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Mumbai, Sep 21 (UNI) Engineering and construction major, Larsen&Toubro (L&T) has decided to expand the capacity of its Electrical and Electronics Division (EBG) at its facility at MIDC in Ahmednagar.

Accordingly, L&T's Chairman&Managing Director A M Naik laid the foundation of Switchboard manufacturing plant that will have a constructed area of more than 250,000 sq feet, a company's release issued here today said. The total expansion programme for businesses at Ahmednagar facility envisages investment of Rs 90 crore.

The construction of 150,000 sq feet factory will be completed by the middle of financial year 2007-08. Post expansion, this division is expected to generate revenue of Rs 150 crore in the first year of operation and will employ more than 100 direct and 300 indirect people.

This factory, over a period of four to five years, is expected to generate revenue of Rs 350 crore and would generate both, direct and indirect employment for 1,300 people.

Under its plans of growing building electrical business, the Modular Devices factory has already started operation and employs 150 people. A plan for expanding this business from 1.5 million units to 10.5 million units has been put in place that is expected to be completed within two years. The additional space requirement for this business will be met by additional construction. This would generate revenue of Rs 50 crore in the first year of commissioning.

Commenting on this occasion, Mr Naik said, ''L&T is already on a high growth path. All our initiatives and investments are directed towards making the organization a true Indian multinational and adding continuous value for meeting shareholders' expectations.'' L&T President-Operations&Member of the Board R N Mukhija said, ''L