H.R.

COLLEGE OF COMMERCE &

ECONOMICS
123, Dinshaw Wachha Road, Churchgate, Mumbai - 400020

A PROJECT
ON

BHARTI AIRTEL- ANNUAL REPORT 2012-13 ANALYSIS

in the subject of
ADVANCED FINANCIAL ACCOUNTING
SUBMITTED TO

UNIVERSITY OF MUMBAI
FOR

(SEM-I ) OF

MASTER OF COMMERCE
BY

Name: Kunal Obhan

Roll No: 68
UNDER THE GUIDANCE OF

Prof. Anjali Vachhani

YEAR 2013-14
1

H.R. COLLEGE OF COMMERCE & ECONOMICS

INTERNAL ASSESSMENT
PROJECT (40 Marks)

Name of the Student

First name

Class

MCOM

: Kunal

Fathers Name : Tavinder

Surname

R. No.

ACCOUNTS

68

PART- I

: Obhan

Subject: ADVANCED FINANCIAL ACCOUNTING

Topic for the Project:
BHARTI AIRTEL- ANNUAL REPORT 2012-13 ANALYSIS

Marks
Awarded
Documentation
Internal Examiner
(10 Marks)
External Examiner
(10 Marks)
Presentation
(10 Marks)
Viva and Interaction
(10 Marks)
TOTAL MARKS (40 Marks)

Signature

H.R. COLLEGE OF COMMERCE & ECONOMICS

123, Dinshaw Wachha Road, Churchgate, Mumbai - 400020

DECLARATION BY THE STUDENT

I, Kunal Obhan student of M Com Part-I

Roll Number 68 hereby declare that the

project for the Paper Strategic Management titled,

BHARTI AIRTEL- ANNUAL REPORT 2012-13 ANALYSIS

submitted by me for Semester-I during the academic year 2013-14, is based on

actual work carried out by me.
I further state that this work is original and not submitted anywhere else for any
examination.

Signature of Student

CONTENTS
Sr. No

Particulars

Page Nos.

1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13.

About Bharti Airtel

Corporate Information
Contents of Annual Report
Performance at a glance
Balance Sheet
Statement of Profit and Loss
Cash Flow Statement
Financial Results
Primary Assets of the company
Companys Performance
New products and initiatives
Corporate Social Responsibility
Bibliography

57
8
9
10 13
14
15
16
17
18 21
22 23
24 - 26
27 34
35

ABOUT BHARTI AIRTEL

Bharti Airtel Limited is a leading global telecommunications company with operations
in 20 countries across Asia and Africa. Headquartered in New Delhi, India, the
company ranks amongst the top 4 mobile service providers globally in terms of
subscribers. In India, the company's product offerings include 2G, 3G and 4G wireless
services, mobile commerce, fixed line services, high speed DSL broadband, IPTV,
DTH, enterprise services including national & international long distance services to
carriers. In the rest of the geographies, it offers 2G, 3G wireless services and mobile
commerce. Bharti Airtel had over 269 million customers across its operations at the end
of March 2013.
In the 3G and BWA auctions closed last year, Airtel won 13 circles in 3G and 4 circles
in BWA - with a right mix of Urban and Rural markets, complementing our strategy of
focusing on markets with high revenue and high growth potential. We are committed to
give a pan India 3G experience to our customer base in collaboration with leading
telecom operators. We firmly believe that data would be the growth driver for India in
the next decade as voice
was in the last. While 3G will aid in ushering in the data revolution, where the rst
internet experience for masses will be through the mobile devices; 4G will add
another dimension to data communication by further enriching the customer
experience.

New Delhi, October 22nd 2012: Bharti Airtel, a leading telecommunications service
provider with operations in 20 countries across South Asia and Africa moved up one
notch in the world wide ranking to be the fourth largest mobile operator in the world in
terms of subscribers. (Source: Wireless Intelligence 'Scoreboard').
Top Five Operators Globally:
Operator

Connections

YoY Growth,

China Mobile
Vodafone Group
America Movil

(millions)*
683.08
386.88
251.83

connections
11 %
5%
7%

Group
Bharti Airtel
Telefonica Group

250.04
243.51

13 %
7%

Bharti Airtel had become the fifth largest mobile operator in the world following its
acquisition of Zain Group's mobile operations across 15 African nations in June 2010.
Bharti Airtel is:

3rd largest in-country mobile operator in the world

6th largest in-country integrated telecom operator in the world
Ranked number 5 in the best performing technology companies in the world by

business week
Indias most innovative company by Wall Street Journal
Winner of gallup great workplace for being one of the best places to work

worldwide
Ranked 188 in the FT 500 worlds largest companies 2009 ranked by financial
times

Corporate information
Board of

directors
7

Mr. Sunil Bharti Mittal

Mr. Ajay Lal
Chairman & Managing Director

CEO (India & South

Mr. Akhil Gupta

Ms. Chua Sock Koong

Mr. Craig Ehrlich

Lord Evan Mervyn Davies

Mr. Hui Weng Cheong

Mr. N. Kumar

Mr. Nikesh Arora

Mr. Pulak Prasad

Mr. Rajan Bharti Mittal

Mr. Rakesh Bharti Mittal

H.E. Dr. Salim Ahmed Salim

Ms. Tan Yong Choo

Mr. Tsun-yan Hsieh

Mr. Manoj Kohli

CEO (International) & Joint Managing
Director

Asia) Group General

Counsel &
Company
Secretary

Mr. Sanjay Kapoor

Mr. Mukesh Bhavnani

Statutory
Auditors

M/s. S. R. Batliboi & Associates

Chartered Accountants

Internal
Auditors

M/s. PricewaterhouseCoopers Private Limited

M/s. ANB Consulting Private Limited

Registered & Corporated

Oce

website

Bharti Crescent, 1, Nelson Mandela Road,

Vasant Kunj, Phase II, New Delhi 110 070, India

www.airtel.com

CONTENTS OF ANNUAL REPORT

An annual report is a comprehensive report on a company's activities throughout the
preceding year. Annual reports are intended to give shareholders and other interested
people information about the company's activities and financial performance.
An annual publication that public corporations must provide to shareholders to
describe their operations and financial conditions. The front part of the report often
contains an impressive combination of graphics, photos and an accompanying
narrative, all of which chronicle the company's activities over the past year. The
back part of the report contains detailed financial and operational information.

The following are the main contents of the Annual Report of BHARTI AIRTEL:
1. Message from Chairman and Managing Director
2. Details of Board of Directors and Board Committees
3. Directors Report
4. Auditors Certificate of Corporate Governance
5. Business Overview
6. Management discussion and analysis
7. Key Financial Indicators
8. Financials (Including Auditors Report)
9. Notice of AGM (Including Attendance Slip and Proxy Form)

PERFORMANCE AT A GLANCE
Particulars

Units

Financial Year Ended March 31,

Total customer base

000s

39,012

64,268

Mobile services

000s

37,141

61,985

Telemedia services

000s

1,871

Digital TV services

000s

Revenue
EBITDA

2008

2009

2010

2012

2013

97,593

137,013

220,878

94,462

131,349

211,919

2,283

2,726

3,067

3,296

405

2,597

5,663

` Mn

184,202

270,122

373,521

418,472

594,672

` Mn

74,407

114,018

152,858

167,633

199,664

Cash prot from operations

` Mn

73,037

111,535

135,769

167,455

177,851

Earnings before taxation

` Mn

46,784

73,115

85,910

105,091

76,782

Prot after tax

` Mn

40,621

63,954

78,590

89,768

60,467

Stockholders equity

` Mn

114,884

217,244

291,279

421,940

487,668

Net debt

` Mn

42,867

40,886

84,022

23,920

599,512

Capital employed

` Mn

157,750

258,130

375,301

445,860

1,087,180

Based on statement of operations

Based on balance sheet

Key ratios
EBITDA margin

40.39

42.21

40.92

40.06

33.58

Net prot margin

22.05

23.68

21.04

21.45

10.17

Return on stockholders equity

43.10

38.51

30.91

24.50

13.30

Return on capital employed

31.57

33.29

30.69

24.39

10.79

Net debt to EBITDA

Times

0.58

0.36

0.55

0.14

3.00

Interest coverage ratio

Times
`

26.47

29.51

30.38

30.56

11.14

30.30

57.23

76.72

111.13

128.41

Book value per equity share*

Net debt to stockholders equity
Earnings per share (basic)*

Times
`

0.37

0.19

0.29

0.06

1.23

10.72

17.12

20.70

23.67

15.93

Key Performance Indicators

1. Voice (wire-line) and Data (DSL) Presence in 87 top cities of India.
2. Target Segment : Retail and Small and Medium Enterprises.
3. Customer base: 3.3 million (end December2012)
4. Broadband (DSL with speeds>256 kbps) penetration at 42.2% of customer base.
5. Average ARPU for Quarter ended Dec11 $ 17.9 per month.
6. Segment contributing to 7%of overall revenues of the company.
7. EBITDA margin of over 42.2%

Factors affecting the Financial Performance0

1.

Diversified telecoms
Presence in growth markets with good profit potential;
Revenue diversification across wireline, wireless, and DSL/broadband;
Ability to invest in geographic coverage and quality of reception;
Investment in technology, providing bandwidth for high-quality multimedia and
wire and wireless Internet
capabilities;
Ability to adjust service plan structure and pricing, and bundling where
appropriate, to provide revenue growth

2. Geographic and demographic footprint. In assessing a company's footprint--its

licensed and developed geographic territory--we primarily consider the market type:
international, national, regional, major metropolitan, suburban, or rural. The capital
costs of building and upgrading network infrastructure, the economies of scale that
can be realized in providing service, income levels and spending patterns of the
market, and the degree of competition are key factors in determining a market's
desirability. The value of any given customer or potential customer varies from one
geographic region to the next.
3. Diversification and market share. We analyze diversification by geography and
demographics, product, customer base, and segment. High market shares let companies
spread out costs and enjoy more economies of scale than their competitors. Strong
market positions enable companies to reinvest in fixed assets and develop new services,
to maintain leadership. Size often is closely correlated with, and is an outgrowth of,
diversification:
To reach a large size, companies need multiple products and revenue streams across
broad areas. Small- and medium-size companies usually are precluded from reaching

the highest ratings levels, despite having strong profitability and financials
characteristics, because of a lack of product, market, and geographic diversification.

4. Scope of service offerings/business lines. For wireless, it is important to break revenue

out into its various service components, including monthly fees, postpaid and prepaid
services, roaming, surcharges, and non-voice services. For cable, we analyze basic-TV
service, premium-channel charges, pay-per-view, Internet access, and VoIP revenues to
understand which products are mature rather than high-growth, and, if data are
available, their respective profit contribution. More mature products, while no longer
contributing significantly to top-line growth, may be critical cash cows to fund the
buildout of new networks and services.
5. Market penetration. The measurement of market penetration is particular to specific
industries. The industry that measures wireless penetration as a percentage of POPs,
which is the total population within a licensed wireless area. For cable television, the
industry historically has measured penetration as the number of subscribers as a
percentage of homes passed by cable. But the total amount of services per customer has
also evolved into a key parameter since the introduction of services beyond basic cable
including digital, Internet connectivity, and telephone.
6. Market maturity and growth potential. The level of a market's maturity and growth
potential is closely correlated with the level of economic development and growth
prospects in an economy, as well as the extent of competition and regulation (see
below). In the past few years, for example, wireless operators have adjusted their growth
strategies. As markets mature, rather than seek market penetration at any cost, operators
generally seek growth through higher customer retention and more focus on market
segmentation and increasing ARPU.

7. Technology--opportunity and risk. In order to remain competitive, telecom and cable

companies must continually invest in new features and service capabilities, which
are often based on new technologies that in some instances may not be fully proven.

A company's decisions on the type of technology it employs, and the degree to

which is ultimately creates a competitive advantage or disadvantage, is a key
consideration.
8. Quality of (customer) service. Quality of service is a key ingredient in
telecommunications, cable, and satellite. Because the market has become more
competitive in recent years, customer satisfaction and retention are key to fostering
long-term revenue growth. Minimizing churn is just as important as securing
customers and retaining them. Churn is the percentage of total subscribers that
terminate service with a carrier on a monthly basis, and it is an indicator of customer
satisfaction. Product and service innovation is also crucial to minimizing churn.
Capital expenditures merits close attention in the telecommunications, cable, and
satellite broadcast industries. In deregulated, competitive, and mature market
environments, a company's long-term growth prospects increasingly depend on
ongoing investment in new technologies and network maintenance and upgrades.
9. Management evaluation. We assess management on its ability to run and expand the
business efficiently while mitigating inherent business and financial risks. Our
evaluation also focuses on the credibility of management's strategy and
plans/projections, its operating and financial track records, and its appetite for
assuming business and financial risks. Telecom, cable, and satellite broadcast
companies are highly competitive businesses requiring experienced and successful
management

FINANCIAL RESULTS AND RESULTS OF OPERATIONS Financial Highlights of

Consolidated Statement of Operations of the Company as per International

Financial Reporting Standards.

In line with the statutory guidelines, the Company has adopted International Financial
Reporting Standards (IFRS) for accounts consolidation from FY 2010-11. Consolidated
and standalone financial highlights of the Companys operations are as follows:

Amount in ` Mn

Financial Highlights of Standalone Statement of Operations of the

Company as per Indian Generally Accepted Accounting Principles.

Amount in ` Mn

PRIMARY ASSETS OF THE COMPANY

A corporation's operating value is made up of its working capital, fixed assets,

identifiable intangible assets and goodwill. In large M&A transactions, the share
represented by intangible assets has gotten progressively larger. This is because, in the
knowledge economy era, intellectual property has become such an important factor
behind companies' competitive strength.

In the case of Airtel too a major chunk of the fixed assets is composed of Intangible
Assets. The intangible assets in case of a telecom company are the most important asset
as it is through these assets that the company performs its day-to-day activities.

The Accounting treatment for these intangibles by Airtel is explained further.

Identifiable intangible assets are recognised when the Company controls the asset, it is
probable that future economic benefits attributed to the asset will flow to the Company
and the cost of the asset can be reliably measured. At initial recognition, the separately
acquired intangible assets are recognised at cost. Following initial recognition, the
intangible assets are carried at cost less any accumulated amortisation and accumulated
impairment losses, if any. Amortisation is recognised in the statement of profit and loss
on a straight-line basis over the estimated useful lives of intangible assets from the date
they are available for use. The amortisation period and the amortisation method for an
intangible asset are reviewed at least at each financial year end. Changes in the expected
useful life or the expected pattern of consumption of future economic benefits embodied
in the asset is accounted for by changing the amortisation period or method, as
appropriate, and are treated as changes in accounting estimates.

The three major intangible assets of Airtel are:

1. Software
2. Licenses
3. Bandwidth

The Intangible Assets include:

1. Software

Software is capitalised at the amounts paid to acquire the respective license for use and
is amortised over the period of license, generally not exceeding three years. Software up
to ` 500 thousand is amortised over a period of one year from the date of place in
service.
Software held for licensing or rental to others should be recognized as an intangible
asset. On the other hand, cost of software purchased by an enterprise for its own use
and which is integral to the hardware (because without that software the equipment
cannot operate), would be treated as part of cost of the hardware and capitalized as
property, plant, or equipment. Thus, the cost of an operating system purchased for an
in-house computer, or cost of software purchased for computer-controlled machine tool,
are treated as part of the related hardware.
Cost of other software programs should be treated as intangible assets (as opposed to
being capitalized along with the related hardware), as they are not an integral part of the
hardware. For example, the cost of payroll or inventory software (purchased) may be
treated as an intangible asset provided it meets the capitalization criteria under IAS 38

2. Licenses
Acquired licenses (including spectrum) are initially recognised at cost. Subsequently,
licenses are measured at cost less accumulated amortisation and accumulated
impairment loss, if any. Amortisation is recognised in the statement of profit and loss on
a straight-line basis over the unexpired period of the license commencing from the date
when the related network is available for intended use in the respective jurisdiction.
Intangible assets under development are valued at cost.

3.

Bandwidth
Payment for bandwidth capacitites are classified as pre-payments in service
arrangements or under certain conditions as an acquisition of a right. In the latter case it
is accounted for as intangible assets and the cost is amortised over the period of the

agreements,which may exceed a period of ten years depending on the tenor of the
agreement.
Bandwidth sometimes defines the net bit rate (aka. peak bit rate, information rate, or
physical layer useful bit rate), channel capacity, or the maximum throughput of a logical
or physical communication path in a digital communication system. For
example, bandwidth tests measure the maximum throughput of a computer network.
The reason for this usage is that according to Hartley's law, the maximum data rate of a
physical communication link is proportional to its bandwidth in hertz, which is
sometimes called frequency bandwidth, spectral bandwidth, RFbandwidth, signal
bandwidth or analog bandwidth.

COMPANYS PERFORMANCE:
The last year has seen a lot of flux for Airtel and the industry. In a difficult environment,
we gained revenue share as well as new customers. Besides our operational successes,
we also ushered in some key initiatives to reinforce our leadership in the marketplace.
Here are some highlights. Over the course of the year, data usage doubled and continues
to grow at this pace. We created a world class Network Experience Centre in order to
deliver a brilliant data experience. We were the first operator to launch 4G in four cities
helping us learn and understand this emerging technology. We launched the Airtel
Money Super Account in partnership with Axis Bank that allows customers to save and
earn interest as well as take cash out as per their needs. Today, our services have the
power to transform lives. Whether it is helping the urban homemaker stay in touch with
her family and friends, the migrant labour enjoy the little dose of entertainment and fun
after a hard days work or indeed businesses that can dramatically improve their
productivity, telecom has an increasingly transformative impact. This is made even more
exciting due to rapid changes in customer behaviour. Over the last few months, I have
met several of these customers. Take the case of three 25-year-olds in a village near
Allahabad, who took barely 5 minutes to understand how airtel money works and signed
up. Or, a villager near Hyderabad who did not know English but had taught himself
enough to download over 200 songs onto his phone. These are the customers of today
and tomorrow. The only internet they know is the mobile internet. The only digital
payment they know is through the mobile.

The last financial year saw softening of the mobile market, especially the voice revenues
amid increased competitive intensity in Africa. However, we recorded notable successes

in our operations and continued to successfully launch key initiatives, such as airtel
money, 3G network and the most innovative youthful campaigns across many markets.
This year, the political and regulatory environment was challenging across some of our
markets in Africa. On the political front, we experienced some insecurity and violence
in two of our largest markets of Nigeria and DRC, resulting in the loss of property and
disruption of business operations. On the regulatory front, the regulators are
increasingly becoming stringent on the quality of service in a number of countries. We
also saw increased demands on additional taxes and levies from regulators as the
telecom sector is now increasingly being perceived as the cash cow sector in these
economies. We saw an increase in competitive intensity across the markets, for example
in Nigeria; where the market leader dropped tariffs by around 30%. However, despite
these challenges we have still consistently outpaced market growth and steadily grew
our revenue market share every quarter. On network transformation, we continued to
drive the deployment of 3G (now launched in 14 countries) and also focus on 2G
network quality. We are also aggressively driving device penetration, including tablets,
smartphones and dongles to ensure that our customers have access to our 3G data
services. In order to ensure the delivery of high quality devices to our customers, we
also concluded tie-ups with all the major device manufacturers. The unbanked
population of Africa remains high (in most countries over 90%) and we are leveraging
this opportunity through airtel money. This product enables our customers even in the
rural areas to be connected to the financial world. We have now successfully launched
airtel money across 16 markets and our objective is to become Africas largest mobile
bank.

NEW PRODUCTS/ INITIATIVES

During the year, the Company launched various new and innovative products and
services, directly and through its subsidiaries, which enabled it to strengthen its
leadership in an intensely competitive market. Some of the key launches of the year
included:

3G Services in 9 of 13 circles with 3G spectrum, empowering all 3G

customers to manage their data usage and avoid bill shock with
proactive, personalised and timely data usage alerts coupled

with

introduction of easy-to-understand intuitive tariffs with personalised

data usage limits.

airtel money - Indias rst mobile wallet service by a telecom operator.

It offers customers

an efcient alternative

to cash transactions,

providing Airtel customers across the country with a convenient and

secure way of making payments through the ubiquitous mobile platform
anytime, anywhere!

airtel call manager, a service that enables a customer to keep his/her

callers informed (when he is in a meeting or driving and is not able to
take calls) by choosing the meeting or the driving proles.

airtel voice blog, worlds rst voice blogging service, enabling

customers to share recorded voice updates with their followers
fans, friends or family.

airtel

world

outbound

SIM

for

international

travellers

enabling

travellers to retain their local number while roaming

internationally at a fraction of the cost, allowing customers to save

upto 85 percent on international calls.

Live Aarti on mobile, Indias rst service on mobile offering daily

live Pujas and Aartis directly from the shrines including Tirupati
Balaji, Siddhivinayak, Shri Sai Baba from Shirdi and Bangla Sahib.

LearnNext an e-Learning website for the Companys broadband users. It

is a complete computer

based interactive CBSE study module, for

students studying in Class VI to X.

IPTV services in Bangalore, the 2nd city after Delhi NCR to get airtel
IPTV services.

airtel broadband TV, allows the broadband customers to watch live TV

on their computers or laptops without having to buy an extra TV set or
cable connection/set top box or an air antenna by simply subscribing to
airtel broadband TV.

Unified

Service Management Centre (uSMC),

to enhance the

quality of customer experience and provide best in class services to

the customers.

Global Data Services in Thailand and Malaysia in association with

TRUE International Gateway Co. and Telecom Malaysia respectively
to serve the growing

bandwidth

demands

of customers in the

region.

airtel digital TV recorder, an enhanced Set Top Box (STB) with

capability to record live television, anytime, anywhere using mobile

phone.

After

pioneering

the

initiative

of

recording television

programmes through mobile, the recording facility was extended

through internet for airtel digital TV recorder customers.

MAMO (My Airtel My Offer) is Africa's first marketing tool offering
segmented and personalised offers to both active and inactive
customers. A single number,

'141' is being advertised inviting

customers to listen to their customised offers with the option

of

fulfillment. The offers range from voice (local and international), SMS,

VAS and data depending on customers' usage and activity

i-Care was deployed across all countries of operation the
objective of the

programmes

is to bring about a cultural

transformation across the Company by putting the customer as the

rst priority and taking personal ownership

to resume customer

issues.

CORPORATE SOCIAL RESPONSIBILITY

Bharti Airtel partners organisations across countries of its operation to foster inclusive
growth. The Company is actively pursuing its socio-economic priorities across multiple
platforms. Its individual business units, spread across different geographies, have
consistently tried to promote social inclusion in an environmentally sustainable manner.

1. Bharti Foundation: Towards delivering quality education

Bharti Foundation was established in 2000 with a vision to help underprivileged

children and young people of the country realise their potential. Its flagship initiative,
the Satya Bharti School Programme, was launched in 2006.

Flashback 2012-13:

Initiated a new programme to provide bridge courses to out of school children

to induct them into mainstream government schools (Satya Bharti Learning

Centres)
Launched a holistic pilot programme to improve the quality of education
imparted in government schools (Quality Support Programme)

Objectives of Satya Bharti School Programme

Provide free and quality education to rural, underprivileged children, with

special focus on girls

Help students emerge as educated, confident, responsible and self-reliant

employable citizens, who are deeply committed to society

Encourage active involvement with the community, parents and like-minded
organisations

Make a lasting and sustainable impact on the community, where schools are

present
Find innovative solutions through its primary, elementary and senior secondary
schools to create replicable and scalable components in the programme to
impart quality education

A.

Enhancing the Quality of Teachers

Every teacher at the Satya Bharti School gets ample opportunities to learn and grow
through classroom-based

trainings,

on-the- job coaching,

and self-learning

opportunities through teacher resource material and curriculum guides. They also
receive substantial exposure to best practices through peer-learning and groupdiscussions.
Refresher trainings were planned last year to teachers
B.

Holistic Development of Children

Satya Bharti Schools follow an institutional and holistic child development model. A
detailed framework has been designed to guide teachers in focussing on critical
areas in the personal, cognitive, social, emotional and physical domains of student
development.
C.

Community Engagement

Community

concerns and needs are integrated into the programme at a very

early stage. The schools activities and calendar include enough opportunity for
the community to understand the programme and its ramications and engage
with it. Several contact points are arranged for teachers and eld staff to discuss
school activities and students performance with the community members.

D.

Measurement Tools School Improvement Programme

The School Improvement Programme was a special initiative launched last year to
address the problem of student transition and high drop-out rates. Over time it evolved
into a larger and more comprehensive initiative of identifying and addressing schoolrelated issues through detailed ground-level strategy

2. Community Service and Support

Several initiatives in the areas of health, environment

and disaster management

support are also adopted by our local ofces in India to improve the living standards
of their respective communities.
Last year, Villupuram and Cudaloor districts in the central zone of Tamil Nadu

were badly affected, having received rainfall 70% above the average level. Bharti
Airtel employees together with the support of local village heads collected old and
new blankets, made arrangements

for food packets, torches

and other

basic

essentials and got them distributed to 300 affected families. Helpline centres were
installed with PCOs for connectivity.
Similar to previous years, our circle ofces organized child safety awareness
campaigns, trafc awareness campaigns, eye donation and blood donation camps
regularly for the employees and general public.
We harnessed our products and services for various community based activities.
Some of these include a virtual blood bank; blood donation alerts through SMS;
PCOs for the visually impaired and differently-abled;
availability on

bus

route

information

mobile phones; the launch of a Cancer Helpline with some

NGOs and the launch of an eye donation helpline in collaboration with the
Ophthalmology Department of a Medical College.

3. Farmers and Fishermen

IFFCO Kisan Sanchar Limited (IKSL), the joint venture with the Indian Farmers
Fertiliser Cooperative Limited (IFFCO), functioned along with Agricultural Technology
Management Agency (ATMA) in different states to provide technical information related
to education, government schemes, health, loans from banks and so on.

In Odisha, IKSL teamed up with The National Federation of Fishermens Cooperatives

Ltd. (FISHCOPFED) and the state government to provide customised content to
fishermen. The services included information on Potential Fishing Zone (PFZ), advance
weather forecasting, tidal wavelength, fishing regulatories, basic hygiene on fishing,
health, fishing tips and government schemes.

4. Cyber Security
The Company regularly supports government agencies like CERT.in, IB, NTRO and

NATGRID to provide services, including threat mitigation like botnet threat, stuxnet
propagation and others; proactively mitigate threats to national critical services (attack
simulation exercises). The Company also works closely with DSCI to evolve the privacy
framework.

5. Green Initiatives
Airtel constantly explore ways and means to reduce our carbon footprint. We
have been running
operations

power saving programmes

in our ofces and network

for over six years now. These programmes have helped conserve

energy, reduce green house gas emission, and reduce costs.

A.
Green Shelter for BTSs
We have pioneered the Green Shelter concept for BTS. This unique shelter comes
with optimal cooling, power and thermal management

systems,

thereby

minimizing the running of backup systems like diesel generator sets. The
solution reduces the operational

cost by as much as 40% as compared to

conventional shelters and avoids contributing to global warming by minimizing

greenhouse gas emissions.
B.
Programme GOOD (Get out of Diesel)
To reduce diesel consumption at our sites we pursued programme GOOD
during the year. Under this programme,

500 sites in Bihar have been taken up for Solar PV technology implementation
despite
a Non-Favourable Financial Model. Similarly, other technological
interventions

like

DG Optimisation, IPMS (Integrated Power Management

Solution), and DCDG were implemented to reduce the diesel footprint at our
network sites. IPMS and variable speed DC Generators (DCDG) has led to an annual
reduction of 1.2 Mn litres in Diesel Consumption across 900 sites.
C. Green Energy
A 100 kwp solar power plant was commissioned at one of the Main Switching Centres
(MSCs) of the Company in India. This is the largest rooftop installation in Indias entire
telecom sector, generating 1.5 Lakh units of green energy annually; moreover, planning

to replicate this in its other MSC locations with 300 kwp solar power plants.
D. Green Networks
Conversion of Indoor Sites into Outdoor Ones This year, Bharti Airtel converted about
1,680 base stations from indoor to outdoor sites, eliminating the use of air conditioner at
these locations. This is over and above its initiative to deploy 81% new sites as outdoors
Network Deployment with Low Power Consuming BTS The Company endeavours to
build the network with power-efficient electronics. The new family of BTS consumes
0.8-1.0 KW power. Its diligent efforts in the last five years helped to reduce power
consumption per BTS by 60%
E. e- Annual Report
Bharti Airtel has started distributing annual reports through email, thus helping reduce
paper consumption. The Company has sent the electronic version of the Annual Report
to more than 2 Lakhs shareholders, saving over 2 Cr. pages.

F. e-Bills
The Company was successful in its endeavour to launch e-bills for its post-paid and
fixed-line customers. Today, over 50 Mn of its customers use e-bills. This go-green drive
enabled the Company to save 21,400 trees annually. Moreover, the process of address
verification of post- paid acquisitions also went digital. eWaivers, introduced nationally
for getting waivers approved, is another key initiative aimed at ushering in paperless
processes

BIBLIOGRAPHY

A) REFRENCE BOOKS/DOCUMENTS
ANNUAL REPORT OF AIRTEL FOR F.Y 2012-13
BOOKS PUBLISHED BY AIRTEL.
MAGZINES BY AIRTEL.
BUSINESS MAGZINES

B) NEWSPAPERS
MINT
ECONOMIC TIMES
FINANCIAL EXPRESS

C) WEB SITES
WWW.GOOGLE.COM
WWW.MONEYCONTROL.COM
WWW.ECONOMICTIMES.COM
WWW.BLOOMBERG.COM