24 January 2008

1. Airawat Developers Private Limited Management report 24 January 2008

2. 3 8 11 12 13 Land Acquisition Updates Regulatory Process Updates Financial Briefing Operational Development Goals Page Description Contents Proprietary and Confidential

3. Land Categorisation Proprietary and Confidential

4. All areas in Acres Land Acquisition - Location wise and Phase wise Proprietary and Confidential

5. All areas in Acres • Highlights • Land under Control as of 18-Jan-2008 (week 79) • Movement since November Board till 18-Jan-2008 • Perimeter (Total 650.39 Acres) is almost secure. Focus now is to ensure getting the MoU land in Periphery converted to DA on priority • Total 7 survey numbers having 108.38 Acres are at various stages of negotiations • Major hurdles includes – Price, discord within family, indecisiveness • We are entering the core-valley area and key considerations being • Fragmentation of land • Perceived value higher than the periphery land • Tactical plan is being drawn to expedite the process, in consultation with Local on-ground team which includes • Increase of ceiling price • Payment structure • Individual contact programs • Opening of office(Ramesh) and committing staff • Offering job to family members • Taking calculated risks in Fast-tracking the process, where ever necessary and /or possible, • Initiated Legal search & clearance even before negotiations (Advocate Sonawane) • Public Notice for 113.13 Acres for Agalambe • Land Under “Active” process Land Acquisition Proprietary and Confidential

6. 1. Key considerations for timing • Central EIA Process – Presentation to the EIA board expected around July 2008 • Notification by the Maharashtra State Government – will be managed to coincide with the above time-frame • Initiate contact with Zilaparishad for Access Road – July 2008 • Resulting from the above, confidentiality of the project will be affected leading to • Increased cost of land acquisition • Increased Political and social sensitivity • Increased competitor awareness • Hence, this contiguous parcel of land should be brought under control (MoU or DA) by July 2008 • 2. Key Consideration for Acreage • Although the notification by the state government will be for the 552 acres (Phase 1), but it requires that we should have land under control (MoU or DA) which is • Minimum 100 Acres, continuous and contiguous • Area under hilltops/slopes/afforestation zone can be max of 40% of this contiguous area • As part of our initial strategy we have, till now, acquired more on the periphery to secure the area. Periphery mainly consists of village afforestation and partial afforestation, hence only part of this area can be included to meet the mandatory requirements • 3. Key consideration for location • Identify area, that • Meets the mandatory requirements • Is buildable, considering the contour • Road connectivity – GR requirement • Has low density of “active” cultivation and housing • 4. Status • We have identified and demarcated this piece, with a total area of 180.61 Acres (Please refer map on the contour model) • Status of land under control in this piece on next slide • Pursue aggressive acquisition to complete this by July 2008 • Search & Clearance already initiated for the entire 180.60 acres Phase 1 – Priority 1 (Regulatory) Proprietary and Confidential

7. All areas in Acres Phase 1 – Priority Stagewise break-up Insert map Proprietary and Confidential

8. Regulatory Process for obtaining permission to develop a Township in Pune, Maharashtra, India Regulatory Process State Level Regulatory Process(Mah) Central Level EIA Process (Delhi) Send letter to UD Ministry, Receive Acknowledgement • Submit report to Ministry of Environment & Forest (MoEF) • Obtain file Number Begin liaison with Town Planning Department (Pune) Technical Team and Project proponents make presentation to MoEF Board • Liaise with Following Departments for NOC /Clearances • Forest Department - Pune • Irrigation Department - Pune • Revenue Department - Pune • Environment Ministry – Mumbai • Obtain all state/local level NOCs and clearances In case of objections, need to make the presentation again • When passed, Minutes get confirmed in next meeting at MoEF Board • MoEFprepares report Submit all NOCs, state EIA clearances & Project report to TP Town planning submits its report to UD after due diligence & site visits Files moves to CMO from UD for location clearance File moves back to UD Files moves to District Collector Files moves to Town planning • Files moves to Env Minister, with MoEF report • Minister gives clearance Minister’s clearance goes to MoEF Obtain Union level EIA Clearance Final Process (Pune) Prepare Detailed level project report, as per land in hand Submit all NOCs, State level EIA clearance, Central level EIA clearance and Detailed Project Report to TP Town planning Sanctions plan Infrastructure work begins Proprietary and Confidential

9. 1 • State Level Regulatory Process updates • File has reached Chief Minister’s office, after TP submission of favourable report to UD • After CM’s approval, Govt of Mah issues a notification • At the time of notification, we should have land under control (MoU or DA) which is • Minimum 100 Acres, continuous and contiguous • Area under hilltops/slopes/afforestration zone can be max of 40% of this contiguous area • Following NOCs have been obtained • Forest • Revenue • Irrigation NOC is expected by end of Jan 08 • Ahire (549 Acres) and Agalambe (272 Acres) • Ahire (552 Acres) Regulatory Process – State Level Send letter to UD Ministry, Receive Acknowledgement 1 2 1 2 Begin liaison with Town Planning Department (Pune) • Liaise with Following Departments for NOC /Clearances • Forest Department - Pune • Irrigation Department - Pune • Revenue Department - Pune • Environment Ministry – Mumbai • Obtain all state/local level NOCs and clearances 1 2 1 2 Submit all NOCs, state EIA clearances & Project report to TP Town planning submits its report to UD after due diligence & site visits Files moves to CMO for location clearance File moves back to UD Files moves to District Collector Files moves to Town planning • Explanatory note relating to the different areas in process, being ‘Ahire (552 Acres)’ and ‘Ahire (549 Acres) & Agalambe (272 Acres)’: • Initial strategy was to convert 552 acres as the Phase 1 area, which is most advanced with the file at the Urban Development Ministry; • Due to concerns over future increased regulatory burden and approvals hurdles at state level, ADPL advised to secure NOC’s for all 1,100 acres; • Alongside this, Agalambe land is being ‘merged’ into the same file application to ensure completeness of the approval; • From a risk management perspective, this will greatly strengthen our regulatory position going forward, and add value when clearance secured. In Progress Complete Proprietary and Confidential

10. 1 • Central Level EIA Process updates • Ahire (2000 Acres) • Draft report has gone through one round of internal review and the findings have been shared with Central EIA consultants • Once, these modifications are incorporated, report will go for Naveen, Simon and Prasanna review • Post their sign-off, file will be submitted to Ministry of Environment and Forest and obtain File number • Expected period of submission at Ministry of Environment and Forest –Feb 2008 • Expected period of presentation to MoEF Board around July 2008 Regulatory Process – Central EIA • Submit report to Ministry of Environment & Forest (MoEF) • Obtain file Number 1 Technical Team and Project proponents make presentation to MoEF Board In case of objections, need to make the presentation again • When passed, Minutes get confirmed in next meeting at MoEF Board • MoEFprepares report • Files moves to Environment Minister, with MoEF report • Minister gives clearance Minister’s clearance goes to MoEF Obtain Union level EIA Clearance In Progress Complete Proprietary and Confidential

11. Amount in Rs Lacs Area in Acres Data as of 31-Dec-2007 • Land Acquisition cost is expected to go significantly higher this year as majority acquisition will be taking place in the valley • Operating expenses are expected to go higher this year due to planned increase in staff strength and investment in systems and processes • Guard Against Rupee appreciation. 0.01 movement in exchange rate translates to INR 1Lac for a USD 10mil inflow. • Deployment of Funds • Direct cost - Land Acquisition • Expense Analysis Source of Funds Financial Briefing Review with Anant Comments Budgeted Average Cost : Rs 4.76 L/Acres Actual Average Cost : Rs 1.97 L/Acre Proprietary and Confidential

12. Updates • Team • Piyush Consul joined in Dec-2007 responsibilities include • Operational management • Risk management • Management reporting • Sandeep joined in Jan-2008. He is a Law graduate, responsibilities • Agalambe acquisition • Liaise with Ramesh’s office • Corporate resources • To improve efficiency in operations and ease in planning, we would like to add in-house expertise in • Technical • Survey • Financial • IT systems • Budget preparation for FY 2008/09 will include these items Operational development Proprietary and Confidential

13. Goals • Obtain State Level EIA NOC (last stage) • Completion of Contour Survey • Increase Level of DA conversions • Maintain Pre-MOU pipeline • Prioritise land that delivers contiguous parcels • Action points of road construction from petrol pump to the site • Status • Achieved, for Phase 1 (552 Acres) • Achieved • 75 Acres of DA conversions since Nov board • 87 Acres of New Area added in the same period. 12.13 Acres is expected within next 3 weeks (mid-Feb 08). • Identified as 180 acres “Priority 1” in Phase 1 • Liaising with ZP, to include in ZP’s FY09 budget Status – Goals set during November 07 board Proprietary and Confidential

14. Goals Goals – Jan to Mar 2008 • Operational • Expedite Land acquisition in the identified priority area (180 Acres) • Continue to convert to DA, remaining areas on the Periphery • Maintain momentum on Agalambe acquisition • Regulatory • Central Level EIA report to be submitted to Ministry of Environment & Forest by Feb 08 • Prepare detailed presentation to be presented to the EIA Board • Internal Systems & Processes • Strengthen internal systems to avoid duplication and manual entries • Improve Reporting – Content and relevance (Board vs Operational) • Adopt standard tools and processes to manage operations, by investing in software and OTC/customised technology solutions • Financial • Prudent management of Cash and liquid investments by predicting cash outflows • Understand legal implications of entering into Forward contract, and look for these to hedge us against immediate and confirmed foreign currency inflows • Master planning • Complete Feasibility report by Mid-Feb 2008 • Formally engage consultant for Project concept report – End-Feb 2008 Proprietary and Confidential