ABOUT

PROFILE

A US$ 29 billion corporation, the Aditya Birla Group is in the League of Fortune 500. It is anchored by an extraordinary force of 130,600 employees, belonging to 40 different nationalities. In the year 2009, the Group was ranked among the top six great places for leaders in the Asia-Pacific region, in a study conducted by Hewitt Associates, RBL Group and Fortune magazine. In India, the Group has been adjudged the best employer in India and among the top 20 in Asia by the Hewitt-Economic Times and Wall Street Journal Study 2007.

Over 60 per cent of the Group's revenues flow from its overseas operations. The Group operates in 27 countries – Australia, Bahrain, Bangladesh, Brazil, Canada, China, Egypt, France, Germany, Hungary, India, Indonesia, Italy, Korea, Laos, Luxembourg, Malaysia, Myanmar, Philippines, Singapore, Sri Lanka, Switzerland, Thailand, UAE, UK, USA and Vietnam.

Globally, the Aditya Birla Group is: :: A metals powerhouse, among the world's most cost-efficient aluminium and

copper producers. Hindalco-Novelis is the largest aluminium rolling company. It is one of the three biggest producers of primary aluminium in Asia, with the largest single location copper smelter

:: No.1 in viscose staple fibre

:: The fourth-largest producer of insulators

:: The fourth-largest producer of carbon black

:: The fifth-largest producer of acrylic fibre

:: The ninth-largest cement producer

:: Among the best energy-efficient fertiliser plants

In India: :: One of the leading cement producers

:: The top fashion (branded apparel) and lifestyle player

:: The second-largest producer of viscose filament yarn

:: The second-largest in the chlor-alkali sector

:: Among the top four mobile telephony companies

:: Among top 10 Indian BPO companies by revenue size

:: A leading player in life insurance and asset management

:: Among the top three supermarket chains in the retail business

Rock solid in fundamentals, the Aditya Birla Group nurtures a culture where success does not come in the way of the need to keep learning afresh, to keep experimenting.

Beyond business Transcending business for over 50 years now, the Group has been and continues to be involved in meaningful welfare-driven initiatives that distinctly impact the quality of life of the weaker sections of society in India, South-East Asia and Egypt.

In India, the Group's social projects span 2,500 villages. It reaches out to seven million people annually through the Aditya Birla Centre for Community Initiatives and Rural Development, spearheaded by Mrs. Rajashree Birla. Its focus is healthcare, education, sustainable livelihood, infrastructure and espousing social causes.

The Group runs 42 schools, which provide quality education to over 45,000 children in India's interiors. Of these, over 18,000 children receive free education. An additional 8,000 students receive merit scholarships. Likewise at its 18 hospitals in India, more than a million patients are given extremely subsidised medical care. To embed corporate social responsibility as a way of life in organisations, the Group has set up the FICCI – Aditya Birla CSR Centre for Excellence, in Delhi.

The Group transcends the conventional barriers of business and reaches out to the marginalised because of its conviction of bringing in a more equitable society.

Group companies

:: Grasim Industries Ltd.

:: Hindalco Industries Ltd.

:: Aditya Birla Nuvo Ltd.

:: UltraTech Cement Ltd.

Indian companies

:: Aditya Birla Minacs Worldwide Limited

:: Essel Mining & Industries Ltd

:: Idea Cellular Ltd.

:: Aditya Birla Insulators

:: Aditya Birla Retail Limited

:: Aditya Birla Chemicals (India) Limited

International companies

Thailand

:: Thai Rayon

:: Indo Thai Synthetics

:: Thai Acrylic Fibre

:: Thai Carbon Black

:: Aditya Birla Chemicals (Thailand) Ltd.

:: Thai Peroxide

Philippines

:: Indo Phil Group of companies

:: Pan Century Surfactants Inc.

Indonesia

:: PT Indo Bharat Rayon

:: PT Elegant Textile Industry

:: PT Sunrise Bumi Textiles

:: PT Indo Liberty Textiles

:: PT Indo Raya Kimia

Egypt

:: Alexandria Carbon Black Company S.A.E

:: Alexandria Fiber Company S.A.E

China

:: Liaoning Birla Carbon

:: Birla Jingwei Fibres Company Limited

:: Aditya Birla Grasun Chemicals (Fangchenggang) Ltd.

Canada

:: A.V. Group

Australia

:: Aditya Birla Minerals Ltd.

Laos

:: Birla Laos Pulp & Plantations Company Limited

North and South America, Europe and Asia

:: Novelis Inc.

Singapore

:: Swiss Singapore Overseas Enterprises Pte Ltd. (SSOE)

Joint ventures

:: Birla Sun Life Insurance Company

:: Birla Sun Life Asset Management Company

:: Aditya Birla Money Mart Limited

:: Tanfac Industries Limited

FOUNDER

The roots of the Aditya Birla Group date back to the 19th century in the picturesque town of Pilani, set amidst the Rajasthan desert. It was here that Seth Shiv Narayan Birla started trading in cotton, laying the foundation for the House of Birlas.

Through India's arduous times of the 1850s, the Birla business expanded rapidly. In the early part of the 20th century, our Group's founding father, Ghanshyamdas Birla, set up industries in critical sectors such as textiles and fibre, aluminium, cement and chemicals. As a close confidante of Mahatma Gandhi, he played an active role in the Indian freedom struggle. He represented India at the first and second round-table conference in London, along with Gandhiji. It was at "Birla House" in Delhi that the luminaries of the Indian freedom struggle often met to plot the downfall of the British Raj.

Ghanshyamdas Birla found no contradiction in pursuing business goals with the dedication of a saint, emerging as one of the foremost industrialists of pre-independence India. The principles by which he lived were soaked up by his grandson, Aditya Vikram Birla, our Group's legendary leader.

Aditya Vikram Birla: putting India on the world map

A formidable force in Indian industry, Mr. Aditya Birla dared to dream of setting up a global business empire at the age of 24. He was the first to put Indian business on the world map, as far back as 1969, long before globalisation became a buzzword in India.

In the then vibrant and free market South East Asian countries, he ventured to set up world-class production bases. He had foreseen the winds of change and staked the future of his business on a competitive, free market driven economy order. He put Indian business on the globe, 22 years before economic liberalisation was formally introduced by the former Prime Minister, Mr. Narasimha Rao and the former Union Finance Minister, Dr. Manmohan Singh. He set up 19 companies outside India, in Thailand, Malaysia, Indonesia, the Philippines and Egypt.

Interestingly, for Mr. Aditya Birla, globalisation meant more than just geographic reach. He believed that a business could be global even whilst being based in India. Therefore, back in his home-territory, he drove single-mindedly to put together the building blocks to make our Indian business a global force.

Under his stewardship, his companies rose to be the world's largest producer of viscose staple fibre, the largest refiner of palm oil, the third largest producer of insulators and the sixth largest producer of carbon black. In India, they attained the status of the largest single producer of viscose filament yarn, apart from being a producer of cement, grey cement and rayon grade pulp. The Group is also the largest producer of aluminium in the private sector, the lowest first cost producers in the world and the only producer of linen in the textile industry in India.

At the time of his untimely demise, the Group's revenues crossed Rs.8,000 crore globally, with assets of over Rs.9,000 crore, comprising of 55 benchmark quality plants, an employee strength of 75,000 and a shareholder community of 600,000.

Under the leadership of our Chairman, Mr. Kumar Mangalam Birla, the Group has sustained and established a leadership position in its key businesses through continuous value-creation. Spearheaded by Grasim, Hindalco, Aditya Birla Nuvo, Indo Gulf Fertilisers and companies in Thailand, Malaysia, Indonesia, the Philippines and Egypt, the Aditya Birla Group is a leader in a swathe of products — viscose staple fibre, aluminium, cement, copper, carbon black, palm oil, insulators, garments. And with successful forays into financial services, telecom, software and BPO, the Group is today one of Asia's most diversified business groups.

Mr. Kumar Mangalam Birla Chairman, The Aditya Birla Group

Mr. Kumar Mangalam Birla is Chairman of the US$ 28 billion Aditya Birla Group and India’s first truly multinational corporation. An iconic figure, Mr. Birla holds several key positions on various regulatory and professional boards. He is a director of the Central Board of Directors of the Reserve Bank of India and chairman of the Staff Sub-Committee of the Central Board of the Reserve Bank of India. He serves on the Prime Minister of India’s Advisory Council on Trade and Industry. He is the chairman of the Board of Trade constituted by the Union Minister of Commerce & Industry, also chairman of the Ministry of Company Affairs’ Advisory Committee.

Additionally, he is on the National Council of the Confederation of Indian Industry (CII); the Apex Advisory Council of the Associated Chambers of Commerce and Industry of India, New Delhi and the Advisory Council for the Centre for Corporate Governance.

Several accolades have been showered on Mr. Birla such as the Asia Pacific Global HR Excellence – Exemplary Leader Award and NDTV’s “Global Indian Leader of the year”, and “Most Socially Responsible Leader” by Outlook Business Magazine – all in 2007. Earlier, the Lakshmipat Singhania – IIM, Lucknow National Leadership Award – 2006, Business Leader, was conferred on Mr. Birla by the Prime Minister. Mr. Birla also has been named the World Economic Forum’s “Young Global Leader“, “Ernst & Young Entrepreneur of the year", the Economic Times – “Business Leader of the year”, Business India’s "Business Man of the year”, Business Today’s “Young Super Performer in the CEO Category”, NITIE’s “Business Visionary”, and the Bombay Management Association’s “Management Man of the year”.

A chartered accountant, Mr. Birla earned an MBA from the London Business School, where he is also an Honorary Fellow. Mr. Kumar Mangalam Birla and his wife, Mrs. Neerja Birla, have three children, Ananyashree, Aryaman Vikram and Advaitesha.

LEADERSHIP TEAM

Our leadership team provides strategic direction to Group companies. The team comprises:

Mr. Kumar Mangalam BirlaChairman, Aditya Birla Group

  Mr. Pranab BaruaTextiles and Apparels

Mrs. Rajashree BirlaChairperson, The Aditya Birla Centre for Community Initiatives and Rural Development

  Mr. Rajiv DubeGroup Corporate Services

Mr. Ajay SrinivasanFinancial Services

  Dr. Rakesh JainAditya Birla Nuvo

Mr. Askaran AgarwalaBirla Group Trusts & Special Community Projects

  Mr. Ravi KastiaMining & Trading

Dr. Bharat SinghBusiness Review Council (Services business)

  Mr. Sanjeev AgaTelecom

Mr. D.D. RathiBusiness Review Council (Services business)

  Dr. Santrupt B MisraCarbon Black Business and Group HR

Mr. Debu BhattacharyaMetals

  Mr. Shailendra JainChairman, Business Review Council (Manufacturing business)

Mr. K. K. Maheshwari Pulp & Fibre

  Mr. Vikram RaoAcrylic Fibre and Overseas Spinning Business

Mr. Lalit NaikChemicals

  Mr. Thomas VargheseRetail

Mr. O. P. Puranmalka Cement

   

MARKETING RESEARCH

Marketing research can be broken down into two distinct words- Marketing and

Research. We have to understand each of the two components Marketing and

Research to know what Marketing Research is all about. Marketing is essentially a

sum total of two entities, viz. the target market and the marketing mix for the

market, which in turn is related to actions regarding the four P’s viz. Product,

Price, Place and Promotion. Thus, marketing is some human activity directed at

satisfying needs and wants through exchange process and a modern marketing

system cannot exist without efficient producers and affluent consumers.

Research is an activity solving problem. It is an endeavor to discover, and develop

knowledge aiming for progress. The testing validity of existing phenomena cannot

be possible but for research. Research is, “the manipulation of things, concepts or

symbols for the purpose of generalizing to extend, correct or verify knowledge,

whether that a process involving a series of steps to collect and analyze the

information needed for decision in the desired filed of enquiry. If it is in the field

of sociology it is termed as Social research and if it is in the filed of marketing it is

known as Marketing Research.

According to Philip Kotler, “Marketing research is the systematic design,

collection, analysis and reporting of data, and finding a solution relevant to specific

marketing situation facing the company”. Marketing research is undertaken to

guide managers in their analysis, planning, implementation and control of

programmes to satisfy customers and organizational goals.

In the words of Blankership and Doyle, “Marketing Research is the collection and

implementation of facts that help marketing management to get products more

efficiently into the heads of the customer. Marketing research encompasses all the

information pertinent to this task, all the appropriate techniques.

American Marketing Association defines marketing research as, “the systematic

gathering, recording, and analysis of data about problems relating to the marketing

of goods and services”.

Green and Tull have defined marketing research as “the systematic and objective

search for and analysis of information relevant to the identification and solution of

any problem in the field of marketing”.

Marketing research can be broken down into two distinct words- Marketing and

Research. We have to understand each of the two components Marketing and

Research to know what Marketing Research is all about. Marketing is essentially a

sum total of two entities, viz. the target market and the marketing mix for the

market, which in turn is related to actions regarding the four P’s viz. Product,

Price, Place and Promotion. Thus, marketing is some human activity directed at

satisfying needs and wants through exchange process and a modern marketing

system cannot exist without efficient producers and affluent consumers.

Research is an activity solving problem. It is an endeavor to discover, and develop

knowledge aiming for progress. The testing validity of existing phenomena cannot

be possible but for research. Research is, “the manipulation of things, concepts or

symbols for the purpose of generalizing to extend, correct or verify knowledge,

whether that a process involving a series of steps to collect and analyze the

information needed for decision in the desired filed of enquiry. If it is in the field

of sociology it is termed as Social research and if it is in the filed of marketing it is

known as Marketing Research.

From the above definitions, following fundamental characteristics of marketing

research can be derived:-

Marketing Research is an objective and systematized body of knowledge.

It involves collection, recording, analysis, interpretation and reporting of

some relevant information.

Provides more efficient marketing of goods and services to consumers. It is

concerned with problems relating to products, markets and methods of sales

and distribution.

Deals with present and potential consumers as well as the changing

marketing environment.

Provides regular and reliable information about the product, its market and

the potential consumer to the management so as to chalk out appropriate

marketing strategy.

There can be both intra and extra resources for collecting information.

It provides information for decision making and to develop new knowledge.

Marketing research is an attempt to find justified solutions to marketing

problems.

FACT FILE

The world's largest aluminium rolling company

World leader in viscose staple fibre

One of the three biggest producers of primary aluminium in Asia

One of the leading cement producers in India and the ninth-largest globally

Fourth-largest producer of carbon black in the world

Fourth-largest producer of insulators in the world

World's fifth-largest producer of acrylic fibre

PRODUCTS

Company Key products

Companies in India

Grasim Industries Limited Cement, viscose staple fibre, rayon grade pulp, ready mix concrete, chemicals, textiles

UltraTech Cement Limited* Cement, ready mix concrete

Hindalco Industries Limited Aluminium, copper

Novelis Inc.* Aluminium rolled products, cans, primary metal, recycling

Aditya Birla Minerals Limited* Australia – copper mines

Aditya Birla Chemicals (India) Limited* Caustic soda

Hindalco-Almex Aerospace Limited** Aerospace alloy

Utkal Alumina International Limited* Alumina

Dahej Harbour & Infrastructure Limited* Handling of captive cargo (copper unit) and commercial cargo

Aditya Birla Science and Technology Company Limited

R&D

Tubed Coal Mines Limited* Mining

Mahan Coal Limited** Mining

Aditya Birla Nuvo Limited Branded garments, viscose filament yarn, carbon black, agribusiness, insulators, textiles

Birla Sun Life Insurance Company Limited**

Life insurance

Birla Sun Life Asset Management Company Limited**

Asset management

Aditya Birla Finance Limited* Non-banking financial services

Aditya Birla Money Mart Limited* Distribution and wealth management

Aditya Birla Money Limited* Broking

Aditya Birla Insurance Brokers (erstwhile Birla Insurance Advisory and Broking Services Limited*)

General insurance advisory and broking

Aditya Birla Capital Advisors Private Limited*

Private equity investment, advisory and management services

Idea Cellular Limited** Cellular services

Aditya Birla Minacs Worldwide Limited* IT-ITeS

Madura Fashion & Lifestyle Branded apparel retailing

Essel Mining Iron ore mining, noble ferro alloys and wind power generation

Aditya Birla Retail Limited FMCG products, fruits, vegetables, groceries, frozen food, bakery, homecare and pharmacy

Joint ventures

Birla – Sun Life Joint Ventures Financial services

Tanfac Industries Fluorine chemicals

Aditya Birla Grasun Chemicals (Fangchenggang) Limited

Food grade phosphoric acid

Thai Peroxide Company Limited Hydrogen peroxide

Hindalco – Almex Aerospace Limited Aerospace alloys

Mahan Coal Limited Mining

Hydromine Bauxite / alumina

Companies overseas

Novelis Inc. Aluminium flat rolled products (sheet and foil) and recycling. Also bauxite mining, power generation and aluminium smelting

Thai Rayon Viscose staple fibre (VSF)

Indo Thai Synthetics Spun yarns of 100 per cent rayon, PES and blends

Thai Acrylic Fibre Acrylic fibre

Thai Carbon Black Carbon black

Aditya Birla Chemicals (Thailand) Limited Chlor-alkali products, epichlorohydrin, epoxy resins, sodium phosphates, speciality phosphates, sodium sulphite, sodium metabisulphite

Thai Peroxide Hydrogen peroxide

Birla Lao Pulp and Plantations Company Limited

Pulp wood plantations and dissolving pulp plant

Indo Phil Textile Mills Yarns

Indo Phil Cotton Mills Yarns

Indo Phil Acrylic Mfg. Corp. Yarns

Pan Century Surfactants Fatty alcohols, fatty acids, glycerine

PT Indo Bharat Rayon VSF

PT Elegant Textile Industry Yarns

PT Sunrise Bumi Textiles Yarns

PT Indo Liberty Textiles Yarns

PT Indo Raya Kimia Carbon di-sulphide

Swiss Singapore OverseasEnterprises Pte Limited

Trans-national bulk commodity trading solutions provider

Alexandria Carbon Black Carbon black

Alexandria Fiber Acrylic fibre

Liaoning Birla Carbon Co. Limited Carbon black

Birla Jingwei Fibres Co. Limited VSF

Aditya Birla Grasun (Fangchenggang) Limited

Food grade phosphoric acid

AV Cell Inc. Softwood/hardwood dissolving grade pulp (for VSF manufacture)

AV Nackawic Inc. Hardwood dissolving grade pulp (for VSF manufacture)

Aditya Birla Minerals Limited Copper mines

The Aditya Birla Group, India's first multinational corporation, traces its origins back to the tiny village of Pilani in the Rajasthan desert, where Seth Shiv Narayan Birla started cotton trading operations in 1857. Today, the Group's footprint extends to 27 countries and its revenues are US$ 29 billion. We retrace the highlights of this remarkable journey, starting from the present:

2010:: Ultratech's 'Concern for Health' project awarded the Asian Corporate Social

Responsibility Award by the Asian Institute of Management Centre for Corporate Social Responsibility.

:: Hindalco ranked ninth across industries on Forbes Asia's Fab 50 companies list of Asia's 50 most valued companies.

:: Mrs. Rajashree Birla, Chairperson, Aditya Birla Centre for Community Initiatives and Rural Development receives 'Hello Hall of Fame' award for 'Exemplary Philanthropist of the year' from Worldwide Media Goup's 'Hello' celebrity journal.

:: Indian Rayon, Veraval (a division of Aditya Birla Nuvo) is awarded The Rajiv Gandhi Environment Award for Clean Technologies by The Ministry of Environment and Forests, Government of India.

:: Mr. Kumar Mangalam Birla, Chairman of the Group, presented the All India Management Association (AIMA) Managing India Award 2010 for ' Business Leader of the Year'. AIMA confers these awards to persons who are “exemplary leaders who have made a fundamental difference”.

:: Mrs. Rajashree Birla, Chairperson, Aditya Birla Centre for Community Initiatives and Rural Development, awarded the Global Golden Peacock Life Time Achievement Award for Community Development for the year 2010 for "Outstanding Contribution Towards Community Development and Social Welfare".

:: Hindalco and Birla White declared winners in the Golden Peacock Awards for Corporate Social Responsibility 2010 by an eminent international jury, headed by Justice P.M. Bhagwati, the erstwhile Chief Justice of India.

:: The Aditya Birla Centre for Community Initiatives and Rural Development team up with Columbia University's research centre, the Columbia Global Centers' Earth Institute in Mumbai, to become its principal partner. The Earth Institute's goal is to help achieve sustainable development primarily by expanding people's understanding of the earth as one integrated system.

2009:: Grasim's pulp and fibre division wins the highly prestigious Asian CSR Award.

The Asian CSR Awards, Asia's Premier CSR Awards program, is a project of the Asian Institute of Management, Manila.

:: The Ministry of Labor and Social Welfare, Government of Thailand confers “The Best Labor Relations and Welfare Award, 2009” on Indo Thai Synthetic Company Limited.

:: Birla Sun Life Mutual Fund named "The Asset Management Company of the Year, India", by the Hong Kong based magazine, The Asset, in the country awards category of their "Triple A Investment Performance Awards 2009".

:: CNBC TV18 Crisil recognises Birla Sun Life Mutual Fund as "The Mutual Fund House of the Year" in 2008 and 2009 (for 2007 and 2008), creating history as the only fund house to have won this recognition in two consecutive years.

:: The Birla Sun Life Equity-Linked FMP wins the "Best Local Currency Structured Product-India" at the Triple A Investment Performance Awards 2009.

:: Birla Sun Life Mutual Fund named the best "Onshore Fund House — India" by Hong Kong based magazine, The Asian Investor, at the Investment Performance Awards 2009.

:: Rajiv Gandhi Award for Eminence in Social Field, 2009 conferred on Mrs. Rajashree Birla by Mr. Jyotiraditya Scindia (Union Minister of State, Commerce & Industry) on 19 August 2009. The award recognises Mrs. Birla's pathbreaking work among the poor, more so in India's villages, carried out through the Aditya Birla Centre for Community Initiatives and Rural Development.

:: Idea Cellular wins the Economic Times' "Emerging Company of the Year Award for 2009".

:: Vikram Cement and Aditya Cement wins the Federation of Indian Mineral and Industries' "Social Awareness Award for the year 2008-09".

:: Reader's Digest Pegasus Star Award conferred on Hindalco in recognition of

work that truly exemplifies the highest values of society and corporate leadership for social responsibility and sustainable development initiatives. Mrs. Rajashree Birla who spearheads all the Group's social projects received this much coveted award on behalf of Hindalco from Mr. Arun Jaitley, MP, Rajya Sabha, on 21 January 2009 in Delhi.

2008:: The President of India, Mrs. Pratibha Patil confers the much coveted Rotary

International Polio Eradication Champion Award on Mrs. Rajashree Birla in an elegant function at the Rashtrapati Bhavan (Delhi), attended by the Chairman, select Rotarians and WHO officials.

2007:: The Aditya Birla Group honoured with the India Today Group's Readers

Digest Gold award in recognition of the work that truly exemplifies the highest values of society as well as those of Reader's Digest. The award was received by Mrs. Rajashree Birla, Chairperson, Aditya Birla Center for Community Initiatives and Rural Development, at the Pegasus Corporate Social Responsibility Awards 2007 function.

:: Hindalco awarded the CII - Sorabji Green Business Centre "National Award for Excellence in Water Management 2007".

:: In May 2007, Novelis becomes a Hindalco subsidiary with the completion of the acquisition process. The transaction makes Hindalco the world's largest aluminum rolling company and one of the biggest producers of primary aluminum in Asia, as well as being India's leading copper producer.

2006:: Hindalco enters into a joint venture with Almex USA Inc. :: TransWorks Information Services announces success of bid to acquire Minacs

Worldwide.:: Grasim Industries Limited, India; Thai Rayon Public Company Limited,

Thailand; and P.T. Indo Bharat Rayon, Indonesia, form a JV with Hubei Jing Wei Chemical Fibre Company, China, for VSF.

:: Hindalco awarded the Greentech Safety Silver Award for its outstanding safety performance during 2005-06.

2005

:: Indian Rayon re-christened as Aditya Birla Nuvo.:: Aditya Birla Group to set up a world-class aluminium project in Orissa.:: The Aditya Birla Group signs a framework agreement to acquire St Anne

Nackawic Pulp Mill, Canada.

2004 :: Board reconstituted with Mr. Kumar Mangalam Birla taking over as Chairman.:: Completion of the implementation process to demerge the cement business of

L&T and completion of open offer by Grasim, with the latter acquiring controlling stake in the newly formed company UltraTech.

:: Grasim, Nagda, receives the FICCI Annual Award 2003-2004 in recognition of corporate initiaitve in rural development.

:: Aditya Birla Chemicals (India) Limited, Rehla, Jharkhand, receives theFICCI Annual Award 2003-2004 in recognition of corporate initiative in family welfare.

:: Hindalco recieves India CFO Award 2004 for excellence in finance in a large corporate.

:: Scheme of Arrangement announced to merge Indal with Hindalco.:: Indian Rayon completes its brownfield expansion of 40,000tpa at Hi-Tech

Carbon, Gummidipundi, taking total capacity to 1,60,000tpa.:: Deming Award for Indo Gulf.:: Indal won FICCI Award 2002-2003 for 'Corporate Initiative in Rural

Development'.

2003 :: Mr. Kumar Mangalam Birla, Chairman of the Group, selected as Business

India's Businessman of the Year - 2003.:: Mr. Kumar Mangalam Birla selected as The Economic Times' Business Leader

of the year.:: The Group is ranked 16th in India's first ever survey of 'Great places to work

in', published in Business World magazine. The Group's joint venture concern, Birla Sun Life Insurance, is ranked 9th in the same study.

:: The Group is ranked 20th in a study on the 'Best Employers in India', conducted by Hewitt Associates and Business Today.

:: Hindalco receives the Asian CSR Award for its "Rural Poverty Alleviation Programme". The Asian CSR Awards are Asia's premier awards programme

on corporate social responsibility. :: The Group acquires the Mount Gordon Copper mines in Australia, another

strategic step in becoming a globally competitive copper player.

:: Indian Rayon acquires TransWorks, a leading Indian ITES / BPO company.:: The board of engineering major Larsen & Toubro Ltd (L&T) decides to

demerge its cement business into a separate cement company (CemCo), in which L&T will retain 20 per cent of its equity with the balance to be distributed to their shareholders in proportion to their shareholding in L&T. As a consequence, Grasim to acquire an 8.5 per cent equity stake from L&T and then make an open offer for 30 per cent of the equity of CemCo, to acquire management control of CemCo.

:: The Group divests its entire 37.38 per cent equity stake in Mangalore Refineries and Petrochemicals Ltd (MRPL) to the Oil and Natural Gas Corporation (ONGC).

:: Birla Copper acquires the Nifty Copper Mines in Australia, as part of a strategic plan to make the company an integrated copper producer, and source raw material for its copper smelter at Dahej, Gujarat.

:: Indian Rayon formally launches its insulators joint venture with NGK Insulators Ltd., Japan, christening it as "Birla NGK Insulators Private Limited.

:: Birla Copper, a strategic business unit of Hindalco, is accorded London Metal Exchange (LME) registration. Its copper cathodes are approved as 'Grade A' copper brand by LME.

2002:: The Grasim board approves an open offer for purchase of up to 20 per cent of

the equity of L&T, in accordance with the provisions and guidelines issued by the Securities & Exchange Board of India Regulations, 1997.

:: Grasim increases stake in L&T to 14.15 per cent (351.84 lakh shares).:: Landmark corporate restructuring of Hindalco and Indo Gulf. The fertiliser

business of Indo Gulf to be demerged into a separate company called Indo Gulf Fertilisers. Indo Gulf's copper business to be merged with Hindalco, creating a non-ferrous metals powerhouse.

:: Grasim divests its Gwalior unit to Melodeon Exports Limited, and consolidated textile operations at a single location in Bhiwani, MP, which will manufacture

both 'Grasim' and 'Graviera' brands.:: PSI Data Systems acquires Birla Technologies Ltd, bringing the Group IT

services business under one umbrella.

:: Indal acquires a controlling stake in Anapurna Foils Ltd (AFL), to augment its position in the foil and packaging sectors. Subsequently AFL is merged with Indal.

:: The Group receives The Economic Times' "Corporate Citizen" of the year award.

2001 :: Grasim acquires 2.50 crore shares – representing just over 10 per cent of the

equity – in L&T from Reliance Industries Ltd.:: Birla Consultancy & Software Services spun off; becomes a separate entity

called Birla Technologies Ltd.:: Indian Rayon acquires a stake in PSI Data Systems, in one of the largest cash

transactions in the Indian technology sector.:: Grasim closes its pulp plant at Mavoor as a part of its restructuring initiatives.

2000 :: Indian Rayon acquires Madura Garments and selected overseas brand rights,

taking the Group to the top of the league in the branded apparels sector.:: The Group forays into e-business through a strategic alliance of its software

arm, Birla Software and Consultancy Services (BCSS), with Lawson Software (USA).

:: 'Gyanodaya', the Institute of Management Learning of the Aditya Birla Group, inaugurated.

:: Hindalco acquires Indal. The Indal board is reconstituted. Mr Kumar Mangalam Birla became Indal's new chairman. The Group holding went up to 74.6 per cent, and further increased to 96 per cent in FY03.

:: The Insurance Regulatory Development Authority (IRDA) grants registration in principle to Birla Sun Life Insurance Company.

:: Indian Rayon acquires major world rights for international apparel brands Louis Philippe, Allen Solly and Peter England.

:: The Group announces its intention to launch a 450 MW 'Green Power Project' in Karnataka .

:: The merger of Birla AT&T and Tata Cellular is completed.

1999 :: A joint venture with financial services major Sun Life of Canada is inked, as

part of the overall restructuring of the Group's financial services business.

1998 :: The Group forms a 50:50 joint venture company with Tembec Inc.

of Canada, called A.V. Cell Inc., to supply pulp for the Group's VSF operations.

:: Grasim acquires Dharani Cement and Shree Digvijay Cement to consolidate the Group's leadership position in cement.

:: The cement businesses of Indian Rayon and Grasim are consolidated into a single division of Grasim – the biggest restructuring ever by any corporate entity in India.

:: The Group forays into copper with the commissioning of Indo Gulf's copper smelter – the largest of its kind in India.

:: Thai Organic Chemicals begins commercial operations of chlor-alkali and epichlorohydrin.

Balance Sheet of Aditya Birla

------------------- in Rs. Cr. -------------------

Mar '06 Mar '07 Mar '08 Mar '09 Mar '10

12 mths 12 mths 12 mths 12 mths 12 mths

Sources Of FundsTotal Share Capital 59.89 93.31 95.01 95.01 103.11Equity Share Capital 59.89 93.31 95.01 95.01 103.01Share Application Money 23.61 0.00 377.41 377.41 142.07Preference Share Capital 0.00 0.00 0.00 0.00 0.10Reserves 2,124.11 3,031.24 3,551.32 3,649.24 4,416.33Revaluation Reserves 0.00 0.00 0.00 0.00 0.00Networth 2,207.61 3,124.55 4,023.74 4,121.66 4,661.51Secured Loans 1,084.21 2,071.62 1,856.72 2,217.07 2,067.38Unsecured Loans 479.36 760.21 886.70 2,282.14 1,568.27Total Debt 1,563.57 2,831.83 2,743.42 4,499.21 3,635.65Total Liabilities 3,771.18 5,956.38 6,767.16 8,620.87 8,297.16

Mar '06 Mar '07 Mar '08 Mar '09 Mar '10

12 mths 12 mths 12 mths 12 mths 12 mths

Application Of FundsGross Block 2,461.81 2,653.15 3,111.78 3,290.16 3,564.71Less: Accum. Depreciation 1,448.74 1,548.90 1,680.89 1,813.95 2,012.49Net Block 1,013.07 1,104.25 1,430.89 1,476.21 1,552.22Capital Work in Progress 122.45 203.88 70.73 128.78 263.06Investments 1,675.79 3,849.39 4,054.17 5,712.39 5,435.85Inventories 526.33 475.26 776.60 747.60 876.34Sundry Debtors 474.78 595.99 760.98 887.23 693.33Cash and Bank Balance 18.84 21.71 56.19 36.05 13.18Total Current Assets 1,019.95 1,092.96 1,593.77 1,670.88 1,582.85Loans and Advances 619.99 358.40 502.11 557.70 684.40Fixed Deposits 1.48 1.03 40.96 53.76 1.13

Total CA, Loans & Advances 1,641.42 1,452.39 2,136.84 2,282.34 2,268.38Deffered Credit 0.00 0.00 0.00 0.00 0.00Current Liabilities 607.63 593.88 791.99 882.41 1,104.09Provisions 73.92 59.65 133.48 96.44 118.26Total CL & Provisions 681.55 653.53 925.47 978.85 1,222.35Net Current Assets 959.87 798.86 1,211.37 1,303.49 1,046.03Miscellaneous Expenses 0.00 0.00 0.00 0.00 0.00Total Assets 3,771.18 5,956.38 6,767.16 8,620.87 8,297.16

Contingent Liabilities 584.65 333.46 810.00 991.33 809.65Book Value (Rs) 364.67 334.87 383.79 394.09 438.73

Aditya Birla  

Profit & Loss account ------------------- in Rs. Cr. -------------------

  Mar '06 Mar '07 Mar '08 Mar '09 Mar '10

  12 mths 12 mths 12 mths 12 mths 12 mths

Income

Sales Turnover 2,786.39 3,577.89 4,145.75 4,997.21 4,981.85

Excise Duty 140.60 157.13 212.80 211.08 160.40

Net Sales 2,645.79 3,420.76 3,932.95 4,786.13 4,821.45

Other Income 31.31 73.15 69.94 60.24 -64.69

Stock Adjustments 43.58 45.19 83.17 17.89 -3.16

Total Income 2,720.68 3,539.10 4,086.06 4,864.26 4,753.60

Expenditure

Raw Materials 1,511.11 1,917.13 2,236.86 2,749.62 2,577.99

Power & Fuel Cost 187.56 333.75 359.66 537.38 431.57

Employee Cost 164.03 193.22 258.20 287.91 347.63

Other Manufacturing Expenses 104.06 103.46 115.89 115.43 117.12

Selling and Admin Expenses 250.28 293.61 367.72 463.92 493.13

Miscellaneous Expenses 62.03 80.49 93.03 85.18 91.26

Preoperative Exp Capitalised 0.00 0.00 0.00 0.00 0.00

Total Expenses 2,279.07 2,921.66 3,431.36 4,239.44 4,058.70

  Mar '06 Mar '07 Mar '08 Mar '09 Mar '10

  12 mths 12 mths 12 mths 12 mths 12 mths

Operating Profit 410.30 544.29 584.76 564.58 759.59

PBDIT 441.61 617.44 654.70 624.82 694.90

Interest 68.55 195.40 204.47 290.64 334.10

PBDT 373.06 422.04 450.23 334.18 360.80

Depreciation 111.81 120.32 141.10 165.96 180.10

Other Written Off 0.00 0.00 0.00 0.00 0.00

Profit Before Tax 261.25 301.72 309.13 168.22 180.70

Extra-ordinary items 15.99 40.62 41.18 29.23 4.25

PBT (Post Extra-ord Items) 277.24 342.34 350.31 197.45 184.95

Tax 90.31 117.37 107.24 60.02 41.15

Reported Net Profit 186.93 224.97 243.07 137.43 283.40

Total Value Addition 767.96 1,004.53 1,194.50 1,489.82 1,480.71

Preference Dividend 0.00 0.00 0.00 0.00 0.00

Equity Dividend 41.75 51.32 54.63 38.00 51.51

Corporate Dividend Tax 5.86 7.20 9.28 4.43 7.95

Per share data (annualised)

Shares in issue (lakhs) 598.90 933.05 950.08 950.09 1,030.10

Earning Per Share (Rs) 31.21 24.11 25.58 14.46 27.51

Equity Dividend (%) 50.00 55.00 57.50 40.00 50.00

Book Value (Rs) 364.67 334.87 383.79 394.09 438.73

Aditya Birla  

Cash Flow ------------------- in Rs. Cr. -------------------

  Mar '06 Mar '07 Mar '08 Mar '09 Mar '10

  12 mths 12 mths 12 mths 12 mths 12 mths

Net Profit Before Tax 271.75 311.08 314.56 162.30 320.30

Net Cash From Operating Activities -7.67 496.35 278.71 444.61 1062.60

Net Cash (used in)/fromInvesting Activities

-663.14 -2245.72 -572.76 -1889.26 -142.67

Net Cash (used in)/from Financing Activities

675.56 1751.79 366.46 1437.31 -996.86

Net (decrease)/increase In Cash and Cash Equivalents

4.75 2.42 72.41 -7.34 -76.93

Opening Cash & Cash Equivalents 15.57 20.32 24.74 97.15 91.24

Closing Cash & Cash Equivalents 20.32 22.74 97.15 89.81 14.31

CONCLUSION

The consumer is influenced by both the intrinsic and extrinsic factors. Intrinsically, his needs, motives, perceptions, and attitudes tend to influence what he purchases and where he purchases.

However, extrinsic influences such as family, social class, the culture, and economic factors will also affect his behavior.

With the understanding of these elements marketers would be well placed to devise their marketing mix in accordance with their respective.

We are the student in the marketing field so it is very important to understand the consumer behavior deeply as in future in corporate world it will surely helps us.