Corporate Presentation KEC International Limited

February 2011

1

This presentation may include statements which may constitute forward-looking statements. Allstatements that address expectations or projections about the future, including, but not limited to,statements about the strategy for growth, business development, market position, expenditures, andfinancial results, are forward looking statements. Forward-looking statements are based on certainassumptions and expectations of future events. The company cannot guarantee that these assumptionsand expectations are accurate or will be realised. The actual results, performance or achievements,could thus differ materially from those projected in any such forward-looking statements. Thecompany assumes no responsibility to publicly amend, modify or revise any forward-looking statements,on the basis of any subsequent developments, information or events, or otherwise.

While every effort is made to ensure that this presentation conforms with all applicable legalrequirements, the company does not warrant that it is complete, comprehensive or accurate, or committo its being updated. No part of the information provided herein is to be construed as a solicitation tomake any financial investment and is provided for information only. Any person/ party intending toprovide finance / invest in the shares/businesses of the Company shall do so after seeking their ownprofessional advice and after carrying out their own due diligence procedure to ensure that they aremaking an informed decision.

In no event shall the company be liable for any damages whatsoever, whether direct, incidental,indirect, consequential or special damages of any kind or including, without limitation, those resultingfrom loss of profit, loss of contracts, goodwill, data, information, income, expected savings or businessrelationships arising out of or in connection with the use of this presentation.

Disclaimer

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INDEX

Company Profile

Business Overview

Management Team

Way forward

Financial Performance

3

KEC - Part of the RPG Group

Established in 1979, India’s one of the fastest growing business groups

Turnover - Rs. 17,000 Crore ($ 3.7 bn.)

Established across 8 Business Sectors

16 + Companies

40000 + employees

400000 + Shareholders

RPG Group

Revenue Share as on 31st March 2010

Power

InfraInfra IT

Carbon Black

Retail Entertainment

Tyre

Speciality4

Infrastructure27%

Power22%Tyre

21%

IT6%

Retail8%

Entertainment1%

Carbon Black9%

Speciality6%

KEC - Introduction

• Turnkey transmission lines upto 800KV

• Tower Supply• Tower Testing

upto1200Kv• Design and

Engg. services

Power Transmission

• Turnkey Substation

• Rural Electrification

• Balance of plant Electricals

• Design &Engg. of sub-stations upto 500 kV

• HT, LT and EHV power cables

• Optic fiber cables & jelly filled telecom cables

• Railway and instrumentation cables

• Top 5 in EHV cables

• Railway electrification & Power systems

• Civil Infrastructure,earthwork, bridges, tunnels

• Track laying• Signaling

• Turnkey Telecom Tower sites

• OPGW/ADSS/OFC networks

• Installation of GSM/CDMA Equipment

• SCADA ,Toll Plaza

Power Systems Cables Railways Telecom

5

KEC IntroductionEBITDA & PAT FY 2009, 2010Revenues & Order book FY 2009,2010

Shareholding pattern – 31st March 2010

302

407

117

190

0

50

100

150

200

250

300

350

400

450

2008-09 2009-10

EBDITA

PAT

US $ mn 64 25 87 40

42%

45%

13%

PromotersDII/FIIOthers

34293907

51635707

0

1000

2000

3000

4000

5000

6000

2008-09 2009-10

Net Sales (Rs. Cr)

Order Book (Rs.Cr.)

US $ mn 730 1103 831 1188

* Unaudited

Results : Q3 – FY 2010-11*

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Particulars Q2 FY 2011 Q2 FY 2011

Rs.(crore) $(mn)

Revenues 1071 233

YoY Growth 12.9% 12.9%

EBITDA 125 27

EBITDA margin(%) 11.6% 11.6%

PAT 58 13

PAT margin(%) 5.4% 5.4%

Order Book 8018 1,743

Historical Milestones1945

1960

1961

1968

1975

Kamani Engg. Corp. established for manufacture, enameling and trading for Hollowware

1982

1999

2007

2010

2010

First international order received from New Zealand

First Indian company to get a Railway Electrification order

Full turnkey transmission line project awarded in Sudan

First 400KV line in India successfully completed

Taken over by RPG group

First 765KV tower project

Merger of RPG Transmission Limited and NITEL. Telecom, Railway and Distribution SBU started

RPG Cables merges with KEC and Cables SBU established;Largest tower Testing Station of 1,200 KV inaugurated in Nagpur

Acquires SAE towers – Americas No.1 lattice tower manufacturer

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Our ValuesVision

Culture Pillars

To be a global leader in Power Transmission EPC business and a significant player in otherinfrastructure businesses, providing superior value to all stakeholders

• Delivery Focus• Cost & Profitability Focus• Ownership & Accountability• Cross Functional Teamwork

• Empowering Performance• Valuing People• Providing Diverse Opportunities• Forward Looking

Award GalleryEEPC India 2006-07 2007-08 & 2008-09 Gold Trophy Merchant Exporter category

Top Exporter Maharashtra state -2006-07& 2007-08

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INDEX

Company Profile

Business Overview

Management Team

Way forward

Financial Performance

9

Power Transmission InternationalKey Highlights

• Over 60 years experience internationally in turnkey construction ;

• Capable of executing transmission projects of

Any voltage

Any terrain, climate

Any geographical location

• Strong presence in Middle East, Africa, Central Asia

• Increased presence in North & Latin America with the acquisition of SAE Towers

• Successfully executed power transmission projects in over 40 countries

• Presently executing projects in over 25 countries

• Unparalleled strength in the design of very complex and large towers with a state of theart in-house Design & Engineering centre

• Developed in-house expertise to execute hot line stringing and OPGW jointing works

• Preferred contractor for Emergency restoration works

• Over the years ,have developed specialty in cross border transmission works

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• SAE towers is a wholly owned entity of KEC international w.e.f. 23rd Sep 2010

• Leading tower manufacturing company in North America and Latin America

• The company manufactures lattice towers, steel poles and related hardwares

• Annual production capacity - 100,000 MTs (Mexico - 35,000 MTs, Brazil – 65,000 MTs)

• Dominant Market Position – SAE enjoys highest market share in Americas

• In-house Engineering, Design & Tower Testing capabilities

SAE Towers

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Global Footprint

Projects undertaken by KEC

Tower Supply12

Client List - Transmission (International)Middle East Africa Central Asia & Others

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US / Canada Mexico Brazil

Client List –SAE Towers

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Dust Storms - Iraq Villages - Ghana

Cities – Abu Dhabi Deserts – Abu Dhabi, Libya Forests – Kenya

Projects in Diverse terrain

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Projects in Diverse terrain

Mountains, Hills - UAE/Saudi

Seas/Rivers – UAE, Nigeria, Egypt

Access Road in Mountains - UAE/Saudi

Snowfields - Algeria/Kazak

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Growing Global Opportunities World Energy consumption - 2015, 2030

Global Investment Trends in Power sector 2015,2030 Geographical Region Year 2007-15 ($ 2007 billion) Year 2016-30 ($ 2007 billion)

Capacity(GW) Generation Transmission Distribution Capacity(GW) Generation Transmission DistributionNorth America 215 379 121 260 480 1136 238 512Europe 221 457 93 281 465 1048 94 286Pacific 78 146 65 115 163 283 71 124E. Europe/Eurasia 137 180 55 183 159 274 51 173Asia 781 794 433 894 1170 1379 596 1231Middle East 78 59 32 67 160 135 71 146Africa 59 59 28 58 91 159 47 97Latin America 121 123 41 84 149 230 72 148Total 1691 2197 867 1941 2837 4644 1239 2716

Geographical Region

Estimated World Consumption (Twh)2006 2015 2030 2006-2030 2006-2015

North America 4413 4870 5774 1.1% 1.2%Europe 3022 3469 3980 1.2% 1.7%Pacific 1601 1837 2089 1.1% 1.7%E. Europe/Eurasia 1165 1514 1860 2.0% 3.3%Asia 3669 6574 10589 4.5% 7.6%China 2358 4554 6958 4.6% 8.6%India 506 893 1935 5.7% 7.4%Middle East 539 793 1353 3.9% 4.9%Africa 479 667 997 3.1% 4.2%Latin America 777 1032 1498 2.8% 3.6%Total 15665 20757 28141 2.5% 3.6%

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Power Transmission - South Asia

Key Highlights

Clients

• One of the oldest company executing turkey construction projects in India

• Currently executing 1200 kV D/C test line in Bina Substation for PGCIL, first in India

• First company in India to erect 765kV compact line; Proven expertise to execute 765 Kvline in India

• Presently executing projects in over 20 states

• Executing over 30 projects for PGCIL and over 30 projects for State & Private clients

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Showcase Projects

Towers – 765 kV line Transmission Towers – 400 Kv line

HVDC Line 800Kv DC Compact line 19

Showcase Projects

Transmission Towers – Chennai CHS Gantry - Kolkata

River crossing tower – Ganga Hilly Terrain – Tehri Project

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Distribution

Clients

Key Highlights• Have electrified 7500 villages and generated approx. 2,25,000 Below Poverty Line connections in

India

• Entered the elite club of 400 kV substation segment by securing its first ever 400 kV substation order from PGCIL on a turnkey basis

• Strategic alliance with Power Engineers Inc., USA and undertakes complete Design & Engineering of Substations upto 500 kV in India and Overseas

• Undertakes rural electrification under RGGVY scheme

• Projects are in progress in Afghanistan, Kenya, Ghana & Bhutan

• Tapping potential in South East Asia & CIS region of both sub-station & distribution projects.

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Opportunities – Indian power sector

Source : Planning Commission

As per XI Plan (2007-12) Distribution Investment (Rs. Cr.)

Sub Transmission & Distribution 1, 97,000 RGGVY 40,000Phase 1 24,000Phase 2 16,000APDRP/ Other Schemes(pumpsets etc.) 40,000Decentralised Distributed Generation 20, 000 Others 10,000TOTAL – XI Plan 3,07,000 Investment in XII Plan 4,00,060

Planned Investment - Transmission

Planned Investment - Distribution

Implementing agencies XI Plan Transmission Investment (Rs. Crore)

Power Grid Corporation India Ltd. (PGCIL) 55,000

State Electricity Boards/State Electricity Transmission company/

65,000

Private Players 20,000

TOTAL - XI Plan 140,000

Investment in XII Plan 2,40,000

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Showcase Projects

Substation - RGGVY

Substation - RGGVY

Substation –Kenya

Substation –Tajikistan23

Cables

Clients

Key Highlights• One of the oldest & largest fully integrated cable manufacturers in India

• End-to-end cable solutions for distribution power evacuation

• Manufactures a range of control & power cables critical for industrial expansion in steel, power, cement,petrochemical, automobile , infrastructure & agriculture industries

• Manufactures Optic Fiber and Jelly Filled Copper Telecom Cables for the Telecom Network• Pioneer in manufacture of XLPE cables having the largest installed base of 132 kV cables in India• 3 manufacturing facilities located Mysore, Thane & Silvassa

• Proposed new green-field facility being commissioned at Baroda (Gujarat, India)

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Railways Infrastructure

Clients

Key Highlights

• Provides EPC services in Infrastructure which includes earth work, track laying, electrification and signaling, bridgework, platform construction, power systems etc.

• Total solution provider in Railway infrastructure - Both India & International

• Electrified 5000 kms of Indian Railway track

• Current visibility of over Rs. 450 crore which includes composite railway construction and overseas contract in Malaysia

119658

34225 40964 49525 6039376701

261808

0

50000

100000

150000

200000

250000

300000

Tenth 2007-08 2008-09 2009-10 2010-11 2011-12 Eleventh

Rs.Crores

Opportunities Railways

Source : Planning Commission25

Telecom Infrastructure

• Turnkey telecom tower sites using Angular, Tubular and Hybrid Towers to operators and towermanagement companies globally

• Managing ~400 telecom sites on BOO basis for USOF in Chhattisgarh, Meghalaya and Mizoram

• OPGW /ADSS/OFC Networks including equipment integration

• Approved global supplier for NOKIA

• Partnership with Andrews Comscope, global wireless infrastructure company

Clients

Key Highlights

Source : Planning Commission

103365

31375 38134 4859361646

78690

258439

0

50000

100000

150000

200000

250000

300000

Tenth 2007-08 2008-09 2009-10 2010-11 2011-12 Eleventh

Opportunities TelecomRs.Crores

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Pan India Presence

OfficesProjectsFactories

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Manufacturing Facilities - Towers

• KEC is the second largest tower manufacturing company in the world

• Multi- locational plants

• India – Jabalpur (Madhya Pradesh), Jaipur (Rajasthan) and Butibori, Nagpur (Maharashtra)

• Americas – Monterrey (Mexico) , Bal Horizonte (Brazil)

• Manufacturing Capacity

• Owned –151,000 MTs (KEC) and 100,000 MTs (SAE Towers)

• Dedicated Value Added Partners : 60,000 MTs

• Manufactures Transmission towers, Telecom towers, Substation structure, Steel poles

• ISO 9001 | ISO 14001 I OHSAS 18001 certified to give world class quality

India Brazil

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Manufacturing Facilities - Cables

• Installed capacity: 10,000km• Enjoys cheapest power tariff and sales tax benefits

LOW TENSION POWER CABLES

• Jelly filled telecom: 1.2 mm CKM• Optic fibre cables: 0.36mm CKM• LT power cables: 5,000km• Railway cables: 1,000km• Instrumentation cables: 2,400km

TELECOM & RAILWAY CABLES

• Installed capacity: 1,000km• Leading manufacturer and pioneer in introducing XLPE cables in India

HIGH TENSION POWER CABLES

Thane

Mysore

Silvassa 29

Tower Testing Capabilities

• KEC is the only company in the world having 4 multi- locational tower testing stations

- India - Butibori (Nagpur), Jabalpur (M.P.), Jaipur (Rajasthan)

- Americas - Bal Horizonte (Brazil)

• All the testing stations are strategically located near to the manufacturing facilities.

• KEC is capable to test all types of towers - Lattices , Tubular, Guyed towers & Mono Poles

• Butibori (Nagpur) facility is the world’s largest tower testing station capable of testing towers upto 1200 kV

• Brazil Testing station is the largest in Americas

World largest tower testing station at Butibori (Nagpur), testing 1200 kV tower

India Brazil

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000000``

000000``

Design & Engineering Capabilities

• New state of the art training institute with modern facilities set up in Butibori (Nagpur)

• Objective is to create a large pool of supervisory talent for T&D industry and train them in the latest technology and techniques in transmission.

Design & Engineering

Training Institute

• The Company has in-house design centers with strong team of over 150 design experts spread in India & Americas

• Design facilities equipped with latest software like BOCAD, PLS Tower, PLS CAD, Google Earth

• Fully equipped to provide computerized engineering solutions, 3D analysis and design for optimizing steel usage

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INDEX

Company Profile

Business Overview

Management Team

Way forward

Financial Performance

32

Diversified Order BookOrder Book - Geography WiseOrder Book - Business Segment Wise

Recent Significant Wins

Current Order Book Position - Rs. 8018 Crores

33

• KEC wins orders worth 942 crore in the substation segment; marking a successful entry into 1150kV & 500kV. This order is in consortium with local company in which KEC share is Rs. 550 crore.

• Wins major orders in the 765kV transmission segment from RRVPN, PGCIL and Eskom worth Rs. 876 cr.

• Enters in Balance of Plant Segment – Secures Rs. 40 crore order from NMDC limited• Secures supply orders for Telecom Cables, Low Tension, High Tension and Extra High Voltage Power

Cables worth Rs. 135 crore

72%

20%

2% 1%

5%

Transmission

Power Systems

Cables

Telecom

Railways

15%

20%

10%

9%

1%

45%

MENA

Africa/Central Asia

Americas

SAE Towers

Others

South Asia

Financial Performance

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17272041

2814

3429

3907

0

500

1000

1500

2000

2500

3000

3500

4000

4500

2005-06 2006-07 2007-08 2008-09 2009-10US $ mn 367 434 599 730 831

CAGR 26 %

2506

3086

4318

5163

5707

0

1000

2000

3000

4000

5000

6000

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

CAGR 18 %

US $ mn 533 657 919 1099 1214

163

253

355

302

407

0

50

100

150

200

250

300

350

400

450

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

CAGR 26 %

US $ mn 35 54 75 64 87

49

105

172

117

190

0

20

40

60

80

100

120

140

160

180

200

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

CAGR 35 %

US $ mn 10 22 37 25 40

Revenues Order Book

EBITDA PAT

INDEX

Company Profile

Business Overview

Management Team

Way forward

Financial Performance

35

Highly Experienced Team

Meritorious C.A. with an Advanced managementProgramme from Harvard Business School. He has 39 yearsof varied experience across textile, edible oils & Engg.Industries & also geographies. He is the Vice President ofIEEMA along with being a esteemed member of otherAssociations

Ramesh Chandak MD & CEO

Science graduate & MBA from IMDR, Pune. He more than 26 years of experience in Engg, Print , Media & telecom sector

Vimal Kejriwal President –Transmission Business

Meritorious C.A , C.S. with an AEP from Kellogg. He has more than 30 years of experience across pharmaceuticals, fertilizer, banking and oil & gas sectors

George Varghese President- Distribution Business

Post graduate in PM & IR with GAMP fromISB-Kellogg & Michigan University executiveprogramme. He has 22 years of experience inHR across pharmaceutical, Infrastructure &other sectors

C.A. with experience of over 23 years inareas of Finance, Accounts, Tax & legalmatters. Previous experience inpharmaceutical & FMCG sector

Vardhan DharkarCFO

Yugesh GoutamVP - HR

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Highly Experienced Team (Contd..)

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Luigi RuggieriCEO, SAE Towers

Engineer with over 35 years of experience in power industry, Headed the Power Line Components business globally for ABB

Mechanical engineer & an M.B.A from M.D.I. He more than 33 years of experience in manufacturing & general management

N.C Venugopal ED - South Asia

Nikhil Gupta ED - Cables

Meritorious C.A and B.A economics. He has nearly three decades of experience in consultancy & manufacturing sector

Post graduate in Operation Research with 31 years of experience in Telecom and IT Industry

Engineer & M.B.A from FMS with Leadership programme from ISB. He has over 33 years of experience in industrial projects & Transmission & Distribution area

A.K Sharma CE Telecom

Sanjay Chandra CE Railways

Electrical Engineer with 29 years of experience across sectors - railway , electrical, signaling and EPC construction projects

A Bhattacharya CE Power Systems

INDEX

Company Profile

Business Overview

Way forward

Financial Performance

38

Newer Horizons – Water Management

Options in Water Sector

• Resource Management New Source Development;Resource protection;

• Supply ManagementWater TreatmentTransmission & PumpingDistribution management

• Waste ManagementSewerage TreatmentIndustrial Effluent treatment

Irrigation Projects Hydro Electric Project Work Embankment work Flood Control

KEC entry StrategyImmediate

Focus Areas

Design,Suppy, Construction of Treatment plants Laying & rehabilitation of

pipelines24 X 7 Water Operation & Maintenance

KEC entry StrategyMedium Term

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Thank You

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