Two messages from below news which are very interesting:
1. As per Gurnani,For the class action suits PWC is the principal defendents and not Mahindra Satyam. This is interesting as in case of settlement the amount of Mahindra satyam will be much lower then expected.That is reason that he indicated that it will be long drawn case..
2. Campus hiring is on for 2010 and their BPO arm is already hiring.
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Mahindra Satyam `cautiously optimistic` on outlook for 2010
Published on Thu, Dec 31, 2009 at 21:53 | Updated at Sat, Jan 02, 2010 at 13:55 | Source : CNBC-TV18
The Satyam saga was perhaps the most extraordinary corporate story of 2009. The company witnessed a tumultuous year - where it managed to claw back from the brink of disaster. Under the new ownership, the company still has some while to go get back on track.
In an interview with CNBC-TV18, CP Gurnani, CEO of Mahindra Satyam spoke on the road ahead for the company.
Here is a verbatim transcript of his interview on CNBC-TV18.
Q: What is your outlook for 2010 for the company, do you expect things to get better and which verticals you expect to see heightened interest?
A: It is an interesting one particularly for a company like ours where till about September-October we were more in a reboot stage.
Coming back from the reboot stage to reignite, it is almost like we have been running closely with the economy of India or the global economy. I think our sales force is now fully energized. What has anyway differentiated Mahindra Satyam is its customer relationships, customer intimacy and customer satisfaction. I think that will continue to be the mainstay of the business.
So overall I would say that the outlook looks positive. But I would remain cautious because the economic recovery is not yet fully completed. We are on a journey, we are running hard, and we are having good fun.
Overall the kind of customer engagements that we are seeing, we are finding a lot of new and interesting projects particularly in the airline industry, we have seen a fair amount of movement in manufacturing, retail and banking financial services sector also.
Q: Have you taken a call on your hiring strategy; will Mahindra Satyam for instance go to campuses in 2010 to recruit?
A: We are shying away from giving any futuristic demand, but I can tell you that our BPO business is continuously hiring now. We are hiring in some of our business intelligence and performance management practices where we have seen a fair amount of uptick in the business.
Similarly for our remote infrastructure management practice where we have won a lot of new orders, there is a bit of lateral hiring. We will be going back to the campus in 2010. So overall, we are a running company. We are doing all the things that are required for a running company to succeed.
Q: There has been a considerable unrest in Hyderabad over the Telangana statehood issue, have you faced any disruptions in your operations?
A: I think it is surprising that the impact on business has been almost negligible. I do realise that Telangana is a political issue and many of these issues can become emotional issues.
We have made our business continuity plans. Overall I personally am not apprehensive about its impact on business. But being a prudent businessman we have definitely made all the plans to make sure our customer service is not impacted.
I donot own any shares in M Satyam.I want to say few words the positive factors that may come are merger of the two companies, or announcing the financial position of MSat with good earnings,one of these two will happen in this year, which will decide next level, chances of negetive are remote, the reasons for dealying in combining two cos to make a gaint corporation are not known, I think there will be some intrernal issues to be settled still..
Satyam poaches seniors from rivals, offers employees salary hikes
Mumbai: Software services exporter Mahindra Satyam is aggressively hiring senior executives from larger rivals as it attempts to win back clients, and is returning to offering pay hikes of up to 20%—the surest signs yet that the firm is losing its crutches.
Hyderabad. The company has offered salary hikes of 7-20% and hefty retention bonuses as it struggles to stem its steep attrition rate. Bharath Sai / Mint
Since October, Mahindra Satyam has hired at least three senior executives from International Business Machines Corp. (IBM), Infosys Technologies Ltd and Wipro Ltd, and is looking to recruit more senior people to strengthen its presence in key geographies and verticals, a company executive said.
Another executive said the firm, after concluding its appraisal process for 2009-10 in mid-December, has offered employees salary hikes of 7-20% and hefty retention bonuses as it struggles to stem its steep attrition rate.
Industry and market analysts say the company’s recent hiring appears to be strategic. Without reliable, audited financial data, the company cannot participate in competitive bidding for large contracts yet, but it can after 30 June, by when it has to submit its restated accounts.
Current chairman Vineet Nayyar had said in May, less than a month after Tech Mahindra Ltd took over Satyam, that the Hyderabad-based firm had lost 35% of its clients since January. Satyam had around 600 clients in September 2008.
Industry experts say most of the clients who left Satyam early last year gave their business to rival Indian information technology (IT) firms.
In the past three months, Mahindra Satyam has hired Bobby Gupta, previously IBM’s Asia-Pacific head for telecom expenses management, as its business development head for Australia and New Zealand; Sudhir Nair, who was an assistant vice-president, infrastructure management, at Infosys, to head the same business segment at Satyam; and Vijayanand Vadrevu, formerly a vice-president at Wipro heading the life sciences practice, as its head of Strategic Initiatives. Mint could not contact these executives.
“The very fact that senior employees of our peers are joining us is an indication that Mahindra Satyam evokes confidence as an organization that holds promise for a tremendous future, personally and professionally,” a Satyam spokesperson said by email.
In mid-September, Satyam said it had 420 clients, including 32 it had added since May.
read full story in live mint dot com
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Varner, I know you suggested to start new thread, we can start new one.. any suggestion? OR shall we keep this alive until July,2010.
Apart from above news, we should also consider following news:
Ramalinga Raju made gardeners, drivers kings
published on ET. It indicates land of rs 4200 crores, if this also comes back into Mahindra Satyam then 20% of this amount itself will setlle all the cases and rest can be utilised by the company.
Yes dear,
these positives hve yet to be taken into consideration, whereas, all the negatives like class action suits have been discounted.
Lets see whats in store.........
12:51 PM - Hold Satyam with long-term view for good returns, says Rajesh Tambe of Sunchan Securities on Zee Business. The future of this stock is good, he adds. The stock is currently trading at Rs 99, up 1.43% on the BSE.
This is what i was thinking and this could be one of the reason to take more time for restatement of accounts as Mahindra wants to put everything( all receivables and liabilities ) in the book of accounts.
If this could be the case then investor might get big postive surprice after announcement of results in June,2010.
he invester who has invested in 50s and 60s have a wait and show some ore patience, and expected to get good gains after the figures are there, may be June 2010.
| NIFTY 
