Auto Axles falls 8% on production cut

MUMBAI: Shares of Automotive Axles slumped more than 8 per cent after it said it would shut down operations for at least a week due to slow demand.

In a statement to the stock exchanges, the company said the commercial vehicle market is witnessing a steep fall in the demand which has driven the company's original equipment customers to resort to shut down/lay offs, thus compelling compelling Automotive Axles to moderate the production for the next two months.

At 10:45 am, the stock pared some of its losses and was trading down 3.47 per cent at Rs 121 after falling to a low of Rs 116 in early trade.