Board's Report

Transformational Network

Board’s Report

Dear Members, Consolidated Financial Highlights (IGAAP) Your Directors have pleasure in presenting the 21st Board FY 2015-16 FY 2014-15 Report on the Company’s business and operations, together Particulars ` USD ` USD ZLWK DXGLWHG ǌQDQFLDO VWDWHPHQWV DQG DFFRXQWV IRU WKH Millions Millions* Millions Millions* ǌQDQFLDO\HDUHQGHG0DUFK Gross revenue 1,009,373 15,415 961,007 15,728 EBITDA before 378,133 5,775 356,978 5,872 Company Overview exceptional Bharti Airtel is among the top three mobile service providers items globally with presence in 20 countries, including India, &DVKSURǟWIURP 291,115 4,446 312,513 5,115 Sri Lanka, Bangladesh and 17 countries in the African operations continent. Earnings before 106,677 1,629 105,398 1,725 taxation 7KH &RPSDQ\šV GLYHUVLǌHG VHUYLFH UDQJH LQFOXGHV PRELOH Net Income / 44,566 680 46,208 756 voice and data solutions, using 2G, 3G and 4G technologies. (Loss) Its service portfolio comprises an integrated suite of telecom * 1 USD = `([FKDQJH5DWHIRUWKHǌQDQFLDO\HDUHQGHG0DUFK solutions to its customers, besides providing long-distance (1 USD = `([FKDQJH5DWHIRUWKHǌQDQFLDO\HDUHQGHG0DUFK connectivity in India, Africa and the rest of the world. The &RPSDQ\DOVRRǋHUV'LJLWDO79DQG,379VHUYLFHVLQ,QGLD Consolidated Financial Highlights (IFRS) $OOWKHVHVHUYLFHVDUHUHQGHUHGXQGHUDXQLǌHGEUDQGŠDLUWHOš FY 2015-16 FY 2014-15 either directly or through subsidiary companies. Particulars ` USD ` USD The Company also deploys and manages passive Millions Millions* Millions Millions* infrastructure pertaining to telecom operations through Gross revenue 965,321 14,742 920,394 15,064 its subsidiary, Bharti Infratel Limited, which also owns EBITDA before 341,902 5,222 314,517 5,148 42% of Indus Towers Limited. Together, Bharti Infratel and exceptional Indus Towers are the largest passive infrastructure service items providers in India. &DVKSURǟWIURP 289,152 4,416 285,280 4,669 operations Financial Results Earnings before 120,705 1,843 107,130 1,753 In compliance with the provisions of Companies Act, 2013 taxation and SEBI (Listing Obligations and Disclosure Requirements) Net Income / 54,842 838 51,835 848 Regulations, 2015, (Listing Regulations), the Company (Loss) KDV SUHSDUHG LWV VWDQGDORQH DQG FRQVROLGDWHG ǌQDQFLDO * 1 USD = `([FKDQJH5DWHIRUWKHǌQDQFLDO\HDUHQGHG0DUFK statements as per Indian Generally Accepted Accounting (1 USD = `([FKDQJH5DWHIRUWKHǌQDQFLDO\HDUHQGHG0DUFK Principles (IGAAP) for the FY 2015-16. In addition, the &RPSDQ\ KDV DOVR SUHSDUHG FRQVROLGDWHG ǌQDQFLDOV DV 7KHǌQDQFLDOUHVXOWVDQGWKHUHVXOWVRIRSHUDWLRQVLQFOXGLQJ per the International Financial Reporting Standards (IFRS). major developments have been further discussed in detail in 7KHVWDQGDORQHDQGFRQVROLGDWHGǌQDQFLDOKLJKOLJKWVRIWKH the Management Discussion and Analysis section. Company’s operations are as follows: Share Capital Standalone Financial Highlights (IGAAP) During the year, there was no change in the Company’s FY 2015-16 FY 2014-15 issued, subscribed and paid-up equity share capital. On March 31, 2016, it stood at ` 19,987 Mn, divided into Particulars ` USD ` USD 3,997,400,102 equity shares of ` 5/- each. Millions Millions* Millions Millions* Gross revenue 603,002 9,209 554,964 9,083 General Reserve EBITDA before 238,218 3,363 246,241 4,030 The Company has not transferred any amount to the General exceptional 5HVHUYHIRUWKHǌQDQFLDO\HDUHQGHG0DUFK items &DVKSURǟWIURP 202,628 3,095 232,150 3,799 Dividend operations

48 Annual Report 2015-16 40-125 Bharti Airtel Limited 02-39 | Corporate OverviewStatutory Reports 126-355 | Financial Statements

The Register of Members and Share Transfer Books will Pursuant to the provisions of SEBI (Share Based remain closed from Saturday, August 13, 2016 to Friday, (PSOR\HH %HQHǌWV 5HJXODWLRQV (623 August 19, 2016 (both days inclusive) for the purpose of Regulations), a disclosure with respect to ESOP Schemes SD\PHQWRIǌQDOGLYLGHQGIRUWKH)<LIGHFODUHGDW RI WKH &RPSDQ\ DV RQ 0DUFK LV DQQH[HG DV the ensuing AGM. $QQH[XUH $ to this report and has also been uploaded on the Company’s website at http://www.airtel.in/wps/wcm/ Transfer of amount to Investor Education and connect/c9e25993-5b80-4eb0-9874-37614225b876 Protection Fund $QQH[XUH3XUVXDQWWR(6235HJXODWLRQVSGI"02' $ Since the Company declared its maiden dividend in August JPERES&CONVERTTO=url&CACHEID=c9e25993-5b80- 2009 for FY 2008-09, no unclaimed dividend was transferred 4eb0-9874-37614225b876. to Investor Education and Protection Fund in the previous year. The aforesaid ESOP Schemes of the Company are in FRPSOLDQFH ZLWK WKH (623 5HJXODWLRQV $ FHUWLǌFDWH IURP Pursuant to the provisions of Investor Education and M/s. S. R. Batliboi & Associates LLP, Chartered Accountants, Protection Fund (Uploading of information regarding unpaid Statutory Auditors, with respect to the implementation of and unclaimed amounts lying with companies) Rules, 2012, the Company’s ESOP schemes, would be placed before the the Company has uploaded the details of unpaid and shareholders at the ensuing AGM. A copy of the same will unclaimed amounts lying with the Company as on August also be available for inspection at the Company’s registered 21, 2015 (date of last Annual General Meeting) on the RǎFH Company’s website www.airtel.com.

Deposits 0DWHULDO FKDQJHV DQG FRPPLWPHQWV DǁHFWLQJ WKH ǂQDQFLDOSRVLWLRQEHWZHHQWKHHQGRIǂQDQFLDO\HDU The Company has not accepted any deposits and, as such, and date of report after the balance sheet date no amount of principal or interest was outstanding, as on the balance sheet closure date. 7KHUHZHUHQRPDWHULDOFKDQJHVDQGFRPPLWPHQWVDǋHFWLQJ WKHǌQDQFLDOSRVLWLRQRIWKH&RPSDQ\EHWZHHQWKHHQGRI Capital Market Ratings ǌQDQFLDO\HDUDQGGDWHRIWKLVUHSRUW As on March 31, 2016, the Company was rated by two domestic rating agencies, namely CRISIL and ICRA and Directors and Key Managerial Personnel three international rating agencies, namely Fitch Ratings, Inductions, Re-appointments, Retirements & Resignations Moody’s and S&P. In line with the Company’s policy on Independent Directors, the term of Ms. Obiageli Ezekwesili ended on September 25, CRISIL and ICRA maintained their long-term ratings of the Company. Currently, they rate the Company at [CRISIL] AA+ 2015. Mr. Rajan Bharti Mittal resigned from the Company’s / [ICRA] AA+, with a stable outlook. Short-term ratings were Board w.e.f. January 07, 2016. The Board place on record maintained at the highest end of the rating scale at [CRISIL] its appreciation for help, guidance and contribution made by A1+ / [ICRA] A1+. the outgoing Directors during their tenure on the Board. Fitch, Moody’s and S&P also maintained the ratings at BBB-/ Mr. Rakesh Bharti Mittal was appointed as an Additional Non- Stable, BBB-/Stable and Baa3/Stable, respectively. ([HFXWLYH'LUHFWRURQWKH%RDUGZHI-DQXDU\DQG ZLOO KROG WKH RǎFH WLOO WKH GDWH RI HQVXLQJ $QQXDO *HQHUDO As on March 31, 2016, the Company was rated ‘Investment Meeting and is eligible for re-appointment. The Company has Grade’ with a ‘Stable’ outlook by all three international credit received requisite notice from a member under Section 160 rating agencies. of the Companies Act, 2013, proposing the appointment of 0U 5DNHVK %KDUWL 0LWWDO DV WKH &RPSDQ\šV 1RQ([HFXWLYH Employee Stock Option Plan Director, liable to retire by rotation. Accordingly, the Board At present, the Company has two Employee Stock Option recommends his appointment. (ESOP) schemes, namely Employee Stock Option Scheme 2001 and Employee Stock Option Scheme 2005. Besides Ms. Chua Sock Koong will retire by rotation at the attracting talent, these schemes also helped retain talent and HQVXLQJ$*0DQGEHLQJHOLJLEOHKDVRǋHUHGKHUVHOIIRUUH H[SHULHQFH7KH+5DQG1RPLQDWLRQ&RPPLWWHHDGPLQLVWHUV appointment. and monitors the Company’s ESOP schemes. Mr. Sunil Bharti Mittal, Chairman, will be completing his Both the ESOP schemes are currently administered through present term as Chairman of the Company on September Bharti Airtel Employees Welfare Trust (ESOP Trust), whereby 30, 2016. On the recommendation of the HR and Nomination shares held by the Trust are transferred to employees, Committee, the Board in its meeting held on April 27, 2016, XSRQ H[HUFLVH RI VWRFN RSWLRQV DV SHU WKH WHUPV RI WKH subject to the approval of shareholders, has re-appointed 6FKHPHV'XULQJWKHǌQDQFLDO\HDUWKH&RPSDQ\ Mr. Sunil Bharti Mittal as Chairman of the Company for a has obtained approval of members through postal ballot, IXUWKHUWHUPRIǌYH\HDUVZHI2FWREHU authorising the ESOP Trust to acquire the Company’s shares from secondary market, for implementation of ESOP %ULHI UHVXPH QDWXUH RI H[SHUWLVH GHWDLOV RI GLUHFWRUVKLSV Scheme 2005. Apart from the said change, there were no held in other companies of the Directors proposed to be other changes in the ESOP Schemes of the Company. appointed / re-appointed, along with their shareholding in

Board’s Report 49 Transformational Network

the Company, as stipulated under Secretarial Standard 2 Subsidiary, Associate and Joint Venture Companies and Regulation 36 of the Listing Regulations, is appended as As on March 31, 2016, your Company has 109 subsidiaries, DQ$QQH[XUHWRWKH1RWLFHRIWKHHQVXLQJ$*0 2 associates and 3 joint ventures, as set out in page no. 344 of the Annual Report (for Abridged Annual Report please The Board has appointed Mr. Nilanjan Roy as the Global refer page no. 84). &KLHI )LQDQFLDO 2ǎFHU ZHI $XJXVW LQ SODFH RI Mr. Srikanth Balachandran, who has taken up the role of During FY 2015-16, Augere Wireless Broadband India Private *OREDO&KLHI+52ǎFHURIWKH&RPSDQ\ Limited (AWBIPL) and Airtel Money Transfer Limited became subsidiaries of the Company, and AWBIPL is in the process of Declaration by Independent Directors amalgamation with the Company. Airtel DTH Services Congo The Company has received declarations from all Independent (RDC) SARL, Burkina Faso Towers S.A., Niger Towers S.A., 'LUHFWRUVRIWKH&RPSDQ\FRQǌUPLQJWKDWWKH\FRQWLQXHWR Bharti Airtel (Canada) Limited, Airtel Broadband Services meet with the criteria of independence, as prescribed under Private Limited, Uganda Towers Limited, Kenya Towers Section 149 of the Companies Act, 2013 and Regulation 25 Limited, Warid Congo S.A. and Zambian Towers Limited of the Listing Regulations. The Independent Directors have were liquidated and accordingly ceased to be subsidiaries DOVRFRQǌUPHGWKDWWKH\KDYHFRPSOLHGZLWKWKH&RPSDQ\šV of the Company. code of conduct. During FY 2015-16, Indo Teleports Limited (formerly known Board Diversity and Policy on Director’s Appointment as Bharti Teleports Limited) ceased to be an associate and Remuneration company and became a subsidiary of the Company, and The Company believes that building a diverse and inclusive Forum I Aviation Private Limited ceased to be a joint venture culture is integral to its success. A diverse Board, among of the Company. RWKHUVHQKDQFHVWKHTXDOLW\RIGHFLVLRQVE\XWLOLVLQJGLǋHUHQW Pursuant to Section 129(3) of the Companies Act, 2013 VNLOOV TXDOLǌFDWLRQV SURIHVVLRQDO H[SHULHQFH DQG NQRZOHGJH read with Rule 5 of Companies (Accounts of Companies) of the Board members necessary for achieving sustainable Rules, 2014, a statement containing salient features of and balanced development. The Board has adopted a policy ǌQDQFLDO VWDWHPHQWV RI VXEVLGLDU\ DVVRFLDWH DQG MRLQW on ‘Nomination, Remuneration and Board Diversity’, which YHQWXUH FRPSDQLHV LV DQQH[HG RQ SDJH QR RI WKH VHWV RXW WKH FULWHULD IRU GHWHUPLQLQJ TXDOLǌFDWLRQV SRVLWLYH Abridged Annual Report and page no. 352 of the full version attributes and independence of a director. The detailed of Annual Report. The statement also provides the details of policy is available on the Company’s website at http://www. SHUIRUPDQFHDQGǌQDQFLDOSRVLWLRQRIHDFKRIWKHVXEVLGLDU\ airtel.in/wps/wcm/connect/92b49e0e-8810-497a-9c3e- associate and joint venture. 9b80657a3688/Policy-on-Remuneration-Nomination-and- 7KH DXGLWHG ǌQDQFLDO VWDWHPHQWV RI HDFK RI LWV VXEVLGLDU\ Board-Diversity.pdf?MOD=AJPERESDQGLVDOVRDQQH[HGDV associate and joint venture companies would be available $QQH[XUH% to this report. IRULQVSHFWLRQDWWKH&RPSDQ\šVUHJLVWHUHGRǎFHDQGDOVRDW UHJLVWHUHGRǎFHVRIWKHUHVSHFWLYHFRPSDQLHV Annual Board Evaluation and Familiarisation Programme for Board Members Copies of the annual accounts of the subsidiary, associate A note on the familiarisation programme adopted by the and joint venture companies will also be made available to Company for orientation and training of the Directors, and the investors of Bharti Airtel and those of the respective the Board evaluation process undertaken in compliance companies upon request. with the provisions of the Companies Act, 2013 and the Listing Regulations is provided in the Report on Corporate Abridged Annual Report Governance, which forms part of this Report. In terms of the provision of Section 136(1) of the Companies Act, 2013, Rule 10 of Companies (Accounts of Companies) Committees of Board, Number of Meetings of the Board Rules, 2014 and Regulation 36 of the Listing Regulations, and Board Committees the Board of Directors has decided to circulate the Abridged The Board of Directors met four times during the previous Annual Report containing salient features of the balance ǌQDQFLDO \HDU $V RQ 0DUFK WKH %RDUG KDV VKHHWDQGVWDWHPHQWRISURǌWDQGORVVDQGRWKHUGRFXPHQWV VL[ FRPPLWWHHV QDPHO\ WKH $XGLW 5LVN 0DQDJHPHQW to the shareholders for FY 2015-16, who have not registered Committee, the HR and Nomination Committee, the Corporate their e-mail id. The Abridged Annual Report is being circulated Social Responsibility (‘CSR’) Committee, the Stakeholders’ WRWKHPHPEHUVH[FOXGLQJ$QQH[XUHVWRWKH%RDUGšV5HSRUW Relationship Committee, the Committee of Directors and the viz. the ‘Disclosure on ESOPs’, ‘Policy on Nomination, Airtel Corporate Council. Remuneration and Board Diversity’, ‘Secretarial Audit Report’, ‘Annual Report on Corporate Social Responsibility u/s 135 of All the recommendations made by Committees of Board the Companies Act, 2013’, ‘Business Responsibility Report’, including the Audit & Risk Management Committee were Š5HSRUWRQ&RUSRUDWH*RYHUQDQFHDQG$XGLWRUVš&HUWLǌFDWH accepted by the Board. A detailed update on the Board, on compliance of conditions of Corporate Governance’, its composition, detailed charter including terms and Š([WUDFW RI $QQXDO 5HWXUQš Š1RWH RQ (QHUJ\ &RQVHUYDWLRQ reference of various Board Committees, number of Board 7HFKQRORJ\ $EVRUSWLRQ DQG )RUHLJQ ([FKDQJH (DUQLQJV and Committee meetings held during FY 2015-16 and & Outgo’ and ‘Disclosures relating to remuneration u/s attendance of the Directors at each meeting is provided in 197(12) read with Rule 5(1) and Rule 5(2) of the Companies the Report on Corporate Governance, which forms part of (Appointment and Remuneration of Managerial Personnel), this Report. Rules, 2014’.

50 Annual Report 2015-16 40-125 Bharti Airtel Limited 02-39 | Corporate OverviewStatutory Reports 126-355 | Financial Statements

Members who desire to obtain the full version of the report Sustainability Journey PD\ZULWHWRWKH&RPSDQ\6HFUHWDU\DWWKHUHJLVWHUHGRǎFH Over the past few years, sustainability has not only been an address and will be provided with a copy of the same. Full integral part but also invariably complementary to Airtel’s version of the Annual Report will also be available on the business agenda. Airtel’s sustainability journey endeavours to Company’s website www.airtel.com. contribute further to its society and environment. The Company made social inclusion as a cornerstone of its sustainability Auditors and Auditors’ Report programme in order to create value across its entire value chain. Statutory Auditors To drive this agenda, Airtel has an undivided focus on bridging In terms of the provisions of Section 139 of the Companies the digital divide and ensuring that millions more are empowered Act, 2013, M/s. S. R. Batliboi & Associates LLP, Chartered through sustainable social and economic development. It has Accountants, were appointed as the Company’s Statutory been pushing boundaries and changing the business paradigms Auditors by the shareholders in the AGM held on September DFURVVLQGXVWULHVE\HQDEOLQJWKHJURZWKRIVHFWRUVOLNHǌQDQFH 01, 2014, for a period of three years i.e. till the conclusion of and banking, education, health, agriculture and put in place 22nd AGM. innovative ways to reduce the carbon footprint. Airtel has been 7KH VDLG DSSRLQWPHQW LV VXEMHFW WR UDWLǌFDWLRQ E\ WKH VWUHQJWKHQLQJ LWV HǋRUWV WR UHLWHUDWH LWV FRPPLWPHQW WRZDUGV members at every AGM. Accordingly, the appointment of bringing a positive transformation by enabling digital inclusion, M/s. S. R. Batliboi & Associates LLP, Chartered Accountants, well-being of communities and enriching their lives through its DVWKH&RPSDQ\šV6WDWXWRU\$XGLWRUVLVSODFHGIRUUDWLǌFDWLRQ core competencies. It is passionate to actively support Bharti E\ WKH PHPEHUV 7KH &RPSDQ\ KDV UHFHLYHG D FHUWLǌFDWH Foundation and its educational and other initiatives. IURPWKH6WDWXWRU\$XGLWRUVWRWKHHǋHFWWKDWUDWLǌFDWLRQRI their appointment, if made, shall be in accordance with the Airtel’s sustainability and business responsibility initiatives have provisions of Section 141 of the Companies Act, 2013. been detailed in its Sustainability Reports, which can be located on the Company’s website http://www.airtel.in/sustainability- 7KH%RDUGKDVGXO\H[DPLQHGWKH6WDWXWRU\$XGLWRUVš5HSRUW ǌOHKRPHKWPO. WR WKH DFFRXQWV ZKLFK LV VHOIH[SODQDWRU\ &ODULǌFDWLRQV wherever necessary, have been included in the Notes to Corporate Social Responsibility (CSR) Accounts section of the Annual Report. At Bharti Airtel, Corporate Social Responsibility (CSR) As regards the comments under para i(a) of the encompasses much more than social outreach programmes. It $QQH[XUH to the Independent Auditors’ Report regarding lies at the heart of the Company’s business operations. Over updation of quantitative and situation details relating to the years, the Company has aligned its business processes FHUWDLQ ǌ[HG DVVHWV WKH &RPSDQ\ LV LQ WKH SURFHVV RI and goals to make a more deep-rooted impact on the society’s H[HFXWLQJ D FRPSUHKHQVLYH SURMHFW ZLWK WKH LQYROYHPHQW sustainable development. RI WHFKQLFDO H[SHUWV IRU GHSOR\LQJ DXWRPDWHG WRROV DQG SURFHVVHVZKLFKZLOOHQDEOHQHDUUHDOWLPHWUDFNLQJRIǌ[HG In accordance with the requirements of Section 135 of the DVVHWVDQGUHFRQFLOLDWLRQWKHUHWR7KLVSURMHFWLVH[SHFWHGWR Companies Act, 2013, the Company has constituted a CSR EHFRPSOHWHGE\QH[W\HDU Committee. The composition and terms of reference of the CSR Committee is provided in the Report on Corporate Governance, Cost Auditors which forms part of this Report. The Board, on the recommendation of the Audit & Risk Management Committee, has approved the appointment of The Company has also formulated a Corporate Social M/s. R. J. Goel & Co., Cost Accountants, as Cost Auditors, for Responsibility Policy, which is available on the Company’s WKHǌQDQFLDO\HDUHQGLQJ0DUFK7KH&RVW$XGLWRUV website at http://www.airtel.in/wps/wcm/connect/ ZLOOVXEPLWWKHLUUHSRUWIRUWKHǌQDQFLDO\HDUHQGLQJ fd7b3172-02e5-4e25-af7e-51d64cc17534/CSR+Policy. on or before the due date. pdf?MOD=AJPERES&ContentCache=NONE. In accordance with the provisions of Section 148 of the During FY 2015-16, the Company has spent over ` 534.69 Mn Companies Act, 2013 read with the Companies (Audit towards the CSR activities. Being the initial years, the Company and Auditors) Rules, 2014, since the remuneration payable is in the process of evaluating the focus areas / locations of WR WKH &RVW $XGLWRUV LV UHTXLUHG WR EH UDWLǌHG E\ WKH intervention for CSR activities to cater to the pressing needs shareholders, the Board recommends the same for approval of society and deliver optimal impact. As a socially responsible by shareholders at the ensuing AGM. Company, your Company is committed to increase its CSR Secretarial Auditors impact and spend over the coming years, with its aim of playing The Company had appointed M/s. Chandrasekaran a larger role in India’s sustainable development by embedding Associates, Company Secretaries, to conduct its Secretarial wider economic, social and environmental objectives. $XGLW IRU WKH ǌQDQFLDO \HDU HQGHG 0DUFK 7KH A detailed update on the CSR initiatives of the Company 6HFUHWDULDO$XGLWRUVKDYHVXEPLWWHGWKHLUUHSRUWFRQǌUPLQJ is provided in the Corporate Social Responsibility and compliance by the Company of all the provisions of Sustainability Report, which forms part of the Annual Report. applicable corporate laws. The Report does not contain any TXDOLǌFDWLRQUHVHUYDWLRQRUDGYHUVHUHPDUN7KH6HFUHWDULDO The Annual Report on Corporate Social Responsibility u/s $XGLW5HSRUWLVDQQH[HGDV$QQH[XUH& to this report. RIWKH&RPSDQLHV$FWLVDQQH[HGDV$QQH[XUH' The Board has reappointed M/s. Chandrasekaran Associates, to this Report. Company Secretaries, New Delhi, as Secretarial Auditor of the Company for FY 2016-17.

Board’s Report 51 Transformational Network

Business Responsibility Report accuracy and completeness of accounting records, and As stipulated under the Listing Regulations, the Business WLPHO\SUHSDUDWLRQRIUHOLDEOHǌQDQFLDOLQIRUPDWLRQ'XULQJWKH Responsibility Report, describing the initiatives taken by year, such controls were tested and no reportable material the Company from environmental, social and governance weaknesses in the design or operation were observed. perspective forms part of the Annual Report. Other Statutory Disclosures Management Discussion and Analysis Report Vigil Mechanism Pursuant to Regulation 34 of the Listing Regulations, the The Code of Conduct and vigil mechanism applicable Management Discussion and Analysis Report for the year to Directors and Senior Management of the Company is under review, is presented in a separate section, forming part available on the Company’s website at http://www.airtel.in/ of the Annual Report. about-bharti/investor-relations/corporate-governance. A brief note on the highlights of the Whistle Blower Policy Corporate Governance and compliance with Code of Conduct is also provided in the A detailed report on Corporate Governance, pursuant to the Report on Corporate Governance, which forms part of this requirements of Regulation 34 of the Listing Regulations, Annual Report. forms part of the Annual Report. Extract of Annual Return $ FHUWLǌFDWH IURP 0V 6 5 %DWOLERL $VVRFLDWHV //3 In terms of provisions of Section 92, 134(3)(a) of the Chartered Accountants, the Statutory Auditors of the Companies Act, 2013 read with Rule 12 of Companies &RPSDQ\FRQǌUPLQJFRPSOLDQFHRIFRQGLWLRQVRI&RUSRUDWH 0DQDJHPHQWDQG$GPLQLVWUDWLRQ 5XOHVWKHH[WUDFWV Governance, as stipulated under the Listing Regulations, is RI$QQXDO5HWXUQRIWKH&RPSDQ\LQIRUP0*7LVDQQH[HG DQQH[HGDV$QQH[XUH+ to this report. herewith as $QQH[XUH( to this report. Risk Management 6LJQLǂFDQWDQG0DWHULDO2UGHUV Risk management is embedded in Bharti Airtel’s operating 7KHUHDUHQRVLJQLǌFDQWDQGPDWHULDORUGHUVSDVVHGE\WKH framework. The Company believes that managing risks goes regulators or courts or tribunals impacting the going concern KDQGLQKDQG ZLWK PD[LPLVLQJ UHWXUQV 7R WKLV HǋHFW WKHUH status and Company’s operations in future. is a robust process in place to identify key risks across the Particulars of Loans, Guarantees and Investments Group and prioritise relevant action plans to mitigate these Particulars of loans, guarantees and investments form risks. Risk Management framework is reviewed periodically part of Note no. 18 & 24, 26 and 17 & 20 respectively to by the Board and the Audit & Risk Management Committee, which includes discussing the management submissions WKH ǌQDQFLDO VWDWHPHQWV SURYLGHG LQ WKH IXOOYHUVLRQ RI WKH on risks, prioritising key risks and approving action plans to Annual Report. mitigate such risks. Related Party Transactions The Company has a duly approved Risk Management A detailed note on procedure adopted by the Company 3ROLF\7KHREMHFWLYHRIWKLVSROLF\LVWRKDYHDZHOOGHǌQHG in dealing with contracts and arrangements with Related approach to risk. The Policy lays broad guidelines for Parties is provided in the Report on Corporate Governance, the appropriate authority so as to be able to do timely which forms part of this Annual Report. LGHQWLǌFDWLRQDVVHVVPHQWDQGSULRULWLVDWLRQRIULVNVDǋHFWLQJ All arrangements / transactions entered by the Company the Company in the short and foreseeable future. The Policy with its related parties during the year were in the ordinary suggests framing an appropriate response action for the key course of business and on arm’s length basis. During the ULVNVLGHQWLǌHGVRDVWRPDNHVXUHWKDWULVNVDUHDGHTXDWHO\ year, the Company has not entered into any arrangement / compensated or mitigated. transaction with related parties which could be considered The Internal Audit function is responsible to assist the Audit material in accordance with the Company’s Policy on & Risk Management Committee on an independent basis Related Party Transactions and accordingly, the disclosure with a full status of the risk assessments and management. of Related Party Transactions in Form AOC - 2 is not applicable. However, names of Related Parties and details of Operationally, risk is being managed at the top level by transactions with them have been included in Note no. 47 0DQDJHPHQW%RDUGV $0%DQG$IULFD([FR DQGDWRSHUDWLQJ WRWKHǌQDQFLDOVWDWHPHQWVSURYLGHGLQWKHIXOOYHUVLRQRIWKH OHYHOE\([HFXWLYH&RPPLWWHHVRI&LUFOHVLQ,QGLDDQG2SHUDWLQJ $QQXDO5HSRUWDQG1RWHQRRIWKHǌQDQFLDOVWDWHPHQWV Companies in the international operations. provided in abridged version of the Annual Report under Detailed discussion on Risk Management forms part of Accounting Standard 18. Management Discussion & Analysis under the section ‘Risks The Policy on the Related Party Transactions is and Concerns’, which forms part of this Annual Report. At available on the Company’s website at http://www. present, in the opinion of the Board of Directors, there are no airtel.in/wps/wcm/connect/36a5305d-f0ba-490c-9eff- ULVNVZKLFKPD\WKUHDWHQWKHH[LVWHQFHRIWKH&RPSDQ\ 152ef6811917/BALPolicy-on-Related-Party Transactions. pdf?MOD=AJPERES. Internal Financial Control and its Adequacy The Company has in place adequate tools, procedures and Energy Conservation, Technology Absorption and SROLFLHVHQVXULQJRUGHUO\DQGHǎFLHQWFRQGXFWRILWVEXVLQHVV Foreign Exchange Earnings and Outgo including adherence to the Company’s policies, safeguarding The details of energy conservation, technology absorption of its assets, prevention and detection of frauds and errors, DQGIRUHLJQH[FKDQJHHDUQLQJVDQGRXWJRDVUHTXLUHGXQGHU

52 Annual Report 2015-16 40-125 Bharti Airtel Limited 02-39 | Corporate OverviewStatutory Reports 126-355 | Financial Statements

Section 134(3) of the Companies Act, 2013, read with the H WKH'LUHFWRUVKDGODLGGRZQLQWHUQDOǌQDQFLDOFRQWUROV Rule 8 of Companies (Accounts of Companies) Rules, 2014 to be followed by the Company and that such internal LVDQQH[HGDV$QQH[XUH) to this report. ǌQDQFLDO FRQWUROV DUH DGHTXDWH DQG ZHUH RSHUDWLQJ HǋHFWLYHO\ Particulars of Employees Disclosures relating to remuneration of Directors u/s f) the Directors had devised proper systems to ensure 197(12) read with Rule 5(1) of Companies (Appointment compliance with the provisions of all applicable laws and Remuneration of Managerial Personnel) Rules, 2014 is and that such systems were adequate and operating DQQH[HGDV$QQH[XUH* to this report. HǋHFWLYHO\

The information, as required to be provided in terms of Acknowledgements Section 197(12) of the Companies Act, 2013, read with The Board wish to place on record their appreciation to Rule 5(2) of Companies (Appointment and Remuneration the Department of Telecommunications (DoT), the Central RI 0DQDJHULDO 3HUVRQQHO 5XOHV LV DQQH[HG DV Government, the State Governments in India, Government $QQH[XUH, to this report. of Bangladesh, Government of Sri Lanka and Governments in the 17 countries in Africa, Company’s bankers and Directors’ Responsibility Statement business associates, for the assistance, co-operation and Pursuant to Section 134 of the Companies Act, 2013, the HQFRXUDJHPHQWWKH\H[WHQGHGWRWKH&RPSDQ\ 'LUHFWRUVWRWKHEHVWRIWKHLUNQRZOHGJHDQGEHOLHIFRQǌUP that: 7KH 'LUHFWRUV DOVR H[WHQG WKHLU DSSUHFLDWLRQ WR WKH HPSOR\HHVIRUWKHLUFRQWLQXLQJVXSSRUWDQGXQVWLQWLQJHǋRUWV a) in the preparation of the annual accounts, the applicable LQHQVXULQJDQH[FHOOHQWDOOURXQGRSHUDWLRQDOSHUIRUPDQFH accounting standards had been followed, along with The Directors would like to thank various partners, viz., Bharti SURSHUH[SODQDWLRQUHODWLQJWRPDWHULDOGHSDUWXUHV Telecom Limited, Singapore Telecommunications Ltd. and b) the Directors had selected such accounting policies other shareholders for their support and contribution. We and applied them consistently and made judgements look forward to their continued support in future. and estimates that are reasonable and prudent, so as WRJLYHDWUXHDQGIDLUYLHZRIWKHVWDWHRIDǋDLUVRIWKH &RPSDQ\ DW WKH HQG RI WKH ǌQDQFLDO \HDU DQG RI WKH SURǌWDQGORVVRIWKH&RPSDQ\IRUWKDWSHULRG F WKH'LUHFWRUVKDGWDNHQSURSHUDQGVXǎFLHQWFDUHIRU the maintenance of adequate accounting records For and on behalf of the Board in accordance with the provisions of this Act for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities; Place: Gurgaon Sunil Bharti Mittal d) the Directors had prepared the annual accounts on a going concern basis; Date: April 27, 2016 Chairman

Board’s Report 53 Transformational Network

Information Regarding Employees Stock Schemes (As on March 31, 2016) Annexure A

Sl. Particulars ESOP Scheme 2001 ESOP Scheme 2005 No. 1 Date of shareholders’ approval February 27, 2001 September 06, 2005 2 Total number of options approved under the scheme 31,680,000 18,734,552 3 Vesting requirements 1-5 years 1-5 years 4 Exercise price / Pricing formula 29,015,[email protected] Exercise Price not less than 1,760,[email protected] the par value of the Equity 4,380,[email protected] Share and not more than 142,[email protected] the price prescribed under 5,541,[email protected] Chapter VII of SEBI (Issue 40,[email protected] of Capital and Disclosure 25,[email protected] Requirements) Regulation, 2009 on Grant Date 5 Maximum term of options granted 7 years from the grant date 7 years from the grant date 6 Source of shares Primary Secondary 7 Variation in terms of ESOPs NIL NIL 8 'LǋHUHQFHEHWZHHQWKHHPSOR\HHVFRPSHQVDWLRQFRVW NIL NIL based on intrinsic value of the stock and the fair value IRUWKH\HDUDQGLWVLPSDFWRQSURǟWVDQGRQ(36RIWKH Company. 9 Options movement during the year: Number of options outstanding at the beginning of the 390,000 3,329,093 period Number of options granted during the year NIL 1,575,618 Number of options forfeited / lapsed during the year 10,365 1,424,741 Number of options vested during the year 39,635 210,580 Number of options exercised during the year 75,000 953,684 Number of shares arising as a result of exercise of N.A. N.A. options Money realised by exercise of options (`) if scheme is NIL NIL implemented directly by the Company* Loan repaid by the Trust during the year from exercise ` 103,945,436 price received Number of options outstanding at the end of the year 304,635 2,526,286 Number of options exercisable at the end of the year 29,635 1,025,283 10 a) Weighted average exercise price ` 11.25; ` 0.45; ` 35; ` 200.37 ` 0; ` 5; ` 60; ` 110.5 b) Weighted average fair value NA; NA; NA; NA; ` 268.20; ` 196.93 ` 84.43; ` 357.63 11 Name of the employee and designation to whom No of options granted No of options granted options was granted at exercise price ` 5 per option i) Mr. Gopal Vittal (MD & CEO - India & South Asia) NIL 131,480 ii) Mr. Sundar Rajan R (Group General Counsel) NIL 35,858 iii) Mr. Arvind Chopra (Group Director - Internal NIL 35,858 Assurance) iv) 0U'HYHQ.KDQQD 'LUHFWRU&0'šV2ǌFH NIL 31,077 v) Mr. Srikanth Balachandran (Global CHRO) NIL 30,599 vi) Mr. Harjeet Kohli (Group Treasurer) NIL 26,894 vii) Mr. Ajai Puri (Director - Market Operations) NIL 28,816 viii) Mr. Raghunath Mandava (Director - Customer NIL 26,254 Experience) ix) Mr. Nilanjan Roy (Global CFO) NIL 25,746

54 Annual Report 2015-16 40-125 Bharti Airtel Limited 02-39 | Corporate OverviewStatutory Reports 126-355 | Financial Statements

Sl. Particulars ESOP Scheme 2001 ESOP Scheme 2005 No. x) Ms. Harmeen Mehta (Global CIO) NIL 23,906 xi) Mr. Srini Gopalan (Director - Consumer Business) NIL 23,667 xii) Mr. Moti Gyamlani (Director - Supply Chain) NIL 21,813 xiii) Mr. Sarang Kanade (Director - Customer NIL 18,753 Experience) xiv) Mr. Shashi Arora (Director - DTH) NIL 14,986 xv) Mr. Ajay Chitkara (Director - Global Voice & Data NIL 14,615 Business) xvi) Mr. Abhay Savargaonkar (Director Networks NIL 14,344 & CTO) xvii) Mr. Ravi Parkash Gandhi (Chief Regulatory NIL 12,825 2ǌFHU xviii) Mr. Manish Prakash (Director - Enterprise NIL 10,041 & Government) xix) Mr. Sameer Chugh (Director - Legal) NIL 8,606 xx) Mr. Raza Khan (Head - Corporate NIL 3,927 Communications) xxi) Ms. Sucheta Mahapatra (Head - Business NIL 3,921 Strategy & Support) 12 0HWKRGDQGVLJQLǟFDQWDVVXPSWLRQVXVHGWRHVWLPDWH Black Scholes / Lattice Valuation Model / the fair values of options including the following Monte Carlo Simulation information: a) i) the weighted-average values of share price ` 411.7 ii) the weighted-average exercise price ` 5 iii) expected volatility 27.45% iv) expected option life 48 to 60 months v) expected dividends 44% (Dividend yield of 0.54%) vi) the risk-free interest rate and any other 7.79% p.a to 7.83% p.a (The Government securities curve inputs to the model yields are considered as on valuation date). b) the method used and the assumptions made N.A. WRLQFRUSRUDWHWKHHǋHFWVRIH[SHFWHGHDUO\ exercise; c) how expected volatility was determined, The volatility of the options is based on the historical including an explanation of the extent to which volatility of the share price since the respective entity’s expected volatility was based on historical equity shares became publicly traded. volatility; and d) whether and how any other features of the option The expected life of the share option is based on historical grant were incorporated into the measurement of data and current expectation and not necessarily fair value, such as a market condition. indicative of exercise pattern that may occur. 13 Diluted earning per share (EPS) as per Accounting N.A. N.A. Standard 20 * Since ESOP Scheme is implemented through trust, the same is N.A. Both the ESOP schemes viz. ESOP Scheme 2001 and ESOP Scheme 2005 are in complinace with the SEBI (ESOP Regulations). Disclosure in notes to accounts is as prescribed under Guidance Note issued by ICAI. To calculate the employee compensation cost, the Company has used the Fair Market Value for the valuation of ESOPs. The options granted to the senior managerial personnel under both the schemes are subject to adjustments as per the terms of respective ESOPs Scheme / Plan. 2WKHUWKDQWKHHPSOR\HHVWDWHGLQSRLQWQR,, L QRRWKHUHPSOR\HHZDVJUDQWHGVWRFNRSWLRQVH[FHHGLQJRIWKHWRWDORSWLRQVJUDQWHGGXULQJWKH\HDU 1RHPSOR\HHZDVJUDQWHGVWRFNRSWLRQVH[FHHGLQJRIWKHLVVXHGFDSLWDOGXULQJWKH\HDU

Board’s Report 55 Transformational Network

Nomination, Remuneration and Board Diversity Policy Annexure B

Preamble The Committee shall ensure that the proposed Director The Board of Directors (the “Board”) on the recommendation VDWLVǌHVWKHIROORZLQJDGGLWLRQDOFULWHULD of the HR & Remuneration Committee (the “Committee”) Eligible for appointment as a Director on the Board of has approved and adopted this Nomination, Remuneration WKH&RPSDQ\DQGLVQRWGLVTXDOLǌHGLQWHUPVRI6HFWLRQ and Board Diversity Policy (the “Policy”) in compliance with 164 and other applicable provisions of the Companies the provisions of Section 178 of the Companies Act, 2013 Act, 2013, and the Listing Agreements. and rules made thereunder, and Clause 49 of the Listing $JUHHPHQWVZLWKWKH6WRFN([FKDQJHV Has attained minimum age of 25 years and is not older than 70 years. Objectives Does not hold directorship in more than 20 companies The main objectives of this Policy are: (including private and public limited companies) or 10 public limited companies incorporated in India. To lay down criteria and terms and conditions with UHJDUG WR LGHQWLI\LQJ SHUVRQV ZKR DUH TXDOLǌHG WR :LOOEH DEOH WR GHYRWH VXǎFLHQW WLPH DQG HǋRUWV LQ EHFRPH 'LUHFWRUV ([HFXWLYH DQG 1RQ([HFXWLYH GLVFKDUJHRIGXWLHVDQGUHVSRQVLELOLWLHVHǋHFWLYHO\ including Independent Directors), Key Managerial While evaluating a person for appointment / re-appointment Personnel (“KMP”) and persons who may be appointed as an Independent Director, the Committee shall ensure that in Senior Management positions. WKH SURSRVHG DSSRLQWHH VDWLVǌHV WKH IROORZLQJ DGGLWLRQDO To lay down criteria for determining the Company’s criteria: approach to ensure adequate diversity in its Board. 0HHW WKH EDVHOLQH GHǌQLWLRQ DQG FULWHULD RI To retain, motivate and promote talent and to ensure “independence” as set out in Section 149 of the long term sustainability of talented managerial persons Companies Act, 2013 and Clause 49 of the Listing and create competitive advantage for the Company. Agreements and other applicable laws. To determine remuneration of Directors, KMPs and Should not hold the position of Independent Director in other senior management personnel’s, keeping in PRUHWKDQVL[,QGLDQOLVWHGFRPSDQLHVDQGLIVHUYLQJDV view all relevant factors including industry trends and Whole-time Director in any Indian listed company then practices. in not more than three Indian listed companies. 7R SURYLGH IRU UHZDUGV OLQNHG GLUHFWO\ WR WKHLU HǋRUW Should not hold any Board / employment position with performance, dedication and achievement of the a competitor in the geographies where the Company Company’s target. is operating. However, the Board may in special circumstances waive this requirement. $$WWULEXWHV4XDOLǂFDWLRQVDQG'LYHUVLW\ 7KH UHDSSRLQWPHQW H[WHQVLRQ RI WHUP RI DQ\ %RDUG Directors and Key Managerial Personnel members shall be on the basis of their performance The Committee shall be responsible for identifying a suitable evaluation report. candidate for appointment as Director or as KMP of the Senior Management Company. While evaluating a person for appointment / re-appointment The Board shall consist of such number of Directors as in a senior management position, the management shall LV QHFHVVDU\ WR HǋHFWLYHO\ PDQDJH WKH &RPSDQ\ RI WKH considers various factors including individual’s background, size and nature as of Bharti Airtel, subject to a minimum competency, skills, abilities (viz. leadership, ability to RI DQG PD[LPXP RI LQFOXGLQJ ZRPDQ 'LUHFWRUV 7KH H[HUFLVH VRXQG MXGJHPHQW HGXFDWLRQDO DQG SURIHVVLRQDO %RDUGVKDOOKDYHDQDSSURSULDWHFRPELQDWLRQRI([HFXWLYH background, personal accomplishment, age, relevant 1RQ([HFXWLYHDQG,QGHSHQGHQW'LUHFWRUV7KH%RDUGVKDOO H[SHULHQFHDQGXQGHUVWDQGLQJRIUHODWHGǌHOGYL]PDUNHWLQJ appoint a Chairman and a Managing Director or CEO and WHFKQRORJ\ ǌQDQFH RU VXFK RWKHU GLVFLSOLQH UHOHYDQW WR the roles of Chairman and Managing Director or CEO shall present and prospective operations of the Company. QRWEHH[HUFLVHGE\WKHVDPHLQGLYLGXDO Senior Management means personnel of the Company While evaluating a person for appointment / re-appointment ZKRDUHPHPEHUVRILWVFRUHPDQDJHPHQWWHDPH[FOXGLQJ as Director or as KMP, the Committee shall consider and Board of Directors and shall comprise of all members of evaluate number of factors including but not limited to PDQDJHPHQW RQH OHYHO EHORZ WKH ([HFXWLYH 'LUHFWRUV EDFNJURXQG NQRZOHGJH VNLOOV DELOLWLHV DELOLW\ WR H[HUFLVH including all functional heads. VRXQG MXGJHPHQW SURIHVVLRQDO H[SHULHQFH IXQFWLRQDO H[SHUWLVH HGXFDWLRQDO DQG SURIHVVLRQDO EDFNJURXQG B. Remuneration Policy SHUVRQDO DFFRPSOLVKPHQW DJH H[SHULHQFH XQGHUVWDQGLQJ Board Members of the telecommunication sector / industry, marketing, The overall limits of remuneration of the Board members WHFKQRORJ\ ǌQDQFH DQG RWKHU GLVFLSOLQHV UHOHYDQW WR WKH LQFOXGLQJ([HFXWLYH%RDUGPHPEHUV LH0DQDJLQJ'LUHFWRU business etc. and such other factors that the Committee :KROHWLPH'LUHFWRU([HFXWLYH'LUHFWRUVHWF DUHJRYHUQHG might consider relevant and applicable from time to time by the provisions of Section 197 of the Companies Act, towards achieving a diverse Board. 2013, rules made thereunder and shall be approved by

56 Annual Report 2015-16 40-125 Bharti Airtel Limited 02-39 | Corporate OverviewStatutory Reports 126-355 | Financial Statements

the shareholders of the Company and shall be subject to person will be entitled to sitting fee for the relevant DYDLODELOLW\RISURǌWVRIWKH&RPSDQ\ meeting. Within the overall limit approved by the shareholders, on Executive Board Members (Managing Director, the recommendation of the Committee, the Board shall Whole-time Director, Executive Directors etc.) determine the remuneration. The Board can determine The remuneration (including revision in the GLǋHUHQWUHPXQHUDWLRQIRUGLǋHUHQW'LUHFWRUVRQWKHEDVLVRI UHPXQHUDWLRQ RI ([HFXWLYH %RDUG PHPEHUV VKDOO their role, responsibilities, duties, time involvement etc. be approved by the Board on the basis of the Non-Executive Directors including Independent recommendation of the HR and Nomination Committee. Directors 7KH UHPXQHUDWLRQ SD\DEOH WR ([HFXWLYH %RDUG Pursuant to the provisions of Section 197 of the Companies PHPEHUVVKDOOFRQVLVWRI D )L[HG3D\ZKLFKLVSD\DEOH Act, 2013, rules made thereunder and the shareholders’ approval, the Board has approved the following remuneration monthly, and shall include basic pay, contributions to IRU 1RQ([HFXWLYH 'LUHFWRUV LQFOXGLQJ ,QGHSHQGHQW UHWLUHPHQWEHQHǌWVKRXVHUHQWDOORZDQFHRUFRPSDQ\ Directors): leased accommodation and other allowances as per the Company’s policy (b) Variable Pay (paid at the end L 3URǂWOLQNHG &RPPLVVLRQ (Payable annually after of Financial Year) directly linked to the performance of DSSURYDORIWKHǌQDQFLDOUHVXOWVIRUWKH\HDU the individual employee (i.e. achievement against pre- Non-Executive Directors who are nominees of determined KRAs), his / her respective Business Unit shareholders: and the overall Company’s performance (c) Long term USD 60,000/- per annum for Directors not residing incentive / ESOPs as may be decided by the HR & in India. Nomination Committee from time to time. ` 3,000,000/- per annum for Directors residing in Remuneration to Key Managerial Personnel (other India. than Managing Director and Whole-time Director), Independent Non-Executive Directors: Senior Management and other employees USD 100,000/- per annum for Directors not The remuneration of Key Managerial Personnel (other residing in India. than Managing Director and Whole-time Director), shall be as per the compensation and appraisal policy of the ` 5,000,000/- per annum for those residing in Company. India. The remuneration payable to key managerial personnel Chairman – Audit & Risk Management Committee, (other than Managing Director and Whole-time Director), and HR and Nomination Committee: senior management and other employees shall consist not residing in India – additional USD 100,000/- RI D )L[HG3D\ZKLFKLVSD\DEOHPRQWKO\DQGLQFOXGH per annum. EDVLF SD\FRQWULEXWLRQV WR UHWLUHPHQW EHQHǌWV KRXVH residing in India – additional ` 3,000,000/- per rent allowance or company-leased accommodation annum. and other allowances as per the Company’s policy (b) Chairman – Technology Committee: additional USD Variable Pay (paid at the end of Financial Year) directly 150,000/- per annum. linked to the performance of the individual employee (i.e. achievement against pre-determined KRAs), his / Committee Membership Fee (per committee): her respective business unit and the overall Company not residing in India – additional USD 10,000/- per performance (c) Long term incentive / ESOPs as may annum. be decided by the Committee from time to time. ` residing in India – additional 500,000/- per Disclosures by the Company annum. This Policy shall be disclosed in the Company’s Annual Travel fee if not residing in India: USD 10,000 per Report. meeting. General ii. Sitting Fees The Group Director – HR and the Company Secretary ,Q DGGLWLRQ WR WKH SURǌW OLQNHG FRPPLVVLRQ WKH DUHMRLQWO\DXWKRULVHGWRDPHQGWKH3ROLF\WRJLYHHǋHFW Independent Directors will also be entitled to sitting fee WRDQ\FKDQJHVDPHQGPHQWVQRWLǌHGE\0LQLVWU\RI of ` 100,000/- for all Board meetings and all Committee &RUSRUDWH$ǋDLUVRU6HFXULW\([FKDQJH%RDUGRI,QGLD meetings held in a single day. For avoidance of doubt, w.r.t. Directors’ any matter covered by this policy. The in case an Independent Director attends more than amended policy shall be placed before the Board for one Board and / or Committee meeting in a day, he will be paid consolidated sitting fee of ` 100,000/- for QRWLQJDQGUDWLǌFDWLRQ$Q\TXHVWLRQVDQGFODULǌFDWLRQV all such meetings. If the Board appoint any person as relating to this Policy should be addressed to the an alternate Director to an Independent Director, such Company Secretary at FRPSOLDQFHRǎFHU#EKDUWLLQ.

Board’s Report 57 Transformational Network

Secretarial Audit Report (Financial Year ended March 31, 2016) Annexure C

The Members G 7KH6HFXULWLHVDQG([FKDQJH%RDUGRI,QGLD 6KDUH Bharti Airtel Limited %DVHGHPSOR\HH%HQHǌWV 5HJXODWLRQV Bharti Crescent, 1, Nelson Mandela Road, H 7KH6HFXULWLHVDQG([FKDQJH%RDUGRI,QGLD ,VVXH Vasant Kunj, Phase-II, and Listing of Debt Securities) Regulations, 2008; New Delhi – 110070 Not Applicable We have conducted the secretarial audit of the compliance I 7KH 6HFXULWLHV DQG ([FKDQJH %RDUG RI ,QGLD of applicable statutory provisions and the adherence to good (Registrars to an Issue and Share Transfer Agents) corporate practices by Bharti Airtel Limited (hereinafter Regulations, 1993 regarding the Companies Act called the Company). Secretarial Audit was conducted in a DQGGHDOLQJZLWKFOLHQWWRWKHH[WHQWRIVHFXULWLHV manner that provided us a reasonable basis for evaluating issued; the corporate conducts / statutory compliances and H[SUHVVLQJRXURSLQLRQWKHUHRQ J 7KH 6HFXULWLHV DQG ([FKDQJH %RDUG RI ,QGLD (Delisting of Equity Shares) Regulations, 2009; %DVHGRQRXUYHULǌFDWLRQRIWKH&RPSDQ\šVERRNVSDSHUV and Not Applicable PLQXWH ERRNV IRUPV DQG UHWXUQV ǌOHG DQG RWKHU UHFRUGV maintained by the Company and also the information K 7KH 6HFXULWLHV DQG ([FKDQJH %RDUG RI ,QGLD SURYLGHGE\WKH&RPSDQ\LWVRǎFHUVDJHQWVDQGDXWKRULVHG (Buyback of Securities) Regulations, 1998. Not representatives during the conduct of secretarial audit, Applicable We hereby report that in our opinion, the Company has, YL 7KH RWKHU ODZV DV LQIRUPHG DQG FHUWLǌHG E\ WKH GXULQJ WKH DXGLW SHULRG FRYHULQJ WKH ǌQDQFLDO \HDU HQGHG PDQDJHPHQW RI WKH &RPSDQ\ ZKLFK DUH VSHFLǌFDOO\ on March 31, 2016 complied with the statutory provisions applicable to the Company based on their Sectors / listed hereunder and also that the Company has proper Businesses are: Board-processes and compliance-mechanism in place to WKHH[WHQWLQWKHPDQQHUDQGVXEMHFWWRWKHUHSRUWLQJPDGH a) The Indian Telegraph Act, 1885 hereinafter: b) The Telecom Regulatory Authority of India Act, :HKDYHH[DPLQHGWKHERRNVSDSHUVPLQXWHERRNVIRUPV 1997 and Rules and Regulations made thereunder DQG UHWXUQV ǌOHG DQG RWKHU UHFRUGV PDLQWDLQHG E\ WKH c) The Indian Wireless Telegraphy Act, 1933 &RPSDQ\IRUWKHǌQDQFLDO\HDUHQGHGRQ0DUFK according to the provisions of: :H KDYH DOVR H[DPLQHG FRPSOLDQFH ZLWK WKH DSSOLFDEOH clauses of the following: (i) The Companies Act, 2013 (the Act) and the rules made thereunder; (i) Secretarial Standards issued by The Institute of &RPSDQ\ 6HFUHWDULHV RI ,QGLD EHLQJ HǋHFWLYH IURP (ii) The Securities Contracts (Regulation) Act, 1956 01.07.2015. (‘SCRA’) and the rules made thereunder; (ii) The Listing Agreements entered into by the Company (iii) The Depositories Act, 1996 and the Regulations and ZLWK1DWLRQDO6WRFN([FKDQJHRI,QGLD/LPLWHGDQG%6( %\HODZVIUDPHGWKHUHXQGHUWRWKHH[WHQWRI5HJXODWLRQ Limited and SEBI (Listing Obligations and Disclosure 55A; 5HTXLUHPHQWV 5HJXODWLRQVEHLQJHǋHFWLYHIURP LY )RUHLJQ ([FKDQJH 0DQDJHPHQW $FW DQG WKH 01.12.2015. UXOHVDQGUHJXODWLRQVPDGHWKHUHXQGHUWRWKHH[WHQWRI During the period under review the Company has generally Foreign Direct Investment, Overseas Direct Investment complied with the provisions of the Act, Rules, Regulations, DQG([WHUQDO&RPPHUFLDO%RUURZLQJV Guidelines, Standards, etc. mentioned above. (v) The following Regulations and Guidelines prescribed We further report that, XQGHUWKH6HFXULWLHVDQG([FKDQJH%RDUGRI,QGLD$FW 1992 (‘SEBI Act’): The Board of Directors of the Company is duly constituted ZLWK SURSHU EDODQFH RI ([HFXWLYH 'LUHFWRUV 1RQ([HFXWLYH D 7KH 6HFXULWLHV DQG ([FKDQJH %RDUG RI ,QGLD Directors and Independent Directors. The changes in the (Substantial Acquisition of Shares and Takeovers) composition of the Board of Directors that took place during Regulations, 2011; the period under review were carried out in compliance with E 7KH 6HFXULWLHV DQG ([FKDQJH %RDUG RI ,QGLD the provisions of the Act. (Prohibition of Insider Trading) Regulations, 2015; Adequate notice is given to all Directors to schedule the F 7KH 6HFXULWLHV DQG ([FKDQJH %RDUG RI ,QGLD Board Meetings, agenda and detailed notes on agenda were (Issue of Capital and Disclosure Requirements) VHQWDWOHDVWVHYHQGD\VLQDGYDQFHDQGDV\VWHPH[LVWVIRU Regulations, 2009; VHHNLQJDQGREWDLQLQJIXUWKHULQIRUPDWLRQDQGFODULǌFDWLRQV

58 Annual Report 2015-16 40-125 Bharti Airtel Limited 02-39 | Corporate OverviewStatutory Reports 126-355 | Financial Statements

on the agenda items before the meeting and for meaningful in pursuance of the above referred laws, rules, regulations, participation at the meeting. guidelines, standards, etc. All decisions at Board Meetings and Committee Meetings are carried out unanimously as recorded in the minutes of Dr. S. Chandrasekaran the meetings of the Board of Directors or Committee of the Senior Partner Board, as the case may be.

We further report that there are adequate systems and Chandrasekaran Associates processes in the Company commensurate with the size Company Secretaries and operations of the Company to monitor and ensure Place: New Delhi Membership No. FCS No.: 1644 compliance with applicable laws, rules, regulations and guidelines. Date: April 22, 2016 &HUWLǌFDWHRI3UDFWLFH1R We further report that during the audit period the Board has approved the merger of Augere Wireless Broadband Note: This report is to be read with our letter of even date Private Limited with the Company and the said event may be ZKLFKLVDQQH[HGDV$QQH[XUH$ to this report and form an GHHPHGWRKDYHDPDMRUEHDULQJRQWKH&RPSDQ\šVDǋDLUV integral part of this report.

Annexure A to the Secretarial Audit Report

The Members Bharti Airtel Limited Bharti Crescent, 1, Nelson Mandela Road, Vasant Kunj, Phase-II, New Delhi – 110070

1. Maintenance of secretarial record is the responsibility 5. The compliance of the provisions of Corporate and of the management of the Company. Our responsibility other applicable laws, rules, regulations, standards is LV WR H[SUHVV DQ RSLQLRQ RQ WKHVH VHFUHWDULDO UHFRUGV WKH UHVSRQVLELOLW\ RI PDQDJHPHQW 2XU H[DPLQDWLRQ based on our audit. ZDV OLPLWHG WR WKH YHULǌFDWLRQ RI SURFHGXUHV RQ WKH random test basis. 2. We have followed the audit practices and processes as were appropriate to obtain reasonable assurance 6. The Secretarial Audit Report is neither an assurance about the correctness of the contents of the secretarial as to the future viability of the Company nor of the UHFRUGV 7KH YHULǌFDWLRQ ZDV GRQH RQ WKH UDQGRP HǎFDF\RUHǋHFWLYHQHVVZLWKZKLFKWKHPDQDJHPHQW WHVWEDVLVWRHQVXUHWKDWFRUUHFWIDFWVDUHUHǍHFWHGLQ KDVFRQGXFWHGWKHDǋDLUVRIWKH&RPSDQ\ secretarial records. We believe that the processes and practices, we followed provide a reasonable basis for Dr. S. Chandrasekaran our opinion. Senior Partner :H KDYH QRW YHULǌHG WKH FRUUHFWQHVV DQG DSSURSULDWHQHVV RI ǌQDQFLDO UHFRUGV DQG %RRNV RI Accounts of the Company. Chandrasekaran Associates 4. Wherever required, we have obtained the Management Company Secretaries representation about the compliance of laws, rules and Place: New Delhi Membership No. FCS No.: 1644 regulations and happening of events etc. Date: April 22, 2016 &HUWLǌFDWHRI3UDFWLFH1R

Board’s Report 59 Transformational Network

The Annual Report on Corporate Social Responsibility (CSR) Activities Annexure D

1. Brief Outline of Company’s CSR Policy hunger, promoting preventive healthcare and sanitation At Bharti Airtel, business success is not just about and providing legal assistance to underprivileged SURǌWVDQGVKDUHKROGHUUHWXUQV:HEHOLHYHLQSXUVXLQJ under-trials. Bharti Airtel’s CSR and welfare activities wider socio-economic and cultural objectives and have are committed to create and support programmes that bring about sustainable changes through education. always endeavoured to not just live up to it, but to try DQG H[FHHG WKH H[SHFWDWLRQV RI WKH FRPPXQLWLHV LQ The detailed CSR Policy of the Company is which we operate. available on Company’s website at: http:// www.airtel.in/wps/wcm/connect/fd7b3172- The Board of Directors adopted the CSR policy of 02e5-4e25-af7e-51d64cc17534/CSR+Policy. the Company on April 29, 2014 which is available pdf?MOD=AJPERES&ContentCache=NONE. on the website of the Company. The Company’s CSR The overview of various CSR projects and programmes and welfare activities centers around promoting undertaken by the Company has been provided in the education with special emphasis on girl child, livelihood Corporate Social Responsibility & Sustainability Report enhancement education programmes, eradicating section of the Annual Report. 2. Composition of CSR Committee Name Designation Mr. Rakesh Bharti Mittal, Chairman Non-Executive Director Mr. D. K. Mittal Independent Director Mr. Gopal Vittal Managing Director & CEO (India & South Asia) (` Millions) 3. $YHUDJHQHWSURǂWEHIRUHWD[RIWKH&RPSDQ\IRUODVWWKUHHǂQDQFLDO\HDUV 94,502 4. Prescribed CSR Expenditure (2% of the amount as above) 1,890 5. Details of CSR spent during the year a) 7RWDODPRXQWWREHVSHQWIRUWKHǌQDQFLDO\HDU 1,890 b) Amount Unspent 1355.31

F 0DQQHULQZKLFKDPRXQWVSHQWGXULQJWKHǌQDQFLDO\HDU (` Millions) Sl. CSR project Sector in Projects or Amount Amount spent Cumulative Amount No. or activity which the programmes outlay on the projects expenditure spent: Direct LGHQWLǂHG project is (budget) or programmes up to the or through (1) Local area covered project or reporting implementing or other Sub-heads: programmes period agency (1) Direct (2) Specify wise expenditure the State and on projects or district where programmes projects or programmes (2) Overheads was undertaken Eligible CSR Programmes / Projects: 1. Satya Bharti Promotion of 6SHFLǟHG 224.79 196.59 196.59 Bharti School Program education below* Foundation (Operating Expenditure) 2. Satya Bharti Promotion of 6SHFLǟHG 90 90 90 Bharti School Program education below* Foundation (Capital Expenditure) 3. Satya Bharti Sanitation Ludhiana, 210 102.6 102.6 Bharti Abhiyan Punjab Foundation

60 Annual Report 2015-16 40-125 Bharti Airtel Limited 02-39 | Corporate OverviewStatutory Reports 126-355 | Financial Statements

(` Millions) Sl. CSR project Sector in Projects or Amount Amount spent Cumulative Amount No. or activity which the programmes outlay on the projects expenditure spent: Direct LGHQWLǂHG project is (budget) or programmes up to the or through (1) Local area covered project or reporting implementing or other Sub-heads: programmes period agency (1) Direct (2) Specify wise expenditure the State and on projects or district where programmes projects or programmes (2) Overheads was undertaken 4. Footwear Employment Chhindwara, 6.90 6.90 6.90 Centum Design and enhancing Madhya Foundation Development vocation skills Pradesh skill to youth 5. Education to Promotion of Dehradun, 1 1 1 Direct underprivileged education Uttarakhand Girl Child 6. Anubandh - Old Maintenance Jodhpur, 2 2 2 Direct Age Home of old age Rajasthan homes Total 534.69 394.3 394.3 Other Contributions: Carnegie India Public Policy New Delhi 16.93 16.93 16.93 Direct 1. and Research Miscellaneous Miscellaneous Miscellaneous 23.38 23.38 23.38 Direct 2.

Total 40.31 40.31 40.31 Grand Total 575 434.61 434.61 * District wise / State wise details of Satya Bharti School Program - Kaithal, Kurukshetra, Jhajjar, Mahendergarh, Rewari in Haryana; Amritsar, Ludhiana, Sangrur in Punjab; Amer, Neemrana, Jodhpur in Rajasthan; Sivaganga in Tamil Nadu; Farrukhabad, PPES, Shahjahanpur in Uttar Pradesh and Mushirdabad in West Bengal. District wise / State wise details of Satya Bharti Learning Program – Barmer, Sawaimadhopur, Jodhpur in Rajasthan; Barwani, Jhabau in Madhya Pardesh and Deoghar, Dumka, Godda, Pakur Sahibganj in Jharkhand. District wise / State wise details of Quality Support Model – Rewari, Mahendergarh, Kurukshetra in Haryana; Balesar, Shergarh, Mandore, Phalodi, Baori in Rajasthan; Nangla, Chandigarh in Punjab and Mundka in Delhi.

6. Reason for not spending the prescribed 2% amount 7KH&RPSDQ\KDGLQFUHDVHGLWV&65VSHQGLQJE\DSSUR[RYHUWKHSUHYLRXVǌQDQFLDO\HDULHIURP` 411 Mn in FY 2014-15 to ` 534.69 Mn in FY 2015-16. Additionally, the Company has also contributed ` 40.31 Mn towards various other charitable causes (disclosed as ‘other contributions’ in the above mentioned table) which do not fall under the ambit of CSR spending under the provisions of Section 135 of the Companies Act, 2013. The overall CSR spending of the Company for FY 2015-16, if added up, would have been ` 575 Mn. Being in the initial years of implementation, WKH&RPSDQ\LVSHUVLVWHQWO\H[SORULQJQHZRSSRUWXQLWLHVWRLQFUHDVHLWV&65H[SHQGLWXUHWRWKHSUHVFULEHGOHYHO$VD socially responsible company, it is committed to play a larger role in India’s sustainable development by embedding wider economic, social and ecological objectives.

7. Responsibility statement of the CSR Committee 7KH&RPPLWWHHFRQǌUPVWKDWWKHLPSOHPHQWDWLRQDQGPRQLWRULQJRI&653ROLF\LVLQFRPSOLDQFHZLWK&65REMHFWLYHVDQG policy of the Company.

Gopal Vittal Rakesh Bharti Mittal Managing Director & CEO (India & South Asia) Chairman, CSR Committee

Board’s Report 61 Transformational Network

Extract of Annual Return Annexure E

Form No. MGT - 9 DVRQWKHǂQDQFLDO\HDUHQGHGRQ0DUFK [Pursuant to Section 92(3) of the Companies Act, 2013 and rule 12(1) of the Companies (Management and Administration) Rules, 2014]

I. Registration and Other Details CIN L74899DL1995PLC070609 Registration Date July 07, 1995 Name of the Company Bharti Airtel Limited Category of the Company Limited by shares Sub-Category of the Company Indian Non-Government Company $GGUHVVRIWKH5HJLVWHUHGRǌFHDQGFRQWDFWGHWDLOV Bharti Crescent, 1, Nelson Mandela Road, Vasant Kunj, Phase - II, New Delhi – 110 070. Phone : +91 11 4666 6100 Whether listed company Yes Name, Address and Contact details of Registrar and Karvy Computershare Private Limited Transfer Agents Karvy Selenium Tower B, Plot number 31 & 32, Gachibowli, Financial District, Nanakramguda, Hyderabad – 500032, India. Phone : +91 040 6716 2222

II. Principal Business Activities of the Company Businesses contributing 10% or more of the total turnover of the Company are given below:

Sl. Name and Description of main products / NIC Code of the product / % to total turnover of the No. services service* Company 1 Wireless telecommunications activities 612 86.16% 2 Wired telecommunications activities 611 11.38% $VSHU1DWLRQDO,QGXVWULDO&ODVVLǌFDWLRQŞ0LQLVWU\RI6WDWLVWLFVDQG3URJUDPPH,PSOHPHQWDWLRQ

III. Particulars of Holding, Subsidiary and Associate Companies Sl. Name of the Company Address CIN / Registration No. % of No. shares held Subsidiary Companies u/s 2(87)(ii) of the Companies Act, 2013 1 Bharti Airtel Services Limited Bharti Crescent, 1, Nelson Mandela Road, U64201DL1997PLC091001 100 Vasant Kunj, Phase - II, New Delhi - 110 070 2 Bharti Hexacom Limited Bharti Crescent, 1, Nelson Mandela Road, U74899DL1995PLC067527 70 Vasant Kunj, Phase - II, New Delhi - 110 070 3 Bharti Infratel Limited Bharti Crescent, 1, Nelson Mandela Road, L64201DL2006PLC156038 71.7 Vasant Kunj, Phase - II, New Delhi - 110 070 4 Bharti Infratel Services Bharti Crescent, 1, Nelson Mandela Road, U64200DL2013PLC253495 71.7 Limited (under process of Vasant Kunj, Phase - II, New Delhi - 110 070 VWULNLQJRǋ 5 SmarTx Services Limited Bharti Crescent, 1, Nelson Mandela Road, U64202DL2015PLC285515 71.7 Vasant Kunj, Phase - II, New Delhi - 110 070 6 Indo Teleports Limited Bharti Crescent, 1, Nelson Mandela Road, U32204DL2008PLC183976 95 (formerly known as Bharti Vasant Kunj, Phase - II, New Delhi - 110 070 Teleports Limited) 7 Bharti Telemedia Limited Bharti Crescent, 1, Nelson Mandela Road, U92200DL2006PLC156075 95 Vasant Kunj, Phase - II, New Delhi - 110 070 8 Airtel M Commerce Services Bharti Crescent, 1, Nelson Mandela Road, U64200DL2010PLC201058 100 Limited Vasant Kunj, Phase - II, New Delhi - 110 070 9 Telesonic Networks Limited 4th Floor, ‘C’ Wing, Airtel Centre, U64200HR2009PLC039237 100 Plot No. 16, Phase - IV, Udyog Vihar, Gurgaon - 122 015, Haryana, India.

62 Annual Report 2015-16 40-125 Bharti Airtel Limited 02-39 | Corporate OverviewStatutory Reports 126-355 | Financial Statements

Sl. Name of the Company Address CIN / Registration No. % of No. shares held 10 Nxtra Data Limited Bharti Crescent, 1, Nelson Mandela Road, U72200DL2013PLC254747 100 Vasant Kunj, Phase - II, New Delhi - 110 070 11 Wynk Limited Bharti Crescent, 1, Nelson Mandela Road, U74140DL2015PLC275325 100 Vasant Kunj, Phase - II, New Delhi - 110 070 12 Augere Wireless Broadband Bharti Crescent, 1, Nelson Mandela Road, U64200DL2010PTC207522 100 India Private Limited Vasant Kunj, Phase - II, New Delhi - 110 070 13 Airtel Bangladesh Limited House # 34, Road # 19/A, Banani, C - 55081(1766)/04 100 (under amalgamation) Dhaka - 1213, Bangladesh 14 Bangladesh Infratel Networks House # 34, Road # 19/A, Banani, C - 93753/11 100 Limited (under liquidation) Dhaka - 1213, Bangladesh 15 Bharti Airtel (France) SAS 88, Ter Avenue Général Leclerc – 92100 RCS Nanterre 523 035 426 100 Boulogne, Billancourt 16 Bharti Airtel (Hongkong) 12/F, No. 3, Lockhart Road, Wanchai, 1080074 100 Limited Hongkong 17 Bharti Airtel (Japan) Shinjuku Park Tower 30th Floor, 7-1, 0111-01-055989 100 Kabushiki Kaisha Nishi Shinjuku 3-Chome, Shinjuku-ku, Tokyo 18 Bharti Airtel (UK) Limited 26, Red Lion Square, London, WC1R 4AG, 5917314 100 United Kingdom 19 Bharti Airtel (USA) Limited 335, Madison Avenue 12thǠRRU F-060912000-217 100 New York 10017 20 Bharti Airtel Holdings 150, Orchard Road, #08-01, Orchard Plaza, 2007-18118-G 100 (Singapore) Pte Ltd Singapore 21 Bharti Airtel International Cim Corporate Services Ltd, Les Cascade 094380 CI/GBL 100 (Mauritius) Limited Building, Edith Cavell Street, Port Louis, Mauritius 22 Bharti Airtel International Overschiestraat 65, 1062 XD Amsterdam, 34387410 100 (Netherlands) B.V. The Netherlands 23 Bharti Airtel Lanka (Private) Level 11, West Tower, World Trade Centre, PV10652 100 Limited Echelon Square Colombo 1, Sri Lanka 24 Bharti Infratel Lanka (Private) Level 11, West Tower, world Trade Centre, 63290 100 Limited (under process of Echelon Square Colombo 1, Sri Lanka VWULNLQJRǋ 25 Bharti International 150, Orchard Road, #08-01, Orchard Plaza, 2010-05788-R 100 (Singapore) Pte Ltd Singapore 26 Network i2i Limited Cim Corporate Services Ltd, Les Cascade 25951/6339 100 Building, Edith Cavell Street, Port Louis, Mauritius 27 Africa Towers N.V. Overschiestraat 65, 1062 XD Amsterdam, 50979965 100 The Netherlands 28 Africa Towers Services Parkside Towers, Mombasa Road, Plot Nr. LR CPR/2011/56039 100 Limited 209-11880,PB 73146-00200, Nairobi, Kenya 29 Airtel (Ghana) Limited 2nd-4th Floors GNAT Heights, No. 30 C-71,259 75 Independence Avenue, North Ridge, Accra, Ghana 30 Airtel (Seychelles) Limited P.O. Box 1358, Emerald House, Providence, 841930-1 100 East Coast, Victoria, Mahe, Seychelles 31 Airtel (SL) Limited 25, Regent Road, Hill Station, Freetown, C/F/179/1998 100 Sierra Leone 32 Airtel Burkina Faso S.A. 771, Avenue du Prés. Aboubacar Sangoulé, BFOUA 2000-B-522 100 Lamizana, 01 Boite Postale 6622, Ouagadougou, 01, Burkina Faso 33 Airtel Congo S.A. 2ème étage, Immeuble SCI MONTE CRISTO, CG/BZV/07 B299 90 Rond-point de la Gare, Croisement du Boulevard Denis SASSOU NGUESSO et de l’avenue Orsy, B.P : 1038, Brazzaville - République du Congo 34 Airtel DTH Services (SL) C/o Airtel (SL) Limited, 42, Motor Road, 55/2011 100 Limited (under liquidation) Wilberforce, Freetown, Sierra Leone 35 Airtel DTH Services Nigeria Plot L2, Banana Island, Foreshore Estate, 932607 100 Limited (under liquidation) Ikoyi, Lagos, Nigeria 36 Airtel Gabon S.A. Rue Pecqueur, Immeuble Libreville Business 2001/B01 000 (7344/B) 90 Square, B.P. 9259, Libreville, Gabon

Board’s Report 63 Transformational Network

Sl. Name of the Company Address CIN / Registration No. % of No. shares held 37 Airtel Madagascar S.A. Immeuble Kube B, Zone Galaxy, Andraharo, 1997B00392 100 101 -Anantanarivo, Madagascar 38 Airtel Malawi Limited $LUWHO&RPSOH[&LW\&HQWUH2ǋ&RQYHQWLRQ 5114 100 Drive, P.O Box 57, Lilongwe, Malawi 39 Airtel Mobile Commerce (SL) 25, Regent Road, Hill Station, Freetown, C/F/689/2009 100 Limited Sierra Leone 40 Airtel Mobile Commerce B.V. Overschiestraat 65, 1062 XD Amsterdam, 34375413 100 The Netherlands 41 Airtel Mobile Commerce 771 Avenue du Pres. Aboubacar Sangoule BFOUA2010B3275 100 Burkina Faso S.A. Lamizina, 01 Boite Postale 6622 Ouagadouugou 42 Airtel Mobile Commerce 30 Independence Avenue, North Ridge/ CA 62, 772 75 Ghana Limited GNAT Heights, Accra, Ghana 43 Airtel Mobile Commerce Overschiestraat 65, 1062 XD Amsterdam, 34381129 100 Holdings B.V. The Netherlands 44 Airtel Mobile Commerce Parkside Towers, Mombasa Road, P. O. Box C 169576 100 Kenya Limited 73146-00200, Narobi, Kenya 45 Airtel Mobile Commerce $LUWHO&RPSOH[&LW\&HQWUH2ǋ&RQYHQWLRQ 9831 100 Limited (Malawi) Drive, P.O Box 57, Lilongwe, Malawi 46 Airtel Mobile Commerce Immeuble Kube B, Zone Galaxy, Andraharo, 2011B00235 100 Madagascar S.A. 101 -Anantanarivo, Madagascar 47 Airtel Mobile Commerce Gasabo District, Remera, Nyabisindu, Kigali, 102933620 100 Rwanda Limited Rwanda 48 Airtel Mobile Commerce Emerald House, Providence, Victoria, P.O. 841930-1 100 (Seychelles) Limited Box 1358, Mahe, Seychelles 49 Airtel Mobile Commerce Airtel House, Block 41 Kinondoni, Corner of 79802 100 Tanzania Limited A.H. Mwinyi Road/Kawawa Road, Kinondoni, Dar es Salaam, Tanzania 50 Airtel Mobile Commerce Avenue Charles De Gaulle, BP: 5665, TC/NDJ/10B 183 100 Tchad S.A.R.L. N’Djamena, Tchad 51 Airtel Mobile Commerce Airtel House, Plot 16A, Clement Hill Road, 123833 100 Uganda Limited Nakasero, Kampala, P. O. Box 6771, Kampala - Uganda 52 Airtel Mobile Commerce Airtel House, Stand 2375, Addis Ababa 80052 100 Zambia Limited Drive, P.O. Box 320001, Lusaka, Zambia 53 Airtel Money RDC S.A. 127, Avenue de Plateau, Gombe, Kinhasa, CD/KIN/RCCM/14-B-6552 100 Republique Democratique du Congo, Congo DRC 54 Airtel Money Niger S.A. 2054 Route de l’aéroport, B.P. 11922 NI-NIA 2009-B-1848 90 Niamey, Niger 55 Airtel Money S.A. (Gabon) Avenue de Colonet Parrant, BP 23 899 RG LBV 2101 B 09955 100 Libreville, Gabon 56 Airtel Networks Kenya Parkside Towers, Mombasa Road, P. O. Box 140223 100 Limited 73146-00200, Narobi, Kenya 57 Airtel Networks Limited Plot L2, Banana Island, Foreshore Estate/ 398557 79.06 Ikoyi Lagos, Nigeria 58 Airtel Networks Zambia Plc Plot 2375, Airtel House, Corner Addis Ababa 38136 96.36 Drive and Great East Road, Lusaka, Zambia 59 Airtel Rwanda Limited Airtel Building Gasabo District, Remera, 102437818 100 Nyabisindu, P.O. Box 4164, Kigali, Rwanda 60 Airtel Tanzania Limited Airtel House, Block 41 Kinondoni, Corner of 41291 60 A.H. Mwinyi Road/Kawawa Road, Kinondoni, Dar es Salaam, Tanzania 61 Airtel Tchad S.A. Avenue Charles De Gaulle, BP: 5665, TC/NDJ/10B127 (TC.NDJ 100 N’Djamena, Tchad 063B99) 62 Airtel Towers (Ghana) Limited 4th Floor, GNAT Heights, 30 Independence CA 82,071 75 Avenue, North Ridge, Accra, Ghana 63 Airtel Towers (S.L.) Company 25, Regent Road, Hill Station, CF/106/2011 100 Limited Freetown, Sierra Leone 64 Airtel Uganda Limited Airtel Towers, Plot 16A Clement Hill Road, V-232-36 100 Nakasero, P.O.Box 6771, Kampala-Uganda 65 Bharti Airtel Africa B.V. Overschiestraat 65, 1062 XD Amsterdam, 8076497 100 The Netherlands

64 Annual Report 2015-16 40-125 Bharti Airtel Limited 02-39 | Corporate OverviewStatutory Reports 126-355 | Financial Statements

Sl. Name of the Company Address CIN / Registration No. % of No. shares held 66 Bharti Airtel Burkina Faso Overschiestraat 65, 1062 XD Amsterdam, 08077622 100 Holdings B.V. The Netherlands 67 Bharti Airtel Chad Holdings Overschiestraat 65, 1062 XD Amsterdam, 34125184 100 B.V. The Netherlands 68 Bharti Airtel Congo Holdings Overschiestraat 65, 1062 XD Amsterdam, 08077621 100 B.V. The Netherlands 69 Bharti Airtel Developers Plot 2375, Airtel House, Corner Addis Ababa 82795 96.36 Forum Limited Drive and Great East Road, Lusaka, Zambia 70 Bharti Airtel DTH Holdings Overschiestraat 65, 1062 XD Amsterdam, 50921266 100 B.V. The Netherlands 71 Bharti Airtel Gabon Holdings Overschiestraat 65, 1062 XD Amsterdam, 08078528 100 B.V. The Netherlands 72 Bharti Airtel Ghana Holdings Overschiestraat 65, 1062 XD Amsterdam, 34204633 100 B.V. The Netherlands 73 Bharti Airtel Kenya B.V. Overschiestraat 65, 1062 XD Amsterdam, 38023926 100 The Netherlands 74 Bharti Airtel Kenya Holdings Overschiestraat 65, 1062 XD Amsterdam, 34164357 100 B.V. The Netherlands 75 Bharti Airtel Madagascar Overschiestraat 65, 1062 XD Amsterdam, 34204848 100 Holdings B.V. The Netherlands 76 Bharti Airtel Malawi Holdings Overschiestraat 65, 1062 XD Amsterdam, 8077659 100 B.V. The Netherlands 77 Bharti Airtel Mali Holdings B.V. Overschiestraat 65, 1062 XD Amsterdam, 34164359 100 The Netherlands 78 Bharti Airtel Niger Holdings Overschiestraat 65, 1062 XD Amsterdam, 34143743 100 B.V. The Netherlands 79 Bharti Airtel Nigeria B.V. Overschiestraat 65, 1062 XD Amsterdam, 34164360 100 The Netherlands 80 Bharti Airtel Nigeria Holdings Overschiestraat 65, 1062 XD Amsterdam, 08076499 100 B.V. (under liquidation) The Netherlands 81 Bharti Airtel Nigeria Holdings Overschiestraat 65, 1062 XD Amsterdam, 8077623 100 II B.V. The Netherlands 82 Bharti Airtel RDC Holdings Overschiestraat 65, 1062 XD Amsterdam, 34125193 100 B.V. The Netherlands 83 Bharti Airtel Services B.V. Overschiestraat 65, 1062 XD Amsterdam, 8077657 100 The Netherlands 84 Bharti Airtel Sierra Leone Overschiestraat 65, 1062 XD Amsterdam, 8078533 100 Holdings B.V. The Netherlands 85 Bharti Airtel Tanzania B.V. Overschiestraat 65, 1062 XD Amsterdam, 8078747 100 The Netherlands 86 Bharti Airtel Uganda Holdings Overschiestraat 65, 1062 XD Amsterdam, 8078530 100 B.V. The Netherlands 87 Bharti Airtel Zambia Holdings Overschiestraat 65, 1062 XD Amsterdam, 8076501 100 B.V. The Netherlands 88 Celtel (Mauritius) Holdings C/o Abax Corporate Services Ltd, 18259/3238 100 Limited 6thǠRRU7RZHU$&\EHUFLW\(EHQH Mauritius 89 Airtel Congo (RDC) S.A. 278, Avenue de’l Equateur, Kinshasa,Gombe, CD/KIN/RCCM/13-B-01054 98.5 Democratic Republic of Congo 90 Celtel Niger S.A. 2054 Route de l’aéroport, BP 11 922, NI-NIM-2007-B 1848 90 Niamey, Niger 91 Channel Sea Management C/o Abax Corporate Services Ltd, 6thǠRRU 18258/3237 100 Co Mauritius Limited Tower A, 1 Cybercity, Ebene, Mauritius 92 Congo RDC Towers S.A. Croisement des Avenues du Tchad et du Bas CD/KIN/RCCM/14-B-4040 100 Congo, Commune de la Gombe, Republique Democratique du Congo 93 Congo Towers S.A. (under Avenue Amilcar cabral, B.P. 1038, CG/BZV/11 B 2566 90 dissolution) Brazzaville, Republique du Congo 94 Gabon Towers S.A. (under 124 Avenue Bouet/ BP 9259, Libreville, 2013B11106 90 dissolution) Gabon 95 Indian Ocean Telecom Minerva Trust & Corporate Services 70138 100 Limited Limited, 43/45, La Motte Street, St. Helier, Jersey, JE4 8SD, Channel Islands

Board’s Report 65 Transformational Network

Sl. Name of the Company Address CIN / Registration No. % of No. shares held 96 Madagascar Towers S.A. Immeuble Kube B, Zone Galaxy Andraharo, 2011 B 00184 100 101- Antananarivo, Madagascar 97 Malawi Towers Limited $LUWHO&RPSOH[&LW\&HQWUH2ǋ&RQYHQWLRQ 10995 100 Drive, P.O Box 57, Lilongwe, Malawi 98 Mobile Commerce Congo S.A. 1er et 2ème étages, Immeuble SCI Monte 09B 1796 100 Cristo, Rond Point de la Gare, Croisement du Boulevard Denis Sassou Gnuesso & de l’avenue Orsy, Centre Ville, BP 1038, Brazzaville, République du Congo 99 Montana International Abax Corporate Services Ltd, 6thǠRRU 6/97/2593 100 Tower A, 1 Cybercity, Ebene, Mauritius 100 MSI-Celtel Nigeria Limited 7, Walter Carrington Crescent, Victoria 372966 100 (under liquidation) Island, Lagos 101 Partnership Investments 68/A Croisement des avenues du 51554 100 S.A.R.L. Commerce et Marais, 2ieme niveau, Gombe, Kinshasa, DRC 102 Société Malgache de Abax Corporate Services Ltd, 6thǠRRU 19022/3479 100 Telephonie Cellulaire S.A. Tower A, 1 Cybercity, Ebene, Mauritius 103 Tanzania Towers Limited Airtel House, Block 41 Kinondoni, Corner of 84005 60 A.H. Mwinyi Road/Kawawa Road, Kinondoni, Dar es Salaam, Tanzania 104 Tchad Towers S.A. Avenue Charles De Gaulle, BP: 5665, TC/NDJ 11 B 69 100 N’Djamena, Tchad 105 Towers Support Nigeria Plot L2, Foreshore Estate, Banana Island, 940514 79.06 Limited (under liquidation) Ikoyi, Lagos, Nigeria 106 Warid Telecom Uganda Airtel House, Plot 16A, Clement Hill Road, 82317 100 Limited (under Nakasero, Kampala, P. O. Box 6771, Kampala amalgamation) - Uganda 107 Zap Trust Company Nigeria Plot L2, Banana Island, Foreshore Estate/ 889384 100 Limited (under liquidation) Ikoyi Lagos, Nigeria 108 Bharti Airtel Rwanda Holdings Abax Corporate Services Ltd, 6thǠRRU C083311 100 Limited (formerly known as Tower A, 1 Cybercity, Ebene, Mauritius Zebrano (Mauritius) Limited) 109 Airtel Money Transfer Limited Parkside Towers, Mombasa Road, L.R. Nr. CPR/2015/199517 100 209/11880, P.O. Box 73146-00200 Nairobi, Kenya Associates u/s 2(6) of the Companies Act, 2013 1 Tanzania 12th Floor, Exelcoms House, Dar es Salaam, 24490 35 Telecommunications Tanzania Company Limited 2 Seychelles Cable Systems Third Floor, Caravelle House, Victoria, Mahe, 846498-1 26 Company Limited Seychelles Joint Venture Companies u/s 2(6) of the Companies Act, 2013 1 Indus Towers Limited Bharti Crescent, 1, Nelson Mandela Road, U92100DL2007PLC170574 30.19 Vasant Kunj, Phase - II, New Delhi - 110 070 2 Bridge Mobile Pte Limited 750 Chai Chee Road, Technopark@ 200413856E 10 ChaiChee, The Oasis, #03-02/0, Singapore 469000 3 FireFly Networks Limited A-19, Mohan Co-operative Industrial Estate, U74999DL2014PLC264417 50 Mathura Road, New Delhi - 110044

66 Annual Report 2015-16 40-125 Bharti Airtel Limited 02-39 | Corporate OverviewStatutory Reports 126-355 | Financial Statements

IV. Shareholding Pattern (Equity Share Capital Breakup as percentage of Total Equity) (i) Category-wise Shareholding: Category of No. of shares held at the beginning of the year i.e. No. of shares held at the end of the year i.e. % Shareholders April 01, 2015 March 31, 2016 Change during Demat Physical Total % of Total Demat Physical Total % of the Shares Total year Shares A. Promoters Indian Individual / HUF ------Central Government ------State Government ------Bodies Corporate 1,747,545,460 - 1,747,545,460 43.72 1,802,318,492 - 1,802,318,492 45.09 1.39 Banks / FI ------Any Other ------Sub-Total (A) (1) 1,747,545,460 - 1,747,545,460 43.72 1,802,318,492 - 1,802,318,492 45.09 1.39 Foreign NRIs - Individuals ------Others - Individuals ------Bodies Corporate 857,180,286 - 857,180,286 21.44 865,673,286 - 865,673,286 21.66 - Banks / Financial ------Institutions Any other (Foreign 8,493,000 - 8,493,000 0.21 - - --- Institutional Investor) Sub-Total A(2) 865,673,286 - 865,673,286 21.66 865,673,286 - 865,673,286 21.66 - Total A=A(1)+A(2) 2,613,218,746 2,613,218,746 65.37 2,667,991,778 2,667,991,778 66.74 1.39 B. Public Shareholding Institutions Mutual Funds / UTI 108,033,416 - 108,033,416 2.70 99,168,397 - 99,168,397 2.48 (0.23) Banks / FI 932,054 - 932,054 0.02 1,291,949 - 1,291,949 0.03 0.01 Central Government ------State Government ------Venture Capital ------Funds Insurance 190,892,726 - 190,892,726 4.78 297,836,594 0 297,836,594 7.45 2.67 Companies FIIs (including foreign 716,795,355 - 716,795,355 17.93 670,962,174 0 670,962,174 16.78 (1.15) portfolio investors) Foreign Venture ------Capital Funds ------Others ------Sub-Total B(1) 1,016,653,551 - 1,016,653,551 25.43 1,069,259,114 - 1,069,259,114 26.75 1.30 Non Institutions Bodies Corporate i) Indian 110,752,708 5,444,270 116,196,978 2.91 4,079,321 5,444,270 9,523,591 0.24 (2.67) ii) Overseas ------Individual 29,099,563 8,418 29,107,981 0.73 27,145,695 8,852 27,154,547 0.68 (0.05) shareholders holding nominal share capital upto ` 1 lakh Individual 6,595,400 - 6,595,400 0.16 4,749,760 - 4,749,760 0.12 (0.04) shareholders holding nominal share capital in excess of `1 lakh 4XDOLǟHG)RUHLJQ ------Investor Foreign National ------Foreign Companies 204,952,716 - 204,952,716 5.13 204,127,716 - 204,127,716 5.11 (0.02) Non-resident Indians 2,159,619 - 2,159,619 0.05 2,174,198 - 2,174,198 0.05 0.00 Trusts 5,670,563 - 5,670,563 0.14 7,773,082 7,773,082 0.19 0.05 Clearing Members 2,844,548 - 2,844,548 0.07 4,416,431 - 4,416,431 0.11 0.04 Sub-Total B(2) 362,075,117 5,452,688 367,527,805 9.19 346,554,232 5,453,122 352,007,354 8.81 (2.69) Total Public 1,378,728,668 5,452,688 1,384,181,356 34.63 1,323,955,202 5,453,122 1,329,408,324 33.26 (1.39) shareholding (B) = B(1)+B(2) C. Shares held by ------Custodians for GDR’s & ADR’s Total (A) + (B) + (C) 3,991,947,414 5,452,688 3,997,400,102 100 3,991,946,980 5,453,122 3,997,400,102 100 -

Board’s Report 67 Transformational Network

(ii) Shareholding of Promoters: Sl. Shareholder Shareholding at the beginning of Shareholding at the end of the year No. Name the year No. of shares % of total % of shares No. of shares % of total % of shares shares pledged / shares pledged / % Change in of the encumbered of the encumbered shareholding Company to total Company to total shares shares

1 Bharti Telecom 1,747,545,460 43.72% - 1,802,318,492 45.09% - 1.37% Limited 2 Pastel Limited 591,319,300 14.79% - 591,319,300 14.79% - 0.00% 3 Indian Continent 265,860,986 6.65% - 265,860,986 6.65% - 0.00% Investment Limited 4 Viridian Limited 8,493,000 0.21% - 8,493,000 0.21% - 0.00% Total 2,613,218,746 65.37% - 2,667,991,778 66.74% - 1.37%

(iii) Change in Promoter Shareholding: Sl. Name of the Shareholding at the Date Increase/ Reasons Cumulative Shareholding No. Promoter beginning of the year decrease during the year / during the shareholding at the end of year the year

No. of shares % of total No. of shares % of total shares of the shares Company of the Company

1 Bharti 1,747,545,460 43.72% April 01, 2015 Telecom Limited May 08, 2015 3,068,055 Market 1,750,613,515 43.79% December 18, 2015 669,575 Purchase 1,751,283,090 43.81% through December 25, 2015 2,430,138 Stock 1,753,713,228 43.87% December 31, 2015 3,662,000 Exchanges 1,757,375,228 43.96% February 05, 2016 3,767,315 1,761,142,543 44.06% February 12, 2016 5,780,636 1,766,923,179 44.20% February 19, 2016 2,799,693 1,769,722,872 44.27% February 26, 2016 7,781,064 1,777,503,936 44.47% March 04, 2016 11,155,145 1,788,659,081 44.75% March 11, 2016 3,243,942 1,791,903,023 44.83% March 18, 2016 5,665,469 1,797,568,492 44.97% March 25, 2016 4,750,000 1,802,318,492 45.09% March 31, 2016 - 1,802,318,492 45.09% Note: There was no change in shareholding of other promoters during the year.

(iv) Shareholding Pattern of top ten Shareholders (other than Directors, Promoters and Holders of GDRs and ADRs): Sl. Name of the Shareholder Shareholding Cumulative Shareholding during No. the Year No. of Shares % of total shares No. of Shares % of total of the Company shares of the Company 1 Life Insurance Corporation of India At the beginning of the year 188,528,106 4.72 188,528,106 4.72 Bought during the year 54,318,505 1.36 242,846,611 6.08 Sold during the year 38,967,755 0.97 203,878,856 5.10 At the end of the year 203,878,856 5.10 203,878,856 5.10

68 Annual Report 2015-16 40-125 Bharti Airtel Limited 02-39 | Corporate OverviewStatutory Reports 126-355 | Financial Statements

Sl. Name of the Shareholder Shareholding Cumulative Shareholding during No. the Year No. of Shares % of total shares No. of Shares % of total of the Company shares of the Company 2 Dodge and Cox International Stock Fund At the beginning of the year 57,768,204 1.45 57,768,204 1.45 Bought during the year - - 57,768,204 1.45 Sold during the year 4,706,700 0.12 53,061,504 1.33 At the end of the year 53,061,504 1.33 53,061,504 1.33 3 Goldman Sachs (Singapore) Pte. Limited At the beginning of the year 56,471,438 1.41 56,471,438 1.41 Bought during the year 4,381,881 0.11 60,853,319 1.52 Sold during the year 60,794,806 1.52 58,513 0.00 At the end of the year 58,513 0.00 58,513 0.00 4 ICICI Prudential Life Insurance Company Limited At the beginning of the year 52,927,757 1.32 52,927,757 1.32 Bought during the year 17,555,443 0.44 70,483,200 1.76 Sold during the year 6,291,115 0.16 64,192,085 1.61 At the end of the year 64,192,085 1.61 64,192,085 1.61 5 HDFC Trustee Company Limited At the beginning of the year 37,898,454 0.95 37,898,454 0.95 Bought during the year 3,941,951 0.10 41,840,405 1.05 Sold during the year 18,359,840 0.46 23,480,565 0.59 At the end of the year 23,480,565 0.59 23480565 0.59 6 Skagen Kon-Tiki Verdipapirfond At the beginning of the year 29,648,206 0.74 29,648,206 0.74 Bought during the year - - 29,648,206 0.74 Sold during the year 5,511,908 0.14 24,136,298 0.60 At the end of the year 24,136,298 0.60 24,136,298 0.60 7 Capital World Growth and Income Fund At the beginning of the year 12,360,000 0.31 12,360,000 0.31 Bought during the year 11,759,712 0.29 24,119,712 0.60 Sold during the year - - 24,119,712 0.60 At the end of the year 24,119,712 0.60 24,119,712 0.60 8 Vanguard Emerging Markets Stock Index Fund At the beginning of the year 23,035,760 0.58 23,035,760 0.58 Bought during the year 372,872 0.01 23,408,632 0.59 Sold during the year 3,764,979 0.09 19,643,653 0.49 At the end of the year 19,643,653 0.49 19,643,653 0.49 9 Parvest Equity India At the beginning of the year 16,815,799 0.42 16,815,799 0.42 Bought during the year 9,594,201 0.24 26,410,000 0.66 Sold during the year 4,700,000 0.12 21,710,000 0.54 At the end of the year 21,710,000 0.54 21,710,000 0.54 10 Franklin Templeton Mutual Fund At the beginning of the year 21,411,657 0.54 21,411,657 0.54 Bought during the year 8,289,355 0.21 29,701,012 0.74 Sold during the year 3,619,873 0.09 26,081,139 0.65 At the end of the year 26,081,139 0.65 26,081139 0.65 11 ICICI Prudential Mutual Funds At the beginning of the year 15,740,500 0.39 15,740,500 0.39 Bought during the year 28,459,974 0.71 44,200,474 1.11 Sold during the year 23,548,042 0.59 20,652,432 0.52 At the end of the year 20,652,432 0.52 20,652,432 0.52

Board’s Report 69 Transformational Network

Sl. Name of the Shareholder Shareholding Cumulative Shareholding during No. the Year No. of Shares % of total shares No. of Shares % of total of the Company shares of the Company 12 Abu Dhabi Investment Authority At the beginning of the year 20,121,580 0.50 20,121,580 0.50 Bought during the year 21,558,223 0.54 41,679,803 1.04 Sold during the year 14,149,740 0.35 27,530,063 0.69 At the end of the year 27,530,063 0.69 27,530,063 0.69 13 Government Pension Fund Global At the beginning of the year 17,509,170 0.44 17,509,170 0.44 Bought during the year 3,826,196 0.10 21,335,366 0.53 Sold during the year 10,913,849 0.27 10,421,517 0.26 At the end of the year 10,421,517 0.26 10,421,517 0.26 Note: The details of shareholding are maintained by respective Depositories and it is not feasible to provide daily change in the shareholding of top ten shareholders. Therefore, consolidated changes during the year 2015-16 have been provided.

(v) Shareholding of Directors and Key Managerial Personnel Sl. Name of the Shareholding at the Date Increase/ Reasons Cumulative No. Director or KMP beginning of the decrease Shareholding year during during the year / the year shareholding at the end of the year No. of % of total No. of % of total Shares shares Shares shares of the of the Company Company Key Managerial Personnel 1 Mr. Gopal Vittal 114,885 0.00% April 01, 2015 114,885 0.00% Managing Director & CEO (India & South Asia) May 01, 2015 10,000 Shares allotted 124,885 0.00% under ESOP August 14, 2015 20,000 Shares allotted 144,885 0.00% under ESOP September 18, 2015 65,000 Shares allotted 209,885 0.00% under ESOP December 18, 2015 20,000 Shares allotted 229,885 0.00% under ESOP March 31, 2016 229,885 0.00% 2 Mr. Srikanth 4,913 0.00% April 01, 2015 4,913 0.00% Balachandran* March 25, 2016 (4,000) Market Sale 913 0.00% March 31, 2016 913 0.00% 3 Mr. Nilanjan Roy# 1,673 0.00% April 01, 2015 1,673 0.00% May 08, 2015 (1,673) Market Sale 0 0.00% June 05, 2015 2,750 Shares allotted 2,750 0.00% under ESOP December 18, 2015 5,867 Shares allotted 8,617 0.00% under ESOP December 25, 2015 (2,750) Market Sale 5,867 0.00% March 31, 2016 5,867 0.00% 1RRWKHU'LUHFWRURU.03KHOGDQ\VKDUHVRIWKH&RPSDQ\GXULQJWKHǌQDQFLDO\HDU 5ROHFKDQJHGWR*OREDO&KLHI+52ǎFHUZHI$XJXVW # Appointed as Global CFO w.e.f. August 05, 2015.

70 Annual Report 2015-16 40-125 Bharti Airtel Limited 02-39 | Corporate OverviewStatutory Reports 126-355 | Financial Statements

V. Indebtedness Indebtedness of the Company including interest outstanding / accrued but not due for payment (` Millions) Secured Loans Unsecured Deposits Total excluding deposits Loans Indebteness Indebtedness at the beginning of WKHǂQDQFLDO\HDU i) Principal Amount 19 215,678 - 215,697 ii) Interest due but not paid - - - - iii) Interest accured but not due - 267 - 267 Total (i+ii+iii) 19 215,945 - 215,964 Change in indebtedness during WKHǂQDQFLDO\HDU Addition 17 306,576 - 306,593 Reduction 16 64,839 - 64,855 Net Change 1 241,737 - 241,738 Indebtedness at the end of the ǂQDQFLDO\HDU i) Principal Amount 20 457,415 - 457,435 ii) Interest due but not paid - - - - iii) Interest accured but not due - 1,218 1,218 Total (i+ii+iii) 20 458,633 - 458,653

VI. Remuneration of Directors and Key Managerial Personnel A. Remuneration to Managing Director, Whole-time Directors and / or Manager: (` Millions) Sl. Particulars of Remuneration Name of Managing Director / Whole-time Total No. Director / Manager Amount Mr. Sunil Bharti Mittal Mr. Gopal Vittal Chairman Managing Director & CEO (India & South Asia) 1 Gross salary (a) Salary as per provisions contained in 246.22 59.02 305.24 Section 17(1) of the Income-tax Act, 1961 (b) Value of perquisites u/s 17(2) Income-tax 11.78 0.05* 11.83 Act, 1961 (c) 3URǟWVLQOLHXRIVDODU\XQGHU6HFWLRQ --- Income-tax Act, 1961 2 Stock Option - 41.78* 41.78 3 Sweat Equity - - - 4 Commission - - - DVRISURǟW --- -others, specify… - - - 5 Others – PF Contribution 20.55 3.04 23.59 Total (A) 278.55 103.89 382.44 Ceiling as per the Act `0Q EHLQJRI1HW3URǟWVRIWKH&RPSDQ\ calculated as per Section 198 of the Companies Act, 2013). * Value of perquisites u/s 17 (2) Income Tax Act, 1961 does not include perquisite value of ` 41.78 Mn towards stock options exercised by Mr. Gopal Vittal during FY 2015-16. The same has been shown separately in point no. (2).

Board’s Report 71 Transformational Network

B. Remuneration to Non-Executive Directors including Independent Directors: (` Millions) Independent Directors Fee for attending board Commission Total / committee meetings Mr. Ben Verwaayen 0.50 16.68 17.18 Mr. Craig Ehrlich 0.50 9.95 10.45 Mr. D. K. Mittal 1.00 7.00 8.00 Mr. Manish Kejriwal 0.40 6.50 6.90 Ms. Obiageli Ezekwesili1 - 3.55 3.55 Mr. Shishir Priyadarshi 0.50 9.95 10.45 Mr. V. K. Viswanathan 0.50 8.00 8.50 Total B1 3.40 61.63 65.03

Other Non-Executive Directors Fee for attending board Commission Total / committee meetings Mr. Rakesh Bharti Mittal2 - 0.70 0.70 Ms. Chua Sock Koong - 3.98 3.98 Mr. Rajan Bharti Mittal3 - 2.30 2.30 Ms. Tan Yong Choo - 3.98 3.98 Sheikh Faisal Thani Al-Thani - 3.98 3.98 Total B2 - 14.94 14.94 Total B = (B1+B2) 3.40 76.57 79.97 Ceiling as per the Act `0Q EHLQJRI1HW3URǟWVRIWKH&RPSDQ\FDOFXODWHGDVSHU Section 198 of the Companies Act, 2013). Total Managerial Remuneration ` 462.41 Mn (A+B) Total ceiling as per the act (11%) `0Q EHLQJRI1HW3URǟWVRIWKH&RPSDQ\FDOFXODWHGDVSHU Section 198 of the Companies Act, 2013). (1) Term of Ms. Obiageli Ezekwesili ended on September 25, 2015. (2) Appointed w.e.f. January 07, 2016. (3) Ceased to be Director of the Company w.e.f. January 07, 2016. C. Remuneration to Key Managerial Personnel other than Managing Director / Whole-time Director / Manager:

(` Millions) Sl. Particulars of Remuneration Key Managerial Personnel Total Amount No. Mr. Nilanjan Roy Mr. Rajendra Chopra Global CFO# Company Secretary# 1 Gross Salary (a) Salary as per Sec 17(1) of Income Tax Act, 31 6.97 37.97 1961 (b) Value of perks as per Sec 17(2) of Income 0.09* 0.04 0.13 Tax Act, 1961 (c) 3URǟWVLQOLHXRIVDODU\XQGHU6HFWLRQ --- Income Tax Act, 1961 2 Stock Options 2.15* - 2.15 3 Sweat Equity - - 0 4 Commission - - 0 DVRISURǟW --0 - others, specify… - - 0 5 Others - PF Contribution 1.14 0.32 1.46 Total 34.38 7.33 41.71 9DOXHRISHUTXLVLWHVXV ,QFRPH7D[$FWGRHVQRWLQFOXGHSHUTXLVLWHYDOXHRI`0QWRZDUGVVWRFNRSWLRQVH[HUFLVHGE\0U1LODQMDQ5R\ during FY 2015-16. The same has been shown separately in point no. (2). # Mr. Nilanjan Roy was appointed as Global CFO w.e.f. August 05, 2015 and Mr. Rajendra Chopra was appointed as Company Secretary w.e.f. April 28, 2015. However, the remuneration provided above for Global CFO and Company Secretary is for the FY 2015-16.

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72 Annual Report 2015-16 40-125 Bharti Airtel Limited 02-39 | Corporate OverviewStatutory Reports 126-355 | Financial Statements

Annexure F

Particulars of Energy Conservation, Technology ORZHU HQHUJ\ FRQVXPSWLRQ DQG PRUH HǎFLHQW Absorption and Foreign Exchange Earnings and Outgo cooling. Installed Variable Frequency Drives (VFDs) in for A. Conservation of Energy the HVAC systems, which helps to automatically 1. The Company undertook various initiatives to reduce the motor’s speed and power driven. reduce and conserve energy: a. On Network side: 3HUIRUPHG LGHQWLǌFDWLRQ DQG UHFWLǌFDWLRQ RI KRW spots and optimised lighting and aircon usage. 0D[LPLVLQJ RXWGRRU Ş 1HZ VLWHV KDYH EHHQ deployed as outdoor sites with reduced need of 0DLQWDLQHGDQDYHUDJH3RZHU8WLOLVDWLRQ(ǎFLHQF\ air-conditioners and diesel. WRLPSURYHHǎFLHQF\DFURVVDOO'DWD&HQWUHV Sites on sharer basis – Deployed new sites on F (QHUJ\HǄFLHQF\LQ$LUWHOIDFLOLWLHV shared basis, which results in reduction of their Use of Variable Frequency Drive for HVAC system. energy consumption by 30% as compared to standalone sites. 5HWURǌWWHG WKH YDULRXV EXLOGLQJV ZLWK HQHUJ\ HǎFLHQWDLUFRQGLWLRQLQJDQG/('OLJKWV Incremental sites have been deployed outdoor by utilising technology like low power consuming BTS, Introduced UPS optimisation at its technology Free Cooling Unit (FCU), Natural Cooling Unit (NCU), centres. Micro Cooling Unit (MCU), Power Management Installed Automatic Power Factor Controller, Units (PMUs). $3)& DWRǎFHDFURVV3DQ,QGLD Installed advance VRLA battery banks, Li-ion 2. Utilisation of green energy: Battery solutions and other operational measures. Rooftop Solar at Main Switching Centres (MSCs): Introduced air-conditioning rationalisation, The Company has installed solar power plants at reducing the consumption by 10%. total 14 MSC locations by the end of FY 2015-16, H[SDQGLQJWKHWRWDOLQVWDOOHGFDSDFLW\WR0:S 'HSOR\HG HQHUJ\ HǎFLHQW UHWURǌWV LQ %76 VLWHV such as integrated power management systems, Green Power Wheeling for MSC and Data Centres: HǎFLHQW'&WR$&FRQYHUWRUVHǎFLHQWDLUFRQV 7R HQKDQFH WKH HQHUJ\ HǎFLHQF\ WKH &RPSDQ\ implemented the renewable sources of energy ,QVWDOOHGHQHUJ\HǎFLHQWDLUFRQGLWLRQLQJDQG/(' at its core locations. Green Power Wheeling lighting in core locations. agreements were made for procuring green ,QWURGXFHG LQQRYDWLYH GHVLJQ PRGLǌFDWLRQV DW HQHUJ\IRUORFDWLRQVDQGLVSODQQLQJWRH[WHQG sites: the same for nine more sites. Trail conducted on solar natural cooling Solar and battery hybrid solution: The Company, solutions. with help of its network infrastructure partners, Designed and installed outdoor small cell converted over 350 additional sites to green sites sites with ground based mast with Li-ion by utilising solar and battery hybrid solution in batteries reducing the energy consumption FY 2015-16. by 30-40%. Reduction by using battery back-ups: In FY 2015- Installed sites with auto-TRX shutdown 16, over 4,530 sites were installed with advance feature, which reduces the energy VRLA batteries and Li-ion battery solutions to requirement at non-peak hours. reduce the running of DG set. Few sites were also installed with Li-ion battery banks by utilising Piloted TRX shutdown feature for cell, sector ground based mast designs with Li-ion battery and cluster level. solution. Installed shelters with optimal cooling, power ,QVWDOODWLRQRIVRODUSODWHVIRUIDFLOLWLHVDQGRǎFH and thermal management systems etc. premises. Reduced the indoor placement of BTS, which 3. The capital investment on energy conservation reduced the air-conditioning load. equipment is shown below: E (QHUJ\HǄFLHQF\DFURVV'DWD&HQWUHV Sl. Location Capex The Company puts emphasis on optimising the data No. (in ` centre facilities, operations for energy conservation, Millions) improved space utilisation and enhanced performance. Some of the initiatives undertaken are as follows: 1 2ZQVLWHV +H[DFRP &RUH 47 TOCO (Indus Towers & Bharti Use of cold aisle containment as a physical barrier 2 487 Infratel) & SP (Ericsson /NSN) WR UHGXFH WKH PL[LQJ RI FROG VXSSO\ DLU DQG KRW H[KDXVW DLU LQ 'DWD &HQWUH DLVOHV 7KLV GHOLYHUV TOTAL 534

Board’s Report 73 Transformational Network

B. Technology Absorption $LUWHO LV WKH ǌUVW WHOHFRP FRPSDQ\ WR LPSOHPHQW 6HOI 7KHHǁRUWVPDGHWRZDUGVWHFKQRORJ\DEVRUSWLRQ Optimising Network (SON), enabling automation of Indian mobile broadband demand has been growing QHWZRUN RSWLPLVDWLRQ RI LWV FRPSOH[ PXOWLWHFKQRORJ\ H[SRQHQWLDOO\DWPRUHWKDQ&$*5,QGLDQRZKDV multi-vendor networks. It has enabled dynamic the second largest internet user base with more than FRQǌJXUDWLRQ RI WKH QHWZRUN IRU VHDPOHVV KDQGRYHUV 400 Mn internet users, out of which more than 80% of in 3G & 2G network, thus reducing the drop calls. Real the users are using internet service on mobile network. time balancing of network load across congested and There are 1 Bn wireless subscribers as opposed to a non-congested sites have reduced overloading, thus mere 26 Mn wireline subscribers. improving user throughput and blocking in the network. Real time optimisation has improved network utilisation With an objective to provide best in class mobile WKXV LPSURYLQJ HǎFLHQF\ RI WKH DYDLODEOH VSHFWUXP EURDGEDQG H[SHULHQFH WR RXU FXVWRPHUV DQG and network capacity. Airtel has pioneered customer LPSURYHPHQW LQ VSHFWUXP HǎFLHQF\ $LUWHO HQYLVDJHG GHPDQG FHQWULF QHWZRUN SODQQLQJ GHQVLǌFDWLRQ deployment of 75,000 sites last year. This was a by getting visibility of the network consumption on challenging task as this had to be deployed across JUDQXODU P [ P JULG ,W KDV KHOSHG LQ HQVXULQJ India in partnership with multiple vendors. Every tower deployment of new sites, small cells in corridors of high installation required proper wireless planning, MW planning, transport planning, availability of material, FRQVXPSWLRQ WKXV LPSURYLQJ HǎFLHQF\ RI WKH QHZ permission, alignment of material with ASP team, deployments. MW team, provisioning team. All the deployment was In case of imported technology (imported during happening on live sites, which made this deployment the last three years reckoned from the beginning of H[HUFLVHHYHQPRUHFULWLFDO WKHǂQDQFLDO\HDU Deployment of these sites was essential to launch a. The details of technology imported: 3G sites in 6 gap markets and a pan India 4G launch. The Company has not imported any technology We also planned to re-farm 900MHz spectrum to 3G in the given period, only telecom equipment were for improved indoor coverage for mobile broadband imported. network, increasing capacity of 3G networks and b. Year of import: LQFUHDVLQJHǎFLHQF\RIWKHVFDUFHVSHFWUXPUHVRXUFHV N.A. 7R PDQDJH WKH H[LVWLQJ QHWZRUN EHWWHU $LUWHO KDV c. Whether the technology been fully absorbed: embraced Self Optimisation Network & Geo-analytical N.A. WRROVUHDOWLPHFXVWRPHUH[SHULHQFHEDVHGRSWLPLVDWLRQ of its mobile broadband network. These platforms d. If not fully absorbed, areas where absorption have enabled automatic optimisation of multi-layered has not taken place, and the reasons thereof: networks, thereby reducing drop calls, network N.A. blocking, and increasing data throughputs for setting QHZEHQFKPDUNVLQHQGXVHUH[SHULHQFH 3. The expenditure incurred on Research and Development: In our continuous endeavour to be pioneers in new NIL technology, we launched carrier aggregation, dual band 3G, 3G dual carrier last year. 7KHHǁRUWVPDGHWRZDUGVFUHDWLQJDGLJLWDO$LUWHO: With the growth of smartphones and the consumers 7KHEHQHǂWVGHULYHGIURPWHFKQRORJ\DEVRUSWLRQ becoming more and more digitally savvy, there is a huge 7KURXJKPHWLFXORXVDQGHǋHFWLYHSODQQLQJDQGSURMHFW focus towards creating a digital Airtel. There is a massive management, we managed to deploy more than SURJUDPPHUXQQLQJZLWKIRFXVRQGLJLWLVLQJH[SHULHQFHIRU 88,000 towers in our network and additional 20,000 the customers as well as internally for employees. Digitisation .PRIǌEUHDFURVV,QGLD7KURXJKWKLVZHGRXEOHGRXU is helping us seamlessly manage the ever changing mobile broadband footprint. We now connect more RUJDQLVDWLRQDO FRPSOH[LWLHV WKDW FRPH ZLWK WKH VFDOH RI than 350,000 towns and villages through high speed 250 Mn subscribers, 500 Mn monthly transactions and broadband. Last year we launched 4G in all 14 licensed 1.5 Mn retailers. circles and 3G in 6 gap circles. In this journey we also ODXQFKHG ,QGLDšV ǌUVW GXDO EDQG * LQ 0XPEDL Market Digitisation: The entire sales and distribution chain MHz was re-farmed in 5 circles this year – AP, KK, NESA, of the organisation from retailers to distributors as well as our Punjab, Mumbai. entire salesforce are fully empowered with a digital suite of apps that gives them ready access to qualitative information $LUWHO EHFDPH WKH ǌUVW FRPSDQ\ LQ ,QGLD WR ODXQFK on their mobile with full transparency in market planning, carrier aggregation, LTE TD and FD, on a commercial target setting, KPI scorecard measurements and earnings. device reaching a speed of 135 Mbps. Airtel also This app suite gets over 6 Mn hits per month and has helped SLRQHHUHG ,QGLDšV ǌUVW GXDO FDUULHU LQ 7DPLO 1DGX IRU enhance revenue and drive key value propositions in the 3G in 2100 MHz reaching a peak speed on 42 Mbps. market. This technology adoption and innovation helped us to PDQDJH WKH VSHFWUXP HǎFLHQWO\ DQG SURYLGH D JUHDW Customer Acquisition: 7KHFXVWRPHUDFTXLVLWLRQǍRZKDV EURDGEDQGH[SHULHQFHWRRXUFXVWRPHUV been digitised for postpaid and Telemedia, where customers

74 Annual Report 2015-16 40-125 Bharti Airtel Limited 02-39 | Corporate OverviewStatutory Reports 126-355 | Financial Statements

can check feasibility, services and plans and purchase new schedules, allows appointment, booking and provides FRQQHFWLRQV RU PDNH FKDQJHV WR H[LVWLQJ RQHV DOO RQOLQH PD[LPXPHǎFLHQF\LQWKHHQWLUHSURFHVV7KLVDOORZVXVWR through www.airtel.in. Airtel stores also provide a world VHUYLFHRXUFRQVXPHUVDQG%%FOLHQWVPRUHHǎFLHQWO\DQG FODVV GLJLWDO DQG WUDQVSDUHQW H[SHULHQFH IRU DFTXLVLWLRQV HǋHFWLYHO\ through eCAF, an in-house solution enabling on-the-spot Due to all these advanced developments, Airtel has won the postpaid activations with self-selected mobile number and a prestigious Global TM forum digital award for ‘Outstanding SHUVRQDOLVHGǍH[LEOHSODQ Contribution to Improved Business Agility Award – Communications Industry’. Customer Service: P\$LUWHO DSS RǋHUV IXOO ǍH[LELOLW\ DQG control to consumers to view their usage, make payments, C. Foreign Exchange Earnings and Outgo self-service any plan changes, recharge their prepaid or DTH $FWLYLWLHV UHODWLQJ WR LQLWLDWLYHV WDNHQ WR LQFUHDVH H[SRUWV connections etc. Millions of consumers around the country GHYHORSPHQW RI QHZ H[SRUW PDUNHWV IRU SURGXFWV DQG are using myAirtel app on a daily basis. VHUYLFHVDQGH[SRUWSODQV Workforce Management: 9DULRXV ǌHOG IRUFHV RI $LUWHO IRU 7RWDOIRUHLJQH[FKDQJHXVHGDQGHDUQHGIRUWKH\HDU service, installation and fault repair etc., have also been ` 41,867 Mn. digitised through a workforce management solution called D 7RWDO)RUHLJQ([FKDQJH(DUQLQJV “Airtel Konnect” which automatically assigns tasks, manages E 7RWDO)RUHLJQ([FKDQJH2XWJR` 112,627 Mn.

Annexure G Statement of Disclosure of Remuneration under Section 197(12) of Companies Act, 2013 read with Rule 5(1) of Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014 L 7KHSHUFHQWDJHLQFUHDVHLQUHPXQHUDWLRQRIHDFK'LUHFWRU&KLHI)LQDQFLDO2ǄFHU&KLHI([HFXWLYH2ǄFHUDQG Company Secretary during FY 2015-16, ratio of the remuneration of each Director to the median remuneration of the employees of the Company for FY 2015-16 and comparison of the remuneration of each Key Managerial Personnel (KMP) against the performance of the Company are as under:

Board’s Report 75 Transformational Network

Sl. Name of the Director Remuneration of Percentage Ratio of Comparison of No. Director / KMP increase in remuneration remuneration of for FY 2015-16 remuneration of each KMP against the (in `) in FY 2015-165 Director performance of to median the Company remuneration of the employees of the Company5,6 Key Managerial Personnel other than Executive Directors 15. Mr. Nilanjan Roy7 22,410,832# 11.554 - The Company’s Global Chief Financial revenue has 2ǌFHU increased by 16. Mr. Rajendra Chopra8 7,002,382^ 58.764 - 11.7% on year to Company Secretary year basis and revenue from operations has increased by 8.66 % year to year basis. 1. From January 07, 2016 to March 31, 2016. 2. From April 01, 2015 to January 07, 2016. Mr. Rajan Bharti Mittal ceased to be Director of the Company. 3. Term of Ms. Obiageli Ezekwesili ended on September 25, 2015. 4. The value of performance linked incentive (PLI) in remuneration of Key Managerial Personnels (KMPs) represents incentive which will accrue at 100% SHUIRUPDQFHOHYHO)RUHǋHFWLYHFRPSDULVRQWKH3/,FRPSRQHQWRIWKHLUUHPXQHUDWLRQIRU)<KDVDOVREHHQFRQVLGHUHGDWSHUIRUPDQFH level. 5. Based on Annualised Remuneration. 5HPXQHUDWLRQRI(PSOR\HHVDQG.03VGRHVQRWLQFOXGHSHUTXLVLWHYDOXHRIVWRFNRSWLRQVH[HUFLVHGGXULQJWKHǌQDQFLDO\HDU 7. From August 05, 2015 to March 31, 2016. 8. From April 28, 2015 to March 31, 2016. 7KHUHKDVEHHQQRFKDQJHLQUHPXQHUDWLRQSROLF\IRU1RQ([HFXWLYH'LUHFWRUV&KDQJHLQUHPXQHUDWLRQRI1RQ([HFXWLYH'LUHFWRUVYLV¢YLVSUHYLRXV\HDU LVGXHWRFKDQJHLQWKHLU&RPPLWWHHPHPEHUVKLSDQGFKDQJHLQIRUHLJQH[FKDQJHUDWHV 7KHUHPXQHUDWLRQRI0U*RSDO9LWWDOH[FOXGHVSHUTXLVLWHYDOXHRIVWRFNRSWLRQVRI`H[HUFLVHGGXULQJWKHFXUUHQWǌQDQFLDO\HDU 7KHUHPXQHUDWLRQRI0U1LODQMDQ5R\H[FOXGHVSHUTXLVLWHYDOXHRIVWRFNRSWLRQVRI`H[HUFLVHGGXULQJWKHFXUUHQWǌQDQFLDO\HDUDQGFDVK payout of ` 9,813,969 under performance-based long-term incentive plan of the Company. A7KHUHPXQHUDWLRQRI0U5DMHQGUD&KRSUDH[FOXGHVFDVKSD\RXWRI` 327,367 under performance-based long-term incentive plan of the Company. ii. 7KHSHUFHQWDJHLQFUHDVHLQWKHPHGLDQUHPXQHUDWLRQRIWKHHPSOR\HHVLQWKHǂQDQFLDO\HDU There has been a decrease of 4.5% in median remuneration of employees in FY 2015-16 as compared to FY 2014-15. iii. The number of permanent employees on the roll of the Company: There were 9,596 employees on the rolls of the Company as on March 31, 2016. iv. The explanation on the relationship between average increase in remuneration and Company performance: The revenue growth during FY 2015-16 over FY 2014-15 was 11.7% and revenue from operations increased was 7KHDYHUDJHLQFUHDVHLQWKHUHPXQHUDWLRQRIHPSOR\HHVH[FOXGLQJ.H\0DQDJHULDO3HUVRQQHOGXULQJ)< was 9%. v. a) Variation in the market capitalisation: The market capitalisation is based on closing share price quoted on NSE, ` 1,572,177.46 Mn at March 31, 2015 and ` 1,402,287.96 Mn at March 31, 2016 i.e. decrease of 10.80%. b) Price earnings ratio: The price earning ratio was 18.58 at March 31, 2016 as compared to 11.91 at March 31, 2015 i.e. an increase of 56.01%. c) Percentage increase in the market quotation of shares of the Company as compared to the rate of last SXEOLFRǁHU The closing price of Company’s equity shares of face value of ` 5/- each on NSE and BSE as of March 31, 2016 was ` 350.80 and ` 350.90 respectively, representing 1,459% increase over IPO price of ` 45/- per equity share of face value of ` 10/- each.

76 Annual Report 2015-16 40-125 Bharti Airtel Limited 02-39 | Corporate OverviewStatutory Reports 126-355 | Financial Statements

vi. Average percentage increase already made in the salaries of employees other than the managerial personnel in )<DQGLWVFRPSDULVRQZLWKWKHSHUFHQWDJHLQFUHDVHLQWKHPDQDJHULDOUHPXQHUDWLRQDQGMXVWLǂFDWLRQ thereof:7KHDYHUDJHLQFUHDVHLQWKHUHPXQHUDWLRQRIHPSOR\HHVH[FOXGLQJ.03VGXULQJ)<ZDVDQGWKH average increase in the remuneration of KMPs was 22.26%. The increase of 22.26% is due to substantial increase in VDODU\RI&KLHI)LQDQFLDO2ǎFHUDQG&RPSDQ\6HFUHWDU\RIWKH&RPSDQ\ZKLFKZDVEDVHGRQH[WHUQDOEHQFKPDUNLQJ internal parity, Company’s performance and individual performance level. vii. The key parameters for any variable component of remuneration availed by the Directors: In terms of Company’s UHPXQHUDWLRQ3ROLF\WKHNH\SDUDPHWHUVIRUWKHYDULDEOHFRPSRQHQWRIUHPXQHUDWLRQDYDLOHGE\WKH([HFXWLYH'LUHFWRUV are directly linked to performance of the individual (i.e. achievement against pre-determined KRAs), his / her respective Business Unit and the overall Company’s performance. No other Director receives any variable pay. viii. The ratio of the remuneration of the highest paid Director to that of the employees who are not Directors but receive remuneration in excess of the highest paid Director during the year: During the year 2016, no employee UHFHLYHGUHPXQHUDWLRQLQH[FHVVRIKLJKHVWSDLG'LUHFWRU ix. $ǄUPDWLRQWKDWWKHUHPXQHUDWLRQLVDVSHUWKHUHPXQHUDWLRQSROL F\RIWKH&RPSDQ\ The remuneration of Directors was as per the Remuneration Policy of the Company.

$XGLWRUVš&HUWLǂFDWHUHJDUGLQJ&RPSOLDQFHRI&RQGLWLRQVRI&RUSRUDWH*RYHUQDQFH Annexure H

To The Members of Bharti Airtel Limited,

:HKDYHH[DPLQHGWKHFRPSOLDQFHRIFRQGLWLRQVRIFRUSRUDWHJRYHUQDQFHE\%KDUWL$LUWHO/LPLWHG ţWKH&RPSDQ\Ť IRUWKH year ended March 31, 2016, as stipulated in Clause 49 of the Listing Agreement (“Listing Agreement”) of the Company with WKH6WRFN([FKDQJHVIRUWKHSHULRG$SULOWR1RYHPEHUDQGDVSHUWKHUHOHYDQWSURYLVLRQVRI6HFXULWLHV DQG([FKDQJH%RDUGRI,QGLD /LVWLQJ2EOLJDWLRQVDQG'LVFORVXUH5HTXLUHPHQWV 5HJXODWLRQV ţ/LVWLQJ5HJXODWLRQVŤ DV referred to in Regulation 15(2) of the Listing Regulations, for the period December 01, 2015 to March 31, 2016. 7KHFRPSOLDQFHRIFRQGLWLRQVRIFRUSRUDWHJRYHUQDQFHLVWKHUHVSRQVLELOLW\RIWKHPDQDJHPHQW2XUH[DPLQDWLRQZDVOLPLWHGWR procedures and implementation thereof, adopted by the Company for ensuring the compliance of the conditions of Corporate *RYHUQDQFH,WLVQHLWKHUDQDXGLWQRUDQH[SUHVVLRQRIRSLQLRQRQWKHǌQDQFLDOVWDWHPHQWVRIWKH&RPSDQ\ ,QRXURSLQLRQDQGWRWKHEHVWRIRXULQIRUPDWLRQDQGDFFRUGLQJWRWKHH[SODQDWLRQVJLYHQWRXVZHFHUWLI\WKDWWKH&RPSDQ\ has complied with the conditions of Corporate Governance as stipulated in the above mentioned Listing Agreement / Listing Regulations, as applicable. :HIXUWKHUVWDWHWKDWVXFKFRPSOLDQFHLVQHLWKHUDQDVVXUDQFHDVWRWKHIXWXUHYLDELOLW\RIWKH&RPSDQ\QRUWKHHǎFLHQF\RU HǋHFWLYHQHVVZLWKZKLFKWKHPDQDJHPHQWKDVFRQGXFWHGWKHDǋDLUVRIWKH&RPSDQ\

For S.R. Batliboi & Associates LLP Chartered Accountants ICAI Firm Registration Number: 101049W

per Nilangshu Katriar Place: Gurgaon Partner Date: April 27, 2016 Membership Number: 58814

Board’s Report 77 Transformational Network ness d Core d Core es Manager Annexure I Annexure d-India Foods es Manager of Managerial Personnel) Managerial Personnel) of Development &HQWXP/HDUQLQJ&KLHI)LQDQFLDO2ǌFHUDQG+HDG,7 Planning Previous employment / Designation employment Previous %KDUWL,QIRWHO/WG&KLHI7HFKQRORJ\2ǌFHU Planning 1DWLRQDO3DQDVRQLF6U6DOHV2ǌFHU ) ` (in Gross Gross 9,404,799 Mumbai / Audit Assistant & Associates, Kucheri Remuneration Remuneration Nature of duties of duties of of Nature the employee Development Total Total (in years) experience experience Date of of Date Employment Commencement of Commencement of 52 07-Jul-2014 33 IT 53,471,402 Architect / Global Chief Telefonica (In Age years) MBA 42 Military the Royal Sandhurst Academy 19-Jul-2010 19 Business Head 8,546,484 Head AMD India Pvt/ Marketing Ltd B.Com, CAMBA 56 01-Sep-2004 47 26 21-Nov-2001 Finance 24 Business Head 37,342,589 / VP-Corp Finance & Engineering Industries Ltd. Triveni 11,934,893 4XDOLǂFDWLRQ V &KLHI2SHUDWLQJ2ǌFHU0DUNHW2SHUDWLRQV - Kerala Head Data & Circuit Core & IN A&E Core Head Data & Circuit B.E'LUHFWRU&0'šV2ǌFH &KLHI2SHUDWLQJ2ǌFHU0DUNHW2SHUDWLRQV83 West 46 29-Apr-2010 23 Network 9,989,317 / AVP Etisalat Varaprasad Name Designation 1213 Anupam Arora14 V Gunari Aravind 15 Aggarwal Archana 16 Basu Argha 17 Aruna Pidikiti18 Ashish Arora19 Ashish Jain Homes S & M Head - Telemedia 20 CTO Circle Ashish Mehra Head Media Planning & Buying21 Ganapathy Ashok 22 Asit Tandon & TSG Dev - Prod Vice President Sr. Sachdeva Atul 23 Hub CTO MBA Business - Corporate CEO Sohoni Atul 24 MBA - Finance Vice President 25 N&E - Sales EGB Vice President Operations-Maharashtra - Market CEO Deepak Avinash MBA26 Sarkar Ayan 27 Balakrishnan Janardhanan VP - Network Sr. Planning28 Head Wireless Dash PGDBM Biswaranjan 4229 B.E C Surendran MBA Commerce 44 - Sales Vice President Campbell Mcclean Business Head Regional 02-Jan-199830 48 MBA 09-Dec-2013 Narasimha Venkata Chamakura Head Marketing M.Tech. 50 Head Cons Biz IT 47 25-Feb-2008 18 PGDBM 45 Architect Chief 46 15 03-May-2013 KK Operations CEO-Market 02-Aug-2010 Sales B.E 25 42 Brand 08-Aug-2005 B.E MBA 03-Apr-2007 46 27 & TSG Dev Prod 27 43 07-Aug-2014 21-Dec-2000 20 Business Head 21 Sales B.E & MBA PG Diploma B.Sc / BCA 29-Aug-2006 46 10,759,715 Network 20 6,412,694 Business Head / Business Head-Mpls VSNL 47 / GM Limited 25 Bharti Telemedia 45 9,427,128 19,384,793 from Graduated & Gamble / Country Media Manager Procter Finance 02-Apr-2007 Mediaworks / CEO Reliance 21 Network 38 26-Apr-2004 50 49 28-Aug-2006 12,949,419 Network / National Sales Head Sify Ltd 8,006,101 23 30-Jan-2006 8,932,351 04-Nov-2003 Manager / Associate 21-May-2001 Professional Manpower 26 / Head NSS Ltd BPL Mobile Cellular 22 Network 6,476,515 Sales 11,741,579 Sales 13 28 26 (TECH) Director STPI / Dy. 11,191,037 an / Head- BSS, Transmission Ltd Teleservices Marketing Tata Business Head IT 9,476,305 Manager Siemens / General 16,691,538 6,783,094 8,373,494 / Head-Outsourcing Modi Xerox Sal & Zonal Manager / Branch Ltd BPL Cellular Accounts) / National Head (Strategic Infonet BT 6,312,091 - Marketing / Manager Ltd. Idea Cellular 7,022,605 / Manager Ltd Koshika Telecom Sl. No. 910 Anant Arora11 Anil Bahl Anjani Rathor South - EGB CEO & PMO Head - IT Governance Tax Head India Indirect PGDBM CA-Inter B.E / B.Tech 43 49 47 10-Dec-2007 11-Apr-2003 01-Apr-2008 19 26 21 IT Business Head Finance 17,156,116 / Head - Sales Operations Ltd Infocomm Reliance 14,253,914 6,381,946 and Busi Strategy Boeing / Director, Delhi Accenture Tax S.R. Batliboi & Co / Manager-Indirect 12 A Ganesh3 Savargaonkar Abhay 4 Kohli Aditya 5 Ajai Puri6 Jain Ajay 7 Chitkara Ajay 8 Networks & CTO Director Akhil R Garg Amit Anchal VP - Distribution Head Sr. Head HR - Enabling Functions Operations - Market Director & Data Business - Global Voice Director CTO Circle B.E. / B. Tech Head FR - India - Business Development Vice President Sr. PGDBM / B. Tech PG Diploma PGDBM 51 MBA 39 Graduation Post 05-Aug-2006 40 01-Feb-2013 55 44 13-Oct-2014 26 39 15-May-2004 01-May-2001 MBA / CA 15 M.E Operations 18 Sales 10-Jun-2002 35 22 HR 39 Business Head Business Head 17 23,500,210 44 23-Jan-2014 Business 13,242,012 41,274,542 23,009,593 27-Jul-2001 Manager / General Limited Hindustan Unilever India / Business Hea Sal Foods / Area Cargill Max Limited Comsat 14 12,435,284 / Head P&R Bank Chartered Standard 23 Finance Network 6,623,041 GM / Sr. Pepsico 7,731,306 / Head Projects Group) ENIL (TOI 35 Khajuria Dharmender 36 Bhagat Dhruv UP East Operations CEO-Market PGDBM 46 01-Sep-2006 20 Business Head 18,834,037 / Business Head Ltd. Essar Hutchison 3132 Tripathi Chandrakant 33 Ramamoorthy Chandrasekar 34 Sanghi Deepak Khanna Deven Experience Head - Network CTO Circle & IP Planning Head Transport MBA B.E B.Tech 34 03-Feb-2014 42 44 11 29-Mar-2004 29-Dec-2000 Network 21 22 Network Network 10,287,791 Associate / Senior Booz & Company 9,430,938 6,922,018 Consultant Nortel Networks / Technical O&M Core Manager / Deputy Ltd Telecom Reliance Statement of particulars under Section 197(12) of the Companies Act, 2013 read with the Companies (Appointment and Remuneration the Companies Act, 2013 read Section 197(12) of particulars under of Statement Rules, 2014 for the year ended March 31, 2016 ended March year the 2014 for Rules, the Financial Year Throughout (A) Employed

78 Annual Report 2015-16 40-125 Bharti Airtel Limited 02-39 | Corporate OverviewStatutory Reports 126-355 | Financial Statements rvice, North North India ctor dent & Head lobal IT ging director sident, HR irector - Financial Controls irector s Manager Senior Manager Senior - Sales of Managerial Personnel) Managerial Personnel) of Government Business Government Commerce Internet /DNPH/HYHU3ULYDWH/LPLWHG&KLHI2SHUDWLQJ2ǌFHU +&/,QǟQHW/LPLWHG=RQDO+HDG1RUWK (DVW $ǋDLUV Previous employment / Designation employment Previous ) ` (in Gross Gross 61,381,456 / CIO Global Markets BBVA 46,505,666 Chain - Global supply Vice President / Group GE Energy Remuneration Remuneration Technology Management Nature of duties of duties of of Nature the employee Total Total (in years) experience experience Date of of Date Employment Commencement of Commencement of 42 24-Oct-2013 17 Information 42 17-Dec-2012 20 Chain Supply (In Age years) Engg) MBA 38 06-May-2013BA 14 International Business MarketingAdministration 62 02-Sep-2013 17,054,977 32 Regulatory Corporate 10,239,068 - Corporate / Director Indian Pvt Limited WC&C Carrefour 4XDOLǂFDWLRQ V &KLHI,QQRYDWLRQ2ǌFHU &(2:\QN +HDG([WHUQDO$ǋDLUV Name Designation 4647 Harsh Dhillon48 Guruswamy Hemanth Kumar Krishna Indeevar Homes CEO Head - Channel & Inside Sales Ops Head Market B.A PGDBM PGDBM 44 45 20-May-2013 27-Jan-2014 476566 Singla Mukesh 67 19 Chaganti Murthy 01-Nov-2010 2168 Aldangady Naveen 69 Sales Sanghi Naveen 70 Marketing Navin Shenoy 2271 Nikhil Gilani72 Nikhil Kumar Finance Controller-NSGExperience Customer 73 Gujarat Operations CEO-Market Chain Supply head - DTH Vertical Nilanjan Roy74 M Pandian 15,350,411 75 Head - Legal & Compliance and Se Chopra Operations CITIBANK / Head - Branch Pankaj 9,560,251 76 VP Retail / Sr. 6,726,644 Matrimony.com Sarna Pankaj Business / Head - Carrier Head Advertising Telecom Tulip Routray Prasad B.E MBA Head - 4G LTE Head - Cust Experience & Billing Systems CA Global CFO PGDCA Head Planning Head CSD LLM Lead India Tax Business Head Regional 46 49 PGDBM 44 10-Apr-2014 54 01-Feb-2007 43 MBA 19-Nov-2001 17-Jul-2001 28 26 03-Aug-2004 PG Diploma 38 CA B.Tech 20 Business Head SCM MBA 21 CA 19 15-Jul-2013 Finance 37 42 IT Legal 14,345,362 Business Head / Circle Aircel 09-May-2007 41 14 11-Feb-1998 50 46 Brand 55 7,224,123 16-Jul-2012 15 01-Mar-2006 / Head - Source RCL 8,806,027 21 Manager / Deputy Spice Communication Limited 19-Oct-2001 16-Jan-1999 Marketing Sales 7,094,503 21 9,306,925 26 Legal Manager / Dy Spice Communication Limited / Manager BPL Mobile Ltd 25 Network 31 Finance 6,915,042 Manager Brand / Sr. Limited Hindustan Unilever Experience Customer Finance 8,224,370 business - Retail / Manager VSNL 6,655,687 7,432,694 / Asst. Manager Limited BPL Cellular / Executive-Sales Ltd Koshika Telecom 6,325,587 22,410,832 Account Manager Technical / Sr. Wireless Ruckus / Finance Director / Plc, Usa Nv Unilever 8,334,473 Channels - Indirect / Controller Ltd. Modi Xerox 45 Harmeen Mehta4950 Walia Inder Jijo John Global CIO5152 Kamal Dua53 Singh Ahluwalia Kanwardeep 54 Sheth Kartik 55 Asrani Kishor Integration Head Middleware 56 Mahesh Halankar - Human Resources Director Group 57 Manikandan R58 EGB Head USD & CTO Manish Agarwal59 Manish Prakash FR India Segment Head60 Manoj Murali PGDBM61 Sc & BE (computer Singh Khurana Manpreet PGDBM CTO Circle N&E - EGB CEO 62 Manu Sood Mohan Shukla Experience - Customer Vice President 63 Global Head Taxation64 & Ops Head - Global Infrastructure Monika Gupta & Government - Enterprise Director B.Tech 58 Moti Gyamlani 40 B.Com Rajasthan Hexacom Operations - Market CEO B.Sc MBA 06-Aug-2007 MBA 20-Jul-2009 MBA Punjab Operations - Market CEO 43 PGDBM - IT Vice president 32 CA / CS 37 MBA Chain 19 - Supply Director 49 Human Resources 02-Jul-2001 45 MBA IT 08-Mar-2007 40 42 12-May-2004 46 58,631,316 01-Oct-2001 42 21 Vice Pre Mittal / Executive Arcelor 03-Jul-2014 15 02-Jan-2014 47 29 15-Feb-2005 Network 11-Dec-2008 21 in Masters Finance B.E 43Experience Customer 10-Jan-2011 13 20 Business Head 25 7,117,224 18 13-Jan-2012 / Engineer Technologies Wipro IT Business Head 6,840,574 / Cholamandalam Investment 20 Business Head Finance 6,288,710 - Bengaluru / Account Manager Ltd. Infotway Satyam 15,439,820 15 8,378,810 Network Sale / Area Greaves 42 Crompton Idea / AM 23,755,323 / Mana Limited Australia Accenture Business Head 11,070,358 02-Jan-2015 10,482,315 14,879,354 - G / Vice President Manager General Noida / Deputy HCL Technologies HCL TEchnologies, 17,538,178 9,511,501 13 - Manager / General Limited Hindustan Lever Network / Head of Ltd Aircel IT 7,111,135 / Director Ericsson Sl. No. 3738 Kumar Dushyant 39 Khandelwal Gaurav 40 Gautam Anand41 Mathen George 42 Gopal Vittal43 Singh Gurpreet Group Operations Head Central 44 Business - Consumer Controller Commercial Harjeet Kohli Singh Kohli Harjinder CA Head HR S&D CS DTH Nadu Tamil Operations - Market CEO B.E / B.Tech Homes S & M Head - Telemedia - India & South Asia MD & CEO Vertical Head - Government Graduation Post Treasurer Group 38 50 47 MBA PGDM 03-Nov-2014 MBA 02-Nov-1998 B Com 17-Nov-2006 15 24 25 42 39 Finance MBA Network 50 Business Head 49 12-Nov-2002 30-Jul-2009 03-Apr-2012 22-Sep-2011 15,243,730 20 10,271,427 17 Coca Cola India / Head 42 12,519,532 / D Limited Hindustan Unilever 25 / Manager Ltd Internet Bharti BT 29 Sales HR Business Head 19-Jan-2009 Sales 18 62,105,442 Dire / Executive Limited Hindustan Uniliver Finance 7,837,546 Manager 13,432,412 / Dy. India Solutions Ltd. ISERV Management / Portfolio Citibank 8,897,286 Vice Presi / Sr. Limited Sify Technologies 21,305,479 India / Director Citigroup Rules, 2014 for the year ended March 31, 2016 ended March year the 2014 for Rules, the Financial Year Throughout (A) Employed Statement of particulars under Section 197(12) of the Companies Act, 2013 read with the Companies (Appointment and Remuneration the Companies Act, 2013 read Section 197(12) of particulars under of Statement

Board’s Report 79 Transformational Network l ne r ccounts) / Director - / Director President rity COO ons & Marketing Manager ons & Marketing d Care Channel Development, Channel Development, d Care duct Manager - Prepaid duct Manager peration of Managerial Personnel) Managerial Personnel) of Previous employment / Designation employment Previous 5HOLDQFH(QHUJ\*HQHUDWLRQ/WG6HQLRU2ǌFHU & Sales Marketing Development, Management Materials Director Business IMEA & PS Solution Sales Wirelsss 6LHPHQV6U2ǌFHU ) ` (in Gross Gross 7,002,382 Secretary / Company Ltd DLF Power 7,490,854 Viom Networks / GM - Corp Comm Remuneration Remuneration Nature of duties of duties of of Nature the employee Regulatory Communications Total Total (in years) experience experience Date of of Date Employment Commencement of Commencement of 46 14-Jun-2007 19Experience Customer 8,085,731 Technology Manager India / Senior Convergys (In Age years) CS / LLBin Didgital Electronics(PG) 44MBA 16-Mar-2005 23 & Corp Secretarial 40 05-Jan-2015 17 SCMPGDM / B.E 20,780,544 / Ltd. Company Mobile (China) Investment Microsoft 40 21-Feb-2006 16 Business Head 11,827,728 Manager / Product BPL Mobile Ltd 4XDOLǂFDWLRQ V Regulatory &KLHI*OREDO6RXUFLQJ2ǌFHU &KLHIRSHUDWLQJ2ǌFHU0DUNHW2SHUDWLRQV Maharashtra Name Designation Sl. No. 9394 Sanghvi P. Ritesh 95 Vig Rohin 96 Marwha Rohit 97 Relan Rohit Malhotra Rohit Head Marketing Ops Head Pricing & Market - SCM Vice President Ops Head Market - Retail CEO PGDBM MBA CA CA 40 PGDM 37 16-Jul-2001 37 10-Jun-2002 46 23-Jul-2007 18 48 15 Marketing 04-Apr-2005 Marketing 15-Apr-2009 15 SCM 21 24 10,555,872 Experience Customer / Director Prints & Packs Vijaya Business Head 6,884,794 Bharti / GM Airtel Ltd 9,489,069 Manager / Sr. Ltd. Teleservices Tata 10,968,143 21,769,873 Assurance Inc / Revenue Worldspace - South Zo / Head Operation India Ltd Retail Pantaloon 7778 Surana Pravin Purumedh Gupta7980 Raghunath Mandava81 Rahul Sethi82 Rajat Dhawan Chopra Rajendra 83 Tax Head Direct Business Head Regional 84 Experience - Customer Director Rajesh Gupta Rajesh Kumar8586 Head Sales Business Head Regional Rajnish Verma & - Corp. Secretarial Vice President Sr. 87 Kumar Rakesh BE & MBA Ram Kuppuswamy B.Tech88 CTO Circle 89 CSO - Global Business Ranjan Sharma90 CA Rashim Kapoor91 Gandhi 49 Ravi Parkash - Sales Vice President 92 Singh Negi Ravindra PG Diploma CTO Circle 40 Khan Raza 29-Sep-2003 Sourcing Capex Head - Network MBA 09-Apr-2007 Policies Regulatory Chief Head Service Operations Platform 37 43 PGDBA / Diploma Bengal 26 Operations-West - Market CEO 98 23-Jan-2006 18 PG Diploma 03-Nov-2005 Business Head PG Diploma99 S Balasubramanian B.Tech PGDBM Communications - Corporate Vice President Engineering100 Sales Sachin Deshpande 41101 Sachin Verma 16 PG Diploma 20102 Sachin R Sarna B.Tech 43,775,855 45 M Tech 44 / Operati Ltd. Hindustan Lever Saibal Roy Finance 01-Jun-2006 Sales103 43 Financial Controller Group 44 Batra Sameer 41 19-Apr-2006 15-Mar-2005 Head Small Cell Solution & Acq 44104 31-Aug-2005105 Chugh Sameer 18 01-Aug-2000 7,071,505 IT EA Core 45 09-Mar-2015 Kirit Anjaria Sameer Business / Incharge Ltd. Systems Autocomp 48 Tata 05-May-2011 22 - Sales Vice President 106 22 Sales Sandeep Gupta 21 6,558,226 03-Mar-2008107 Network 21 Business Head Regional 01-Apr-2006 7,505,692 Sales 20 PGDBM CA A 21 Lead (Strategic / Circle Ltd. Infocomm Reliance 108 Berry Sanjay Network109 Kashyap Sanjeev Business Head Assam Operations -Market CEO SCM - Legal Director 24110 Mishra Corporate Sanjiv 26111 Kanade Sarang 112 Satyamoorti Sivasubramanian Legal A & E LAB Head Wireless 6,826,650 49 Network MBA113 Phatak Sayali Sales Manager / Area Ltd 6,800,177 BPL Mobile Cellular 15,694,619 / Pro Ltd. ADIL Rajasthan / DGM Koshika Telecom 50114 - IT Balasubramaniam Vice President Senthil Kumar Sr. B.Tech 6,523,191 MMS / B.E - SNG CTO 8,754,671 - Finance Sales Manage / Regional Vice President Limited Sr. Telecom Reliance B.Tech Leader Shailesh Gupta 26-Dec-2014 / Team Infocom Reliance CTO Circle - Sales Vice President 08-Aug-2005 8,412,971 Experience - Customer Director / Director India Pvt Ltd ZTE Telecom 21 B.Tech 13,436,683 9,810,730 43 42 LLB, PGDBM Usha / Vice Communication Limited Reliance General Director BSNL / Joint Deputy - Legal Vice President Sr. 47 25 Network 40 Head SAE IP & Transport CA 03-Dec-2012 13-Apr-2005 Finance PhD 23-Aug-2012 Graduation Post 42 09-Jul-2007 46 MBA 19 21 45 MBA 28 04-Aug-2014 B.E 19 30-Nov-2012 9,088,542 LLB Business Head Sales / P.Ltd. International Radius Synergies Sales 47 02-Mar-2010 13,298,712 PG Diploma 58 Accountant Chief / General Coke IT 21 25 29-May-2012 46 12,763,840 Legal 02-Jun-2014 19 MEA / Hea Nokia Corporation 48 Network 41 42 50 01-Aug-2007 Business Head 21 7,376,622 17-Oct-2007 35 Sales Manager / Zonal Ltd BPL Cellular M/s 8,956,837 18-Dec-2000 North and Head- Internationa / COO- Ltd. Telecom Tulip 11-May-2005 22-Dec-2010 Finance 24 IT 6,715,513 23,306,234 / Consultant Technologies COLT 25 20,867,381 12,320,490 / VP O Ltd Spencers Retail 15 / VP - Legal and Secretarial Cummins India Limited India Pvt. Limited Huawei Telecommunications Sales 18 20 Network Network Network Legal 10,122,123 - Tax SCS India Pvt/ Director Ltd 20,525,855 Secu Information / Director, SingTel-Optus 8,045,471 6,918,073 Manager India / Regional Dickenson Becton WWIL / CTO 6,828,953 7,271,830 - Technical Shogi Communications / Director 9,748,405 / Vice President Nokia siemens Network Rules, 2014 for the year ended March 31, 2016 ended March year the 2014 for Rules, the Financial Year Throughout (A) Employed Statement of particulars under Section 197(12) of the Companies Act, 2013 read with the Companies (Appointment and Remuneration the Companies Act, 2013 read Section 197(12) of particulars under of Statement

80 Annual Report 2015-16 40-125 Bharti Airtel Limited 02-39 | Corporate OverviewStatutory Reports 126-355 | Financial Statements lobal lient ement Trainee ct Manager-Marketing of Managerial Personnel) Managerial Personnel) of / GM Previous employment / Designation employment Previous /HDUD&KLHI7HFKQLFDO2ǌFHU Finance Solutions ) ` (in Gross Gross Remuneration Remuneration Nature of duties of duties of of Nature the employee Total Total (in years) experience experience Date of of Date Employment Commencement of Commencement of 46 02-Sep-2013 24 Business Head 60,635,636 Director UK / Consumer Vodafone (In Age years) (Economics) 4XDOLǂFDWLRQ V Name Designation Sl. No. 115116 Jaiswal Sharad 117 Shetty Sharan 118 Malhotra Shefali 119 P Mardikar Shyam 120 Siddharth Sharma Srikanth Balachandran121 Head - Operations Srini Gopalan Karnataka Operations - Market COO 122 Assurance Global Head Revenue and Planning Head - Architecture 123 S Vemuri Srinivas Global CHRO Head - Postpaid Rout Subhransu 124 MMS / B. Tec125 Sunil Singh126 Sunil Bharti Mittal CA B.E / B.Tech127 Business Kamat - Consumer Swati Director Head CS - PS Planning Raghavan Vijay 128 Venkatesh 48 PGDBM Insights Head Consumer 129 Rattan Vidur 130 Deshpande Vikram 45 04-Jun-2007131 AP Operations Puri - Market Vinny CEO Chairman132 Vipin Gupta Head NLD & Domestic Data - W S MBA 43 MBA, BA Hons CA, B.Com133 Nath Inder Vir 26-Jul-2012 41 Hub CTO134 Bharti 21 Vivek Head IKSL 01-Mar-2000 Manglik Vivek MBA Maharashtra Operations - Market COO PGDBM 03-Dec-2012 B.E Business Head 23 PGDBM 55 40 21 experience Head - Mobile & Telemedia Network PGDBM CTO Circle 18 Operations-MP&CG - Market CEO 17-Nov-2008 11,310,576 Finance 02-Mar-2005 Levis / Business Head Chain COE Global Head - Supply 47 47 Marketing & Roaming VAS Head - Global Voice Graduation Post 43 47 Graduate 35 23-Jun-2014 11-Jul-1998 16 38 PGDBM 24,803,612 39 04-Jul-2003 B.E Finance 01-Dec-2004 PGDBM MBA B.Tech Marketing 9,711,426 16-Apr-2001 22 7,573,531 22-Jun-1998 25 Accounts / Manager Airborne Express 57 / Head - Retail VIP Industires 21 23 Marketing 43 Network MBA 01-Oct-2001 19 18 Business Head Sales 45 48,700,990 46 50 – G Leader / Programme Limited Hindustan Unilever 8,606,435 23-Apr-2007 44 Business Head / DMA Manager BPL Mobile Ltd Experience Customer 28 06-Sep-2010 01-Aug-2013 29-Aug-2014 15,384,946 08-Aug-2005 8,263,464 / Produ 6,941,710 Ltd. Infocom Reliance 19 Management Genral / MD Delhi & Head C India Pvt Ltd Millwardbrown 7,484,213 Bharti Airtel Ltd 44 10,022,993 Plant / Lecturer Steel Vizag 21 / Manag Bank Chartered Standard 23 29 Business Head 8,647,913 278,546,235 23 / Director-Sales Unicom Infotel / CMD BhartiLimited. Cellular Sales 03-Oct-2001 SCM Network Sales 12,523,459 15 / DGM IDEA Cellular Network 10,774,977 8,955,910 / GM Sales Communications Limited Tata Head Director M / Corperate Tech 7,734,406 6,467,214 / Vice President JKT Consulting Limited Head / Cluster Infocom Reliance 6,975,906 / AM Hughes Telecom Rules, 2014 for the year ended March 31, 2016 ended March year the 2014 for Rules, the Financial Year Throughout (A) Employed Statement of particulars under Section 197(12) of the Companies Act, 2013 read with the Companies (Appointment and Remuneration the Companies Act, 2013 read Section 197(12) of particulars under of Statement

Board’s Report 81 Transformational Network resident resident Director a Ltd / Director a Ltd Team Lead Team of Managerial Personnel) Managerial Personnel) of ia Pvt Ltd / President - Group Assurance Assurance - Group ia Pvt/ President Ltd Previous employment / Designation employment Previous and Cost Control South Asia %KDUWL7HOH9HQWXUHV/WG&KLHI2SHUDWLQJ2ǌFHU - HR ) ` (in Gross Gross 7,344,043 & Co. / Assistant Consultant A F Ferguson Remuneration Remuneration Nature of duties of duties of of Nature the employee 0'2ǌFH Total Total (in years) experience experience Date of of Date Employment Commencement of Commencement of 59 17-Jan-1993 33 Business Head 73,054,745 48 19-Sep-2005 26 Marketing 2,898,607 / DGM - National Accounts Limited Idea Cellular (In Age years) M.Sc 38MBA 08-Apr-2014 14 Marketing 42 GraduationPost MBA 01-May-2013 49 Diploma in P.G. 19,187,093 Trade International Director / Senior Yahoo 19 01-Jul-2002 Business Head 48 27 22-Mar-2010 25,174,108 CSD Skin Cleansing, / Vice President Limited Hindustan Unilever 26 Brand 4,360,510 Manager / Regional Infotech Wipro 17,148,934 Director / Executive Lowe Lintas India Limited MBA GraduationPost MBA 51 41B.E / B.Tech 11-Mar-2016Electronics 01-Sep-2015 47 28 48 16 SCM 29-Dec-2014 03-Aug-2009 Brand 28 24 CSD Network 514,497 Vice President Jio / Sr. Reliance 6,385,292 Director Marketing / Senior PepsiCo 5,308,562 2,466,139 Communications / Vice President Tata Smart Digivision Pvt./ CTO Ltd. CA 44 03-Jan-2000 24 4XDOLǂFDWLRQ V &KLHI3URGXFW2ǌFHU &KLHI0DUNHWLQJ2ǌFHU%& &KLHI6HFXULW\2ǌFHU$LUWHO%XVLQHVV &KLHI%UDQG2ǌFHU &KLHI%UDQG2ǌFHU &KLHI6XSSO\&KDLQ2ǌFHU,QGLD &KLHI'HOLYHU\2ǌFHU &LUFOH&KLHI7HFKQLFDO2ǌFHU 6U9LFH3UHVLGHQW0'šV2ǌFH Name Designation 12 Amit Sobti Anand Chandrasekaran 56 Rana Ashwani 7 Uppiliappan Bharath 8 Deepa Chadha Experience - Customer Vice President 9 Kumar Deepak Parthasarathy Govindaranjan 10 Graduation Post 11 Operations-Bihar - Market CEO Singh Gurpreet Operations Regulatory Chief 12 Khurana Ishwinder 13 Singhsehdev Pal Jatinder - HR Vice President 4114 Sood Jayant & FM Estate Head - Real 15 Abrahamson Jonathan Rafael MBA 15-Jul-2010 Prasad Lal Bahadur & IP Planning Head Transport Head Service Ops Head Sales & Marketing LLM Head Digital & VAS 19 Head - Contact Experience M Tech CSD PG Diploma PG Diploma 44 49 MBA 10-Aug-2015 CA / LLB 44 B.Com 01-Nov-2004 43 47 CA 20 09-Feb-2009 22-Mar-2012 5,175,203 27 01-Sep-2014 / Limited Consulting Private Passet Business Head 40 44 Legal 37 21 29 16 23-Jul-2014 28-Dec-2010 HR 51 Network 01-Sep-2015 6,458,768 SCM VP Bharti / Sr. Retail 14 19 12-Aug-2009 15 9,439,369 Sales CSD Manager / Sr. Idea Cellular Marketing 31 8,379,789 Indi Huawei Telecommunications 5,428,071 CSD 6,159,139 Services HR Shared Genpact / Vice president India Estate, Real Nokia / Head of 7,096,263 5,735,825 and mFinance Prepaid / Director, Singtel 4,652,643 India North and West / Head of Bajaj Auto VP - CS / Associate P Limited DB Telecom Etisalat 4,337,393 / Business Leader American Express 34 Anand Khurana Arvind Chopra Operations-Bihar - Market CEO Assurance - Internal Director Group MBA B. Com (H), ACA16 5217 Mohit Beotra N Arjun 30-Sep-2015 44 06-Jan-2014 25 Assurance Internal 19 - Projects Director 14,954,014 Business Head Services Ind Essar 10,634,645 HUL / Business Head B.Com, MBA and 1819 Akella Natraj 20 Navin Sherman21 Jain Neeraj Banerjee Papiya 2223 Singh Nayyar Paramjit 24 R Mahalakshmi Jaguar Head - Project - Finance Vice President Sr. Mathrani Rajiv Talent and Global Head of CLO Head FR - India Head HR Enabling Functions Talent and Global Head of CLO CA MA MBA MBA MBA CA 46 46 42 38 07-May-2003 10-May-2010 01-Feb-2016 42 04-Nov-2003 39 25 25 30-Oct-2008 18 17 Finance 19-Jul-2004 Marketing HR HR 19 17 HR Finance 2,460,139 4,850,219 Manager BPL Mobile Communications / Sr. IBM / Business Manager 1,657,118 Vice P / Sr. Co.Ltd Insurance Life 6,517,725 Tokio Edelweiss Executive / Sr. Engineering & Inds Ltd Triveni 14,211,366 / GM - HR (L & D) Ltd Laboratories Ranbaxy 6,550,816 - Finance Pvt./ Vice President Ltd. C D Equisearch 2526 Ramakrishna Lella 27 Ramananda S G28 Saji Pk 29 Salil Khanna30 Sachdeva Sanjay 31 Jain Kumar Sanjay Mahajan Sanjeev Homes S & M Head - Telemedia & Systems Chain Process Head Supply West - EGB CEO & Demand Planning Head Market Graduation MBA 50 BA / Diploma in 18-Sep-2007 50 MBA 05-Feb-2007 30 Sales 28 48 SCM 11-Jul-2006 5,095,179 28 / CEO Raksha Group Business Head 7,312,171 Manager / S. I. Procurment Motorola 5,067,669 / L2 Ltd. Infocomm Reliance 32 Goel Saurabh Assam Operations - Market CEO Graduation Post 48 27-Jun-2003 20 Business Head 14,707,133 / Hughes Escorts Comm. Ltd. 3334 S J Selvinson Sonal Kapasi CTO Circle B.E 43 07-Jun-2004 23 Network 1,853,907 Head Networks / Technical Bobsai 35 Ranjan Jena Soumya Quality Head Network B.E / B.Tech 49 05-Apr-2007 21 Network 7,602,043 / Manager Nigeria Ltd) (Celtel Ecnet Sl. No. Statement of particulars under Section 197(12) of the Companies Act, 2013 read with the Companies (Appointment and Remuneration the Companies Act, 2013 read particularsSection 197(12) of under of Statement Rules, 2014 for the year ended March 31, 2016 ended March year the 2014 for Rules, the Financial Year of Part for (B) Employed

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Board’s Report 83