benchmark rather than a tradable rate. The actual rate at which specific banks will lend to one another varies. The rate also changes throughout the day.

Libor is used for loans, bonds (such as floating rate notes) and derivative transactions. The exact volume of transactions using Libor is unknown as most are over-the-counter (OTC) bilateral transactions. Estimates suggest that Libor is used to establish the interest costs of $10 trillion of loans, $350 trillion of OTC derivatives and over $400 trillion of euro-dollar futures and option contracts traded on exchanges.

Pre-2007, Barclays manipulated rates in order to obtain financial benefits. Subsequently, during the global financial crisis (GFC), Barclays manipulated rates due to reputational concerns.
The pre-2007 episode relates primarily to mismatches in banks’ asset and liabilities. For the most part, banks simultaneously borrow and lend money. In derivatives, they both receive and pay the same or similar rates. Mismatches may be deliberately created to increase profit. Mismatches also result from the natural flow of customer transactions.

Mismatches (known as reset risk) can be managed by entering into transactions such as reset swaps. Hedges are expensive and not always readily available. The incentive to manipulate rates for profit arises from these mismatches. The evidence is consistent with this pattern of activities.

On September 13, 2006, a trader in New York writes: “Hi Guys, We got a big position in 3m libor for the next 3 days. Can we please keep the libor fixing at 5.39 for the next few days. It would really help. We do not want it to fix any higher than that. Tks a lot”.

On October 13, 2006, a senior euro swaps trader states: “I have a huge fixing on Monday… something like 30bn 1m fixing … and I would like it to be very very very high… Can you do something to help? I know a big clearer will be against us… and don’t want to lose money on that one”.

On October 26, 2006, an external trader makes a request for a lower three-month US dollar Libor submission stated in an email to a trader at Barclays “If it comes in unchanged I’m a dead man”. 
Traders sought to fix the rate sets to increase the firm’s profits and ultimately their own bonuses. Following the request of October 26, 2006, Barclays submitted a three-month US dollar Libor quote that was half a basis point lower than that the day before. The external trader thanked the Barclays’ trader: “Dude. I owe you big time! Come over one day after work and I’m opening a bottle of Bollinger”.

During the GFC, the FSA alleges that Barclays sought to manipulate Libor to minimise reputational concerns about its financial position........................http://www.dnaindia.com/analysis/column_the-libor-fix_1718404

CONGRATULATIONS TO PRANAB SAB!!!!

BlackBerry to pay $147.2 million in damages!!!

There's an Indian hand in $147-mn patent blow to BlackBerry maker

Indira Kannan / Toronto Jul 22, 2012, 00:49 IST

There’s an Indian connection to the multi-million-dollar blow dealt to the ailing Canadian smartphone maker, Research In Motion (RIM), in an American court on Friday, July 13. A jury in San Francisco’s US Federal District Court of Northern California found the BlackBerry maker, guilty of infringing patents belonging to American firm Mformation Technologies and ordered RIM to pay $147.2 million in damages.

Mformation, a provider of mobile device management technology, and headquartered in Edison, New Jersey, was founded by Indian American Rakesh Kushwaha, who is currently the company’s chief technology officer. While Kushwaha was the lead inventor of the patents in question, Chief Scientist Badri Nath was listed as the co-inventor.The patents related to wireless mobile device management, and the software found to infringe Mformation’s patent was RIM’s BlackBerry Enterprise Server, used by corporate enterprise customers to manage and secure their BlackBerry devices. The patents were applied for in 2001 and awarded in 2005 and 2008.

In a statement after the verdict, Kushwaha said: “Mformation created the mobile device management category in the late 1990s and was innovating in this area well before most of the market understood the fundamental importance of wireless mobility management.”

Mformation’s President and CEO Todd DeLaughter told Business Standard: “With the court’s decision validating our pursuit of this case, our focus now is on bringing this chapter to an end for both companies, so we can focus on our core businesses.”

Responding to questions from Business Standard, a RIM spokesman said: “This technology is not core to RIM’s product line. RIM’s future products operate differently and are not the subject of a claim.”

Mformation had filed a suit in October 2008, alleging infringement of its patents by RIM after reportedly disclosing information about the technology to the Canadian company during potential licensing talks. Mformation alleged RIM did not purchase a licence but incorporated the patented technology after modifications.

The lead trial counsel arguing Mformation’s case in court was Amar Thakur, a San Diego-based attorney. He explained after the verdict that the jury’s award was for royalties on sales to non-government customers in the US. The award does not include future royalties, past and future US government sales, or past and future non-US sales, according to Mformation. The RIM spokesman also reiterated that any Mformation recovery could not include damages for sales outside the US or to government customers.http://www.businessstandard.com/india/news/there/s-an-indian-hand-in-147-mn-patent-blow-to-blackberry-maker/481094/

NEWS MAKERS...CEO's..

New Yahoo Chief Executive Marissa Mayer's compensation package could total more than $70 million in salary, restricted stock, and stock options over five years, according to a regulatory filing made by the company on Thursday.Mayer's pay package is broken out into $1 million in annual salary and $42 million in stock options and other awards, as well as $14 million in "make whole restricted options" for forfeiture of compensation from Google Inc. As the first female Google engineer and one of its earliest employees, Mayer's net worth is already estimated to be as much as $300 million.Yahoo's hiring of Mayer as CEO from Google earlier this week caught analysts, investors, and even some employees by surprise. Mayer, 37, edged out presumed front-runner and acting CEO Ross Levinsohn to become Yahoo's third CEO in a year.Industry observers believe Mayer's selection over Levinsohn is a signal that Yahoo is likely to renew its focus on Web technology and products rather than beefing up online content.http://economictimes.indiatimes.com/news/international-business/marissa-mayer-gets-70-mn-pay-package-to-lead-yahoo/articleshow/15049749.cms

20 JUL, 2012, 05.25AM IST, ULLEKH NP,ET BUREAU 

Meeting targets ainङt enough: Vivek Ranadivृ, TIBCO Software

NEW DELHI: In corporate America, an Indianorigin billionaire-entrepreneur is resetting the rules of employee appraisal. Vivek Ranadive, the founderchairman of TIBCO Software, recently sacked his America sales chief despite the Palo Alto, California-based infrastructure-software provider surpassing market expectations. He had to because he grades his employees in a very contrarian way. "If you do everything you are asked to do and you do it very well, you get a C," he says. "In order to be a superstar (to get an A or Aplus)," he says, "you have to do things that nobody asked you to do." 

When it comes to earnings, too, this Silicon Valley hotshot isn't happy with merely beating analysts' forecasts. "There is a very high bar for performance at TIBCO (much higher than analysts' expectations)," he told ET in an interview. 

After TIBCO announced it was removing Robin Gilthorpe as head of sales, Americas, Ranadive, who is widely credited with digitising Wall Street, said in a conference call with analysts that he was not happy with the way the company was performing for the past three or four quarters. "We felt that execution in other geographies like Europe and Asia was very strong. I felt we were leaving too much money on the table (in the American markets)." 

In fact, TIBCO grew really fast: its second-quarter sales grew 13% in the Americas compared with a 22% growth in Europe and 27% in Asia, beating analysts' forecasts. Its quarterly net profit rose to $26.5 million, or 16 cents per share, from $21 million, or 12 cents per share, a year ago, again, exceeding market expectations. Aaron Schwartz, a New York-based analyst at Jefferies & Co, said the "(TIBCO) management has pretty high internal expectations". 

"What we need is we need to execute faster," says the 54-year-old Mumbaiborn alumnus of MIT and Harvard Business School who in 2010 became the first person of Indian-origin to own an NBA team, Golden State Warriors. "We need to continue to focus aggressively on the Americas," adds Ranadive, whose best-selling books include The Power of Now and the Two-Second Advantage. 

TIBCO, which competes with the likes of Oracle and Progressive Software, plans to double its presence in Asia to rev up sales further, Ranadive said. It will also double its work force in India over the next 18 months. It has two offices in the country, in Pune and Hyderabad, he noted. 

Ranadive, a black belt in Taekwondo, says he plans to open gyms across the world to promote martial arts, including in India. He didn't elaborate because he thought it was too early to disclose details. Early this year, TIBCO launched a "Facebook" for participants of the World Economic Forum at Davos. Called TopCom, it is an exclusive, highly secure social networking site that helps global leaders interact with one another. 

A few years ago, celebrated author Malcolm Gladwell had written an article in New Yorker, titled "How David Beats Goliath", about Ranadive's "unconventional strategy" for winning, based on how he trained his daughter's basketball team to take on bigger teams.

http://economictimes.indiatimes.com/news/news-by-industry/jobs/meeting-targets-aint-enough-vivek-ranadiv-tibco-software/articleshow/15050440.cms

scandal .. manipulation is management??...NEVER..!!!

Libor scandal shows flaws in rate-setting

Even if banks do not deliberately manipulate the rates, the benchmark remains vulnerable

Peter Eavis & Nathaniel Popper / Jul 21, 2012, 00:54 IST It is an open secret in the banking world: the interest rates for many mortgages and loans are based on a benchmark that is largely guesswork. The flaws in the rate-setting process, used to determine the pricing for trillions of dollars of financial products, have been exposed by the latest banking scandal. Regulators around the world are investigating whether big banks gamed the rates for their own benefit before and after the financial crisis. But even if banks do not deliberately manipulate the rates, the benchmark remains vulnerable. Banks derive the rates from estimates, rather than real market data. So, the benchmark, a measure of how much banks charge each other for loans, does not necessarily represent actual borrowing costs. This weakness has only been exacerbated in recent years, as banks have mostly stopped lending to each other. The Federal Reserve chairman, Ben S Bernanke, told Congress this week that he did not have “full confidence” in the process, calling it “structurally flawed.” The troubles centre on a key benchmark known as the London interbank offered rate, or Libor. This rate and its variants are used to determine the prices for mortgages and other loans, and play a critical role in the multitrillion dollar market for the financial contracts called derivatives. The Libors are set every weekday around 11 am, a process overseen by the British Bankers’ Association. At that time, a group of big banks report how much interest they would pay to borrow money from other institutions over different periods and in different currencies. After removing the outliers, the remaining numbers are averaged to come up with the various rates. On Thursday, the three-month Libor, in American dollars, stood at 0.4531 per cent. But the precise rates have little basis in reality. Since the crisis, many banks have been content to park their cash with central banks, rather than lending it out to other institutions. That means there are few interbank transactions on which to base their Libors, according to bankers who operate in this market. “Libor was intended for an international lending market that has long since past,” said Pete Hahn, a finance professor at the Cass Business School in London. “The whole concept of interbank lending died after Lehman Brothers collapsed.”............................ http://www.businessstandard.com/india/news/libor-scandal-shows-flaws-in-rate-setting/481018/

EVERYWHERE RIGGING!! PROVED AGAIN AND AGAIN....

I USED TO TELL TO MY FRIENDS, EVEN NOW TRYING TO TELL EVERY BODY....RIGGING IS EVERY WHERE WHETHER SOMEBODY CAUGHT OR ESCAPED!!!- UNGRACEFULLY OR INTELLIGENTLY-------------------------IS ALWAYS THE QUESTION TO BE ASKED???????????!!!!!!!!!!!!!!!!!!...NOW EVERY PERSON BEING A PARTICIPANT CAN THINK, RECOLLECT THE EXPERIENCES OF RIGGING IN STOCK PRICES BE THEM PENNY STOCKS OR MARKET LEADERS... BUT THE FACT OF THE GAME IS THAT EVERY BODY IS ACCEPTING ONE FACT..."I CANNOT LIVE WITHOUT PARTICIPATING"

Libor Reported As Rigged In ’08 Proving 2012’S Revelation

By John Detrixhe - Jul 19, 2012 6:46 PM GMT+0530

Barclays Plc’s admission that it rigged the London interbank offered rate shows regulators, central bankers and politicians weren’t paying attention when everyone from Citigroup Inc. to theBank for International Settlements indicated that the measure was being manipulated.

The BIS signaled in March 2008 that the benchmark was being misstated. A month later, analysts at Citigroup suggested the same. In May of that year, one of Barclays’s own strategists said the numbers reported by banks “were a lie.”

Barclays’s acknowledgement that it submitted false rates during the height of the credit crisis cost Chief Executive Officer Robert Diamond and other top managers their jobs and cut the bank’s market value by about 4.4 billion pounds ($6.9 billion). In the U.K. and abroad, at least a dozen banks are being investigated for manipulating Libor. Mervyn King, theBank of England Governor since 2003, said this week that he only recently became aware of wrongdoing in the rate published by the British Bankers’ Association.......

http://www.bloomberg.com/news/2012-07-18/libor-reported-as-rigged-in-08-crisis-proving-revelation-in-12.html

LEADERSHIP FAILURES!!!!!!!

Five ways to deal with an incompetent team leader There are very few things at work worse than having to deal with an incompetent boss. But if you do, then take comfort in the fact that you are not alone. Start on a positive note No one wishes to be an incompetent or a bad boss intentionally. Says Makarand Khatavkar, MD & HR head for Deutsche Bank Group, India: "To begin with, try changing how you define a problem: if you define the problem as a person and not as a behaviour to be changed, you create an emotional impasse and close all doors to improving the situation." People cannot change who they are but almost anyone can change the way they act. If you internalise this principle, you can deal with anyone, he says. Give support to your boss Are you doing anything that is aggravating the problem? All managers are humans and are prone to human fallacies and they do need support of competent staff. "Generally speaking, most bosses are aware of their weak spots but may feel awkward to ask for help.  If you recognize your boss' limitations and support him in overcoming his challenges through your skills, knowledge and judgement, you will be valuable to your boss and gain a lot," advises Khatavkar. Get things in black and white When you're dealing with an incompetent boss, it's good to opt for the formal communication route. Such bosses tend to impose their faults on others. So the best way to protect yourself is to communicate in writing, for instance over email.  That way, it's on official record. "You need to have your safeguards inbuilt so you are not made a scapegoat," warns Symbiosis Management Consultants CEO Vinay Grover. Remember the context Very often, problematic behaviour triggers issues that we are sensitive to and provoke unhelpful reactions subconsciously. This means you cannot put the blame entirely on the incompetent boss. Says Khatavkar: "Contextual factors play a major role in your boss' performance.  Most importantly, do not make judgement about your boss based on what you know-you might be blissfully unaware of organisational realities and dynamics that your boss may never speak about. Please incorporate this X-factor before forming any opinion." Adjust to the situationIf nothing else, just lie low and adjust to the situation. "Make adjustments according to your boss' style to achieve organisational goals," says Vinay Grover. Figure out just what it is you have to deal with and work out your own coping tactics till the time you are ready to leave.http://economictimes.indiatimes.com/features/et-slideshows/five-ways-to-deal-with-an-incompetent-team-leader/quickiearticleshow/14794177.cms

ONMOBILE-‘weaknesses in processes’

Newsmaker: Arvind Rao

'Weaknesses in processes' oust risk-taker from own company

Bibhu Ranjan Mishra / Jul 13, 2012, 00:56 IST

During the heyday of mobile value-added-service (VAS) provider OnMobile, CEO and Managing Director Arvind Rao was known as a man with a Midas touch. on Thursday, he is no longer at the helm of the company, having resigned in ignominy under allegations of financial malfeasance within the firm which he, as CEO, has shouldered responsibility for. The company officially chose to describe the discovery as ‘weaknesses in processes’ — a declaration that came after a special review was completed by the company’s legal advisors, Amarchand Mangaldas and Suresh A Shroff, assisted by accounting firm KPMG.

Allowing Rao to leave was perhaps the best option available, since letting him continue would have raised further suspicion among shareholders at a time when share prices had already taken a beating.

People who know him closely say Rao was ambitious from the first day. During his days at Indian Institute of Technology-Mumbai, he came in contact with Nandan Nilekani, co-founder of Infosys, his batchmate. It was Nilekani and Phaneesh Murthy (then the head of global sales at Infosys) who were instrumental in attracting his attention to a product that a team at Infosys, headed by Mouli Raman (one of the founders of OnMobile, now designated interim CEO) was pursuing at the time.

Then, Rao went to the United States to study Masters in Business Administration in Finance from Wharton School, University of Pennsylvania, and subsequently a Master of Science from the University of Wisconsin. He had a successful career in private equity and venture capital businesses. He also enjoyed a stint at McKinsey & Co, where he focused on the electronics sector.

To what extent he is involved in breaching the corporate governance standards and processes at OnMobile is yet to be ascertained. But Rao’s role in grooming an idea into a product and making OnMobile one of the largest VAS players globally is not a question. It was his risk-taking appetite that prompted a motley collection of engineers at Infosys, part of the internet product group, to spin off into a separate entity, on Thursday known as OnMobile. His long association with technology companies in the US, where he was involved as an investor, helped OnMobile change its business model from one that leveraged a product initially sending alerts to websites — to a mobile alert system.

“There was no need to sort of go out and take a big risk with your life and your career,” said Rao in an earlier interview. “But something just bit me where I wanted to work for myself,” he adds. Finding the first customer for the product was a challenge. In 2002, Rao and co-founder Mouli Raman were seriously thinking of shutting after failing to detect much scope for growth.

“We never plan for revenues, we plan for products and we plan for product enhancements,” he says. “We believe that if you do that well, the revenues will happen,” he was quoted saying.

Now, however, OnMobile will need to plan on moving on without Rao, while dispelling any doubt about its corporate governance procedures, while he will focus on clearing his name.

http://www.businessstandard.com/india/news/newsmaker-arvind-rao/480299/

--------------------

MCA will look into allegations against OnMobile, says Moily

Yesterday, OnMobile's Managing Director and CEO Arvind Rao resigned from the post amid allegations of financial irregularity

Press Trust of India / New Delhi Jul 10, 2012, 17:26 IST http://www.businessstandard.com/india/news/mca-will-look-into-allegations-against-onmobile-says-moily/178091/on

PHARMA COMPANIES WILL DO WELL!!!!!!!!!!!!!!!!!!!!!!!!!!!!

Drug Sales In Emerging Markets To Match U.S. By 2016

By Drew Armstrong - Jul 12, 2012 4:30 PM GMT+0530

China, India, Brazil, Russia and 12 other emerging markets will make up almost one-third of global pharmaceutical spending within four years, as newly wealthy people and nations spend more on health care, a report shows.

Rising drug spending in 16 emerging pharmaceutical markets will lead the industry’s global sales growth by 2016, according to a report released today by the IMS Institute for Healthcare Informatics, a Parsippany, New Jersey-based research arm of drug sales analysis firm IMS Health Inc. As emerging markets grow, European government budget cuts and drugs losing U.S. patent protection will cut the buying power of those regions. “What’s driving it is the really strong economic growth across these markets,” Michael Kleinrock, director of research at the IMS institute, said of the emerging countries. “When millions of people come out of extreme poverty, they start to be able to afford basic medicines and services.”

In the U.S., the so-called patent cliff will peak in 2012 and 2013, with less than a 2 percent increase in U.S. drug sales those years, according to the report. America’s share of the projected $1.2 billion in worldwide drug spending in 2016 will fall to 31 percent from 34 percent in 2011. The EU and Japan’s spending also will decline to 23 percent of the global market in 2016 from 29 percent last year. The emerging markets will make up 30 percent of spending by 2016, compared with 20 percent in 2011. The report lists these countries as China, India, Brazil, Poland, Mexico, Romania,Turkey, Russia, South Africa, Thailand, Argentina, Indonesia, Egypt, Pakistan, Vietnam and Venezuela. Real Levi’s

Consumers in emerging markets have an appetite for products by brand-name and multinational generic drugmakers, Kleinrock said. “Their aspiration to get the real Levi’s instead of the fake is tangible. You see higher levels of branded generics.” Drugmakers led by Pfizer Inc. (PFE) are relying increasingly on those markets for growth. The New York-based company’s first- quarter revenue from Brazil, Russia, India, China, Mexico and Turkey grew 10 percent compared with a 15 percent decrease in U.S. sales, Pfizer reported.

Merck & Co. (MRK), meanwhile, saw its sales in emerging markets rise 11 percent while U.S. sales increased 7 percent, according to the company’s earnings filing.Generic drugmakers still make up the bulk of the sales in emerging markets, and have focused expansion efforts there. In April, Watson Pharmaceuticals Inc. (WPI) announced it would buy closely held drugmaker Actavis Group hf for 4.25 billion euros ($5.6 billion) to expand its reach in Europe and Asia. The move gives Watson, the third-biggest generic drugmaker by revenue, access to markets in China, India and Eastern Europe, according to Michael Faerm, a Credit Suisse analyst in New York. 

Latin America

Harald Stock, chief executive officer of closely held Grunenthal Group in Aachen, Germany, said his company is looking for acquisitions in Latin America, the main source of the generic drugmaker’s growth. He sees “sustainable” growth in the economies there. “It’s not an emerging market anymore,” Stock said in an interview in New York. In one respect, though, these countries are behind the U.S., EU, and Japan. Developed markets still spend far more per person on drugs than the 16 emerging countries in the IMS report. U.S. consumers will spend $892 per person on drugs in 2016 and Japan $644 a person, while $180 per person will be spent for medicines in Brazil and $33 in India, according to the report.

To contact the reporter on this story: Drew Armstrong in New York atdarmstrong17@bloomberg.net

To contact the editor responsible for this story: Reg Gale at rgale5@bloomberg.net

http://www.blogger.com/blogger.g?blogID=349357092995168227#editor/target=post;postID=4431111360879471263

Focused MIND, YIELD very good results...

The fundamental SUCCESS principles are what make us today, are the software of our mind.It keeps the person running. So the software should be of the latest version, updated properly to make the  the latest  build available for usage. This starts with POSITIVE PARENTING THAT BECOMES INSPIRING PARENTING.They are always good things available in life to carry for the next day and to the rest of the life.
FOCUSED DETAILED DEEP UNDERSTANDING OF THE DEVELOPMENTS HAPPENING INTERNALLY AND EXTERNALLY HELPS TO BUILD A GOOD "MIND SOFTWARE"-MANAGES THE FUTURE BETTER THAN BEFORE.

Ratan Tata....FAILED TO IMPLEMENT...

Ratan Tata regret: 'Transparency' failure

AGENCIES

Posted: Monday, Jul 09, 2012 at 1621 hrs IST

New Delhi: Tata group Chairman Ratan Tata says he regrets not having been been able to make the conglomerate a "truly open, flat, transparent organisation".

"Perhaps internally, I have not been able to create the truly open, flat, transparent organisation that I had hoped we could do," Tata said when asked what he could not do that he wanted to during his tenure as the head of the Tata group.

Tata said his group, which was "a traditionally manufacturing company in a sellers market", did not succeed in "really embracing the customers' values".

The Tata group was dragged into the 2G spectrum allocation controversy after the tapes of corporate lobbyist Nira Radia were leaked to the media. The three licenses of Tata Teleservices were among the 122 licenses cancelled by the Supreme Court earlier this year.

Tata, however, hoped that he would be able to pass on the legacy to successfully move ahead without compromising value system and ethics.

"I think what I want the legacy to be would be to say that we achieved the growth and the prosperity that the group has had with the value system and ethical standards that we have tried to retain and not succumb to the pressures of, the subjective pressures that exist to get things done," Tata said in a TV interview.

Dwelling further on inability to achieve his goals, Tata said: "...I think we haven't, as a group been able to touch the levels of the population that I had hoped, the Nano is one example."

Serving the bottom of the pyramid in India with affordable products is a real and ongoing challenge and the Tata group has not succeeded in being innovative enough, he said.

Tata, who is set to step down in December from the helm of the USD 100 billion conglomerate, said that after retirement he would spend time on philanthropic activities related to rural development, water conservation and nutrition to children and pregnant women.

"I am going to continue to be the chairman of the foundation. I will focus on rural development, conservation of water and my most visible goal is to do something in nutrition for children in India and pregnant mothers. Because that would change the mental and physical health of our population in years to come," he added.

Tata group, through its various charitable initiatives, spends about 4.5 per cent of its net profit on philanthropic activities, Tata said.

Tata said India has two to three major social challenges such as energy and infrastructure, which were going to be stumbling blocks of progress if not dealt with. "...and the other is going to be water. We have inadequate system of conserving rain water...four-fifths of our rain water runs off into the sea," he added.

Tata said with consumption of underground water for agriculture, the country is going to have serious water issues sooner or later.

Amid the challenges, Tata said India's ever growing population, which was once considered to be a problem, is turning out to be an advantage for the country.

"Population is said to be a problem. Today it seems to be a bonus...Earlier over-population was considered to be a curse, it's not so today," he said, however, adding it was a double edged sword.

Tata said by 2035, India would have the largest working class population that would be an asset.

"At the same time you have to feed, you have to educate and you have to give jobs to all these people," he said, adding if it were to be done, it would become a major challenge and catastrophe.

"So, it's a two edged sword. If it is pursued correctly and dealt with correctly, it is an issue with tremendous power," Tata said.

http://www.financialexpress.com/news/ratan-tata-regret-transparency-failure/972114/0

BLOOMBERG REVEALED 4 YEARS AGO!!!!!!!!!!!!!

BREAKING: Barclays Revealed Libor Scandal Four Years Ago

By Jonathan Weil Jul 7, 2012 3:35 AM GMT+0530

How's this for prescient?

Check out the first couple of paragraphs of a Bloomberg News article from May 29, 2008, underthe headline, "Libor Banks Misstated Rates, Bond at Barclays Says." (Yes, the article ran more than four years before Barclays's $453 million settlement last month with U.S. and U.K. authorities for manipulating Libor.) The story begins:

About Jonathan Weil

Jonathan Weil joined Bloomberg News as a columnist in 2007, and his columns on finance and accounting won Best in the Business awards from the Society of American Business Editors and Writers in 2009 and 2010.

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Banks routinely misstated borrowing costs to the British Bankers' Association to avoid the perception they faced difficulty raising funds as credit markets seized up, said Tim Bond, a strategist at Barclays Capital.

"The rates the banks were posting to the BBA became a little bit divorced from reality," Bond, head of asset-allocation research in London, said in a Bloomberg Television interview. "We had one week in September where our treasurer, who takes his responsibilities pretty seriously, said: 'right, I've had enough of this, I'm going to quote the right rates.' All we got for our pains was a series of media articles saying that we were having difficulty financing."

Later, the article says:

Barclays Plc, the U.K.'s third-biggest bank and parent of Barclays Capital, quoted three-month dollar rates to the BBA that averaged 7 basis points more than those of their peers in the first week of September. Barclays dropped 9.1 percent on the London Stock Exchange that week, compared with the 5.5 percent decline in the 59-member Bloomberg Europe Banks and Financial Services Index.

"Other banks tried to push their head above the parapet on occasions as well, but with every attempt you were met with a lot of rumor and innuendo,'' Bond said in the interview. ``It wasn't a very easy environment.''

Bond's TV appearance came the same day as a front-page Wall Street Journal article that showed several large banks, including Citigroup Inc. and JPMorgan Chase & Co., had been "reporting significantly lower borrowing costs" for Libor "than what another market measure suggests they should be." (The market measure the Journal cited was the cost for credit-default insurance.) Both articles came up during discussion at a July 4 hearing where former Barclays Chief Executive Officer Robert Diamond testified to a U.K. parliamentary panel.

"So in May 2008 you have a strategist in your own organization who is stating that these borrowing costs have been misstated," said Jesse Norman, a member of the Treasury Select Committee, after reading aloud from the Bloomberg article. "How could it be possible that you couldn't have been aware of it at that time and indeed actively under some internal obligation to launch an investigation?"

Diamond dodged the question. "This isn't just Barclays, and you keep coming back to Barclays," he said. To which Norman replied: "Well, that's the institution for which you were responsible."

Later Diamond said to Norman: "I'm not excusing that behavior. But I think it's also appropriate for the committee to step back and say that it was a financial crisis and that there are broader industry implications. And all I'm saying is look at the behavior of Barclays in the context of what we did about it once we found out."

It doesn't look good. As Bloomberg View noted in an editorial today, Diamond claimed at the hearing that he learned only last month about e-mails showing that his bank had made false submissions on interest rates used to set Libor. Hmm.

(Jonathan Weil is a Bloomberg View columnist. Follow him on Twitter.)