Presentation on vardhaman yarns mills Submitted to: Submitted by: Mrs Presentation on vardhaman yarns mills Submitted to: Submitted by: Mrs. Harpreet dhawan Gaurav sudha KD 2

VardhmanGroup Rooted in Values, Creating World Class Textiles Vardhmān

Established . Mr S P Oswal is the Chairman of the globally active Vardhman Group. The Vardhman Group was founded in 1965 by Lala Rattan Chand Oswal and is now one of the largest enterprises in the Indian textile industry Incorporated in 1965 under the leadership of Mr. S.P. Oswal One of the largest integrated textile houses in the country with a turnover of over $700 million and a workforce of more than 23,000 employees One of the largest installed capacity in spinning in India at 800,000 spindles Amongst the largest Yarn producer in India Amongst the largest manufacturer & exporter of Cotton Yarn from India One of the largest consumers of raw cotton in the country Market Leader in Hand Knitting Yarn Second largest producer of Sewing Threads One of the leading integrated fabric producer Highest quality acrylic manufacturer of the country High economies of scale due to integrated operations and large cotton inventory holding capacity

Owner

Vardhman pvt. ltd Vardhman Group of India is an undisputed market leader in the yarn production sector and has a corporate philosophy that attaches great value to first class production facilities equipped with the latest technology. In the mid-1980s, the Vardhman Group commenced its yarn conditioning activities and from the outset, worked closely with the Swiss XORELLA AG, which developed this technology and is the leader in the related market.

Vardhman yarns Vardhman Yarn : De-risking the Revenue Model Cotton Lyocell Cotton Silk Cotton Bamboo Cotton Modal Cotton Tencel Cotton Viscose Specialized Products De-risking by Value Addition Compact Yarn Fibre Dyed Cotton Lycra Gas Mercerised Melange Yarn Fancy Yarns Cotton Dyed Slub Yarns PC Yarn Dyed Acrylic Yarns Yarn Dyed Hand Knitted Yarns Value Added Products

Overview of the Presentation Brief Snapshot of Vardhman Group Business-wise Analysis Financial Performance Strategic Direction Corporate Social Responsibility Market Performance Vardhmān

Vardhman Group Vardhmān Incorporated in 1965 under the leadership of Mr. S.P. Oswal One of the largest integrated textile houses in the country with a turnover of over $700 million and a workforce of more than 23,000 employees One of the largest installed capacity in spinning in India at 800,000 spindles Amongst the largest Yarn producer in India Amongst the largest manufacturer & exporter of Cotton Yarn from India One of the largest consumers of raw cotton in the country Market Leader in Hand Knitting Yarn Second largest producer of Sewing Threads One of the leading integrated fabric producer Highest quality acrylic manufacturer of the country High economies of scale due to integrated operations and large cotton inventory holding capacity VALUE ADDITION THROUGH SUPPLY CHAIN The unique business model of the company having presence in entire value chain from Fibre (acrylic) to Fabric gives it flexibility in down turn and advantages over competitors to rise in upturn of the industry cycle Vardhmān

Business yarn Largest spinning capacity in the country with > 0.87 mln spindles 12 production plants located in the states of Punjab, Himachal Pradesh and Madhya Pradesh Technical tie-ups with the world leaders from Switzerland, Germany, Japan and Korea Amongst the largest exporter of yarn from India. The total export of the group is about 5%

Organic Fair Trade Cotton Yarn Products Cotton Yarn Special Blended Yarn Organic Cotton Yarn Core Spun Yarn Fair Trade cotton Yarn Melanges Organic Fair Trade Cotton Yarn Gassed Mercerised Ellitwist Modal Yarn Vortex Yarn Tencel Yarn Slub Yarn Viscose Yarn Acrylic Yarn Hand Knitting Yarn Poly -Cotton Yarn Speciality Yarn Acrylic - Cotton yarn

Capacity 1998 2000 2002 2006 2007 2008 2009 2010 (E) Dyeing-Tpd 25.50 34.50 52.00 55.00 55.00 55.00 55.00 55.00 Mercerization-Tpd 1.70 5.00 6.75 6.75 8.00 8.50 10.00 10.00 Acrylic Fibre-Tpa 16,500 16,500 16,500 16,500 18,000 18,000 18,000 18,000 Steel-Mtpa 65,000 40,000 40,000 80,400 80,400 80,400 80,400 80,400 Other

Price 52 Week Low 40.10 52 Week High 280.95 Market Cap (Rs mn) 13,186 Last price 228.25

Annual Turnover Vardhman Industries has reported a sales turnover of Rs 84.80 crore and a net profit of Rs 3.72 crore for the quarter ended Sep 2010. For the quarter ended Sep 2009 the sales turnover was Rs 57.10 crore and net profit was Rs 1.72 crore.

Thread Vardhman Business - Sewing Thread The Group entered Thread business in 1982 as a forward integration to its Yarn business. Current capacity 33 tpd in 4 plants at Punjab, Tamil Nadu & Himachal Pradesh. In 2002, joined hands with American & Efird, Inc. USA (A&E) for manufacturing & distribution of A&E branded sewing threads in India. Spun off the Threads business into a new company (Vardhman Yarns & Threads Ltd) in 2007 and entered into a 51:49 Joint Venture with A&E. The second largest brand of specialized threads in the country. A wide product range, which includes: Apparel Sewing Threads Specialty Threads Textile Crafts Embroidery Threads Kite Flying Threads Tea Bags Cosmetic Threads Industrial Threads

CONTACT Address: VARDHMAN mills Chandigarh road ludhiana Pin code: 141008 Contact no : 0161-2761567 0161-4532164 9988459527

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