Siemens AG executive vice-president HU Neuburger said here on Thursday that the consultant's findings would be discussed at a formal budget meeting scheduled in India this September. "The trend of the revamp is clearly positive, the goal is getting clearer," he said. Neuburger reiterated that the pressure to enhance efficiency in India had not diminished. He said that he had met his colleagues recently to review the performance and noted that "the numbers are moving in the right direction."

In a separate statement in Mumbai, Siemens India managing director J Schubert said: "Siemens India is undergoing a restructuring programme as was announced last year in June. The restructuring covers: improving the cost structure, review thebusiness portfolio, restructuring the balance-sheet and asset disposal and amplified focus on human resources development."

According to Neuburger, a second voluntary retirement scheme had begun for the Indian arm. The eventual objective of these measures was to get a decent 20 per cent return on equity. He said this target was fixed for a two-year span beginning April 1, 1997. "We are still away from it," he added.

Neuburger was categoric that the overriding objective of Siemens in India was to make money and this meant that the business focus needed to be reviewed continuously. He noted that the company's electrical equipment and electronics business was difficult in India because of a small market. The key to success here was higher volumes and lower cost which were not easy to achieve.

Neuburger said that no decision had been made on the quantum of further investment in India as this would, to a large extent, depend on the findings of the Booz-Allen report. The Indian employees realised that therewas a need to improve productivity. As soon as the new business strategy is implemented, the company is hopeful of getting back on a good wicket, he added.

According to Neuburger, the company had initiated the process of selling some of its properties in Mumbai. A property at Worli was sold recently to the Great Eastern Shipping company for an undisclosed sum.

Earlier at the press conference, president and chief executive officer of Siemens AG, HV Pierer, said that the company would continue to pursue a rigorous policy of giving up business assets that did not generate additional value. He said that Siemens Real Estate Management - formed four years ago - had a clear business objective in selling all real estate that was not necessary for the company's operations or for its subsidiaries.

Pierer also announced that Siemens AG was focusing on repurchase of shares following the altered conditions in Germany's financial market. Publicly traded companies can now repurchase up to 10 per cent of their owncapital stock. Pierer said that once Siemens AG converted its accounting standard to the GAAP standard, it would be in a good position to list on the New York stock exchange.