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UltraTech Cement, known for its impeccable quality, is today changing the face of India.

The cement has not only built landmark projects like flyovers, bridges, dams, runways, but has also built everlasting trust in engineers, builders, contractors and individual house builders. With a manufacturing capacity of 48.8 million MT annually (2009), eleven integrated plants, eleven grinding units and five bulk terminals, UltraTech cement is the 8th largest cement producer in the world. Its composite product portfolio which, along with UltraTech (Grey Cement) includes Birla White (White Cement) and Ready Mix Concrete (UltraTech Concrete). Also, an array of new products - UltraTech Seal & Dry Total Water Proofing Solution, UltraTech SuperStucco Easy to apply Polymer Modified mortar , UltraTech Nubric strong & eco friendly brick , UltraTech FixoBlock extra fine jointing mortar , UltraTech Readiplast plaster product makes UltraTech a complete construction solutions company. This ethos is also reflected in UltraTech Building Solutions its initiative to bring construction solutions to consumers under one roof. With growing demand for cement in the wake of housing and infrastructure boom the company is set to attain newer heights.

History

ECC was conceived as Engineering Construction Corporation Limited in April 1944 and was incorporated as wholly owned subsidiary of Larsen & Toubro Limited. L&T's founders Mr. Holck - Larsen and Mr. Toubro laid the foundation for ECC.

ECC incorporated on 24 August 2000 as L&T Cement Limited

Cement business of Larsen & Toubro Limited demerged and vested in company in 2004

Grasim (Aditya Birla Group) acquired management control in July 2004 Aditya Birla Cement production started in 1998. Turnover in the financial year 2003 was Rs 4626 crore.

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 are1. Entire process is fully computerized, leaving no scope for human errors. All the control systems are Windows based. 2. Cement and other raw material are checked as per our quality plan. 3. 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. 4. Cement, Fly ash, Slag etc. are stored in separate silos for better control on recipe. 5. Handling of fly ash and slag are done from closed bunkers to silos directly. 6. 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. 7. Homogeneous mixing of concrete is ensured by use of special high-efficiency mixers like pan-type or turbo-twin shaft mixers. 8. A fully equipped onsite plant laboratory is available at each plant.

9. A Sprinkler system is installed to ensure temperature control of aggregates in hot weather. 10. 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. 11. Processes are in place for effective and periodic maintenance and calibration of all critical components. 12. Laser sensor and moisture control are used for a stringent quality assurance. 13. Well trained and experienced engineers are available at every plant to take care of the quality of concrete.

PLANTS Awarpur Cement Works Gujarat Cement Works Hirmi Cement Works Jafrabad Cement Works Arakkonam Cement Works Jharsuguda Cement Works Magdalla Cement Works Ratnagiri Cement Works West Bengal Cement Works Ginigera Cement Works Overview Cement is an essential material for today's society because concrete is made from cement, which is an inevitable element for housing, commercial and infrastructure development. Measured on a kilogram per capita basis, concrete is 2nd most widely consumed material in the world, second only to water. Cement manufacturing process will have -Local impacts (landscape disturbance, dust emission) and Global impacts (CO2, SOx

and NOx emissions). Because of these impacts, sustainable development has recently become a major strategic issue for cement manufacturers around the world. Cement industry is giving very specific and serious attention for managing CO2 emissions.

In 2000 a group of 10 major cement companies collaborated as "working group cement"(Cemex (Mexico), Lafarge (France), Cimpor (Portugal), RMC (Great Britain), Heidelbeurg (Germany), Siam Cement (Thailand), Holcim (Switzerland), Italicementi (Italy), Votorantim (Brazil) has sponsored study under World Business Council for sustainable development (WBCSD). WBSCD has entrusted this study to an independent organization namely, Batelle Memorial Institute. The ideas emerged from this study indicate that the cement industry Operates manufacturing or processing facilities in 150 countries. Has estimated a turnover of USD 97 billion. Directly employs an estimated 850,000 workers

Mission To deliver superior value to our customers, shareholders, employees and society at large.

Vision "To actively contribute to the social and economic development of the communities in which we operate. In so doing, build a better, sustainable way of life for the weaker sections of society and raise the country's human development index." Mrs. Rajashree Birla, Chairperson,

The Aditya Birla Centre for Community Initiatives and Rural Development

MILESTONES 1983 Awarpur Cement Works Plant I 1987 Awarpur Cement Works Plant II 1993 Jharsuguda grinding unit 1994 Hirmi Cement Works 1996 Gujarat Cement Works Plant I 1998 Andhra Pradesh Cement Works Gujarat Cement Works Plant II 1999 Narmada Cement Company Limited acquired Ratnagiri Cement Works

2000 Bulk cement terminals at Mangalore, Navi Mumbai and Colombo

2001 Grasim acquires 10 per cent stake in L&T. Subsequently increases stake to 15.3 per cent by October 2002. Durgapur grinding unit

2002 Grasim increases its stake in L&T to 14.15 per cent Arakkonam grinding unit The Grasim Board approves an open offer for purchase of up to 20% of the equity shares of Larsen & Toubro Ltd (L&T), in accordance with the provisions and guidelines issued by the SEBI Regulations, 1997.

2003 The board of Larsen & Toubro Ltd (L&T) decides to demerge its cement business into a separate cement company (CemCo). Grasim decides to acquire an 8.5% equity stake from L&T and then make an open offer for 30% of the equity of CemCo, to acquire management control of the company.

2004 Completion of the implementation process to demerge the cement business of L&T and completion of open offer by Grasim, with the latter acquiring controlling stake in the newly formed company UltraTech. 2006 Formerly known as Ultratech Cemco Limited. The Group's principal activities are to manufacture and market clinker and cement in India. Ultratech Cement Ltd has inducted Mr. Saurabh Misra into the Board as an Additional Director and appointed Managing Director of the Company. 2007 Ultratech Cement receives order from BIFR. Ultratech Cement Ltd has appointed Mr Girish M Dave as a Director on the Board of the Company.

2009 UltraTech to absorb Samruddhi to form India's biggest cement firm Ultratech to be the lead sponsors of Rajasthan Royals UltraTech to consider Grasim merger proposal

2010 Ultratech Cement Ltd has appointed Mr. 0 P Puranmalka as Additional Director with immediate effect.

MANAGEMENT TEAMS Board of Directors Mr. Kumar Mangalam Birla, Chairperson Mrs. Rajashree Birla Mr. R.C.Bhargava Mr. G.M.Dave Mr. N.J.Jhaveri Mr. S.B.Mathur Mr. V.T.Moorthy Mr. S.Rajgopal Mr. D.D.Rathi Mr. O.P.Puranmalka, Wholetime Director

Executive President & Chief Financial Officer Mr.K.C.Birla Chief Manufacturing Officer Mr. R.K.Shah Chief Marketing Officer Mr. S.N.Jajoo Chief People Officer Mr. C.B.Tiwari Company Secretary Mr. S.K.Chatterjee

PRODUCTS

UltraTech is India's largest exporter of cement clinker. The company's production facilities are spread across eleven integrated plants, one white cement plant, twelve grinding units, and five terminals four in India and one in 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 (2009). 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.

Ordinary Portland cement Portland blast furnace slag cement Portland Pozzolana cement

Ordinary Portland cement Ordinary 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 cement Portland blast-furnace slag cement contains up to 70 per cent of finely ground, granulated blast-furnace slag, a non-metallic 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 finish ability, higher compressive and flexural strength, lower permeability, improved resistance to aggressive chemicals and more consistent plastic and hardened consistency.

Portland Pozzolana cement Portland 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. Concrete Concrete is most vital material in modern construction. It has versatile properties like easy mould ability, high compressive strength and long lasting durability. These properties of concrete have made it most popular construction material for all types of civil engineering works. The latest developments in concrete technology have made it possible to use it in intricate and architecturally complex structures, requiring high degree of performance and aesthetic appearance. In addition to normal concrete, other varieties in use are, high strength and high performance concrete, self compacting, light weight, high density, fibre reinforced, polymer, coloured concrete etc. The ingredients of good and bad concrete are the same. The difference lies in the technology used for production, transportation and placement. The making of concrete is an art as well as a science. Science because all the ingredients are proportioned as per the standard codes of practice to get the targeted strength & durability, and an art because in addition to accurate proportioning, quality of concrete depends on the way it is mixed, placed, compacted, finished, cured and protected. Ready mix Concrete (RMC) technology results in a perfect blend of the Art and Science. In all the developed as well as most of the developing nations, use of RMC for construction has made it possible to achieve speed and quality. The advent of commercial RMC in India is about a decade old, but in recent years it has become the preferred choice of architects, engineers and consumers. UltraTech Concrete is committed to provide customised high quality RMC for ensuring speedy construction. UltraTech concrete plants are present in-

Mumbai, Pune,

Nasik, Nagpur, Ahmedabad, Surat, Gurgaon, Noida, Jaipur, Chandigarh, Chennai, Bangalore, Hyderabad, Cochin, Vizag, Ludhiana, Raipur
Production Portland cements are made by grinding a mixture of limestone, clay and other corrective materials, viz. Lateritic, Bauxite etc. Essential constituents mainly are Lime, Silica, Alumina and Iron Oxide. The process of manufacturing consists of grinding of raw materials into fine powder, mixing them intimately and burning in a kiln at about 1400 deg. C. The resultant product is called Clinker. Clinker is cooled, ground to fine powder with gypsum. The end product is cement. Cement UltraTech Concrete plants use fresh cement directly procured from the state-of-the-art cement plants mainly through cement bulkers, which in turn is pumped directly into UltraTech Concrete silos, thus protecting it from the external environment and humidity.

Coarse Aggregates

UltraTech Concrete directly sources the aggregates from selected and approved suppliers and these aggregates are tested as per IS stipulations at regular intervals for: Shape, size and gradation (elongation/flakiness test) Impact value and crushing value test for their strength Fine Aggregate UltraTech Concrete directly purchases sand from selected and approved suppliers. The sand is tested as per IS stipulations at regular intervals for: Moisture content Gradation for fineness modulus Silt content Water UltraTech Concrete tests the quality of water as per BIS standards at frequent intervals and in case the water needs any treatment, water purifiers are used. Mineral Admixtures In UltraTech Concrete plants, mineral admixtures are obtained from proven sources conforming to relevant BIS standards. High-tech facilities are used for collection, transportation and storage to avoid contamination due to environment and any other source. Chemical Admixtures In UltraTech Concrete plants, high quality admixtures are used in concrete during mixing to improve certain properties of fresh concrete such as workability and setting time. The admixture is sourced from reputed companies and is tested for compatibility with cement before use.

Workability of concrete

In UltraTech Concrete, workability is properly controlled through scientific methods by appropriate dosing of admixtures. Workability is measured (and recorded) for every batch to facilitate efficient transportation and pumping. Batching and Mixing UltraTech Concrete is proportioned using computer aided scientific methods conforming to relevant standards. Mixing is done through high efficiency pan mixers or twin shaft vibro-mixers in fully automated mixing and batching plant leaving no scope for human error. These measures ensure consistent quality in every batch.

Making Good Construction Better Efflorescense and leaching in concrete Vibrating Concrete Cold Weather Concreting Bleeding in concrete Hot weather concreting Fibre Reinforced concrete Cover for Reinforcement Curing Plastic Shrinkage Cracks General Precautions

MERGER

UltraTech Cement With Grasim Cement Arm

After demerging the cement business from Grasim Industries, the Aditya Birla group has decided to merge the new cement subsidiary with group firm UltraTech Cement Ltd. Grasim Industries decision to restructure its cement assets into a separately listed entity, with the ultimate aim of merging it with UltraTechs cement business, is seen in a positive light. However, while the deal looks beneficial from a long-term perspective, analysts believe that there are no immediate gains. But, they expect shareholders of UltraTech Cement to gain marginally from a possible re-rating in the near-term. Grasim Industries demerged its cement business into Samruddhi Cement Ltd, a wholly-owned subsidiary of Grasim, as part of its restructuring plan, where Grasims shareholders would receive one equity share of Samruddhi for every one share they held in Grasim. Grasim has taken the first step towards consolidating its cement business into one entity, creating a new holding company. Grasim plans to hive-off its cement assets, excluding its 54.78 per cent stake in UltraTech Cement, into Samruddhi Cement effective October 1, 2009. The shareholders of Grasim will get a share each of ` 5 each in the new company, aggregating to 35 per cent (or 9.17 crore shares), while Grasim will continue to control Samruddhi with a 65 per cent stake (17 crore shares). Later, Samruddhi will seek a separate listing, though it will be for a short-period, as consequent to approval of concerned authorities as well as shareholders of Grasim and UltraTech, the cement businesses of Samruddhi and UltraTech are planned to be merged to form Indias largest cement company with an installed capacity of nearly 50 million tonnes per annum (mtpa). Post merger, Grasim is estimated to have a controlling stake of about 60

per cent in the larger cement entity. The move is designed to ensure Grasims majority stake in, and continued support to, the rapidly growing cement business; while simultaneously, providing Grasim shareholders direct participation in the pure play cement company. Whilst Grasims commitment to fund growth of cement business remains unabated, the demerger opens up new choices for financing this growth. Eventually, it will also help create a platform for potential consolidation. All of which, should help maximise shareholder value in the long-run. Grasim, meanwhile, would continue to focus on its VSF business, which so far provided a large part of the cash-flows to grow the cement business. Grasim is setting up a new ` 1,000 crore project in Gujarat, which will increase its VSF capacity by 80,000 tpa. VSF, along with other businesses accounted for a third of profits of Grasims standalone numbers in FY09. Post demerger, Grasim will operate the VSF and other small business and have cash and investments worth ` 1,500 crore. Analysts say, its ability to effectively utilise this cash and operating profits of over ` 700 crore annually, will have a bearing on the value accretion for its shareholders, going ahead. What needs to be watched is the merger ratio between Samruddhi and UltraTech. While the market is currently according similar valuations to the cement business of the two companies (adjusted for the different face values), in Grasims case, a few believe that there could be some upside in the form of a slightly better valuation given to Samruddhi due to its larger size and ownership of a profitable white cement business. While the move is in the right direction, the concerns regarding the potential over-supply situation and soft cement prices loom large for the cement industry. In this context, many analysts believe that Grasim is fairly valued while they see gains of up to 10 per cent for UltraTech from current levels. Ultratech Cement Ltd has announced that Ultratech Cement Ltd has received a consolidation proposal from Samruddhi Cement Ltd a wholly owned subsidiary of Grasim Industries Ltd. Grasim has proposed to de merge its cement business to Samruddhi pursuant to a scheme of arrangement under Sections 391-394 of the Companies Act 1956, subject to necessary approvals. The board of directors of UltraTech Cement approved in-principle the merger proposal of group company Samruddhi Cement with itself.

The company has appointed Bansi Mehta & Company for the valuation exercise and UBS as investment banker. The company expects the valuation report by the first week of November, and the board will meet again as soon as it receives the report. The entire process will be completed within seven to nine months. Extra care will be taken to protect the interest of Grasim investors. Clearing misgivings that Grasim would be reduced to a holding company of the cement business, Mr Birla said the re-rating of UltraTech post-merger would more than make up for the loss, if any, incurred by Grasim shareholders. While UltraTech commands an enterprise value of $110 a tonne, Ambuja Cement and ACC are rated at $147 a tonne, while it is $160 a tonne for Shree Cement. UltraTech will be re-rated substantially post-merger. Grasim will continue to invest in cement through UltraTech though the mode of investment (debt or equity) will be decided at the appropriate time. The group does not propose to add any new business to Grasim as it wants to retain its identity of a textile company.

Facts About Company The Aditya Birla Group is the ninth-largest cement producer in the world Incorporated on 24 August 2000 as L&T Cement Limited Cement business of Larsen & Toubro Limited demerged and vested in company in 2004 Grasim acquired management control in July 2004 Together with Grasim, one of the largest cement producers in India Name changed to UltraTech Cement Limited with effect from 14 October 2004 Narmada Cement Company Limited amalgamated with UltraTech in May 2006 Cement business of Grasim demerged and vested in Samruddhi Cement Limited in May 2010 Samruddhi Cement Limited amalgamated with UltraTech Cement Limited in July 2010

UltraTech Cement To Purchase 80% of Star Cement (Dubai)

The UltraTech Cement Ltd, a subsidiary of Aditya Birla group, will purchase around an 80% stake in Dubais ETA Star group-owned Star Cement Co. Llc. for an enterprise value of US$ 380 million (` 1754 crore). It is understood that the purchase will be made through UltraTech Cement Middle East Investments Ltd, a wholly owned subsidiary of UltraTech Cement. The enterprise value is the market value of the entire business, including debt. Adesh Gupta, a whole-time director and chief financial officer at Grasim Industries Ltd, which controls 60% of UltraTech Cement, said that It will be more than 51% (stake), it will be very high stake. It will give an exit route for the ETA (group), The remaining stake in Star Cement will be held by the local partner with whom ETA had built cement plants. The acquisition is set for completion later this week. The deal will give the US$ 30 billion Birla group direct access to the West Asian market, until now served through exports, Gupta said. We used to export more than 3 lakh t of clinker to the UAE market. So (now), instead of exporting clinker from India we have our own plant. UltraTech has gone there for the long-term and they will save freight costs because they no longer have to export clinker to that market, said Rupesh Sankhe, an analyst at Mumbai-based brokerage Angel Broking Ltd.

UltraTech is also planning a 15MW coal-fired power plant in West Asia at a cost of ` 5 crore per MW to manufacture cement at cheaper cost. The United Arab Emirates (UAE) cement market has a total capacity of 30-35 million t, but demand slackened after a real estate slowdown hit Dubai last year. Star Cement has an annual capacity of 3.2 million t. The Aditya Birla group has already demerged Grasims cement business into a newly listed subsidiary Samruddhi Ltd, which in turn will be merged with UltraTech. Grasim currently has ` 2500 cash on its books. Adesh Gupta declined to say how the company would use the cash but said it will invest ` 1000 crore by fiscal 2013 to more than double its capacity in viscose staple fibre, which is used to make fabric and garments in Gujarat.