39 sick PSEs revived, making profit

August 19th, 2010 - 9:16 pm ICT by IANS  

New Delhi, Aug 19 (IANS) All the 39 sick public sector enterprises, which were provided assistance to revive their operations, have posted profit, the government said Thursday.
The government in 2004 had established the Board of Reconstruction of Public Sector Enterprises (BRPSE) to strengthen and modernise sick PSUs. BRPSE had recommended for revival of 59 Central Public Sector Enterprises (CPSEs).

“Among these 39 CPSEs, 20 posted profit in 2008-09 and 15 CPSEs posted profit in 2007-08 and 2008-09. As many as 11 CPSEs posted profit consecutively in 2006-07, 2007-08 and 2008-09,” Minister of State for Heavy Industries and Public Enterprises Arun Yadav informed the Lok Sabha.

“The government have approved revival package of 39 CPSEs involving a total assistance of Rs. 23,581 crore,” he said.

According to Yadav, the CPSEs are incurring losses due to obsolete plants, machinery and lack of adequate investments.

The top three loss-making CPSEs are ITI Limited, National Jute Manufactures Corporation Limited and Hindustan Cables with losses of Rs.668.18 crore, Rs.583.67 crore and Rs.445.37 crore respectively.

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