Indo Rama Synthetics (India) Ltd.

1. Indo Rama Synthetics (India) Ltd. Quarter 2 Results : 2007-08 Analyst Meet MUMBAI 01 NOV., 2007

2. The Meet Highlights • Indo Rama Synthetics - Financial Performance Q2 2007 - 08 • Emerging Polyester Scenario • Crude & Raw Material Outlook • Indian Polyester Industry Dynamics • Summary

3. Indo Rama Synthetics – Financial Performance Q2 2007 - 08

4. Financial Highlights – IRSL In Rs. Crores

5. Financial Highlights – IRSL In Rs. Crores

6. Analysis of Q2 Results • Significant achievement of placing the enhanced capacity by penetrating new markets • 70% increase in net turnover • 97% increase in sales volume • 58% increase in domestic sales volume • 79% increase in production volume Comparison on Y-O-Y basis

7. Analysis of Q2 Results • EBIDTA went up by 42% • Cash Profit increased by 38% • PBT went up by 36 % despite : • Increase in Interest cost by 72% due to • Increase in the Rate of Interest • Debt taken for funding the new polyester plant • Increase in depreciation by 39% because of commencement of new polyester plant • Aggressive marketing policy to capture market share Comparison on Y-O-Y basis

8. Financial Highlights – IRSL In Rs. Crores

9. Financial Highlights – IRSL In Rs. Crores

10. Analysis of H1 Results • Significant achievement of placing the enhanced capacity by penetrating new markets • 57% increase in net turnover • 75% increase in sales volume • 46% increase in domestic sales volume • 63% increase in production volume Comparison on Y-O-Y basis

11. Analysis of H1 Results • EBIDTA went up by 53% • Cash Profit increased by 38% • PBT went up by 38% despite : • Increase in Interest cost by 125% due to • Increase in the Rate of Interest • Debt taken for funding the new polyester plant • Increase in depreciation by 39% because of commencement of new polyester plant • Aggressive marketing policy to capture market share Comparison on Y-O-Y basis

12. Sales Volume Has Shown Consistent Growth In MT

13. Operating Performance Has Shown Consistent Growth In Rs. Cr.

14. Emerging Polyester Scenario

15. Declining world Cotton Availability Millions of 480-lb bales (P) Cotton Year is from Oct to Sept US Cotton acreage has fallen by 20-25% this year & is expected to fall further 20-25% next year because of substitution of land by other Crops Source : USDA

16. Hardening Of Cotton Prices Internationally Price (Cents/Kg.) Cotton Prices Internationally are showing upward bias improving the competitiveness of Polyester

17. Robust World PFY Outlook In MMT Operating Rate (P) (P) With Increasing Demand Operating Rates are projected to move up Source: PCI

18. Robust World PSF Outlook Operating Rate In MMT (P) (P) With Increasing Demand Operating Rates are projected to move up Source: PCI

19. Emerging Industry Outlook • Cotton : • Prices are expected to remain firm leading to higher demand of Polyester as alternative fibre • POY : • Operating Rates are projected to move up, improving the future outlook of POY • PSF : • Operating Rates are projected to move up, improving the future • outlook of PSF

20. Crude & Raw Material Outlook

21. Behaviour of PTA & Crude Oil Prices $ / Barrel $ / Tonne • PTA prices have not kept pace with the increase in the Crude Oil prices • * Prices Shown in the chart are average price for the month

22. Improved PTA Availability MMTOperating Rate% (P) (P) (P) (P) Supply Surging ahead of demand – likely softening of prices Source: PCI

23. GlobalParaxylene Outlook MMT • Supply of PX surging ahead of demand leading to Softening of Prices • In India Reliance, IOC and MRPL have already announced plans for putting • up new Paraxylene plant leading to better domestic availability Source: PCI

24. MEG Global Outlook Operating Rate MMT (P) (P) (P) (P) Rising Surplus Capacity of MEG is likely to Soften MEG prices Source: PCI

25. Summary of Raw Material Outlook • Crude Oil : • Crude Oil prices have moved up to new highs. • PTA : • PTA prices are showing downward bias with increasing availability prices are expected to remain benign PX : • From next year PX Supply should outpace demand leading to benign price environment • MEG : • MEG prices are expected to decline from the third quarter with capacities coming up on later half of the year

26. Indian PolyesterIndustry Dynamics

27. Break-up of PSF Capacity in India Total Indian PSF Capacity : 1.2 MMT Source: PCI

28. Break-up of POY Capacity in India Total Indian POY Capacity : 1.9 MMT Out of total 32 players the biggest 2 dominate the market with capacity share of 49.2% Source: PCI

29. Market Share Of IRSL Steadily Increasing • IRSL has increased its market share in all the value added products. • Growing Polyester demand & no increase in capacities in the near future augurs • well with our growth strategies.

30. Polyester Industry Value Chain 125% POY Fine IRSL, RIL 149% 117% JBF, Garden FDY Chips Melt POY Coarse 110% IRSL, RIL RIL, IRSL, JBF, Nova 100% 114.5% IRSL, RIL, Bombay Dyeing PSF IRSL & RIL are the only 2 players present across the total value chain

31. Summary • Having successfully placed the entire production in the market we shall be concentrating in improving the bottom-line • Raw material scenario is expected to remain benign • Cotton Prices are showing a firm trend globally • Being present across the entire Polyester value chain IRSL is expected to greatly benefit from the improvement in the industry scenario

32. House Open for Questions