TTML

TTML

QTIL-WTTIL to buy tower business from TTML

Tata Teleservices Maharashtra Ltd. (TTML) announced that it would sell its 100% stake in its tower arm 21st Century Infra Tele Ltd. (TFCITL) to QUIPPO-WTTIL. As part of this deal, TFCITL’s entire portfolio of 2535 towers in Mumbai, Maharashtra and Goa will be acquired by QUIPPO-WTTIL at an enterprise value of Rs13.18bn. The transaction will provide strategic advantage to QUIPPO-WTTIL as it will complement the tower portfolio of the company in Mumbai, Maharashtra and Goa, where QUIPPO-WTTIL does not have a significant presence currently. The TFCITL portfolio, with a high tenancy ratio of 2.15, will further strengthen QUIPPO-WTTIL's current tenancy ratio. This transaction will take the overall portfolio of QUIPPO-WTTIL to over 38,000 towers nationally. This transaction will also bring immense benefit to QUIPPO-WTTIL with the 3G and WiMax auctions to be conducted shortly.

Annual Report - TTML - 2008-2009

TATA TELESERVICES (MAHARASHTRA) LIMITED

ANNUAL REPORT 2008-2009

DIRECTORS' REPORT

Dear Members,

The Directors have pleasure in presenting the 14th Annual Report together
with the audited financial statements of the Company for the year ended
March 31, 2009 and other accompanying reports, notes and certificates.

Financial Results

The financial results of the Company's operations during the year are given
below:

(Rs. in crores)

Particulars 2008-09 2007-08

Telecom Revenue 1,941.68 1,707.19

Other Income 112.28 82.41

Total Income 2,053.96 1,789.60

Expenditure 1,460.78 1,304.05

Earnings Before Interest,
Depreciation, Tax and Amortisation 593.18 485.55
(EBIDTA)

Finance & Treasury Charges (Net) 304.78 171.01

Depreciation 446.79 439.35

Loss before tax 158.39 124.81

Extraordinary item - -

Loss before tax 158.39 124.81

Fringe Benefit tax 1.21 0.93

Loss after tax 159.60 125.74

The total revenue grew by 14.77% to Rs. 2,053.96 crores. The subscriber
base grew by 48% to cross 74 lakhs (in March 2009), mainly through the
increased additions to the Prepaid Mobile subscriber base. A significant
portion of this increase took place in semi-urban and rural Maharashtra,
where income levels were lower than the urban centres; this, accompanied by
competitive pressures which pulled tariffs down, resulted in lower Average
Revenue per User (ARPU) compared to the previous year. Cost optimization
efforts, however, ensured a lower rate of increase of 12.02% in operating
expenses, compared with 14.77% increase in revenues.The Company reported a
positive EBIDTA of Rs.593.18 crores, representing a significant improvement
over the previous year's EBI DTA of Rs. 485.55 crores.

During the year, the Company consolidated its position in the market by
increasing its share of new additions in the wireless market
(i.e.fixedwirelessand mobile).

India today has the second largest telecom network in the world after
China. As of May 2009, there were more than 452 million telephone
connections in the country. Approximately 10-15 million mobile connections
are being added every month. The national mobile tele-density is about 39
per hundred, while it is 75 per hundred in cities like Mumbai and about 13
per hundred in rural areas. Telephone connections are expected to touch the
500 million mark by the year 2010. Major growth will come from rural and
semi-urban areas.

Tata promoters need money!

Promoters of three more Tata group companies, including Tata Communications, today disclosed their share pledging details, taking the total amount raised by promoters of the nine firms to nearly Rs 10,000 crore, for meeting the group's long-term fund requirements.

In aggregate, the value of the 123 crore shares pledged by the promoters has been estimated to be about Rs 10,000 crore as per today's closing price of the nine firms -- Tata Communications, Tata Tea, Tata Chemicals, Tata Motors, Tata Coffee, Tata Steel, Tata Power, Tata Teleservices (Mah) and Indian Hotels.

Yesterday, six Tata group firms had revealed their share pledging details.

Meanwhile, the group's holding entity Tata Sons had yesterday said: "It (share pledging) is not a new practice; it has been existing since the age of joint stock companies. It has been done primarily for long-term funding requirements of Tata Sons."

Tata Communications today said two of its promoters, Tata Sons and Pantone Finvest, have pledged three crore shares, representing a 10.53 per cent stake in the company.

Estimated at today's average market price, the shares pledged would have fetched Tata Sons over Rs 1,329.65 crore.

Meanwhile, Tata Tea said its main promoter Tata Sons has pledged 70 lakh shares, representing 11.32 per cent stake in the company with lenders.

Calculated on the basis of the current market price of Tata Tea scrip, the pledging would have fetched the promoters over Rs 389 crore

Also Tata Chemicals earlier today had said three of its promoters -- Tata Tea, Tata Investment Corporation and Tata Sons -- have pledged 4.70 crore shares or 20.02 per cent stake in the company with lenders.

Calculated on the basis of current market price of Tata Chemicals, the promoters would have received over Rs 705 crore from lenders via the share pledge.

Aggregating the total shares pledged by the remaining six Tata Group companies, the promoters have raised about Rs 7,500 crore.

In the bull phase of the market, the Tata Group was on expansion spree and had made significant acquisitions then.

Starting from August 2006, the group had undertaken major acquisitions including a 30 per cent stake in US-based Glaceau (Energy Brands) for USD 677 million, steel maker Corus and British luxury brand Jaguar-Land Rover.

Tata group has 27 listed entities. However, TCS, Tata Sponge Iron, Tata Investment Corporation are among the Tata Group companies which are yet to disclose the promoter share pledging in respective firms.

TTML

5.31 crore shares were traded in Tata Teleservices (Maharashtra) counter on BSE today. The scrip topped volumes on BSE. The share price rose 7% to Rs 43.55.

National Stock Exchange had barred fresh positions in the company's derivatives contracts as the open interest had crossed the 95% limit.

Tata Teleservices (Maharashtra) reported a net loss of Rs 28.43 crore in Q1 June 2007 as against net loss of Rs 112.59 in Q1 June 2006. Sales rose 21.47% to Rs 393.34 crore in Q1 June 2007 over Q1 June 2006. The results were announced on 30 July 2007.

Himachal Futuristic Communications (HFCL) clocked the second highest volume of 3.41 crore shares on BSE. The share price surged 12.79% to Rs 26.90.

HFCL reported a net loss of Rs 15.63 crore in Q1 June 2007 as against net profit of Rs 17.87 crore in Q1 June 2006. Sales fell 50.5% to Rs 110.77 crore in Q1 June 2007 over Q1 June 2006.

Ispat Industries clocked the third highest volume of 2.37 crore shares on BSE.The share price rose 1.25% to Rs 28.40.

As per recent reports, Ispat Industries is planning to invest about Rs 10,000 crore within five years to ramp up domestic production. It is also planning to expand in overseas through capacity expansion and backward integration.

Reliance Natural Resources (RNRL) clocked the fourth highest volume of 2.29 crore shares on BSE. It declined 3.69% to Rs 91.35.

The stock had showed solid surge recently on reports that the company has applied for a license to undertake city gas distribution business in Delhi, Mumbai, Gurgaon and Noida. In this regard, the company had clarified that an affiliate company, Reliance Fuel Resources has submitted an application to the Ministry of Petroleum and Natural Gas for setting up city gas distribution project in Mumbai, Delhi and National Capital Region

Mangalore Refinery and Petrochemicals (MRPL) clocked the fifth highest volume of 2.13 crore shares on BSE. The share price surged 13.72% to Rs 74.20. Refining shares surged today after reports the government is likely to issue oil bonds worth Rs 12,000 crore to state-run oil companies to partially compensate them for selling fuel at below the cost by mid-October 2007.

Recently, MRPL signed a four-year product supply agreement with Shell India. The agreement, extendable by another two years, covers not only fuel supply but also infrastructure sharing and hospitality and collaboration on health, security, safety and environmental management procedures & practices. The pact will become operational from October 2007.