|
Posted by ronald.chis@googlemail.com on May 31, 2008, 8:59 am
Short-term credit crunch to impact biz: TCS
For more log on to : http://investorline.co.in/blogs/news/
London, May 28: India's top software services exporter, Tata
Consultancy Services Ltd, expects a short-term impact on its business
from the global credit crunch, a top company official said on
Wednesday. A.S. Lakshminarayananan, country manager for UK and Ireland
said that the company had not yet felt any impact, however. "It's
coming. I think it's bound to come because people are cautious,"
Lakshminarayananan said. "To me it seems a lot of talking down
happening. There is a cautious approach," he said.
TCS, along with rivals such as Infosys Technologies Ltd and Wipro
Technologies Ltd, has won large outsourcing deals from overseas
clients looking to cut costs.
The financial services industry accounted for about 41 percent of
TCS's worldwide revenues in the fiscal year 2007, while the UK
accounted for about a fifth of global revenues.
With many banks announcing huge asset writedowns and losses, software
Companies could potentially experience delays in fresh orders,
specially from financial clients.
"In the short run it's going to be an issue; people are unsettled,
management changes are happening ... That will have a short-term
impact," he added.
TCS employs about 4,000 people in Britain, and Lakshminarayananan said
the headcount was expected to grow despite the short-term
uncertainties. "But once the dust settles, Companies are going to
invest for revenue growth and look at ways to take costs out," he
said.
TCS counts Lloyds TSB Group, Morgan Stanley and French insurer AXA SA
among its clients. "There are some good contracts that we have won
recently, and those are ramping up," he added. Earlier this week, TCS
announced a five-year $100 million deal with privately held European
chipmaker NXP Semiconductors.
"Even Companies that are in a healthy state are worried because of the
uncertainty," he said.
TCS shares gained 4.5 percent to 1,009.70 rupees on Wednesday,
outpacing a 1.5 percent rise in the benchmark Indian share index. The
shares are down 6.8 percent in 2008
For more log on to : http://investorline.co.in/blogs/news/
|
| Similar Threads | Posted | | Re: Is the Credit Crunch Over? | August 24, 2007, 1:36 am |
| Did A Hedge Fund Create the Current Credit Crunch? | February 15, 2008, 6:42 am |
| Give Credit Where Credit Is Due... | December 10, 2007, 4:17 pm |
| Bad credit personal loans | September 6, 2006, 5:25 am |
| Bad credit personal loans | November 5, 2006, 7:15 am |
| free credit cards | May 28, 2007, 8:15 am |
| Instant Credit Approval | October 31, 2008, 12:06 pm |
| Unsecured Business lines Of Credit | October 9, 2007, 1:47 pm |
| EXECUTIVE PRODUCER credit on a FEATURE FILM | September 16, 2005, 7:07 pm |
| EXECUTIVE PRODUCER credit on a FEATURE FILM | September 16, 2005, 7:11 pm |
|
|
Yahoo! 
Google 
Windows Live 
del.icio.us 
digg 
Netscape 
XML Sitemap