The Hindu Business Line : SAIL keeps options open on Salem unit

A company spokesman said that this matter had been hanging fire for long since both the AIADMK and the DMK Governments had opposed the move and the State legislature had passed a resolution to that effect.

Tata Steel has shown interest in this acquisition as has Jindal Iron and Steel, with Mr B Muthuraman, the Tata Steel Managing Director, saying that although things were getting delayed, the company was willing to wait a while longer.

Pointing out that getting out of non-core activities was one of the priority areas under SAIL's business restructuring plan, the spokesman said that the due diligence study for Visveswaraya Iron and Steel Plant at Bhadravati was about to be completed and the report would be ready in two months.

He said that with the stabilisation in product prices, SAIL was looking forward to a turnaround this fiscal.

He indicated that although the financials of Bhilai Steel Plant (BSP) were "very good" in the last fiscal, Rourkela's losses were higher than the budgeted figure. Bokaro Steel too made a loss and as did Durgapur Steel.

He said that as part of the exercise to revamp its marketing operations, SAIL had decided to go for branding of some of its products — TMT bars and GP/GC sheets — selling them under the name of `SAIL TMT' and `SAIL Jyoti'. A move to delink the stockyards from the warehouses is also under way.

On the ailing PSU's efforts to trim manpower (through VRS which is now under way), it was learnt that although a target of 7,000 was fixed for this round, the response to this scheme, which closes on May 31, had been lukewarm so far.

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