11

Exide IndustriesA Compelling Value And Growth Story

August 2010

22

Introduction

33

Exide Industries - An Introduction

Brief Synopsis One of India’s leading producers of lead-acid storage batteries for both

automotive and industrial applications

─ 16.2 MM Auto batteries produced in FY10

─ 1,565 MM AH Industrial batteries produced in FY10 Global relationship with marquee clients including

Indian automakers like Tata Motors, Mahindra, Maruti and Hero Honda International automakers in India like Hyundai, Toyota and General Motors Lucent, Motorola and ABB in the Industrial space

Joint ventures for technology development

─ Shin-Kobe Electric Machinery Co. Ltd. (part of Hitachi Group, Japan)

─ Furukawa Battery Co. Ltd., Japan Automotive Batteries

─ Changxing Noble Power Sourcing Co. Ltd., China

─ Thunder Sky Battery Ltd., Shenzhen

Segment-wise Distribution of Company Sales

Auto62.4%

Submarine1.0%

Industrial36.6%

Twelve month period ended March 31, 2010

Awards / Certificates and Recognitions

Shamnagar Plant: Awards: 1st Position for Sustaining a High level of Productivity Award Contest – by CII – 2006-07 and Most Significant Improvement in TQM Quality Award Contest – by CII – 2006-07

Haldia Plant:Awards: ITC Trophy for Safety, Health & Environment – by CII – 2007 and TPM Excellence Award – by Japan Institute of Plant Maintenance – 2008

Hosur Plant:Awards: Asia Manufacturing Excellence Award in Auto Ancillary category from Frost & Sullivan – 2006 & 2009 Zero PPM Trophy – by Toyota – 2008

Taloja Plant:Awards: Gold Quality Award by Bajaj Auto – 2007

Chinchwad Plant: Awards: Best Quality Supplier & Long Associating vendor – by Tata Motors - 2008

Bawal Plant: Awards: Grand Prize for Exceptional Development Activities” by Honda Motors (HMSI) for 2009-10

Exide secured the Best SMF Battery Award for five consecutive years 2005, 2006, 2007, 2008 and 2009

Exide chosen as the “Top 200 brands” in POWERBRANDS 2010, research conducted by ICMR

44

24,967

37,57643,440

48,244

15,698 18,537

0

15,000

30,000

45,000

60,000

2004-05 2005-06 2006-07 2007-08 2008-09 2009-10

Exide Industries – An Introduction (cont’d)

Shareholding Pattern, as on June 30, 2010 (1)

Consolidated Revenues(INR MM)

CAGR (2005-10): 25.2%

Consolidated EBITDA (2)

1,8623,247

4,9495,830

9,854

2,347

0

3,000

6,000

9,000

12,000

2004-05 2005-06 2006-07 2007-08 2008-09 2009-10

(INR MM)

CAGR (2005-09): 33.0%

Summary Market Statistics As of August 6, 2010 INR MM US$ MM

Share Price (INR) 142

Market Capitalization 120,573 2,612

Note1. As per Bombay Stock Exchange2. Calculated by adding “Interest and Finance Costs”,“Depreciation /Amortisation” and Exceptional items to “Profit Before Tax

MFs and other Financial Institutions17.9%

Individuals and others12.0%

Foreign Instituional Investors14.0%

Bodies corporate10.1%

Promoter Holding46.0%

Chloride International Limited

(Wholly owned)

Caldyne Automatics Limited

(Wholly owned)

Chloride Metals Limited

(Wholly owned)

Leadage Alloys India Limited

(Wholly owned)

Associated Battery Manufacturers (Ceylon) Limited, Sri Lanka

(61.5% Holding)

Chloride Batteries S.E. Asia Pte, Singapore

(Wholly owned)

Espex Batteries Limited, UK

(51% Holding)

ING Vysya Life Insurance Company Limited

(50% Holding)

Exide Industries Limited

Indian Subsidiaries Foreign Subsidiaries Associate Company

Corporate Structure

55

Growth through Organic, JVs and Strategic Acquisitions

Chloride Electrical Storage Co. (CESCO), UK set up Trading Operations in India as an Import House

2008

2007

2005

2004

2003

2000

1998

1997

1995

1994

1981

1976

1969

1946

1920First factory – Shamnagar, West Bengal

Second factory – Chinchwad, Pune

R&D Centre established in Kolkata

Technical collaboration with Shin Kobe Electric Machinery Co. Ltd., Japan, a subsidiary of the Hitachi Group

Third factory – Haldia, West Bengal

Chloride Industries renamed as Exide Industries Ltd.

Fourth factory – Hosur, Tamil Nadu

Takeover of the industrial undertakings of Standard Batteries Ltd. as a going concern

100% Acquisition in CBSEA, Singapore49% Acquisition in ABM (Ceylon), Sri Lanka

Commissioning of Plant at Bawal, HaryanaNew JV Company in UK – ESPEX formed with51% EIL holding

Increased ABM Ceylon Holding to 61%

50% Acquisition in Ing Vysya Life Insurance

Increased shareholding to 100% in Caldyne Automotives Ltd100% Acquisition of Chloride Metals Ltd

51% Acquisition of Leadage Alloys India Limited. Export plant set up in Haldia

Increased shareholding to 100% in Leadage Alloys India Limited.Ahmednagar facility for MC batteries to commence production shortly

2010

66

Exide Industries: Strong Value and Growth History

4

5

1

2

3

6

Strong pan-India Sales & Service Network• 9 Regions• 40 Branches• 202 Area offices

Robust Business Fundamentals• Market leadership position• Strong relationships• Diversified business model• Established brand

Attractive Industry Fundamentals• Strong growth expectations

– Automotive– Industrial

Advantages from Backward Integration• Captive lead smelting &

refining facilities• Committed supplies and

pricing advantage

Strong Manufacturing & Technological Capabilities• Advantages of Scale• Technological Collaborations• Strong R&D team

Experienced Management Team with Proven Execution Capabilities• Strong execution track record• Delivered results over time

77

Industry Structure1

OEM AftermarketPower

Back-UpInfrastructure Traction

Lead Storage Battery Industry

Automotive Batteries Industrial Batteries

Others Exports Others

Railways Telecom Power

Submarine Batteries

88

Automotive Industry Fundamentals

Attractive Macro Fundamentals1

0

3

6

9

12

2004-05 2005-06 2006-07 2007-08 2008-09 2009-10

Two-Wheeler SalesVolume

MM

Source: SIAM

0.0

0.5

1.0

1.5

2.0

2.5

2004-05 2005-06 2006-07 2007-08 2008-09 2009-10

Passenger Vehicles SalesVolume

MM

Source: SIAM

0

100

200

300

400

500

600

2004-05 2005-06 2006-07 2007-08 2008-09 2009-10

Commercial Vehicles SalesVolume

‘000s

Industry is characterized by strong growth momentum in Automotive as well as Industrial Segments

Source: SIAM

2005 – 2010 CAGR: 9.8% 2005 – 2010 CAGR: 14.3% 2005 – 2010 CAGR: 10.6%

Industrial Fundamentals

Persistent Power Shortages Help UPS/Inverter SegmentGW

%

Tele-Density Expected to Rise

%

0.0

50.0

100.0

150.0

2004 2005 2006 2007 2008 2008(Dec)

2012

Rural Urban Total

020406080

100120

FY

98

FY

99

FY

00

FY

01

FY

02

FY

03

FY

04

FY

05

FY

06

FY

07

FY

08

FY

09

0369121518

Peak Demand Peak MetPeak Shortage

Source: CEA Source: DoT, FICCI

99

Robust Business Fundamentals2

Exide has well entrenched relationships with industry leaders in each of the product sectors

• Industrial segment includes sales to power back-up equipments (UPS & inverters), traction equipments (fork lifts, golf carts, electric vehicles), infrastructure sector (railway, telecom, power generation & utilities) and exports (traction & standby)

• Exide markets its industrial batteries in the domestic market under Exide, Index, SF, CEIL & Power Safe brands

• Internationally, CEIL, Chloride and Index are the primary brands

• Automotive segment mainly includes sale to major vehicle manufacturers and aftermarket sales

• Exide primarily sells its automotive batteries in the domestic market under the brand names Exide, SF, Sonic and Standard Furukawa

• Dynex, Index and Sonic brands are the ones on which the company concentrates on for the export market

MNC Customers Domestic Customers MNC Customers Domestic Customers

Differentiating Factors

• One of the largest storage battery manufacturer in India

• Strong relationships with customers and partners

• Strong sales and distribution network and quality customer service

• State of the art manufacturing facilities at diversified locations

OEM27%

Others2%

Aftermarket71%

Automotive Segment(1) Industrial Segment(1)

Pow er Back-Up66%

Traction3%

Exports6%

Others6%

Infrastructure19%

Note1. Value terms

1010

Best in Class Manufacturing & Technological Capabilities3

ProductionAutomotive Batteries(Millions of Batteries)

Industrial Batteries(Millions of Ah)

Fiscal Year ended March 31, 2010 Fiscal year ended March 31, 2009 Fiscal Year ended March 31, 2010 Fiscal year ended March 31, 2009

16.2 14.9 1,565 1,316

Plants Across India

Bawal

Shamnagar

Hosur

Haldia

Chinchwad

Taloja

Large plants provide economies of scale and state-of-the-art equipment enables production of high quality products

Shamnagar Plant

Certifications: ISO – 9001, ISO – 14001 and TS 16949 by TUV Nord

Capacity: Auto – 1,000, Indl – 265

Haldia Plant

Certifications: ISO – 9001, ISO – 14001 and TS – 16949 by TUV Nord

Capacity: Auto – 1,200, Indl – 552

Chinchwad Plant

Certifications: ISO – 14001 and TS 16949 by TUV Nord

Capacity: Auto – 1,800, MC – 3,300

Bawal Plant

Certifications: TS – 16949 by TUV Nord

Capacity: MC – 6,100

Hosur Plant

Certifications: ISO – 9001, ISO – 14001, TS – 16949 and OHSAS – 18001 by TUV Nord

Capacity: Auto – 1,600, Indl – 780

Taloja Plant

Certifications: ISO – 14001, TS – 16949 and ISO – 9001 (for submarine) by TUV Nord

Capacity: Auto – 1,700Ahmednagar

Ahmednagar facility for MC to commence shortly

1111

Best in Class Manufacturing & Technological Capabilities (Cont’d)

3

Technical Collaborations

• Shin Kobe Electric Machinery Co., Limited, Japan (Part of Hitachi Group, Japan) for its Automotive and VRLA (Valve Regulated Lead Acid) batteries (except for Taloja Plant)

• Furukawa Battery Company Limited, Japan for its Automotive batteries at Taloja Plant

• Changxing Noble Power Sourcing Co. Ltd., China for manufacture of Deep Cycling E-bike batteries for electric bicycles and scooters

• Thunder Sky Battery Ltd., Shenzhen for sourcing and technical support of lithium ion batteries

Strong Technical Capabilities

• Created custom-designed battery for Nano for which a patent has been received

• Innovative designs based on advanced hybrid technology, currently under development

• Developed a range of DIN batteries for Hyundai’s Accent and Getz car models

• Key producer of industrial “Plante Batteries” in India

Exhaustive quality management systems in place

Research and Development

• Primarily focus:

– Futuristic research for lead alternatives

– Product development for new products based on lead acid technology

– Improving its existing product portfolio

• Research Staff (As of March 31, 2010): 65 members, out of which 39 have obtained doctorate or master’s degree or have senior engineer qualifications

• Proprietary Research and Development Centre: Has been functional since 1976 at Kolkata

• Recent Technological Breakthroughs:

– Development of the Nano car battery

– Products for Hyundai’s i20 car models

– Long life batteries for inverter and solar applications

– Long life motorcycle batteries based on advanced calcium technology

1212

MCX Lead Spot Index

LME Lead Price

Backward Integration Advantages Due To Captive Facilities4

Chloride Metals Limited

─ Exide acquired 100% shareholding in 2007

─ Engaged in smelting & refining operations at Taluka Khed, Pune

─ Capacity of 36,000 MTPA

Leadage Alloys India Limited

─ Exide acquired 51% shareholding in 2008

─ Exide acquired balance 49% in August 2010

─ Engaged in smelting & refining operations at Kolar, Karnataka

─ Capacity of 60,000 MTPA

Lead is a major raw material required in manufacture of batteries

Volatility in lead prices is generally a significant issue for battery manufacturers across the globe

Exide has reduced its dependence on imported lead by backward integration through acquisition of lead smelting and refining facilities

Captive smelting and refining operations result not only in committed supplies but also provides a price advantage compared to competition

Approximately 45% of Exide’s lead requirements are met through supplies from captive operations

(USD / MT)

500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

4,500

Apr

-06

Jul-0

6

Nov

-06

Mar

-07

Jul-0

7

Nov

-07

Mar

-08

Jul-0

8

Nov

-08

Mar

-09

Jul-0

9

Nov

-09

Apr

-10

0

20

40

60

80

100

120

140

160

180

Apr

-06

Aug

-06

Jan-

07

Jun-

07

Oct

-07

Mar

-08

Aug

-08

Jan-

09

May

-09

Oct

-09

Mar

-10

Aug

-10

Captive smelting & refining facilities provide reliable supplies as well as price advantage

Lead Smelting & Refining Operations

Exide’s Strategic Advantages Due to Backward Integration

Source: Bloomberg

Source: Bloomberg

1313

Strong Indian Footprint with an Expanding Global Footprint 5

Automotive Industrial

Calcutta

Chennai

Delhi

Mumbai

Head Office Regional Offices Branch Offices

As of August 2010

Authorized Dealers

Automotive 11,350

Industrial 1,200

SF Sonic 1,300

Sales & Marketing Staff

Automotive 517

Industrial 268

SF Sonic 127

Outlets 41,500

Humsafar Partners 23,000

Depot-cum-Service Stations 204

Exide Power Centre shops 32

UK

Netherlands

Turkey

Kuwait

Ghana

South Africa

Zambia

Dubai (UAE)

Mauritius

Kenya

Qatar

Bahrain

China

Thailand

Hong Kong

Australia

New Zealand

Singapore

Brunei

KoreaJapan

Taiwan

Vietnam

CambodiaPhilippines

IndonesiaMalaysia

Togo

Sudan

Armenia

Bangladesh

Srilanka

Pan-India sales & distribution network with an expanding global presence

1414

Strong and Dedicated Distribution Network

Hub-and-Spoke system enables quick and efficient service and better customer relationships

• Approx. 1,200 authorised dealers

• Sales & Marketing staff of 268

• “Tracmobile”: For its traction customers

• Exide Power Centre shops: Launched to establish a common look andfeel and a standardized positive brand experience for the consumer.At present, there are 32 Exide Power Centre shops across India

• 11,350 authorized distributors and dealers

• Sales & Marketing staff of 517

• “Humsafar partner” network: Tertiary distribution network comprising of garages; Presently there are 41,500 outlets including 23,000 Humsafar partners

• C Dealer network: For heavy commercial vehicles

• Kisan dealer network: For Tractor Owners

• Exide Care shops: Conceptualized to establish a common look and feel and a standardized positive brand experience for the consumer

• Project Kissan: To target customers in the rural markets

• exidereachout.com: Web-based CRM initiative

Automotive Batteries

• Approx. 1300 'A' dealers

• Network of approx. 18,500retailers

• Marketing staff of 127

SF Sonic Distribution

• Network of 204 Depot-cum-Service Stations spread acrossthe Country

• Aims at providing World ClassAfter Sales Service & DeliverySystems to its Customers &Channel Partners

Network of Depots and Service Stations

Industrial Batteries

5

Factories

OEM

Government

InstitutionsAfter-Sales Staff

Customers

Main Dealer

Subdealers/ Retailers

Branches

Exide’s Dealer and Service Network

1515

Strong Management Team with Proven Execution Capabilities6

Management Team

Dr. S C Chalasani holds Masters Degree in Applied Chemistry from Jabalpur University and had post doctoral work at Loughborough University of Technology, England and has also worked as a Research Associate of Electrochemistry Group at University of Texas, Arlington, USA. Dr. Chalasani carries with him 23 years of post doctoral experience. Before joining the company in August, 2009, he was with Boeing Company, USA, working as Battery Consultant.

Mr. T V Ramanathan is the Managing Director & Chief Executive Officer of the Company. He is a Chartered Accountant and a qualified Company Secretary. His total experience of 41 years includes 15 years overseas of which nearly five years was with the World Bank. Before joining his present assignment in 1995, he was associated with the United Breweries group as Group Vice-President - Finance and has a wealth of experience in dealing with Financial and Accounting matters in addition to corporate management

Supriya Coomer is the Company Secretary & Vice President – Legal and Administration of the Company. He holds Bachelor’s of Commerce and Law degrees from the University of Calcutta and is an associate member of the Institute of Company Secretaries of India. He joined the Company in December 2008 and was previously employed with Saregama India Limited. He has over 24 years of experience in the industry

Mr. A K Mukherjee is the Director – Finance & Chief Financial Officer and has a wide range of experience in financial and accounting matters. Mr. Mukherjee is a Chartered Accountant and a Cost Accountant. He joined Exide in 1998 from Philips India Limited where he worked as a Finance Controller

Nadeem Kazim is the Executive Vice President (Human Resources & Personnel) of the Company. He is a Graduate from Christchurch College, Lucknow and holds a Post Graduate Diploma in Personnel & Industrial Relations from the Xavier Institute of Social Service, Ranchi. He joined the Company in January 2009 and was previously employed with Tata Steel. He has over 22 years of work experience

Mr. G Chatterjee is the Director – Industrial of the Company and has a wide range of experience in production and marketing. He holds a B.E. degree from the Regional Engineering College, Durgapur and a Post-Graduate Diploma in Business Administration from the Indian Institute of Management, Ahmedabad. Mr. Chatterjee is responsible for the Company's industrial batteries business and has spent over two decades in the Company

Mr. P K Kataky is the Director – Automotive of the Company and has a wide range of experience in marketing. Mr. Kataky holds a B.E. (Electrical) degree from Assam Engineering College, Guwahati and is responsible for the Company's automotive batteries business. Mr. Kataky has over 39 years of experience and has been associated with the battery manufacturing industry for over two decades

Deep understanding of the Indian storage battery space coupled with strong relationships and aggressive strategies

1616

Financial Information

1717

24,967

37,57643,440

48,244

15,69818,537

0

10,000

20,000

30,000

40,000

50,000

60,000

2004-05 2005-06 2006-07 2007-08 2008-09 2009-10

Exponential Growth in Production Volumes, Revenues and Profits

Consolidated Revenues (1)

(INR MM)

CAGR (2005-10): 25.2%

Consolidated EBITDA (2)

1,862

3,247

4,9495,830

9,854

2,347

0

2,000

4,000

6,000

8,000

10,000

12,000

2004-05 2005-06 2006-07 2007-08 2008-09 2009-10

(INR MM)

CAGR (2005-10): 39.5%

Consolidated Profit After Tax

7941,580

2,617 2,944

5,809

1,030

0

2,000

4,000

6,000

8,000

2004-05 2005-06 2006-07 2007-08 2008-09 2009-10

(INR MM)

CAGR (2005-10): 48.9%

Three/Four Wheeler

402456

504588

314 348

0

200

400

600

800

2004-05 2005-06 2006-07 2007-08 2008-09 2009-10

(MM Plates)

CAGR (2005-10): 13.4%

Two Wheeler

117

188 208231

284

142

0

100

200

300

400

2004-05 2005-06 2006-07 2007-08 2008-09 2009-10

(MM Plates)

CAGR (2005-10): 19.5%

Industrial

697

9591,129

1,316

1,565

801

0

500

1,000

1,500

2,000

2004-05 2005-06 2006-07 2007-08 2008-09 2009-10

(MM Amp hour) (3)

CAGR (2005-10): 17.6%

359 574 856US$ MM 415 937(4) (5) (6) (7) (8)

(4) (6) (7) (8)(5)5342 75 123 115US$ MM

(5)2318 (6)36 (7)65 (8)58US$ MM

Notes1. Excluding Other Income2. Calculated by adding “Interest and Finance Costs”,“Depreciation /Amortisation” and Exceptional items to

“Profit Before Tax”3. One ampere-hour is equal to the electric charge transferred by a steady current of one ampere for one hour4. Using exchange rate of US$1 = Rs.43.74 as of 31-Mar-05

Notes5. Using exchange rate of US$1 = Rs.44.62 as of 31-Mar-066. Using exchange rate of US$1 = Rs.43.48 as of 31-Mar-077. Using exchange rate of US$1 = Rs.40.12 as of 31-Mar-088. Using exchange rate of US$1 = Rs.50.73 as of 31-Mar-099. Using exchange rate of US$1 = Rs.44.92 as of 31-Mar-10

(4)

1,074(9)

219(9)

129(9)

1818

Financial Information – Exponential Growth in Revenues & Margins (cont’d)

Standalone Balance Sheet as at March 31, 2010

Sources of Funds Amount (INR MM) Amount (US$ MM) (1)

Net-worth including Revaluation Reserve of INR 302.6 MM 22,197.7 494.2

Secured & Unsecured Loans 899.9 20.0

Deferred Tax Liabilities 590.0 13.1

Total 23,687.6 527.4

Uses of Funds Amount (INR MM) Amount (US$ MM) (1)

Fixed Assets 7,144.4 159.1

Investments 13,353.7 297.3

Cash 28.8 0.6

Other Current Assets 9,089.4 202.4

Less: Current Liabilities 5,928.7 132.0

Total 23,687.6 527.4

Notes1. Using exchange rate of US$1 = INR 44.92 as on March 31, 2010

1919

Financial Information – Exponential Growth in Revenues & Margins (cont’d)

Consolidated Balance Sheet as at March 31, 2010

Sources of Funds Amount (INR MM) Amount (US$ MM) (1)

Net-worth 19,165.0 426.7

Secured & Unsecured Loans 1,741.3 38.8

Deferred Tax Liabilities 603.2 13.4

Minority Interest 366.2 8.2

Total 21,875.7 487.0

Uses of Funds Amount (INR MM) Amount (US$ MM) (1)

Fixed Assets 8,367.2 186.3

Investments 8,767.9 195.2

Cash 301.4 6.7

Other Current Assets 11,805.3 262.8

Less: Current Liabilities 7,366.1 164.0

Total 21,875.7 487.0

Notes1. Using exchange rate of US$1 = INR 44.92 as on March 31, 2010

2020

Thank You

For Further Details, Please Contact:

Mr. T. V. Ramanathan

Managing Director & Chief Executive Officer

Tel.: +91 33 2283 2176

Email: tvr@exide.co.in

Mr. A. K. Mukherjee

Director – Finance & Chief Financial Officer

Tel.: +91 33 2283 2181

Email: akm@exide.co.in

Company Website: http://www.exideindustries.com