Indian Business House Report on Future

8/6/2019 Indian Business House Report on Future

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SYNOPSIS

This project report is on one of the largest Indian Business Houses-Future Group.

This project contents all revlent information regarding this business house.

This group was introduced by a dynamic personality called Kishore Biyani.

Kishore Biyani is an entrepreneur who has been credited with changing the face of

modern retailing in India, with the introduction of innovation designed discount

hyper markets and forming the concept of destination malls. He praised for his role

in shaping Indian retail market by attracting towards new market called RetailMarket.

His company, Future Group operates 3 million square feet of retail space spread

across 25 cities in India. He has been called India's own Sam Walton. He ledthe

companys foray into organized retail with the opening of the Pantaloons family

store in 1997. He also is a visionary who minted the opportunity to introduce Big

Bazaar in India in 2001 a unique market which is appreciated by everyone.

This report is about journey of future group achievement & problem faced in

growth of such a huge group.


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CORPORATE PROFILE

Future Group, led by its founder and Group CEO, Mr.

Kishore Biyani, is one of Indias leading business

houses with multiple businesses spanning across the

consumption space. While retail forms the core

business activity of Future Group, group subsidiaries

are present in consumer finance, capital, insurance,

leisure and entertainment, brand development, retail

real estate development, retail media and logistics.

Led by its flagship enterprise, Pantaloon Retail, the group operates over 16 million

square feet of retail space in 73 cities and towns and 65 rural locations across

India. Headquartered in Mumbai (Bombay), Pantaloon Retail employs around

30,000 people and is listed on the Indian stock exchanges. The company follows a

multi-format retail strategy that captures almost the entire consumption basket of

Indian customers. In the lifestyle segment, the group operates Pantaloons, a fashion

retail chain and Central, a chain of seamless malls. In the value segment, its

marquee brand, Big Bazaar is a hypermarket format that combines the look, touch

and feel of Indian bazaars with the choice and convenience of modern retail.

In 2008, Big Bazaar opened its 100th store, marking the fastest ever organic

expansion of a hypermarket. The first set of Big Bazaar stores opened in 2001 in

Kolkata, Hyderabad & Bangalore.

The groups speciality retail formats include supermarket chain Food Bazaar,


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sportswear retailer - Planet Sports, electronics retailer - eZone, home improvement

chain - Home Town and rural retail chain, Aadhaar, among others. It also operates

popular shopping portal - www.futurebazaar.com.

Future Capital Holdings, the groups financial arm provides investment advisory to

assets worth over $1 Billion that are being invested in consumer brands and

companies, real estate, hotels and logistics. It also operates a consumer finance arm

with branches in 150 locations.

Other group companies include, Future Generali, the groups insurance venture in

partnership with Italys Generali Group, Future Brands, a brand development and

IPR company, Future Logistics, providing logistics and distribution solutions to

group companies and business partners and Future Media, a retail media initiative.

The groups presence in Leisure & Entertainment segment is led through, Mumbai-

based listed company Galaxy Entertainment Limited. Galaxy leading leisure

chains, Sports Bar and Bowling Co. and family entertainment centres, F123.

Through its partner company, Blue Foods the group operates around 100

restaurants and food courts through brands like Bombay Blues, Spaghetti Kitchen,

Noodle Bar, The Spoon, Copper Chimney and Gelato.

Future Groups joint venture partners include, US-based stationery products

retailer, Staples and Middle East-based Axiom Communications.

Future Group believes in developing strong insights on Indian consumers and

building businesses based on Indian ideas, as espoused in the groups core value of

Indianness. The groups corporate credo is, Rewrite rules, Retain values.


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ABOUT THE OWNER

Kishore Biyani is the Managing Director of Pantaloon Retail

(India) Limited and the Group Chief Executive Officer of

Future Group. He has led Pantaloon Retails emergence as the

Indias leading retailer operating multiple retail formats that

now cater to almost the consumption basket of a large section

of Indian consumers.

Kishore Biyani led the company`s foray into organized retail

with the opening up of the Pantaloons family store in 1997. This was followed in 2001

with the launch of Big Bazaar, a uniquely Indian hypermarket format that

democratized shopping in India. It blends the look, touch and feel of Indian bazaars

with aspects of modern retail like choice, convenience and quality. This was followed

by a number of other formats including Food Bazaar, Central and Home Town.

The year, 2006 marked the evolution of Future Group, that brought together the

multiple initiatives taken by group companies in the areas of Retail, Brands, Space,

Capital, Logistics and Media.

Kishore Biyani was awarded the Ernst & Young Entrepreneur of the Year 2006 in the

Services Sector and the Lakshmipat Singhania - IIM Lucknow Young Business

Leader Award by Prime Minister, Dr. Manmohan Singh in 2006. He was also

awarded the CNBC First Generation Entrepreneur of the Year 2006.


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Kishore Biyani was born in August, 1961 and is married to Sangita and they have

two daughters. He recently authored a book, It Happened in India that captures his

entrepreneurial journey and the growth of modern retailing in India.

As expected, the book even before being widely available has become a success story

in its own right. According to media reports, while 10,000 copies of the book have

already been sold on the day of its launch, the publishers are also confident of selling

the initial lot of 30,000 books in few days. In another first in the history of publishing

in India, this is the first indigenous book which has had a print run of 2000000 copies.

The book in a true Kishore Biyani styles has been priced at 99/- only for soft cover,

while the hard cover price has been fixed at 495/-. The book, which has been co-

authored with Dipayan Baishya, is currently available for sale in few Big Bazaar and

Depot stores in Mumbai & Pune and can also be ordered online at futurebazar.com.


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HISTORY OF FUTURE GROUP

Future Group India was established in 1994 with a

vision to provide diverse services in Indian and

Global markets. The business areas of Future

Group cover BPO (Business Process

Outsourcing), New Media, Security Management,

and Construction. Through their strategic

investment and services, the future of Future

Group shows a rising star in the business sky of India.

Future Group India was established in 1994 with a vision to provide diverse

services in Indian and Global markets. The business areas of Future Group cover

BPO (Business Process Outsourcing), New Media, Security Management, and

Construction. Through their strategic investment and services, the future of Future

Group shows a rising star in the business sky of India.

FUTURE RETAIL:

The retails businesses of Future Group in India are divided into three main

categories:

Pantaloon Retail India Limited

The leading retail formats under this include:

y Pantaloons Storesy Big Bazaary Centraly Food Bazaar


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y Home Towny E Zoney Depoty Health & Beauty Mallsy Online retail through futurebazaar.com

Joint Ventures with International Brands

y Indus League Clothing that owns leading apparel brands like Indigo Nation,Scullers and Urban Yoga

y Galaxy Entertainment Limited that operates Bowling Co, Sports Bar, F123and Brew Bar

y French retailer ETAM group, US-based stationary products retailer, Staplesand UK-based Lee Cooper.

y Franchisee of international brands like Marks & Spencer, Next, Debenhamsand Guess in India

Indian Joint Venture Partners

y Manipal Healthcarey Talwalkar'sy Blue Foodsy Liberty Shoes.

FUTURE CAPITAL HOLDINGS

The financial services of Future Group are taken care by Future Capital Holdings.

These include:


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y Asset Management and consumer credit are the prime focus financialservices. Around 1 billion USD have been invested in retail real estate and

consumer brands outlets and hotels.

y Future Money - It is a financial supermarket format providing consumercredit

y Joint venture with Italian insurance majorGeneral Insurance for providinggeneral insurance services.

y Venture Capital Funds and Private Equity Funds throughkshitijfund.com

BPO (BUSINESS PROCESS OUTSOURCING)

Future Group has made major investments in BPO industry as a venture into the

Information Technology Enabled services (ITES) industry. Future Group has

subsidiaries offering IT based solutions. These include:

y Language Servicesy Software Developmenty Content Engineering

NEW MEDIA

Future Group has invested in digital media and computer technology for creating

innovative and interactive multimedia presentations. These include:

y Multimedia Productiony Broadcastingy Publishingy Designing


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SECURITY MANAGEMENT

Future Group is considered as a reliable tailor-made business and security services

provider. They develop their own software and machines for security services.

These include:

y Access Control Systemsy Time Attendance Systemsy CCTVy Alarm Management Systems

CONSTRUCTIONSFuture Group brings to you're their past experience in quality construction for

building and renovating buildings for leasing to business. Future Group is also

involved in the designing, financing and legal considerations of the project

undertaken. The construction activities of Future Group in India include:

y Leasingy Landscaping

The latest business activity of Future Group is an investment of Rs. 140 crores in

the next three years in cricket-related marketing. The CEO of Future Group Mr.

Kishore Biyani has planned out association with cricket and to encash the

popularity of cricket in India and globally. Future Group has also organized one-

day international cricket series between India and Australia called "The Future

Cup".


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MISSION

To create an encyclopedic framework for any individual to be able to use as resource

for improving clarity and quality of thought & objective perception of reality

VISION

We share the vision & belief that our customers & stakeholder shall be served only

by creating & executing future scenarios in the consumption space leading to

economic development.

We will be trendsetters in evolving delivery formats, creating retail reality, making

consumption affordable for all customer segments-for classes and masses.

We shall infuse Indian brands with confidence & renewed ambition.

We shall be efficient, cost-conscious & committed to quality in whatever we do.

We shall ensure that our positive attitude, sincerity, humility & united determination

shall be the driving force to make us successful.

Future Groups vision is to deliver Everything, Everywhere, Every time to Every

Indian Consumer in the most profitable manner.


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CORE VALUES

Indianness: confidence in ourselves.

Leadership: to be a leader, both in thought and business.

Respect & Humility: to respect every individual and be humble in our

conduct.

Introspection: leading to purposeful thinking.

Openness: to be open and receptive to new ideas, knowledge and information.

Valuing and Nurturing Relationships: to build long term relationships.

Simplicity & Positivity: Simplicity and positivity in our thought, business and

action.

Adaptability: to be flexible and adaptable, to meet challenges.

Flow: to respect and understand the universal laws of nature.


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LEADERSHIP

The Future Group employs over 30,000 people and was counted among 15 best

employers in India in a survey conducted by Hewitt Associates in 2007 in

association with The Economic Times. The Group has developed a strong senior

management team with cross-functional expertise in multiple businesses and is led

by its Founder and Group CEO, Kishore Biyani.

Kishore Biyani founded Pantaloons in 1997, followed by a number of popular

retail formats including Big Bazaar, Central, Food Bazaar, Brand Factory and

Home Town that now cater to almost the entire consumption basket of a wide

cross-section of Indian consumers.

In the recent years, Kishore Biyani has led the groups transformation into one of

Indias leading business houses with presence in capital, consumer finance,

insurance, brand development, retail real estate development and logistics.

A staunch believer in the groups corporate credo, Rewrite Rules, Retain Values,

Kishore Biyani considers Indianness as the core value driving the group. He was

recently awarded the Ernst & Young Entrepreneur of the Year 2006 in the Services

Sector and the Lakshmipat Singhania - IIM Lucknow Young Business Leader

Award by Prime Minister, Dr. Manmohan Singh in 2006. He was also awarded the

CNBC First Generation Entrepreneur of the Year 2006.

Kishore Biyani was born in August 1961 and is married to Sangita and they have

two daughters. He recently authored a book, It Happened In India that captures

his entrepreneurial journey and the growth of modern retailing in India.


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SONE KI CHIDIYA-THE GOLDEN BIRD

When the Mughals first came to India they were drawn by the lure of her fabulous

wealth - India was known as the "Sone Ki Chidiya," literally - "The Golden Bird".

According to economic historian Angus Maddison in his book The World

Economy: A Millennial Perspective, India had the world's largest economy in the

1st century and 11th century, with a 33% share of world GDP in the 1st century

and 29% in 1000 CE. During 1700 AD, Mughal era, Indias share was 24%, more

than the whole of Western Europe. It came down to 3.8% in 1950s. Paul Kennedy,

in his highly regarded book, The Rise and Fall of the Great Powers: Economic

Change and Military Conflict from 1500 to 2000 estimates that in 1750 India's

share of the world trade was nearly 25 percent. It came down to 0.5% in the 1960s

and now stands at around 1.5%.

The Indian economy is once again at the centre of the global attention. As domestic

consumption drives economic growth in India, Future Group hopes to play a

pivotal role in bringing back the Sone Ki Chidiya.


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FUTURE GROUP MANIFESTO

Future the word which signifies optimism, growth, achievement, strength,

beauty, rewards and perfection. Future encourages us to explore areas yet

unexplored, write rules yet unwritten; create new opportunities and new successes.

To strive for a glorious future brings to us our strength, our ability to learn, unlearn

and re-learn our ability to evolve.

We, in Future Group, will not wait for the Future to unfold itself but create future

scenarios in the consumer space and facilitate consumption because consumption

is development. Thereby, we will effect socio-economic development for our

customers, employees, shareholders, associates and partners.

Our customers will not just get what they need, but also get them where, how and

when they need.

We will not just post satisfactory results, we will write success stories.

We will not just operate efficiently in the Indian economy, we will evolve it.

We will not just spot trends; we will set trends by marrying our understanding of

the Indian consumer to their needs of tomorrow.

It is this understanding that has helped us succeed. And it is this that will help us

succeed in the Future. We shall keep relearning. And in this process, do just one

thing.

Rewrite Rules. Retain Values.


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1. Manufacturers warranties on all productsFuture Bazaar sells only original products from authorized dealers; so all

applicable products carry the carry the original manufacturers warranty. To

services any product purchased at Future Bazaar, please visit the authorized

services centre of the manufacturer. The invoice accompanying the product

is your warranty document, so please preserve it.

2. Guaranteed Delivery

We guaranteed to deliver the exact product you selected, without defects. In

case you have received a different product, or if the product was damaged in

transit, please contact us within the stipulated time period and we will ensure

that we replace it or refund it.

3. Secure Payments

We are committed to ensuring that no payment misuse happens, so we work

with bank & payment gateways to ensure that your information is protected.

Payment is protected both by us & by the policies of your bank, & the

chance of fraud in these channels is actually very low. Future Bazaar openly

publishes its offices addresses & is part of Indias largest retail company

with a presence all over India- so you know how to contact us in person, if

required.


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4. Our Simple 15-day Return policy

If you have purchased something at Future Bazaar and the product did not

meet your expectation or does not fit your needs, then you can return the

product to us; no question asked, as long as original packing & accompanied

by its invoice.

5. Promote Customer Support

Our customer support is manned by dedicated call centre personnel, who can

take decision & resolve your problems. They are eager to solve your

problem & are aware of the processes & means to handle them. In case they

cannot solve the problem at their end, they will trigger the required action on

your behalf or advise you the best possible method to a successful

fulfillment of all your queries/issue. Be assured that when you call us, you

call is being taken seriously.


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2005

Images Retail Awards 2005

PRIL- Most Admired Retailer of the Year

Food Bazaar- Retailer of the Year(Food and Grocery)

Big Bazaar-Retailer of the Year(Value Retailing)

Central-Retail Launch of the Year

Voted by Business Today magazine as one of the

Top 20 Companies in India to watch in 2005

Indias most investor-friendly companies in the top 75

Indias Biggest wealth creators in the top 100

DAKS London

PRIL- Brand Builder of the Year

2006

Retail Asia Pacific Top 500 Awards

Asia Pacific Best of the Best Retailers Pantaloon Retail (India) Ltd

Best Retailer in India Pantaloon Retail (India) Ltd

The Retail Asia publication in association with Euro Monitor and KPMG

honors the best retailers in 14 countries across the Asia Pacific region. The

awards were presented in Singapore in October, 2006.

Asia money Awards

Best Managed Company in India (Mid-cap) Pantaloon retail (India) Ltd.


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The Asia money publication conducts a poll among fund managers and

investors and does a quantitative analysis of financial performance to select

best managed companies in Asian countries.

Ernst & Young Entrepreneur of the Year Award

Ernst & Young Entrepreneur of the Year (Services) Kishore Biyani

Considered to be one of the most prestigious business awards in India, a jury

comprising leading names in Indian business selected the winners based on

courage, creativity, passion, endurance and vision.

CNBC Indian Business Leaders Awards

The First Generation Entrepreneur of the Year Kishore Biyani

Organized by CNBC-TV18, the twelve awardees in various categories are

decided by a high profile jury, along with research partners - The University

of Chicago Graduate School of Business, Development Dimensions

International (DDI) and AC Neilson ORG MARG.

Lakshmipat Singhania IIM Lucknow National Leadership Awards

Young Business Leader Kishore Biyani

The award recognizes and honors individuals who have contributed consistently

to the betterment of our country through their pursuit of excellence. The awards

were presented in New Delhi by the Prime Minister Dr. Manmohan Singh in

December, 2006.


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Images Retail Awards

Best Value Retail Store Big Bazaar

Best Retail Destination Big Bazaar

Best Food & Grocery Store Food Bazaar

Retail Face of the Year Kishore Biyani

The Images Retail Awards are decided through a nationwide consumer &

industry poll and nominations followed by performance assessment by team

of analysts and jury.

Readers Digest AwardsPlatinum Trusted Brand Award - Big Bazaar

The Readers Digest awards are based on surveys done among consumers by

independent research agency, Nielsen Media Research.

CNBC Awaaz Consumer Awards

Most Preferred Large Food & Grocery Supermarket Big Bazaar

Conducted in association with AC Nielsen-ORG Marg across 21 major

cities, nearly 10,000 consumers were asked to choose their most preferred

brands.

Reid & Taylor Awards for Retail Excellence

Retail Entrepreneur of the Year Kishore Biyani


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2007

Images Retail Awards 2007

Most Admired Retail Face of the Year: Kishore Biyani

Most admired retailer of the year: Large format, multi product store: Big Bazaar

Most admired retailer of the year: Food and Grocery: Food Bazaar

Most admired retailer of the year: Home & office improvement: Hometown

Most admired Retail Company of the year: Pantaloon Retail (India) Ltd.

Images Retail Forum followed strict international benchmarks in deciding

the top honours for Images Retail Awards 07, with IRIS as knowledge

partner and global consulting firm AT Kearney as the Process Approver.

National Retail Federation Awards 2007

International Retailer for the Year 2007 Pantaloon Retail (India) Ltd

The National Retail Federation is the worlds largest retail trade association

with over 1.4 million members in the US and across the world. Some of the

past winners of the award include Metro AG (Germany), Carrefour (France),

Zara (Spain), Boticario (Brazil) and Ito Yokado (Japan). The award was

presented at the Retails Big Show held in January 2007 in New York.


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World Retail Congress Awards

Emerging Market Retailer of the Year 2007 Pantaloon Retail (India) Ltd

The inaugural World Retail Congress held in Barcelona, Spain in March

2007 attracted over one thousand retail professionals from over sixty

countries. The awards were decided by a multinational Grand Jury. Winners

in other categories included Inditex, Mall of Emirates, Marks & Spencer and

IKEA.

Hewitt Best Employers 2007

Best Employers in India (Rank 14th) Pantaloon Retail (India) Ltd

Leading human resources consultancy, Hewitt Associates conducts an

annual survey of the best employers in India, as part of its global initiative. It

is based on CEO interview, People Practices Inventory and Employee

Opinion Surveys. Pantaloon Retail became the only retailer to feature among

the twenty-five best employers in India.

PC World Indian Website Awards 2007

Best Indian Website in The Shopping Category - Futurebazaar.com

PC World, a leading consumer technology magazine selected the best Indian

websites in various categories based on use of technology for delivering

solutions, information being presented in an intuitive and concise manner

and overall experience aided by design.


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Readers Digest Trusted Brands Platinum Awards 2007

Trusted Brands Platinum Award (Supermarket Category) Big Bazaar

The Readers Digest awards are based on surveys done among consumers by

independent research agency, Nielsen Media Research. This is the second

consecutive time Big Bazaar has won this award.

2008

Indian Retail Forum Awards 2008

Most Admired Retail Company of the year - Future Group

Retail Face of the Year - Kishore Biyani

Best Retailer Of The Year ( Hypermarket) - Big Bazaar

Future Group was awarded the Most Admired Retail Company of the year by

the Indian Retail Forum at a glittering ceremony organized in Mumbai. Mr.

Kishore Biyani also won Retail Face of the Year.

India Retail Forum (IRF) is a platform for intellectual insights and information

exchange for the retail business in the Indian subcontinent. The forum presents

the business of retail in the region to a global audience, with the express aim of

facilitating understanding about and encouraging investment in this massive

marketplace.

Big Bazaar, the value format of Future Group bagged the Best Retailer Of The

Year (Hypermarket).


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The INDIASTAR Award 2008

Food Bazaar: Best Packaging Innovation

Food Bazaar bagged the INDIASTAR Award for Best Packaging Innovation in

India, for its private label brand Fresh And Pure Chakki Atta.

INDIASTAR Award is a biennial event which aims to promote and encourage

excellence in packaging design, innovation and technology. The contest was

established in 1972 and is considered as the most popular and premier event for

Indias packaging fraternity. This year there were around 357 entries and the

participants had to submit a sample of their designs for selection.

With this award, Pantaloon Retail (India) Limited becomes the first Indian

Retailer to win the prestigious INDIASTAR Award.

Retail Asia Pacific 500 Top Awards 2008

Gold Winner - Top Retailer 2008 Asia Pacific

Retail Asia Publishing Pte, the institutor of these awards, aims to set a platform

that appraise raises and recognizes the development and growth of retailing

throughout the Asia Pacific region.


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Coca-Cola Golden Spoon Awards 2008

Most Admired Food & Grocery Retail Visionary of the Year: Kishore

Biyani

Most Admired Food & Grocery Retailer of the Year Supermarkets: Food

Bazaar

Most Admired Food & Grocery Retailer of the Year - Hypermarkets: Big

Bazaar

Most Admired Retailer of the Year - Dynamic Growth in Network

Expansion across Food, Beverages & Grocery: Future Group

Most Admired Food & Grocery Retailer of the Year - Consumer's Choice:

Big Bazaar

The Coca-Cola Golden Spoon Awards 2008, were given away for the first time

as a culmination of the Food Forum India 2008 a two day convention, which

saw the participation of leading brands, retailers & retail support organizations

from across the globe. The awards were presented to honors enterprise,

innovation and achievement in the food retailing business as a benchmark of

excellence.

The Reid & Taylor Awards For Retail Excellence 2008

Retail Leadership Award: Kishore Biyani

Retail Best Employer of the Year: Future Group

Retailer of The Year: Home Products and Office Improvements: Hometown


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The Reid & Taylor Awards for Retail Excellenceare an important feature of the

Asia Retail Congress, Asias single most important global platform to promote

world-class retail practices. These awards are aimed at honouring the best, in the

Asian Retail scenario. India played host to Asia Retail Congress 2008.

2009

CNBC Awaaz Consumer Awards 2009

Most Preferred Multi Product Chain - Big Bazaar

Most Preferred Multi Brand Food & Beverage Chain - Big Bazaar

Images Fashion Forum 2009

Most Admired Fashion Group Of The Year - Future Group

Most Admired Private Label - Pantaloons, the lifestyle format

Critics Choice for Pioneering Effort in Retail ConceptCreation Central.

Coca-Cola Golden Spoon Awards 2009

Most Admired Food & Grocery Retailer Of The Year

Most Admired Food Court

Most Admired Food Professional


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PROGESS OVER YEARS

1987: Company incorporated as Manz Wear Private Limited. Launch of Pantaloon

Trousers, Indias first formal trouser brand.

1991: Launch of BARE, the Indian jeans brand.

1992: Initial Public Offer (IPO) was made in the month of May.

1994: The Pantaloon Shoppe- exclusive menswear store in franchisee format launched

across the nation. The company started distribution of garments through multi

chain out-let.

1995: John Miller- formal shirt brand launch

1997: Pantaloons Indias family store launched in Kolkata. Company enters

modern retail with the launch of the first 8000 square feet store

2001: Big Bazaar, Is se sasta aur accha kahi nahin - Indias first hypermarket chain

launched.Three Big Bazaar stores launched within a span of 22 days in

Kolkata, Bangalore and Hyderabad.

2002: Food Bazaar, the supermarket chain is launched.

2004: Central Shop, Eat, Celebrate In The Heart Of Our City - Indias first

seamless mall is launched in Bangalore

2005: Fashion Station - the popular fashion chain is launched all a little larger

exclusive stores for plus-size individuals is launched

2006: Future Capital Holdings, the companys financial arm launches real estate funds

Kshitij and Horizon and private equity fund in division. Plans forays into

insurance and consumer credit.

Multiple retail formats including Collection, Furniture Bazaar, Shoe

Factory, EZone, Depot and futurebazaar.com are launched across the

nation.


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Group enters into joint venture agreements with ETAM Group and

Generali. Forms joint ventures with US office stationery retailer, Staples.

2007:Future Group crosses $1 billion turnover mark.

Specialized companies in retail media, logistics, IPR and brand development

and retail-led technology services become operational.

Pantaloon Retail wins the International Retailer of the Year at US-based

National Retail Federation convention in New York and Emerging Retailer

of the Year award at the World Retail Congress held in Barcelona.

Futurebazaar.com becomes Indias most popular shopping portal.

2008: Future Capital Holdings becomes the second group company to make a

successful Initial Public Offering in the Indian capital markets.

Big Bazaar crosses the 100-store mark, marking one of the fastest ever

expansion of a hypermarket format anywhere in the world.

Total operational retail space crosses 10 million square feet mark.

Future Group acquires rural retail chain, Aadhar present in 65 rural

locations.

2009: Companysuffered a loss of 18.39 Cr and increased their liability to 734.62

Cr

2010: Company made a merger will world biggest mall Hallmark to make a huge

mall in Kolkata.


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ORGANISATIONAL STRUCTURE

BOARD OF DIRECTORS

Mr. Kishore Biyani, Managing Director

Kishore Biyani is the Managing Director of Pantaloon Retail (India) Limited and

the Group Chief Executive Officer of Future Group.

Mr. Gopikishan Biyani, Director

Gopikishan Biyani is a commerce graduate and has more than twenty years of

experience in the textile business.

Mr. Rakesh Biyani, Whole time Director

Rakesh Biyani is a commerce graduate and has been actively involved in category

management; retail stores operations, IT and exports. He has been instrumental in

the implementation of the various new retail formats.

Mr. Vijay Biyani, Whole time Director

Vijay Biyani has more than twenty years of experience in manufacturing, textilesand retail industry and has been actively involved in the financial, audit and

corporate governance related issues within the company.


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Mr. Kailash Bhatia, Whole time Director

He has over 28 years of valuable experience in the fashion business and hasworked with some of the well known companies like Arvind Mills and Weekender.

Mr. Vijay Kumar Chopra, Independent Director

V.K.Chopra is a fellow member of The Institute of Chartered Accountants of India

(ICAI) by profession and is a Certified Associate of Indian Institute of Bankers

(CAIIB). His banking career spans over 31 years and he has served senior

management positions in Central Bank of India, Oriental Bank of Commerce,

SIDBI, Corporation Bank and SEBI.

Mr. Shailesh Haribhakti, Independent Director

Shri Shailesh Haribhakti is a Chartered Accountant, Cost Accountant, and a

Certified Internal Auditor. He is the Deputy Managing Partner of Haribhakti &

Co., Chartered Accountants and past president of Indian merchant Chambers. He is

on the Board of several Public Limited Companies, including Indian

Petrochemicals Corporation Ltd., Ambuja Cement Eastern Ltd. etc. He is on the

Board of Company since June 1, 1999.


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DISCOVERING TALENT DIVERSITY

The company strongly believes that its sustainable competitive advantage lies in

the values that it cherishes the culture that it imbibes and spirit of enterprise that

resides within the organization. Talent management therefore continues to be the

core focus for the company. Considering the multiple businesses and rapid

expansion expected across the business, the company saw merit in taking a fresh

guard to the way in which business would run in order to meet the next leg of

expansions.

During the year 2006-07, the company conducted an extensive review of in-housetalent management, which involved mapping every managerial position in the

organization for their skill sets, competence and attitudinal aspects as well as

taking an inventory check of the existing talent base and addressing their

development needs. Development Centers were created with in- house assessors,

which further aided in identifying potential resources and helped chalk out post

assessment development plans.

Continuing with its policy of strategic alliances, the company is collaborating on

joint degree programs with 15 management schools, design institutes and institutes

of higher learning in areas like food business, supply chain management, design

experience management etc. This Seekho programme for external and internal

candidates has ensured a steady stream of mid level, well trained retail

professionals every year.

The companys Gurukool programme provides the front-end employees an

opportunity to imbibe the companys values and a sense of ownership to the

company. The company has also created an Employee Growth Trust Fund that was

launched during the last financial year for the senior management.


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EQUAL OPPORTUNITY

The company believes that in order to build a sustainable business environment,

the composition of its talent base needs to reflect the diversity that exists in our

country and among its customers. Therefore the company ensures that the

proportional representation of different communities in the Indian population is

mirrored in its employee profile. The majority of employees in the company come

from socially and economically marginalized sections of the society. Close to 46%

of the employees in the organization are women and the average age within the

organization is 27 years.

The effectiveness of its talent management initiatives is reflected in the fact that

the annual rate of attrition is 8.12%, much below industry levels. The company

plans to strengthen its employee platform to about 30,000 people by FY 08, from

nearly 18,000 people as on FY 07.


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HUMAN RESOURCE INITIATIVES

Pantaloon Retail believes that one of its sustainable competitive advantages will

continue to be the people who are part of the organization. Being in service

industry, the Company places a lot of focus is placed on attracting, and training,

incentivizing and retaining talent. The vision is "To provide an environment that

creates happy people who have a meaningful life and add value to business and

society." With over 18000 employees at an average age of 27 years, the Company

prides itself on being a young and energetic organization, driven through the 'The

Pantaloon People Management System'. This is built on 5 pillars of people based

growth, namely - Culture Building, Performance Management through Balanced

Scorecard, People Processes, Management Processes and Leadership Brilliance.

Training a competent Learning & Development Team is responsible for training

employees at all the levels across the country, focusing on primary and secondary

research into various aspects of retail and assessment of training needs across

Knowledge, Skills & Attitude areas. The emphasis is on creating product and

process knowledge through well defined programs like Praarambh and Parikrama.

For the critical front line staff, the Company's unique outbound residential training

program Gurukool focuses on integrating the mind, body and soul and brings about

measurable attitudinal and behavioral changes.

The program has covered nearly 4,500 employees. The SMI LE initiative for

training of new Store Manager's has been created and disseminated to over 100

store managers by this team


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CODE OF CONDUCT

FOR

DIRECTORS AND SENIOR MANAGEMENT (BAND 5 EMPLOYEES)

APPLICABILITY OF THE CODE:

This code is applicable to the Board of Directors and senior management

employees of the Company i.e. Band 5 employees (hereinafter referred to as

Specified Persons). This code is applicable to the executive and non- executive

directors to the extent of their role and responsibilities in the organization.

This code has to be complied both in letter and spirit by specified persons. Any

violation / suspected violation of the code have to be promptly communicated to

the compliance officer of the Company which would be taken up in the meetings

of the Audit Committee /Board of Directors.

1. HONEST, INTEGRITY, DUE CARE AND DILIGENCE:

Directors and senior management staff (hereinafter referred to as specified

persons) of Pantaloon Retail (India) Limited (hereinafter referred to as

Company) shall conduct their activities, on behalf of the Company in the best

interests of the Company with honest, integrity and fairness. Due care and

diligence shall be exercised by them in performing their duties of office and

powers attached to their office.

2. COMPLIANCE WITH LAWS, RULES AND REGULATIONS

Specified Persons of the Company are required to conduct their business and

affairs in full compliance with applicable laws, rules and regulations in letter as

well as spirit and shall encourage and promote such behavior for themselves,

officers and employees across the organization.


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8. CONFIDENTIALITY OF INFORMATION

Specified Persons should ensure confidentiality of information they receive and

is disclosed if authorized by the Company or the person from whom the

information is provided or required by law.

9. HEALTH & SAFETY

The business of the Company shall be carried on in a congenial environment

whereby adequate health and adequate safety measures are taken in the

workplace of the employees.

Specified persons shall ensure that due compliance of all laws and regulations

pertaining to health and safety measures are done on a continuous basis.

10. PERIODIC REVIEW

This code is subject to periodic review by the audit committee and the Board of

Directors. The specified persons shall make a confirmation to the compliance

officer of the company within 15 days from the date of closure of the financial

year in the format specified in the annexure to this code.


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CORPORATE GOVERNANCE

1. Altered in terms of format and consumer buying behavior, ushering in a revolutionin shopping in India. Modern retail has entered India as seen in sprawling shopping

centers, multi-storied malls and huge complexes offer shopping, entertainment and

food all under one roof. The Indian retailing sector is at an inflexion point where

the growth of organized retailing and growth in the consumption by the Indian

population is going to take a higher growth trajectory. The Indian population is

witnessing a significant change in its demographics. A large young working

population with average age of 24 years, nuclear families in urban areas, along

with increasing working-women population and emerging opportunities in the

services sector are going to be the key growth drivers of the organized retail sector

in India.

Some Key Facts:

Retail is Indias largest industry accounting for over 10 percent of the countrys

GDP and around 8 percent of the employment.

The market size of Indian retail industry is about US $312 billion. Indias

Consumption Cosmos During the past decade, Private Final Consumption

Expenditure has been the key driver of economic growth in India.

2. The $350 Billion Consumption spending provides the single biggest businessopportunity in India and is divided into some key categories led by food, fashion

and home products.


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3. Company Profile Mr. Kishore Biyani CEO, Future Group Pantaloon Retail (India)Limited is Indias leading retailer that operates multiple retail formats in both the

value and lifestyle.

4. Segment of the Indian consumer market. Headquartered in Mumbai, the companyoperates over 12 million square feet of retail space, has over 1000 stores across 71

cities in India and employs over 35,000 people. The companys leading formats

include Pantaloons, a chain of fashion outlets, Big Bazaar, a uniquely Indian

hypermarket chain, Food Bazaar, a supermarket chain, blends the look, touch and

feel of Indian bazaars with aspects of modern retail like choice, convenience and

quality and Central, a chain of seamless destination malls. Some of its other

formats include Depot, Shoe Factory, Brand Factory, Blue Sky, Fashion Station,

Mobile Bazaar and Star Sitara (Beauty clinic). The company also operates an

online portal, Futurebazaar.com. A subsidiary company, Home Solutions Retail

(India) Limited, operates Home Town, a large-format home solutions store, selling

home furniture products and E-Zone focused on catering to the consumer

electronics segment. Pantaloon Retail was awarded the International Retailer of

the Year 2007, by the US-based National Retail Federation, the largest retail trade

association and the Emerging Market Retailer of the Year 2007 at the World

Retail Congress in Barcelona.

5. Pantaloon Retail is the flagship company of Future Group, a business groupcatering to the entire Indian consumption space. The groups subsidiary companies

include, Home Solutions Retail India Ltd, Pantaloon Industries Ltd, Galaxy

Entertainment and Indus League Clothing. CORPORATE GOVERNANCE

REPORT Corporate Governance indicates transparency, accountability and

reliability on any organization. One of the core missions of the organization is to

achieve excellence in all spheres, be it profitability, growth in market share,

superior quality of products and services to the satisfaction of the stakeholders


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through an efficient and effective code of governance. We aim at providing

fairness, clarity and transparency in all our dealings and increasing the value of all

stakeholders of the Company.

6. Future Group Future Group, led by its founder and Group CEO, Mr. KishoreBiyani, is one of Indias leading business houses with multiple businesses spanning

across the consumption space. While retail forms the core business activity of

Future Group, group subsidiaries are present in consumer finance, capital,

insurance, leisure and entertainment, brand development, retail real estate

development, retail media and logistics. Led by its flagship enterprise, Pantaloon

Retail, the group operates over 12 million square feet of retail space in 71 cities

and towns and 65 rural locations across India. Headquartered in Mumbai

(Bombay), Pantaloon Retail employs around 35,000 people and is listed on the

Indian stock exchanges. The company follows a multi-format retail strategy that

captures almost the entire consumption basket of Indian customers. In the lifestyle

segment, the group operates Pantaloons, a fashion retail chain and Central, a chain

of seamless malls. In the value segment, its marquee brand, Big Bazaar is a

hypermarket format that combines the look, touch and feel of Indian bazaars with

the choice and convenience of modern retail.

7. In 2008, Big Bazaar opened its 100th store, marking the fastest ever organicexpansion of a hypermarket. The first set of Big Bazaar stores opened in 2001 in

Kolkata, Hyderabad and Bangalore. The groups specialty retail formats include,

books and music chain, Depot, sportswear retailer, Planet Sports, electronics

retailer, Ezone, home improvement chain, Home Town and rural retail chain,

Aadhar, among others. It also operates popular shopping portal, futurebazaar.com.

Future Capital Holdings, the groups financial arm provides investment advisory to

assets worth over $1 billion that are being invested in consumer brands and

companies, real estate, hotels and logistics. It also operates a consumer finance arm


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with branches in 150 locations. Other group companies include, Future Generali,

the groups insurance venture in partnership with Italys Generali Group, Future

Brands, a brand development and IPR company, Future Logistics, providing

logistics and distribution solutions to group companies and business partners and

Future Media, a retail media initiative. The groups presence in Leisure &

Entertainment segment is led through, Mumbai-based listed company Galaxy

Entertainment Limited. Galaxy leading leisure chains, Sports Bar and Bowling Co.

and family entertainment centers, F123. Through its partner company, Blue Foods

the group operates around 100 restaurants and food courts through brands like

Bombay Blues, Spaghetti Kitchen, Noodle Bar, The Spoon, Copper Chimney and

Gelato. Future Groups joint venture partners include, US-based stationery

products retailer, Staples and Middle East-based Axiom Communications. Future

Group believes in developing strong insights on Indian consumers and building

businesses based on Indian ideas, as espoused in the groups core value of

Indianness. The groups corporate credo is, Rewrite rules, Retain values.

8. CONSUMPTION COSMOS the retail formats are geared to capture ConsumptionSpending in key categories in both value and lifestyle segment. And specialized

businesses backed by capital and investments in developing the necessary

consumption infrastructure is helping build a consumption ecosystem. This

empowers Pantaloon Retail to build a comprehensive business model that can

capture a dominant share of the single biggest business opportunity in India - the

consumption space.

9. Organization Profile Nobody Sells Cheaper and Better Big Bazaar is a chain ofdepartment stores in India currently with 100 outlets. It is owned by Pantaloon

Retail India Ltd, Future Group. It works on the same economy model as Wal-Mart

and has been successful in many Indian cities and small towns. The idea was

pioneered by entrepreneur Mr. Kishore Biyani, the CEO of Future Group.


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Currently Big Bazaar stores are located only in India. It is the fastest growing chain

of department stores and aims at having 350 stores by 2010. Big Bazaar has

democratized shopping in India and is so much more than a hypermarket. Here you

will find over 170,000 products under one roof that cater to every need of a family,

making Big Bazaar Indias favorites shopping destination. At Big Bazaar, you will

get the best products at the best pricesthis is our guarantee. From apparel to

general merchandise like plastics, home furnishings, utensils, crockery, cutlery,

sports goods, car accessories, books and music, computer accessories and many

more. Big Bazaar is the destination where you get products available at prices

lower than the MRP, setting a new level of standard in price, convenience and

quality.

10.If you are a fashion conscious buyer who wants great clothes at great prices, BigBazaar is the place to be. Leveraging on the companys inherent strength of

fashion, Big Bazaar has created a strong value-for-money proposition for its

customers. This highlights the uniqueness of Big Bazaar as compared to traditional

supermarkets, which principally revolve around food, groceries and general

merchandise. Big Bazaar has clearly emerged as the favorites shopping destination

for millions of its customers, across the country, its success is a true testament to

the emotional bonding it has established with the Indian customer , on account of

its value offerings, inspirational appeal and service levels. We believe Big Bazaar

is a true pan-Indian model that can enter into most towns in India and democratize

shopping everywhere. 25, 26 and 27 January, 2009. Indias Sabse Sasta Din The

acceptance and loyalty that Big Bazaar has garnered over the years was well

evident on 26 January 2009. On the day India celebrates its Republic Day; the

company honoured the consumer by calling it the Maha Savings Day. Shoppers

at all Big Bazaar and Food Bazaar outlets across the country were offered products

at prices never heard before in the history of shopping.


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11.The offers were spread across categories from electronics to utensils, from apparelto furniture and food. This event received tremendous response from the regular

and an entirely new set of shoppers, which resulted in nearly 2 million people

visiting the stores on that day. And most stores were able to post record sales for a

single day. Company History 1987 Company incorporated as Manz Wear Private

Limited. Launch of Pantaloons trouser, Indias first formal trouser brand. 1991

Launch of BARE, the Indian jeans brand. 1992 Initial public offer (IPO) was made

in the month of May. 1994 The Pantaloon Shoppe exclusive menswear store in

franchisee format launched across the nation. The company starts the distribution

of branded garments through multi-brand retail outlets across the nation. 1995 John

Miller Formal shirt brand launched. 1997 Company enters modern retail with the

launch of the first 8000 square feet store, Pantaloons in Kolkata. 2001 Three Big

Bazaar stores launched within a span of 22 days in Kolkata, Bangalore and

Hyderabad. 2002 Food Bazaar, the supermarket chain is launched. 2004 Central -

Indias first seamless mall is launched in Bangalore. 2005 Group moves beyond

retail, acquires stakes in Galaxy Entertainment, Indus League Clothing and Planet

Retail. Sets up Indias first real estate investment fund Kshitij to build a chain of

shopping malls. 2006 Future Capital Holdings, the companys financial is formed

to manage over $1.5 billion in real estate, private equity and retail infrastructure

funds. Plans forays into retailing of consumer finance products. Home Town, a

home building and improvement products retail chain is launched along with

consumer durables format, Ezone and furniture chain, Furniture Bazaar. Future

Group enters into joint venture agreements to launch insurance products with

Italian insurance major, Generali. Forms joint ventures with US office stationery

retailer, Staples. 2007 Future Group crosses $1 billion turnover mark. Specialized

companies in retail media, logistics, IPR and brand development and retail-led

technology services become operational. Pantaloon Retail wins the International


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Retailer of the Year at US- based National Retail Federation convention in New

York and Emerging Retailer of the Year award at the World Retail Congress held

in Barcelona. Futurebazaar.com becomes Indias most popular shopping portal.

2008 Future Capital Holdings becomes the second group company to make a

successful Initial Public Offering in the Indian capital markets. Big Bazaar crosses

the 100-store mark, marking one of the fastest ever expansion of a hypermarket

format anywhere in the world. Total operational retail space crosses 10 million

square feet mark. Future Group acquires rural retail chain, Aadhar present in 65

rural locations.

12.Future Plans the Company would continue to pursue its aggressive growth tostrengthen its position as a leading player in the consumption space in India, with

an aim to capture increasing share of the consumers wallet. The Company would

continue with its expansion plans and would continue to increase its presence on a

pan-India basis by opening more retail outlets in tier 2 and tier 3 cities and by

further strengthening its position in key metro cities. The Company has planned to

increase its operating retail space from around 8 million square feet currently to

around 12 million square feet by FY08-09. The various subsidiary companies of

the Company, which have been created to cater to various consumption categories,

are currently in initial set-up phase. Most of them will come into their own,

pursuing aggressive growth plans to achieve scale and garner increasing market

share.


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CSR Activities

CSR Areas

1. Community Welfare

2. Poverty Eradication

3. Rural Development

4. Sports

5. Vocational

6. Water

Three main CSR activities

1. Vocational Training

2. Women Empowerment

3. Rural development

CSR activities in brief

1. For long, we have resisted the temptation of setting up a corporate socialresponsibility department that has a select few employees working with a

defined budget and regularly speaks out on the good work that it does. The

primary reason for this is as an organization, we could never find a

difference in the work we do every day and the good work that a

responsible organization is supposed to do.

2. It has always been our belief that being an ethically, socially andenvironmentally responsible organization is the best and the most efficient


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way to earn the trust and goodwill of millions of customers and stakeholders.

As a sustainable business that nurtures its supply partners, which cares for its

community, empowers its employees and strives to be a positive change

agent in society, we are confident that your company will be the one which

retains the trust of society and builds a strong foundation for long-term,

sustainable growth.

3. Beginning this year, we implemented a 52-week calendar of events, tocelebrate within Central. This reflects every Indian festival, sporting,

lifestyle and leisure events from around the world as well as social causes

like Environment Day.

4. There is little to distinguish 14-year old Mohammad Arafat Shaikh and 13-year old Bidal Shaikh from the rest of the kids in Mumbais Nagpada area.

Except that they have a passion for basketball and are part of the US-based

National Basketball Associations (NBA) Basketball without Borders

initiative. Supported by Spalding, the sports brand retailed and marketed by

Planet Sports, the initiative uses basketball to influence positive social

change and features current and former NBA players and team personnel

working as camp coaches.


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WE ARE BEACON OF HOPE FOR THOSE IN ADVERSITY

1. In his native village, Sethu Raghunatha Pattinam situated 433 kilometersfrom Chennai; 23-year old M Veerappan could have chosen to do what the

rest of the 300 villagers do farming and wood cutting. His father barely

earned Rs 150 a day and with a mother and two sisters to care for,

Veerappan chose to stand out. On completing his schooling, Veerappan

earned himself a diploma in electronics from a nearby institute in

Karamathur. It also happens to be one of the centers Pantaloon Retail

recruits from. Today, Veerappan is an assistant maintenance officer at

Pantaloons store in Chennai. Veerappan is among the thousands of

employees recruited by the company through rural recruitment drives in

association with rural educational institutes, NGOs and government bodies.

Initiatives like the Rural Employment Generation Mission; Government of

Andhra Pradesh alone has helped us recruit more than 500 people. The

company has also been an active recruiter in the North East. It has also tied-

up with Chennai-based Avatar Career Creators which brings together youngmothers and housewives willing to take up flexi-time and part-time jobs at

our stores. These form part of our initiatives to act as positive change agents

of society, and spread the benefits of modern retail in areas where we do not

have business operations. Those recruited through these channels form a

loyal and committed work force, willing to grow with the organization.

2. As an organization, we firmly believe that talent is our biggest asset and tocontinuously identify, nurture and train talented professionals, we have set

up a specialized unit, Future Learning & Development.

This has set up 3 campuses, equipped with the latest training tools and

curriculum in Ahmadabad, Bangalore and Kolkata to train existing


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manpower, attract new talent and also provide training solutions to other

companies.

3. We have also tied up with Indira Gandhi National Open University(IGNOU) to offer retail industry focused certified courses through these

campuses.

The vision is to make more Indians employable with a specific focus on

socially and economically disadvantaged sections of the society. The

company leverages its business experience and approach to learning to

bridge the skill gap and provide trained manpower to group companies as

well as the industry.

We continue to make a conscious effort as an employer to be as widely

representative of the country as a whole and this includes geography,

religion, community, caste and socioeconomic class. Our goal is to provide

quality training and employment for all those who might choose to work

with us.


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WE ARE EMPOWERING WOMEN ENTREPRENEURS AND

PRODUCERS

1. We believe that it is our responsibility to engage more meaningfully withcommunities residing in and around many of our stores, as well as provide

those without the means to improve their economic and social well being.

2. Initiatives are today focused on building a platform and providingdistribution and market outreach to women led organizations engaged in

producing food products, textiles and handicrafts. These not only help us act

as positive change agents for society, but also provide ethnic and traditional

products that urban India so often craves for.

3. An immensely successful initiative of this nature was Yatra, a joint effort between Big Bazaar and Yashaswini, a self help group platform. The

purpose was to encourage the efforts of underprivileged women traders

through establishing a channel for them to sell their produce in a profitable

manner.

4. Our interactions with several womens networks in Maharashtra resulted inus establishing a connect with about 200 such groups from remote villages.

More than 300 women from these groups were offered a chance to sell their

produce during special promotions in front of Big Bazaar stores. The idea

was to serve our customers, in an authentic manner, the rich, diverse

traditional cuisine of Maharashtra. These items were specialty items fromeach geographical region within the state.

5. Spread over 4 days and with the assistance of volunteers from Yashaswini aswell as our own staff, Yatra turned out to an extremely popular event at all

the Big Bazaar stores. Sales increased throughout the event and saw the


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women sellers take home at least as much as Rs.500 each on all 4 days. A

sum total of 19 Big Bazaar stores, across the state participated and shared

the platform with at least 40 groups each time.

6. An interesting outcome of this activity has also been that 30 products out ofthese Yatras were selected as winner products which are now being regularly

stocked at Big Bazaar outlets.

Similar initiatives with self help groups and local indigenous communities

have been initiated in the states of Assam, Karnataka, Kerala and Delhi and

have met with very encouraging response from customers and the

communities we serve.

7. In addition, almost every Big Bazaar and Food Bazaar store now has a

customer advisory board. These advisory boards are composed of well

known personalities or respected individuals who live in and around the

stores. These customer advisory boards regularly meet to review and advise

the store managers and the staff on improving customer experience,

product assortment and social initiatives.


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RELATED COMPANIES

Pantaloon Retail (India) Limited

Pantaloon Retail (India) Limited (PRIL), is Indias leading retailer that operates

multiple retail formats in both the value and lifestyle segment of the Indian

consumer marker. Headquartered in Mumbai, the company operates 16 million

square feet of retail space, has over 1,000 outlets (including shop-in-shops) across

73 cities in India and employs over 30,000 people.

The companys leading formats include Pantaloons, a chain of fashion outlets, Big

Bazaar, a uniquely Indian hypermarket chain, Food Bazaar, a supermarket chain,

and Central, a chain of seamless destination malls. Some of its other formats

include Depot, Brand Factory, Blue Sky, Star and Sitara.

Pantaloon Retail is part of the Future Group which has presence in multiple

businesses in the consumption space including consumer finance, capital,

insurance, retail media, mall development, logistics and brand development.

Home Solutions Retail (India) Limited

Future Groups business offers complete retailing solutions for all products and

services related to home building and home improvement. The key product

categories are CDE (Consumer Durable & Electronics), Furniture, Home

Furnishing & Decor, Home Improvement and Home Services. HSRIL operates

retail format Collection i, Furniture Bazaar, Electronics Bazaar, Home Town and

eZone.


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Future Brands Limited

Future Brands Limited (FBL) has been incorporated on November, 2006 and is

involved in the business of creating, developing, managing, acquiring and dealing

in consumer-related brands and IPRs (Intellectual Property Rights).

Future Media (India) Limited

Future Media (India) Limited (FMIL) was incorporated as the Groups media

venture, aimed at creation of media properties in the ambience of consumption and

thus offers active engagement to brands and consumers. FMIL offers relevant

engagement through its media properties like Visual Spaces, Print, Radio,

Television and Activation.

Future Supply Chain Solutions Limited

Future Supply Chain Solutions Limited (FSCS) has been incorporated as a

separate entity and is involved in the business of providing logistics, transportation

and warehousing services for all group companies and third-parties. "Future

Logistic Solutions Ltd. is now Future Supply Chain Solutions Ltd."

Future Supply Chain Solutions Ltd, the logistics and supply chain vertical of

Future Group, is India's first end - to - end Consumer Logistics Company. Future

Supply Chains was established in April 2007, born from the need to have a

specialized end - to - end supply chain for consumer products. Over the years, the

company has developed competencies in managing the various operations involved

in supply chains across different product categories. Future Supply Chains is

distinct because it is an end - to - end supply Chain Company delivering millions

of pieces to millions of consumers on a daily basis. It takes over the entire task of


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Future Generali India Insurance Company Limited

Future Generali India Insurance Company Limited (FGIICL) was incorporated on

October 30, 2006 to undertake and carry on the business of general insurance. The

approval for carrying on General Insurance Business has been received from the

Insurance Regulatory and Development Authority of India (IRDA) on September

4, 2007.

Future bazaar India Limited

Future bazaar India Limited (FBIL) is set up as the e-Retailing arm of the Future

Group for providing on-line shopping experience. Futurebazaar.com was launched

on January 2, 2007, and has emerged as one of the most popular online shopping

portals in India. It was awarded with the Best Indian Website award, in the

shopping category, by the PC World Indian Website Awards.

Weavette Texstyles Limited

Weavette Texstyles Limited was incorporated on December 8, 1994 and is

involved in the business of designing, manufacturing, buying and selling,

importing, exporting, spinning etc of various types of textile fabrics.

Winner Sports Private Limited

Winner Sports Pvt. Limited caters to the Sports and Lifestyle consumer space.

Winner Sports is the exclusive India Licensee for retailing and marketing leading

international brands including Converse, Speedo, Wilson, Prince, Spalding and

Callaway. It has over 57 stores across 23 locations.

The company operates:

y Multi-brand sports specialty stores - Planet Sports


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y Value-based sports lifestyle format - Sports Warehousey Mono brand stores - Adidas, Converse, Puma

The company's flagship format, Planet Sports, is a leading name in multi-brandsports and lifestyle specialty retail space. It has one of the largest collection of

international sports and lifestyle brands and has an extensive offering for

sportswear and equipment across all categories including running, training, fitness,

swimming, tennis, golf, basketball, soccer as well as other lifestyle products across

categories like footwear, apparel, accessories and sports equipments.

The company aims to be among the most admired sports player in a multi-sports,

multi-product format and to augment Indias sports culture. Winner Sports strives

to provide integrated, reliable and cost efficient sports offerings to Indian

consumers.

Staples Future Office Products Private Limited

Staples Future Office Products Private Limited (SFOPPL) was incorporated on

January, 2007 and is involved in the business of dealing in all kinds of office

supplies, office equipments and products. SFOPPL is a joint venture between the

Company and Staples Asia Investment Limited (a subsidiary of Staples Inc USA).

The companys first retail outlet opened in Bengaluru in December, 2007.

Talwalkars Pantaloon Fitness Private Limited

Talwalkars Pantaloon Fitness Private Limited (TPFPL) was incorporated on

December 19, 2006 and is involved in the business of setting up gymnasiums and

dealing in fitness equipments and other health products. TPFPL is a 50:50 joint


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venture between the Company and Talwalkars Better Value Fitness Private

Limited.

ConvergeM

The Company has entered into a 50:50 joint venture with Axiom Telecom LLC,

UAE on July 20, 2007 to do sourcing and wholesale distribution of mobile

handsets, accessories and setting up service centers and authorized after sales

service centers for mobile handsets in India.

Indus League Clothing

a subsidiary company, Indus League Clothing owns and manages the brands

Indigo Nation, Scullers, Urban Yoga, Urbana and their retail formats.

Galaxy Entertainment Corporation Ltd

It is a group company that operates leisure and entertainment chains, The Bowling

Company, The Brew Bar, The Sports Bar, Sports bar Express and Chamosa.

Future Consumer Products Limited

FCPL is a subsidiary company of Pantaloon Retail India Limited, incorporated in

September 2007. The company has two brands under its

umbrella - SACH & S Drive, inspired by Sachin Tendulkar. These brands

operate in categories such as foods, apparels, personal care and general

merchandize among others, and are available through Future Group formats.

SACH launched with an apparels range for boys between the ages of 9-16

across Big Bazaars in June 2008.


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Future Ventures India Limited

Future Ventures seeks to promote and participate in innovative and emerging

business ventures in India. The group intends to play a role in powering

entrepreneurship, by promoting or participating in diverse business activities,

primarily in consumption-led sectors in the country, which will be determined

primarily by the growing purchasing power of Indian consumers and their

changing tastes, lifestyle and spending habits.

Foot Mart Retail India Ltd

Foot Mart Retail is a joint venture between Liberty Shoes and the group and

operates the Shoe Factory format.


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OUR VERTICALS

Future Retail

Retail forms the core business activity at Future Group and most of its businessesin the consumption space are built around retail. Future Groups retail network

touches the lives of more than 200 million Indians in 73 cities and 65 rural

locations across the country. The group currently operates around 1,000 stores

spread over16 million square feet of retail space. Present in the value and

lifestyle segments, the groups retail formats cater to almost the entire consumption

expenditure of a wide cross-section of Indian consumers.

Led by Pantaloon Retail, the groups flagship company, the group manages some

of Indias most popular retail chains like Pantaloons - a chain of fashion

destinations, Big Bazaar - a uniquely Indian hypermarket chain, Food Bazaar - a

supermarket chain that blends the look, touch and feel of Indian bazaars with

aspects of modern retail like choice, convenience and quality and Central - a chain

of seamless destination malls. Some of its other formats include Ethnicity - India's

first concept store, which recreates the experience of a traditional ethnic market in

a modern retail format, Brand Factory, Planet Sports, all, Top 10 and Star and

Sitara. The group also operates Indias most popular online shopping portal

www.futurebazaar.com.

Retailing of products and services related to home building and home improvementis led through the groups formats, Home Town, a large-format home solutions

store, along with specialized formats for home furniture and home furnishing

through, Collection I and Furniture Bazaar and consumer electronics through

eZone and Electronics Bazaar.


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The group also operates Indias leading rural retailing chain, Aadhaar that is

present in over 65 locations in rural India. Aadhaar, an agri-service cum rural retail

initiative, provides a complete solution provider for the Indian farmer.

Future Capital Holdings

Future Capital Holdings Limited (FCH) is the

financial services arm of the Future Group and

has three primary lines of business; investment

advisory services, retail financial services and

research.

FCH provides Private Equity and Real Estate

investment advisory services to onshore and offshore clients. These investment

advisory services include investment analysis, research and recommendations.

FCH acts as the investment advisor to the Rs. 350 Crore (approximately US$ 89

Million) Kshitij Venture Capital Fund, an onshore SEBI-registered venture

capital fund, whose main focus is developing retail malls in India. It also acts as

the investment advisor to three offshore investment managers namely.

Indivision Capital Management, the offshore investment manager of the US$

425 Million offshore private equity fund, Indivision India Partners.

Horizon Development Management, the offshore investment manager of the


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US$ 350 Million offshore real estate fund, Horizon Realty Fund, LLC.

FHL Developments Company LLC, the offshore investment manager of the US$

200 Million offshore hotel fund, Indus Hotel Ventures, LLC.

Future Capital Research, our research business, conducts and publishes

economic research on India with the objective of enhancing value creation across

our other businesses.

Consumer Finance

A business division of Future Capital Holdings (FCH), Future Money aims to set

a new standard in the organized retailing for financial services and products by

creating a differentiated retail brand that will make retail finance Simple, Easy and

Convenient. These financial supermarkets provide a range of innovative

financial products and services

Future Money proposes to leverage its reach and captive customer base to offer a

one-stop solution for financial products and services. Key product and service lines

include consumer durable loans, personal loans, home equity loans, credit cards,

life and non-life insurance, mutual funds, foreign exchange and money transfer.

The group has also launched Future Card, a unique credit card cum loyalty card

that offers loyalty benefits to card holders in over 24 Future Group retail chains as

well as other retail outlets.


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Future Consumer Products Limited

FCPL is a subsidiary company of Pantaloon Retail India Limited, incorporated in

September 2007. The company has two brands under its

umbrella - SACH & S Drive, inspired by Sachin Tendulkar. These brands

operate in categories such as foods, apparels, personal care and general

merchandize among others, and are available through Future Group formats.

Agre Developers Limited

Agre Developers Limited is a Future Group

company that will provide a comprehensive

mall/property management and services in

India including positioning, finance

management and mall advisory services.

Agre Developers currently operates six shopping malls: Orchid City Centre and

Milan Mall in Mumbai; Cosmos and Lido Malls in Bangalore; Ahmadabad City

Centre in Ahmadabad and Cosmos Mall in Siliguri.

In addition Agre Developers is engaged in setting up of over two dozen shopping

malls and consumption centers, all of which will be operational by 2011.

Future Human Development Ltd. (FHDL)

Future Human Development Ltd. (FHDL), a Future Group company, was

incorporated in 2008 with the unique charter to undertake all the Talent


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acquisition, Talent management, Talent retention and Career Progression training.

The learning & development at FHDL is unique, in the manner that it is rooted in

Indian ideology, and aims at providing a relevant and contextual learning

experience. Fuelled by its deep belief in the infinite potential of a person, the

company has already introduced more than 25,000 Future Group employees to its

basic tenets, and is geared towards helping more than 40,000 people realize their

potential by the year 2010.

Since its inception, FHDL has also branched off into domain specific (retail &

allied services) training, certification, advisory and consultancy. FHDL also

recognizes that they can contribute in the development and grooming of

current and future talent across various businesses in areas such as:

y Product and service trainingy Soft skills trainingy SOP creation and train the trainery Training efficiency audits and reportsy Extending use of FHDL training facilityy Customized training and content generationy Other people development related services

Through these associations, FHDL will not only be involved with the design,

development and delivery of the programs, but also offer a value proposition that

takes into account the businesss needs both in terms of costs and benefits.

With FHDL, Future Group has created a centre of higher learning, which provides

the learner an opportunity to build self and thereby a career through completely

Indian references and methodology, at their three Learning Centers based in


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Future Knowledge Services

Future Knowledge Services is a retail technology service provider for high quality,

low cost services model catering to the entire retail value chain. Future Knowledge

Services will provide consolidated Technology Support, Business Process

Management and Contact Centre for all group companies and partners. Its key

partners include Wipro, SAP and Cisco.

The pillars on which the deliverables of Future Knowledge Services are based

include IT-based applications and implementation modules; Design, Built and

Run to enable businesses to function smoothly and accurately.

SAP as the backbone provider, ensures connectivity throughout the groups retail

formats, warehouses, vendor partners and allied businesses. In addition VPN and

Business Intelligence and Data Warehousing tools have also been incorporated

as a robust decision making enabler. Further, cutting edge technology

advancements at the store level for better operational efficiencies and transaction

enhancements are underway.

Future Ventures

Future Ventures, seeks to promote and participate in innovative and emerging

business ventures in India. The company intends to play a role in powering

entrepreneurship, by promoting or participating in diverse business activities,primarily in consumption-led sectors in the country, which it defines as sectors

whose growth and development will be determined primarily by the growing

purchasing power of Indian consumers and their changing tastes, lifestyle and

spending habits.


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The company will also participate in businesses where it exercises control or

influence, and can add value as active shareholders, by

utilizing the experience and knowledge of the Future

Group, and specifically its parent, Pantaloon Retail.

Future E-tailing

Futurebazaar.com is the groups foray into the consumer e-commerce business in

India. The website is owned and operated by Future Bazaar India Limited, a

subsidiary of Pantaloon Retail (India) Limited.

The company through its website, www.futurebazaar.com, provides customers

with a streamlined, efficient and world class personalized shopping experience,

which is supported with the best technology platform.

Popular Indian computer magazine PC World named Future Bazaar as the Best

Indian Website 2007 in the Shopping category.

Big bazaar

Big Bazaar is a chain of hypermarkets in

India, with more than 100 stores in

operation. It is a subsidiary of Future Group

Venture Ltd's, and follows the business

model of United States-based Wal-Marts his


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retail store is a subsidiary of Future group, Pantaloons Retail India Ltd. and is an

answer to the United States Wal-Mart. Big Bazaar has released the doors for the

fashion world, general merchandise like sports goods, cutlery, crockery, utensils,

and home furnishings etc. at best economical prices.

Big Bazaar group offers more than 100 stores all over the country with an

amalgamation of Indian bazaars feel and touch with a convenience and choice of

the modern retail facilities. The retail format of the Big Bazaar group includes

Aadhar, Rural & Home-Town retail chain, Ezone home-improvement chain,

sportswear retailer, depot and music chain is few among others.

Brand Factory

Brand Factory is a chain of stores operated by

Pantaloon Retail India. Launched in September

2006, it currently has eight outlets in India. The

outlets are between 60,000 to 100,000 square feet

(9,300 m2) in size and offer around 120 brands such

as Esprit, Van Heusen and Levis. The chain offers a minimum discount of 20% for

its merchandise and targets customers in the 20-35 age group. The chain had more

than a million customers within its first year of operationand witnesses a footfall

between 2000-5000 customers per day.

It has stores in Ahmadabad, Bangalore, Kolkata, Ghaziabad, Hyderabad, Pune,

Chennai, Mumbai and Tiruchirapalli.Ten more outlets are proposed to be built

soon in the country.


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SUB DIVISION IN FOOD AND BEVERAGE

Brew Bar

The Brew Bar is a classy and refined; yet reasonable and egalitarian a bar with loads ofbonhom

Indian Business House Report on Future

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