|
| Exchange Disseminated Time | HMT Ltd has informed BSE about the following:
During 2006-07, the machine tool subsidiary of the Company developed new machines to meet the burgeoning demand from defence, auto and auto ancillary sectors. New product development initiatives have been taken up in the tractor and watch business. HMT (International) bagged the order for setting up of SME Training Centre at Zimbabwe and would focus on the project and services business apart from export of Company's range of engineering goods.
The Company and Subsidiaries have formulated comprehensive revival plans aimed at improved performance and growth. The revival plan proposals of HMT Bearings Ltd and Praga Tools Ltd have been approved by the Government and are under implementation. The revival plan in respect of HMT Machine Tools Ltd has been sanctioned by the Government of India, which envisages financial support, waivers and concessions. The total financial package of Rs 880 Crore comprises financial support from GOI in the form of preference and equity share capital for meeting capital expenditure for modernization of the plants, training & re- training of the employees, technology acquisition and discharge of long term liabilities of the Company which will result in higher productivity of the plants and cost saving in the interest burden and help the Company become competitive in the market which has been registering an annual growth rate of 25% to 30% during the last 3 years.
The revival plan proposals of the Company and HMT Watches Ltd have been submitted to the Government and are awaiting approval.
The machine tool subsidiary, which supplies state of the art, high precision machine tools to defence, railways, auto ancillary sectors achieved a turnover of Rs 263 Crores thereby registering a growth of 7%. The tractor business of the Company recorded a turnover of Rs 228 Crore while the watch subsidiary registered turnover of Rs 44 Crore. HMT (International) and the Bearings Subsidiary recorded turnover of Rs 31 Crores and Rs 30 Crore respectively. The Company and the Subsidiaries are targeted to achieve sales of Rs 928 Crore during 2007-08. |
|
|