A PROJECT REPORT ON Sectoral ResearchPost Graduate Diploma InManagement(PGDM) 2010-12Submitted by:VAMSI KRISHNARoll No-1999/01040024Sem-IV

Submitted to the

SURYADATTA INSTITUTE OF MANAGEMENT AND MASS COMMUNICATION (SIMMC).

YEAR OF SUBMISSION: - 2012

DECLARATION

I do here by declare that this present project work entitled A Project Report on Sectoral Research being submitted by me for the partial fulfillment of the requirement for the award of (Post graduate Diploma In management) PGDM is a record of my own research work . I do also hereby declare that all the information collected for this project report is collected through my own efforts and is true to best of my belief .The report embodies the findings based on my study and observation and has not been submitted earlier for the award of any degree or diploma to any other institution or University.

I further declare that the project work is original genuine to the best of my knowledge and information. The honorable authority meet a necessary disciplinary action against me, if find the report of misleading and false.

Vamsi Krishna Marketing+IB 2010-12 Batch Roll No: 1999/01040024

ACKNOWLEDGEMENT

It is really a great pleasure to have this opportunity to describe the feeling of gratitude imprisoned in the core of my heart. I convey my sincere gratitude to Prof. Dr. Sanjay Chordiya Sir, Chairman (Suryadatta Group of Institute) for giving me the opportunity to prepare my project work in Sectoral Reserach.

I express my sincere obligation and thanks to all the faculties of Suryadatta Institute for their valuable advice in guiding me at every stage in bringing out this report.

I am also thankful to my family for their kind co-operation which made my task easy.

INDEXSr.NoCONTENTSPg.No

1Objectives5

2Introduction5-16

3ACC ltd introduction17-18

4Products18-19

5Marketing and distribution19-20

6Subsidiaries20-22

7Awards and Network23-28

9Ultratech cement Introduction29-32

10Vision&Mission32

11Products33-36

12Management&Network37-38

13India Cement Ltd Introduction39-41

14Vision&Mission42-43

15Products43-46

16Financial performance47-48

17Network49-51

18Learning experience52

19Bibliography53

OBJECTIVES

The present study includes insights of CEMENT INDUSTRY in India. In order to study about the CEMENT INDUSTRY I have conducted a study of 3 different companies. A comprehensive study is proposed with the following objectives.

To know about Cement Market in India. To know about ATHE TOP COMPITETORS in cement Industry. To know about the marketing strategies of distribution strategies. To know about the Cement Industry in India and Globally.

INTRODUCTION

Cement is the most essential raw material in any kind of construction activity. Accordingly, cement industry plays a crucial role in the infrastructural development of the country. Given the vast geographical size and massive population of the country, various construction activities undertaken by the Central Government, State Governments, Public Sector Undertaking and other organisations, including private sector generate huge demand for cement. In addition, provision for housing is the first and foremost requirement of every household and, therefore, market demand of cement for private consumption is increasing constantly. The Ministry of Commerce and Industry, in their background note, stated that in view of the increasing demand and the scarcity, the price and distribution control was completely removed by the Government in the year 1989. The cement industry was de-licensed in 1991. According to the Ministry, the liberalization process provided the much desired boost to the cement industry and, the growth was quite visible leading to perceptible growth in terms of 100 million tonnes capacity addition during the decade 1999 to 2009. This capacity addition of cement during the decade could match the capacity addition built over a period of eight decades prior to that. The first cement industry in India was set up at Porbundar, Gujarat in 1914, with a production capacity of 1000 tonnes per annum, thus making it about a century old industry in India.

According to the background note submitted by the Ministry the Indian Cement Industry is now the second largest cement producer in the world, next only to China. Indias share in the worlds cement production is around 6%. It comprises 154 large cement plants, with an installed capacity of 230.82 million tonnes, employing 1.35 lakh persons directly. The Committee was also informed that the industry underwent rapid technological upgradation and vibrant growth during the last two decades. Some of the cement plants in the country can be compared in every respect with the best operating plants in the world. Accordingto the Government, the salient features of Indian cement industry are:

2 1 The industry presents a mixed picture with many new plants that employ state-of-the-art dry process technology and a few old wet process plants having wet process kilns. Production from large plants (with capacity above 1MTPA) account

for 88% of the total production.

3 The cement industry has achieved significant progress in terms of reducing the overall energy intensity.

The industrys average thermal energy consumption was 725 kCal/kg clinker and average electrical energy consumption was 82 kWh/tonne of cement. The best thermal and electrical energy consumption are 667 kCal/kg clinker and 68 kWh/tonne of cement respectively.

The Committee noted that the cement production growth touched a peak of 12.00% in 2009-10, as against 7.90% in 2008-09. The industry is likely to achieve the capacity of 298 million tonnes by the end of 11th five year plan. According to the Ministry an investment of approximately Rs. 500 crore is required for creating a capacity of 1 million tonne. According to the Ministry, cement industry recorded a commendable growth of around 8 per cent in 2007-08, as well as in 2008-09. In the year 2009-10, the pace of growth of the industry accelerated above double digit.

The following table indicates the major players and their share in the Cement sector:-

S. No.GroupInstalled CapacityCementMarket *

As onProductionShare (%)

31.3.200930.9.20092008-092009-10

(Apr-Sep)

1A.C.C. Ltd.22.4122.4120.9510.3810.73

2Grasim Industries19.6519.6516.329.509.82

3Ambuja CementsLtd.18.3018.3018.019.139.44

4UltraTech CementLtd.21.9021.9015.868.258.53

5India Cements10.7411.849.114.945.11

6Jaypee Group9.9312.138.054.794.95

7Shree Cement9.109.107.784.574.72

8J.K. Group9.3710.177.503.934.06

9Madras Cements8.9210.126.273.914.04

10Century Textiles7.807.807.223.703.83

11Dalmia Cement6.509.003.382.052.12

All India219.17230.82181.6196.73

* Based on Cement Production - 2009-10 (Apr-Sep)

According to the Ministry, there is regional imbalance in cement production in India due to the limitations posed by raw material and fuel sources, and most of the plants are located in proximity to the raw material sources. This industry is mainly concentrated in Andhra Pradesh (16%), Rajasthan (15.5%), Madhya Pradesh (9%), Gujarat (9%), Tamil Nadu (13%), Maharashtra (6%), Karnataka (7%) and Chhattisgarh (5%). The Committee noted that three types of cement is produced in India. The Portland Pozzolana Cement (PPC) enjoys the major share (67%) of the total production, followed by Ordinary Portland Cement (OPC) (25%) and Portland Slag Cement (PSC) (8%). A positive trend towards the increased use of blended cement is discernible with the share of blended cement increasing to 75%.

During 2008-09, the industry consumed 35 million tonnes of fly-ash and 7.5 million tonnes of slag. According to the Ministry a continuous increase in the production of blended cement is expected to reduce the problem of waste disposal, improve energy efficiency and reduce carbon footprint. The Committee noted from the background note that exports recorded a growth of 14.24% in the 10th Five Year Plan. The industry recorded the highest growth in exports during 2004-05, when it exported around 10 million tonnes. Since then, the exports declined to 6 million tonnes during 2008-09. Bangladesh, Nepal, Sri Lanka, Maldives, Mauritius and UAE are major export destinations for the cement industry. Exports constitute less than one per cent of the capacity. India is largely self-sufficient in cement production and its import is less than one million tonnes.

The prices of cement are determined by the market forces, as this industry has been de-licensed under the Industrial (Development & Regulation) Act, 1951. The price and distribution control of cement has been removed since 1989. Cement has also been deleted from the list of essential commodities w.e.f 15th February, 2002. The Committee was given to understand that though the cement industry is vital for the economy and for the infrastructure building, yet various stages of cement production lead to environmental pollution. The Ministry stated that several cement plants had been striving to adopt eco-friendly technologies like installing of Multicyclone, Electrostatic Precipitators Bag Filters, Hybrid Filters etc.

At Present, 144 cement plants are known to be complying with the standards of pollution set by the Ministry of Environment and Forests. Recently cement industry has started consuming 75% of the Fly Ash recycled in the country, a hazardous waste posing problems of disposal by Thermal Power Plants. Similarly, the Cement Industry has also helped in providing a clean environment by consuming blast furnace slag, which also poses a problem of disposal.

INDIAN CEMENT INDUSTRYIndia is the worlds second largest producer of cement. Indian cement industry has outpaced the growth rates of other prominent industries in the country on the back of factors, such as rising demand from the housing sector, increased activity in infrastructure, and construction recovery. Recent industry developments and the government supportive policies are attracting global cement giants and sparking off a spate of mergers & acquisitions to spur growth.Our report has found that, the Indian cement industry sustained its growth rate even in the tough conditions of economic slowdown. Cement production is expected to increase above 9% year-on-year during 2010-11 against the previous fiscal year. Almost every cement major expanded their installed capacity in the backdrop of the government backed construction projects as these projects have created strong demand for cement in the country. Moreover, it is anticipated that the industry players will continue to increase their annual cement output in coming years and the countrys cement production will grow at a CAGR of around 12% during 2011-12 - 2013-14 to reach 303 Million Metric Tons.At the regional front, Southern Region (including Andhra Pradesh, Tamil Nadu, and Karnataka) was leading the country in terms of cement production in 2009-10. Sufficient raw material availability and various incentives provided by the state governments make this region lucrative for investments. Numerous domestic and international cement companies are striving hard to establish their production base in this region.

Growth in domestic cement demand is likely to remain strong, with the resumption in the housing markets, regular government spending on the rural sector and infrastructure spend accomplished by rise in the number of infrastructure projects implemented by the private sector. Furthermore, it is expected that the industry players will continue to increase their annual cement output in coming years and Indias cement production will grow at a compound annual growth rate (CAGR) of around 12 per cent during 2011-12 - 2013-14 to reach 303 Million Metric Tons, according to Indian Cement Industry Forecast to 2012. Cement Manufacturing Association (CMA) is targeting to achieve 550 MT capacities by 2020. A large number of oversea players are also expected to enter the industry in the coming years as 100 per cent FDI is permitted in the cement industry. Our country is the second major cement producing country following the China having a total capacity of around 230 MT (including mini plants). However, on account of low per capita consumption of cement in the country(156 kgs/year as compared to world average of 260 kgs) there is an enormous potential for growth of the industry.

Our country is the second major cement producing country following the China; we have 137 large and 365 mini cement plants. Leading players in the industry are Ultratech Cement, Gujarat Ambuja Cement Limited , JK Cements, ACC Cement, Madras Cements etc. Cement is an adhesive that holds the concrete together and is therefore vital for meeting economys needs of Housing & accommodation and necessary infrastructure such as roads & bridges, schools, hospitals etc. Hence, the cement is one of the fundamental elements for setting up strong and healthy infrastructure of the country and plays animportant role in economic development and welfare of the nation.

Cement Production and Supply

Demand, Consumption and Production

As being a fast growing economy, the country has witnessed a steady growth of cement industry. While India has become the second largest cement producing country in the world, the gap between the largest producer viz. China and the second largest producer is quite wide. China produces 1400 million tonnes per year and India produces a mere 183 million tonnes. The Committee noted that there is an interlinking relation between cement consumption and the growth of economy. The country is on a high growth track and the focus now is on the development of the infrastructure facilities such as, highways, ports, canals, bridges, power-houses etc. Infrastructural development obviously gives rise to increased demand for cement. The Committee has been given to understand that the performance of cement industry has been commendable even during the global economic slowdown. The sector has survived the adverse impact as public spending on infrastructure projects remained optimum, keeping in view its multiplier effects to spur the economy. According to the data provided by the Tariff Commission in its study conducted on the subject for this Committee, China besides being the largest producer of cement in the world is also the largest consumer of cement in the world. It manufactures and consumes around 50% of global output. The Commission also stated that the per capita consumption in China is around 1040Kg whereas in India it is 178 Kg.

47 The Committee took note of the study conducted by the National Council for Applied Economic Research (NCAER), on Demand for Cement in 2005. NCAER observed that in India, most of the infrastructure-related cement consumption falls under the category of departmental and non-departmental enterprises, which constituted about 21 per cent of total cement consumption during 2001-02. Government and defence (which also includes government buildings) account for another 18 per cent, and housing for about 42 per cent. As against this, according to the study, about 42 per cent of cement in Japan goes to make buildings and another 40 per cent towards infrastructure-related activities. Cement for making roads and bridges in Japan accounts for 10.5 per cent as compared to an almost minuscule share in India. This means about seven million tonnes of cement is used for making roads in Japan on an annual basis. The NCAER felt that this area of cement application is highly under exploited in India. According to a study of the Tariff Commission, demand for cement can be categorized into Housing-64%, industrial-6%, Commercial & Institutional-13% and infrastructure-17%. The annual domestic demand of cement, the annual production of cement and the export of cement during the last five years is as given below:-(in Million Tonnes)YearDemand ofCementProductionof CementExport ofCement

2005-06135.56141.815.98

2006-07149.34155.645.89

2007-08164.03168.313.65

2008-09177.98181.613.20

2009-10196.12201.002.27

As per the Report of the Working Group on Cement Industry for the XI Five Year Plan (2007-2012), the projected demand of cement for the next three years is as given below:-

(in Million Tonnes)YearDemand ofCement

2010-11231.66

2011-12257.61

2012-13290.00

It would be seen from the above table that the demand for cement has been constantly increasing and the demand projected by the Working Group is likely to touch 290 million tonnes by 2012-13. The Committee noted that the Working Group has projected a production requirement of 268 million tonnes by the year 2012 to meet the growing demand. This leads to capacity requirement of 290 million tonnes. As the industry is highly capital intensive, for one million tonne of production an investment of Rs. 500 crore is required. The industry is implementing a massive expansion programme of an investment of around Rs.55000 crore over the five year period of the 11th Plan to add 110 million tonnescapacity. The Committee was informed that 66 million tonnes have already been added with an investment of around Rs. 30,000 crore. The industry is likely to achieve the targeted capacity by the end of the 11th Plan. The Committee hopes that the target to add 110 million tonnescapacity by the end of the 11th Plan will be achieved. The Committee also feels that while increasing the capacity and adopting modern technology, aspects relating to employment generation should also be kept in view. As regards capacity and production of cement is concerned, the Tariff Commission in its study indicated that the capacity had grown from 157.35 million tonnes in 2005-06 to 240.85 tonnes in 2009-10. The following table, as provided by the said Commission, indicates capacity, utilization, production, and production growth:

Capacity, Capacity Utilization and Production Growth

(Million tonnes)YearCapacityUtilization(%)ProductionProductionGrowth (%)

2005-06157.3590141.8111.16

2006-07165.6494155.649.75

2007-08179.1094168.318.14

2008-09205.9688181.617.90

2009-10240.8584#201.3712.67@

From the above table, it would be seen that the capacity utilization has come down from 94% during 2006-07 and 2007-08 to 88% during 2008-09 and84% during 2009-10. Similarly, the production growth rate has constantly fallen from 11.16% during 2005-06 to 7.90% during 2008-09. The Tariff Commission, however, felt that cement industry is the only major industry which is growing at a record rate despite the economic downturn.

INDUSTRY OUTLOOK: In India there are around 365 small and 140 large cement plants, combined production capacity of which is approximately 234 Million Tones (MT). Keeping the tune with the global standard, the Indian cement industry has transited itself into more advanced one. At present, the Indian cement industry is positioned on the second rank.

Due to the general economic slowdown, financial institutions tightened their credit norms. This led to a credit crunch and impacted upcoming real estate, infrastructure and other projects. With that, demand for cement moderated. However, stimulus packages and agricultural income, government spending on the infrastructure, rural demand will give a impetus to the demand for the commodity. The cement industry is likely to maintain its growth momentum and continue growing at around 8% to 9% in the medium to long term in line with the development of the economy (GDP). Government initiatives in the infrastructure sector and the housing sector are likely to be the main growth drivers.

During FY2011, all-India demand grew by moderate 4.7% Y-o-Y, the lowest in the past several years. Demand in the southern region was worst affected, reporting a decline of 3.4% Y-o-Y. Demand scenario has worsened further in1HFY2012 with all-India demand growth slumped to 3% Y-o-Y. In the western region, demand remained healthy andgrew by 11.2% Y-o-Y. Demand grew by 7.2% and 5.2% in the northern and central regions, respectively, while it was flat in the eastern region. However, in the southern region, demand continued to slide down and declined by 4.1% Y-o-Y. The main drivers of cement demand are development of infrastructure like, Power Houses, Roads, Ports, Airports, and Mass Housing, both urban and rural.

Industry statistics for top 5 (Top line) cement conglomerates (all data in Rs. Cr. except per share data)

CompanyCompanyPrice InformationQ-Sep-11

EquitySalesNPDiv%B.V RsEPS Rs.Price18/11/11Mkt. Cap.P/EP/BVSalesNP

UltraTech Cem.27413,2101,39060389.2049.70113431,08522.802.913,910279

ACC1887,7171,147305344.6056.00115221,63120.603.342,150168

Ambuja Cem.3077,3901,21113047.807.5015323,48620.403.201,805171

Shree Cement353,524214140570.1059.1020016,97333.903.5185540

India Cements3073,4174715115.201.30702,13553.500.611,08970

Indian Cement Industry Forecast to 2012 provides an extensive research and objective analysis of the cement industry in India. It thoroughly examines all prominent emerging trends and drivers fueling growth in the industry. The report highlights major segments, such as production, installed capacity, export, import, plant size, and consumption to present clients valuable information of different aspects of the cement industry. It also throws light on the regional cement demand-supply outlook to help clients understand the market dynamics and get an insight of the industry at the micro level.Most importantly, the report has also presented industry forecasts based on the correlation of past drivers, challenges, and opportunities for expansion. In this way, the report presents a complete and coherent analysis of the Indian cement industry, which will prove decisive for the clients.

(formerly The Associated Cement Companies Limited)ACC Pioneer Of Indian CementIndustry with a Rich Heritage

INTRUDECTIONACC (ACC Limited) is India's foremost manufacturer of cement and concrete. ACC's operations are spread throughout the country with 16 modern cement factories, more than 40 Ready mix concrete plants, 21 sales offices, and several zonal offices. It has a workforce of about 9,000 persons and a countrywide distribution network of over 9,000 dealers.Since inception in 1936, the company has been a trendsetter and important benchmark for the cement industry in many areas of cement and concrete technology. ACC has a unique track record of innovative research, product development and specialized consultancy services. The company's various manufacturing units are backed by a central technology support services centre - the only one of its kind in the Indian cement industry.ACC has rich experience in mining, being the largest user of limestone. As the largest cement producer in India, it is one of the biggest customers of the domestic coal industry, of Indian Railways, and a considerable user of the countrys road transport network services for inward and outward movement of materials and products.Among the first companies in India to include commitment to environmental protection as one of its corporate objectives, the company installed sophisticated pollution control equipment as far back as 1966, long before pollution control laws came into existence. Today each of its cement plants has state-of-the art pollution control equipment and devices. ACC plants, mines and townships visibly demonstrate successful endeavours in quarry rehabilitation, water management techniques and greening activities. The company actively promotes the use of alternative fuels and raw materials and offers total solutions for waste management including testing, suggestions for reuse, recycling and co-processing. ACC has taken purposeful steps in knowledge building. We run two institutes that offer professional technical courses for engineering graduates and diploma holders which are relevant to manufacturing sectors such as cement. The main beneficiaries are youth from remote and backward areas of the country.ACC has made significant contributions to the nation building process by way of quality products, services and sharing expertise. Its commitment to sustainable development, its high ethical standards in business dealings and its on-going efforts in community welfare programmes have won it acclaim as a responsible corporate citizen. ACCs brand name is synonymous with cement and enjoys a high level of equity in the Indian market. It is the only cement company that figures in the list of Consumer SuperBrands of India.

VISION

PRODUCTSACC's brand name is synonymous with cement and enjoys a high level of equity in the Indian market. Our range of cements and blended cements is marketed through a countrywide network of Sales Units, Area Offices, and warehouses. This is backed by a vast distribution network of over 9,000 dealer who, in turn, are assisted by their sub-dealers.

CEMENT BLENDED CEMENT BULK CEMENT READYMIX CONCERETE

MARKETING AND DISTRIBUTION

ACCs marketing, sales and distribution processes are industry standards. Although we take immense pride in having supplied some of Indias most admired projects, ACC is essentially a peoples brand of cement with more than 80 per cent of sales made through an extensive dealer network that covers every state in India. Its customer base represents the masses of India - individual homebuilders in small towns, rural and semi-urban India. ACC cement enjoys an image of assuring consistency and of high quality backed by in-house research and expertise.Complementing this is a unique customer services cell comprising qualified civil engineers, who assist and advise customers with prior and post sales service. This service begins with selection of type and grade of cement (where applicable) to troubleshooting and on-site assistance. ACC manufactures the various kinds of Portland Cement for general construction and special applications. ACCs marketing, sales and distribution processes are industry standards. Although we take immense pride in having supplied some of Indias most admired projects, ACC is essentially a peoples brand of cement with more than 80 per cent of sales made through an extensive dealer network that covers every state in India. Its customer base represents the masses of India - individual homebuilders in small towns, rural and semi-urban India. ACC cement enjoys an image of assuring consistency and of high quality backed by in-house research and expertise.Complementing this is a unique customer services cell comprising qualified civil engineers, who assist and advise customers with prior and post sales service. This service begins with selection of type and grade of cement (where applicable) to troubleshooting and on-site assistance. ACC manufactures the various kinds of Portland Cement for general construction and special applications.

SUBSIDIARIES AND ASSOCIATESACC Concrete Limited ACC set up India's first commercial Ready Mix Concrete (RMX) plant in Mumbai in 1994 which together with the promotion of bulk cement has played a key role in redefining the pace and quality of construction activity in our large cities and mega infrastructure projects. The Ready Mix Concrete business of ACC was reorganized as a separate wholly owned subsidiary which was incorporated as ACC Concrete Limited with headquarters in Mumbai. Today this company is one of the largest manufacturers of Ready Mix Concrete in India with a countrywide network of plants, with modern equipment and a large fleet of transit mixers.

ACC Mineral Resources Limited ACC's wholly owned subsidiary, The Cement Marketing Company of India Limited, was renamed as ACC Mineral Resources Limited (AMRL) in May 2009 with an objective of securing valuable mineral resources, such as coal for captive use. ACC Mineral Resources Limited has already entered into Joint Venture arrangements for prospecting, exploration and mining coal from the coal blocks in Madhya Pradesh and West Bengal. The company is also exploring other opportunities for securing additional coal and gypsum resources in India and abroad

Bulk Cement Corporation (India) Limited Situated at Kalamboli, in Navi Mumbai (formerly New Bombay), this company caters to bulk cement requirements of the city of Mumbai and its environs. It has two cement storage silos with a capacity of 5,000 tons each. The plant receives cement in bulk from ACC plants at Wadi. The plant has its own special purpose railway wagons and rakes and its own railway siding. The first of its kind in India, BCCI is equipped with all the facilities required by increasingly sophisticated construction sites in a bustling metropolis, including a laboratory, a fleet of specialized trucks and site silos for the convenience of customers and is capable of offering loose cement in bulk-tanker vehicles as well as packed cement in bags of varying sizes from 1 tonne down to 25 kg bags. BCCI is situated strategically on the outskirts of Mumbai, just off the new Mumbai-Pune Expressway. It is a landmark structure spread over 30 acres of land. Lucky Minmat ACC acquired 100 per cent of the equity of Lucky Minmat Private Limited. This company holds limestone mines in the Sikar district of Rajasthan, and helps supplement limestone supply to the Lakheri Plant. National Limestone Company Private Limited National Limestone Company Private Limited is a wholly owned subsidiary. The company is engaged in the business of mining and sale of limestone. It holds mining leases for limestone in the state of Rajasthan. Encore Cement & Additives Private Limited ACC acquired 100 percent of the financial equity of this company which is a slag grinding plant in Vishakhapatnam in coastal Andhra Pradesh. This company became a wholly-owned subsidiary of ACC in January 2010.

Quarterly Result SnapshotJuly 29 2011Values in ` mn Q2CY11 Q2CY10 % YoY Q1CY11 % QoQ CY11

Net Sales

Other Operating Income

Total Income Cost of COGS Employee costOperating & Other Exp Total Expenditure EBIDTADepreciation Interest Expense Other Income Profit Before Tax Tax ExpensePAT

Share Capital Face Value Shares O/SEarnings Per Share

Basic

Diluted24,030

299

24,329

8,840

1,197

8,490

18,527

5,802

1,158

271

472

4,845

1,479

3,366

1,879

10

188

17.9

17.920,207

415

20,622

6,575

1,063

7,039

14,677

5,944

962

141

183

5,024

1,435

3,589

1,879

10

188

19.1

19.118.9% (27.9%)18.0%

34.5%

12.6%

20.6%

26.2% (2.4%)20.4%

92.5%

158.6% (3.6%)3.0% (6.2%)0.0%

0.0%

0.0%

(6.2%) (6.2%)23,982

254

24,235

8,902

1,123

8,414

18,439

5,796

1,125

253

415

4,834

1,327

3,507

1,880

10

188

18.7

18.60.2%

17.7%

0.4% (0.7%)6.6%

0.9%

0.5%

0.1%

2.9%

7.1%

13.6%

0.2%

11.4% (4.0%)0.0%

0.0%

0.0%

(3.9%) (4.0%)77,173

1,940

79,113

27,829

4,619

29,185

61,634

17,480

3,927

568

1,629

14,615

3,414

11,200

1,880

10

188

59.7

59.5

Margin Profile bps YoY bps QoQ

EBIDTA Margin%

PAT Margin %19.5%

14.6%26.8%

19.3%(732)

-4658.4%

13.1%1,111

15517.6%

14.5%

Performance ParametersQ2CY11Q2CY10% YoYQ1CY11% QoQCY11

Sales in mn MT

Realisation ` Per MT6.0

4,0895.6

3,7167.2%

10.0%6.2

3,890(4.5%)

5.1%21.0

3,714

BORD OF DIRECTORSBOARD OF DIRECTORSMr N. S. SekhsariaChairman

Mr Paul Hugentobler Deputy Chairman

Mr Kuldip K Kaura Chief Executive Officer & Managing Director

Mr S M PaliaMr Naresh ChandraMr Bernard FontanaMr M L Narula Mr R A ShahMr Shailesh Haribhakti Mr Aidan Lynam Mr Sushil Kumar RoongtaMr Ashwin Dani

AWARDSACC was the first recipient of ASSOCHAMs first ever National Award for outstanding performance in promoting rural and agricultural development activities in 1976. Decades later, PHD Chamber of Commerce and Industry selected ACC as winner of its Good Corporate Citizen Award for the year 2002. Over the years, there have been many awards and felicitations for achievements in Rural and community development, Safety, Health, Tree plantation, afforestation, Clean mining, Environment awareness and protection. In 2006, we were selected to receive the Good Corporate Citizen Award of the Bombay Chamber of Commerce and Industry.Awards & Accolades National Award for outstanding performance in promoting rural and agricultural development by ASSOCHAM Sword of Honour - by British Safety Council, United Kingdom for excellence in safety performance. Indira Priyadarshini Vrikshamitra Award --- by The Ministry of Environment and Forests for "extraordinary work" carried out in the area of afforestation. FICCI Award --- for innovative measures for control of pollution, waste management & conservation of mineral resources in mines and plant. Subh Karan Sarawagi Environment Award - by The Federation of Indian Mineral Industries for environment protection measures. Drona Trophy - By Indian Bureau Of Mines for extra ordinary efforts in protection of Environment and mineral conservation in the large mechanized mines sector. Indo German Greentech Environment Excellence Award Golden Peacock Environment Management Special Award - for outstanding efforts in Environment Management in the large manufacturing sector. Indira Gandhi Memorial National Award - for excellent performance in prevention of pollution and ecological development Excellence in Management of Health, Safety and Environment : Certificate of Merit by Indian Chemical Manufacturers Association Vishwakarma Rashtriya Puraskar trophy for outstanding performance in safety and mine working Good Corporate Citizen Award - by PHD Chamber of Commerce and Industry Jamnalal Bajaj Uchit Vyavahar Puraskar - Certificate of Merit by Council for Fair Business Practices Greentech Safety Gold and Silver Awards - for outstanding performance in Safety management systems by Greentech Foundation FIMI National Award - for valuable contribution in Mining activities from the Federation of Indian Mineral Industry under the Ministry of Coal. Rajya Sthariya Paryavaran Puraskar - for outstanding work in Environmental Protection and Environment Performance by the Madhya Pradesh Pollution. Control Board. National Award for Fly Ash Utilisation - by Ministry of Power, Ministry of Environment & Forests and Dept of Science & Technology, Govt of India - for manufacture of Portland Pozzolana Cement. Good Corporate Citizen Award - by Bombay Chamber of Commerce and Industry for working towards an environmentally sustainable industry while pursuing the objective of creation of a better society. National Award for Excellence in Water Management - by the Confederation of Indian Industry (CII) Golden Peacock Eco-Innovation Award 2008 won by AFR Business for efficient disposal of industrial wastes "Vanvasi Sant Gahira Guruji Maharaj - Chhattisgarh Paryavaran Puraskar" 2008, in the Industrial Category for best efforts in Environment Conservation in Chhattisgarh State . Safety Innovation Award by the Institution of Engineers, New Delhi Greentech Environment Excellence Award by Greentech Foundation Good Green Governance Award by Srishti Publications, Delhi The Federation of Indian Mineral Industries, (FIMI) New Delhi has selected ACC, one of the four companies in India, to be Members of the "Sustainable Miners Club" for outstanding contribution to the national goal of sustainable development through excellence in environmental conservation' scientific research and social development in harnessing natural resources. Tikaria wins IMC Ramkrishna Bajaj Certificate of Merit 2008 Gagal wins IMC Ramkrishna Bajaj National Quality Performance Excellence Trophy 2008 CNBC-TV18's India Business Leaders Award in the category India Corporate Citizen of the Year 2008 Greentech Safety Gold Awards 2009 - for outstanding performance in Safety management systems by Greentech Foundation International Safety Award 2008 by British Safety Council ACC tops cement industry in Karmayog CSR rating Council for Fair Business Practices, Jamnalal Bajaj UCHIT VYAVAHAR PURASKAR 2008 - in the category Manufacturing Enterprises Large for exemplary record of practicing and promoting fair business practices. Srishti Good Green Governance Award 2008 by Srishti Publications State Safety Award for 2007 by Government of Orissa for best performance in accident prevention, safety management and communication systems among industries in Orissa

ACC Network in India

Corporate OfficeOverseeing the company's range of businesses, the Corporate Office is the central headquarters of all business and human resource functions. ACC LimitedCement House 121, Maharshi Karve Road Mumbai - 400 020IndiaTel: 91-22-33024321Fax: 91-22-66317440Toll Free No. Share Department - 180030021001ACC Concrete Ltd Head OfficeACC ComplexNear Teen Haath Naka Lal Bahadur Shastri Marg,Thane (West) - 400 604,IndiaTel: +91-22-3302 7545Fax: +91-22-2583 8415TECHPORTACC Thane ComplexL B S Marg Thane (West) - 400 604,IndiaTel : +91-22-33028000, 39248200Regional OfficeEastern Region (Kolkata) Shrachi Tower, 5th floor, 686 Anandpur,EM Bypass, Kasba,Kolkata - 700 107, IndiaTel: +91-33-39509736-39Fax: +91-33-39509740Northern Region (New Delhi)414-421, Splendor Forum (4th Floor)3, District Centre, Jasola, (Near Apollo Hospital)New Delhi - 110 044Tel: +91 11-46583600Fax. +91 11-46583664South & Western Region (Pune)313, Connaught Place,Third Floor, Bund Garden Road, Pune - 411 001, IndiaTel: +91-20-66271000 / 66271040Fax: +91-20-66271090ACC Delhi Liaison Office 82-84, Janpath,New Delhi - 110 001, India

Tel: 91-11-2332 1837, 2332 0933Fax: 91-11-2332 0566

INTRODUCTION

The Aditya Birla Group is among the top 10 cement producers globallyIncorporated on 24 August 2000 as L&T Cement LimitedCement business of Larsen & Toubro Limited demerged and vested in company in 2004Grasim acquired management control in July 2004Together with Grasim, one of the largest cement producers in IndiaName changed to UltraTech Cement Limited with effect from 14 October 2004Narmada Cement Company Limited amalgamated with UltraTech in May 2006Cement business of Grasim demerged and vested in Samruddhi Cement Limited in May 2010Samruddhi Cement Limited amalgamated with UltraTech Cement Limited in July 2010UltraTech Cement Middle East Investments Limited, a wholly owned subsidiary of the Company has acquired management control of ETA Star Cement together with its operations in the UAE, Bahrain and Bangladesh in September, 2010. About The Group

A US $35 billion corporation, the Aditya Birla Group is in the League of Fortune 500. It is anchored by an extraordinary force of over 133,000 employees, belonging to 42 different nationalities. This year the Group was declared among the top best employers in India by the Aon-Hewitt Survey and ranked second. It was also ranked among the top employers in the Asia Pacific Region. Earlier, the Group has been adjudged among the top six great places for leaders to work in the Asia Pacific Region (The Hewitt Associates, The RBL Group and Fortune Magazine Study 2009).Over 60 per cent of its revenues flow from its overseas operations. The Group operates in 33 countries Australia, Austria, Bahrain, Bangladesh, Brazil, Canada, China, Egypt, France, Germany, Hungary, India, Indonesia, Italy, Japan, Korea, Laos, Luxembourg, Malaysia, Myanmar, Philippines, Poland, Singapore, Spain, Sri Lanka, Sweden, Switzerland, Tanzania, Thailand, UAE, UK, USA and Vietnam.Globally the Aditya Birla Group is :

A metals powerhouse, among the worlds most cost-efficient aluminium and copper producers. Hindalco-Novelis is the largest aluminium rolling company. It is one of the three biggest producers of primary aluminium in Asia, with the largest single location copper smelter. No.1 in viscose staple fibre The largest producer of carbon black The fourth-largest producer of insulators The fifth-largest producer of acrylic fibre Among the top 10 cement producers Among the best energy-efficient fertiliser plants.In India : A top fashion (branded apparel) and lifestyle player. The second-largest producer of viscose filament yarn. The largest producer in the chlor-alkali sector. Among the top three mobile telephony companies. A leading player in Life Insurance and Asset Management. Among the top two supermarket chains in the retail business. Among the top 10 BPO companies.Rock solid in fundamentals, the Aditya Birla Group nurtures a culture where success does not come in the way of the need to keep learning afresh, to keep experimenting.Beyond business : Working in 3,000 villages Reaches out to seven million people, annually through the Aditya Birla Centre for Community Initiatives and Rural Development, spearheaded by Mrs. Rajashree Birla. Focuses on: healthcare, education, sustainable livelihood, infrastructure and espousing social reform. Runs 42 schools, which provide quality education to 45,000 children. Of these, over 18,000 children receive free education. Its 18 hospitals tend to more than a million villagers. In line with its commitment to sustainable development, has partnered with the Columbia University in establishing the Columbia Global Centres Earth Institute in Mumbai. To embed CSR as a way of life in organisations, has set up the FICCI Aditya Birla CSR Centre for Excellence, in Delhi.Transcending the conventional barriers of business because we believe it is our duty to facilitate inclusive growth.

OverviewUltraTech Cement Limited and its subsidiaries have an annual capacity of 52 million tonnes, making it among the top 10 producers of cement globally. UltraTech is also the largest manufacturer of White Cement in India. The company manufactures and markets Ordinary Portland Cement, Portland Slag Cement and Portland Pozzalana Cement, Ready Mix Concrete (RMC), White Cement, Building Products and offers Building Solutions.

UltraTech has 11 integrated plants, 15 grinding units, five bulk terminals and 92 RMC plants spanning India, UAE, Bahrain, Bangladesh and Sri Lanka.

UltraTech Cement is also Indias largest exporter of cement clinker reaching out to meet demand in countries around the Indian Ocean, Africa, Europe and the Middle East.

UltraTech's subsidiaries are Dakshin Cements Limited, Harish Cements Limited, UltraTech Cement Lanka (Pvt.) Ltd, and UltraTech Cement Middle East Investments Limited, which completed the acquisition of ETA Star Cement together with its operations in the UAE, Bahrain and Bangladesh, and acquired management control.

Vision :To be a premium global conglomerate with a clear focus on each business.Mission:To deliver superior value to our customers, shareholders, employees andsociety at large.

UNIQUE PRODUCT MIX: UltraTech is India's largest exporter of cement clinker. UltraTech Cement has 11 integrated plants, 15 grinding units, five bulk terminals and 92 RMC plants spanning India, UAE, Bahrain, Bangladesh and Sri Lanka. Most of the plants have ISO 9001, ISO 14001 and OHSAS 18001 certification. In addition, two plants have received ISO 27001 certification and four have received SA 8000 certification. The process is currently underway for the remaining plants. The company exports over 2.5 million tonnes per annum, which is about 30 per cent of the country's total exports. The export market comprises of countries around the Indian Ocean, Africa, Europe and the Middle East. Export is a thrust area in the company's strategy for growth.

UltraTech's products include Ordinary Portland cement, Portland Pozzolana cement and Portland blast furnace slag cement.

Ordinary Portland cement Portland blast furnace slag cement Portland Pozzolana cement Cement to European and Sri Lankan norms

Ordinary Portland cementOrdinary portland cement is the most commonly used cement for a wide range of applications. These applications cover dry-lean mixes, general-purpose ready-mixes, and even high strength pre-cast and pre-stressed concrete.

Portland blast furnace slag cementPortland blast-furnace slag cement contains up to 70 per cent of finely ground, granulated blast-furnace slag, a nonmetallic product consisting essentially of silicates and alumino-silicates of calcium. Slag brings with it the advantage of the energy invested in the slag making. Grinding slag for cement replacement takes only 25 per cent of the energy needed to manufacture portland cement. Using slag cement to replace a portion of portland cement in a concrete mixture is a useful method to make concrete better and more consistent. Portland blast-furnace slag cement has a lighter colour, better concrete workability, easier finishability, higher compressive and flexural strength, lower permeability, improved resistance to aggressive chemicals and more consistent plastic and hardened consistency.

Portland Pozzolana cementPortland pozzolana cement is ordinary portland cement blended with pozzolanic materials (power-station fly ash, burnt clays, ash from burnt plant material or silicious earths), either together or separately. Portland clinker is ground with gypsum and pozzolanic materials which, though they do not have cementing properties in themselves, combine chemically with portland cement in the presence of water to form extra strong cementing material which resists wet cracking, thermal cracking and has a high degree of cohesion and workability in concrete and mortar.Plant and Machinery UltraTech Concrete is manufactured at state-of-the-art computerized automatic batching & mixing plants with contemporary technology. Some of the special features of our plants are: Entire process is fully computerized, leaving no scope for human errors. All the control systems are Windows based. Cement and other raw material are checked as per our quality plan. All the raw materials are stacked in separate bins and are stored under cover so that aggregates are not exposed to direct sunlight and environment pollution. Cement, Fly ash, Slag etc. are stored in separate silos for better control on recipe. Handling of fly ash and slag are done from closed bunkers to silos directly. Separate weigh-batchers are provided for each ingredient like cement, water, admixtures and aggregates. The weighing is done on sophisticated electronic weigh batchers. Precise weighing of all materials is done through electronic load cells made up of special alloys. Homogeneous mixing of concrete is ensured by use of special high-efficiency mixers like pan-type or turbo-twin shaft mixers. A fully equipped onsite plant laboratory is available at each plant. A Sprinkler system is installed to ensure temperature control of aggregates in hot weather. In line with Groups focus towards environment and eco-friendliness all silos are installed with bag filters and level indicators to avoid any kind of pollution. Processes are in place for effective and periodic maintenance and calibration of all critical components. Laser sensor and moisture control are used for a stringent quality assurance. Well trained and experienced engineers are available at every plant to take care of the quality of concrete

Direct Economic value generated and distributedFY 2008-09FY 2009-10

StakeholdersTotal ValueValue inShare ofTotal ValueValue inShare of

- ` Billion` per BagTotal Value- ` Billion` per BagTotal Value

Value Distributed

Operating Costs85.30119.1149.59%93.60114.2248.14%

Govt. Taxes including Excise / VAT / Income Tax / Other Levies50.2370.1429.20%57.5370.2129.59%

Depreciation6.088.483.53%8.009.764.11%

Employees, Welfare and Community Development5.367.493.12%6.297.673.23%

Payment to Lenders4.285.982.49%4.325.272.22%

Proportionate Dividend to Shareholders2.523.521.46%2.432.971.25%

Value Retained

Retained Earnings for Reinvestment / Modernisation18.2425.4710.60%22.2727.1811.46%

Value Generated

Gross Value of Operations172.00240.19100.00%194.44237.26100.00%

MANAGEMENT TEAMBoard of DirectorsMr. Kumar Mangalam Birla, Chairman

Mrs. Rajashree Birla

Mr. R. C. Bhargava

Mr. G. M. Dave

Mr. A. Gupta

Mr. N. J. Jhaveri

Prof. N. Kumar

Mr. S. B. Mathur

Mr. V. T. Moorthy

Mr. S. Rajgopal

Mr. D. D. Rathi

Mr. O. P. Puranmalka, Wholetime Director

Senior Executive President & Chief Financial OfficerMr. K. C. Birla

Chief Manufacturing OfficerMr. R.K. Shah

Chief Marketing OfficerMr. S.N.Jajoo

Network:Andhra Pradesh Cement Works Bhogasamudram, Tadipatri Mandal, District: Anantapur,Andhra Pradesh 515415Tel: 08558288847/41Fax: 08558-288821/59AwarpurCement WorksP.O. Awarpur Cement Project, Taluka: Korpana,District: Chandrapur, Maharashtra 442917Tel: 07173-266323Fax: 07173-266339Gujarat Cement Works P.O. Kovaya, Taluka: Rajula, District: Amreli, Gujarat365541Tel: 02794283034Fax: 02794283036

Hirmi Cement Works Village & Post: Hirmi, Taluka: Simga,District: Raipur, Chhattisgarh 493195Tel: 07726-281217/218/221Fax: 07726-281572Jafrabad Cement WorksP. B. No. 10, Village: Babarkot, Taluka: Jafrabad,District: Amreli, Gujarat 365540Tel: 02794-245103Fax: 02794-245110Arakkonam Cement WorksChitteri Village, Arakkonam, District:Vellore,Tamil Nadu631003Tel: 04177293291

Jharsuguda Cement Works Near Dhutra Railway Station, P.O. Arda,District: Jharsuguda, Orissa 768202Tel: 06645-283104/105Fax: 06645-283108/110Magdalla Cement WorksNear Magdalla Port, Dumas Road,District: Surat, Gujarat 395007Tel: 0261-2725175Fax: 0261-2726952Ratnagiri Cement Works MIDC Industrial Estate, Zadgaon Block,District: Ratnagiri, Maharashtra 415639Tel: 02352-223679Fax: 02352-221807

West Bengal Cement WorksNear EPIP, Muchipara, Post: Rajbandh, Durgapur,West Bengal - 713212Tel: 0343-2533030Fax: 0343-2533358Ginigera Cement WorksGinigera VillageKoppal Gangavthi Road, Taluq & District: Koppal,KarnatakaTel: 08539-286575/574Fax: 08539-286572

The India Cements Ltd was established in 1946 and the first plant was setup at Sankarnagar in Tamilnadu in 1949. Since then it has grown in stature to seven plants spread over Tamilnadu and Andhra Pradesh. The capacities as on March 2002 have increased multifold to 9 million tons per annum.Company Highlights The Company is the largest producer of cement in South India. The Company's plants are well spread with three in Tamilnadu and four in Andhra Pradesh which cater to all major markets in South India and Maharashtra. The Company is the market leader with a market share of 28% in the South. It aims to achieve a 35% market share in the near future. The Company has access to huge limestone resources and plans to expand capacity by de-bottlenecking and optimisation of existing plants as well as by acquisitions. The Company has a strong distribution network with over 10,000 stockists of whom 25% are dedicated. The Company has well established brands- Sankar Super Power, Coromandel Super Power and Raasi Super Power. Regional offices in all southern states and Maharasthra offices/representative in every district. Technical cell to cater to all your queries/doubts tech.cell@indiacements.co.in

Board of Directors:

Shri.N.SrinivasanVice Chairman & Managing Director

Mrs.Chitra SrinivasanDirector

Ms.Rupa GurunathWhole Time Director

Shri.B.S.AdityanDirector

Shri.R.K.DasDirector

Shri.N.Srinivasan Director

Shri.N.R.KrishnanDirector

Shri.A.SankarakrishnanDirector

Shri.Arun Datta Director

Shri.V.Manickam Representing Life Insurance Corporation of India

Shri.K.P.Nair Nominee of IDBI Bank Ltd

Shri.K.Subramanian Representing Housing & Urban Development Corporation Ltd

VISION

The new millennium will bring with it new challenges and greater opportunities. The 21st century will most certainly see the unfolding of a period of extraordinary possibilities and incredible developments bringing about more fundamental changes in the global economy than the last 200 years. The successful corporates will be those who equip themselves to meet the challenges and convert opportunities into winning strategies. If we are to keep pace, it is imperative that we learn to successfully tread the global pathway.In this journey, clarity of vision, a readiness to cultivate a global mindset, effectiveness, harnessing of human resources to enhance job and knowledge skills of employees, a strong accent on R & D and innovation and a move away from selling, to innovative marketing in recognition of the fact that the Customer is truly King, are some of the strategies that will help corporates to survive and succeed.However it must be remembered that it is not enough to adopt a set of values and just leave them in place. In order to move with the changing times, values and ideas must be ceaselessly re-examined so as to ensure that they are in tune with the organisation's goals.The India Cements Limited is committed to contribute its might in making the 21st century an "Indian Century".MISSION :Aiming High:We should be one of the largest Cement Companies in the Country. Our growth in size will be through continuous review of potentials of the existing manufacturing resources, strategic acquisitions and expansionsCore Competency:Cement will be our mainstay. However, we shall venture into related fields which afford purposeful synergy.

Quality Quest:Product quality, consistency and customer service will be pursued as an act of faith throughout the organisation.Modern Mindset:In an environment which is intensively competitive, we shall be futuristic in outlook and effective in management.

Pursuit Of Excellence:The growing size of our business permits us to have an R & D set up of our own. We shall continuously challenge methods, systems, operating parameters. We shall constantly review our manufacturing systems to upgrade quality and value of products. Human Resources:We consider people as our valuable Assets. Our HRD Systems will be totally proactive and tuned to provide excellent working environment and transparent organisational culture for creativity, innovation and participation.Value Addition:ICL will continuously strive to enhance its value to its customers, Shareholders and Employees.Community Welfare:As the organization grows, as a good Corporate Citizen, we shall be sensitive to the welfare and development needs of the Society around us.

The Founders

Shri Sankaralinga Iyer was a pioneer of heavy industry in the South. Primarily a banker, he ventured into the field of industry with a rare devotion and confidence with the prime objective of developing major industries in the state. With his banking experience and interest in exploring the mineral potential of South India, he went ahead boldly with his scheme of building a cement plant in the vicinity of Thalaiyuthu, where extensive deposits of limestone were assuredly available. Shri Sankaralinga Iyer with his energy and drive gave the cement project a realistic form and content.

GENESIS

Theres no stronger foundation than the one built with vision."

FOUNDERS OF THE INDIA CEMENTS LTD.Two men with vision to inspire dreams for an industrial India. Two men with the ability to translate those dreams into reality. And the ability to build enduring relationships..... To build the future. In his task of establishing the enterprise, Shri Iyer was ably assisted by Shri T.S. Narayanaswami, who is always identified with the formation and running of The India Cements Limited. Shri T.S.Narayanswami was the catalyst who saw the project through numerous hurdles and made it emerge as a viable and marketable proposition.He looked beyond Cement to Aluminium production, Chemicals and Plastics and Shipping after he had fully established the India Cements' potential for expansion. A pioneer Industrialist and visionary, Shri T.S. Narayanswami played a dynamic role in the resurgence of industrialisation in free India .

PRODUCTSCoromandel King-Sankar Sakthi- Raasi GoldCoromandel King, Sankar Sakthi and Raasi Gold are high strength cements to meet the needs of the consumer for high strength concrete. As per BIS requirements the minimum 28 days compressive strength of 53 Grade OPC should not be less than 53 Mpa. For certain specialised works such as prestressed concrete and certain items of precast concrete requiring consistently high strength concrete, the use of 53 Grade OPC is found very useful. 53 Grade OPC produces higher-Grade concrete at very economical cement content. In concrete mix design, for concrete M-20 and above Grades a saving of 8 to 10% of cement may be achieved with the use of above mentioned 53 Grade OPC.Coromandel-Sankar-RaasiCoromandel, Sankar and Raasi are the 43 grade OPCs most popular general-purpose cement in the market today. The production of 43 grade OPC is nearly 50% of the total production of cement in the countryCoromandel Super Power, Sankar Super Power and Raasi Super Power are the premium blended cements from THE INDIA CEMENTS LIMITED. It is produced by intergrinding of OPC clinker alongwith gypsum and mineral admixtures. Dedicated to the end user after passing through stringent tests at our R&D laboratory, it ensures durable structures that lasts for generations.Salient features: Strength increases as time passes. High durability concrete - protects from corrosion, coastal attack and extreme temperature. Ideal cement for resisting aggressive environments like chemical, chloride and sulphate attack. Best suited for high performance concrete. High fineness - suited for plastering and finishing works. Low heat of hydration - Ideal for mass concrete pours and machine foundations Equivalent to 53 grade cement.

Sulphate Resisting Portland Cement (SRC) Sankar SRC can be used for structural concrete wherever OPC or PPC or Slag Cement is usable under normal conditions.Sankar SRC is particularly beneficial in such conditions where the concrete is exposed to the risk of deterioration due to sulphate attack. For example, in contact with soils and ground waters containing excessive amounts of sulphates as well as for concrete in seawater or exposed directly to seacoast. The IS 456 1978 (revised draft code ) has made elaborate provisions for use of particular type of cement against different percentages of soluble sulphate saltsCoromandel Super Power, Sankar Super Power and Raasi Super Power are the premium blended cements from THE INDIA CEMENTS LIMITED. It is produced by intergrinding of OPC clinker alongwith gypsum and mineral admixtures. Dedicated to the end user after passing through stringent tests at our R&D laboratory, it ensures durable structures that lasts for generations.Salient features: Strength increases as time passes. High durability concrete - protects from corrosion, coastal attack and extreme temperature. Ideal cement for resisting aggressive environments like chemical, chloride and sulphate attack. Best suited for high performance concrete. High fineness - suited for plastering and finishing works. Low heat of hydration - Ideal for mass concrete pours and machine foundations Equivalent to 53 grade cement.

OPERATIONAL HIGHLIGHTS

The companys plants surpassed their best achievements in many fronts during 2007-08.

* Sankarnagar Plant achieved its highest clinker, cement and despatch during the year of 11.80 lakh tonnes (11.72 lakh tonnes), 18.02 lakh tonnes (15.70 lakh tonnes) and 18.02 lakh tonnes (15.79 lakh tonnes) respectively.* Chilamakur Plant achieved its record clinker production of 11.19 lakh tonnes (11.17 lakh tonnes).* Dalavoi Plant achieved its best ever clinker, cement and despatches of 11.49 lakh tonnes (10.90 lakh tonnes),12.72 lakh tonnes (11.45 lakh tonnes) and 12.67 lakh tonnes (11.47 lakh tonnes) respectively.* Yerraguntla Plant again surpassed its record by clocking a clinker production of 5.39 lakh tonnes (5.01 lakh tonnes), cement grinding of 5.80 lakh tonnes (5.73 lakh tonnes) and cement despatches of 5.80 lakh tonnes (5.73 lakh tonnes) respectively.* Vishnupuram Plant recorded its highest cement grinding of 25.11 lakh tonnes (24.02 lakh tonnes) and the despatches of 25.04lakh tonnes (24.03 lakh tonnes).* The average output per kiln day showed an improvement of 5% in Sankarnagar, 3% at Chilamakur, 4% at Dalavoi and 6%at Yerraguntla.

Financial PerformanceNet sales780.99

Other Operating Expenses2.51

Other Income3.83

Total Income787.33

Net Profit21.47

Paid Up Capital307.17

Earnings Per Share0.70

Public Share Holding72.67%

Promoters Share Holding6.67%

Overall Capacity Position(in Lakh tonnes)

Plant Capacity at March 2010

Sankar Nagar20.50

Sankari Durg 08.60

Chilamkur14.60

Dalavoi18.50

Yerraguntla07.30

Vishnupuram25.00

Malkapur24.00

Chennai Grinding Unit11.00

Parli Grinding Unit11.00

Total140.50

HR POLICIESTHE INDIA CEMENTS LIMITED,established in the year 1946 manufactures cement, a core material in the construction industry. Since inception, making a humble beginning it has grown to a multidivisional company with seven plants of overall capacity of 9 million tonnes per annum and with a trun over of Rs.2000 crores. It is the largest manufacturer of cement in south India.

Our family of 5500 dedicated members consists of 1200 Executives committed to the growth of the company and the industry at large. Our task comprises the functions in Production, Quality Assurance, Engineering, Marketing Materials, Finance, Secretarial, Personnel, HRD, Administration, Legal Affairs, Safety, Public Relations, Projects, R&D, Information Systems etc., headed by MBA's, Engineers, Cost Accountants, Chartered Accountants, IT Specialists and HR/IR Professionals.Our Core marketing area is South India and South Maharastra upto Mumbai.

Contact DetailsRegistered Office:Dhun Building,827,AnnaSalai,Chennai-600 002.Corporate Office:Coromandel Towers, 93, Santhome High Road, Karpagam Avenue, R.A.Puram, Chennai 600028. Tel No. 044 28521526PlantsPlantLocation AddressContact InformationCapacity Million tonnes (P/a)SANKARNAGAR The India Cements Limited Sankarnagar P.O., Tirunelveli District,Tamil Nadu Pincode:627357Tel.Nos.0462 2300221 Fax Nos.0462 2300294SANKARI The India Cements Limited Sankari West P.O., Salem District, Tamil Nadu.Pincode:637303Tel.Nos.04283 240387Fax Nos.04283 240051

DALAVOI The India Cements Limited Dalavoi P.O.,Perambalur District,Tamil Nadu Pincode:621709Tel.Nos.04329 248201Fax Nos.04329 248248

CHILAMKUR The India Cements Limited, Chilamkur, Cuddapah District,Andhra Pradesh Pincode:516310Tel.Nos.08563 276150Fax Nos.08563 276155YERRAGUNTLA The India Cements Limited, Yerraguntla, Cuddapah District,Andhra Pradesh Pincode:516309Tel Nos.08563 275158Fax Nos.08563 275154MALKAPUR The India Cements Limited, Malkapur Village,Tandur Mandal, Rangareddy District, Andhra Pradesh. Pincode:500157Tel Nos.08411 246324Fax Nos.08411 246302VISHNUPURAM The India Cements Limited Vishnupuram,Wadapally,Nalgonda District,Andhra Pradesh. Pincode:508355 Tel.Nos. 08689 228427Fax.Nos.08689 228447

Learning Experience

1. It teaches about how the company functions effectively, how the higher management plans out various targets and they are achieved by the means of lower management.

2. Managing the various resources like money, manpower, time, raw material etc.

3. Since finance is the lifeline of any organization, this project would help me in understanding the vitality of finance and utilizing it in the most suitable way.

4. Every company has its own unique policy, structure, and the way of functioning.

5. One can learn from other companies and try to develop its own way of working.

6. Expanding the presence across the globe and exploit the opportunities that exist in the neighboring region.

BIBLIOGRAPHY

MAGAZINEsIndia TodayEconomic TimesTimes of IndiaBusiness India

WEBILOGRAPHYwww.acclimited.comwww.ultratechcement.comwww.indiacements.co.in