| The B K Birla group outfit Mangalam Timber Products (MTPL) has finally come out of BIFR after seven years.
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| The managing director of Magalam Timber, G S Gupta informed that the BIFR has officially conveyed the matter to the company on November 22.
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| He claimed that in last 2-3 years, the company has brought down the accumulated losses from Rs 32 crore to Rs five crore till September 2005.
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| "This is one of the few instances that a sick company has finally come out of BIFR," a visibly delighted Gupta said.
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| He claimed that the company would now try to wipe out the accumulated losses completely.
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| "We are hopeful to wipe out accumulated losses by the middle of next year," he said.
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| The MTPL MD said he was hopeful that the it could wipe out the accumulated losses through generation of profit.
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| "We do not need to reduce paid up equity or any other measure to wipe out the losses," he added.
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| According to him, MTPL has taken up two fold strategy.
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| First, it would aim to improve the capacity utilisation and secondly, bring down the cost of raw materials through social forestry.
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| "We shall complete 16,500 acre social forestry this year taking the total to 40,000 acres," he said.
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| According to the MTPL MD, it would become self sufficient in raw materials by the end of 2007-08.
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| Incidentally, the company posted a net profit of Rs 1 crore over a turnover of Rs 26.3 crore in the half year ended September 30, 2005. |
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