Private Shipyards Banking On Defence Sector

With the global shipping market witnessing turmoil, private shipyards in India are banking on the defence sector to ride out the current crisis. Slowdown in demand for goods has led to frequent instances of cancellation of orders for ship owners, ship builders and shipyards.Consequently, this has also affected the businesses of logistics service providers (LSPs) and container operators, leaving them with few consignments.Under these circumstances, private shipyards are looking to drive business from the defence sector. Therefore, private shipyards like ABG Shipyard, Bharati and Pipavav are joining hands with international engineering firms like Rolls Royce, Wartsila Diesel and Yanmar Marine.While ABG Shipyard and Bharati Shipyard have already tied up with Rolls Royce to build ships for the Coast Guard, many others are planning to follow suit.One of the major concerns for the shipping industry in recent months has been the steep fall in orders for new vessels. At a time when the economic meltdown is impacting most trades across the world, demand for new ships has also declined significantly.Moreover, cancellation of orders is another cause for concern for the industry. The cancellation rate in the dry bulk vessel segment alone is nearly 15% of the global order books.Decline in the demand for new vessels has not only affected the shipping industry, but also LSPs and container operators. Most of these companies, including small and mid-sized players, have incurred heavy losses in the last few months in the aftermath of the global crisis.They were hoping that new vessels would bring in more cargo handling orders, and thereby help them recover their losses. But a fall in orders for new ships has put their hopes to rest for the time being.According to Shantanu Ghosh, Administrative Manager, Raj Hamsa Ultralights Private Limited, a mid-sized Bengaluru-based logistics company, "The rough phase that the shipping industry is presently going through has also taken a toll on the logistics players. With funds drying up fast for most companies, it is becoming increasingly difficult to survive the present crisis. Hence, if the shipping industry can acquire some business from the defence sector, it would be helpful for both logistics and shipping companies."

By : David Parks

Paper Mill Saves With Nsk Reconditioning Program

NSK Corporation is pleased to announce the introduction of its bearing reconditioning program. As the economy continues its descent into recession, businesses are evaluating every dollar they spend, aiming to cut costs without sacrificing quality and performance. Because bearings are critical in virtually every manufacturing and industrial application, they are the ideal place to explore cost reduction opportunities.
No industry is immune to the current economic climate, especially the hard-hit manufacturing sector. NSK offers a cost-effective method of reconditioning bearings to prevent costly replacement and reduce downtime associated with damaged bearings. Utilizing a reconditioning program also aids in reducing the potential long lead times of purchasing new bearings.
Paper mill bearings and many other types of bearings can be excellent candidates for the reconditioning program. "Bearing reconditioning is a precise science that provides superior results that extend the life of existing bearings, eliminating the need to discard or replace valuable parts," says NSK segment manager Donald Robertson. "Bearings reconditioned by NSK are just as reliable and perform just as well as their new counterparts, which makes them a cost-effective option for our customers seeking to reduce bearing replacement costs."
NSK's reconditioning program is generating significant cost savings for customers. For instance, after being contacted by a global paper company to improve the current cost-saving program at a Michigan mill, NSK was able to save the company more than $75,000 by inspecting and reconditioning existing bearings, thereby avoiding complete replacement. NSK was also able to help the mill track and monitor the bearings during the reconditioning process, offering additional efficiencies for the mill.
For facilities with sister mills NSK can assist in establishing a shared program for reconditioning. A shared mill program could relieve excess inventories, reduce cost and offer reduced lead times for replacement. Programs such as these can be evaluated and established based on individual company needs.
Bearing damage can result from many factors - incorrect lubrication, improper installation, misalignment, excessive heat and vibration - all of which are every day challenges in industrial applications. NSK's reconditioning process can combat the effects of damage and significantly extend bearing life.
NSK will inspect customer bearings and provide a detailed inspection report along with the reconditioning quote. Working with NSK, customers are then able to proactively identify and correct issues that may be causing the bearing damage and thereby reduce future unexpected downtime.
About NSK Corporation NSK Corporation is a member of the NSK Ltd. Group of companies headquartered in Tokyo, Japan. As one of the world's leading bearing manufacturers, it produces and distributes over 100,000 different types of bearings, linear motion and automotive component products.
In the United States, NSK operates with strategically located distribution centers that supply both the original equipment and industrial distribution market. Its network of authorized distributors has the expertise, inventory and delivery systems to meet industry needs, working in partnership with NSK sales and engineering teams to ensure those needs are met with precision and speed. For more information, visit www.us.nsk.com.
About NSK Limited Headquartered in Tokyo, Japan, NSK Limited is a world-class producer and innovator of motion and control products. Established in 1916, NSK became a world leader in the industry because of an intense commitment to engineering research, modern manufacturing processes and superior quality.
Today, the company is one of the world's largest bearing manufacturers, employs over 25,000 people worldwide, has 60 global manufacturing facilities and 127 sales offices, operates 12 technology centers and produces and distributes over 100,000 different types of bearings, linear motion and automotive component products. For more information, visit www.thinknsk.com.

By : stephanie eldred

Shareholders' Rights Directive

The Shareholders' Rights Directive will be introduced into UK law in August 2009. According to the Department for Business Enterprise and Regulatory Reform (‘BERR'), which is responsible for implementing the Directive, the aim is to: ‘improve corporate governance in EU companies traded on regulated markets by enabling shareholders to exercise their voting rights and rights to information across borders'. Many of the provisions in the Directive are already in force in the UK, through the existing legal and governance framework. BERR is currently consulting on the following changes which, when agreed, will be implemented through amendments to the Companies Act 2006: advance notice and prior information for meetingsCompanies will be required to give 21 days' Notice for Annual General Meetings, and 14 days for General Meetings (previously Extraordinary General Meetings) and to publish documents relating to the meeting on the internet. the abolition of "share blocking"The UK system, whereby shareholders or their proxies are "validated" for voting on a date before a company's general meeting and shares can be traded after that date, will now be formally adopted into UK law. removal of legal obstacles to electronic participationUK quoted companies already make wide use of voting by electronic means and this will now be expressly permitted within the Companies Act. shareholders' rights to ask questions at meetingsAn obligation on a company to answer questions at general meetings will be included in the Companies Act, which will formalise the arrangements in a company's memorandum and articles. voting by proxyBERR is planning various changes to the requirements relating to proxy voting in order to clarify the position for nominee shareholders voting by proxy and to enable shareholders to vote directly by correspondence without appointing a proxy.members' powers to require directors to call general meetingsThis provision, which sets the minimum share capital required to exercise the power will cover all companies (not just traded companies) in order to maintain consistency.

By : Marta

C Corporation Considerations

A C Corp has the widest range of deductions and expenses allowed by the IRS, especially in the area of employee fringe benefits. A C Corp can set up medical reimbursement and other employee benefits, and deduct the costs of running these programs, including all premiums paid. The employees, including you as the owner/shareholder, will also not pay taxes on the value of those benefits. This is not the case in a flow-through entity, such as an S Corp, LLC or LP. In each of those cases the entity may write off the costs of the benefits, but any employee/shareholder who owns more than 2% of the entity will pay taxes on the value of their benefits received. So, if having the maximum deductions and all of the employee fringe benefits on a tax-free basis is important to you, a C Corp may be your entity choice.C corporations are great for a business that sells products, has a storefront and employees, and may or may not have a warehouse where it keeps its inventory. C Corps don't work well with businesses that want to hold appreciating assets, such as real estate, because of the tax treatment on the sale of these assets.The most often-cited disadvantage of using a C Corp is the "double-taxation" issue. Double-taxation happens when a C Corp has a profit left over at the end of the year and wants to distribute it to the shareholders as a dividend. The C Corp has already paid taxes on that profit, but once it distributes the profit to its shareholders, those shareholders will have to declare the dividends they receive as income on their personal tax returns, and pay taxes again, at their own personal rates.There are many things you can do to avoid the double-taxation scenario. Structure the C Corp so that there are no profits left over -- use all of the write-offs and deductions allowed by the IRS to reduce the C Corp's net income. Offer great benefit plans! Pay higher salaries to yourself and the other owner/employees than you would if you were using a flow-through entity such as an S Corp. Yes, you will have to pay payroll taxes and personal income taxes on those monies, but you would pay personal taxes on dividends paid to you anyway. And it may be that in the big picture, the savings on one side outweigh the additional taxes paid on the other side.The decision as to what entity is best for you really does, in so many cases, hinge on taxes, and that is why, with any corporate-related decision, you are wise to seek the advice and assistance of a good CPA.Some quick things to note on C Corps:· They can have an unlimited amount of shareholders, from anywhere in the world.· For Nevada and Wyoming corporations, officers and directors can reside anywhere in the world;· They can have several different classes of shares.· They are the most widely recognized business entity in the world, and are the premier entity for going public.In Nevada and Wyoming, nominee, or stand-in, officers and directors can be utilized, adding extra levels of privacy.While we like and often use S Corporations, we keenly appreciate that C Corporations have their merit and place in your entity structure strategy.

By : Garrett Sutton