Tata Motors

Tata motors may fall below 100 soon....

Posted by : marketman

Auto major GM tradingat its 70 year low and other car major FORD trading at its 26 year low.... thanks to americans buying the cars only on credit....

Tata motors may fall below 100 soon....

Posted by : sambala

Tata tightens belt, puts companies on diet

The $62.5 billion Tata Group, which made headlines for its big ticket mergers and acquisitions in the past two years, will now “put on hold any plans for acquisitions unless considered strategically critical,” said an email from Ratan Tata to the top management of the group’s 98 companies and its elite decision making body, the Group Corporate Centre.

In this November 6 email, Tata has also directed managing directors and chief executive officers of all companies to “expeditiously finalise pending loan and funding agreements, even if they involve accepting higher interest rates”, while predicting a tough 12 months ahead.

“Some of our companies with substantial foreign operations or those which have made substantial acquisitions are already facing major problems in raising capital and establishing lines of credit for their operations,” the email stated.

Tata Steel acquired UK-based Corus Group in January 2007 for $12 billion and has resulted in Tata Steel being riddled with high debt ever since. As on March 2008, the company had total bank borrowings of more than Rs 38,000 crore, a 15-fold jump in one year.

Similarly, Tata Motors acquired marquee brands Jaguar and Land Rover (JLR) from the United States-based Ford Motor Corp in March 2008 for $2.3 billion. Now, the company`s balance sheet is weighed down by JLR’s $383 million loss in Jan-June 2008 period.

When contacted, a Tata Sons spokesperson said, “The senior management of the Tata Group companies have been advised to be sensitive and conscious of the difficult financial circumstances existing today and have been requested to be proactive to focus on cash flow and conserve expenditure wherever prudently possible.”

Tata was also pessimistic of an improvement in the next one year. "Liquidity will continue to remain a major problem, accompanied by a depression in consumer demand," his email stated.

"Each of our companies needs to undertake a critical review of their cash flow requirements (and) business plans with defined strategies needed to operate in this difficult period.

"Failure to manage this crisis," he warned "could result in irretrievable positions."

Tata has also urged the management of each company and its subsidiaries to form a small management task force to put together a plan for cutting costs by January 2009 with stated time bound tasks and targets.

coming maket hope for tata motors?

Posted by : Guest

I alrready have tata motors shares.I want to know what step shall i take with this?

TATA has become ATTA

Posted by : MBMSR

Kindly explain the other two erms . cost of purchase is understood." cost of purchase + cost of funds+ Carrying cost".
Thanks

TATA has become ATTA

Posted by : ppsiras

My dear friend TATA MOTORS touched 997 in 2006 only. Were you sleeping at that time. In share mkt avg price means cost of purchase + cost of funds+ Carrying cost. Just take a look at how the prices moved from 1990.

Yearly High Lows
Year High Low
1990 1,270.00 110.00
1990 1,270.00 110.00
1991 347.50 73.75
1991 347.50 73.75
1992 595.00 215.00
1992 595.00 215.00
1993 377.50 155.00
1993 377.50 155.00
1994 615.00 405.00
1994 615.00 405.00
1995 682.00 374.00
1995 682.00 374.00
1996 567.50 284.25
1996 567.50 284.25
1997 471.75 253.00
1997 471.75 253.00
1998 327.50 91.50
1998 327.50 91.50
1999 325.50 126.50
1999 325.50 126.50
2000 258.30 90.55
2000 258.30 90.55
2001 113.90 58.00
2001 113.90 58.00
2002 173.40 96.50
2002 173.40 96.50
2003 459.50 147.75
2003 459.50 147.75
2004 570.00 330.40
2004 570.00 330.40
2005 666.80 402.25
2005 666.80 402.25
2006 997.00 610.25
2006 997.00 610.25
2007 974.80 616.15
2007 974.80 616.15
2008 816.00 130.25
2008 816.00 130.25

HEY...... HEY........HEY....

Posted by : sambala

GM failure: The shockwave

If General Motors declares bankruptcy, industry watchers say, the entire domestic auto industry could be badly hurt.

NEW YORK -- If General Motors really does run out of money by the end of the year, as it predicted was possible, the impact would be felt far and wide - to hundreds of suppliers, rival automakers and ultimately dealers across the nation.

"Once the first domino falls, it rapidly takes out all the other dominoes," said Dennis Virag, president of the Automotive Consulting Group.

Impact on dealers
A GM failure would also affect about 14,000 dealers in the United States, according to the industry newspaper Automotive News. That is almost half of the nation`s 29,000 dealerships that specialize in domestic vehicles.

But even if those 14,000 GM dealers also offer foreign cars, the risk of losing their supply of domestic vehicles could force many of them out of business, said Paul Taylor, an economist with the National Automobile Dealers Association. Already, he noted, the industry is expected to lose about 700 dealers by the end of this year, up to 80% of which will be domestic-brand stores.

Car companies are wary of publicly discussing the possibility of financial disaster because it makes it harder to sell the cars that are on dealer lots today, said consultant Virag. Customers don`t want to buy from a company they fear may soon be insolvent.

"It`s a difficult situation that the automakers are in," said Virag. "To talk about bankruptcy would only exacerbate the situation, but not talking about it isn`t helping."

But whether a bankruptcy would help suppliers and everyone dependent upon GM is still uncertain.

If it is determined that GM could file for bankruptcy under Chapter 11 rules, rather than a Chapter 7 liquidation, the automaker could potentially reorganize. That way the company could seek permission to pay outstanding bills to "critical suppliers" that it absolutely needs, said Robert Sanker, a Cleveland bankruptcy attorney who has represented creditors of bankrupt auto suppliers.

Still, Sanker said, relatively few suppliers would be granted "critical supplier" status in court, leaving many more that would have payments cut off.

And GM is says it is not considering Chapter 11, but rather is continuing to seek government assistance. "Bankruptcy reorganization is not an option for GM because it would create more problems than it would solve," said spokesman Dan Flores

Suppliers would be among the first to feel those effects since GM only manufactures the body, the engine and the transmission used in its cars.

In the United States alone, GM spends $31 billion on parts from 2,100 different suppliers. These include the "direct suppliers" involved in producing a vehicle - those that provide everything from steering wheels and seatbelts to brakes and airbags - as well as "indirect suppliers" - those that make things such as gloves, protective eyewear, shop rags and lightbulbs.

Although lawmakers appear to be souring on providing a $25 billion bailout to automakers, the impact of a GM failure on the industry as a whole - and therefore the economy as a whole - is weighing heavily in their decisions.

So far this year, 23 major auto-related companies, most of them parts suppliers, have filed for bankruptcy, according to consulting firm Grant Thornton. They are struggling since car makers have cut back as sales have slowed and raw-material prices have risen.

"I would argue that in today`s environment, with the stress that`s already on the supply base, they can`t take another hit," said Kimberly Rodriguez, a principal at Grant Thornton`s automotive practice. "The ripple effect would be huge," she added.

Impact on rival car makers

As supplier companies fail, that would have a direct impact on Ford and Chrysler, since the three domestic auto manufacturers share about 70% of their suppliers, Rodriguez estimated.

TATA has become ATTA

Posted by : kishgoldsmith30

But the 52week highest was around 770.31 and how come you have bought if for Rs800, RIPLEY`S BELIEVE IT OR NOT!!!!

TATA MOTORS TO INTRODUCE AIR CAR

Posted by : ppsiras

India’s largest automaker Tata Motors is set to start producing the world’s first commercial air-powered vehicle. The Air Car, developed by ex-Formula One engineer Guy Nègre for Luxembourg-based MDI, uses compressed air, as opposed to the gas-and-oxygen explosions of internal-combustion models, to push its engine’s pistons. Some 6000 zero-emissions Air Cars are scheduled to hit Indian streets in August of 2008 The Air Car, called the MiniCAT could cost around Rs. 3,50,000 ($ 8177) in India and would have a range of around 300 km between refuels.The cost of a refill would be about Rs. 85 ($ 2}
There are no keys - just an access card which can be read by the car from your pocket. According to the designers, it costs less than 50 rupees per 100Km (about a tenth that of a petrol car). Its mileage is about double that of the most advanced electric car (200 to 300 km or 10 hours of driving), a factor which makes a perfect choice in cities where the 80% of motorists drive at less than 60Km. The car has a top speed of 105 kmph. Refilling the car will, once the market develops, take place at adapted petrol stations to administer compressed air. In two or three minutes, and at a cost of approximately 100 rupees, the car will be ready to go another 200-300 kilometers.

TATA has become ATTA

Posted by : Guest

I had bought 5000 shares of TATA MOTORS at an avg price of Rs 800. Now it is going to touch 80. I think - - no I am sure that, people like me will not be able even to buy a shadow of Tata Nano.