Partners in Globalisation UK Trade & Investment British Business Group in Mumbai & Pune Dr. Brian W Tempest Chief Mentor & Executive Vice Chairman of the Board Ranbaxy Laboratories Limited, Delhi, India Ranbaxy Case Study Mumbai – Thursday 27 th September 2007

DR. BRIAN W. TEMPEST CSci, CChem, MRSC, BSc, PhD Brian Tempest has worked in the pharma industry for the last 36 years. During this time he has worked for several pharma majors, including Glaxo, Beecham & Searle, around the world and joined Ranbaxy 12 years ago. During this period Ranbaxy has transformed from a small company focused on the India domestic market, to a top 10 global generic company. Dr. Tempest has lived in New Delhi, India for the last 8 years, and has been President, Managing Director & Chief Executive Officer and Chief Mentor & Executive Vice Chairman of the Board. Dr. Tempest retires from Ranbaxy in December 2007 having reached 60. Dr. Tempest is one of a few westerners to have held a leadership position in an Indian blue chip MNC, and has an unusual insight into India. Dr Tempest is also a Honorary Professor of the Management School at Lancaster University, UK, and he sits on the Editorial Board of the Journal of Generic Medicines and the Advisory Board of the India Fund held by JM Financial Investment Managers Ltd n Mumbai. / Mobile / Tel:

Asia’s Share of the World GDP (at PPP in %) Year China 17% 9% 5% 5% 12% India 12% 8% 4% 3% 5% Japan 2% 3% 3% 8% 7% Rest of Asia 7% 5% 7% 9% 13% Total Asia 38% 25% 19% 25% 37% Source – WEF - was 59% in 1820 with India 16%, China 33%

Asia on the Rise Source – FT

A race to prosperity

The Productivity Advantage Indiaa usa Pharma view USA 1 chemist Better education x chemist 70 hours/week Longer working time x hours/week $ 800 monthly Lower cost x 20 $ 12,000 monthly Sources: IPHMR Conferences, New Delhi August 2004

The Education Advantage

Engineers/Science graduates p.a – India 0.7m, China 0.5m, EU 0.5m, USA 0.4m, Japan 0.3m

The Pharma Plants Advantage Active Pharmaceuticals Facility, MohaliDosage Forms Facility, Paonta Sahib

Generics – API’s USA DMF filings by India % Share of USA DMF filings India China % 9% % 10% % 14% Q1’07 48% 17% Source: US FDA / J P Morgan, 2 May 2007 Source: US FDA, Credit Suisse India China Source: US FDA / J P Morgan, 6 th August 2006

- One in every four ANDAs filed by Indian Companies in top USA FDA filers Source: KPMG - No Chinese generic company has yet filed a USA FDA ANDA but expected in 2008 Generics - ANDAs ANDA Filings in USA by Indian Companies 250

Patient Recruitment

Cost Advantage China India Cost Patients/site Based on USA at 100 Index Source: BCG report ‘Looking Forward 2006’ CountryUSAIndia Sites228 Subject Source: Andy Lee Pfizer Global, head clinical study and data management. Business India, August 13, 2006 “………..The Country’s World Class skills in Chemistry & IT and it’s large treatment naive patient population provides added allure” Boston Consultancy Group Harnessing the power of India 2006 The Pharma Clinical Advantage Medical Tourism Cardiac Surgery$000s USA30 Singapore20 Thailand14 India5-7 Source: Business world, 18 th Dec’2006 Patients - Naïve untreated patients - HIV50m - Diabetes32m - HT5m

Ranbaxy Today  Amongst the top 10 Global Gx companies  Ground presence in 49 countries, products sold in > 125  International business ~ 80% of sales  Ranked # 1 in the Indian Pharma industry  Manufacturing locations in 9 countries  > 11,000 employees, 51 nationalities  Strong Generics & Innovative research capabilities $ 553 $ 972 $ 1340* CAGR 19 % Global Sales Worldwide Presence * Unaudited

Research & Development  Dedicated facilities for Gx & Rx research  Over 1400 people, ~ 300 Doctorates  Strong IP & Global Regulatory expertise R&D I R&D III R&D II R&D IV $ 85 Mn R&D spend 6.5% - 7% sales

2006 Sales by Geography $ 1.34b

1990  Only Trading companies in: Nigeria Malaysia Thailand The Role of the UK 1995  First Trading company in the West: UK Today  Worldwide President office  European Regional Director office  UK domestic operation  Sales in 125 countries

“The Indian System looks ramshackle and improvised. But at its best it is capable of brilliance” “When we say the Silicon Valley is built on ICs we don’t mean integrated circuits – we mean Indians & Chinese” “The UK needs to wake up to what India is becoming” Source: DEMOS report – January 2007 Perceptions of India

Thank You