finxpress_29jan2011

FinXpress StartUp in focus:

VAYAVYA Labs

4

Markets this Week 5

News of the Week 6

CAN YOU SOLVE IT? 8

Company in Focus:

Chevron Corporation

2

JANUARY 29, 2012

Sources of Data:

> HDFCsecurities

> Economic Times

> The Hindu

> Rediff Money

> MoneyControl.com

> Financial Express

> Glasbergen.com

Inside this issue:

Institute Of Management Technology

Ghaziabad

Rise in India’s Forex Reserves

Aspiring Global Energy Corporation

Company Profile

Chevron Corporation is an American multinational energy corporation

headquartered in San Ramon, California, United States and active in

more than 180 countries.

It traces its beginning to an 1879 oil discovery at Pico Canyon, north of

Los Angeles, which led to the formation of the Pacific Coast Oil Co. That

company later became Standard Oil Co. of California and, subsequently,

Chevron. We took on the name Chevron when we acquired Gulf Oil

Corp. in 1984, nearly doubling our worldwide proved oil and gas

reserves. Our merger with Gulf was at that time the largest in U.S.

history. Another major branch of the family tree is The Texas Fuel Com-

pany, formed in Beaumont, Texas, in 1901. It later became known as The Texas Company and eventually Texaco. In

2001, our two companies merged. The acquisition of Unocal Corporation in 2005 strengthened Chevron's position as

an energy industry leader, increasing our crude oil and natural gas assets around the world.

Today, it is engaged in every aspect of the oil, gas, and geothermal energy industries,

including exploration and production; refining, marketing and transport; chemicals manufacturing and sales;

and power generation. Chevron is one of the world's six "super major" oil companies. For the past five years,

Chevron has been continuously ranked as one of America's 5 largest corporations by Fortune 500. Its diverse and

highly skilled global workforce consists of approximately 58,000 employees and about 4,000 service station

employees.

In 2010, Chevron produced 2.763 million barrels of net oil-equivalent per day, 2 percent higher than in 2009. About

75 percent of that volume occurred outside the United States. Chevron had a global refining capacity of more than 2

million barrels of oil per day at the end of 2010. In 2011 it was named the 16th largest public company in the world

by Forbes Global 2000. Chevron reports fourth quarter net income of $5.1 billion, compared to $5.3 billion in fourth

quarter 2010. Its full-year 2011 earnings were $26.9 billion, up 41 percent from $19.0 billion earned in 2010.

Vision and Values:

At the heart of the organization is its vision ... to be the global energy company most admired for its people,

partnership

Its vision means it:

• safely provide energy products vital to sustainable economic progress and human development throughout

the world

• Has people and is an organization with superior capabilities and commitment

• is the partner of choice earns the admiration of all its stakeholders — investors, customers, host

governments, local communities and its employees — not only for the goals we achieve but how we achieve

them

• delivers world-class performance

FinXpress

Company in Focus : Chevron Corporation

Values

Our company's foundation is built on our values, which distinguish us and guide our actions. We conduct our

business in a socially responsible and ethical manner. We respect the law, support universal human rights, protect

the environment and benefit the communities where it works.

Board of Directors

Its Board of Directors consist of 13 members. At the top of the hierarchy is the Chairman and Chief Executive Officer,

John S. Watson. He is followed by Former Deputy US Trade Representative and US Ambassador to the WTO, Linnet F.

Delly and Vice Chairman and Executive Vice President of Upstream and Gas.

Chevron Businesses

Chevron is involved in Exploration & Production, Manufacturing, Products & Transportation Chevron's interests

range from chemical production and mining to energy research and nano-science. Along with a range of power

facilities, they are also the world’s largest producer of geothermal energy. In 2010 Chevron entered new joint

venture with Petróleos de Venezuela S.A. and the consortium digs into Venezuelan Heavy Oil Project.

Chevron Technology Ventures

CTV helps Chevron embrace emerging technologies to create new commercial opportunities, reduce costs and

improve performance. CTV serves as one of the company's most important technology "scouts," always searching for

emerging technologies that could enhance Chevron's strategies. Chevron Technology Ventures works through four

business units.

Chevron India

Chevron had sold 100 percent shares of Caltex Gas India Pvt Ltd (CGIPL) its wholly-owned Indian subsidiary to SHV

Group, a Dutch MNC in 2010. Caltex Gas is engaged in import, storage, bottling and marketing of LPG with a turnover

of about ` 350 crore.

FinXpress

Company in Focus continued.. . Chevron Corporation

Vayavya (Sanskrit name for the North-West direction) is an Electronic

System Level (ESL) Design start-up firm. Founded in 2006 and head-

quartered at Belgaum, north-west part of Karnataka state in India,

Vayavya Labs focuses on providing tools that enhance the productivity

of Embedded system designers and programmers. It serves its

customers with ESL products and Engineering Services.

Design tools

It’s tools target the ‘First-Inflection-Point’ of the hardware and software designs. Current generation tools and solutions for

semiconductor (IC) and software design flows have been focusing on their respective vertical domains and helping to raise

the programming abstraction levels. However a need to formalize the communication between IC and software teams to

bring about a greater productivity is sought by every product manager and design team.

Benefits to customers

• Productivity enhancement tool for chip (IC) & software teams

• Lowered customer support for semiconductor and design services firms

• Provides consistent framework for design teams within an organisation

• Reduced time-to-market for the product roll out

• Vayavya’s team bring in their years of experience in embedded and VLSI domain to conceptualize tools that address

today’s pain levels.

Products

It offers a suite of tools that help semiconductor & embedded design firms to reduce the time and effort involved in

product design, development and testing. It’s tools provide mechanisms to formally capture the ‘Design

Intent’ (Specifications) of IC and Embedded Software flows. These specifications are used as input to a set of ‘Intelligent

Generators’ that help in automation of activities in design flows there by reducing the time and effort.

Services

It’s product development services are designed to help customers who might be in early phase of product development

( R&D ) or in a mature phase of product engineering. It’s services help customers reduce costs and create a fully integrated

product ready for market roll out. For customers in the growth phase, it provides product engineering services in addition

to other service offerings. It is partner for customers in product design, development and roll-out phases. It is more

focused on software content of product development and tend to remain as a “system integrator”.

Investors

Vayavya Labs is a privately held company with founders, and angel investors seed funding the company. While the majority

of stocks are held by founders and seed investors the company also has an active ESOP pool through which key team

members have an ownership in the company.

FinXpress

StartUp in Focus : VAYAVYA LABS

FinXpress

Markets this week

The week gone by saw the main indices moving up further. It was the fourth consecutive week of gains for the Sensex/

Nifty as they took out the intermediate highs of 17004/5099 and also closed above the 200 day EMA. W-o-W, while the

Sensex gained 2.82%, the Nifty was up by 3.09% over the same period. Reflecting the positive sentiments, market breadth

was positive in all the four trading sessions of the week.

The biggest gainers from the CNX 500 were Star, Zensar tech, JSW Energy, Sterling Bio and EKC. The biggest losers were IB

Sec, Phoenix, IB Power, FCH and Bom Dyeing.

Indian Markets

India's central bank unexpectedly cut the amount of deposits lenders need to set aside as reserves for the first time since

2009 and signaled future interest-rate cuts, joining BRIC nations in shielding growth. Stocks rose. The Reserve Bank of

India reduced the cash reserve ratio to 5.5 % from 6 %, it said in a statement in Mumbai. The move adds around 320

billion rupees ($6.4 billion) into lenders, it said.

Cotton production in India, the second-biggest grower, will be lower than earlier forecast after diseases cut yields in the

states of Maharashtra and Andhra Pradesh, said the nation's textiles commissioner. The harvest may reach 34.5 million

bales of 170 kilograms each in the year that began Oct. 1, against 35.6 million bales estimated on Nov. 15, Textiles

Commissioner A.B. Joshi told reporters in Mumbai. India produced 32.5 million bales in 2010-2011.

The International Monetary Fund cut its forecast for global growth and warned that the European debt crisis threatens to

derail the world economy. India is expected to grow 7 % in 2012, 0.5 % spoint less than in September forecasts.

India's economic growth is weakening more than anticipated and inflation remains 'high' as the rupee's fall threatens to

stoke price pressures, the central bank said, signaling it may leave interest rates unchanged. 'The growth slowdown, high

inflation and currency pressures, complicate policy choices,' the Reserve Bank of India said in a report yesterday before its

rate decision in Mumbai. The 'critical factors' ahead will be 'core inflation and exchange rate pass-through,' it said, adding

that keeping the 'liquidity deficit' in acceptable limits is also a priority.

Key sectoral movement

All the sectoral indices ended in the green except Realty, which fell marginally by 0.3%. The top sectoral gainers were

Capital Goods, Auto, IT and Metals, which rose by 5.6%, 4.3%, 4% and 3.4% respectively.

Outlook of the week

With the markets moving up further and ending with gains for the fourth consecutive week, the underlying trend remains

up and is yet to show any signs of reversal. The Nifty has also tested our targets of 5200. Further upside targets are now at

5250. Downside supports to watch for any weakness are at 5180-5160.

SENSEX

FinXpress

News of the Week

India’s Forex reserves

rise by $731.8 million:

RBI

After the sixth straight weekly

decline, India's foreign exchange

reserves rose by $731.8 million

to $293.25 billion for the week

ended Jan 20, the reserve bank

of India's data showed. The

reserves had dropped by $14.25

billion in the previous six weeks

under review, mainly because of

revaluation of non-dollar assets

and sale of dollars by the central

bank to curb the rupee's slide.

Foreign currency assets, the

biggest component of the forex

reserves kitty, rose by $704.6

million to $259.50 billion for the

week ended Jan 20, according to

the Reserve Bank of India (RBI)

weekly statistical supplement.

The value of special drawing

rights (SDRs) rose by $16.9

million to $4.42 billion, and

India's reserves with the

International Monetary Fund

(IMF) increased by $10.3 million

to $2.70 billion. However, the

value of gold reserves remained

unchanged at $26.62 billion.

Apple adds ` ` ` ` 82,759 to

its profits every second

In the final quarter of 2011,

when many world leaders were

groping for a solution to the

crisis in the euro zone to prevent

another global recession, the

cash counters at Apple Inc were

ringing furiously. Every second

during that period, the iconic

company founded by the late

Steve Jobs was adding $1,670 (`

82,795) to its profits. With less

than half of its cash and

equivalents, Apple can buy the

entire RIL and more than 90% of

ONGC - two of India's most

valuable firms. With a market

value of $400 billion, Apple is

now worth more than

Venezuela's annual economic

output. $13.1 billion is Apple's

profit in the latest quarter

equalling their revenue in Q4

2010-underlining the pace of its

growth, despite its size. In

October of 2010 Apple passed

Microsoft in terms of revenue. In

the latest quarter, its revenue

was more than double of

Microsoft.

HCL, ITC, CISCO &

Others up hiring during

slowdown

As the economy shows signs of

volatility, one company hopes to

make the best of the opportunity

and break with tradition for the

second time in a row. Like it did

during the previous slowdown,

HCL Technologies plans to create

more than 10,000 jobs globally

and a few thousand more in

India, even as most of its peers

are going slow on hiring.

Comparatively, HCL Tech had a

net hiring of 12,489 in 2011.

During 2008-09, the country's

fourth largest software exporter

made 15,000 new job offers, and

was amply rewarded: it closed

orders worth twice compared

with the year before, and grew

by 20% while others lost share.

The company is not the only one

to go against the current though.

ITC, Cisco Systems, Lupin,

Hyundai, Mercer Consulting,

Edelweiss and Yatra.com are

among those planning to

significantly increase their hiring

this year to either take

advantage of low-cost hiring or

to achieve business gains.

Global Banks Citigroup,

HSBC, BofA Meryll

Lynch cut jobs in India

at ruthless pace

Global banks led by Citigroup,

HSBC, Bank of America Merrill

Lynch and Barclays are slashing

jobs in their Indian operations at

the fastest pace since the 2008

credit crisis amid dwindling deal

flows and parent companies'

shrinking balance sheets to boost

capital. Citigroup on Tuesday cut

100 jobs and HSBC will soon

show the door to scores of its

staff here as part of its 30,000

reductions internationally.

French bank BNP Paribas

eliminated more than a dozen in

recent months and Royal Bank of

Scotland has put its equities and

mergers advisory business on

sale that may lead to layoffs. Job

cuts by the investment banking

divisions of global banks due to

slowdown in deal flows and

retrenchments in corporate and

retail businesses due to strong

domestic competition could top

1,000, aggregation of publicly

available data by human

resources consultant Ma Foi and

ET shows.

Berkshire’s Ajit Jain po-

tential witness in Rajat

Gupta trial

A superseding indictment against

ex-Goldman Sachs director Rajat

Gupta, an accused in insider

trading scam, is expected to be

filed by January 31, according to

US prosecutors, who said his

"close friend" and top Berkshire

Hathaway executive Ajit Jain

could be a potential witness in

the trial slated for April. At a

hearing held in a Manhattan

court yesterday, Assistant US

Attorney Reed Brodsky said the

deadline for the government to

file the superseding indictment,

which may contain expanded

charges, is January 31. US Judge

Jed Rakoff said an arraignment, if

the superseding indictment is

filed, may take place on February

6 or 7. The government had

earlier this month said "more

likely than not there will be a

superseding indictment." Gupta,

63, who has pleaded not guilty to

the insider trading charges filed

against him last October, was not

present for the hearing which

lasted nearly two hours.

M&M’s Ssangyong may

choose India as manu-

facturing and export

base

Ssangyong Motor Co, majority

owned by Mahindra & Mahindra,

may consider making India a

manufacturing and export base,

mirroring similar moves by other

automakers that are benefiting

from low cost of production

here. Choi Jong-sik, Ssangyong's

vice-president for sales, also said

the company plans to invest over

$1.2 billion on its own over the

next three to five years, which

will help roll out four new

products and their variants.

Seoul-based Ssangyong, which is

set to launch its Rexton and

Korando C sports utility vehicles

in India from its assembly plant

in Chakan, near Pune, could

move to manufacturing and

exporting smaller compact and

sub- compact SUVs being jointly

developed with M&M. M&M has

already started talks with Indian

vendors for localisation of some

of key parts of Rexton and

Korando C to bring down their

costs.

Airfares to soar as AAI

wants charges hiked

Flying is likely to become costlier

this year as the Airports

Authority of India is planning to

demand that landing and parking

charges for airlines be "at least" .

FinXpress

News of the Week continued.. .

doubled. This comes close on the

heels of the 774% hike sought by

the Delhi International Airport

Pvt Ltd (DIAL), with the regulator

approving a 334% increase from

April. Mumbai airport is also

learnt to be in the process of

demanding an increase in

charges. Once the AAI demand is

approved by the Airport

Economic Regulatory Authority

(AERA), the enhanced charges

will be passed on to passengers

in form of higher fares. This will

be in addition to new charges at

places like Delhi and the general

i n c r e a s e a i r l i n e s a r e

contemplating to cover their

massive losses. While airlines are

opposing any hike in airport

charges and asking operators to

increase cash flow by lower

tariffs to get more footfalls,

airports have also begun citing

massive losses and non-payment

of dues from nearly bankrupt

airlines.

CRR cut: Lending rates

may soften in select

sectors, say RBI

Banks may reduce lending rates

for select sectors including those

that are seeing higher demand

for credit and lower level of

defaults, chairman of State Bank

of India, the country's top lender,

said on Tuesday. These sectors

may see "some softening in cost

of funds", Pratip Chaudhuri told

reporters, after the central bank

cut cash reserve requirements

for banks by 50 basis points on

Tuesday to ease tight liquidity.

The cash reserve ratio, the

proportion of deposits that banks

have to hold with the RBI, is a

popular instrument to inject cash

into the system. It now stands at

5.5%. Tuesday's cut lowers the

CRR to 5.50 % from 6.00 %,

where it had stood since April

2010, and releases ` 32,000

crore ($6.4 billion) of liquidity

into the banking system, the RBI

said. Commenting on RBI's move

HDFC Chairman, Deepak Parekh

said that the CRR cut was

expected and was a step in the

right direction. Agreeing that RBI

had to release some liquidity into

the market, Parekh hoped that

the Q4 would be good for India.

Nokia to expand its

smartphone market

Nokia, the world's largest seller

of mobile phones by volume,

said that it suffered a huge loss

in the fourth quarter but

reported better than expected

sales of its new Windows smart-

phones, sending its shares

soaring. Nokia said it lost almost

1.1 billion euros ($1.4 billion) in

the fourth quarter, compared

with a 745 million euro profit a

year earlier. Sales at Nokia,

based in Espoo, Finland, fell 21 %

to 10 billion euros from 12.65

billion euros a year earlier.

Operating profit shrank by more

than half during the period to

478 million euros from 1.1 billion

euros a year earlier. But shares

of Nokia rose sharply in Helsinki

trading after the company

reported that it had already sold

more than a million Lumia

phones, the first using the

Windows operating system, since

October. Nokia is currently

selling two Windows models, the

Lumia 800 in Europe and parts of

Asia, and the Lumia 710 in the

United States.

Cartoons

Solve it Now!

We are on the web !

http://www.facebook.com/FinNiche

http://www.imtgfinxpress.co.cc

**Rush in your entries to : [email protected]

The right entries will get their name featured in the next issue

of FinXpress. So hit the quiz fast & get yourself visible among

1000 odd in the campus.

Set A True or false?

a. Y.B.Chavan was the Finance Minister during

emergency.

b. Manmohan Singh is the only Finance

Minister to have presented 5 budgets in a row.

c. Meryll Lynch is known as the “Lightning

Herd”.

d. Double entry book keeping was introduced

by Lucas Pacioli.

Set B

1. To commemorate what occasion did RBI

decide to circulate 5 rupee coins?

2. Aditya Birla Group bought which company to

become world leader in carbon black?

3. In ABN-AMRO Bank, ABN stands for

Algemene Bank Nederland, where does AMRO

originate from?

CAN YOU SOLVE IT ?

Feel free to write to us at : Drop in your suggestions to the editorial team :

[email protected] Magazine design/news : [email protected]

Articles/quiz : [email protected]

LAST ISSUE’S RIGHT ENTRIES WERE FROM :

None

LAST WEEK’S ANSWERS

SET A

1. Kenneth Cole

2. CEO of IBM

3. HQ of Petroleum Exporting Countries

SET B

1. Petroleum & Natural Gas : 100%

2. Direct-to-Home : 49%

3. ISP with gateways/without gateways : 74%

4. Terrestrial Broadcasting FM : 26%

finxpress_29jan2011

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