FY10 Earnings & Strategy Updategy p

to Shareholders

August 6, 2010August 6, 2010

SAFE HARBOR STATEMENT

Some of the statements herein constitute “forward-looking statements” that do not

directly or exclusively relate to historical facts. These forward-looking statements

reflect our intentions, plans, expectations, assumptions and beliefs about future

events and are subject to risks, uncertainties and other factors, many of which are

outside our control. Important factors that could cause actual results to differ p

materially from the expectations expressed or implied in the forward-looking

statements include known and unknown risks. Because actual results could differ

materiall from o r intentions plans e pectations ass mptions and beliefs abo t thematerially from our intentions, plans, expectations, assumptions and beliefs about the

future, you are urged to view all forward-looking statements contained herein with

caution. Tata Communications does not undertake any obligation to update or revise

forward looking statements, whether as a result of new information, future events or

otherwise.

ANNUAL GENERAL MEETINGAugust 6, 2010 FY10 Financialsg ,

Financial Highlights: FY10

11 026

Consolidated Gross Revenues Consolidated EBITDARs croresAs Per India GAAP

9,963 11,026

1,350

1,012

FY 09 FY 10

Consolidated PATConsolidated PBTFY 09 FY 10

423

Consolidated PATConsolidated PBT

316

(681)

(598)

FY 09 FY 10 FY 09 FY 10

The PAT Movement: FY09 to FY10

316

200

400

10 0

200

FY09 PAT Addl. Neotel Losses Addl. Dep Addl Interest Others FY10 PAT

(314) (400)

(598)

-400

-200

(210)

-800

-600

Segment Revenues: FY10

Global VoiceGlobal Data

9% 8%

Rs croresAs Per India GAAP

5 6296,147 3 872 4,189

9% 8%

5,629 3,872

FY 09 FY 10

OthersFY 09 FY 10

49%

462690

FY 09 FY 10

Gross Revenue Split by Business & Segment (FY10)

RBU/Oth6%

E t i

Voice56% Service Provider

21%

Enterprise17%Data

38%

Enterprise & Retail is 19%; Service Provider is 81%

FY 10 Total: Rs 11,026 Crores

Enterprise & Retail is 19%; Service Provider is 81%

Net Revenue Split by Business & Segment (FY10)

RBU/Oth12%

Voice21%

Service Provider37% Enterprise

30%Data67%

FY 10 Total: Rs 5 652Crores

Enterprise & Retail is 33%; Service Provider is 67%

FY 10 Total: Rs 5,652Crores

Enterprise & Retail is 33%; Service Provider is 67%

Net Revenue Growth & Mix

Net Revenue (Rs Cr)4,154 5,631 5,652

CAGR

17%

5% 4% 4%

1% 4% 8%225%

6%

68% 65% 67% 17%

26% 26% 21%

FY08 FY09 FY10

4%

Voice Data Broadband Neotel

Key Metrics: EBITDA Margins

EBITDA Margin (%)

21%

24%

18%On Gross R

11%

14%

9%

18% Revenue

On Net Revenue

FY08 FY09 FY10

Key Metrics: Capex

Key Investment Areas

Submarine Cables

IP, MPLS & Ethernet Expansion

CData Centers

New / Managed Services

FY07 – FY10: $1.99 Billion

Major Announcements & Launches

Innovative Products & Services Partnerships Strategic

Investments• Video Connect - Dedicated

global video network

• Managed Two-Factor Authentication as a Cloud-

• BT – Global Strategic Voice Services Agreement

• Whygo, Starwood, CWT, Dimension Data – expand

• Acquired BT Group plc’s Mosaic business – Media Management platform

based Service

• Global 10 Gigabit Ethernet Service

• IP Exchange (IPX) solution to

reach of Telepresence

• Tyco Telecommunications –construct TGN Gulf cable system

Management platform

• Set up 55,000 sq ft. data centre in Pune – for Co-location, Managed Hosting & Storagec a ge ( ) so u o o

enable Universal Service Interoperability for MNO’s

• Mobile Security Solutions for Mobile Subscribers

• SugarCRM – On-Demand CRM

• Mahindra Special Services Group – provide High End Security Consultancy Services

g

• Global Mobile Video Telephony Service

• Application Performance Visibility Service

Security Consultancy Services

• RTComm, Russia – deliver joint data services throughout Russia

• Qtel offer global connectivity• Qtel – offer global connectivity services

Our Vision forOur Vision for The New World of Communications

ANNUAL GENERAL MEETINGAugust 6, 2010g ,

The New World requires

MORE LESSMOREMORE

LESSLESSCost

MOREMORE

LESSLESS

andConnectedComplexityCarbon

SpeedFace-to-face

ConstraintCapital

SecurePay-per-use

Our Vision

Flexibilityto Manage

New to Manage Uncertainty

Growth Markets

New World of Communications

CostCostControl

Tata Communications in numbers

32Billion Minutes of International Voice Traffic 42Data Centers

with more than 10,000 racks32 42

8 Terabits ofInternational Bandwidth Lit Capacity 1,600Petabits every

month on our Internet backbone8 1,600backbone

Business Portfolio - Update

Global VoiceSolutions

Global DataSolutions

IndiaBroadband Investments

World’s #1 in WholesaleInternational Voice services

World’s largest submarine cable network

Wireline and Wireless (WiMax and WiFi) networks in India

Neotel (49%)South Africa’s second network operator

Non-stop aroundthe world IP Backbone

India’s #1 in Enterprise Data Services

FOCUS on SMBTTSL (strategic investment)

BitGravity CDN technology start-up

Focus on Managed Services

gy p

UTL in Nepal

Our Leadership Strategy

Apply our home marketApply our home market model to the next strategic growth markets

ManagedEmerging

Drive catalyst services for Enterprises

ServicesMarkets

India Leadership

Define and empower profitable model for Service Providers

Integrated Wholesale

o de s

Build on our Wholesale foundation

Our Position and Aspirations

Now AspirationT b tIndia

Enterprise DataWholesale LD Voice

p

#1#1

#1#1

To be amongst the leading providers of

l b l/ lti

GlobalWholesale International Voice #1 #1

global/multi-regional services to MNCs, with an

h iWholesale ConnectivityEnterprise Services

#Top 3New

Top 3Top 10

emphasis on emerging markets and

dmanaged services

Our Organization

Our Wholesale Scale

1,600 ServiceProviders 480 Direct Voice

Bilaterals

785 MobileOperators 55 IP Peering

Partners

650 IP Customers 40+ NNIs

Major Transformation Services Partnerships

Our Enterprise Solutions Suite

UNIFIED COMMUNICATIONS

Collaboration Security Data Center Voice SolutionsWeb Conferencing

Serv

ices

Audio Conferencing

Firewall

Anti-X

Colocation Services

Managed Hosting

VoIP

VcIPLC

Man

aged

Business Messaging

Telepresence

Video Conferencing

vUTM

IDS/IPS

mDDoS

Managed Storage

Virtualization

Hosted Contact Center

IPVoice Connect

Hosted PBX

NETWORK OPTIMIZATION SERVICESApplication Optimisation

ervi

ces

Content Delivery Networking Application Optimization

Nat. Leased Line Internet MPLS

Access Services (Wireless, Wireline) WAN Ethernet

Int. Leased Line

Net

wor

k Se

Media & Entertainment: Segment Solutions

B t i Cl I t t d P tf li

SatelliteB d t

VideoC t Mosaic

Best-in-Class Integrated Portfolio

Content Deliveryia

re

Broadcast Connect Mosaic

Content Delivery Network (CDN) MPLS Ethernet

loba

l Med

iD

eliv

ery

fr

astr

uctu

r

Global IP Network

Managed Security

Managed Hosting and Storage

Enabling Services

G In Network yServices

gServices

23

Services

23

Banking & Financial Services: Segment Solutions

Banking Infrastructure with Hosted One-Window Service Management

Started operations in April 2009

L h d “ ” d t d

Core Banking Solution

End-to-End P S

Launched “pay-per-use” end-to-end

ATM outsourcing

Managing 1 000+ ATMs and 3 000+ PoS

Solution

PoSService

Managing 1,000+ ATMs and 3,000+ PoS

carrying 32% of India’s point-of-sale

transactionsEnd-to-EndATM ServiceSe ce

24

Broadband Wireless Access (BWA) Spectrum Auction Update

Participated for all-India spectrump pCircle-wise business cases developed over two years, with experience of broadband market as well as Wimax operations 5 cities / 50,000 subscribersBids exceeded business cases by large margin; exited the auction progressively when no viable ‘package’ was availableImmediate focus on SMB market – leverage synergies with Enterprise play including managed services SaaS and cloudEnterprise play, including managed services, SaaS and cloud computing

SMB business segment now reporting into the Global Data Business Unit

Await developments to evaluate future opportunities in the retail segment

Continued Global Industry Recognition

Best Global Wholesale Offering Award, 2009 – Capacity

Magazine

#1 Enterprise Data Services Provider in India 2009 –

Frost & Sullivan

Product Innovation award for Managed Telepresence,

2009 – Frost & Sullivan

Mr. N Srinath named world’s eighth most influential

telecom personality – Global Telecoms Business

magazine

Telepresence Managed Service Provider of the Year,

2009 – European CEO

“Best service coverage”, 2009 – Optical Transmission

Vision (OTV) APAC Network Operator Award

Entered the Gartner’s Magic Quadrant for Global Networkg

Service Providers, 2010

Strategic Focus: 2010-2012

Redefine “Wholesale” – Integrated, Turnkey, White LabelRedefine Wholesale Integrated, Turnkey, White Label

Continue to expand India access networks

Focus on catalyst services: Telepresence, CDN/Mosaic and Ethernet

Achieve global benchmarks in customer service and operations

Create at least one new “home market” (in addition to India andCreate at least one new home market (in addition to India and South Africa)

In Conclusion…

Global player with its heart in the Emerging MarketsGlobal player with its heart in the Emerging Markets

Exciting and rapid transformation has been completed

Proud of our established Wholesale leadership; well on our way to creating a meaningful global Enterprise play

Investments in India, South Africa and other Emerging Markets will continue, both organic and inorganic

Compensation Matter

The Single Judge Bench of Bombay High Court on 7 July 2010 decided that it did not have

the jurisdiction to entertain the suit in view of the provisions of the Telecom Regulatory

A th it f I di A t 1997Authority of India Act, 1997

Suit was not filed pursuant to, under and consequent upon the breach of terms of the

licence.

The dispute did not relate to provision of telecommunication services as envisioned under

the TRAI Act.

Company is examining options including filing of appeal

Surplus land: Acquisition notices

The land identified in 2002 for demerger at different locations measured about

773.13 acres

Discussions with Government continue

Out of which about 85 acres of land is situated at Padianallur near Chennai

L t 32 5 t f d t th E l ’ H i S i t t Ch iLast year 32.5 acres was transferred to the Employees’ Housing Society at Chennai

as per the High court order

Now, the Govt. has sent acquisition notices at Padianallur near Chennai and at

Greater Kailash I, New Delhi which are part of the surplus land

Land at Padianallur is proposed to be acquired for highway development measures

about 1,102 sq mtrs

At GK I, New Delhi, land proposed to be acquired for road widening measures about

234 square mtrs

Thank You