| The company has declared in its red herring draft prospectus that "certain of our subsidiaries and affiliates have incurred losses, which may adversely affect our results of operations". |
| The list of loss-making subsidiaries includes CMC America, Tata Consultancy Services France SA, Tata Consultancy Services Deutschland GMBH, Tata Information Technology (Shanghai) Company, Tata Consultancy Services Asia Pacific Pte, Tata Consultancy Services Malaysia, TCS Iberoamerica SA, TCS Solution Centre SA, TCS Argentina SA, TCS Brazil, Tata Consultancy Services De Espana, Tata Consultancy Services De Mexico and AP Online. |
| Further, Intelenet Global Services, which is a 50:50 joint venture between TCS and HDFC, also incurred a loss of Rs 3.65 crore in the 18-month period ending March 2002 and a Rs 2 crore loss in fiscal 2003. |
| TCS has also said that although these losses can be primarily attributed to the initial set-up and start-up costs, any further losses in these subsidiaries or affiliates may adversely affect its business and profitability. |
| In addition to its loss-making subsidiaries, TCS has 12 other arms spread over the US, Europe, South America and Asia Pacific. |
| These companies include Tata America International Corporation, TCS Netherlands BV, TCS Italia SRL, TCS Belgium SA, TCS Svergie AB, TCS Japan, CMC (where TCS has a 51.12 per cent stake), Airline Financial Support Services, Aviation Software Development Consultancy India, TCS Inversiones Chile, TCS Chile SA and TCS Do Brasil SA. |
| TCS also has four affiliate companies "" Intelenet, the Chennai-based WTI where the company owns 39.61 per cent, South African company Conscripti Pty in which the company has a 20 per cent stake and HOTV where it has a 47.4 per cent holding. |
| The ailing subsidiaries |
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