
2/45

2

Keynote Speech by Polymath Dr ArunShourie!

Dr Shourie is arguably the father of Indias on-going bull run through his divestment initiativeas former Minister of Divestment & Telecom. He is the author of dozens of acclaimed books

addressing virtually EVERY STRATEGIC problem India faces. Excerpts:

Demographic changes: Jobless growth in India could lead to multifarious social tensions - 100mn jobs to be created in the next 5 yrs!

Europe: Socio-political impact on rest of world due to demographic/ religious transformations in Europe

Geo politics: India encircled by extremist Pakistan, Maoist Nepal, emerging fundamentalism in Bangladesh, internal strife in Sri

Lanka & Chinese backed military junta in Myanmar

US: May not be able to hold on to Iraq and Afghanistan for long any evacuation of troops will be claimed as victory

by fundamentalists and create a very unstable and volatile neighborhood for India

China: A superpower with not very honorable designs on India:` Repeated military incursions into Indian territory by the Chinese in the recent past

` Reiteration of claim over Arunachal Pradesh (a crucial border state, where we also have Gas)

Indo-US Nuke deal:

Sovereignty: Fine print of the agreement being ignored. Signing the deal tantamount to getting into the NPT, whichIndia has avoided thus far

Expensive: Even at peak ests, India can only generate about 30000+ MW through nuclear power (ie only 4% of

needs) at a huge investment of ~USD 90bn, while compromising on sovereignty & better choices. Eg current Indian

T&D losses are multiples of what nuclear energy could provide us the MAJOR thrust should be HERE!

Hydel: For the same USD 90 bn, we could underwrite Nepals entire fiscal deficit of USD 1.5bn per annum for the next

60 years & negotiate to get Hydel power with them. This would also cure the perennial problem of floods in UP & Biharand win an ally in an unfriendly neighborhood


3/45

3

Conference Speakers

Source: Bloomberg

Note: Enam has current investment banking mandates with some cos, whose highlights have been omitted

Company Name Mkt Cap(USD mn) Speakers PageNo Company Name Mkt Cap(USD mn) Speakers PageNo

Aditya Birla Nuvo 3,677 Mr. Adesh Gupta 4 NHPC Unlisted Mr. Taneja -

AIA Engineering 733 Mr. Bhadresh Shah 5 NTPC 49,218 Mr. A. K. Singhal 22

Bank of Maharashtra 833 Mr. M. D. Mallya 6 Patel Engineering 1,153 Mr. Sonal Patel 23

Cairn India 9,525 Mr. Indrajit Banerjee 7 Peninsula Land 783 Mr. Rajeev Piramal 24

CCCL 898 Mr. Sarabeswar 8 Punj Lloyd 3,742 Mr. Luv Chabbra 25Dish TV 886 Mr. Arun Kapoor 9 Redington 806 Mr. Raj Shankar 26

Emaar MGF Unlisted Mr. Sanjay Baweja - Reliance Energy 10,263 Mr. Lalit Jalan -

ENIL 622 Mr. Subramanian 10 Reliance Capital 14,603 Mr. Praveen Challa 27

Financial Technologies 2,722 Mr. Shreekant Javalgekar 11 RIL Industries 104,524 Mr. Alok Agarwal 28

Future Group - Mr. Kishore Biyani/ S. Sain - State Bank of India 30,536 Mr S. S. Ranjan 29

Grasim 8,770 Mr. Sanjeev Bafna 12 Shiram Transport Fin. 1,490 Mr. R. Sridhar 30

HDIL 4,439 Mr. Sunny Wadhawan 13 Sterlite 18,489 Mr. Navin Agarwal 31

ICICI Pru Life Unlisted Mr. Satyan Jambunathan 14 Sun TV 3,784 Mr. K. Maran 32-33

Idea Cellular 8,136 Mr. Anil Jhala 15 Titan Industries 1,712 Mr. K. F. Kapadia 34-35

Infosys 23,111 Mr. Mohandas Pai 16 UTI AMC Unlisted Mr. Imtiazur Rahman -

Jai Corp 4,501 Mr. Anand Jain 17 Vishal Retail 395 Mr. R. C. Agarwal 36-37

Lanco 2,983 Mr. G. Venkatesh 18 Voltamp 414 Mr. K. S. Patel 38

Moser Baer 1,156 Mr. Yogesh Mathur 19 WWIL 384 Mr. Subhash Chandra 39

Mundra Port SEZ Unlisted Mr. Ameet Desai - Yes Bank 1,631 Mr. Rajat Monga 40

NDTV 556 Mr. Narayan Rao 20-21 Zee Ltd 3,146 Mr. Pradeep Guha 41-42

Zodiac Clothing 101 Mr. Anees Noorani 43-44


4/454

Aditya Birla Nuvo

Large, diversified & expanding conglomerate Fair mix of value & growth businesses. Growth businesses to continue to expand & receive

bulk of the investments (~Rs 36.2bn in FY07). Value businesses are in a consolidation

mode (cash flow generation of ~Rs 15.5bn in FY07)

Growth businesses exhibiting strong momentum

Insurance : New products and wider geographical reach (via increase in insurance

agents to 1lakh by FY08 end from the 72,000 currently) to drive market share gains and

emerge among the Top 3. Targeting 1,000 branches by FY09 from 339 currently

Telecom : Idea (mkt share at 9.1%) to continue expansion into tier-2 and tier-3 towns

with increased penetration the current focus. Mumbai & Bihar await spectrum allocation

Garments : Expects to expand footprint to 5lakh sq. ft. by FY08 end and 10lakh sq. ft.

FY10 from 3.6lakh sq. ft. currently. High rentals remain a key concern. To strengthen

brand equity and improve retail productivity BPO : Turnaround and scale benefits to improve realizations over the next 2-3 yrs

Value businesses to continue to aid growth businesses, while

maintaining strong positions in respective industries

Increased capacity in Carbon Black, Insulators, Rayon & Textiles Segment to consolidate

its existing leading position. Insulators remain a promising opportunity

Cash flows from value businesses deployed in growth businesses to drive momentum

Financial summary (CMP: Rs 1574)

Y/E Mar

Sales

(Rs mn)

EBITDA

(Rs mn)

PAT

(Rs mn)

Consensus

EPS* (Rs.)

EPS

(Rs.)

Change

(YoY %)

P/E

(x)

RoE

(%)

RoCE

(%)

EV/EBITDA

(x)

2006 48,136 6,119 2,081 - 24.9 131 29.8 13.2 12.5 14.0

2007 82,580 11,421 2,804 - 30.1 21 35.3 9.9 10.5 13.32008E 100,951 13,230 2,825 34.9 30.3 1 52.0 7.5 9.6 14.6

2009E 122,075 16,264 3,832 47.7 41.1 36 38.3 9.3 12.1 11.0

Source: Company, ENAM estimates; *Consensus broker estimates

0

3,000

6,000

9,000

12,000

Rayon

Carbon

Black

Insulators

Textiles

Fertilizer

s

Garments

Fin.

Svcs

LifeIns

.

Software B

PO

Telecom

(Rs mn)

Q2FY07 Q2FY08

Revenues

PBIT

(1,000)

(500)

0

5001,000

1,500

Rayon

Carbon

Black

Ins

ulators

Textiles

Fe

rtilizers

Ga

rments

Fin.

Svcs

L

ifeIns.

So

ftware

BPO

T

elecom

(Rs mn)

Q2FY07 Q2FY08


5/455

AIA Engineering

Capacity expansion Capacity expanded from 65,000 MT to 115,000MT in June 2007

Expect further addition of 50,000MT by March 2008 and another 100,000MT by March 2009 depending on SEZ

approval

Revenue guidance

FY08E Rs 7bn , FY09E Rs 10-11bn, FY10E- Rs 13bn ( even without the new SEZ) It will take ~1yr to construct the new plant after getting the SEZ notification and involve Rs 1.5bn capex

Margins have stabilized Q1FY08 result marred by raw material and rupee appreciation, but margins stabilized in Q2FY08

` AIAE has managed to take price hike and reset forex cover at Rs.39

The management believes that OPMs of at least 22-24% are sustainable going forward

International mining vertical status Response remains good, but will take orders only after new plant capacity stabilizes in 3-4months time

Mining market at 2.25 mn MT; growing at 3-4% p.a.` Currently over 95% is addressed by forged mill internals as against high chrome mill internals of AIAE


Y/E MarSales

(Rs mn)

PAT

(Rs mn)

Consensus

EPS* (Rs.)

EPS

(Rs.)

Change

(YoY %)

P/E

(x)

RoE

(%)

RoCE

(%)

EV/EBITDA

(x)

DPS

(Rs)

2006 4,067 533 - 30.0 43 20.5 28.4 36.5 11.3 2.9

2007 5,230 946 - 50.3 68 23.9 24.1 31.7 15.5 3.6

2008E 7,542 1,315 66.9 70.0 39 21.2 23.3 31.5 14.4 3.82009E 11,367 2,073 93.7 110.3 58 13.5 28.6 37.7 9.0 4.0



6/45

6

Bank of Maharashtra

Expand branch network Planning 35-40 new branches this year, of which 20-25 would be in Maharashtra

310 branches are already under CBS and another 290 branches would be brought under CBS covering 90% of the

branch network by Mar 2008

CASA, margins and asset quality

Expect improvement in NIM during the second half of FY08

Asset quality to improve, targeting GNPA levels of ~2.5% and NNPA of ~0.8% by March 2008

CASA expected to be in the range of ~43% by March-08 and deposit growth of ~25% expected

Initiatives

Customer database for better customer management is being developed and a fully developed software would berolled out in 8-9 months time

Providing extensive training to staff members to adopt to the new technology initiatives

Increased cross selling of products in retail space

Target is Rs 1.1 trillion worth of business by 2010


PAT EPS Change P/E BV P/BV NPAs P/Adj. BV RoE RoA

Y/E Mar (Rs. m) (Rs.) YoY (%) (x) (Rs.) (x) (%) (x) (%) (%)

2006 508 1.2 (71.3) 61.8 36 2.0 2.0 2.4 3.3 0.2

2007 2,718 6.3 435.3 11.5 40 1.8 1.2 2.2 16.7 0.8

2008E 3,585 8.3 31.9 8.7 45 1.6 0.8 1.8 19.6 0.8

2009E 4,357 10.1 21.5 7.2 52 1.4 0.8 1.6 20.8 0.8

Source: Company, ENAM estimates


7/45

7

Cairn India

Rajasthan block development on track Peak production from Northern fields (mainly MBA fields) to be 10-15% greater than the earlier reported 150,000 bpd,

on account of revised production target for Bhagyam field (40,000 bpd against 25,000 bpd earlier). FDP for Bhagyam

expected to be approved soon. Preparation of Mangala FDP addendum underway could bring further upside. First oil

expected by 2H CY2010

Preliminary study for implementation of EOR techniques at MBA fields has shown encouraging results. Early

implementation of this could result in improving recovery factor by 15-30% (from earlier 30%) and extend theproduction plateau by 4-6 years

Crude evacuation issue broadly settled Crude evacuation pipeline from Mangala to Salaya has been approved by the Government and the coordination with

the State Governments is underway for land related issues. The pipeline is expected to be complete in next 18-20

months Issues related to cess sharing and pricing of Rajasthan crude to be settled in 6-9 months( need to be resolved 6

months prior to first oil)

Pure play on crude oil CIL a pure play on crude prices, the outlook for which remains strong

Upside potential exists from 12 blocks in exploration stage in addition to two producing and one development block


Y/E DecSales

(Rs mn)

PAT

(Rs mn)

Consensus

EPS* (Rs.)

EPS

(Rs.)

Change

(YoY %)

P/E

(x)

RoE

(%)

RoCE

(%)

EV/EBITDA

(x)

DPS

(Rs)

2007E 8,788 3,238 1.2 1.8 (1,629.5) 0.0 6.0 8.5 187.5 0.2

2008E 8,200 2,601 1.6 1.5 (19.7) 0.0 4.6 6.6 (3.3) 0.2

2009E 36,330 21,828 21.7 12.3 739.3 142.4 32.7 34.2 79.7 1.42010E 84,795 57,289 30.8 32.2 162.5 17.0 56.2 63.6 12.8 3.7


--

--

-


8/45

8

Consolidated Construction Consortium

Current order backlog of ~Rs 21bn vs Rs 20bn at end of March 07 Repeat clients account for 57%.; avg. ticket size for repeat clients compared to new clients (Rs 245mn v/s Rs 147mn)

Revenue guidance of 100%+ growth for FY08E; going forward overall 45% CAGR in top line

and OPM of ~11% expected

Margins to improve only due to change in business mix with higher proportion of M&E and interiors coming in

Hurdle rate of 25% ROCE for undertaking any project; balance sheet reflects the same

HFY08 net working capital at Rs 3.2bn or 21% of annualized turnover ( well below industry average of 35-40%)

Working capital loans of Rs 1.4bn on books, cash of Rs 816mn and net Worth of Rs 2bn

Strategy - growth though JVs in new segments The company aims to be the leader in buildings and factory construction sector by 2012

In process of finalizing JV partner ( US based co.) for targeting airport orders of over Rs 5bn

Also formed JV with ABB and Spic Jurong of Singapore to bid for thermal power plants construction

Exploring possibility of JV to enter heavy civil works such as BoP for steel plants, oil and gas pipelines


Y/E MarchSales

(Rs mn)

PAT

(Rs mn)

EPS

(Rs.)

Change

(YoY %)

P/E

(x)

RoE

(%)

RoCE

(%)

EV/EBITDA

(x)

DPS

(Rs)

2006 4,252 190 6.4 (16) 126.1 23.3 30.2 69.0 0.7

2007 8,633 476 14.3 125 150.4 29.2 30.2 82.8 0.9

2008E 17,925 1,245 33.7 135 67.0 36.6 39.9 46.2 1.02009E 26,841 1,875 50.7 51 28.5 32.0 35.9 18.9 1.5



9/45

9

Dish TV

Dish TV leads with 2.4mn subscribers to touch 7.9mn by 2011E (@ 20,000 subs. per week) Revenues to grow from Rs 1.9bn (2007) to Rs 31.6bn by 2011E. Breakeven expected at ~4-4.5mn subscribers (2010)

Acquisition cost of Rs 1,600 per subscriber ( Cost is capitalized and written off over 5 yrs) to be recovered in 1-1.5 yrs

Dish TV: Uniquely equipped

First-mover advantage

` Largest DTH service offering of 170 channels. Dish will have attained considerable economies of scale before competition sets in` DTH operators could command carriage fees from some channels, which is a first in the global DTH industry

Continuous expansion of content

` Tie up with Star, Sony and now Sun TV. Tie-up Disney for movies. Zee library will also be leveraged

` Exclusivity of content (produced in house) seen as a possibility going forward

Competition set to increase from new players

` Sun Direct- Dec 07; Reliance Blue magic Apr 08, Bharti Dec 08` However, transponder capacity still a constraint. Dish will be the only company with capacity of 350+ channels for the next two years

` Key fundamentals of survival Distribution, branding & content: Main challenge now is to increase ARPUs

Financials

EBITDA margin of 31% targeted by 2011E. Cash breakeven expected by 2010E

` Increasing subscriber base to provide substantial operating leverage. Agreements with content providers are on a sliding scale basis,

thereby reducing content cost as subscriber base grows

Current investment of Rs 8bn deployed. Funding over next 3 years @ ~Rs 11bn. via debt (60%) and equity (40%)

Financial summary


Sales PAT EPS Change RoE RoCEY/E Mar (Rs. mn) (Rs. mn) (Rs.) YoY (%) (%) (%)

2006 205 (875) (20.4) - (159.1) (89.2)

2007 1,758 (2,042) (47.7) 133 (137.4) (81.2)

(CMP Rs: 83)


10/45

10

ENIL

Retains market leadership with ~50% revenue share Reach: 24mn listeners - No. 1 pan-India with no consistent No. 2

Recently expanded network via tie up with 10 stations

Of 32 licenses obtained, 28 stations are operational 18 of these launched; remaining to be operational in Q3FY08

10 stations operational at end-FY07. Broken even (OPM 33-34%)

Key drivers Ad rate hikes in FY08 - 1) 10% in Delhi and Pune in August: 2) 15%

for entire network in September

Increased ad inventory by 4 hrs. with utilization at 42%

Effective pricing across all 24 stations is Rs 11,600 (H1FY08)

Revenue split -OOH: 50%, Radio: 40-42% and Events: 5-8%

Business strategy Radio: 2 fold intl. expansion - Indian content in mature markets and

mainstream content in underdeveloped markets

Out-of-home (OOH): Renewed focus with plans to raise Rs 5bn over

2-3 yrs. (Rs 2bn through private equity in TIML by Dec 07) Event

Mgmt: (Alternate Brand Solutions) - ~700 events done - Plans to

focus on owned events rather than managed events.

Competition from BIG FM, Suryan & SFM in top 13

towns (~70% of ad spend) could see fragmentation

6.7 6.45.7 5.9

4.4 4.33.8 3.9

5.04.2 4.0 4.3

0

2

4

6

8

10

ILT Wave 9 ILT Wave 10 ILT Wave 11 ILT Wave 12

(mns)

Radio Mirchi Radio City Red FM

Radio Mirchi: Leading the pack

Category

Player A+ A B C D of top Total13 towns

ENIL (Radio Mirchi) 4 9 11 7 1 13 32Adlabs (Big FM) 4 4 10 24 3 8 45Sun TV (South Asia FM) - 6 9 5 3 6 23Sun TV (Kal Radio) 1 2 4 14 - 3 21

MBPL (Radio City) 3 8 3 6 - 11 20Mid-Day (Radio One) 4 3 - - - 7 7HT Media (Fever 104) 3 1 - - - 4 4Red FM) 3 - - - - 3 3

Source: Ministry of I & B, Industry data

Competitive landscape: Mumbai & Delhi


Y/E MarchSales

(Rs mn)

PAT

(Rs mn)

Consensus

EPS* (Rs.)

EPS

(Rs.)

Change

(YoY %)

P/E

(x)

RoE

(%)

RoCE

(%)

EV/EBITDA

(x)

DPS

(Rs)2006 1,374 212 - 4.5 - 49.2 16.0 18.9 27.3 0.0

2007 2,351 251 6.7 5.3 18 62.7 9.0 7.5 39.2 0.0

Source: *Consensus broker estimates, Company, ENAM estimates


11/45

11

Financial Technologies

Growth Strategy : Leverage growth through its exchangetechnology platform and transaction centric business model.

Focus on innovation and value creation.

Update on Key Ventures MCX: Growth drivers include new product launches, strategic

domestic/ global alliances, market share gains and anticipated

regulatory developments DGCX: Strategic placement on account of geographical location, time

zone, marquee membership and benefits from 50-yr tax holiday

IBES Forex : Growth drivers include new products, new currency

trading and retail / corporate participation

NSEL : Targeting roll-outs in key states in the first phase

NBHC: Pan-India network platform for collateral management services

SNX : Focussed on promoting trading in targeted products, onlineprice dissemination and efficient warehouse-based delivery system

Other initiatives include Riskraft (for Consulting services), Tickerplant

Infovending (for delivery of real-time market data in an intelligent

user-friendly format), and Atom technologies (for enabling transactions

on mobile)


Y/E MarchSales

(Rs mn)

PAT

(Rs mn)

EPS

(Rs.)

Change

(YoY %)

P/E

(x)

RoE

(%)

RoCE

(%)

EV/EBITDA

(x)

2005 574 196 4.8 288 55.4 25.9 40.3 30.6

2006 1,820 666 15.0 215 113.9 23.3 41.4 61.32007 2,645 698 14.2 (5) 128.8 16.6 24.2 54.3


Self fuelinggrowth cycle

Software productsrevenue

(40-50% of revenue)

Exchange Venturerevenue

(50-60% of revenue)

Transaction Fees Membership

Fees Content

development

Customers : Exchange

members

ExchangeRevenues

Software Exchange Income/Dividend

from investments Income from

dilution in equitystake in subs/ JVs

Group Revenues

Tech licensingrevenue

Annualmaintenancecontracts (AMC)

Svcs revenue STP, NCG,Consultancy andcustomization

Customers : Exchanges Brokerage houses

DPs, fund houses,AMCs, custodians

Software revenue

Perpetual and Growing Revenue Stream


12/45

12

Grasim

A cement and VSF major 31mn tonnes of cement capacity (including 17mtpa of 51% UltraTech). 2nd largest cement producer in India

Worlds top producer of Viscose Staple Fibre (VSF) with a global market share of 11%

Largest merchant producer of sponge iron in India with a capacity of 900,000 tonnes p.a.

Huge expansion plans Rs 100bn

Cement: Capacity to be expanded to 48mn tonnes by FY09, from 31mn tonnes. Volume CAGR of ~13% over nextthree years

Brownfield expansion - Shambhupura plant (4mn tonnes) and Tadipatri plant (5mn tonnes) to be operational by March

2008

Greenfield projects: Kotputli plant (4mn tonnes) to commence production by September 2008

VSF: Capacity ramp-up from 270,000 tonnes to 453,000 tonnes. Sales volume to grow at CAGR of 8% over next three

years

Source of funding: Largely from internal accruals with current gearing of 0.51x

Outlook Cement Sector outlook remains favorable with demand growth of 10% and delay in commissioning of announced

capacity

VSF Prices to remain firm because of strong demand from comfort fabric and knitted fibres. Volume growth to further

boost operating profits of the company

Financial summary (Consolidated) (CMP: Rs 3793)

Y/E MarchSales

(Rs mn)

PAT

(Rs mn)

Consensus

EPS* (Rs.)

EPS

(Rs.)

Change

(YoY %)

P/E

(x)

RoE

(%)

RoCE

(%)

EV/EBITDA

(x)

DPS

(Rs)

2007 136,033 18,263 - 199.2 103 10.5 28 33 6.3 31.4

2008E 163,065 24,416 254.1 266.3 34 14.2 28 32 8.7 31.4

2009E 195,943 27,702 291.2 302.1 13 12.6 24 31 7.3 31.42010E 212,769 28,290 280.0 308.5 2 12.3 19 28 6.7 32.9



13/45

13

HDIL

New acquisitions/ developments since listing Kharadi, Pune: JDA of 1.2mn sq.ft. (66% IT/ITES & 34% residential development planned)

Navi Mumbai: 15 acres acquired from Eveready for Rs. 1.15bn. (IT/ITES of 2mn sq.ft.)

Bhandup: 8.32 acres acquired from Kilburn for Rs. 1.25bn. (IT/ITES of 1.2mn sq.ft.)

Kochi: 70 acres of land at Airport sea road acquired from HMT. (IT city of 8mn sq.ft.)

HDIL owns 45% of DS Corp. which intends to develop & own a hotel in Juhu, Mumbai; currently searching for an international hotel operator

Mumbai airport slum redevelopment project: Ready for takeoff Project timeline: 4.5 years with estimated revenues of Rs 150- 180bn

Phase I Rehab of 20,000 families to start next year

Existing FSI of 2.5 plans to approach GoM for higher FSI (of 4.0) considering density of slum dwellers

Have tied up 180 acres of land (@ Rs 100-120mn/ acre) in various pockets within 5 kms of Dharavi to rehabilitate displaced slums

To result in ~32mn sq. ft. of TDRs and ~7.5mn sq. ft. of saleable area translating into ~Rs 320-350 per share

Update on Dharavi (500 acres; 57,000 slums) JLL & PWC appointed for screening the 26 bids received from various developers/ consortium

7-8 bidders expected to be short listed by Dec-07 (funds from allotment to help clear GoMs deficit before upcoming elections)

Scaling up resources to meet the execution challenge More than 600 employees (>200 engineers, >100 architects, >25 CAs/MBAs) & 12,000 contract labourers

~70mn sq. ft. of ongoing projects (incl. airport) to be completed in 5 years (completed ~8-10mn in FY07)

Current debt: Rs 10bn; Networth Rs 27bn

Financial summary

Y/E MarchSales

(Rs mn)

PAT

(Rs mn)

EPS

(Rs.)

Change

(YoY %)

RoE

(%)Valuation * (Rs)

2006 4,349 1,175 5.5 706 91.7 NAV 1,015

2007 12,042 5,477 25.6 366 119.4 Price/ NAV (x) 0.75

2008E 19,627 8,436 39.4 54 44.7 SOTP Value 965

2009E 30,358 12,661 59.2 50 34.3 Price/ SOTP (x) 0.79

Source: Company, ENAM estimates; *Base case scenario. SOTP Range: Rs 776 Rs 1,246


14/45

14

ICICI Prudential Life

Life insurance market to grow by at least 35-40% over the next couple of years Industry grew 37% during H1FY08.

Private sector to grow by 60-70% this fiscal

Low insurance penetration in India

Penetration to improve from the current level of 4.1% of GDP to 6 - 6.5% by 2010

Non agency share in business increasing

Non agency business increased to 40% in Oct-07 from 30% in March 2005

20% of business comes from ICICI Bank which is 50% of non agency business. Balance from distributors and agents

Growth drivers

More than product innovation the primary growth driver is the geographical reach of the company

Company operates out of 1,010 branches in 701 locations and 211,000 advisors (Oct 2007)

Future Plans

Expand the distribution in Tier II and Tier III cities. Low rural penetration offers opportunities for growth

Expand the health products from the current 8 health products including critical illness cover for Type II diabetes andhospitalization care


15/45

15

Idea Cellular

Growth momentum intact, amidst spectrum imbroglio New rollouts : Services in Mumbai and Bihar circle to commence within 2 quarters of

allocation of spectrum. Capex for additional circles to be ~USD 1.2 bn

Additional Growth Opportunities : Through entry into ILD and data businesses

Spectrum Issue : Unlikely to impact subscriber growth barring one city. Expect resolution by

the Ministry and Govt. GSM operators can be expected to go till the Supreme Court to

resolve matters. As expected, DoT likely to follow a middle path between TRAIs and TECs

recommendations

Evaluation of a shared model in the tower business by key GSM players

Expects a tower company to be formed with pooled resources from key GSM vendors.

Positive for industry as (1) tower duplication reduced (2) move towards consolidation in the

tower industry and (3) higher visibility on tenancy ratio

Idea strategically placed: Adds ~ 700-800 towers a month and would be a strong client forthe consolidated tower entity given its growth plan in additional 11 circles

Interim correction as industry penetrates semi-urban and rural areas

Expects ARPUs and MoUs to fall for a while as rural penetration increases. New users

typically wait for a while before increasing MoUs. This is an industry phenomenon

Rationalization in some life-time plans to reduce the number of free minutes. Expects that to

provide some support to falling revenue per minute


Y/E MarSales

(Rs mn)

EBITDA

(Rs.)

PAT

(Rs mn)

Consensus

EPS* (Rs.)

EPS

(Rs.)

Change

(YoY %)

P/E

(x)

RoE

(%)

RoCE

(%)

EV/EBITDA

(x)

2006 29,655 10,674 2,117 - 0.9 177 0.0 39.3 12.0 3.4

2007 43,664 14,637 5,033 - 1.9 104 49.5 23.9 12.7 18.9

2008E 66,940 22,759 10,071 3.9 3.8 100 35.9 24.8 15.8 17.82009E 91,890 33,617 14,016 5.3 5.3 39 25.8 26.6 20.3 12.3


0

4,000

8,000

12,000

16,000

Q1FY07

Q2FY07

Q3FY07

Q4FY07

Q1FY08

Q2FY08

(Rs.mn)

(120)

(80)

(40)

0

40

80(%)

Estab Circl Rev (LHS) New Circl Rev (LHS)

Estab Circl Margin (RHS) New Circl Margin (RHS)

0

200,000

400,000

600,000

800,000

1,000,000

Sep-06

Oct-06

Nov-06

Dec-06

Jan-07

Feb-07

Mar-07

Apr-07

May-07

Jun-07

Jul-07

Aug-07

Sep-07

(Nos)

6

8

1012

14(%)

Idea Monthly Net adds (LHS)Share of Net adds (RHS)

Revenues & EBITDA Margins

Monthly Subscriber Statistics


16/45

16

Infosys

Concerns overdone, USD growth intact CY08 IT Budgets : Expect clear indication by end-Jan 2008. Impact of decrease in

discretionary spending on overall revenues is expected to marginal (if any as only 3-4% of

revenues would be impacted)

Currency : 3-4% YoY appreciation manageable. Wider fluctuations can be managed to a

certain extent by operating levers

Wage Inflation : Its robust pyramid structure ensures wage inflation within limits (2-3% for

onsite and 4-5% for offshore is the YoY increase in per capita expense)

Global benchmarking and operating Levers

Expects Indian vendors to emerge as global leaders within next 2-3 years

Operating levers include better pricing (through higher share of high-end services like

Consultancy, Solutions based offerings, Package implementation etc), increase in utilisation

rates, onsite : offshore mix, better client mining, scale economies, higher solutions baseddelivery that are industry specific etc

Cash on balance sheet Acquisitions and dividends

May look to expand into new geographies (Japan, Germany and France), enhancing new

capabilities (Consultancy and solutions) or building expertise in new verticals (healthcare

and life sciences)

We expect cash balance of > USD 4bn in FY10E. This is sizeable


Y/E MarchSales

(Rs mn)

PAT

(Rs mn)

Consensus

EPS* (Rs.)

EPS

(Rs.)

Change

(YoY %)

P/E

(x)

RoE

(%)

RoCE

(%)

EV/EBITDA

(x)

DPS

(Rs)

2006 95,216 24,395 - 44.7 31 33.4 39.5 45.2 25.0 22.7

2007 138,930 37,304 - 66.3 48 30.4 40.8 46.4 24.5 11.5

2008E 170,380 46,018 80.3 80.6 22 19.5 35.0 40.3 15.4 13.62009E 222,269 57,705 98.1 101.0 25 15.5 33.2 39.2 11.2 17.2


0

8,000

16,000

24,000

32,000

40,000

48,000

1Q04

2Q04

3Q04

4Q04

1Q05

2Q05

3Q05

4Q05

1Q06

2Q06

3Q06

4Q06

1Q07

2Q07

3Q07

4Q07

1Q08

2Q08

(Rs.mn)

-5

0

5

10

15

20(%)

Revenues (LHS) QoQ growth (RHS)

0

3,000

6,000

9,000

12,000

15,000

1Q04

2Q04

3Q04

4Q04

1Q05

2Q05

3Q05

4Q05

1Q06

2Q06

3Q06

4Q06

1Q07

2Q07

3Q07

4Q07

1Q08

2Q08

(Rs mn)

26

28

30

32

34

36(%)

EBITDA % Margin (RHS)

Cons. Revenues and QoQ growth

Cons. EBITDA & EBITDA Margins


17/45

17

Jai Corp

Navi Mumbai development plans on track Winning formula of size, proximity, connectivity, world

class infra, globally competitive utilities & services

` NMSEZ: 5,260 acres; MSEZ - ~5,000+ acres acquired

` Intl Airport: Investment of Rs 90bn; bidding by Dec-08

` Execution capabilities ramped up significantly- Over 1,200

employees currently working on SEZ initiative Financial closure for both SEZs achieved - Investment

of ~USD 400bn envisaged (Rs 50bn already invested)

` To result in an additional ~USD 4,000bn of investments -

~2mn jobs; ~USD 25bn of exports, generation of ~USD

2.5bn of taxes, annual purchasing power of ~USD 12.5bn

Maintaining business focus

Core biz: Venture capital To launch several additional

funds (offshore, domestic, overseas real estate)

Existing biz: Steel to be hived off, expand plastics

Solving the crux of the problem Enabling GoM agencies to generate cash key so as to

solve Mumbais infra bottlenecks

` Govt. agencies like MHADA, MMRDA, MSTRC sitting on large

assets (~Rs 100bn) unlocking of the same critical

` Creation of infra TDR to be loaded on existing cities

Raigad

MTHL

D

Existing

Airport

Proposed

Airport

Uran

JNPT

Palm

Beach

Marg

DMbPT

DREWAS (PROPOSED)

Mumbai

Thane

Navi

Mumbai

CBD

NH4

NH4

NH4

MUMBAIPU

NEEXPRESSW

AY

SH54

SH

54

SH 54

NH17

NH17

NH4B

NH4B

To Thane

PANVEL

MSEZ

NMSEZ

LIMITEDNORTH-SOUTH

EXPANSION

Only way to expand

The bigger picture

Source: Company


18/45

18

Lanco Infratech

Power division Target capacity addition of 3475MW i.e. from 518 MW in 2007 to 3,900 MW by 2011 Further projects worth 7,480MW are at an drawing board stages

` 400MW (Kondapalli), 600MW (Amarkantak)- fuel linkage in place` Finalizing plans for 2,640MW thermal plant in Orissa ( captive mine 1,000MW; coal linkage 1,320MW; balance pending` MOU with Madhya Pradesh (1,200MW) and Jharkhand(2,640MW) Trying to secure coal linkages

Real Estate Lanco Hills : Plans to develop 19.8 mn.sq.ft. on course (11.6 mn.sq.ft. commercial, balance residential) Chennai (47.8 acre): JDA with 55% stake, expected to have 4-4.5 mn.sq.ft area with Rs 2,700-3,000 selling rate Kokapet, Hyderabad (21.8 acre): 15km away from new int. airport, no development plan as yet

Infrastructure Currently has two road projects, with ~17% equity IRR

Plans to foray into electricity transmission & port project` Jointly bid for Paradeep port and a another port in Kerala

Construction & EPC To leverage on in-house projects Order book of ~USD 1.9bn, targeting 18-20% OPMs on construction projects Order book doesnt include additional power capacity planned, which could lead to a substantial rise in the order book Recently won an order for Varanasi Airport, which will help in additional airport orders


Y/E MarchSales

(Rs mn)

PAT

(Rs mn)

Consensus

EPS* (Rs.)

EPS

(Rs.)

Change

(YoY %)

P/E

(x)

RoE

(%)

RoCE

(%)

EV/EBITDA

(x)

2006 1,471 171 - 5.6 - 0.0 24.6 11.6 6.6

2007E 16,058 1,880 8.3 8.6 54 18.5 18.5 20.4 12.0

2008E 28,738 3,050 17.5 13.9 62 35.1 14.4 11.3 21.22009E 46,604 5,474 26.1 24.9 79 19.6 20.9 12.7 13.3


--

--


19/45

19

Moser Baer

Optical media business to remain steady Optical Media Business to grow at a CAGR of 20-25% over next 3 years

Margins to sustain

Global DVDR/RW shipments to grow over 43% in 2007 to approximately 9 billion units

2HFY08 to witness initial mass market shipments of Blu Laser products

Short term pricing to remain impacted till resolution of license issue of Philips and rupee appreciation

Adverse impact in October due to generator shut down Optical Media Margins sustainable around 30% range

PV business Moser Baer has strategic ties ups across the PV value chain like Solaria and SolFocus

Commercial Shipments begin during the Q1FY08 with 90%+ yields on 40 MW line

Large scale, 8 year supply contract with REC in place Construction of thin film facility under way ready by November 2007, production by CYQ1/2 08

Entertainment Acquisition of 9500 titles

Strong distribution network - titles to be available in 100,000 outlets across country

Business model is highly scalable break even in FY08

Financial summary


Y/E Mar Sales PAT EPS ChangeYoY P/E (x) RoE RoCE EV/EBITDA DPS(Rs.mn) (Rs. mn) (Rs.) (%) (%) (%) (x) (Rs.)

2005 12,804 664 6.0 - 35.1 6.6 6.1 10.7 1.02006 16,641 (71) (0.6) - - (0.4) 2.3 11.5 1.0

2007 19,840 788 7.1 - 42.3 3.9 5.7 9.9 1.5

(CMP Rs: 258)


20/45

20

NDTV

Core business NDTV 24X7 leading English News - ad rate premium ranging between 25-30%; NDTV Indias revenues not suffered in

spite of lower ratings due to a steady advertiser base; NDTV Profit to see operating leverage kick in

New channels Astro Awani in Malaysia through JV with Astro. Astro has offered an additional stake to NDTV in the JV (currently 20%)

NDTV Arabia targeting Indian Diaspora in Middle East & North Africa. NDTV MetroNation (Delhi): City-centric news &infotainment channel. Next launch in Chennai (by end-FY08), followed by Mumbai, Bangalore and Kolkata (in FY09).

NDTV Good Times: The 5-yr, Rs 1bn ad deal with Kingfisher to result in ~140% of its targeted 1st year revs. (To utilize

10% of inventory.)` Good Times success has enabled earlier-than-planned launches of 2 additional lifestyle channels. Investment: Rs 250-300 mn per

channel.

NDTV Imagine Content incorporates subtle differentiation within the confines of the mass GEC space through innovation in soaps,

format shows and reality shows. The channel is exercising complete control over content production

Distribution in place with 90% penetration targeted. Aim is to ensure position amongst top 3 in GEC. Channel to be

free-to-air initially

Of the USD 120mn raised by NDTV Networks, ~USD 80mn has been invested in Imagine

Financial summary


Sales PAT EPS Change P/E RoE RoCE EV/EBITDAY/E Mar (Rs. mn) (Rs. mn) (Rs.) YoY (%) (x) (%) (%) (x)

2006 2,210 259 4.3 -29 60.3 12.3 14.3 36.3

2007 2,784 203 3.3 -22 93.9 7.4 4.5 61

(CMP Rs: 349)


21/45

21

NDTV (Continued)

NDTV Convergence NDTV has opted to build internet properties rather than taking the inorganic route. It has recently revamped its cricket

site cricketndtv.com, which now includes features like live, ball-by-ball commentary and chat

NDTV is betting on mobile internet gaining traction and plans a full-fledged launch of its mobile portal, NDTV Active, by

mid-December

With the USD 120mn fund raising, required capital for current plans has been completely

tied-up


22/45

22

NTPC

Capex & Capacity Addition Management confident of achieving 50GW capacity by 2012 and 75GW

by 2017, ~14GW capacity already under construction and balance 8GW

will be awarded by December 2007

Capex of ~USD40bn over 2007-12 to be funded through internal

accruals and debt

Coal Linkages Recently awarded 8 coal blocks with Mineable Reserves of 2.8bn tons

Mining capex of USD2bn over 2007-12

Managements base case expectation is 14% ROE and realistic case of

Coal India prices of USD 20-25 per ton

ROE Maximization Current PLF of ~90% is sustainable over next 10 yrs. Hence, ROE will

be in excess of regulated returns of 14% at ~18%

Company is trying to maximize ROE through selling waste ash, merchant

sales, and carbon credits from its new hydro & super critical power

plantsFinancial summary (CMP: Rs 231)

Y/E MarchSales

(Rs mn)

PAT

(Rs mn)

Consensus

EPS* (Rs.)

EPS

(Rs.)

Change

(YoY %)

P/E

(x)

RoE

(%)

RoCE

(%)

EV/EBITDA

(x)

BVPS

(Rs)

2006 261,452 60,672 - 7.4 17 18.2 13.9 12.9 16.2 54.5

2007 309,557 68,497 - 8.3 13 18.0 14.5 13.0 15.8 59.7

2008E 422,342 78,783 9.4 9.6 15 16.2 15.2 13.3 14.7 65.92009E 474,434 85,894 10.4 10.4 9 14.9 15.1 13.1 13.9 71.8


2,0001,000--Distribution(Capacity) (MW)

25102.66Trading (UnitsTraded) (BU)

~ 4715--Coal Mining(Prodn)(MTPA)

2016-172011-12Present

50,004 ~ 75,00027,904Power Generation(MW)

JV

7%

Hydro

12%

Coal66%

Gas

11%

Nuclear

3%

R.E.S

1%

Capacity expansion

NTPC by 2017

Source:Company


23/45

23

Patel Engineering

Revenues and order book Current order backlog at Rs 54bn

PEL expects revenues CAGR of 30%+ going forward driven by both infra and real estate businesses

Real Estate

Current land bank is 1,000 acre in Hyderabad, Chennai, Bangalore, Mumbai and Panvel

Development plans for 15.63 mn.sq.ft. (~12% of the land bank) in place

The management intends to maintain the land bank at the same level as it executes projects

Power

MOU signed for 1,200MW imported coal based thermal power project at Bhavnagar; to hold 51% stake in the project

` PELs equity commitment will be to the tune of Rs 6bn and will be funded through proceeds of Real Estate

` Scouting for coal mines to secure its fuel supply

Recently signed MoU for 100MW hydropower plant in Arunachal Pradesh on IPP basis

Has also bid for another 600MW worth of hydro power projects on an IPP basis


Y/E MarchSales

(Rs mn)

PAT

(Rs mn)

Consensus

EPS* (Rs.)

EPS

(Rs.)

Change

(YoY %)

P/E^

(x)

RoE

(%)

Core RoCE

(%)

EV/EBITDA^

(x)

VOI

(Rs)

2006 10,147 722 - 14.4 73 24.0 37.3 26.7 15.7 127

2007 12,956 1,055 - 17.7 22 13.5 22.6 19.7 9.3 100

2008E 17,200 1,038 18.3 17.4 (2) 8.9 13.7 20.9 5.0 6072009E 21,322 1,408 24.6 23.6 36 6.5 16.2 24.2 3.7 607

Source: *Consensus broker estimates, Company, ENAM estimates, ^Adjusted for VOI


24/45

24

Peninsula Land

Key highlights Continued focus on Mumbai (~4mn sq. ft.), with expansion to other cities in last 18 months (~31mn)

Expecting ~USD 700mn (PBT) from Mumbai projects in 24-30 months

Lack of supply to keep Mumbai prices buoyant

` Total mill land of 600 acres, of which 30-40% already developed/ under development; only 3-4 more plots in BKC to come up for bidding;

redevelopment of old bldgs Rent Act not in favour of redevelopment & not enough FSI to make such projects viable

Hence, no slowdown in Mumbai realty prices seen, especially for the quality commercial space Key project highlights

` Dawn Mills minor setback as govt. re-thinking allowing usage of suburban land for MHADAs share of property

` Hyderabad acquired 30 acres totaling ~5mn sq. ft.

` SEZs Jurong appointed for master planning

Growth strategy 1st mover advantage to be key to avoid localized oversupply of real estate space- enough opportunity seen in all cities

Beefing execution by possible tie ups with international contractors/ acquiring strategic stake in local contractors

` Doubling of employee base to 260; structured re-organization with regional delegation of authority

Leveraging strategic relationship with realty funds to focus on core competencies

` 2 funds (domestic and offshore) of ~USD 450mn to pursue opportunities with IRR > 30% (domestic commitments of USD 50-60mn

recd)` Financial closure to be achieved by March 2008

` 15% exposure of fund to Mumbai, with balance spread over 10-11 cities

Financial summary


Y/E Mar Sales (Rs mn) PAT (Rs mn) EPS (Rs) Change YoY (%) RoE (%)

2006 2,748 1,387 32.9 733 -

2007 3,194 1,572 37.4 13 103.4

(CMP Rs: 126)


25/45

25

Punj Lloyd

Revenue & margins The management expects USD 2bn+ in revenues for FY08 and aims to be a USD 5bn company by FY11

New orders in Sembawang are having OPM at 7%+ compared to legacy orders, which had OPM of 1-2%

New orders in Punj are at 11%+ OPM; the management expects an improvement of 50-100bps pa in line with overall

industry margins

Projects & order backlog Current order backlog stands at USD4.3bn of which USD2.9bn is for core business & USD1.4bn is for Sembawang

Legacy orders of Sembawang stand at ~USD325mn and will be executed over next 12-15 months

Core business has 38 projects in hand while Sembawang has another ~10 projects

Group execution cycle to remain in the range of 24-26 months

Outlook and strategy

Sees Middle-East and India as key markets globally, focusing on increasing share of revenues from Middle-East

Also, upgradation of refineries in EU for compliance with Euro III and Euro IV norms provides a USD 15bn opportunity

To focus only on bigger contracts & targeting average order size of USD250mn from the current US150mn

Punj will also be investing ~USD11mn for purchase of 6 onshore rigs and has placed orders for 2 x 1500HP rigs


Y/E MarchSales

(Rs mn)

PAT

(Rs mn)

Consensus

EPS* (Rs.)

EPS

(Rs.)

Change

(YoY %)

P/E

(x)

RoE

(%)

RoCE

(%)

EV/EBITDA

(x)

DPS

(Rs)

2007 51,266 1,610 - 5.7 328 28.4 13.5 14.9 12.1 0.3

2008E 80,365 3,365 11.5 10.5 83 43.5 17.1 17.2 20.4 0.6

2009E 109,330 5,238 17.4 16.3 56 28.0 18.0 18.8 14.2 0.72010E 144,042 7,967 23.5 24.8 52 18.4 22.5 22.6 10.0 0.7



26/45

26

Redington India

Leading integrated SCM player Leads Growth : Through existing product lines (market share gains, post-

sales support services), addition of new products in existing verticals,

foray into new verticals that have higher margins & have negative

working capital cycle and exploring new geographies (identified CIS &

Vietnam as new target markets)

Unparalleled Distribution network : To leverage on low penetration in

India (


27/45

27

Reliance Capital

Current AUM of USD 20bn, 65% of which is in debt schemes and balance 35% in equity

Fund management

Currently managing offshore fund of USD 150mn. Strategy is to establish a good track record and then raise global

fund

Awaiting SEBI approval for investment into India through fund registered in Mauritius. Plan to raise ~USD 1bn

Expansion plans

Planning to grow loan book to Rs 60bn by March 2008 from the current Rs 30bn

Unsecured personal loans are capped at 20% of the book

Expand the reach by opening 10,000 outlets in 5,000 locations by Dec 2008. Around 90% of them to be franchisee

outlets.

To scale up life insurance distribution network from the current 350 branches and 150,000 agents to 750 branches and

350,000 agents

On the broking side, already started portfolio advisory and would be starting margin funding business

Proprietary book has listed investments of Rs 15bn (at cost), market value of Rs 65bn


28/45

28

Reliance Industries

KG-D6 development on track KG-D6 A1/A3 development plan remains on track with first gas expected by July 2008. 16 out of 18 development wellshave been drilled and fast progress is taking place for onshore and offshore facilities. East-West pipeline for

transportation of KG-D6 gas is expected to be complete by March 2008. Initial production at 40 MMSCMD, which will be

ramped up to 80 MMSCMD by mid of 2009

First oil from MA cretaceous section in the block is expected by 4Q CY2010 with initial production of 40,000 bpd

Completion of RPLs Jamnagar refinery ahead of schedule Work on RPLs refinery is over 70% complete and the refinery is likely to get commissioned at least three months

ahead of the scheduled date of completion i.e. December 2008

Capitalizing on strong refining and petrochemicals cycle Refining business to benefit from robust refining margin outlook on account of delay in commissioning of new

capacities, high global refinery operating levels and its higher refinery complexity Delay in petrochemicals projects mainly in the Middle East and strong domestic demand for both polyesters and

polymers, will keep integrated petchem margins healthy till 2010 end

E&P activity to pick up in coming months Addition of 5 deep-sea rigs and 1 jack-up rig in next 18-24 months to its exiting fleet will help RIL to fasten its

exploration activity. The company plans to drill 100 exploratory wells in next 3-4 yearsFinancial summary (CMP: Rs 2786)

Y/E MarchSales

(Rs mn)

PAT

(Rs mn)

Consensus

EPS* (Rs.)

EPS

(Rs.)

Change

(YoY %)

P/E

(x)

RoE

(%)

RoCE

(%)

EV/EBITDA

(x)

DPS

(Rs)

2006 831,172 94,979 - 68.2 24 11.7 19.2 17.1 9.1 11.4

2007 1,138,896 120,748 - 76.7 13 17.8 17.2 15.6 12.5 10.4

2008E 1,143,606 141,591 94.1 90.0 17 31.0 15.7 13.3 21.6 14.32009E 1,389,891 187,165 109.4 119.0 32 23.4 17.9 15.6 15.0 16.1


S B k f I di


29/45

29

State Bank of India

Largest bank Customer base of 90mn on standalone basis and ~146mn together with associates

Highest market shares on standalone basis in advances and deposits at 15.4%

Network of 9,668 branches on standalone basis and 14,670 branches including associates

Key Initiatives

Derisk the Investment portfolio and to improve the fee based income

To increase the market share of inward remittances from the current 25%

To expand rural reach by adding 40 million new customers in 3 years

To establish presence in 1,00,000 villages

Start Private Equity and Venture Capital business very soon

Offer better customer services by creating better customer focused products Recruitment and training of frontline staff

Improve asset quality by an improved credit selection and emphasis on restructuring of impaired assets

Sell NPLs to ARCIL and other third parties

Financial summary (Consolidated) (CMP: Rs 2300)

PAT EPS Chg P/E* BV P/BV* NPAs P/Adj. BV RoE RoA

(Rs. m) (Rs.) YoY (%) (x) (Rs.) (x) (%) (x) (%) (%)

2006 55,299 105 1.2 19.2 707 2.9 1.5 3.2 15.9 0.8

2007 63,643 121 15.1 16.7 802 2.5 1.5 2.9 16.0 0.9

2008E 84,224 160 32.3 12.6 930 2.2 1.6 2.5 18.5 1.0

2009E 95,641 182 13.6 11.1 1076 1.9 1.6 2.2 18.1 1.0

Source: Company, ENAM estimates*P/B and P/E adjusted for the value of Life Insurance, estimated at Rs.280 p/s

Y/E Mar

Sh i T Fi


30/45

30

Shriram Transport Finance

Largest asset financing NBFC ~Rs 150bn of assets under management. Expect to double the AUM by 2010

70% of the portfolio consist of the pre-owned vehicles

Diversify and de-risk the portfolio

Scale up the new truck financing business

Foray into new segments like 3-wheeler financing, tractor and construction equipment financing

Entered into tie-up with Mahindra & Mahindra for used tractor financing

Credit losses under control

Credit losses average ~2% and during a downswing in the business may expand by another 75bps

Risk of asset liability mismatch minimal with asset life of 36-46 months and liabilities ~36 months

Future plans

Roping in local private financers to expand business reach by leveraging their network

Ashley Transport (40% owned by Shriram, 60% by Ashok Leyland) to tap into Rs 80-100bn challan discounting

market

Financial summary (CMP: Rs 285)PAT EPS Change P/E BV P/BV NPAs P/Adj.BV RoE RoA

Y/E Mar (Rs mn) (Rs ) YoY (%) (x) (Rs ) (x) (%) (x) (%) (%)

2006 1,380 9 - 31.1 48 5.9 0.4 6.1 26.6 3.0

2007 1,904 10 12.7 27.6 58 4.9 1.3 5.3 20.2 2.5

2008E 3,647 18 73.1 15.9 87 3.3 1.2 3.5 25.6 3.22009E 4,935 24 34.5 11.8 105 2.7 1.1 2.9 25.1 3.4

Source: Company, ENAM Research; * FY06 onwards, numbers are pro-forma merged with SOF

St lit


31/45

31

Sterlite

Aggressive expansion plans Zinc & Lead: Capacity: To raise combined zinc and leadcapacity to 754 ktpa by 2008 from 496 ktpa currently

Aluminium: Additional 500 ktpa aluminum in 30% owned

Vedanta alumina

Commercial Energy - Power: Implementing 2,400 MW

power project to be commissioned progressively from

Q3FY09. To add upto 10,000 MW over the next 5 yrs

High quality and sizable resources Zinc: High grade ore containing reserves of ~209.4mn

tonnes (mine life of ~20 years at 1 mtpa production)

Aluminum: Bauxite - 150mn tonnes reserve

Commercial Energy: Coal blocks containing ~320mntonnes of coal have been secured

Globally cost competitive operations


Y/E MarSales

(Rs mn)

Adj.PAT

(Rs mn)

Consensus

EPS* (Rs.)

EPS

(Rs.)

Change

(YoY %)

P/E

(x)

RoE

(%)

RoCE

(%)

EV/EBITDA

(x)

DPS

(Rs)

2007 245,058 42,771 - 60.4 161 7.8 40 58 3.7 3.6

2008E 250,183 54,874 66.6 77.5 28 13.4 40 45 8.0 4.0

2009E 248,852 63,872 75.6 90.2 16 11.5 44 47 6.9 4.0

2010E 268,703 69,976 - 98.8 10 10.5 46 48 5.8 4.0

Source: *Consensus broker estimates, Company, ENAM estimates on 100% BALCO & 91% HZL consolidation

30%

VedantaAlumina

Ltd. (India)

BharatAluminiumLtd. (India)

51% 100%

Sterlite Ind. India

SterliteEnergy Ltd.

(India)

Coppermines ofTasmania(Australia)

100%65%

HindustanZinc (India)

Alumina/Aluminium

Aluminium Coalpower

Coppermining

Zincmine/metal

Company

Business

Copper smelting/ refining

Sterlite: Business Structure

People and leaders Huge talent pool drawn from the engineering,business management, human resource and

finance functions

Long Term Incentive Plan (LTIP) for its senior

management as well as young professionals

S TV


32/45

32

Sun TV

Key concerns addressed Fall-out with DMK, and launch of Kalaignar TV

` Political imbroglio overdone - 3 months after Kalaignar TVs launch,

no drop in Suns ratings

Content producers leaving Sun` None of the major content players including Balaji, Radaan have left

the company (de-risking strategy with only 1 slot given to each

content producer)` With the slots sale system that Sun works with, the producers stand

to gain much more than the fixed fee structure that other networks

operate under

TN Govt. entering cable business will pose challenges for

growth of Suns channels` Sun Groups distribution business has always had only a limited share

of TNs cable market` In the other three southern states where Sun is also the leader, Sun

Group does not have its own distribution

` The demand from viewers ensure Suns channels get aired over all

cable networks

` Any possible entry of Government into cable will help reduce under-

reporting of subscriber numbers, which will benefit Sun the most


Y/E MarchSales

(Rs mn)

PAT

(Rs mn)

Consensus

EPS* (Rs.)

EPS

(Rs.)

Change

(YoY %)

P/E

(x)

RoE

(%)

RoCE

(%)

EV/EBITDA

(x)

2006# 3,220 1,313 - 3.3 69 0.0 35.6 40.7 0.7

2007# 6,780 2,469 - 6.3 88 60.4 40.8 54.6 30.6

2008E 9,309 3,870 9.5 9.8 57 38.8 36.1 55.9 21.5

2009E 12,496 5,712 12.4 14.5 48 26.3 36.8 56.9 15.0

Source: Company, ENAM estimates; *Consensus broker estimates; #Note: Current year / period balances and amounts included the effect of the amalgamation of Gemini TV Pvt Ltd(GTPL), and the Demerged Undertaking of Udaya TV Pvt Ltd (UTPL) and therefore, are not comparable with those of the previous year / period. Previous periods' / year's figures havebeen regrouped / reclassified wherever necessary.^Adjusted for stock split

2 FTA channels

3 pay + 1 FTA channels

4 pay channels

4 pay +1 FTA channels

No. of channels

22Kerala

32Karnataka

36Andhra Pradesh

60Tamil Nadu

Audienceshare (%)Market

9 8 7

62 60 59 60

0

20

40

60

80

Sun Group Kalaignar TV*

Week 34 Week 38 Week 42 Week 46

(%)

No impact on Suns dominance

A strong dominance in South India

Source: Company ENAM Research

Source: Company ENAM Research; *launched in Wk 38

-

S TV (C ti d)


33/45

33

Sun TV (Continued)

Suns pay revenue in Q4FY07 was Rs 240mn. FY08 subscription revenues are expected to be~Rs 1bn+ on back of increased DTH penetration

` In the first month of launch of Sun channels on Tata Sky and Dish TV, Sun TV Network, has attracted close to 275,000 subs (@ Rs 25

per sub)

` Additionally, Sun Direct has booked ~350,000 subs in pre-launch phase (expected to go to 3mn by end-FY09)

` International subscription revenues of Rs 500mn expected in FY08

Future plans (investment of Rs 2bn over the next 2 yrs)

Ad revenue to increase by 30-35% (Rate hike 10-15%; Additional inventory 10-15%; New channel launches 5-

10%)

Average ad rates @~Rs 18,000/10 sec. Still provide significant room for growth (Star Plus charges Rs 80,000/10 sec for

same eyeballs)

To replicate the successful Tamil kids channel, Chutti TV, in other states. To make Chutti TV a pay channel in 6-7months

Radio business to provide a complete media package to advertisers

` 13 stations operational with balance 32 stations to go operational by end- FY08

` New stations to break even within 18 months of launch

Launch documentary channels in all 4 southern languages

Business News channels in Tamil & Telugu

To take the Kerala channels pay next year

Titan Industries


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34

Titan Industries

A personal accessories major Worlds 6th largest, integrated manufacturer and brand for watches

Commands >60% market share of the organized watch market

Indias largest player in the branded jewellery segment (Tanishq)

` Branded jewellery remains under penetrated at 5% of overall market

` Gold Plus mass market initiative for semi-urban & rural regions. Generated Rs 1bn in H1FY08

Entered the hugely untapped prescription eyewear market (~ Rs 15bn)` Titan Eye+ the 3rd retail initiative. Started in Q4FY07 and achieved sales of Rs 250mn

To maintain current robust growth trend

Watches: Potential to grow >20% p.a. for next 3 years

` Margins to improve over time due to consumer up trading and higher mid-premium watches sold through organized retail

Jewellery: New initiatives like Gold Plus can lead to a ~60% p.a. growth till FY10` Margins to remain stable due to product mix changes. (Tanishq with higher margin and Gold Plus with lower margin)

` No slowdown witnesses in 22K gold jewellery off take, despite rising gold prices

Precision engineering: Can be a Rs 5bn business in the next 5 years

` Still in gestation period, Titan is vying to get large offset contracts from aerospace and automotive segments over the next two years

Eyewear: Titan eye+ to expand to 50 stores by FY09 and ~200 stores in the next few years

` Huge untapped potential with ~300mn people requiring vision correction and only 25% of them are users


Y/E MarchSales

(Rs mn)

Adj. PAT

(Rs mn)

Consensus

EPS* (Rs.)

EPS

(Rs.)

Change

(YoY %)

P/E

(x)

RoE

(%)

RoCE

(%)

EV/EBITDA

(x)

DPS

(Rs)

2006 14,402 1,113 - 26.3 41 31.7 76.5 32.2 22.7 3.0

2007 20,902 1,295 - 29.2 11 28.8 51.6 36.3 18.7 5.0

2008E 29,526 1,796 35.6 40.5 39 36.6 45.3 41.2 23.0 6.5

2009E 39,151 2,388 48.7 53.8 33 27.5 42.0 45.6 17.4 8.5


Titan Industries (Continued)


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35

Titan Industries (Continued)

30

5040

21

0

10

20

30

40

50

60

FY07 FY08E FY09E FY010E

(Rs bn)

Revenue target: USD 1bn+ by FY10 Organized retail will account for >75%of TILs revenue in FY08

1 to 14Titan Eye+

10 to 28

88 to 106

10 to 40

15 to 25

207 to 268

No of Outlets

Gold Plus

Tanishq

Fastrack Kiosks

Sonata

World of Titan

Retailing expansion 2007-08

3.03.6

4.3

0

2

4

6

H1FY06 H1FY07 H1FY08

(Rs bn)

Domestic Watches

20%

3.3

5.7

8.8

0

2

4

6

8

10


(Rs bn)

Domestic Jewellery

54%

6.7

9.9

13.9

0

3

6

9

12

15


(Rs bn)

TIL consolidated

40%

Revenue growth trend

Source: Company

Vishal Retail


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36

Vishal Retail Rapid scale up: 10mn sq.ft. by FY11 from current 1.7mn sq. ft.

New Formats: Convenience stores (in pilot phase in Delhi) and specialty stores (apparel, luggage, foot wear etc.)` The company has a target of operating 300 350 hypermarket formats and 3000 4000 convenience/specialty stores (500 5000 sq ft)

by FY11

Roll out plan on track: 85 stores by FY 2008 and 151 stores by FY 2009 with a total retail space of around 4mn sq. ft.` Focus on Tier II and III to continue with a majority of the stores to be opened in those cities` Signed MOU for 45 new stores till date with total retail space of over 990,000 sq. ft.

Strengthening support systems` Planning more regional warehouses to cater needs of increasing stores and speed up the supply chain process` To launch concept of Vishal Vidyalaya (Specialized Retail Training Academy) to train people at both the front-end & back end level` 4 zonal structure to 14 regional structure, headed by regional CEO responsible for execution, development and profitability

Contribution from FMCG and non-apparels to increase to 45% of revenues by FY 2009 Vishal plans to enter consumer durables, jewellery, liquor and pharma segments within the next 3 months

Funding plans: Rs 2.5bn to be raised by Q1FY09

Key financial highlights Growth in the same stores sales were flat in H1FY08 (vs. 12% YoY in FY 2006 and 21% YoY in FY 2007) Inventory days at 250 days fro H1FY08, but expected to ease (target 135 days) as new store roll out was back ended

in FY08 Net margin to remain stable at ~4% as higher margins from pvt. labels will mitigate lower margins from FMCG

businessFinancial summary (CMP: Rs 693)

Y/E MarchSales

(Rs mn)

PAT

(Rs mn)

Consensus

EPS* (Rs.)

EPS

(Rs.)

Change

(YoY %)

P/E

(x)

RoE

(%)

RoCE

(%)

EV/EBITDA

(x)

EV/Sales

(x)

2006 2,884 126 - 7.6 275 0.0 24.4 24.0 1.7 0.2

2007 6,027 250 - 13.6 79 0.0 25.0 21.7 3.3 0.4

2008E 10,686 430 20.2 19.2 41 36.1 21.5 19.5 15.2 1.8

2009E 16,829 673 31.7 30.1 57 23.0 22.4 20.3 10.8 1.2

Source: *Consensus broker est imates, Company, ENAM estimates

--

--

Vishal Retail (Continued)


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37

28Cities with population over1mn

Tier III Cities

1Chennai, Hyderabad, PuneTier II Cities

3

Bangalore, Kolkata, Delhi,

MumbaiTier I Cities

No. ofstores

DescriptionRegions

85%71%

63% 59%

12%

20%22%

20%

3% 9% 15% 20%

0%

20%

40%

60%

80%

100%

FY05 FY06 FY07 H1FY08

Apparel Non Apparel FMCG Others

Vishal Retail (Continued)

Revenue mix trend

Targeting 10mn sq. ft. by FY11 Same Stores Sales & Growth trend

Proposed stores in FY08with finalized locations

4985

151

0

50

100

150

200

FY07 FY08E FY09E

(Nos)

0

1

2

3

4

5(mn. sq ft)

No. of stores Retail space (RHS)

0

500

1,000

1,500

2,000

FY'05 FY'06 FY'07

(Rs mn)

Pre. Year sales Curr. Year Sales

-1%

21%

12%

Source: Company

Voltamp Transformers


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38

Voltamp Transformers

Focus on capacity expansion Plans to increase capacity from 7,200MVA in FY07 to 9000MVA by

FY08

Confident of the new capacity being absorbed easily

Will consider further capacity addition as required

Order book Rs 4bn (1x FY07 revenues) Composition: Dry type-17%, Power-45%, Distribution-38%

~80% of this to be executed in FY08E

Revenue and margin outlook

Revenue guidance: 40-45% CAGR over next 2yrs

Margins have expanded by a healthy 500 bps to 18.7% in H1FY08

Voltamp expects margins to remain at these levels in H2FY08

Demand-supply balance favorable for the next 2 yrs

Despite expansion by most players, the management expects demand-

supply balance to remain favorable for the next 2-3yrsFinancial summary (CMP: Rs 1625)

Y/E MarchSales

(Rs mn)

PAT

(Rs mn)

Consensus

EPS* (Rs.)

EPS

(Rs.)

Change

(YoY %)

P/E

(x)

RoE

(%)

RoCE

(%)

EV/EBITDA

(x)

DPS

(Rs)

2006 2,488 234 - 23.1 56 - 40.3 49.8 0.4 0.6

2007 4,058 428 - 42.3 83 14.2 50.7 71.5 8.7 9.4

2008E 6,139 733 66.5 72.5 71 22.4 57.6 89.5 14.0 17.6

2009E 8,361 986 85.2 97.4 34 16.7 50.9 79.2 10.5 21.1


Capacity expansion trend

0%

20%

40%

60%

80%

100%

FY04

FY05

FY06

FY07

FY08

Power Transformer Distn. Transformer

Dry Type Transformer

Figures in M4,500 4,500 5,400 7,200 9,000

We are raising our

FY09 EPS estimatesby 15% in view of

the revised guidanceand favorable

outlook

WWIL


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39

WWIL

Rollout of CAS across the country likely to change the media distribution landscape in India

Head End In The Sky (HITS) technology to be launched in the 1st week of January

Revenues to increase to Rs 25bn by 2011 (FY07 - Rs 1.8bn)

Pay subscriber base to increase from 0.8mn currently to 6.9mn by 2012

Carriage fees: Benefiting MSOs

With the onslaught of several new channels, all vying for higher ratings, increase in carriage fees to provide significant

benefit to MSOs like WWIL

Risks to call: Implementation of CAS could be delayed further

Source: ENAM Research

CASPre Post Comments

ARPU (Rs.) 200 200* *Assuming subscription to 20 channels

Addressability (%) 10 100

Revenue Sharing As mandated by TRAI

- Broadcaster 15 45 3x increase in subscription revenues

- MSO 5 30 6x increase in pay revenues- LCO 80 25 Increasing ARPU's may negate drop in

LCOs revenue

CAS: Increasing addressability

Yes Bank


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40

Yes Bank

Focus on servicing small/emerging corporates and affluent clients. Provides 360 degree services, catering to all their business and personal banking needs

Gains client loyalty by providing specialized solutions to clients

Expand retail banking

To open ~75 branches a year taking the total branches to 250 by 2010

Initially to concentrate on deposits and wealth management in retail banking Single PIN for all transactions, RTGS, RFID to improve the customer management

To adopt a less aggressive strategy in the consumer lending space

Almost 2/3rd of the employees are posted in the retail banking

Technology initiatives

To develop wireless, mobile banking once proper security environment is in place

Currently have USD 100-200m in PE funds. Targeting to establish 3-4 PE funds

To raise ~Rs 3.2bn by preferential placement of 4.99% shares by the end of Dec 2008.

Further ~2% dilution likely during Jan-March 2008Financial summary (CMP: Rs 228)

PAT EPS Change P/E BV P/BV NPAs ROE ROA

(Rs mn) (Rs) YoY (%) (x) (Rs) (x) (%) (%) (%)

2006 553 2.0 - 111.5 21 10.8 0.0 14.0 2.0

2007 944 3.4 64 67.8 28 8.1 0.0 13.9 1.2

2008E 1,818 6.1 80 37.7 48 4.8 0.1 16.3 1.32009E 3,008 9.6 58 23.9 68 3.3 0.1 16.8 1.3


Y/E Mar

Zee Entertainment Enterprises


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41

Zee Entertainment Enterprises Zee TV has 39 programs of the Top 100 in Hindi GEC

(Week 42) No.2 channel in the country Channel share up from 28% (FY07) to 36% in FY08

42% channel share in primetime (PT) band. On weekdays PT, ZTV

ahead of Star Plus, while weekends it lags slightly behind

Recent slippage in ratings due to completion of Zees

hit show - SaReGaMaPa

With Star Voice of India program now over, ratings of Zee TV &

Star Plus expected to converge

Content based on family drama but focuses on real

social issues

Plans to increase fresh programming hours

Plans to concentrate on the weekend and afternoon slots

Current ARPUs at Rs 45 per sub. for the bouquet

International rev accounting for 30% of total rev.

Financials

Expected revenues by 2011E of Rs 39.6bn @ 30% CAGR

EBITDA margin of 35% in 5 yrs (vs 22% currently)

Time Band Our Position

17.00 17.29 Movie-Leader

17.30 17.59 Movie-Leader18.00 18.29 Kasamh Se (R) - Leader18.30 18.79 Saath Phere (R) - Leader

19.00 19.29 Mamta/Har Ghar - Leader19.30 19.79 Parivar - Leader20.00 20.29 Dulhan - Leader20.30 20.79 Maayka - Leader21.00 21.29 Kasamh Se21.30 21.79 Saath Phere - Leader22.00 22.29 Betiyaan22.30 22.79 Teen Bahuraniyan (Mar-07)

23.00 23.29 Arandhangini

54% Channel share

No.1 program acrossGenre

New launch Bidai

Kahani Ghar Ghar Ki

Kyunki (No.1 GEC prog)

Kayamath

Snapping At Star Plus Heels

Source: Company, ENAM Research


Y/E MarchSales

(Rs mn)

PAT

(Rs mn)

Consensus

EPS* (Rs.)

EPS

(Rs.)

Change

(YoY %)

P/E

(x)

RoE

(%)

RoCE

(%)

EV/EBITDA

(x)

DPS

(Rs)

2006 14,233 2,154 - 5.0 (36) 48 8 8 36 1.2

2007 14,411 2,407 - 5.5 12 45 8 10 33 1.5

2008E 16,703 3,547 8.5 8.2 47 36 11 14 26 3.32009E 19,632 4,840 11.2 11.2 36 26 13 17 18 4.5


Zee Entertainment Enterprises (Continued)


42/45

42

Zee Entertainment Enterprises (Continued) Content & programming

Digitization to change the scenario (2 new DTH players to

speed up things). Once subscription revenues are substantial,

differentiation in content will be more viable

Committee of broadcasters formed to revamp ratings

measurement system` Current system representing only 25mn homes (out of 72mn C&S

HHs)

Sports: 2 pronged strategy of cricket (ICL) and football

Plans to have dedicated channels for cricket & football (Zee

Sports & ten Sports) with 1 FTA for all other sports

Road ahead Launch of Zee Next on 17 December 2007 (focused on the

mass-youth) to capitalize on existing gap in GEC. Rs 20bn to

be spent over the next 1-1.5 yrs` Target of 70-75 GRPs initially

Ad revenues to grow @ 30% in FY09. Thereafter minimum

growth rate of ~15%

Subscription revenue to grow with digitization. (H1FY08 DTHrevs: Rs 250mn)

Exploring VAS opportunities after response of SaReGaMaPa

(10mn responses across SMS & internet). For next program,

they are integrating VS from the content creation stage itself

Head-end In The Sky (HITS) to be launched in the 1st week

of Jan will also help subscription revenue growth

Ranking Among Top 50 Programs222120191917

1515161414

12111011

109

3

0

33

0

5

10

15

20

25

Jan-06

Feb-06

Mar-06

Apr-06

May-06

Jun-06

Jul-06

Aug-06

Sep-06

Oct-06

Nov-06

Dec-06

Jan-07

Feb-07

Mar-07

Apr-07

May-07

Jun-07

Jul-07

Aug-07

Sep-07

591

416347

185 209 308

0100

200

300

400

500

600

700

800

Jan-06

Feb-06

Mar-06

Apr-06

May-06

Jun-06

Jul-06

Aug-06

Sep-06

Oct-06

Nov-06

Dec-06

Jan-07

Feb-07

Mar-07

Apr-07

May-07

Jun-07

Jul-07

Aug-07

Sep-07

Star Plus Zee TV Sony

All Day Performance

Source: Company

Zodiac


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43

Zodiac Aggressively scaling up organized branded retail reach

53 exclusive Zodiac showrooms and 4 ZOD! stores spread across 18 cities. Plans to add 100 more outlets in next 3

years to cover 25 cities across the country

Store roll outs impacted (line of sight - 20 stores vs. target of 30 stores for FY08) due to execution delays by mall

developers

1200 independent multi-brand retailers contribute 50% of branded sales

New menswear brand to be launched in Q3FY08 Targeting the youth category. ZCL intends to maintain its premium pricing for the new brand

Improving store economics and stable export scenario Same store sales growth at 20% in H1FY08. Branded sales growth in H2FY08 to be driven by festive season

New stores are expected to achieve cash breakeven in the 1st year of operation

Unlike other apparel export majors, ZCLs export operating margins has not been impacted by rupee appreciation

Caters to a high end private label customers, who bank on ZCLs ability to show case new design collections

Capex plan (~2.5bn) and sourcing of funds Largely to fund store roll outs, expanding manufacturing capacity and working capital requirements

Board approval is awaited to raise funds by issue of warrants and equity shares


Y/E MarchSales

(Rs mn)

Adj. PAT

(Rs mn)

Consensus

EPS* (Rs.)

EPS

(Rs.)

Change

(YoY %)

P/E

(x)

RoE

(%)

RoCE

(%)

EV/EBITDA

(x)

DPS

(Rs)

2006 2,154 126 - 15.1 51 19.0 13.5 17.5 12.4 5.0

2007 2,592 234 - 28.0 86 9.0 21.9 27.1 5.8 6.0

2008E 3,075 319 35.2 38.2 36 11.9 24.9 30.0 8.0 7.52009E 3,591 404 42.8 48.3 27 9.4 25.8 32.7 6.2 9.0

Source: Company, ENAM estimates; *Consensus broker est imates

Zodiac (Continued)


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44

Zodiac (Continued)

1.44

0.79 0.83

1.72

1.04

0.0

0.5

1.0

1.5

2.0

FY05 FY06 FY07 H1FY07 H1FY08

(Rs bn)

Export Sales Trend

CAGR 28 %

6 %

0.70

0.360.49

0.87

0.52

0.0

0.2

0.4

0.6

0.8

1.0


(Rs bn)

Branded Sales Trend

CAGR 27 %

38 %

232

141

248

408

152

0

90

180

270

360

450


(Rs mn)

EBITDA Trend

CAGR 64 %

76 %

Source: Company


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