Philips India managing director K Ramachandran, who was in Pune to formallytransfer the company's Loni facility, said Philips will conclude the sale ofthe Salt Lake facility in Calcutta to Videocon by end of this month. Withthe Supreme Court dismissing the petition of the employee shareholders, thesale will be through at a agreed price of Rs 9 crore, Ramachandran said.

The transfer of the passive components business involves the shift of 667existing employees to the new company with full benefit of continuity oftheir service in Philips. BC components India will also have rights to alllicences, permits, consents, approvals and other benefits and relatedliabilities of the non-ceramic unit. A BC components release issued onWednesday states: "In a strategic move BC components India has started itsoperations from its facility at Loni in Maharashtra."

The Indian subsidiary of BC components will benefit from the access to R&Dtechnology centres for all its products and also with new exportopportunities through its marketing network. Ramachandran said: "The saleof the components business will not have any impact on Philips' business asit accounted for hardly 3 to 4 cent of the company's sales. This ensuresthat non-core business with good future prospects can sustain as stand aloneentities."

"Most of the hard restructuring decisions like reduction of headcount andfinancial restructuring - are behind us. Between 2000 and 2005 we seetopline growth of around 12 to 16 per cent annualised," Ramachandranadded.

Board expanded, additional director appointed
The Philips India board has been expanded with Johan A van Splunter, takingover as additional director on the company's board. Prior to the currentappointment, Splunter was president and chairman of Philips Electronics AsiaPacific, Singapore. He has been working for Philips since 1969.

Managing director K Ramachandran said: "van Splunter's knowledge of Philipsand his responsibilities in the region brings to the board great value andperspective. His appointment will strengthen the board and is yet anotherindicator of the parent company's long-term commitment.

The list of directors on the Philips board includes chairman SM Datta,vice-chairman and managing director K Ramachandran, finance director ABrandts besides JN Sapru, RA Shah, S Dasgupta, SC Jha, Frans van Houten andJohan A van Splunter.