JAI BALAJI INDUSTRIES LTD. Corporate Presentation Disclaimer

No representation or warranty, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or opinions contained in this presentation. Such information and opinions are in all events not current after the date of this presentation. Certain statements made in this presentation may not be based on historical information or facts and may be "forward looking statements" based on the currently held beliefs and assumptions of the management of Jai Balaji Industries Limited (“Company” or “Jai Balaji”), which are expressed in good faith and in their opinion reasonable, including those relating to the Company’s general business plans and strategy, its future financial condition and growth prospects and future developments in its industry and its competitive and regulatory environment.

Forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual results, financial condition, performance or achievements of the Company or industry results to differ materially from the results, financial condition, performance or achievements expressed or implied by such forward-looking statements, including future changes or developments in the Company’s business, its competitive environment and political, economic, legal and social conditions. Further, past performance is not necessarily indicative of future results. Given these risks, uncertainties and other factors, viewers of this presentation are cautioned not to place undue reliance on these forward-looking statements. The Company disclaims any obligation to update these forward-looking statements to reflect future events or developments.

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2 Background

ƒ Jai Balaji Industries Ltd. (“JBIL” or “Company”) was incorporated in 1999 by the current promoters, Mr. Aditya Jajodia, Mr. Sanjiv Jajodia and Mr. Rajeev Jajodia ƒ Integrated steel manufacturing company ― Established its 1st Sponge Iron Plant in 2000 with an initial capacity of 50 tons per day

― Currently amongst the largest integrated steel producers in West Bengal* ― Metallics’ capacity of c. 1 million tons per annum (“MnTPA”) ― Products range from metallics (Sponge Iron and Pig Iron) to steel products (TMT bars and Alloy Steels). ― Also currently developing Ductile Iron Pipes and expanding rolling mill facilities to manufacture alloy steel bars ƒ Listed on the National Stock Exchange and Calcutta Stock Exchange in 2003 and on the Bombay Stock Exchange in 2008 with market capitalization of c. Rs. 12,250 million as at 26 August 2009 ƒ High growth in last 5 years ― Gross block (as at 31 March 2009) of Rs. 14,119 million, grown at a CAGR of 99% y-o-y** ― Annual revenue of Rs. 17,495 million for FY09 , grown at a CAGR growth of 70%** ƒ Strategic institutional investors – Citigroup Venture Capital invested Rs. 2,000 million in February 2008 and currently has a c. 11% stake including Board representation – India Equity Partners invested Rs. 733 million in February 2008 for a c. 4% stake including Board representation

* Source: West Bengal Sponge Iron Manufacturers Association (Aug 2009) ** Annual reports of Jai Balaji Industries Limited (formerly known as Jai Balaji Sponge Limited (JBSL)): Growth with respect to JBSL. JBSL and another Jai Balaji Group Company, Shri Ramrupai Balaji Steels Ltd. 3 (“SRBSL”) merged in FY07 Jai Balaji Strengths

Cost efficiency Strong business operations

Integrated operations Demonstrated project execution skills ƒ Single location integrated operations (at Durgapur) with ƒ Company expanded metallics’ capacity from 105,000 Blast Furnace/Kiln for metallics and Induction/Electric TPA in 2005 to c. 1 MnTPA in 4 years (CAGR of 74%) Arc Furnace for steel making ƒ Proven track record in implementing expansion plans ƒ Forward integration into thermo mechanically treated on a timely basis and without incurring significant cost bars (“TMT”) Rods, Billets as well as Ductile Iron Pipes overruns and Alloy Steel Bars (in process) ƒ All capacity expansions except for acquisition of ƒ Backward integration infrastructure including Sinter Nilachal Iron and Power Limited (“NIPL”) and steel Plant, Coal Washery, Captive Power Plants, Coke Oven division of HEG Limited (“HEG”) have been organic (in process) and raw material sources of mines which are expected to be operational in the next couple years

Logistics infrastructure Experienced management team and skilled employee base ƒ Company has built 3 private sidings and procured 4 ƒ The Promoters have been in the steel and ferro alloy rakes of 61 wagons each under the Wagon Investment industry since 1991 Scheme (“WIS”) of Ministry of Railways, GoI ƒ Senior project and technical team members have ƒ Assured supply of 32 rakes per month from the Indian extensive industry experience Railways and 10% discount on freight for the first 24 rakes (75% of rake availability) ƒ Total employee strength of 7,101 employees (4,500 contract employees and 2,601 direct employees) as on ƒ Majority of raw materials and finished products are 30 June 2009 transferred via rail network thereby reducing freight costs

Geographic proximity to raw material sources Subsidies under the West Bengal Investment Scheme, 2000 and West Bengal Power and Intensive Industries Scheme, ƒ All manufacturing facilities are located in the middle of 2004 for the Durgapur Plant India’s mineral belt in the eastern region ƒ Industrial promotion assistance including the state ƒ Proximity to iron-ore and coal mines capital investment subsidy ƒ Well connected by ports and other logistics network ƒ Power subsidy ƒ Capital investment subsidy ƒ Interest subsidy

4 On Its Way to Become Fully Integrated…

Non-coking Coal (Dumri)* Coking Coal (Rohne) ** 38.14 Million Tons (“MnT”) Iron Ore Lumps Iron Ore Fines 17.23 MnT expected in FY10

Raw Materials

Coal Washery Sinter Plant Coke Oven 216,000 TPA 608,256 TPA 300,000 TPA 800,000 TPA (in process)

DRI Kiln (Sponge iron) Captive Power Plant Metallics Blast Furnace (Pig Iron Plant) SpongeSponge IronIron 445,000 TPA 71.1 MW 954,250 TPA 509,250 TPA PigPig IronIron 60,000 TPA (in process) 40 MW (in process)

Ferro Alloy 106,618 TPA

Ferro Alloy Billets and finished Induction Furnace Billets Electric Arc Furnace Ductile Iron Pipe MSMS BilletsBillets products 473,230 TPA 433,000 TPA 240,000 TPA

AlloyAlloy BilletsBillets Ductile Iron Pipes

TMT Rolling Mill Alloy Bars Rolling Mill AlloyAlloy SteelSteel TMTTMT RodsRods 260,000 TPA 300,000 TPA (in process) BarsBars

Backward and forward integration in process ExternalExternal SalesSales

* Estimated proven/indicated reserves of 55.99 MnT Non-coking coal block, obtained through acquisition of Nilachal Iron and Power Limited of which the Company has a 68.12% share and rest with Bajrang Ispat Pvt ltd ** Allocated coking coal block in consortium with JSW Steel and Bhushan Steel with tentative extractable reserve of 250.00 MnT of which Company’s share is c.17.23 MnT 5

Established Project Execution Skills

Sales mix over last 5 year (Rs million) in e value cha oving up th M Ferro Alloy Ferro 290 Pig Iron, Alloy, Pig Iron Silico 61 689 Sponge Manganese 30 Pig Iron Sponge 3,664 Iron,1,859 1,943 Iron Ferro Alloy TMT SpongeSponge 1,027 1,597 Bars, Iron, Sponge 2,255 1,080 Billets / MS Iron 1,080 Billets Billets / MS Ingot 380 TMT TMT Bars Billets Sponge 1,656 2,374 Ingots Bars 5,416 4,502 832 Iron Billets, 4,901 514 Billets 2,588 2,588m

Capacity Expansions Jai Balaji Sponge Ltd. Merger with SRBSL* Acquisition of HEG & NIPL* BY FY 2005 FY 2006 FY 2007 FY 2008 FY2009** Finishing Lines TPA 30,118 (Ferro Alloy) 80,000 (Re-rolling) 51,000 (Ferro Alloy) 25,500 (Ferro Alloy)*** 180,000 (Re-rolling) Metal Capacity TPA 79,200 (MS Billets) 235,224 (MS Billets) 158,806 (MS Billets) 433,000 (Alloy Billets)

Metallic’s TPA 105,000 (Sponge Iron) 120,000 (Sponge Iron) 220,000 (Sponge Iron) 509,250 (Pig Iron) Backward Integration 216,000 TPA Coal Washery 608,256 TPA Sinter Plant 12 MW Power Plant 40 MW Power Plant 12.8 MW Power Plant 6.3 MW Power Plant Logistics 2 Rakes under WIS 2 Railway Sidings 1 Railway Siding 1 Rake under WIS 1 Rake under WIS

Established in FY06 * Source: Annual reports of Jai Balaji Industries Limited (formerly Jai Balaji Sponge Ltd.) ** Ferro Alloy of 25,500 TPA came up in Q1FY10 ***June 2009 6 Cost Effective Logistics Infrastructure

ƒ Company estimates rail transport to be over 50% cheaper than road transport; however transport is limited by siding congestion and non-availability of rakes and locomotives ƒ Approximately 3 tons of raw material required for every 1 ton of steel ƒ Company has already invested in 3 railway sidings at the plant facility and at raw material sourcing locations in Orissa and Chhattisgarh at a cost of Rs. 412m ƒ Procured and delivered 4 railway rakes of 61 Box Wagons each to Indian Railways under the Wagon Investment Scheme at a total cost of Rs. 546m Private railway sidings ƒ Most raw materials transported via rail network

BenefitsBenefits

Railway rakes ƒ Assured allotment of 32 rakes per month from Indian Railways ƒ 10% discount on the freight charges for first 24 rakes under the scheme (75% of rake availability) ƒ Increased flexibility in delivering finished goods ƒ Reduced freight costs ƒ Reduced pilferage, theft and ground loss in transporting raw materials ƒ Reduced turnaround time

7 Proximity to Raw Material

Rohne, Jharkhand Dumri, Jharkhand (Non- (Coking Coal Mine) Coking Coal Mine)

Durgapur, WB Raniganj, WB Purulia Andal, WB ge^ohe^ka tbpq=_bkd^i Non-coking Coal

HEG, Chhattisgarh NIPL, Jharkhand Kolkata, WB

Eastern region coal-belt Coal Mines allocated to Company Haldia, WB (Port) Eastern region iron-ore belt Existing Facilities Greenfield expansion 8 Experienced Promoters

Mr. A. Jajodia ƒ Bachelor of Commerce (Honors) from St. Xavier’s College, Kolkata Chairman and ƒ Over 15 years of experience in the steel and power industry Managing Director ƒ Responsible for all major financial and strategic decisions Age: 38 years ƒ Under his guidance, both the Jai Balaji Group Companies - Jai Balaji Sponge Limited and Shri Ramrupai Balaji Steels Limited – went public on the Indian stock exchanges

Mr. S. Jajodia ƒ Bachelor of Commerce (Honors) from St. Xavier’s College, Kolkata Whole-time Director ƒ Over 2 decades experience in the steel industry Age: 45 years ƒ Supervises and controls overall administration, legal aspects, human resource as well as financial planning of the Jai Balaji Group ƒ Joined the Group in 1991 with Chandi Steel Industries Ltd.

Mr. R. Jajodia ƒ Bachelor of Commerce (Honors) from St. Xavier’s College, Kolkata Non-executive Director ƒ Over 2 decades experience in the steel industry Age 44 years ƒ Manages the operations of the Company and supervises the iron ore and coal linkages, and procurement of other raw materials ƒ Also supervises the sales and marketing function of the Jai Balaji Group ƒ Instrumental in getting coal allocation and implementing railway sidings and purchasing rakes from Indian Railways ƒ Joined the Group in 1991 with Chandi Steel Industries Ltd. Gourav Jajodia ƒ Bachelor of Commerce (Honors) from St. Xavier’s College, Kolkata Non-executive Director ƒ Over 5 years of experience in the steel industry Age 29 years ƒ Supervises the operations and the production process of the Company ƒ Joined the Company in 2008

9 Qualified Management Team

Mr.Chandramukh ƒ B.Tech. and M.Tech. in Chemical Engineering from IIT Kharagpur Patnaik ƒ Spearheading the 5 MnTPA greenfield integrated steel project at Raghunathpur, Purulia Dist of West Bengal Executive Director (Projects) ƒ Over 30 years of experience in operation and projects in major steel companies like Tata Steel, Essar Steel, Ispat, Saudi Iron and Steel, Jindal Stainless and Uttam Galva Age: 57 years ƒ Prior to joining JBIL worked as ED (Technology) with Jindal Steel & Power Limited Mr. Raj Kumar Sharma ƒ B.Com. and ICWA Chief Financial Officer ƒ Over 18 years of experience in finance and accounts with various companies Age: 42 years ƒ Responsible for Company’s finance and accounts operations and other financial strategies ƒ Prior to joining JBIL worked with Adhunik Group

Mr.S.K. Sachan ƒ B.Tech. in Mechanical Engineering from Regional Engineering College, University of Raipur Vice President (Projects) ƒ Leading the company’s expansion and brown field projects at Durgapur, West Bengal Age: 39 years ƒ Over 17 years of experience in project implementation in major steel companies like Malvika Steel and Jindal Steel & Power ƒ Prior to joining JBIL worked with Visa Steel Limited in project implementation

Mr. Partho Kumar Roy ƒ B.Tech. in Metallurgical Engineering from Banaras Hindu University Vice President ƒ Responsible for the development of markets and sale of alloy steel (Marketing) ƒ Over 30 years of experience in marketing of alloy steel products in companies like Gonterman Pipes and Bihar Alloys & Steel Limited Age: 54 years ƒ Prior to joining JBIL worked with Usha Martin Industries Limited as Vice President (Marketing)

Mr. John Joseph ƒ M.A.(SW) from the University of Madras Vice President (HR) ƒ Responsible for formulation and implementation of human resource strategies for the Company Age: 48 years ƒ Over 24 years of experience in all aspects of HR with leading companies like Bharat Heavy Electricals Limited, Shalimar Paints and the OP Jindal Group ƒ Prior to joining JBIL, headed corporate HR for Jindal Steel & Power limited Mr. Bivas Chakraborty ƒ B.Sc. from Calcutta University Deputy General ƒ Responsible for the development of markets and sale of ductile iron pipes (DI Pipes) Manager ƒ Over 20 years of experience in marketing and sale of DI Pipes and other pipe solutions in companies like Bengal Tools Limited and Electro Steel Age: 43 years Casting Limited. Prior to joining JBIL worked with Doshion-Veolia Water Solution Company as Manager (M&S) for its EPC division ƒ 10 Company Strategy

Sustained reduction in raw material procurement costs ƒ Establishing coking coal production at Rohne and non-coking coal production at Dumri and Andal East ƒ Establishing iron-ore and manganese mining operations in Jharkhand

Coal Captive Power Plant

Implement planned expansion Sustained reduction in power costs ƒ MoA with Government of West Bengal to set-up ƒ Expanding waste heat based Captive Power Plant an integrated 5 MnT capacity plant at Purulia capacity by 40 MW expected to be operational in FY10 ƒ Entered into two MoUs with the Government of Chhattisgarh for the development of an integrated ƒ Use waste heat and solid waste such as dolochar, steel plant and a power plant coal fines etc. generated from operations to expand captive power

Increased focus on downstream value added products portfolio

ƒ Recently developed Alloy Steel Electric Furnace with 433,000 TPA ƒ Expanding of Rolling Mill facilities by 300,000 TPA to produce Alloy Steel Bars ƒ Addition of Ductile Iron Pipe capacity by 240,000 TMT Bars TPA Ductile Iron Pipe Facility (Under Construction)

11 Near Term Expansion Plans Leading to …

Existing Facility Additions Planned Total Expanded Expected Costs Expected Facility (TPA) (TPA) Facility (TPA) (Rs. million)* Commission

Rolling Mill (TMT Rods) 260,000 - 260,000 FY11

Rolling Mill (Alloy Steel Bars) - 300,000 300,000 400 Finishing Lines Ductile Iron - 240,000 240,000 1,400** FY10

Ferro Alloy 106,618 106,618 - -

MS Billets 473,230 473,230 - - Metal Capacity Alloy Steel Billets 433,000 433,000 - -

Pig Iron 509,250 509,250 - - Metallic’s Sponge Iron 445,000 60,000 505,000 400

38.14 MnT Dumri Dumri in FY10 Coal Mines - and 17.23 MnT 850 Rohne mines Rohne in FY12

Coal Washery 216,000 800,000 1,016,000 250 FY11 Backward Integration Coke Oven - 300,000 300,000 2,400 FY12

Sinter 608,256 - 608,256 - -

Waste Heat Captive Power 71.1 MW 40 MW 111.1 MW -*** FY10 Plant

Railway Rakes under WIS 4 (61 wagons each) - 4 (61 wagons each) - - Logistics Private Railway Siding 3 Sidings - 3 Sidings - -

* Expected costs over FY10, FY11 and FY12 ** Balance amount to be spent in 2009-10: Total cost of Rs. 2,680 million *** Total costs of Rs. 1,100 million of which c. 95% have been incurred until FY09 (shown in Capital WIP) and will capitalized in the current year 12 … Reduced Raw Material and Power Costs

Product Highest cost Medium cost Low cost Iron-ore Spot market Sinter plant Owned mines

ƒ Acquire Iron Ore Lumps from spot ƒ Purchases lower cost Iron Ore Fines from ƒ NIPL has been granted mining lease over 450 market local vendors and converts to lumps in a hectares for Iron Ore and Manganese ore sinter plant mining in Jharkhand ƒ Commissioned a 608,256 TPA plant in ƒ Geological survey for these mines is expected September 2008 to start in 3rd quarter of FY10

Coking coal Spot market Captive coke oven Captive coke oven and owned mines ƒ Initially Company purchased low ash ƒ Establishing a 300,000 TPA coke-oven ƒ NIPL allocated Coking Coal block at Rohne in Met coke at spot rates for its Durgapur plant consortium with JSW Steel Limited and Bhushan Steel Limited, ƒ Given rising prices, Company has ƒ Total costs expected to be Rs. 2,400m commenced buying in bulk through ƒ Tentative extractable reserve of 250.00 MnT merchant importers on high sea in which Company’s share of coal is approximately 17.23 MnT basis ƒ Expected to be commissioned in FY12 and will contribute to most of the requirement Non-coking Spot market Linkage from Coal India Limited Owned mines coal ƒ A 216,000 TPA Coal Washery set up to ƒ Allocated Non-coking Coal block at Dumri wash coal from the mines in order to which has estimated proved reserves of lower the ash content 55.99 MnT of coal, and the Company has a 68.12% share (38.14 MnT) ƒ Another 800,000 TPA Coal Washery being set up in Jharkhand for the Dumri ƒ Mining plans at Dumri have been prepared coal mines and commercial production is expected by FY10, resulting in significant savings ƒ Also allocated another mine with estimated geological reserve of 700 MnT with Company share being 229.50 MnT Power Market access Grid supply from the State Government Captive Power Plant ƒ Estimated around 40% of power ƒ Generate power from waste heat and solid requirements is met via waste heat based waste such as dolochar, coal midlings etc., captive generation while the balance 60% generated from operations accessed via state grid ƒ Another 40 MW to be commissioned by 3rd quarter of FY10

Current Status Future Plans 13 Organic Growth in Purulia

Purulia Plant ƒ Signed a development agreement with the Government of West Bengal (“GWB”), the West Bengal Industrial Development Corporation Ltd. and the West Bengal Mineral Development and Trading Corporation Limited (“WBMDTC”), for setting up ― 5 MnTPA Integrated steel plant ― 3 MnTPA Cement plant

― 1,215 MW Captive power plant

ƒ c. Rs. 562 million has been incurred including purchase of land

Plant Site ƒ Current Status ― c. 1,130 acres of land have been acquired from the GWB ― GWB has identified and applied for the allocation of three coal blocks in the vicinity of the project site in the name of WBMDTC, which will enter into a coal mining agreement with the Company ― Intend to develop in a modular fashion in phases through 2017 ― Teams have started relocating to begin initial process ― Water clearance , railways traffic clearance , in principle approval from state electricity board for construction power have been received and application for environmental clearance have been submitted

14 Production and Sales over last few Quarter

TMT Bars Billets

60,000 160,000 138,770 138,784 47,077 140,000 45,725 39,68243,109 42,751 43,584 41,851 120,000 39,937 100,709 40,000 100,000 78,835 78,539 27,014 74,843 23,730 80,000 MnT MnT 59,934 60,000 20,000 39,133 38,365 40,000 31,156 20,000 0 0 Q1 '09 Q2 '09 Q3 '09 Q4 '09 Q1 '10 Q1 '09 Q2 '09 Q3 '09 Q4 '09 Q1 '10 Production Sales Production Sales

Pig Iron Sponge Iron

120,000 120,000 95,334 94,343 98,493 100,000 88,110 100,000 88,079 79,686 80,548 80,000 80,000 60,430 57,922 60,000 60,000

45,345 MnT MnT 42,554 46,112 36,581 32,433 40,000 40,000 25,326 23,560 19,476 22,385 20,000 20,000 9,690 12,696 0 0 Q1 '09 Q2 '09 Q3 '09 Q4 '09 Q1 '10 Q1 '09 Q2 '09 Q3 '09 Q4 '09 Q1 '10 Production Sales Production Sales 15 Financial Performance

Net Sales EBITDA and EBITDA Margins

20,000 18,000 17,179 2,500 2,379 20% 16,000 13,275 2,000 14,000 13.2% 17.9% 1,659 15% 12,000 10,188 1,500 1,349 10,000 10% 8,000

Rs. million 1,000 9.7% 6,000 million Rs. 5% 4,000 500 2,000 0 0 0% FY07 FY08 FY09 FY07 FY08 FY09

Gross Block Total Loan Funds (excluding CCDs)

16,000 18,000 14,119 15,454 14,000 16,000 14,000 12,000 11,737 9,870 12,000 10,000 10,000 8,000 6,046 8,000 6,673 6,000 Rs. million Rs. million 6,000 4,000 4,000 2,000 2,000 0 0 FY07 FY08 FY09 FY07 FY08 FY09

16 Consolidated Balance Sheet

Consolidated Balance Sheet (Rs. Million) March 07 March 08 March 09 Sources of Funds Shareholder's Funds Share Capital 251 471 471 Share Capital Suspense 220 - - Application Money towards Equity warrants - 618 618 Preference Share Application Money - - 0 Reserves and Surplus 1,988 3,386 3,406 Total Shareholder's Funds 2,459 4,475 4,495 Loan Funds Secured Loans 5,795 11,090 15,386 Unsecured Loans 878 3,379* 2,801* Total Loan Funds 6,673 14,470 18,187 Deferred Tax Liability 630 697 772 Total Sources of Funds 9,762 19,641 23,454 Application of Funds Gross Block 6,046 9,870 14,119 Less: Depreciation 430 967 1,512 Net Block 5,616 8,903 12,606 Capital Work in Progress 477 3,003 3,207 Net Fixed Assets 6,092 11,905 15,814 Investments 2 38 37 Cash 256 213 225 Other Current Assets 4,904 10,465 10,681 Less: Current Liabilities 1,513 2,980 3,303 Net Current Assets 3,648 7,697 7,603 Miscellaneous 20 - - Total Application of Funds 9,762 19,641 23,454

* Includes Rs. 2733m of CCDs which have been converted in July 09 17 Consolidated Income Statement

Consolidated Income Statement (Rs. million) FY07 FY08 FY09 Sales and Services (Gross) 11,054 15,069 18,953 Less: Excise Duty 866 1,795 1,774 Sales and Services (Net) 10,188 13,275 17,179 Expenses (Increase) / Decrease in Stocks (93) (921) 649 Excise Duty and Cess on Stocks 18 133 (137) Raw Materials Consumed 4,037 6,955 11,142 Purchase of Trading Goods 3,413 2,566 720 Manufacturing Expenses 1,279 1,498 2,196 Personnel Cost 64 189 331 Selling, Distribution and Administrative Expenses 123 465 611 Prior Period Expenditure (Net) (3) 10 7 Total Expenses 8,839 10,895 15,520 EBITDA 1,349 2,379 1,659 Less: Depreciation 234 448 541 EBIT 1,115 1,932 1,118 Other Income 200 566 316 Less: Interest and Finance Charges 354 1,109 1,324 PBT 961 1,388 110 Share of Profit from Associate Company - 11 - Taxes 339 182 92 PAT 622 1,217 18 Diluted EPS (Rs.) 13.16 24.94 0.32

Key Ratios FY07 FY08 FY09 EBITDA Margin 13.2% 17.9% 9.7% EBIT Margin 10.9% 14.6% 6.5% PBT Margin 9.43% 10.30% 0.60% PAT Margin 6.1% 9.1% 0.1% Debt / Equity* 2.71 1.63 2.14

* Post CCD conversion 18 Market Information

Shareholding Pattern (Aug 09) Share price performance over last 2 years

Others 11% Jul 09 - Allotted 84m shares to CVC and Bodies India Equity Partners pursuant to Corporate Aug 08 - Company conversion of CCDs 13% Feb 08 - Company signs MoA with issues 84m zero Government of Jul 09 - Receives Mutual coupon CCDs to CVC Chhattisgarh for shareholder approval Funds and India Equity setting up an for raising US$ 100m 2% partners at Rs. 326.9 integrated steel plant from QIB Promoters 700 450,000 India EP Sep-08 – Crash of 59% Oct 07 - Fund Lehman Brothers Company leading to global 400,000 4% 600 acquires NIPL collapse CVC 11% 350,000 500 300,000

400 250,000

300 200,000 Volume Share Price Market Data (as at 26 Aug 09) 150,000 200 Share Price Rs. 220.80 100,000 Market Capitalization* Rs. 12,250m 100 50,000 Enterprise Value Rs. 27,411m 0 0 EV/ FY09 Sales 1.60 EV / FY09 EBITDA 16.6 Jul-09 Jul-08 Apr-09 Apr-08 Jun-09 Jan-09 Feb-09 Oct-08 Jun-08 Jan-08 Feb-08 Oct-07 Aug-09 Mar-09 Nov-08 Aug-08 Sep-08 Mar-08 Nov-07 Aug-07 Sep-07 Dec-08 Dec-07 May-09 May-08

Post conversion of CCDs 19 APPENDIX Sales and Distribution

ƒ Marketing team of 15 people ƒ Products are primarily sold in the domestic market through short term contracts ƒ Large volume purchasers buy directly from the Company whereas low volume purchasers buy through stockholders and 3 consignment agents ƒ Markets for the metallic, semi-finished and ferro alloy products are usually located within a 50 kilometre radius of our manufacturing facilities, which enables significant savings in transportation cost

Distribution Strategy Target Customers ƒ Sold under the “Balaji Shakti” Thermex TMT Bars ƒ Government Agencies ƒ Sold through 3 consignment agents ƒ Power Projects and Industry Houses ƒ Major civil contractors ƒ Major real estate developers TMT Bars ƒ Retail rural market ƒ Sold through dealer network in local market and northern region (Punjab, ƒ Secondary steel players at present Haryana and UP) ƒ In future, it will be completely for captive use

Pig Iron

ƒ Primarily Captive Usage ƒ Surplus to small non-integrated steel manufacturers ƒ Sold directly to local customers within a 50 KM radius ƒ Command a Rs. 200-300 premium for superior quality and reliability

Sponge Iron

ƒ Primarily captive usage ƒ Surplus to Rolling Mills ƒ Some exported through Trade Houses, when realizations are better

Billets

ƒ Exported through big house traders and merchant exporters ƒ Major steel companies ƒ Conversion agents for some of the large steel companies ƒ Some captive usage

Ferro Alloy 21