Indian Hotels Company Limited (IHCL), a Tata group company that runs the Taj Hotels Resorts and Palaces chain of hotels, is tightening its belt and plans to freeze recruitment and salaries for the year 2009-10. It also said that the workforce requirements for new properties will be filled through internal deployment. Talking to the media persons at the 108 th annual general meeting of the company, RK Krishna Kumar, vice-chairman, IHCL, said, ?We expect to save excess of Rs 15 crore alone on staff and salary measures.?
The company has set a side a capex plan of Rs 350 crore for the current financial year (FY?10) and plans to look at serving its standing debt of Rs 1766.47 crore as at March 31, 2009 through various financing options – quasi-equity or equity ? etc, said Ratan N Tata, chairman of the company. The company has appointed Arnavaz Aga and Nadir Godrej on the board of directors.
For the quarter ended June 30, 2009, the company has reported a net profit of Rs 16.44 core as against Rs 61.27 crore during the same period last year. Total income of the company stood at Rs 284.88 crore
The company is currently completing its new hotel projects, including the Falaknuma Palace (Hyderabad), Vivanta by Taj (Yeshwantpur) and Vivanta by Taj (Dwarka). It is currently focusing on completing the projects under construction and has no plans of making any investment till the end of 2009.