The Origin

Year of Establishment February 1984

Founder Dr. Anji Reddy Entrepreneur Scientist

1980-84 Standard Organics Limited1976-80 Uniloids Limited1969-75 Indian Drugs and Pharmaceuticals Limited

Dr.Reddy’s under Dr. Anji Reddy

Pioneer and Trendsetter in Indian Pharmaceutical industry

Turned around Indian Bulk Drug industry Indian Bulk Drug industry

Mid-80s Import-dependentMid-90s Self-reliant2000 onwards Export-oriented industry

Transformed industry sobriquet from ‘Immitators’ to ‘Innovators’

1st Indian Pharma Company to take up Drug Discovery research

Corporate Overview

We are …An Integrated Global Pharmaceutical Company

Our Purpose:“To help people lead healthier lives”

Our Vision: “To become a discovery led global pharmaceutical company”

Dual Impact Approach

Improve accessibility through generic pharmaceuticals

Satisfy unmet medical needs through new and improved pharmaceuticals

Global Presence

Focus on US, Germany, India and Russia

Wholly-owned subsidiaries in the USA, UK, Russia, Brazil, New Zealand, Turkey and Mexico

Joint Ventures in China, South Africa and Australia

Representative Offices in 16 countries

3rd party Distribution setups in 23 countries

Near- Medium Term Value Creation Medium-Long Term Value Creation

PSAI

Our Businesses

Our Businesses : APIs

Consistent Track Record : Profitable growth in last four years

Products Commercialized in Regulated Market : More than 25

Products Commercialized in Near-Regulated Markets : More than 100

Strong Relationships : Top tier global and regional generic players in key markets

Add Strategic Value : To the company’s finished dosage businesses globally

Core Platform : Provides high degree of vertical integration & cost advantage

Strong Customer Base : Servicing more than 800 customers spread over 100 countries and Six continents

Our Businesses : APIs

Regulatory Strengths

Ranked No. 3 in US DMF filings Globally

Ranked No. 1 in US DMF filings from India

Dr. Reddy’s has

127 Active US DMFs

50 Canadian DMFs

69 EDMFs

21 CEPs

Our Businesses : APIs

Operations Capabilities

Capabilities in Major Chemistries : 24

Reaction Volume with Concurrent scaling-up and Piloting : Over 2.3Mn Litres

State-of-the-art Equipment and Instruments : Six USFDA approved plants

in India One USFDA approved plant in Mexico One USFDA inspected plant in Mirfield, UK

Fully Integrated Operations : Supply chain and ERP systems (SAP R/3)

Environmental Compliance : Contributing to a sustainable world with zero liquid

discharge systems

HPAI : Developed and commercialized Highly Potent Active Ingredients for Oncology formulations

Our Businesses : Custom Pharmaceutical Services

We are a partner of choice for Innovator companies with service offerings spanning the entire value chain

Strengths : Mexico provides critical mass and broadens relationship with Innovator companies

Dowpharma/Chirotech acquisition in UK provides proprietary chiral and biocatalysis technology

Services : Process research Analytical development Preformulation and formulation development

Clinical trial supplies Pilot scale manufacture ( API and Dosage

Forms) Product regulatory support

Broad Client Base

Large Pharma : More than Five

Emerging Pharma, Biotech & Fine Chemical : More than Ten

R&D facilities : Three Centres with over 300 chemists & engineers well-skilled in cGMP requirement Separate Labs for Formulation development . Total strength of 60 scientists

Organic Chemistry Labs : Twenty One

Formulation Development: Three

Analytical Labs : Three

Kilo Lab : One

Unique ManufacturingCapabilities : Steroid and Cytotoxic

Our Businesses : Custom Pharmaceutical Services

Our Businesses : Generic Finished Dosages

Current Presence: USA, Germany, UK, Spain and Italy

NA Established in 2001, Over 29 products in the market 11 new products families launched in FY08 Launched Private Label (Store Brand) OTC Ranitidine 150, Ranitidine 75, Cetirizine 10mg in FY08

NA Established in 2001, Over 29 products in the market 11 new products families launched in FY08 Launched Private Label (Store Brand) OTC Ranitidine 150, Ranitidine 75, Cetirizine 10mg in FY08

EU Started operations in 1999, Acquisition of BMS in 2002 – over 30 products Acquisition of betapharm in 2006 – 145 products 5th largest branded generic player in Germany Acquisition of Jet Generici Srl. In Italy

EU Started operations in 1999, Acquisition of BMS in 2002 – over 30 products Acquisition of betapharm in 2006 – 145 products 5th largest branded generic player in Germany Acquisition of Jet Generici Srl. In Italy

Key Strengths

Excellent control over supply chain

We encompass all critical capabilities - Process development, Submission of API dossier, Patent & manufacturing expertise

Cost-effective/high speed development

Track record of successful ‘Day 1 launches’ with significant market share

Our expertise in packaging recognized – WORLDSTAR, ASIASTAR, AMERISTAR

DIANA Award for North America recognizing efficient & innovative business practices.

Our Businesses : Generic Finished Dosages

Our Businesses : Branded Finished Dosages

Track Record : Consistent growth and sustainable delivery of profits in last 16 quarters

Market Presence : Products in over 45 countries

Significant Presence : India (Ranked 10th) Russia (Ranked 14th in retail

segment)

Market Sales Force : Over 2,000 (India, Russia, China)

Focus on New Product Launches : 15-20 new products launched

annually

Geography Expansion : Australia, New Zealand, Turkey

Building Scale : South Africa, Brazil, Mexico

Our Businesses : Branded Finished Dosages

Broad Therapeutic Area Coverage

Our Businesses : Branded Finished Dosages

More than 200 brands collectively

Top Brands

Omez (Omeprazole) No. 1 in 14 countries

Stamlo (Amlodipine) No. 1 in 8 countries

Nise (Nimesulide) No. 1 in 7 countries

Ciprolet (Ciprofloxacin) No. 1 in 5 countries

Ketorol (Ketorolac) No. 1 in 5 countries

Enam (Enamapril) No. 1 in 2 countries

Our Businesses : Branded Finished Dosages

Global Oncology – Niche Therapeutic Area

Leading position in India; growing at ~ 40%

No 1 in the Filgrastim and Oxaliplatin markets

No 2 in the Gemcitabine, Docetaxel and Temozolomide markets

Global commercialization presence in US, Europe, India,Russia, South Africa & Brazil

Strong Biologics & Cytotoxic Manufacturing Infrastructure to address the need of Oncology Market

Robust portfolio of Targeted Therapies, Cytotoxic ,Anti-Hormonal & also the Supportive Care

Successful track record in business development & strategic alliances

Two Discovery Research Centers

Hyderabad, India for analog based approach

Atlanta, USA for target-based approach

NCEs under development : Three; with focus on cardiovascular, metabolic disorders and cancer

Calibrated Investments : For enhancing pre-clinical pipeline

Accelerating Clinical Development : Both in-house and through

partnerships

Focus : Core therapeutic areas with a project-based approach

Scientists : Over 300

Our Businesses : Discovery Research

Building : A branded, innovation-based business of differentiated products

A Bridge :Between Core Businesses and Ongoing Discovery Efforts

Technologies acquired from Trigenesis

7 Products with marketing rights across geographies and

technologies

Internally developed proprietary drug delivery platforms

(Ex. Micro-Spheres)

Current internal compounds under pre-clinical and clinical

development (Ex. Biologics, NCEs, etc)

Focus TAs : Dermatology and Oncology

Strong, Targeted Business Development Effort : To accelerate market entry &

achieve critical mass

Our Businesses : Specialty Pharmaceuticals

Aspirations

Build a world-class Biosimilar development and commercialization organization

Leverage capabilities to accelerate the move up the Biologics Value Chain

Products

Grafeel® (biosimilar G-CSF) launched in India and multiple other geographies including Latin America, South East Asia & CIS countries

Reditux® (biosimilar rituximab) launched in India

Medium term entry in Europe and North America

Pipeline

Two products in / near clinical development

Six products in pre-clinical development

Our Businesses : Biologics

PeopleTeam of 250 with 35 PhDs comprising scientists with significant experience in big biotech/pharmaceutical companies in US/EU

Development InfrastructureR&D facility that can accommodate parallel development of upto four products with state-of-art facilitiesWorld class animal facility dedicated to Biologics for pre-clinical studies

Manufacturing CapacityMammalian cell culture capacity: 800 (4 X 200) LitresMicrobial fermentation capacity Large-scale mammalian cell culture capacity expansion (15000 Litres) by 2010Integrated fill-finish capabilities

Our Businesses : Biologics

Infrastructure Bandwidth

API Facilities : Six FDA-Inspected plants in India One FDA-Inspected plant in Mexico One FDA-Inspected plant in Mirfield, UK

more than 2.3 million litres reaction volume

Finished Dosage Units : Six in India, With ISO 14001 and ISO 9001 certifications, Approved by USFDA, MHRA (UK), MCC (South Africa), TGA (Australia), ANVISA (Brazil), TPP (Canada) One FDA-Inspected plant in USA

Biologics Facility : One in India, audited by multiple regulatory agencies

Custom PharmaceuticalServices : Two Technology Development Centres (TDC)

in India and One in Cambridge, UK

Discovery ResearchCentres : Hyderabad, India

Atlanta, USA

Integrated Product Development – a strong platform

State-of-the-art IPDO FacilityFirst of its kind in India.

Creating a Prolific Global Generics Product Development EngineCreating a Prolific Global Generics Product Development Engine

R&D Team | Over 700

Regulatory Team | Over 55

IP Team | Over 50

Integrate the product development activity of APIs and Finished Dosages

Increase speed, flexibility and reliability

Effective combination of chemistry and formulation skills with legal, regulatory and IP expertise

Integrate the product development activity of APIs and Finished Dosages

Increase speed, flexibility and reliability

Effective combination of chemistry and formulation skills with legal, regulatory and IP expertise

Integrated Business Model

Drug DiscoveryDrug Discovery

Pharmaceutical Services and Active Ingredients

Pharmaceutical Services and Active Ingredients

Finished DosagesFinished Dosages

Sales & Marketing

Capabilities

Sales & Marketing

Capabilities

IP Framework

IP Framework

Manufacturing & Operational

Excellence

Manufacturing & Operational

Excellence

R&D ExpertiseR&D Expertise

Strategic value across the value-chain

Ability to secure long-term cost competitiveness

Leverage R&D (scale & infrastructure) across business

Corporate Governance

Committed to progressive governance

Adopted international governance practices & processes

Commitment to highest standards of disclosures & transparency

Only Pharma company from India to be listed on the New York Stock Exchange

SOX Compliance

Code of Business Ethics

Financial SnapshotW

orl

d W

ide

Rev

enu

es

(USD Mn)

Financial Year

Business-wise revenues for Q1 FY09

Merck deal : Launched the AG version of Zocor® & Proscar® in June’06; Settled Propecia

GSK deal : Settlement in October’06 and enables early launch of AG version of Immitrex® in the US in Q4 CY08 ahead of patent expiry in Feb 09

Authorized Generics & Patent Settlements

Co-development & commercialization of NCEs : Rheoscience for Balaglitazone, Argenta for new approach to treat COPD(1), ClinTec International for DRF 1042

Expanding Portfolio : Partnerships and alliances in the US/EU, global in-licensing for rest of the world markets

Pursuing Partnership & Alliances

Dow Pharma: A non-exclusive license to Dow’s Pfenex Expression Technology™ for biocatalysis development.

BASF: Strengthen the supply chain for North America

betapharm : Access to 2nd largest generics market globally with significant entry barriers

Falcon (Mexico) : Build critical mass and broad-base customer relationships with innovator companies in the Custom Pharmaceutical Services segment

Acquisitions

(1) Chronic Obstructive Pulmonary Diseases

Business Development

World wide employees : 9500+ India : 7878

Germany : 394

Rest of Europe : 101

North America : 109

Mexico : 322

Rest of the World : 771

1700+ Research & Scientific staff

3300+ Marketing & Sales force

3300 + Manufacturing staff

40 + Nationalities

Attract, Develop and Retain : Multi-skilled high-performers

Create : A learning organization

Develop and Nurture : Young leaders

Promote : Teamwork and collaboration

Build : A diverse workforce and meritocracy

People – Our DNA

Talent Management

Learning and Development

PerfECT (Performance Enhancement and Coaching Tools)

Organizational Climate Survey

Annual Celebrations to recognize excellence

3600 feedback Survey

Alumni Network – Friends Forever

Fast-tracker program

Acceleration of career growth for high-performers

People – Our DNA

Track record

2008 Acquisition of BASF’ facility at Shreveport, US

2008 Aquisiton of Dowpharma SmallMolecules business associated with Dow’s Mirfield and Cambridge, UK Sites

2007 World’s first biosimilar monoclonal anti-body ,Reditux (rituximab) launched

2007 Fastest Indian Pharma Company to cross $1billion in annual revenue

2006 1st manufacturing company to be Sarbanes-Oxley certified

2006 1st authorized generic deal with multinational pharma

2006 Key acquisition betapharm (Germany)

2005 Key acquisition “Falcon” (Mexico)

2001 1st to be listed on the New York Stock Exchange

1997 1st to out-license an NCE to a multinational pharma

1993 Discovery Research commenced

1993199719972001200120052005200620062007200720082008

Commitment to Sustainability

We are committed to Access and Affordability of medicines through a business model that prioritizes the manufacture of affordable generic medicines and investment in discovery of new molecules that meet unmet and poorly met medical needs.

To help people lead healthier lives through global access to medicine

Customer: FDA approved, Product safety (Pharmco vigilance)

Zero Liquid Discharge & SHE technologies

Environment: ISO 14001 & OHSAS 18001certified facilities

Suppliers: mySAP business Suite

Corporate Governance

Employees: Policies / Talent Mgmt Board / Leadership devpt / BPE

Patient Assistance Programs & DRHFE

Employee Engagement - Volunteer Program & Power of Ten

Dr.Reddy’s Foundation – Livelihoods & Education

Triple Bottom Line Approach…

Nurture & Train : Employable young adults from financially weak backgrounds

Livelihoods created so far : 1,50,000

Aim : To create 1 million livelihoods by 2010

Centres : Sri Lanka and Vietnam

Tie-up : With major corporates for customized manpower training

Result:

Over 80% beneficiaries reported an increase in their earnings through successful recruitment or by becoming entrepreneurs

Triple Bottom Line Approach…

Achievements

NDTV Profit Business Leadership Awards 2007 Business Leader in the Pharmaceutical Sector

NDTV Profit Business Leadership Awards 2007 Business Leader in the Pharmaceutical Sector

Dun & Bradstreet American Express Corporate Awards 2007 Dun & Bradstreet American Express Corporate Awards 2007

Best Corporate Social Responsibility Initiative 2007 BSE - India

Best Corporate Social Responsibility Initiative 2007 BSE - India

Pharma Excellence Awards 2006-07 for sustained GrowthThe Indian Express

Pharma Excellence Awards 2006-07 for sustained GrowthThe Indian Express

Best Employers in India 2007 AwardHewitt Associates & The Economic TimesBest Employers in India 2007 AwardHewitt Associates & The Economic Times

Asia-Pacific HRM Congress 2007 Global HR Excellence Award for Innovative HR Practices

Asia-Pacific HRM Congress 2007 Global HR Excellence Award for Innovative HR Practices