Coal India (CIL) reported in line consolidated net sales of Rs195.9bn, up by 7.0% yoy in 3QFY16 in line with our expectation, due to higher coal off-take at 9.4% yoy. However, reported PAT, which was up by 13.9% yoy to Rs37.1bn came above our expectation due to better-than-expected operating margins. CIL has corrected recently by 30% as the GoI intends to disinvest 10% stake & a fall in e-auction coal prices which we believe is already discounted at the current valuations. We believe that the positive initiatives taken by the Ministry to address fuel issues are expected to bring faster developments on policy front....