Aditya Birla Retail Ltd. More.

Aditya Birla Retail Limited is the retail arm of Aditya Birla Group, a USD 28 billion Corporation. The Company ventured into food and grocery retail sector in 2007 with the acquisition of a south based supermarket chain. Subsequently Aditya Birla Retail Ltd. expanded its presence across the country under the brand "more." with 2 formats Supermarket & Hypermarket.

Management Team-:
1.Pranab Barua, Business Head - Apparel and Retail A graduate in English honours from St Stephens College, New Delhi, he has over 35 years of professional experience working in different companies and industries. In particular his rich and diverse background includes being Sales and Marketing Director of Brooke Bond India Ltd, Foods Director on the Hindustan Unilever Board, Chairman and Managing Director of Reckitt Benckiser, and Regional Director, Reckitt Benckiser for South Asia. He has also worked closely with Private Equity Groups like IL&FS, Actis and India Value Fund for their investor companies like Godrej Tea and Trinethra Super Retail.

2.Russell Berman, CEO - Hypermarket Russell is a Global Retailer, with more than 24 years of international experience with some of the biggest retailers like McDonald's, Auchan, Lian Hua, and Carrefour in various capacities. He holds a Bachelor of Arts Degree from University of Michigan, and Master of Arts from University of Chicago.

3.Vishak Kumar, CEO - Supermarket

4.Atul Daga, CFO

A finance professional with over 23 years of experience with the Aditya Birla Group in various businesses viz. Cement, Aluminium, Carbon Black.

Instrumental in creating a common MIS platform across the various business of the Group.

Involved in critical financial restructuring of overseas operations Worked as Executive Assistant to Mr. Aditya Vikram Birla. Won the Chairman's Exceptional Contributor award in 2009 A Chartered Accountant; Attended a Leadership Best Practices program at Harvard Business School.

5.Ramesh Mitragotri, CPO Ramesh is a seasoned HR professional with over 23 years of rich experience in Human Resources including a two year stint in Corporate Communications. Prior to joining the Retail business of the Aditya Birla Group, Ramesh was Joint Executive President for the Cement Marketing Division of Grasim Industries, a part of the Cement Business of the Group.Throughout his career he has worked extensively in the introduction of innovative HR Processes and Policies and has been associated with companies like include Owens Corning (India) Ltd., Philips India Ltd., VIP Industries Ltd., Wockhardt Ltd. etc.

6.Manoj Krishnan, CIO Manoj started his career with HUL, and brings with him over 17 years of rich experience in Information Technology. He was responsible for IT solutions in the area of Manufacturing and Supply Chain (Logistics), and led the SAP

implementation for HUL across 120 HUL manufacturing locations, central logistics function and financial consolidation. A B.Tech in Computer Science from University of Calicut, Manoj is also a Post Graduate from IIM Bangalore.

7.Gopalakrishnan, Head - Quality

More Mission-:

Our mission is to change the way people shop. We will give them more." says Mr. Kumar Mangalam Birla

Mr. Kumar Mangalam Birla, Chairman, Aditya Birla Group, today unveiled the brand name under which the Group's retail business will operate "more.". Addressing the media in Mumbai, Mr. Birla said, "We believe that the Indian consumer today is underserved. Even though we have many shopping outlets in India, many of them do not offer the kind of shopping experiences that people in most other parts of the world are used to, and even take for granted. As a result, spends by Indian consumers on their day-to-day needs and special shopping occasions are much less than they ought to be." "Part of the reason for the underdevelopment of the Indian shopping environment is the lack of suitable infrastructure whether it be the lack of economically viable real estate, a developed supply chain, the availability of trained manpower or backward linkages with suppliers. Our mission is to change the way people shop. We will give the Indian consumers a fundamentally better shopping experience. We will offer them more. than what they expect. Hence the brand more.", averred Mr. Birla. "We intend to be among the leading players in India," stated Mr. Birla. Elaborating on Aditya Birla Retail's strategy, he said that they would provide multi-shopping formats, a series of conveniently located neighbourhood supermarkets that would stock the daily and weekly household shopping needs and destination hypermarkets that cater to monthly and event-based

shopping needs. The Group envisions having a national presence with both these formats in the not-so-distant future. Mr. Birla announced that the first supermarkets under the more. brand name would open shortly in Pune and then quickly expand to other major cities in India. Aditya Birla Retail intends to differentiate itself by providing very competitive prices and the right selection of products in a friendly and exciting environment. Over time, they will be developing their own products. To ensure the freshest supply of fruits and vegetables to customers, the company is building linkages directly with the farmers. They are also in the process of architecting a supply chain to connect households more directly to farmers and towards this invest appropriately in backend infrastructure. In January this year, the Group had acquired Trinethra Super Retail which has given them more than half a million square feet of selling area and a strong presence in the supermarket business in the four southern states of Andhra Pradesh, Karnataka, Tamil Nadu and Kerala, where it is the No.1 retailer. Plans to increase its penetration in the south and initiate a pan-India roll-out are on the anvil. Across all of Aditya Birla Retail's formats, the brand name will be common, i.e. more. The company does not intend having a joint venture partner given that the Aditya Birla Group has the necessary competencies inhouse. The investment in retail will not be out of any of the listed companies in the Aditya Birla Group, informed Mr. Birla. Mr. Sumant Sinha, the CEO of the retail business said, "more. is an aspirational brand for an aspirational country. We have a bright and committed, enthusiastic team that represents the best experience from India and globally. Already on board are Mr. Andrew Denby to head the supermarkets, and Mr. Russell Berman, for the hypermarkets. We are all very excited about our business".

Supermarket

more. - Conveniently located in neighbourhoods, more. supermarkets cater to the daily, weekly and monthly shopping needs of consumers. The product offerings include a wide range of fresh fruits & vegetables, groceries, personal care, home care, general merchandise & a basic range of apparels. Currently, there are over 575 more. supermarkets across the country.

Hypermarket

more.MEGASTORE - is a one-stop shopping destination for the entire family. Besides a large range of products across fruits & vegetables, groceries, FMCG products, more.MEGASTORE also has a strong emphasis on general merchandise, apparels & CDIT.

Currently, eleven hypermarkets operate under the brand more.MEGASTORE in Mysore, Vadodara, Indore, Mahadevpura & Old Madras Road (Old Chetan Talkies) in Bengaluru, Mumbai, Hyderabad, Vashi, Rohini & Kirti Nagar in New Delhi & Nashik

Clubmore. - our loyalty program, currently has a strong membership base of over 1 million members.

Aditya Birla Retail Limited. currently has an employee strength of over 11,000. Key functions are headed by professionals with vast retail experience in India & globally.

Quality & Value through own labels:

Aditya Birla Retail Ltd provides customers a wide choice of products under its own labels. The

objective is to provide quality products at attractive price points to customers. Since quality of the products is of prime importance, stringent quality norms have been set and are followed. All manufacturing partners are the best in their class.

Own label Food Brands

1.More 2.Feasters 3.Kitchen's Promise 4.Best of India

Home & Personal care brands

1.More. 2.Enriche 3.110% 4.Pestex 5.Paradise 6.Germex

Retailing in India is one of the pillars of its economy and accounts for 14 to 15 percent of its GDP. The Indian retail market is estimated to be US$ 450 billion and one of the top five retail markets in the world by economic value. India is one of the fastest growing retail market in the world, with 1.2 billion people.

India's retailing industry is essentially owner manned small shops. In 2010, larger format convenience stores and supermarkets accounted for about 4 percent of the industry, and these were present only in large urban centers. India's retail and logistics industry employs about 40 million Indians (3.3% of Indian population). Until 2011, Indian central government denied foreign direct investment (FDI) in multi-brand retail, forbidding foreign groups from any ownership in supermarkets, convenience stores or any retail outlets. Even single-brand retail was limited to 51% ownership and a bureaucratic process. In November 2011, India's central government announced retail reforms for both multi-brand stores and single-brand stores. These market reforms paved the way for retail innovation and competition with multi-brand retailers such as Walmart, Carrefour and Tesco, as well single brand majors such as Nike, and Apple. The announcement sparked intense activism, both in opposition and in support of the reforms. In December 2011, under pressure from the opposition, Indian government placed the retail reforms on hold till it reaches a consensus. In January 2012, India approved reforms for single-brand stores welcoming anyone in the world to innovate in Indian retail market with 100% ownership, but imposed the requirement that the single brand retailer source 30 percent of its goods from India. Indian government continues the hold on retail reforms for multi-brand stores. IKEA announced in January that it is putting on hold its plan to open stores in India because of the 30 percent requirement.Fitch believes that the 30 percent requirement is likely to significantly delay if not prevent most single brand majors from Europe, USA and Japan from opening stores and creating associated jobs in India.

Growth over 1997-2010 India in 1997 allowed foreign direct investment (FDI) in cash and carry wholesale. Then, it required government approval. The approval requirement was relaxed, and automatic permission was granted in 2006. Between 2000 to 2010, Indian retail attracted about $1.8 billion in foreign direct investment, representing a very small 1.5% of total investment flow into India. Single brand retailing attracted 94 proposals between 2006 and 2010, of which 57 were approved and implemented. For a country of 1.2 billion people, this is a very small number. Some claim one of the primary restraint inhibiting better participation was that India required single brand retailers to limit their ownership in Indian outlets to 51%. China in contrast allows 100% ownership by foreign companies in both single brand and multi-brand retail presence. Indian retail has experienced limited growth, and its spoilage of food harvest is amongst the highest in the world, because of very limited integrated cold-chain and other infrastructure. India has only 5386 stand-alone cold storages, having a total capacity of 23.6 million metric tons. However, 80 percent of this storage is used only for potatoes. The remaining infrastructure capacity is less than 1% of the annual farm output of India, and grossly inadequate during peak harvest seasons. This leads to about 30% losses in certain perishable agricultural output in India, on average, every year. Indian laws already allow foreign direct investment in cold-chain infrastructure to the extent of 100 percent. There has been no interest in foreign direct investment in cold storage infrastructure build out. Experts claim that cold storage infrastructure will become economically viable only when there is strong and contractually-

binding demand from organized retail. The risk of cold storing perishable food, without an assured way to move and sell it, puts the economic viability of expensive cold storage in doubt. In the absence of organized retail competition and with a ban on foreign direct investment in multi-brand retailers, foreign direct investments are unlikely to begin in cold storage and farm logistics infrastructure. Until 2010, intermediaries and middlemen in India have dominated the value chain. Due to a number of intermediaries involved in the traditional Indian retail chain, norms are flouted and pricing lacks transparency. Small Indian farmers realize only 1/3rd of the total price paid by the final Indian consumer, as against 2/3rd by farmers in nations with a higher share of organized retail. The 60%+ margins for middlemen and traditional retail shops have limited growth and prevented innovation in Indian retail industry. India has had years of debate and discussions on the risks and prudence of allowing innovation and competition within its retail industry. Numerous economists repeatedly recommended to the Government of India that legal restrictions on organized retail must be removed, and the retail industry in India must be opened to competition. For example, in an invited address to the Indian parliament in December 2010, Jagdish Bhagwati, Professor of Economics and Law at the Columbia University analysed the relationship between growth and poverty reduction, then urged the Indian parliament to extend economic reforms by freeing up of the retail sector, further liberalisation of trade in all sectors, and introducing labor market reforms. Such reforms Professor Bhagwati argued will accelerate economic growth and make a sustainable difference in the life of India's poorest. A 2007 report noted that an increasing number of people in India are turning to the services sector for employment due to the relative low compensation offered by the

traditional agriculture and manufacturing sectors. The organized retail market is growing at 35 percent annually while growth of unorganized retail sector is pegged at 6 percent. The Retail Business in India is currently at the point of inflection. As of 2008, rapid change with investments to the tune of US $ 25 billion were being planned by several Indian and multinational companies in the next 5 years. It is a huge industry in terms of size and according to India Brand Equity Foundation (IBEF), it is valued at about US$ 395.96 billion. Organized retail is expected to garner about 16-18 percent of the total retail market (US $ 65-75 billion) in the next 5 years. India has topped the A.T. Kearneys annual Global Retail Development Index (GRDI) for the third consecutive year, maintaining its position as the most attractive market for retail investment. The Indian economy has registered a growth of 8% for 2007. The predictions for 2008 is 7.9%. The enormous growth of the retail industry has created a huge demand for real estate. Property developers are creating retail real estate at an aggressive pace and by 2010, 300 malls are estimated to be operational in the country. Growth after 2011 Before 2011, India had prevented innovation and organized competition in its consumer retail industry. Several studies claim that the lack of infrastructure and competitive retail industry is a key cause of India's persistently high inflation. Furthermore, because of unorganized retail, in a nation where malnutrition remains a serious problem, food waste is rife. Well over 30% of food staples and perishable goods produced in India spoils because poor infrastructure and small retail outlets

prevent hygienic storage and movement of the goods from the farmer to the consumer. One report estimates the 2011 Indian retail market as generating sales of about $470 billion a year, of which a miniscule $27 billion comes from organized retail such as supermarkets, chain stores with centralized operations and shops in malls. The opening of retail industry to free market competition, some claim will enable rapid growth in retail sector of Indian economy. Others believe the growth of Indian retail industry will take time, with organized retail possibly needing a decade to grow to a 25% share. A 25% market share, given the expected growth of Indian retail industry through 2021, is estimated to be over $250 billion a year: a revenue equal to the 2009 revenue share from Japan for the world's 250 largest retailers. The Economist forecasts that Indian retail will nearly double in economic value, expanding by about $400 billion by 2020. The projected increase alone is equivalent to the current retail market size of France. In 2011, food accounted for 70% of Indian retail, but was under-represented by organized retail. A.T. Kearney estimates India's organized retail had a 31% share in clothing and apparel, while the home supplies retail was growing between 20% to 30% per year. These data correspond to retail prospects prior to November announcement of the retail reform.

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Customer Name : ___________________________________________ Address : ___________________________________ ___________________________________________ Contact No: ________________________________ Club more No: ________________________________

Customer Name : _______ Address : ______________ ______________________ Contact No: ____________ Club more No: __________

Feedback / Suggestion Product related : Fruits and vegetable Staples Damaged / expired stock Any other Product related :

Non-availability of a product Product Details:_____________________________ __________________________________________________________________________ Service Related: Poor sales service Delay in committed quality / time Lack of knowledge Non-availability of staff in section Any other Name of the person involved:__________________ ____________________________________________________________ Offers and Promotions Unavailability of Offer Product Bad offers Prices Any other Name of the person involved:__________________ ____________________________________________________________ Billing Price mismatch at the cash counter

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Discounted Price not reflected Billing time Any other Details : ________________________________________ ____________________________________________________________ Ambience Related: AC / FAN CHILLER/ Freezer LIGHTS WEIGHING MACHINE Store cleanliness ANY OTHER Details : ________________________________________ ____________________________________________________________ Club more related Permanent Card Redemption ANY OTHER Any other Feedback about store _______________ ___________________________________________________________ ___________________________________________________________ ___________________________________________________________

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