Dunlop to submit revival plan afresh

Dunlop India will submit a revised rehabilitation to the Appellate Authority for Industrial and Financial Reconstruction (AAFIR) on the next date of hearing.

Addressing shareholders at the company's annual general meeting, P Balakrishnan, director, said the company was working on the rehabilitation and would table the revised plan on October 4, the date of AAFIR hearing.

The company had appointed National Productivity Council as consultant, for evaluating different options and would incorporate the council's recommendations in the revised rehabilitation scheme.

Balakrishnan said the scope of the study would cover the market impact of the starting of operations as also the factory premises. The recommendations would be accommodated in the draft rehabilitation scheme. The company had already infused Rs 26 crore towards it.

Balakrishnan also said the company had entered into a one time settlement with most of the banks like United Bank of India, Standard Chartered, Allhabad Bank, HSBC, State Bank of India and would start negotiations with the rest of the banks.

"There must be a radical change in the way we operate, mainly by bringing down manpower" he said.

In this context he mentioned, the help extended to the company by the West Bengal and Tamil Nadu governments. At present, Dunlop had 13 executives.

The company would also study the plant and machinery at the factories and the investment required to get them working. Dunlop sold some assets during the year and the generation from asset sales stood at Rs 66.85 crore. Balakrishnan added, Rs 102 crore of secured creditors were settled.