Financial Times

Lake House, Rupavahini to be restructured- PERC
The Lake House newspapers' group, Rupavahini, ITN and the Information Department are among state enterprises listed for restructuring by the Public Enterprises Reform Commission (PERC).

Among other agencies slated for restructuring are the Ceylon Hotels Corporation Ltd, Rest Houses belonging to the UDA, Ceylon Ceramics Corporation, State Engineering Corporation Ltd., Lanka General Trading Company Ltd, Building Materials Corporation and CEY-NOR Foundation Ltd.

PERC, which now comes under President Chandrika Kumaratunga, has also provided details - according to information available on its website - about the expressions of interest (EOI) relating to several state firms. They are:

Embilipitiya Paper Mills - Re-development -EOI closed on April 6; BCC - Re-development -EOI closed on March 28; James Peiris Mawatha Land - Development of 11 Acres - EOI closed on March 31; Hingurana Sugar Mill - Re-development -EOI closed on April 11; Union Place Property (3/4 Acre Land + Building) - Sale - Bids closed on April 7; Eppawala Phosphate Project Development - EOI closed on April 25;

Elkaduwa Plantation Estates - Leases - Bids closed on April 20; Kantale Sugar Mill - Re-development - EOIs closed on April 25; BCC Land - 2-Acre Block Sale - EOIs closed on April 25; Kahatagaha Mine - Re-development - EOIs closed on April 26; JEDB - Plantations / Estates - Leases -EOIs closed on May 3; SLSPC - Plantations / Estates - Leases - EOIs closed on May 3, and Lanka Salt Ltd. - Divestiture - EOIs close on May 9

PERC, responsible for the divesture of 98 state ventures since June 1986, said it has begun a review/survey of all divestitures aimed at examining, evaluating and assessing the impact and also assessing successes or failures.

The agency has sent letters forwarding a questionnaire to these enterprises seeking information on:

Growth, development and diversification; growth in employment generation; market position vis-à-vis products and/or services; financial stability, viability/profitability; divestiture proceeds and contribution to government by way of taxation, etc.; impact on the share market and market capitalization; impact on the consumer public and problems faced during the process of divestiture and thereafter.

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