Wipro says it’s unaffected by client GM’s bankruptcy

By IANS,

Mumbai : Software giant Wipro’s revenues will not be affected because of the bankruptcy of Detroit-based customer General Motors Corp, the Indian IT bellwether said in a regulatory filing Wednesday.


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“General Motors accounts for less than 1 percent of Wipro’s IT services segment revenue, and our assessment is that a substantial portion is expected to continue,” the company statement read.

“Our accounts receivable as on the date of filing is under $8 million. Based on our current assessment, we do not expect significant adverse impact on account of this development,” it added.

General Motors had filed for bankruptcy Monday, becoming the largest-ever US manufacturer to enter the court process and marking the latest dark chapter for the struggling US auto industry.

Wipro posted a net profit of Rs.38.99 billion (Rs.3,899 crore) for fiscal 2008-09, registering a 19 percent year-on-year growth.

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