| L&T plunges on bad hedge call disclosure |
| BS Reporter / Mumbai March 11, 2008 |
| Engineering major Larsen & Toubro Ltd (L&T) on Monday said that one of its subsidiaries in West Asia may incur a loss of Rs 200 crore on commodity-hedging bets gone wrong, erasing last year's profit at the unit. |
| The L&T stock fell by 8.68 per cent and closed at Rs 2,728.80 on the Bombay Stock Exchange, exacerbated by the early decline in the market. |
| L&T International FZE, a Sharjah (United Arab Emirates)-based arm of L&T, may post a loss of Rs 200 crore because it bet against a decline in prices of zinc and other commodities, L&T Chief Financial Officer YM Deosthalee told BS. The disclosure came after television channels reported a brokerage call on the issue. |
