Hind Motors full-year net loss widens

GP-CK Birla group company Hindustan Motors' net loss widened to Rs 51.10 crore during the year to March 31, 2010 against Rs 38.86 crore in the previous financial year. The net sales were at Rs 573.15 (Rs 597.76 crore) in the annual result, which was approved by its board on Saturday in New Delhi.

The accumulated loss now stood at Rs 132.28 crore. The paid-up equity of the company is Rs 161.17 crore and the reserves stood at Rs 3.36 crore.

Loan fund, however, saw a reduction to Rs 90.03 crore from Rs 113.68 crore.

With approval from the Hindustan Motors lenders, under a corporate debt restructuring scheme, the loss-making company has recreated pledge in favour of the lenders for 23.72 lakh shares held by promoters, representing 1.47 per cent stake in the company, on April 15. According to a note to the audited annual accounts, this was done to facilitate inter-se transfer of shares held by the core promoters in the company. On March 30 for such transfer of shares, pledge had been released.

Source: indiacar.com Source : Business Line (Online Edition) (5/2/2010)