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UPDATE 1-Enel sees Russia earnings up 5 fold by 2014

July 7, 2010 By vani Leave a Comment

MOSCOW, July 6 (Reuters) – Italian power group Enel SpA (ENEI.MI) sees earnings at its Russian unit OGK-5 (OGKE.MM) growing five-fold by 2014 amid favourable market conditions, it said in a presentation on Tuesday.

The company, which has a 55.86 percent stake in OGK-5, said the unit’s earnings before interest, tax, depreciation and amortisation (EBITDA) would rise to 471 million euros ($632 million) in 2011 from 184 million in 2009.

It added OGK-5′s EBITDA was forecast to reach 1.08 billion euros in 2014, while reiterating a pledge to invest around 1 billion euros in the company over a five year period.

“Market fundamentals are favourable (in Russia) especially when compared to the rest of the world,” head of the international division Carlo Tamburi told an audience of analysts in the Russian capital.

Russia’s power industry has been overhauled by a major liberalisation programme over the past decade. Enel and Germany’s E.ON AG EONG.DE took control of OGK-5 and OGK-4 (OGK4.MM), respectively.

Enel, Europe’s second-biggest utility by installed capacity but also its most indebted, is planning a 3 to 4 billion euro IPO of its renewable energy unit to pay down borrowings. [ID:nLDE6581NK] (Reporting by John Bowker and Ben Judah; Editing by David Holmes) ($1=.7453 Euro)

Filed Under: International News Tagged With: Amortisation, borrowings, david holmes, EBITDA, Enei, Enel, Enel Spa, Energy Unit, Interest Tax, IPO, Italian Power, John Bowker, Judah, Market Fundamentals, Power Group, renewable energy, reuters, Russian Capital, Tamburi, Tax Depreciation

Malaysia’s Axiata to sell 4.2 bln rgt sukuk in July

June 23, 2010 By vani Leave a Comment

June 22 (Reuters) – Malaysia’s No. 2 telecoms firm Axiata (AXIA.KL) will issue 4.2 billion ringgit ($1.32 billion) of sukuk by end July to refinance existing debt, its chief financial officer said on Tuesday.

Financials

Axiata’s unit Celcom Axiata Bhd will issue the Islamic bonds with tenor of 5, 7 and 10 years, Yusof Annuar Yaacob said.

“Credit markets being reasonably buoyant domestically, we’ve decided to use the opportunity to basically lengthen our tenor from the two years to the 5, 7 and 10 (years) and at the same time, get a fixed rate facility as opposed to floating,” Yusof told Reuters by telephone.

“Interest rates have moved up twice in Malaysia so we think it’s probably a good time to start locking in long-term rates.”

The sukuk would be based on the commodity murabaha structure, he said. CIMB (CIMB.KL) and the investment banking arm of top lender Malayan Banking Bhd (MBBM.KL) are handling the deal.

Axiata had said in January it could sell Islamic bonds to refinance about 4 billion ringgit of borrowings. [ID:nSGE60K0AP]

($1=3.186 Malaysian Ringgit)

(Click on [ID:nISLAMIC] for more Islamic finance stories and ISLAMIC for a speed guide) (Reporting by Liau Y-Sing; Editing by Julie Goh) ((y-sing.liau@thomsonreuters.com; +603 2333 8083; Reuters Messaging: y-sing.liau.reuters.com@reuters.net)) ((If you have a query or comment on this story, send an email to news.feedback.asia@thomsonreuters.com))

Filed Under: International News Tagged With: 10 years, bonds, borrowings, chief financial officer, commodity, credit markets, Email News, Fixed Rate, Goh, good time, interest rates, Investment Banking, islamic finance, reuters, Send An Email, Send Email, speed guide, Sukuk, Telecoms, tenor

Zoellick says debt restructure could help in eurozone

June 10, 2010 By vani Leave a Comment

June 9 (Reuters) – Europe must address a debt crisis and if a euro zone country is unable to repay its debts a managed restructuring could generate confidence in financial markets, the president of the World Bank said on Wednesday.

Global Markets

In a speech to German conservatives in Berlin, World Bank President Robert Zoellick noted that some people feared a restructuring for one country could set off a contagion that would make it harder for others to roll over debts.

“These are serious concerns. Yet investors’ lack of confidence in debtors could lead them to back away for good, leaving more and more of the debts to be assumed by other European governments or the ECB,” Zoellick said.

“The uncertainty about who will pay and how they will pay can exacerbate and spread fears — sweeping along other countries, or banks, that would otherwise be able to manage given discipline and time,” he added. “One needs to consider these issues carefully, case-by-case.”

“If it becomes clear that a particular debtor cannot pay back its borrowings, a managed restructuring, combined with financial support, can create confidence that growth can be restored,” he said in the text of remarks prepared for delivery.

Zoellick also said it was understandable that German citizens would object to bailing out other European countries that have been living beyond their means but he was confident Germany would make an integrated Europe work.

“Germany and Europe must address a debt crisis,” he said. (Writing by Paul Carrel)

Filed Under: International News Tagged With: borrowings, contagion, Debt Crisis, Debt Restructure, Debtor, debtors, debts, Euro Zone, european countries, European Governments, financial markets, German Citizens, global markets, Paul Carrel, President Of The World, President Robert, reuters, Robert Zoellick, serious concerns, World Bank president

Asset Acceptance Capital Corp. Secures Amended Credit Facility

June 5, 2010 By vani Leave a Comment

Substantially expands capacity under revised covenants
WARREN, Mich.–(Business Wire)–
Asset Acceptance Capital Corp. (NASDAQ: AACC), a leading purchaser and collector
of charged-off consumer debt, today announced that it has reached an agreement
with its lenders on an amendment to its existing senior secured credit facility.
The updated revolving credit facility expands the Company`s borrowing capacity
from approximately $37 million as of March 31, 2010 to $65.9 million based on
the add-back of certain charges.

Rion Needs, President and Chief Executive Officer, commented, “Working
collaboratively with our lenders, we have amended our credit facility to loosen
its most restrictive covenants. The amended credit facility nearly doubles our
capacity, enabling us to meet our purchasing goals for 2010 as pricing remains
attractive, as well as execute against our long-term growth strategy. We
appreciate the continuing support of our lending group which we believe is an
endorsement of the company’s strength and growth strategy.”

The amendment, entered into on Friday, May 28, 2010, modifies the terms and
certain other provisions of the facility. The agreement amends certain
definitions in the Credit Agreement to provide the Company with relief on the
financial covenants with respect to fourth quarter 2009 non-cash impairment
charges on purchased receivables and potential charges and losses, including
defense costs resulting from the Federal Trade Commission`s investigation of the
Company`s debt collection-related practices. The amendment also increases the
rate of interest the Company pays on certain types of borrowings under the
Credit Agreement at certain leverage ratios. These conditions, as well as other
material provisions of the amended credit facility, are described in the
company’s 8-K filing that will be filed later in the day with the Securities and
Exchange Commission.

As previously disclosed, on April 6, 2010, the FTC delivered a letter to the
Company which stated its view that the Company may have engaged in certain
violations of the FDCPA, FTC Act and FCRA laws, offered it an opportunity to
resolve the matter through consent negotiations, and forwarded a proposed
consent decree. The amendment adds back to Adjusted EBITDA and Consolidated Net
Worth for purposes of financial covenant calculations the aggregate amount of
the Company`s losses and charges from the FTC investigation mentioned above,
capped at $7.0 million in total for purposes of the credit agreement. The
Company is currently unable to estimate the potential liability for this matter.

Needs commented, “We continue to maintain an open dialogue with the FTC since
receiving their communication in early April. We will continue to work
diligently to resolve this matter with the FTC and hope to provide an update in
the next several quarters.”

About Asset Acceptance Capital Corp.

For more than 45 years, Asset Acceptance has provided credit originators, such
as credit card issuers, consumer finance companies, retail merchants, utilities
and others an efficient alternative in recovering defaulted consumer debt. For
more information, please visit www.AssetAcceptance.com.

Asset Acceptance Capital Corp. Safe Harbor Statement

This press release contains certain statements, including the Company’s plans
and expectations regarding its operating strategies, charged-off receivables and
costs, which are forward-looking statements and are made pursuant to the safe
harbor provisions of the Private Securities Litigation Reform Act of 1995.
Forward-looking statements include reference to the Company`s presentations and
webcasts. These forward-looking statements reflect the Company’s views,
expectations and beliefs at the time such statements were made with respect to
such matters, as well as the Company’s future plans, objectives, events,
portfolio purchases and pricing, collections and financial results such as
revenues, expenses, income, earnings per share, capital expenditures, operating
margins, financial position, expected results of operations and other financial
items. Forward-looking statements are not guarantees of future performance and
involve certain risks, uncertainties and assumptions (“Risk Factors”) that make
the timing, extent, likelihood and degree of occurrence of these matters
difficult to predict. Words such as “anticipates,” “believes,” “estimates,”
“expects,” “intends,” “should,” “could,” “will,” variations of such words and
similar expressions are intended to identify forward-looking statements. There
are a number of factors, many of which are beyond the Company’s control, which
could cause actual results and outcomes to differ materially from those
described in the forward-looking statements. Risk Factors include, among others:
ability to purchase charged-off consumer receivables at appropriate prices,
ability to continue to acquire charged-off receivables in sufficient amounts to
operate efficiently and profitably, employee turnover, ability to compete in the
marketplace and acquiring charged-off receivables in industries that the Company
has little or no experience. These Risk Factors also include, among others, the
Risk Factors discussed under “Item 1A Risk Factors” in the Company`s most
recently filed Annual Report on Form 10-K and in other SEC filings, in each case
under a section titled “Risk Factors” or similar headings and those discussions
regarding risk factors as well as the discussion of forward-looking statements
in such sections are incorporated herein by reference. Other Risk Factors exist,
and new Risk Factors emerge from time to time that may cause actual results to
differ materially from those contained in any forward-looking statements. Given
these risks and uncertainties, investors should not place undue reliance on
forward-looking statements as a prediction of actual results. Furthermore, the
Company expressly disclaims any obligation to update, amend or clarify
forward-looking statements.

Victoria Sivrais
FD
312-553-6715 / victoria.sivrais@fd.com

Filed Under: International News Tagged With: Asset Acceptance Capital, Asset Acceptance Capital Corp, Borrowing Capacity, borrowings, chief executive officer, Consumer Debt, Deliv, federal trade commission, Financial Covenants, growth strategy, impairment charges, Lending Group, Leverage Ratios, nasdaq, rate of interest, receivables, Restrictive Covenants, revolving credit facility, securities and exchange commission, today announced that

Mortgage stress rising along with rates

May 6, 2010 By vani Leave a Comment

There are fears the Reserve Bank’s rapid succession of interest rate rises will lead to more young Australians being crippled by mortgage stress.

Yesterday the Reserve Bank (RBA) moved rates up 0.25 percentage points to 4.5 per cent – the sixth increase in eight months.

The rises come on the back of record low interest rates during the global financial crisis.

Aussie Home Loans chief John Symond says many people have been unprepared for the recent spate of rate rises.

“That’s the unfortunate downside in borrowing money, particularly at a cycle where we were having interest rates at historic lows and now very rapidly interest rates have been increased by the Reserve Bank,” he said.

“Six increases in the past seven meetings is very rapid and it’s probably faster than the RBA or banks expected interest rates to rise and it certainly caught a lot of borrowers unawares.

“There’s a lot of pain out there at the moment and the conception of the consumers is that these rates – if they go up further and they probably will – we could end up in trouble.”

Mr Symond is certain borrowers will start to default on their mortgages.

“I’ve got no doubt because credit was pretty free and easy. A lot of those borrowers had not put in a lot of deposit so they are exposed to a lot of borrowings and they’re now feeling the pinch in having to find an extra $100 a week out of their pay packet,” he said.

“That’s a lot for an average family when food prices have been going up, petrol prices have been going up.

“Historically when interest rates go up you have more people struggling, more people defaulting and more people being forced to sell their homes.”

‘Over-exaggeration’

But the Mortgage and Finance Association of Australia’s chief executive, Phil Naylor, says most buyers should be prepared for the rises.

“It might impact on people who are operating very much at the margin, but our research shows that 80 per cent of respondents in our last survey said they are easily making their repayments on their home loans and that was compared to only 67 per cent a year ago,” he said.

“It’s probably a bit of an over-exaggeration to say that there are large numbers out there suffering from mortgage stress, but the potential is that if interest rates do continue to rise, those figures may not be as rosy down the line.”

He says most lenders would have been more responsible in recent years when giving out home loans.

“If [borrowers] did take a loan out in the last two years, lenders in the last two years have been much tighter about their lending criteria,” he said.

“I’m pretty certain that all major lenders and other lenders as well would have put in a factor of at least 1.5 to 2 per cent as a buffer so that in other words they wouldn’t have lent them money two years ago if they thought the borrower couldn’t continue to service the loan if rates were 1.5 to 2 per cent higher.”

‘Too fast, too soon’

But Mr Symond says he thinks RBA governor Glenn Stevens pushed rates up too fast too soon.

“The Reserve Bank governor consistently says gradual increases are necessary, but that gradual was thrown out the window and they’ve consistently upped them. Six increases out of seven meetings isn’t my definition of gradual,” he said.

Mr Symond says hopefully the RBA will put the brakes on further increases in the coming months.

But he says more rate rises are inevitable.

“They are now going to become very hawkish and concentrate on inflation and if our inflation numbers trend up, interest rates will continue to trend up and hopefully we’ll have a couple of months without further increases, but you should factor in at least another two or three 25 basis point increases later this year,” he said.

Meanwhile, both Mr Symond and Mr Naylor say borrowers who are worried about defaulting on their mortgage should speak to their lenders.

“Those people who feel they are really getting close to getting into trouble, don’t wait to get into trouble,” Mr Symond said.

“Put your hand up, contact your lender. The last thing the bank or any lender wants to do is see a customer default and at worst lose their home.

“The sooner you can go in and talk with the lender, explain the circumstances, the better the chance to reconfigure the loan, to renegotiate, to give you the best chance to make sure you get through this.”

Filed Under: International News Tagged With: Borrowing Money, borrowings, Chief John, feeling the pinch, Finance Association, Food Prices, global financial crisis, home loans, Interest Rate Rises, low interest rates, lows, Mortgage Stress, naylor, no doubt, pay packet, petrol prices, rapid succession, RBA, spate, Unfortunate Downside

Reserve Bank engaged in keeping inflation low

September 1, 2009 By admin Leave a Comment

New Delhi, Aug. 31 (ANI): Reserve Bank of India’s Deputy Governor K C Chakrabarty on Monday said the bank is faced with the challenging task of keeping inflation in check, when food price inflation has already reached around 10 percent.

“The food price inflation is already around 10 percent. Our key challenge is how to keep the inflationary pressure low,” he said while speaking at an event of the Institute of Banking.

He dwelt on a range of issues from drought to interest rates to government borrowings, and said the country would continue to grow at 6 percent-plus.

However, he pointed out that if the “drought affects the agriculture growth, it will partly affect the growth number”.

Commenting on interest rates, he ruled out any further cuts and said the central bank could even reverse its expansionary stance if the drought-induced inflationary prices go out of control.

“I don’t think today anybody is expecting interest rates to come down further,” he said.

Admitting the huge government borrowing to have exerted some pressure on interest rates, which have “already gone up a little-bit,” he said he expects interest rates to be stable as of now. (ANI)

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Air India employees on hunger strike over non-payment of salary

August 25, 2009 By admin Leave a Comment

New Delhi, Aug 25 (ANI): Employees of India’s flagship carrier Air India are on a three-day hunger strike from today over delay in payment of their salaries.

“Over 20,000 members of the Aviation Industry Employees Guild (AIEG) and the Air Corporation Employees Union (ACEU) and some other unions from across the nation have decided to go on hunger strike from today, as the management is rigid over payment of our salaries,” said J B Kadian, general secretary, ACEU.

Last Friday, the meeting of the unions with the Air India CMD in Mumbai failed to reach any conclusion. The next round of meeting is scheduled to be held here this afternoon.

The employees threatened that they would again go on strike on August 31 if their negotiations with the management fail.

Earlier, employees had gone on a two-hour-long protest over non-payment of wages.

The unions had earlier called off their proposed strike on June 30 after the management had agreed to pay the salaries of 70 per cent of workers.

Civil Aviation Minister Praful Patel had said the government cannot bail Air India out every time, and it is time for the flagship carrier to tighten its belt and resolve its financial woes.

Air India’s borrowings have risen from Rs.6, 550 crore in November 2007 to Rs.15, 241 crore in June this year. (ANI)

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Government set to spend more to boost economic growth: Mukherjee

July 11, 2009 By admin Leave a Comment

New Delhi, July 11 (ANI): Union Finance Minister Pranab Mukherjee on Saturday said that the government would resort to more borrowings to increase ‘public expenditure’ for a higher economic growth.

The minister said this while addressing the Central Board of Directors of the Reserve Bank of India here in the national capital on Saturday.

“Obviously I choose to come back to the path of our growth trajectory. And as the private investment cannot be expected to meet the full requirement in immediate time, that’s why it was decided to step up the public expenditure and it had to be depended heavily on larger borrowing, but we will manage it with the cooperation and support and competence of RBI,” Pranab Mukherjee said.

“There should not be any apprehension that private sector would be crowded out. We will meet requirements of the private sector from the market and government borrowing will be managed in such a manner that there is no deception in the market in favour of government’s borrowings,” he added.

Earlier on July 2, the finance ministry had said that growth could rise to 7 percent this year-towards the high end of the range of private forecasts-and subsequently increase to 8.5 to 9 percent if the government adopted sweeping reforms and accelerated infrastructure development.

The government had slashed factory duties and stepped up public spending to pump the economy as the growth rate tripped to 6.7 percent in 2008-09 from 9 percent or more seen in the previous three years. (ANI)

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Air India employees go on two hour protest over non-payment of wages

July 3, 2009 By admin Leave a Comment

Mumbai, July 3 (ANI): Employees of India’s flagship carrier Air India have commenced their two-hour-long protest over non-payment of wages on Friday afternoon, even as the airline management sternly warned that it would take action against them.

In a letter to all employees, Air India’s Chairman and Managing Director, Arvind Jadhav, said: “The gravity of the situation has not seemingly sunk in all of us. Many of us continue to believe that our financial requirements can be met by taking loans endlessly and that the financial situation is not that grave. Considering the critical financial state of the airline, we should all be prepared to face the impact of harsh decisions that will be required to be taken to meet the current situation. There can be no escape from harsh realities. We also need to make a choice between austerity and oblivion.”

The unions had earlier called off their proposed strike on June 30 after the management had agreed to pay the salaries of 70 per cent of workers by today.

The Air India management warned its employees of wage and allowance cuts if they participated in the protest.

Aviation Industry Employees Guild (AIEG), Air Corporation Employees Union (ACEU) and some other unions walked out of their offices nationwide and stage demonstrations on Friday, besides threatening to boycott their meetings with the management.

In Mumbai, an airline spokesman said steps were being taken to ensure smooth operations across all airports in view of the proposed agitation.

Passengers travelling on the airline were critical of the walk out, saying it was uncalled for when everyone knew that the airline was deeply in the red.

Civil Aviation Minister Praful Patel has said the government cannot bail Air India out every time, and it is time for the flagship carrier to tighten its belt and resolve its financial woes.

Air India’s borrowings have risen from Rs.6, 550 crore in November 2007 to Rs.15, 241 crore in June this year.

He said that the airline has been asked to prepare a restructuring plan in the next 30 days.

In reply to a question in the Lok Sabha, Patel said the borrowings have gone up largely due to servicing of debt on account of purchase of new aircraft and its operating losses, which have compounded due to the present economic recession and the high oil prices last year.

He said the National Aviation Company of India Limited (NACIL) has been advised to formulate “a concrete proposal for equity induction and provision of loans”.

Patel also made it clear that there was no plan to retrench any employee of Air India. (ANI)

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No plans to retrench AI employees: Praful Patel

July 2, 2009 By admin Leave a Comment

New Delhi, July 2 (ANI): Civil Aviation Minister Praful Patel on Thursday clarified that there will be no retrenchment in Air India, and added that Air India has been asked to provide a restructuring plan in next 30 days.

A threat had been looming over employees of the national carrier, which has a total staff strength of around 23,000. It is facing a major financial crisis, following the global economic slow down, high fuel prices and operating costs.

“The airline has been facing a financial crunch for the past few years. Its borrowings have risen steeply from Rs.6550 crore in November, 2007 to Rs.15241 crores in June, 2009. This has been largely due to servicing of debt on account of purchase of new aircraft as also operating losses which have compounded due to economic recession and high oil prices,” Praful Patel informed Lok Sabha.

There were fears that Air India would retrench some employees to cut operational costs, but the minister made it clear that there was no plans to retrench any employee, rather they would be looking forward to the restructuring plan that the airline would be submitting in a month’s time.

Meanwhile, the earlier decision of paying the salaries by July 15 has been reconsidered by Air India, as it announced that they were working on the formalities to disburse salaries to lower grade employees by Friday.

“Air India is working towards paying wages and salaries to its employees in the lower grades on July 3, as part of the decision finalised at a meeting with the unions last week,” an airline spokesperson said. (ANI)

Filed Under: International News Tagged With: air india, borrowings, Civil Aviation, crore, crores, economic recession, finalised, financial crisis, financial crunch, Formalities, fuel prices, lok sabha, National Carrier, new aircraft, oil prices, operational costs, praful patel, retrenchment, staff strength, wages and salaries

Digital Realty Trust, L.P. Prices Private Offering of 5.50% Exchangeable Senior Debentures…

April 15, 2009 By admin Leave a Comment

Digital Realty Trust, L.P. Prices Private Offering of 5.50% Exchangeable
Senior Debentures Due 2029

SAN FRANCISCO, April 14 /PRNewswire-FirstCall/ — Digital Realty Trust, Inc.
(the “Company”) (NYSE: DLR), announced today that its operating partnership
subsidiary, Digital Realty Trust, L.P. (the “Operating Partnership”), priced a
private placement of $260 million aggregate principal amount of 5.50%
Exchangeable Senior Debentures due 2029 (the “Debentures”). The Operating
Partnership has granted to the initial purchasers of the Debentures a 30-day
option to purchase up to an additional $40 million aggregate principal amount
of Debentures to cover over-allotments, if any. The Debentures will be senior
unsecured obligations of the Operating Partnership, will be fully and
unconditionally guaranteed by the Company and will be exchangeable for shares
of the Company’s common stock.

The Company intends to utilize the net proceeds from the offering to
temporarily repay all or a portion of its borrowings under its revolving
credit facility, to acquire additional properties, to fund development and
redevelopment opportunities and for general corporate purposes. The Company
intends to reborrow amounts under its revolving credit facility from time to
time to acquire additional properties, to fund development and redevelopment
opportunities and for general corporate purposes.

The Debentures will be exchangeable at any time prior to the close of business
on the second scheduled trading day immediately preceding the maturity date
for shares of common stock of the Company at an initial exchange rate of
23.2558 shares per $1,000 principal amount of Debentures. The initial exchange
price of $43.00 represents a 20% premium over the last reported sale price per
share of the Company’s common stock on the New York Stock Exchange on April
14, 2009, which was $35.83 per share. The initial exchange rate is subject to
adjustment in certain circumstances.

Prior to April 18, 2014, the Debentures will not be redeemable at the option
of the Operating Partnership, except to preserve the Company’s status as a
real estate investment trust. On or after April 18, 2014, the Operating
Partnership may redeem all or a portion of the Debentures at a redemption
price equal to the principal amount plus accrued and unpaid interest, if any.

The holders of the Debentures may require the Operating Partnership to
repurchase all or a portion of the Debentures at a purchase price equal to the
principal amount plus accrued and unpaid interest, if any, on the Debentures
on each of April 15, 2014, April 15, 2019 and April 15, 2024, and upon certain
specified events.

The Debentures will be sold to qualified institutional buyers in reliance on
Rule 144A under the Securities Act of 1933, as amended (the “Securities Act”).
The Debentures and shares of common stock issuable upon exchange of the
Debentures have not been registered under the Securities Act or any state
securities laws and may not be offered or sold in the United States absent
registration or an applicable exemption from registration requirements. The
Company will file a registration statement regarding resales of the shares of
common stock of the Company issuable upon exchange of the Debentures with the
Securities and Exchange Commission within 270 days of the closing of this
private placement. This release shall not constitute an offer to sell or a
solicitation of an offer to buy any of these securities, nor shall it
constitute an offer, solicitation or sale in any jurisdiction in which such
offer, solicitation or sale is unlawful.

Safe Harbor Statement
This press release contains forward-looking statements, including statements
related to the offering and the expected use of the net proceeds, which are
based on current expectations, forecasts and assumptions that involve risks
and uncertainties that could cause actual outcomes and results to differ
materially. These risks and uncertainties are described in the reports and
other filings by the Company with the United States Securities and Exchange
Commission, including the Company’s annual report on Form 10-K for the year
ended December 31, 2008. The Company disclaims any intention or obligation to
update or revise any forward-looking statements, whether as a result of new
information, future events or otherwise.

http://www.digitalrealtytrust.com

For Additional Information:

A. William Stein Pamela Matthews
Chief Financial Officer and Investor/Analyst Information
Chief Investment Officer Digital Realty Trust, Inc.
Digital Realty Trust, Inc. 415-738-6532
415-738-6500

SOURCE Digital Realty Trust, Inc.

A. William Stein Chief Financial Officer and Chief Investment Officer,
+1-415-738-6500, or Pamela Matthews, Investor/Analyst Information,
+1-415-738-6532, both of Digital Realty Trust, Inc.

Filed Under: International News Tagged With: Additional Properties, Allotments, borrowings, common stock, corporate purposes, Debentures, Digital Realty, Initial Exchange, Initial Purchasers, maturity date, New York Stock, New York Stock Exchange, Nyse, Operating Partnership, Private Placement, PRNewswire, Realty Trust Inc, Redevelopment Opportunities, revolving credit facility, York Stock Exchange

NTPC reports 5.56% net profit; plans Rs. 17,700 capital expenditure in 2009-10

April 9, 2009 By admin 1 Comment

According to the Wednesday announcement from National Thermal Power Corporation (NTPC), the companys year-on-year net profit figures for the fiscal ending March 2009 rose 5.56 percent, after deducting Rs. 1,400 crore for the employees wage revision in 2008-09.

Putting for the precise figures at the annual press briefing on Wednesday, NTPC Chairman and Managing Director, R. S. Sharma, told reporters: NTPCs profit after tax for 2008-09 is Rs. 7,827.4 crore against Rs. 7,414.80 crore in the previous fiscal. We made a provision of Rs. 1,400 crore for the wage revision announced recently otherwise our profit after tax would have crossed the Rs. 8,000-crore-mark!

The state-owned utility, which supplied 29 per cent or 206.94 billion units of the total electricity generated during 2008-09, has reportedly planned a capital expenditure of Rs. 17,700 crore in 2009-10. The company also intends raising a Rs. 8,500 crore loan from a public sector bank, as well as importing 12.5 million tonnes of coal to improve the domestic supply and demand equation.

Outlining the NTPC borrowings during the current fiscal, Sharma put the figures at Rs 11,330 crore, which the company would be spending for upgrading its capacity by 3,300 MW. In fact, during the ongoing Five-Year Plan period – from 2007 to 2012 NTPC is looking at a capacity addition of nearly 22,430 MW.

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ICICI Bank urges government to unveil borrowing plans

April 5, 2009 By admin Leave a Comment

Kolkata, April 4 (IANS) India’s largest private lender ICICI Bank Saturday urged the government to spell out ‘how it plans to manage its borrowings’.

‘There are concerns on the impact the government borrowings will have on liquidity, pushing up interest rates,’ K.V. Kamath, managing director and chief executive of ICICI Bank, said at the convocation of the Indian Institute of Management here.

He said the government should articulate ‘how it plans to manage its borrowings along with measures to encourage external inflows into the country through channels like foreign currency deposits by non-resident Indians’.

Kamath, who will step down as the CEO next month, said the regulatory system should be strengthened.

‘There is a need to strengthen regulatory oversight, address large and systemically important institutions including non-banking financial institutions and develop healthy market structure,’ he said in his address.

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Indian economy will recover quickly, says RBI Governor

March 29, 2009 By admin Leave a Comment

New Delhi, Mar 27 (ANI): Reserve Bank of India (RBI) Governor Dr. Duvvuri Subbarao said that although it is uncertain as to when Indian economy will recover, when it does it will be sharper and quicker than other economies of the world.

“It is not clear when recovery will start, but when recovery starts around the world and in India, India’s recovery will be sharper and swifter than elsewhere in the world,” Dr. Subbarao said in the course of his address at a seminar hosted by the Confederation of Indian Industries (CII) here last evening.

He also dispelled fears of getting into a deep deflationary cycle.

“Our own view is that this is statistical. There is no fear of sustained deflation in India. I think our inflation dimension is quite healthy. There is no concern about our getting into a deep deflationary cycle,” added Dr. Subbarao.ince October, the RBI has slashed its main lending rate by 400 basis points to shield the economy from the global financial crisis and also to shore up activity.

In this context, Dr. Subbarao said that 2009-10 would be a challenging period unless business confidence and investment are revived. Further, he said that cuts in policy rates needed to flow through to the broader economy.

India’s wholesale price index rose by 0.27 per cent on March 14, below the previous week’s annual rise of 0.44 per cent, government data showed on Thursday.

The Government has decided to tap markets for 2.4 trillion rupees of borrowings in the first half of 2009-10, two-thirds of its projected record borrowings for the full fiscal year that will commence on April 1.

Nonetheless, the government contends that India as Asia’s third-biggest economy has grown by about seven per cent in the fiscal year that ends on March 31, its slowest pace in six years, after growing at rates of nine per cent or more in the last three years.

Gross borrowings for 2008-09 have more than doubled to 3.06 trillion rupees this year. (ANI)

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Centre relaxes debt relief norms, allows States to borrow an extra Rs 30,000 crore

January 29, 2009 By admin Leave a Comment

New Delhi, Jan.29 (ANI): The Centre, operationalising its second stimulus package aimed at boosting the economy, on Thursday relaxed the debt relief guidelines and allowed states to borrow an additional Rs 30,000 crore to step up capital expenditure.

According to an official spokesman, the States would now be able to borrow an additional 0.5 percent of their Gross State Domestic Product (GSDP), amounting to Rs 30,000 crore, for capital expenditure without losing the debt relief benefits recommended by the Finance Commission.

Pursuant to recommendations of the 12th Finance Commission, the Centre had permitted the States to borrow up to 3 per cent of GSDP, that limit has now been raised to 3.5 percent. The relaxation dealing with the fiscal deficit targets and borrowing ceiling of the states will be a one-time measure, an official release said.

The Finance Ministry could also allow states to borrow an additional 0.5 percent of GSDP (Gross State Domestic Product), over and above 3.5 percent, for undertaking capital expenditure, the official release stated.

However, states borrowing more than the ceiling of 3.5 percent of their GSDP will not be entitled to debt relief benefits under Debt Consolidation and Relief Facility (DCRF).

The Finance Ministry, the release said, will be writing to the 13th Finance Commission to incorporate necessary changes in the debt relief formula under the DCRF scheme.

Besides, the states have also been advised to appropriately amend their Fiscal Responsibility and Budget Management Acts making room for more borrowings.

To handle the impact of the global financial meltdown on the country, the Centre came out with a second stimulus package earlier this month enhancing the borrowing limits of the states. (ANI)

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