Union Budget 2011-12 Review-280211 | Ad Valorem Tax | Government Budget Balance

Union Budget 2011-12 Review

Table of Contents
Index Union Budget 2011-12: Exercising restraint Sectoral Impact Agriculture Automobile Banking Capital Goods Cement FMCG Hotel Infrastructure Media Metals Oil & Gas Pharmaceutical Power Real Estate Retail Software Telecom Page No. 2-5 6 7 8 9 11 12 13 14 15 16 17 18 19 20 21 22 23 24

February 28, 2011

Please refer to important disclosures at the end of this report

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Union Budget 2011-12 Review

Union Budget 2011-2012
Exercising restraint
In the Union Budget 2011-12, it was restraint that was required on the expenditure side. And, by not having any major populist measures, the Finance Minister has managed to bring down the targeted fiscal deficit to 4.6% - the key positive from the Budget. Even though on some counts, such as subsidy estimates, the targets are likely to be overshot, but because of the absence of any major populist measures and substantial restraint on most items of expenditure, any overshooting of the fiscal deficit is likely to be contained to 20-40bp of GDP In other words, the . deficit is unlikely to exceed the FY2011 levels of 5.1%.
Exhibit 2: … matched by far higher-than-budgeted expenditure in FY2011
(` Particulars (` cr) Subsidies Pensions Defence Police Grants to state governments Other non-plan expenditure Total non-plan expenditure Total plan expenditure Total expenditure FY2011 BE 116,224 42,840 147,344 22,154 45,119 361,976 735,657 373,092 1,108,749 FY2011 RE 164,154 53,262 151,582 27,587 51,756 373,212 821,553 395,024 1,216,577 Variance 47,930 10,422 4,238 5,433 6,637 11,236 85,896 21,932 107,828

Fiscal target is largely credible
The government managed to contain the fiscal deficit to 5.1% in FY2011, though this was not entirely on account of the 3G auction revenue. Part of the reason was the sharp 20% increase in nominal GDP in FY2011 and the associated buoyancy in tax revenue - about `30,000cr more than budgeted. Also, while 3G auction revenue was about `70,000cr higher than that expected, divestments were lower by about `20,000cr, indicating only `50,000cr of more than budgeted one-time revenue.

Source: Budget documents, Angel Research

The FY2012 fiscal deficit target of 4.6% is also expected to be aided by the buoyancy in tax revenue, with an 18.5% yoy increase expected in gross tax revenue in FY2012 over FY2011 revised estimates (RE). In amount terms, the ~`1lakh-cr increase in the centre's share of tax revenue is expected to completely compensate for the absence of over `1lakh-cr received from 3G auctions in FY2011, further aided by `20,000cr higher divestment proceeds targeted this year.
Exhibit 3: Variance in budgeted receipts in FY2012 over FY2011
(` Particulars (` cr) Centre's net tax revenue Non-tax revenue (mainly 3G Auctions) Non-debt capital receipts (mainly divestments) Debt receipts - Cash balances Total receipts Fiscal deficit - Market borrowings - Savings schemes - Others (adjusted for cash) FY2011 RE 563,685 220,149 31,745 815,579 415,997 (15,000) 1,216,576 400,997 335,414 17,781 47,802 FY2012 BE 664,457 125,435 55,020 844,912 392,817 20,000 1,257,729 412,817 343,000 24,182 45,635 Variance 100,772 (94,714) 23,275 29,333 (23,180) 35,000 41,153 11,820 7,586 6,401 (2,167)

Exhibit 1: Far higher-than-budgeted receipts in FY2011…
(` Particulars (` cr) Centre's net tax revenue Non-tax revenue (mainly 3G Auctions) Non-debt capital receipts (mainly divestments) Debt receipts - Excess cash balances Total excess receipts
Source: Budget documents, Angel Research

FY2011 BE 534,094 148,118 45,129 727,341 381,409

FY2011 RE 563,685 220,149 31,745 815,579 415,997

Variance 29,591 72,031 (13,384) 88,238 34,588 (15,000) 107,826

Although the government collected almost `90,0000cr higher than the budgeted revenue in FY2011, debt raising remained higher than budgeted (even excluding the `15,000cr excess funds mobilised) due to the huge increase in expenditure over budget estimates. The main culprit was `48,000cr of excess subsidy burden, while other items included `10,000cr higher than budgeted towards pension, `10,000cr towards defense and police and `22,000cr towards plan expenditure.
February 28, 2011

Source: Budget documents, Angel Research

On the expenditure side, about `20,000cr is realistically expected to be lower in respect of agri debt waiver and recapitalisation of PSU banks. The increase in non-plan expenditure is mainly on account of defense, police, pension,

Please refer to important disclosures at the end of this report

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Union Budget 2011-12 Review

grants to states and interest payments, where the expenditure increase was essential. Other than that, substantial restraint has been exhibited in respect of other non-plan expenditure items, showing an almost 22% decline over FY2011RE (about `20,000cr in amount terms) - any overshooting on this front could be a downside risk to budget estimates, though any overshooting is unlikely to be comparable to the substantial over-runs in FY2011. On the plan expenditure side, the Budget builds in a moderate 11.8% increase over FY2011RE.
Exhibit 4: Variance in budgeted expenditure in FY2012 over FY2011
(` Particulars (` cr) Subsidies Agri waiver Capital outlay (mainly PSU recapitalisation) Defence, Police Grants to state governments Pension Interest Other non-plan expenditure Total non-plan expenditure Total plan expenditure Total expenditure 27,696 179,169 51,756 53,262 240,757 386,778 821,553 395,024 1,216,577 13,212 194,100 65,466 54,521 267,986 396,325 816,182 441,547 1,257,729 (14,484) 14,931 13,710 1,259 27,229 9,547 (5,371) 46,523 41,152 FY2011 RE 164,154 12,000 FY2012 BE 141,079 6,000 Variance (23,075) (6,000)

Exhibit 5: Subsidy estimates appear optimistic
(` Particulars (` cr) Fertiliser subsidy Food subsidy Petroleum subsidy Interest subsidy Other subsidies Total subsidies
Source: Budget documents, Angel Research

FY2011(RE) 54,977 60,600 38,386 5,223 4,968 164,153

FY2012(BE) 49,998 60,573 23,640 6,868 2,490 143,570

Exhibit 6: Significant catch-up left on domestic petrol/diesel prices
FY 2010 2011 2012
#

etrol/Ltr. Diesel/Ltr. Petrol/Ltr. Diesel/Ltr. (`) 48 57 63 (`) 36 41 42

Crude Brent (US $) 70 84 112

Subsidy (` cr) 14,951 38,386 23,640

Source: Bloomberg, Angel Research. Note: FY2012# Petrol, Diesel, Crude prices reflect current prices

Source: Budget documents, Angel Research

The other major item of non-plan expenditure, which is projected at much lower levels than in FY2011RE, is subsidy outgo. In FY2011, when average crude prices were about US $84 and Mumbai petrol and diesel prices averaged about `57 and `41, respectively, fuel subsidy amounted to `38,386cr. With crude prices currently at US $109 and petrol and diesel not much above FY2011 levels, either crude prices need to come down significantly to even below FY2011 average levels (unlikely) or the government would have to hike petrol and diesel prices by a huge amount (limited ability, prices unlikely to be hiked more than 10-15%). The more likely outcome would be a possible `15,000cr-20,000cr overshooting of subsidy estimates, i.e. about 20bp of GDP which may be borne by the centre or the , oil companies.

Also, it may be difficult for the government to mobilise as much as `24,000cr from savings schemes with Bank FD rates prevailing at 9.5-10%, which may put further burden on the projected market borrowing target of `3,43,000cr. The target level of market borrowings is also aided by the fact that in FY2011 the government raised `15,000cr excess funds, while this year it expects to draw down `20,000cr. Overall, in our view, the government should be able to keep fiscal deficit and market borrowings within manageable limits in FY2012.

Tapping different sources of funds to check rising interest rates
There has been a clear thrust in the last few budgets to increase the availability of funds to the economy, especially to the infrastructure and priority sectors. Continuing this trend, in this budget as well, key announcements included increase in FII investments in corporate bonds from US $20bn to US $40bn (the entire increase will be towards bonds issued by the infrastructure sector), reduction in withholding tax, increase in tax-free bond limits and removing medium-term capital constraints for PSU banks (`6,000cr capital infusion this year). Given the shortage of funds in the domestic banking sector, most measures aim to increase fund availability from other sources. Importantly, by not having any major populist measures, the Finance Minister has managed to bring down the targeted fiscal deficit to 4.6%, which is unlikely to be exceeded by more than 20-40bp of GDP in our view. Together with the impending

February 28, 2011

Please refer to important disclosures at the end of this report

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Union Budget 2011-12 Review

awarding of new bank licenses and increased foreign bank participation (being worked upon by the RBI currently), all this should help narrow the gap between savings and investments, keeping interest rates also in check - a positive for banks, infrastructure and the overall economy. On a positive note for the markets, the budget has also permitted foreign investors to directly invest in Indian mutual funds.

Focus on relieving agriculture supply bottlenecks
Rightly focusing on pressing matters such as high inflation, there are several measures and statements of intent in the budget to tackle high food inflation. Supply constraints in agriculture are clearly major issues that need fiscal focus and these constraints are not so much in food production but in the supply chain. This can be appreciated from the fact that even though overall agriculture GDP growth is expected to be 5%+ in FY2011, food inflation is still prevailing at as high as 11.5%. In FY2010, on account of drought, food prices went up, which was on the expected lines. However, the persistence of food inflation, even though quarterly agricultural GDP growth has gone up to as much as 8.9%, highlights the supply chain constraints ailing agriculture in India. Although food inflation is expected to decline going forward on account of higher production as well as on base effect, it is appropriate that this budget has shown some focus on the government's part to address structural supply constraints.
Exhibit 7: Agriculture real GDP growth vs. food inflation
25.0 20.0 15.0 10.0 5.0 0.0
Agri Real GDP growth (%) YoY Food Inflation (%)

Krishi Vikas Yojana (RKVY) has been increased from `6,755cr in FY2011 to `7,860cr in FY2012. Moreover, put together, `2,200cr is being allocated to increase production in various food crops. Approval is also proposed to be fast-tracked to 15 mega food parks, as against 15 being set up in the first four years of the Eleventh Five-Year Plan. Capital investments in fertiliser production are also proposed to be classified as an infrastructure sub-sector.

Nothing particularly concrete on exploitation of natural resources
To tackle the issue of speeding up project approvals in case of mineral resources, committees have been set up for greater transparency and accountability in allocation, pricing and utilisation of natural resources, while issues relating to reconciliation of environmental concerns from various departmental activities, including those related to infrastructure and mining, are to be considered by a Group of Ministers. Also, the rate of export duty for all types of iron ore has been enhanced and unified at 20% ad valorem.

Statements of intent on improving governance
On governance, there seems to be a firm commitment to plug leakages (direct transfer of cash subsidy), reduce black money, tackle corruption, monitor performance of ministries and continue fiscal consolidation. On direct transfer of cash subsidy, the Finance Minister has indicated that a major portion of the population would be covered by this by March 2012, with the UID Project being rolled out at the rate of 10lakh numbers per day. In respect of financial sector reforms, the Finance Minister indicated that in FY2012 several acts would be taken up for amendments, including those relating to insurance, pension, banking, NPA recoveries and SBI's subsidiaries.

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Absence of big-bang announcements - The key drawback; overall a moderately positive budget
The main drawback in the Budget was the absence of any major policy reform announcements, such as on FDI and infrastructure; while at the same time, GST implementation from April 2012 was indicated as unlikely. As far as FDI is concerned, the Finance Minister has only indicated that discussions are on for further liberalisation of the FDI policy. On GST, the Finance Minister has indicated that it will take time to form a consensus with the opposition as well as with the state governments. (The former is required for the constitutional amendment, while the latter is needed for effective implementation.) However, on a positive

Source: CSO, Angel Research

These measures include viability gap funding for cold storage chains, `2,000cr of RIDF funds for creating warehouses and increased priority sector lending targets from `3.8lakh-cr to `4.8lakh-cr. In fact, removal of production and distribution bottlenecks for items such as fruits and vegetables, milk, meat, poultry and fish has been declared to be a major focus of attention this year, and towards this, the allocation to Rashtriya

February 28, 2011

Please refer to important disclosures at the end of this report

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Union Budget 2011-12 Review

note, it has been indicated that DTC will be implemented from April 2012, which is why in this budget there was minimal tinkering with direct taxes. In case of excise duty as well, it has been kept unchanged at 10%. Also, from a revenue mobilisation standpoint, the divestment target has been kept at healthy `40,000cr, though outright privatisation has been currently ruled out. Overall, without over-stretching itself, this Budget includes a modest set of measures without compromising on its fiscal deficit position, and, to that extent, its impact is expected to be reasonably positive.

Exhibit 8: Sectoral Impact
Sector Agriculture Automobile Banking Capital Goods Cement FMCG Hotel Infrastructure Media Metals Oil & Gas Pharmaceutical Power Real Estate Retail Software Telecom
Source: Angel Research

Impact Positive Positive Positive Positive Negative Positive Negative Positive Positive Neutral Negative Neutral Positive Neutral Negative Neutral Negative

February 28, 2011

Please refer to important disclosures at the end of this report

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Union Budget 2011-12 Review

Sectoral Impact

February 28, 2011

Please refer to important disclosures at the end of this report

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Union Budget 2011-12 Review

Agriculture
Announcement
The government plans to cover urea under nutrient-based subsidy policy for the fertiliser sector. Investments in the fertiliser sector would be awarded infrastructure status. Investment-linked deduction for fertilisers plants has also been allowed. For FY2012, the farm credit target has been raised to `4,75,000cr from `3,75,000cr in FY2011. Interest subvention for short-term crop loans raised from 2% to 3%. Thus, the effective rate of interest for such farmers will now be 4%. Reduction in corporate tax surcharge would have minimum impact; however, application of MAT to SEZ's would impact profitability of the companies.

Positive

Impact
Companies like Tata Chemical, Chambal fertilisers, and RCF are likey to benefit. Positve for all companies in the fertilizer sector.

Positve for all companies with an exposure to Rural India.

Negative for Rallis as its new unit is coming up in Dahej.

The Union Budget 2011-12 turned out to be pro-farmers' budget. The finance minister (FM) has chalked out a strategy to counter food inflation, announced plans to boost farm production, promote balance usage of fertiliser, reduce overall subsidy burden, reduce food loss and promote the food processing sector. Last year's nutrient-based subsidy scheme was highly successful and the government now plans to bring urea under the same. Investments in the fertiliser sector would be awarded infrastructure status. Investment-linked deduction for fertilisers plants has also been allowed. The government's plan to set up 15 mega food park projects, in addition to the 15 already under construction, would lend further fillip to the sector. Overall, we expect farmers to have better access to finance in turn boosting demand for various agri-inputs like seeds, fertilisers and agrichemicals.

Top Picks
Company United Phosphorus Reco Buy CMP (`) 136 Target Price Price (`) 198 EPS (`) (` FY2011E 12.0 FY2012E 15.3 FY2011E 11.3 P/E (x) FY2012E 8.9 EV/EBITDA (x) EV/EBITDA FY2011E 6.8 FY2012E 5.5

Source: Company, Angel Research; Note: Price as on February 28, 2011

February 28, 2011

Please refer to important disclosures at the end of this report

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Union Budget 2011-12 Review

Automobile
Announcement
Status quo maintained on excise duty front (10% on small cars, two-wheelers and commercial vehicles (CV's) and 22% + `15,000 on large cars, multi-utility vehicles and sports utility vehicles). Excise duty on hybrid vehicles manufactured in India has been reduced to 5% from 10% earlier. Also, specified parts of such vehicles to be fully exempt from basic customs duty and special CVD. Further, excise duty on kits for conversion of fossil fuel vehicles into hybrid vehicles reduced to 5%. Setting up of a National Mission for hybrid and electric hybrid vehicles and several fiscal measures for promoting such vehicles. Allocation of `214,000cr provided for infrastructure development (which accounts for ~48.5% of the total plan allocation) including `58,000cr for rural infrastructure development under Bharat Nirman.

Positive

Impact
A positive move as there would be no immediate increase in the vehicle prices (excise hikes are normally passed on by the manufacturers), which would sustain the volume growth. Promote the manufacture, sale and usage of such vehicles in India.

Expected to encourage manufacturing and selling of alternative fuel-based vehicles in the country.

Broadly positive for long-term growth of the sector. Hike in allocation for infrastructure would be positive in the long-term for CV players like Tata Motors, Ashok Leyland, Eicher Motors and Force Motors. Increase in allocation under Rural Development program is positive for auto companies with rural presence like Mahindra and Mahindra (M&M) and Hero Honda.

Top Picks
Company Bajaj Auto Maruti M&M Tata Motors* Reco Buy Buy Buy Buy CMP (`) 1,268 1,207 614 1,082 Price Target Price (`) 1,491 1,515 794 1,384 (` EPS (`) FY2011E 88.0 76.6 43.2 130.3 FY2012E 99.4 101.0 47.5 138.6 P/E (x) FY2011E 14.4 15.7 14.2 8.3 FY2012E 12.8 11.9 12.9 7.8 EV/EBITDA EV/EBITDA (x) FY2011E 9.2 8.4 9.0 5.7 FY2012E 8.0 6.0 7.7 4.8

Source: Company, Angel Research; Note: * Consolidated results; Note: Price as on February 28, 2011

February 28, 2011

Please refer to important disclosures at the end of this report

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Union Budget 2011-12 Review

Banking
Announcement
Capital infusion of `6,000cr in PSU banks and `500cr in regional rural banks Increase in total limit available to FII for investment in corporate bonds to US $40bn; Reduction in withholding tax on interest income from infrastructure financing by foreign funds to 5% from 20% Tax-free infra bonds of `30,000cr to be issued by government undertakings Interest subvention proposed to be enhanced from 2% to 3% for providing short-term crop loans to farmers who repay their crop loan on time; Credit flow for farmers raised from `3,75,000cr to `4,75,000cr `3,000cr to be provided to NABARD to provide support to handloom weaver co-operative societies, which have become financially unviable due to non-repayment of debt by handloom weavers facing economic stress Legislations proposed in the financial sector concerning insurance laws, banking laws and State Bank of India Subsidiary Law, among others

Positive

Impact
Will enable PSUs and regional rural banks to grow at a healthy rate Higher foreign inflows likely to enhance liquidity in the system - Positive for the entire banking sector

Will aid in easing liquidity concerns Slightly negative considering the lower yields and higher NPAs generally associated with agri-based lending

Could assist in reducing NPAs on loans to handloom weaver co-operative societies

Positive for the entire financial sector, especially large financial institutions such as SBI, ICICI Bank and HDFC

There has been a clear thrust in the last few budgets to increase the availability of funds to the economy, especially to the infrastructure and priority sectors. Continuing this trend, in this budget as well, key announcements included increased FII investments in corporate bonds to US $40bn, reduction in withholding tax, higher tax-free bond limits and removal of medium-term capital constraints for PSU banks (`6,000cr capital infusion this year). Somewhat negative for banks, priority lending targets were increased to 27% to `4.8lakh-cr. Importantly, by not having any major populist measures, the Finance Minister has managed to bring down the targeted fiscal deficit to 4.6%, which is not likely to be exceeded by more than 20-40bp of GDP. Together with new bank licenses and increased foreign bank participation over the course of the next year, all this should help narrow the gap between savings and investments, keeping interest rates also in check, which is a positive for banks.

Banks with government holding less than 58%
Bank Oriental Bank of Commerce Dena Bank Andhra Bank Bank of Baroda Vijaya Bank Allahabad Bank Union Bank of India Corporation Bank Punjab National Bank
Source: Company, Angel Research

Banks with Tier-1 ratio less than 8%
Tier-1% Tier-1% Bank Central Bank of India Indian Overseas Bank UCO Bank
Source: Company, Angel Research

Government holding (%) 51.1 51.2 51.6 53.8 53.9 55.2 55.4 57.2 57.8

Government holding (%) 80.2 61.2 63.6

Tier-1% Tier-1% (3QFY2011) 6.1 7.3 7.5

(3QFY2011) 9.1 7.2 7.1 7.7 9.3 8.1 7.4 8.1 7.6

February 28, 2011

Please refer to important disclosures at the end of this report

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Union Budget 2011-12 Review

Banking
Top Picks
Company Axis Bank Dena Bank ICICI Bank Indian Bank IOB J&K Bank SBI Reco Buy Buy Buy Buy Buy Buy Buy CMP (`) 1,224 95 971 205 133 752 2,632 Price Target Price (`) 1,688 127 1312 274 166 987 3,490 (` EPS (`) FY2011E 82.2 21.6 45.3 41.3 17.4 126.6 165.3 FY2012E 101.0 21.0 60.7 42.2 23.6 138.2 240.9 FY2011E 14.9 4.4 21.4 5.0 7.6 5.9 15.9 P/E (x) FY2012E 12.1 4.5 16.0 4.9 5.6 5.4 10.9 P/ABV P/ABV (x) FY2011E 2.7 1.0 2.1 1.1 1.1 1.0 2.4 FY2012E 2.3 0.8 1.9 0.9 0.9 0.9 2.0

Source: Company, Angel Research; Note: Price as on February 28, 2011

February 28, 2011

Please refer to important disclosures at the end of this report

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Union Budget 2011-12 Review

Capital Goods
Announcement
Allocation of `2,14,000cr for infrastructure development in 2011-2012. Foreign institutional investment (FII) limit in corporate infrastructure bonds to be increased from US $20bn to US $40bn.

Positive

Impact
The government's relentless focus and continued allocation to infrastructure development in the country should be positive for the entire capital goods sector in general in the long run. With the increase in FII limit for investing in corporate infrastructure bonds, we expect liquidity pressure for infrastructure projects to ease going forward. Removes the disability that domestic suppliers of capital equipment faced vis-à-vis importers who enjoyed a concessional basic customs duty of 2.5% and full exemption from CVD. Positive for BHEL, Thermax and BGR Energy. As regards the specific demand by BTG manufacturers to increase import duty on foreign equipment, citing the lack of a level playing field for domestic manufacturers, the Finance Minister has ignored the same and kept the rates unchanged. Postive for Blue Star and Voltas

Exemption from the levy of excise duty on capital equipment supplied for the brownfield expansion of mega or ultra-mega power projects.

Full exemption from excise duty to air-conditioning equipment and refrigeration panels for cold chain infrastructure.

Top Picks
Company BGR Energy Crompton Greaves Jyoti Structures KEC International Reco Buy Buy Buy Buy CMP (`) 408 245 82 79 Price Target Price (`) 700 330 150 115 (` EPS (`) FY2011E 42.2 13.7 10.3 8.1 FY2012E 49.8 15.6 13.6 9.6 FY2011E 9.7 17.9 8.0 9.8 P/E (x) FY2012E 8.2 15.7 6.0 8.2 EV/EBITDA EV/EBITDA (x) FY2011E 6.3 11.1 3.9 6.8 FY2012E 5.6 9.5 2.9 5.4

Source: Company, Angel Research; Note: Price as on February 28, 2011

February 28, 2011

Please refer to important disclosures at the end of this report

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Union Budget 2011-12 Review

Cement
Announcement
Excise duty on cement with retail sale price exceeding `190/bag has been changed to 10% ad valorem + `160/ mt from 10% on retail sale price. Excise duty on sale price below `190/bag has been changed to 10% on ad valorem basis + `80/mt from `290/mt. Duty on clinker has been changed from `375/tonne to 10% ad valorem + `200/mt.

Negative

Impact
As per the earlier tax regime, the company paid excise duty on retail sale. Under the new tax regime, excise duty would be calculated on the retail selling price less the dealers' commission, VAT and excise duty. The change in duty structure on cement is likely to have an impact of ` 2-3 per bag for cement sold above `190, but the impact will be higher by ` 4.5/bag for cement price below `190 as per the new tax regime. We expect all players to hike the cement price on account of higher excise duty in the short term. Overall, on account of sluggish demand and oversupply, we expect margins of the cement players to get negatively impacted. Reduction in custom duty will be neutral for the sector as only few companies like JK Lakshmi Cements, Ultratech Cements have their plants based on petcoke. Reduction in duty on gypsum will have a marginal positive impact of ` 2-3 /mt of cement. Although the budget was silent in addressing the demands of the cement industry, increased allocation for infrastructure and housing incentives is expected to improve demand.

Basic customs duty on raw materials like petcoke and gypsum is reduced to 2.5% from 5%.

Allocation of `2,14,000cr for infrastructure in 2011-12, an increase of 23.3% over 2010-11. This amounts to 48.5% of the total plan allocation. To boost infrastructure development, tax free bonds of `30,000cr is proposed to be issued by the government undertakings during 2011-12.

Top Picks
Company Grasim Ind. India Cem. Madras Cem. JK Lakshmi Cem. Reco Accumulate Buy Buy Buy CMP (`) 2,277 86 92 44 Price Target Price (`) 2,521 136 139 80 (` EPS (`) FY2011E 211 1.4 7.7 3.7 FY2012E 251 3.1 6.4 3.9 FY2011E 10.8 60.6 11.9 12.1 P/E (x) FY2012E 9.1 27.7 14.4 11.4 EV/EBITDA EV/EBITDA (x) FY2011E 5.3 11.7 7.1 4.0 FY2012E 4.9 8.1 6.6 3.2

Source: Company, Angel Research; Note: Price as on February 28, 2011

February 28, 2011

Please refer to important disclosures at the end of this report

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Union Budget 2011-12 Review

FMCG
Announcement
Allocation for Bharat Nirman programme proposed to be increased by `10,000 cr from the current year to `58,000cr in 2011-12. Remuneration of Anganwadi workers under NREGA scheme increased from `1,500/month to `3,000/month and for Anganwadi helpers from `750/month to `1,500/ month. Approval given to set up 15 more mega food parks during 2011-12 and augmentation of storage capacity through private entrepreneurs and warehousing corporations being fast tracked. No change in central excise duty. MAT increased from 18% to 18.5%, subsequent surcharge decreased from 7.5% to 5%, resulting in overall MAT rate of 20% (earlier 19.3%). Waiver of customs duty on crude palm stearin (key component in the manufacture of soap), Waiver of customs duty on crude palm stearin waiver of excise duty on warehouse facility on agricultural produce and decrease in central excise duty to 10% (earlier 30%) for bamboo for aggarbati. No conducive roadmap for implementation of GST

Positive

Impact
Thrust on rural infrastructure development to help companies in driving rural growth. Positive for HUL, Dabur, GCPL and Nestle Spur income levels and rural spending

Help mitigate loss of food articles (currently 40% of food crop is lost) on account of poor storage. Positive for food processing industry No change in tax rates to lend fillip to industry, especially positive for ITC as excise on cigarettes remain untouched. Positive for soap manufacturing companies like HUL, GCPL and ITC. To boost small scale industry; marginally positive for ITC.

Likely to miss April 2012 deadline.

Top Picks
Company ITC Asian Paints Dabur GSK Consumer GCPL Reco Accumulate Accumulate Accumulate Accumulate Accumulate CMP (`) 169 2,406 100 2,092 360 Price Target Price (`) 186 2,633 114 2,268 400 FY2011E 6.7 78.5 3.3 87.4 12.9 (` EPS (`) FY2012E 7.7 101.3 4.4 103.1 18.2 P/E (x) FY2011E 25.4 30.7 29.9 23.9 27.8 FY2012E 22.0 23.8 22.6 20.3 19.8

Source: Company, Angel Research; Note: Price as on February 28, 2011

February 28, 2011

Please refer to important disclosures at the end of this report

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Union Budget 2011-12 Review

Hotel
Announcement
Imposition of service tax on room tariff in excess of `1,000/day, with an abatement of 50%, implying an effective burden of 5%. Imposition of service tax on air-conditioned restaurants that are licensed to serve liquor, with an abatement of 70%, implying an effective burden of 3%.

Negative

Impact
The proposed change is likely to be mildly negative, as it increases the cost for a consumer by 4.0-4.5%.

The proposed change is not likely to have any significant impact on operations, as the additional burden is only 3.0%, which can be easily passed on to customers, owing to the price-insensitive nature of the service.

Currently, hotels are subject to luxury tax, which is a state government imposed tax. We believe that the imposition of additional service tax is mildly negative for the hotel industry, as it increases the effective cost for the customer by 4.0-4.5%, depending on a hotel's average room rate (ARR). Even though tax would be passed on to the consumer, it is expected to be slightly detrimental to demand, wherein travelers on the fringes of a price band may move a notch lower in their choice of hotels. The imposition of this tax is akin to a ~4.0% increase in ARR. The service tax on restaurants relates to the F&B revenue stream of hotels. However, we believe this can be easily passed on to customers without any major impact, as this revenue is more price insensitive compared to hotel accommodation. The other expectations of the industry, such as grant of infrastructure status and an increase in depreciation rate on hotel buildings to 20%, were not granted in the Budget.

Top Picks
Company TAJGVK Reco Buy CMP (`) 99 Price Target Price (`) 177 (` EPS (`) FY2011E 7.2 FY2012E 9.8 FY2011E 13.8 P/E (x) FY2012E 10.0 EV/EBITDA EV/EBITDA (x) FY2011E 7.8 FY2012E 5.7

Source: Company, Angel Research; Note: Price as on February 28, 2011

February 28, 2011

Please refer to important disclosures at the end of this report

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Union Budget 2011-12 Review

Infrastructure
Announcement
The FII limit for investment in infra corporate bonds has been raised by US $20bn to US $25bn. The FII's will also be permitted to trade in unlisted bonds with a lock-in period of three years. Issuance of tax-free bonds worth `30,000cr by various government undertakings. Increase in MAT rate from 18% to 18.5% and reduction in surcharge from 7.5% to 5%. Special vehicles by way of notified infrastructure debt funds to attract foreign funds for infrastructure financing. Extension by one year of additional deduction of `20,000 for investment in long-term infrastructure bonds. Extension by one year of sunset clause under section 80IA. Few construction equipment have been exempted from customs duty.

Positive

Impact
To enhance the flow of funds to the infrastructure sector and help develop the market for corporate bonds.

Will lend a boost to infrastructure development in railway, ports, housing and highways by facilitating fund raising for organisations like NHAI. The benefit by reduction in surcharge would be nullified by increase in the MAT rate. Will create more avenues for long-term fund requirement for the infra sector. Additional deduction of `35,000 for investments in long term infrastructure bonds was expected. Hence, marginally negative. Positive for power companies having projects to be completed in next twelve months. Positive for all construction companies.

The Union Budget 2011-12 continued to lay stress on infrastructure development, as the allocation for the sector has been increased by 23.3% yoy to `2,14,000cr, that is 48.5% of the planned expenditure. IIFCL, a government established infra finance company, authorised to refinance bank lending to infrastructure projects, is expected to achieve cumulative disbursement target of `25,000cr by FY2012.

Top Picks
Company L&T IVRCL NCC ITNL Reco Buy Buy Buy Buy CMP (`) 1,528 68 101 208 Price Target Price (`) 1,964 126 164 285 (` EPS (`) FY2011E 53.9 7.2 7.7 20.4 FY2012E 67.8 8.4 9.0 22.6 FY2011E 28.4 9.6 13.0 10.2 P/E (x) FY2012E 22.5 8.3 11.2 9.2 EV/EBITDA EV/EBITDA (x) FY2011E 19.2 6.9 9.8 9.1 FY2012E 15.4 6.2 8.5 12.6

Source: Company, Angel Research; Note: Price as on February 28, 2011

February 28, 2011

Please refer to important disclosures at the end of this report

15

Union Budget 2011-12 Review

Media
Announcement
Concessional basic customs duty of 5% and CVD of 5% available to newspaper establishments for high-speed printing presses extended to mailroom equipment. Jumbo rolls of cinematographic film fully exempted from CVD by providing full exemption from excise duty. Increase in personal tax exemption limit to `1.8lakh.

Positive

Impact
Benefits print companies under high capex mode. Positive for DB Corp (likely to enter Maharashtra with a Marathi daily). Positive for film producing companies like UTV, Eros International and PVR (PVR Pictures). To spur income levels and consumer spending.

Top Picks
Company Jagran Prakashan DB Corp HT Media Reco Buy Buy Buy CMP (`) 112 236 132 Target Price Price (`) 185 358 175 FY2011E 6.8 13.0 7.5 EPS (`) (` FY2012E 7.7 14.7 8.6 P/E (x) FY2011E 16.4 18.2 17.6 FY2012E 14.6 16.1 15.4

Source: Company, Angel Research; *Note: Target price based on FY2013E EPS; Note: Price as on February 28, 2011

February 28, 2011

Please refer to important disclosures at the end of this report

16

Union Budget 2011-12 Review

Metals
Announcement
To increase ad valorem duty on export of iron ore lumps and fines to 20%

Neutral

Impact
Imposition of 20% ad valorem export duty on iron ore lumps and fines is negative for Sesa Goa and slightly negative for NMDC. Exemption from export duty on iron ore pellets is marginally positive for NMDC. The government's continued focus on infrastructure spending in the Budget would be positive for the overall metal sector, as it would help boost demand for metals in the country.

To exempt export duty on iron ore pellets

To increase allocation for infrastructure spending

Overall, the Union Budget 2010-11 is Neutral for the metals sector and negative for mining companies (exporting iron ore). Export duty on iron ore has been raised to ad valorem 20% on lumps as well as fines. Currently, lumps are taxed at 15% and fines are taxed at 5% on an ad valorem basis. Nevertheless, no announcement on imposition of mining tax (26% at PBT) is positive for mining companies as well as steel companies with captive mines. Also, the Budget proposes to exempt export duty on iron ore pellets, which currently stands at 15%. The present custom duty of 5% on steel, copper and aluminium and excise duty of 10% on production of metals has been kept unchanged. Lower target price for Sesa Goa: Considering the budget proposal of increased ad valorem export duty to 20% on iron ore lumps as well as fines, we raise our export duty expenses for Sesa Goa to `1,903cr, compared to our previous forecast of `485cr for FY2012. Thus, we lower our FY2012 EBITDA estimates by 26.1% to `4,008cr. Consequently, our target price stands reduced to `298 (`356), while we maintain our Accumulate rating.

Top Picks
Company Sterlite Industries Hindustan Zinc Tata Steel SAIL JSW Steel Electrosteel Cast. Reco Buy Accumulate Buy Buy Buy Buy CMP (`) 164 1265 606 153 869 31 Price Target Price (`) 206 1,356 747 182 1,047 45 (` EPS (`) FY2011E 13.5 103.4 66.0 12.2 56.9 4.3 FY2012E 17.5 125.3 69.1 15.9 77.1 4.1 FY2011E 12.1 12.2 9.2 12.5 15.3 7.1 P/E (x) FY2012E 9.3 10.1 8.8 9.6 11.3 7.5 EV/EBITDA EV/EBITDA (x) FY2011E 6.5 7.5 6.1 8.2 7.3 6.1 FY2012E 4.8 5.4 5.5 6.4 5.7 6.8

Source: Company, Angel Research; Note: Price as on February 28, 2011

February 28, 2011

Please refer to important disclosures at the end of this report

17

Union Budget 2011-12 Review

Oil & Gas
Announcement
Tax holiday under Sec 80IB for upstream companies shall not apply to blocks licensed under a contract awarded after March 31, 2011. `23,640cr of petroleum subsidies has been provided for FY2012.

Negative

Impact
This could lead to dip in IRR on any commercial hydrocarbon discovery resulting from NELP IX and onwards. Upstream companies like ONGC, OIL, RIL and Cairn could be affected by this announcement. Would be insufficient if crude oil stays at current levels (above US $110/bbl) or retail prices are not revised upwards. Under recoveries are expected to amount to ~`75,000cr in FY2011 and higher in FY2012. Negative for OMCs like HPCL, BPCL and IOC. Paves way for further cash compensation of `12,00015,000cr. Yet, the OMCs are far from fully compensated in FY2011, with expected under recoveries of ~`75,000cr. Negative for OMCs as they continue to bear higher under recoveries on petro products.

Revision in provision towards petroleum subsidy sharing to `38, 386cr for the ongoing fiscal (`3,108cr originally provided for FY2011). No roll back of custom duty on crude oil and Re 1/ltr increase in excise duty of petro products,announced in the last budget. Levy of MAT on the SEZ's.

Might impact earnings of SEZ refinery and polymer cracker of RIL. The effective tax rate would be at same levels. Neutral for RIL and Cairn.

MAT rate has been increased from 18% to 18.5% and surcharge has been reduced from 7.5% to 5%.

Top Picks
Company GAIL IGL ONGC RIL Reco Buy Buy Buy Buy CMP (`) 428 290 271 965 Price Target Price (`) 530 345 350 1,160 (` EPS (`) FY2011E 29.0 18.5 30.6 66.6 FY2012E 33.4 21.1 32.2 74.9 FY2011E 14.7 15.7 8.8 14.5 P/E (x) FY2012E 12.8 13.7 8.4 12.9 EV/EBITDA EV/EBITDA (x) FY2011E 9.1 8.1 3.8 9.4 FY2012E 7.3 7.2 3.6 8.2

Source: Company, Angel Research; Note: Price as on February 28, 2011

February 28, 2011

Please refer to important disclosures at the end of this report

18

Union Budget 2011-12 Review

Pharmaceutical
Announcement
Allocation to the Ministry of Health & Family Welfare has been increased from `22,300cr in 2010-11 to `26,760cr for 2011-12. Surcharge on domestic companies has been reduced from 7.5% to 5%.

Neutral

Impact
Positive for the pharma and healthcare sectors in general.

Positive for the sector, especially for companies paying normal tax. Ranbaxy and Dr. Reddy's will be the beneficiaries. There would not be any impact of increased MAT rate, as with the reduction in the surcharge rate, the effective level of taxation for MAT companies would remain the same. Negative for companies that were to benefit from SEZ. From our coverage, Cipla would be impacted due to its SEZ facility in Indore. For Aurobindo Pharma and Dishman, higher tax rates have already been factored in. Though FY2012 numbers would not be impacted, it is a disappointment for the overall sector.

MAT increased from the current rate of 18% to 18.5% of book profits.

MAT has been levied on SEZ developers.

Weighted deduction on R&D remained unchanged with no extension on the tenure for deduction, which is currently available till FY2012. There were no indications on the extension of the EOU benefit, which is available only till FY2011.

This would be negative for the sector, especially companies that have not been or have been slow in expansion through SEZ. In our coverage, Cadila would not be impacted even though one of its facilities at Patalganga has 100% EOU status. This is on account of the commisioning of its new facility and lower profitability at Patalganga, which will lead the profits from the JV to remain under MAT. Neutral for the pharma sector as the companies would pass it on to customers.

Central Excise Duty has been increased from 4% to 5%.

Top Picks
Company Alembic Aurobindo Pharma Cipla Indoco Remedies Lupin Reco Buy Buy Buy Buy Buy CMP (`) 66 170 300 393 382 Target Price Price (`) 92 210 377 541 466 EPS (`) (` FY2011E 7.4 18.3 13.0 40.4 18.6 FY2012E 9.5 20.9 17.1 54.1 23.3 FY2011E 8.8 9.3 23.0 9.7 20.5 P/E (x) FY2012E 6.9 8.1 17.5 7.3 16.4 EV/EBITDA (x) EV/EBITDA FY2011E 6.7 10.4 19.8 7.9 16.7 FY2012E 5.2 8.0 15.2 5.7 13.9

Source: Company, Angel Research; Note: Price as on February 28, 2011

February 28, 2011

Please refer to important disclosures at the end of this report

19

Union Budget 2011-12 Review

Power
Announcement
Extension of tax exemption under 80-IA for power generation companies till FY2012.

Positive

Impact
As per Section 80-IA exemptions, power plants are eligible for a tax holiday of 10 years from the year of commissioning of the plants. The exemption under 80-IA has now been extended by a year till FY2012. However, the companies have to pay tax under the MAT provisions, which has been increased to 18.5% of book profit (18% for FY2010-11). The extension of the 80-IA benefits would have a marginally positive impact on private sector power generation companies. Some of the companies, which would majorly benefit include Adani Power and Tata Power. Currently, capital goods imported for the expansion of existing mega or ultra mega power projects enjoy a concessional basic customs duty of 2.5% and full exemption from counter veiling duty (CVD). However, the domestic power equipment manufacturers are required to pay excise duty on supplies to such projects. The budget has tried to correct this anamoly and exempted the supplies by domestic manufacturers to such projects from excise duty. This move is positive for Tata Power and Reliance Power, as it would reduce the capital cost.

Parallel excise duty exemption for the domestic suppliers manufacturing capital goods needed for expansion of existing mega or ultra mega power projects.

Top Picks
Company NTPC CESC GIPCL PTC Reco Buy Buy Buy Buy CMP (`) 170 299 90 81 Price Target Price (`) 230 468 135 136 (` EPS (`) FY2011E 10.4 40.5 6.8 4.9 FY2012E 11.4 44.4 10.2 6.4 FY2011E 16.4 7.4 13.2 16.7 P/E (x) FY2012E 14.9 6.8 8.8 12.7 EV/EBITDA EV/EBITDA (x) FY2011E 11.6 6.6 8.4 11.3 FY2012E 10.8 7.3 6.2 10.5

Source: Company, Angel Research; Note: Price as on February 28, 2011

February 28, 2011

Please refer to important disclosures at the end of this report

20

Union Budget 2011-12 Review

Real Estate
Announcement
MAT will be applicable for SEZ's.

Neutral

Impact
Under the existing provisions, there is deduction of profit in the first ten consecutive assessment years out of the fifteen years from the year the SEZ is notified. With the application of MAT (18.5%), tax outflow will increase for developers like DLF and Mahindra Lifespace. DLF has ~7mn sq ft of SEZ space, which will increase its tax outflow in turn impacting our FY2012 earnings estimate for the company by 3-4%.

Extension of 1% interest subvention on housing loans where the loan amount has been increased from `10lakh to `15lakh where the cost of the house does not exceed `25lakh (`20lakh). Priority sector advance has been increased from `20lakh to `25lakh where the loan-to-value ratio is 90%.

This will benefit developers like HDIL, Parsvnath,Sobha having projects in tier II and III cities.

This will benefit developers having projects in tier II and III cities.

The Budget announced measures more in favour of boosting mid-income housing projects in Tier II and III cities by extending interest subvention and increasing priority advances. The introduction of MAT status for SEZ’s nullifies non-extension of STPI.

Top Picks
Company HDIL Anant Raj Reco Buy Buy CMP (`) 158 76 Price Target Price (`) 243 145 (` EPS (`) FY2011E 30.9 6.7 FY2012E 32.4 8.5 FY2011E 5.1 11.4 P/E (x) FY2012E 4.9 9.0 EV/EBITDA EV/EBITDA (x) FY2011E 6.0 7.9 FY2012E 5.1 6.5

Source: Company, Angel Research; Note: Price as on February 28, 2011

February 28, 2011

Please refer to important disclosures at the end of this report

21

Union Budget 2011-12 Review

Retail
Announcement
The levy of 1% central excise duty on branded jewellery. Conversion of optional excise to mandatory (at the rate of 10% for all garments from earlier 4% for cotton and 10% of others).

Negative

Impact
Likely to make Titan products costlier to that extent. We expect Shoppers Stop and Pantaloon Retail’s apparel MRPs to increase by 6% in turn impacting sales volumes.

Union Budget 2011-12 had no significant new initiatives specially aimed at the sector. However, we believe that the Budget will have a positive impact on the sector due to the various other policy measures announced. Increase in the tax exemption limits will lead to a higher disposable income at the hands of the consumers thereby leading to higher consumption of goods and services.

Top Picks
Company Pantaloon Retail Reco Buy CMP (`) 261 Price Target Price (`) 332 (` EPS (`) FY2011E 8.5 FY2012E 13.6 FY2011E 30.8 P/E (x) FY2012E 19.2 EV/EBITDA EV/EBITDA (x) FY2011E 8.2 FY2012E 7.1

Source: Company, Angel Research; Note: Price as on February 28, 2011

February 28, 2011

Please refer to important disclosures at the end of this report

22

Union Budget 2011-12 Review

Software
Announcement
Plan allocation for school education increased by 24% to `52,057cr in FY2011-12. Under Sarva Shiksha Abhiyan, `21,000cr has been allocated, which is 40% higher than that allocated in FY2010-11 budget. Various IT initiatives have been taken for efficient tax administration. A new scheme with an outlay of `300cr will be launched to provide assistance to states to modernise their stamp and registration administration and roll out e-stamping in all districts in the next three years. MAT rate has been increased from 18% to 18.5% of book profits; however, surcharge rate has been decreased from 7.5% to 5%. SEZs will be charged MAT rate of tax.

Neutral

Impact
Higher allocation to the education sector would boost business opportunities for IT-Education companies, such as Educomp, Everonn and NIIT Ltd., in terms of ICT and PPP in K-12 and vocational segments. Creation of strong opportunities for Indian software companies in the e-Governance space in the domestic market going forward.

The decrease in surcharge rate would set off the impact of MAT rate increment, keeping the effective MAT rate similar to that in FY2011. Will negatively impact IT companies, as currently most IT companies are availing 100% tax exemption in SEZs.

Note: The Budget did not mention the extension of fiscal benefits under the STPI Scheme for export of software services, which is due to expire in FY2011, as already factored in our estimates.

Top Picks
Company Infosys TCS HCL Tech NIIT Ltd Reco Buy Buy Buy Buy CMP (`) 3003 1113 442 49 Price Target Price (`) 3605 1287 590 70 (` EPS (`) FY2011E 121.0 44.3 24.9 4.9 FY2012E 145.9 51.5 34.7 6.5 FY2011E 24.8 25.1 17.8 10.0 P/E (x) FY2012E 20.6 21.6 12.8 7.6 EV/EBITDA EV/EBITDA (x) FY2011E 17.0 18.8 10.7 5.6 FY2012E 13.5 15.2 7.6 4.4

Source: Company, Angel Research; Note: Price as on February 28, 2011

February 28, 2011

Please refer to important disclosures at the end of this report

23

Union Budget 2011-12 Review

Telecom
Announcement
The Budget indicated that the government expects to raise `29,648cr through recurring license fees and other usage charges from the telecom sector. This could be an indication that the government will accept TRAI's proposals regarding >6.2MHz spectrum buyout, according to which every MHz of additional spectrum (on an all-India basis) beyond the contracted limit of 6.2MHz would cost a massive `4,571.87cr. MAT rate increased from 18% to 18.5% of book profits, but surcharge rate decreased from 7.5% to 5%.

Negative

Impact
This will put a huge financial burden, especially on large players who are already in a dire need of funding ahead of the 3G and BWA auctions in FY2012.

The decrease in surcharge would partly set off the impact of MAT rate increment.

Top Picks
Company Bharti Airtel Reco Accumulate CMP (`) 331 Price Target Price (`) 360 (` EPS (`) FY2011E 16.4 FY2012E 22.5 FY2011E 20.2 P/E (x) FY2012E 14.7 EV/EBITDA EV/EBITDA (x) FY2011E 8.8 FY2012E 6.7

Source: Company, Angel Research; Note: Price as on February 28, 2011

February 28, 2011

Please refer to important disclosures at the end of this report

24

Union Budget 2011-12 Review

Disclaimer
This document is solely for the personal information of the recipient, and must not be singularly used as the basis of any investment decision. Nothing in this document should be construed as investment or financial advice. Each recipient of this document should make such investigations as they deem necessary to arrive at an independent evaluation of an investment in the securities of the companies referred to in this document (including the merits and risks involved), and should consult their own advisors to determine the merits and risks of such an investment. Angel Broking Limited, its affiliates, directors, its proprietary trading and investment businesses may, from time to time, make investment decisions that are inconsistent with or contradictory to the recommendations expressed herein. The views contained in this document are those of the analyst, and the company may or may not subscribe to all the views expressed within. Reports based on technical and derivative analysis center on studying charts of a stock's price movement, outstanding positions and trading volume, as opposed to focusing on a company's fundamentals and, as such, may not match with a report on a company's fundamentals. The information in this document has been printed on the basis of publicly available information, internal data and other reliable sources believed to be true, but we do not represent that it is accurate or complete and it should not be relied on as such, as this document is for general guidance only. Angel Broking Limited or any of its affiliates/ group companies shall not be in any way responsible for any loss or damage that may arise to any person from any inadvertent error in the information contained in this report. Angel Broking Limited has not independently verified all the information contained within this document. Accordingly, we cannot testify, nor make any representation or warranty, express or implied, to the accuracy, contents or data contained within this document. While Angel Broking Limited endeavours to update on a reasonable basis the information discussed in this material, there may be regulatory, compliance, or other reasons that prevent us from doing so. This document is being supplied to you solely for your information, and its contents, information or data may not be reproduced, redistributed or passed on, directly or indirectly. Angel Broking Limited and its affiliates may seek to provide or have engaged in providing corporate finance, investment banking or other advisory services in a merger or specific transaction to the companies referred to in this report, as on the date of this report or in the past. Neither Angel Broking Limited, nor its directors, employees or affiliates shall be liable for any loss or damage that may arise from or in connection with the use of this information. Note: Please refer to the important ‘Stock Holding Disclosure' report on the Angel website (Research Section). Also, please refer to the latest update on respective stocks for the disclosure status in respect of those stocks. Angel Broking Limited and its affiliates may have investment positions in the stocks recommended in this report.

Ratings (Returns) : February 28, 2011

Buy (> 15%) Reduce (-5% to -15%)

Accumulate (5% to 15%) Sell (< -15%)

Neutral (-5 to 5%)

Please refer to important disclosures at the end of this report

25

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Research Team Fundamental: Sarabjit Kour Nangra Vaibhav Agrawal Shailesh Kanani Rupesh Sankhe Param Desai Sageraj Bariya John Perinchery Srishti Anand Nair Bhavesh Chauhan Jai Sharda Sharan Lillaney Naitik Mody Chitrangda Kapur Amit Vora V Srinivasan Mihir Salot Pooja Jain Yaresh Kothari Shrinivas Bhutda Sreekanth P .V.S Hemang Thaker Nitin Arora Ankita Somani Varun Varma Vasant Lohiya Poonam Sanghvi Technicals: Shardul Kulkarni Mileen Vasudeo Derivatives: Siddarth Bhamre Jaya Agarwal Institutional Sales Team: Mayuresh Joshi Abhimanyu Sofat Pranav Modi Ganesh Iyer Jay Harsora Meenakshi Chavan Gaurang Tisani Production Team: Bharathi Shetty Simran Kaur Bharat Patil Dilip Patel Research Editor Research Editor Production Production bharathi.shetty@angelbroking.com simran.kaur@angelbroking.com bharat.patil@angelbroking.com dilipm.patel@angelbroking.com VP - Institutional Sales AVP - Institutional Sales Sr. Manager Sr. Manager Manager Dealer Dealer mayuresh.joshi@angelbroking.com abhimanyu.sofat@angelbroking.com pranavs.modi@angelbroking.com ganeshb.Iyer@angelbroking.com jayr.harsora@angelbroking.com meenakshis.chavan@angelbroking.com gaurangp.tisani@angelbroking.com Head - Derivatives Derivative Analyst siddarth.bhamre@angelbroking.com jaya.agarwal@angelbroking.com Sr. Technical Analyst Technical Analyst shardul.kulkarni@angelbroking.com vasudeo.kamalakant@angelbroking.com VP-Research, Pharmaceutical VP-Research, Banking Infrastructure, Real Estate Cement, Power Real Estate, Logistics, Shipping Fertiliser, Mid-cap Capital Goods IT Oil & Gas Metals & Mining Mid-cap Mid-cap Telecom FMCG, Media Research Associate (Oil & Gas) Research Associate (Cement, Power) Research Associate (Logistics, Shipping) Research Associate (Metals & Mining) Research Associate (Automobile) Research Associate (Banking) Research Associate (FMCG, Media) Research Associate (Capital Goods) Research Associate (Infra, Real Estate) Research Associate (IT) Research Associate (Banking) Research Associate (Banking) Research Associate (Pharma) sarabjit@angelbroking.com vaibhav.agrawal@angelbroking.com shailesh.kanani@angelbroking.com rupeshd.sankhe@angelbroking.com paramv.desai@aangelbroking.com sageraj.bariya@angelbroking.com john.perinchery@angelbroking.com srishti.anand@angelbroking.com V i n a y vinay.nair@angelbroking.com bhaveshu.chauhan@angelbroking.com jai.sharda@angelbroking.com sharanb.lillaney@angelbroking.com naitiky.mody@angelbroking.com chitrangdar.kapur@angelbroking.com amit.vora@angelbroking.com v.srinivasan@angelbroking.com mihirr.salot@angelbroking.com pooja.j@angelbroking.com yareshb.kothari@angelbroking.com shrinivas.bhutda@angelbroking.com sreekanth.s@angelbroking.com hemang.thaker@angelbroking.com nitin.arora@angelbroking.com ankita.somani@angelbroking.com varun.varma@angelbroking.com vasant.lohiya@angelbroking.com poonam.sanghvi@angelbroking.com

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