GMR Investor Presentation

8/6/2019 GMR Investor Presentation

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2008

Investor Presentation


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2 GMR : Leading Infr

3 Airports : Building

4 Power : Lighting In

India : Secular Gro1

Key Investment Highlight

5 Urban Infrastructu6 Strong Managemen

7 Financial Highlight

Shareholding Patte

8

structure Player

Gateways To India

dia

th In Infrastructure

e & Highways : Paths To Progress

n


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7132 2

150.37

76

India: Secular growth in infrastruc

Strong growth in Indian Economy Leading to increase

US$ bnGDP growth

X Plan (2002

Indian economy has shown strong

GDP growth in FY2007 and

continues to be among the

fastest growing economies in theworld

Resulting in increasing domestic

consumption and higher capital

expenditure by corporates across

sectors

Mid term ap

plan highligh

as a key imp

economy

Infrastructur

the XIth pla

7.5% of GDP

Source: Consultation PIndia

Source: Asian Development Outlook, 2007

1 2

201

62

18 8

492

ture

in infrastructure investment And increased opportunity for the private sector

Power

Roads

Airports

Railways

Ports

Others Private Sector Participation

$40 billion

$27.4 billion

$6.3 billion

$10.6 billion

$13.3 billion

-2007) XI Plan (2007-2012)

raisal of the Xth 5 year

ted lack of infrastucture

ediment to growth of the

e spend plan targets for

were revised from 4.6% to

per, Planning Commission, 2007; Govt of

Given the scale of infrastructure

spending, the government is

encouraging private sector

participation through PPPprojects

Private sector participation is

estimated at 29.6% of total

spending in the XI plan

0 200 400 600

.

on

Source: Consultation Paper, Planning Commission, 2007;Govt of India

1


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4 Power : Lighting I




Shareholding Patte

8

structure Player

Gateways To India

dia



n


5/45

GMR Group has evolved very quic

The GMR Group was established in 1976 and isand National Stock Exchange (NSE).

GMR Group has rapidly expanded into infrastru

Airports

GMR IndustriesSugar plant in Sa

tonnes per day

Agro based Business

Infrastructure

onstruct ng an

capacity of 3500

Corporate SocialResponsibility

GMR Varalakshm The Foundation h

improving lives a It focuses on Edu

Empowerment an

The Group was also engaged in the Banking (Iin focus to infrastructure.

ly into a diversified conglomerate

listed company on Bombay Stock Exchange (BSE)

cture and other businesses:

tdkili in AP having cane crushing capacity of 5000

Energy Roads

tegrate ugar comp ex n a ya av ng cane crus ng

tonnes per day

i Foundationas been working with communities in the quest ofd livelihoods since 1991ation, Health, Hygiene and Sanitation, Livelihood andd Community Development

G Vysya) & IT (iGate), which were divested with shift

2


6/45

GMR Infrastructure Limited: India

AIRPORTS

ENERGY

Development of Delhi &Hyderabad International airport

Modernization of Istanbul airport

Power Projects (11 Nos)

Operational (3 Nos)

Fla

Infr

Pow

Ass

Bal

driv

Cur

3,300 acres SEZ in Tamil Nadu

250 acres Aviation SEZ atHyderabad

250 acres Multiproduct General

SEZ at Hyderabad

ROADS

OTHERS

n er eve opmen os

Gross Capacity of 5147.625 MW1

Road Projects (6 Nos; 421 km)

Operational (2 Nos;152 km)

Under implementation (4 Nos;

269 km)Net Revenu

T

Key finan

FY07:

MI) - U

Note: 1Capacity of the Alaknanda power project to be increa

24%

8%

s leading infrastructure company

ship company of the GMR group

structure Developer, Owner & Operator of Airports,

er, Roads and SEZs

ts with exclusive concessions ranging from 15-60 Years

nced Revenue Model blend of stable and volume

en growth streams

ent Market ca italization of US 7 - 8 bn

(9M FY08) EBITDA (9M FY08)

otal = $351 mm Total = $125 mm

ials

evenue - US$495mm; EBITDA - US$141mm & PAT(After

$44mm

3sed to 300 MW subject to approval of project development plan by the Uttarakhand govt.

57%16%

18%

9%Airports

Power

Roads

Others66%

%

Power

Airports

Roads

Others


7/45

GMR infrastructure business portf

CoD 389MW in Vemagiri

Power Airport

Awarded 180 MW Holi Bajoli

Awarded 300MW Alkananda

Awarded 160 MW Talong

Awarded Hyderabad Airpor

Awarded Delhi Airport

First international Foray

Award Sabiha Gokcen Airpo

Turkey

MoU for 1,050 MW in Chattisgarh

Awarded 250 in Marsyangdi Awarded 300 MW Upper Karnali

MoU for 1,050 MW plants (2) in

Orissa

CoD 200MW in Chennai

CoD 220MW in Mangalore Ventured in airport

sector

Ventured into

the Power

sector

FY1999

FY1997

Eight Power projects

Gross Capacity of 5,148.5

MW

Mix of short/long term PPAs

Two of Indias busiest

international airports -

Delhi & Hyderabad

Modernizing Sabiha Goc

Internation Airport in

Istanbul, Turkey

lio across sectors

FY2007

FY2006

FY2002

Roads Other opportunities

rt

1 Annuity & 3 Toll

Road Projects

Tamil Nadu

SEZ project

2 Hyderabad

SEZs

FY2005 CoD 2 annuityroad projects

ken

6 Road Projects

2 operational, 4 under

implementation

Combined length of 421kms

Balanced mix:3Annuities,

3 Toll-based

Signed MoU for 3,300acres

SEZ in Tamil Nadu

FY2001

4


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GMR Corporate Structure

GMR Infras

ENERGY ROADS

GMR Tambaram-Tindivanam ExprPrivate Limited (GTTEPL) - 93

GMR Tuni-Anakapalli ExpresswaysLimited (GTAEPL) - 59 KM

GMR Ambala-Chandigarh ExprePrivate Limited (GACEPL) -35

GMR Jadcherla Expressways Pvt(GJEPL) - 58 KMs

GMR Power Corporation Private Limited

(GPCL) 200 MW

51.0%

100%

100 %

51 %

99 %

74 %

74 %

100 %

100 %

GMR Energy Limited (GEL) 220 MW

Vemagiri Power Generation Limited(VPGL) -388.5 MW

GMR Energy Trading Limited

GMR Consulting Engineers Limited

GMR Pochanpalli ExpresswaysLimited (GPEPL) - 103 KM

GMR Ulundurpet Expressways PLimited (GUEPL) - 73 KMs

GMR Highways Private Limit

100 %

89 %

80 %

100 %

100 %

50 %

GMR Mining and Energy Pvt Limited

GMR (Badrinath) Hydro PowerGeneration Pvt Limited (GBHP) 300 MW

GMR Kamalanga Energy Limited 1050MW + 1050 MW

ructure Limited (GIL)

AIRPORT

esswaysKMs

Private

swaysKMs

Limited

Delhi International AirportPrivate Limited (DIAL)

Sabiha Gokcen International Airport (SGIA),Istanbul, Turkey

GMR Krishnagiri SEZ Limited100%

GMR Hyderabad International AirportLimited (GHIAL)

OTHERS

100%

GMR Corporate Centre Limited (GCCL) **

GMR Aviations Private Limited (GAPL)

63 %

50.1 %

40 %

rivate

rivate

Operating Assets Under Development Assets

Percentage of holding represents our Direct and Indirect Shareholding

** GCCL is a company Limited by Guarantee consisting of 9 members including GIL and otherSubsidiaries of GIL

ed

5


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GMR Infrastructure : A Compelling

Key player in the Indian Infrastructure Over US$ 500 bn investments planned over n

GMR is well positioned to benefit from this

Entry in the MSCI India index reinforces the

1

Broad Based Infrastructure play:

Significant presence across high growth sect

Consistently enjoyed early mover advantage

2

Strong track record & established Player

Extensive experience of developing and exe

3

Established a reputation of reliability and ti

Balanced revenue mix

Healthy mix of fixed and variable revenue s

4

Strong Management Team

Experienced and strong management team

5

Significant growth pipeline Plans to tap into new opportunities across t

Domestic Opportunities: Foray into railwa

International Opportunities: Airports in deopportunities

6

Investment Story

story:ext five years with PPP model to play significant role

large growth opportunity

ompanys strength in infrastructure development

rs like airports, power and roads

:

uting projects

ely project completion

reams across airports, power and roads

acked by strong partnership with international players

e entire infrastructure space

s; power transmission; real estate development, etc

veloping countries, other specific power and roads

6


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GMR: Partnership with best in classuccessful execution of projects a

Europes largest cargo hu

Europes 2nd largest pass

Operator and manager ofTake-Off and Landing (ST

Largest Airport retailer in

Indias premier infrastrucurban infrastructure

Airpor

ts

One of the leading engine

One of the worlds largestUS$400bn

Koreas largest integratecapacity

Global leader in Heavy InIndustrial Plant & Engine

Malaysia's leading congloKhazanah Nasional Berha

Power

Roa

ds

s global players to ensureross sectors

nger airport

Malaysias 39 airports which comprise international, domestic and ShortL) ports

Malaysia with 40 outlets in 4 airports

ture finance organisation - over 332 projects financed in power, roads,

ering and construction companies in Turkey

diversified organizations with a market capitalization of about

electric utility which controls approx 88% of Koreas generating

dustries with global presence in Shipbuilding, Offshore & Engineering,ring, Engine & Machinery and Construction Equipment

merate in infrastructure-building, is a wholly-owned subsidiary ofd, an investment arm of the Government

7


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Key Investment Highlights






7 Financial HighlightShareholding Patte

8

structure Player

Gateways To India

dia



n


12/45

Passenger Traffic : Growth In Leading In

0

5

10

15

20

25

30

Mumbai Delhi Chennai Bangalore Kolkatta H

22.2520.44

8.97 8.12

5.99 5

25.61

23.52

10.66

10.107.42

InMn

Delhi Airport accounted for the highest growt

FY 07 FY 08

0%

5%

10%

15%

20%

25%

Mumbai Delhi Chenna

15% 15%

Traff

dian Airports

21%

6%

22%

9%

42%Delhi

Hyderabad

Mumbai

Chennai

Other 42 Airports

PAX (Dom+Int) distribution in FY2008 (Total PAX = 115.5 mm)

derabad

.75 6.93

h in air passengers movement in the world in 2006 (Source: TOI)

8

i Bangalore Kolkatta Hyderabad

19%

24% 24%21%

ic Growth ( % )

Delhi and Hyderabad airports control 27% of the passenger traffic


13/45

Delhi International Airport: Moderof the busiest airports in the coun

Concession period 30 + 30 years

Phases of development I, II, III, IV & V

Land 5,100 acres

Ultimate pax capacity 100mn (Phase I: 37mn)

Ultimate cargo capacity 3.6 mn tons (Phase I: 0.6 )

Completion date 2010 (Phase I)

Estimated project cost US$ 2,244mn (Phase I)

Revenue Share 45.99 % shared with AAI

Project Overview

Source

Equity in

accruals

Unsecure

Deposits/Shares

Loan fro

Total

Financi

Details of Phase I Development

Phase 1 A (Completion by Mid 2008)

Third Runway of 4430 Meters & Taxiways

Existing Arrival Terminal Expansion

Additional 3 Baggage Claim BeltsNew Departure Terminal

72 Check-in Counters 16 Security Channels In-line Baggage Screening

Upgradation of Existing Terminal 2

72 Check-in Counters 16 Security Channels In-line Baggage Screening

Phase 1

New Inte

1

1

Upgrada

High Spe

Multi-lev

General

Upgrada

nization and development of onetry

Consortium Partners

Sponsor Shareholding

50.1%

10.0%

10.0%

3.9%

26.0%

Contribution ($mm)

luding internal

312

d loans/Interest Free

Redeemable Preference 685

FIs/Banks 1,247

2,244

g Plan (Phase I)

9

(Completion by Mar 2010)

rgrated Terminal 3

8 Contact Stands

68 Check-in Counters

6 Immigration Counters

0 Security Channels2 Baggage Claim Devices

ion of Cargo Terminal

ed rail Link

el car Parking (4300 lots)

vaitaion Facilities Expansion &

ion of Utilities


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Master plan to develop a world clwell in time for Commonwealth G

Phase I Maste

New Integrated Terminal(T3) by 2010

500,000 Sq Mts

48 Contract Stands 168 Check-in Counters

49 emigration Counters

46 immigration Counters

30 Securit Channels

Efficient planning to mini

Figure not to sca

12 Baggage Claim devices

New Run

4430

ss passenger terminal by 2010,mes

r Plan1

Land Bank Total Land -5,100 Acres

Land for Property Developmen

- 5% of Demised Premises

Hospitality Development Mix- Commercial- Retail- Convention Facility- Hotels

Existing Domestic Terminal (T1

ize impact on existing operations

10

le

ay (3)

ts

Matt McDonald DesignEngineers

L&T awarded to build the thirrunway & Terminal 3

Owners Engineers Appointed

TCE, Lahmeyer and ParsonsBrinckerhoff for T1, T2 & T3respectively


15/45

Additional revenue potential fromunder DIAL

Hospital

Commercial development of non-transfer assets

str ct:

AcresLand for commercial development

Airport Types of real estate development

Hong Kong Hotels, Commercial, Housing, Retail,

Logistics, Exhibition Centre, Golf

Course

Incheon, South

Korea

Airport free zone, Business centre,

Hotels, Retail, Convention centre

Changi, Singapore Free Trade Zone, Logistics, Hotel,

Commercial

Suvarnabhumi,

Thailand

Logistics, Exhibition Centre, Hotels,

Commercial, Hospital, Housing, Retail

in line with the emerging Aerotropolis at major Asian airports

Figure not to sca

development of real estate asset

ity

Initial development plan

5% of Airport Site can be used for commercial development of i.e.,

about 250 Acres

Development to be undertaken by developers through six land

parcels in Phased manner

Master plan prepared for initial development of 45 acres to set upHospitality district through developers (Built Up area of 5.91 mn

Sq.ft)

Lease period 30 + 30 years

Permitted develo ment includes Air ort related facilities Hos italit

11

le

Activities, Commercial & Retail)

Set up Delhi Aerotropolis Pvt Ltd (DAPL) for Property development

DAPL to provide basic infrastructure facilities and supervise the

development

Appointed Jones Lang LaSalle and Lehman Brothers for strategic plan

preparation and for bidding management

Received Expression of Interests (EOI) for development of land

RFP issued to shortlisted prospective bidders

Bids received and are being evaluated

DIAL is evaluating undertaking land development on its own


16/45

DIAL: Commercial Business Develo

Operations Partner

Duty free RetailAlpha Airport & Future Group Consortiufor 3.25 yrs (US$125 mn)

AdvertisementTimes Innovative Media Pvt Ltd for 3(US $ 41.75 mn)

Airlines HandledCurrently Handles 61 airlines (9 Domestiand 52 International

Existing Airport: Commercial Initiatives

pments

rs

c

7.15

8.88

0123456

789

10

Revenue Per Pax ( $ )

2007 2008

Aero Revenueper pax

3.25 3.5

Non-AeroRevenue per pax

3.90 5.4

Total Revenueper pax

7.15 8.9

Revenue Growth Pattern

12

Revenue ($mm)

147

207

0

50

100

150

200

250

2007 2008 (E)

Revenue ( $mm )2007 2008

Aero Revenue 66 80

Non-AeroRevenue

81 127

Total Revenue 147 207


17/45

Delhi Airport Historical Growth Pattern

121

137

167

201

228

100

150

200

25013% Growth

22% Growth

20% Growth

13% Growth

Aircraft Movements (In Thousands & Per Annum)

Mar-04 Mar-05Mar-06 Mar-07

Mar-04 Mar-05 Mar-06 Mar-07

10.3912.78

16.24

20.44 23.24

0

5

10

15

20

25

23% Growth

Mar

27% Growth

26% Growth 14% Growth

Ma

Passengers Traffic (In Millions & Per Annum)

of Business Volumes

296

345

383390

429

250

300

350

400

450

17% Growth

11% Growth 2% Growth10% Growth

Cargo Tonnage ( In Thousand & Per Annum)

Mar-04 Mar-05 Mar-06 Mar-0708 Mar-08

r-08* Figures are Projected till Mar 08,based on the Figures available till Dec 07.

The passenger Traffic has grown at a CAGR of 18% over the past 4 years

For the Period ended 9 months FY 08 the composition of Domestic toInternational Passengers has been 65 : 35

The Cargo Traffic has grown at a CAGR 7% over the past 4 years .

For the Period ended 9 months FY 08 the composition of Domestic toInternational cargo has been 30 : 70.

The Air Traffic Movements has grown at a CAGR of 14% over the Past4 Years .

For the Period ended 9 months FY 08 the composition of Domestic toInternational ATMs has been has been 75 : 25

13


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Hyderabad International Airport:airport in the country

Concession period 30 + 30 years

Phases of development I, II, III & IV

Land under development 5,500 acres

Ultimate pax capacity 40mm (Current capacity of 12

Concession fee 4% of revenue (deferred payme

basis from 11th year)

Airport to be operational March 2008

Estimated project cost US$620mm (Phase I)

Master Planners Consortium comprising Cowi of

Norway, Avai Plan of Denmark

Mumbai

Project overview

Hy

dera

ba

dInterna

tiona

lAirpo

rt

Source: AAI website, Company

Completion of Phase I Developmen

Phase I development plan is on tra

evelopment of fastest growing

m)

nt

& Stup

Sponsor Shareholding

63.0%

11.0%

13.0%

13.0%

Consortium partners Catchment area

Hyderabad

14

Emergence of Hyderabad as a major IT& ITeS

destination

Centrally located with respect to India,

South-East Asia and Middle East

Catchment area of 75mm people

Growth in the passenger traffic - 40% over

the past 2 years (2005-07)

Airport Master planners are Cowi of Norway,

Avai Plan of Denmark and Stup of Mumbaiby March 2008

*Artistic impression

k Uniquely positioned to capitalize on thecurrent growth


19/45


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Hyderabad Airport Current Growth Pat

0

10

20

30

4050

60

70

80

90

38

52

8

36% Growth

37% Growth

33% Growth

17% Gro

Aircraft Movements (In Thousands)

28

69

0

1

2

3

4

5

6

7

8

MAR 04 MAR05 MAR 06 MAR 07 MAR

2.24

4.04

5.75

5.755.754.04

27% Growth

42% Growth

42% Growth

20% Gro

Total Passengers (In Millions)

MAR 04 MAR05 MAR 06 MAR 07 MAR

2.85

tern at existing Airport

1

th

0

10

20

30

40

50

60

34

37

4651

26% Growth

9% Growth

24 % Growth 11% Growth

Cargo Tonnage (In Thousand Tonnes)

27

08

6.9

th

08 MAR 04 MAR05 MAR 06 MAR 07 MAR 08

16

The passenger Traffic has grown at a CAGR of 27% over the past 4 years

For the year FY 08 the composition of Domestic to InternationalPassengers Expected to be 70 : 30

The Cargo Traffic has grown at a CAGR 14 % over the past 4 years

For the year FY 08 the composition of Domestic to International cargoExpected to be 55 :45

The Air Traffic Movements has grown at a CAGR of 25% overthe Past 4 Years

For the year FY 08 the composition of Domestic to International ATMsExpected to be 85:15

* Note: Mar 08 figures are projected based on 9 months actual figures till Dec07


21/45

Sabiha Gokcen International Airpo

Developm

Concession period 20 years (including

construction period of

30 months)

Concession fee In lieu of revenue

share, EUR1.93bn, to

be paid in 20 years

with no fee payable in

first 3 years

Current PAX traffic 4mm growing at 40%

Ultimate capacity 24mm PAX

Brief overview of the project

Existing

Do

Te

s ma e capex uro m ons

Equity participation in the project

40%

40%

20%

Imple

Concconstcomp

Expeyear

Finan

rt, Istanbul, Turkey.

New

International

Terminal

Hotel

Car Park Area

ent plan for the Sabiha Gokcen International Airport in Istanbul

Intl +

estic

rminal

mentation Agreement has been signed.

ssion provides for operation of the existing facilities andruction of new international terminal building and itslementaries.

ted to take over the operations by second quarter of calendar008.

cial Closure expected by 2nd Quarter of Calendar year 2008.

17

*Figure not to scale


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Outline of Emerging Opportunities

More than 20% rowth in assen er traffic in the

Airport

Restructuri

Delhi

Mumbai

Chennai

Kolkata

Developme

Significant

1

2

21.7% 23.7%

31.4%

2004-05 2005-06 2006-07

Growth in passenger traffic in India

PAX

(mm)59.3 73.4 96.4

Source: IBEF report on Discover Opportunity: Indian Infrastr

last 3 years

Significant growth in the passenger traffic and

fleet of aircrafts anticipated over the next 10

years

Government has announced a national airport

upgrade and modernization plan which will see an

investment of over USD 9 billion by 2010

Hyderabad

Bangalore

Navi Mumbai

Pune, Goa, N

Greater Noida

Upgradation

Phase I 10

airports

Phase II & III

airports

3

4 Developme

in Domestic Airports Sector

Cost ($mm) Current Status PPP Particulars

g/Modernisation of world class airports

Under implementation

26% AAI 74% Pvt. Consortium of GMR, Fraport, MAP

& IDF3,750

Under implementation

26% AAI 74% Pvt. Consortium of GVK, ACSA & BSD

Modalities under

consideration Being developed by AAI

1,250Under implementation

Being developed by AAI

t of Greenfield airports

opportunity for private sector participation

cture; AAI Website; Rupees per USD : 40

Under implementation 26% AAI & Govt. of Andhra Pradesh

74% GMR group and MAHBUnder implementation A consortium of Siemens, Zurich Airport an

L&T has been choosen as the strategic JV

partners

Bids invited

gpur &

2,500

Modalities under

consideration

74% equity contribution by private entities 26% by the respective state government an

AAI (subject to a cap on investment by AAI

of 35 non-metro airports

Master plan has

been approved

251,750

Master plan yet to

be approved

AAI to fund the entire airside and terminal

development

Commercial development at most of theviable airports to be taken up by private

sector

nt of merchant airport policy is under consideration

18


23/45

IndiaFocus

Airports Sector Growth Strategyinternational presence

Delhi International Airport

One of the busiest airports in India

Concession of 30 + 30 yrs and investmentof US$ 2,237 mm

Largest Airport Developer in India

Hyderabad International Airport

GlobalInvestments

passenger traffic in FY2006-07

Concession of 30+30 years with investmentof US$ 620 mm

SGIA Istanbul Turkey1

Development of new international terminaland operation of existing facility

Expected to take over the operations by firstquarter of calendar year 2008

Note: 1GMR is part of the winning consortium, n

ith strong focus on establishing

Participate in up-coming opportunities in Indian airports sector

Balanced mix of Brownfield and Greenfield projects to be considered in

portfolio selection

Position as premier airports company in India

Strategy for transforming itself into a global operator

Invest in airports in developing countries with

High traffic growth

Need for infrastructure expansion

Stake acquisition in global airports

Enhance understanding of global airport sector without taking on

substantial developer role

De-risk from India centric business

Develop structural and organizational capabilities for future

expansion strategy

19contract signed as yet


24/45








Shareholding Patte

8

structure Player

Gateways To India

dia



n


25/45

GMR has successfully implemente

GMR Energy Limited

FacilityContracted Capacity

Fuel

COD

PPA

PLF YTD (Last full year)

Facility

Contracted Capacity

Fuel

GMR Power Corporation

Pvt. Ltd.

Vemagiri Power

Generation Ltd.

COD

PPA

PLF YTD (Last full year)Plant Availability in (%)

Facility

Contracted Capacity

Fuel

COD

PPA

and operationlized Power Assets

Barge-mounted power plant

One of the largest operationalIndependent Power Producer (IPP) inKarnataka

ISO 14001, ISO 9001 and OHSAS18001 certified

ISO 14001 and OHSAS 18001compliant

Dr. M.S. Swaminathan Award forbeing an environment friendly

Mangalore, Karnataka220Mw

Naptha

2001

7 Years till 2008; at 85% PLFTake or pay fixed charges

(%) 9.77 (26.40)

Chennai, Tamil Nadu

200Mw

Low Sulphur Heavy Stock

Companys third Greenfield powerproject

Gas is expected to be available by 1

st

quarter 2008

PPA got extended from 15 to 23 years

Expansion plan for additional 700 MWscapacity

20

1999

15 Years till 2014; minimumofftake at 68.5% PLF

(%) 60.65 (52.06)93.931 (93.94)

Vemagiri,Andhra Pradesh

Contracted 370Mw;

Merchant Sale 17.625MwNatural Gas

2006

23 Years till 2029; at 80% PLFTake or pay of fixed charges


26/45

Strong pipeline of power projects

Orissa (Coal)

Power asset

1

Location Kamalanga, Orissa Kamalanga, Orissa

Capacity 1,050MW 1,050MW

Fuel Coal Coal

Contract Build Own and operate for Build Own and ope

Orissa II (C2Facility

details 25 years from Plant COD 25 years from Plan

Expected CoD 2012 2012

Project status Coal linkage of 500MW and

500MW to be obtained

after substantial progress

EPC bids received & are

being evaluated.

Water Allocation received

PPA: GRIDCO (upto 25%)

and remaining by Power

Trading Corporation (PTC)

Coal Allocati

Rampia &

Rampia obt

1000 MW cap

under development

Uttarakhand (Hydro)Chattisgarh (Coal)

under development

43

Chattisgarh Badrinath, Uttarakhand

1050MW 300MW

Coal Hydro

rate for Build Own and operate for 40 BOOT for 45 years from

al)

21

t COD years from Plant COD implementation

Agreement2012 2013

n namely

Dip

ined for

acity.

Signed MOU with the Govt.of

Chhattisgarh

State Govt. has recommended

to Ministry of Coal for Coal

linkage.

Pre-feasibility report

submitted.

Land identified and state

Govt.agreed to allot the same

DPR finalised and

submitted.

SNC-Lavalin appointed

for review of DPR and

detail engineering.

Implementation

Agreement by March

2008


27/45


28/45

Power projects: Continued focusmix and expansion of geographic

3,8877.625MW of power projects spread across the country

Bajoli Holi180 MW

Fuel type - HydroCoD - 2015

Alaknanda300 MW1

Fuel type - HydroCoD - 2013

Talong160 MWFuel type - HyCoD - 2014

Orissa1,050 MWFuel type - CoalCoD 2012

Chattisgarh1,050 MW

Upper Karnali300 MWFuel type - HydroCoD 2015

Upper Marsyangdi250 MWFuel type - HydroCoD 2015

Coal powerCoD- 2012

Vemagiri387.625 MWFuel type GasPPA 23 years till 2019(80% PLF)

Chennai200 MWFuel type Sulphur

PPA 15 years till 2014(min. offtake at 68.5% PLF)

Mangalore220 MW

Fuel type NaphthaPPA 7 years till 2008

(85% PLF)

Operating assets Under implementation

3 projects

(807.625MW)

8 projects

(4,340MW)

Note: 1Capacity to be increased to 300 MW subject to a

Orissa (Kamalanga 2)1,050 MW

Fuel type - CoalCoD 2012

n diversification of revenue, fuelresence

ro

Diversified fuel mix1

Projects distributed across

all the fuel types Hydro,

thermal & Gas

Tied up fuel for most of the

plants

Total capacity = 5,147.625M

Diversified revenue mix2

16%

61%

23%

Liquid Fue

Coal

Hydro

Mix of short-term & long-term Power PurchaseAgreements (PPAs)

Exiting 3 projects have long term PPAs tied up

Fixed revenue stream from the Mangalore & Chennai

plant

Availability of gas for the Vemagiri project to create

future revenue growth potential

New projects (other than the Orissa project) have the

flexibility to choose between short-term/long-term PPAs

Distribution of total capacity

PPA - 1390 MW, Merchant Power 3757.625 MW

pproval of project development plan by CEA 23


29/45

Power projects: Strategy to transfpower developer with global foot

Leveracaptur

opport

abroad

Improve performance andcompetitiveness of existing

business

Acquisition of Coal Mines

Secure fuel supply for thermalpower plants throughacquisition / joint developmentof domestic as well asinternational coal mines

1 2

Add furth

diversifiedIndia

Bid for UMhas been s

1

Exploring opportunities inIndonesia & South Africa

Alternate fuel opportunities

Explore options for alternatefuel to reduce reliance on any

one type of fuel

nves n

developin

Need foexpansi

Govern

Explore br

opportuniacquisitiorights and

2

rm itself into an integratedrint

e expertise tofuture growth

nities in India and

Diversify into allied powerinfrastructure businesses

3

r power assets

across fuel types in

PPs where fuel supplyecured

Actively explore opportunities in

domestic power distribution

State of Gujarat, Karnataka &Maharashtra have initiatedprivate participation

s n ne g or ng

countries with

r infrastructuren

ent support

own field

ies throughs of developmentoperating assets

va ua e power ransm ss on

opportunities in India and othergrowing economies of SouthAmerica & Africa

Explore Joint Ventures and/oracquisition to realise value

24


30/45

Domestic Power sector scenarios f

Consump

tio

npercap

ita

0.

14.1

18.3

1.42.2

6.37.3

0

5

10

15

20

Cananda US Germany Russia Brazil China Indi

Per Ca ita Consum tion Thousand K

Per Capita Consumption in India is extremcompared to other countries

Huge Capacity additions have been planned in power

generation in 11th Five Year Plan to the tune of 79 GW

against 135 GW currently installed

XIth five year plan estimates a total investment oppo

of over US$ 100 bn in the power sector by 2012

De regulated power sector to contribute about 40% of

additional capacity by 2012

Government Initiatives have led to huge opport

Lo

Source: UNDP, Human Development Indicators,2006 ; CEA a

uture outlook

Characterized by chronic power shortages withpeak hour shortage of over 14% in past few years

Total capacity of 135 GW highly inadequate giventhe over 9% projected growth in Indian economy

One of the lowest per capita consumption acrossdeveloping countries.

Per capita consumption is expected to double by

1.5

a Developing

Countries

h/ ear

ly low as Significant scope for improvements in powersector

Total capacity addition aimed during the11th plan -79 GW

as

tunity

unity for the private sector participation in the sector

Installed Capacity in GW

2016 (CEA) requiring rapid increase in generation

capacity

d Crisil Research Power Annual Review25


31/45








Shareholding Patte

8

structure Player

Gateways To India

dia



n


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Particulars GTAEPL GTTEPL

Location Tuni-Anakapalli Tambaram-

Tindivanam

Road Length 59 kms 93 kms

Concession Period 17.5 years incl.

construction period

of 2.5 yrs.

17.5 years incl.

construction period of

2.5 yrs.

Concession Duration May. 2002 Nov. 2019 May. 2002 Nov. 2019

GMR Group Road Projects implem

AnnuityAnnuity

Financial Closure June 2002 June 2002

Project status Started commercial

operations

Started commercial

operations

Source: Company annual report,1Project expenditure as of March 31, 2007

Mobilizing all resources and harnessing the be

ensure that the four Road projects unde

GPEPL GACEPL GJEPL GUEPL

Pochanpalli Ambala-Chandigarh Faruknagar-Jadcherla Tindivanam-

Ulundurpet

Construct - 86 kms +

O&M Sweetener - 17

kms

Construct - 35 kms Construct - 46 kms +

O&M Sweetener - 12

kms

Construct - 73 kms

20 years incl.

construction of 2.5

years

20 years incl.

construction period

of 2.5 years

20 years incl.

construction period

of 2.5 years

20 years incl.

construction of 2.5

years

Oct. 2006 Oct . May. 2006 May. Aug. 2006 Aug. 2026 Oct. 2006 Oct. 2026

nted/under implementation

Toll

6 6

September 2006 May 2006 August 2006 October 2006

All major contracts

have been awarded

All major contracts

have been awarded

All major contracts

have been awarded

All major contracts

have been awarded

t practices in all aspects of project implementation to

r implementation are commissioned on schedule

26

R d j O b l di i i i di


33/45

Road projects: On way to becomeHighway Sector

Private sector

participation initiated

GMR won bid for TTand TA projects

CoD of 2 annuity road

ro ects

1995

2001

2005

Awarded 1 annuity and

3 toll road projects

Plans under

implementation to add

more projects in FY08

2006

2007

onwards

a leading concessionaire in Indian

Scale of operation1

Holds concessions for about 421km from NHAI under6 road projects

2 operating projects (GTAEPL 59km & GTTEPL -93km) and 4 under implementation (GPEPL 103km,

GACEPL 35km, GJEPL 58km & GUEPL 73km)

Diversified asset mix2

Balanced mix of annuity-based (3 projects, 255-

Annuity projects GTAEPL, GTTEPL & GPEPL Toll-based projects - GACEPL, GJEPL & GUEPL

Robust financial management3

Achieved financial closure for all projectsunder implementation

Securitization of revenues from annuity road projects

Significant growth opportunities4

Looking at adding significant projects by FY08

Exploring international opportunities

27


34/45

Roads: Significant opportunity for

India has one of the largest road networks in the world

National highways constitute only 2% of road network but

carry ~40% of the total road traffic

Vehicle traffic has been growing at a pace of 10% per ann

Total length = 3.3 million km

2% 4%

14%

80%

National Highways

State Highways

Major district roads

Rural & other roads

Source: Report of the Core Group on the Financing of the Nati

over the last 5 years

Supportive regulatory framework

Provision for encumbrance free land for work

Provision for Viability Gap Funding upto 40% of project c

on a case to case basis

100% tax exemption for 10 consecutive assessment years

of 20 years

Concession period is linked to actual traffic as per Model

Concession Agreement

Right to collect and return toll for BOT projects

FDI up to 100% in road sector

private sector participation

13.1

16.3

7.0

10.3

4.2 4.2

NHDP - I&II NHDP - III NHDP - IV NHDP - V NHDP - VI NHDP - VII

NHDP has planned expenditure of ~US$48bn by 2012

20 000km10 000km13 146km 6 500km 1 000km N/A

um

onal Highway Development Program

st

out

2.3

8.6

1.6

8.6

0.4

1.6

NHDP - I&II NHDP - III NHDP - IV NHDP - V NHDP - VI NHDP - VII

Opportunity for private sector participation worth $23bn (08-12E)

Total=US$55bn

58%42%

Private sector contribution Contribution from other sources

28

Leveraging expertise to explore O

portunities across Land


35/45

Leveraging expertise to explore OTransportation Sector

Highways

Project Length (km)

Panipat Jalandhar 300

Surat Dahisar 240

Planning to add further assets by FY08

Opportunities under consideration:

6 laning projects (891 kms)1

a u ar pe - ayawa a

Chennai-Tada 43

Project

4 laning of HyderabadVijayawada

Machilipatnam Corridor

2nd phase of six laning projects in Golden

Quadrilateral

Expressway Projects under NHDP Phase VI

Other corridor projects in FY08

International opportunities in Turkey,

East Europe and Africa

Due diligence process initiated

2

3

portunities across Land

Railways

Entry level strategy for the railway sector

has been prepared

Railway core team formulation

under progress

Strategic tie-ups finalization process

under progress

ppor un es en e n:

Dedicated Freight Corridor (DFC) projects

Rail Vikas Nigam Ltd. (RVNL) projects

Modernization of the New Delhi Railway

Station

1

2

29

3


36/45

GMR Group Foray into Special Eco

MOU with Tamil Nadu Industrial DevelopmenMulti-product SEZ at Krishnagiri District, Ta

SEZ to be developed through an SPV which

SPV to get active support from the state go

process & timely implementation of the pro

To be operational by 2009 & the entire deve

Project expected to generate exports turno

Project details

Type of

SEZ

To house Bio Technology, IT &

Expected to generate direct

Land

details

3,300 acres

Land is to be acquired over a

Location Krishnagiri District Tamil Nad

Excellent connectivity throug

Project

cost Estimated cost for developme

Development cost including i

omic Zones (SEZs)

t Corporation (TIDCO) for the development of ail Nadu

ill be a JV with TIDCO

ernment & TIDCO for timely land procurement

ect.

lopment will be completed by 2014.

er of about US$ 4 bn by 2014.

ITES, Traditional electronics & Engineering companies

indirect employment for over 3 lakh people

period of 1 year

, close to Bangalore metropolis

h NH7 and railway network

nt of basic infrastructure is INR 23bn

dustrial and social infrastructure would be INR 110bn

30

i hli h


37/45



3 Airports : Building4 Power : Lighting I


r an n rastructu

6 Strong Managemen

7Financial Highlight

Shareholding Patte

8

structure Player

Gateways To Indiadia


e g ways : at s o rogress

n

GMR has an experienced and dedi

ated team of individuals across


38/45

GMR has an experienced and dedihierarchy managing projects acro

GM Rao

Group

Chairman

Srinivas Bommidala

Chairman -Urban

Infrastructure &

Highways

GBS Raju

Chairman Corporate

& International

Business

GMR Holding BoardGMR Holding Board

Management teamManagement team

Airport Energy

Raajkumar CEO

G.K. Raghunandanan CFO

Avinash R Shah Sr. VP - BD

G. Loganathan - EVP BD

R. K Goel VP Transmission K V V Rao Director & President

S N Barde VP O & M

Ashish Basu VP Commercial &Contracts

I V Srinivas Rao VP - Finance

B. S. Shantharaju CEO

Andrew Harrison COO

Shirish M Navlekar CFO

I Prabhakara Rao VP ProjectDevelopment

Phua chai Teck VP - Planning &Develop

Sudhir Mathur Chief Commcl .Officer

Rajgopalsamy CFO

P Sripathy Head -Project Mgmnt.

ated team of individuals acrosss sectors

G Kiran Kumar

Chairman -

Airports

B V N Rao

Chairman

Energy & Agro

K. Balasubramanian

Member Group

Holding Board

GMR Infra BoardGMR Infra Board G. M. Rao

Srinivas Bommidala

G. B.S. Raju

G. Kiran Kumar

B.V. Nageswara Rao

K.Balasubramanian

O B Raju

Arun K. Thiagarajan

K.R. Ramamoorthy

Prakash G. Apte

R.S.S.L.N. Bhaskarudu

T. R. Prasad

Udaya Holla

P M Kumar

Member Group

Holding Board

Strategic FinanceUrban Infrastructure & Highways

Rajan Krishnan COO

D R Santhana Krishna CFO

V Jayaraman COO Property Devlp.

O Bangaru Raju COO - StrategicInitiatives & Central Procurement

Y M Shivamurthy President, Legal

A, Subba Rao, EVP CIG

A.S. Cherukupalli, EVP Company Sec.

Vijay Vancheswar Head,Corp.Comm.

P M Kumar - ED Group CorporateDevelopment

R. Ram Mohan EVP GCMs office

Ranjit Muregesan , CEO

Madhu Terdal, EVP

Cenk CEO Turkey

International Development

Uday M. Chitale

Corporate Services

Ashutosh Agarwala CFO

31

K I t t Hi hli ht


39/45



3 Airports : Building4 Power : Lighting I


5Urban Infrastructu

6 Strong Managemen

7Financial Highlight

Shareholding Patte

8

structure Player

Gateways To India

dia



n


40/45

Category No. of shares % H

Promoters 1,333,982,600 73

Foreign InstitutionalInvestors

1,846,281,07 10

Domestic FI's/Banks 115,264,109 6.

GMR Infrastructure Limited Shar

MFs/Insurance Companies 14,002,070 0.

Bodies Corporate 60,419,571 3.

Retail Including Indian

Public,HUF & Others 112,361,631 6.

Total 1,820,658,088 10

Floating Shareholding

26.73% Equity of the company

37.94 %23.09 %

lding

.27

.14

33

holding Pattern

23.69 %2.88 %

12.41 %

FII'S

Banks/ Domestic FI's

MF'S

Bodies Corporate

Retail Including resident individuals, Trusts , HUF & others

77

32

17

.00

32

K I t t Hi hli ht


41/45



3 Airports : Building4 Power : Lighting In


5 Urban Infrastructur6 Strong Management

7Financial Highlights

Shareholding Patter

8

structure Player

ateways To India

dia



n

GMR St th ith

i i i


42/45

Gross revenues (US$mm)

GMR: Strong revenue growth with

250 267

495

319

423

FY05 FY06 FY07 9MFY07 9MFY08

CAGR 40.8%

1

The Increase of 32.6% is mainly attributable to additional revenues

EBITDA (US$mm) & margins (%)3

102115

141

107125


40.8%43.1%

33.1%

33.4 %36.0%

Note: Exchange rate INR/USD = 39.75

CAGR 17.6%

from the operations of DIAL & Higher PLF in GEL & GPCPL

The Increase of 17.1% is mainly from the Additional EBIDTA from DIALoperations & from other sectors mainly from Short term investments

811

1,076

1,757 1,622

3,697

FY05 FY06 FY07 9MFY07 9M FY08

improving margins

Gross assets (US$mm)Gross assets (US$mm)

2

CAGR 47.1%

The Increase of 127.9% is mainly attributable to Capital work

PAT after MI (US$mm) & margins (%)4

17 18

4438 40


6.8%6.7%

10.3% 11.5%CAGR 60.9%

33

12.0%

in progress of Hyderabad & Delhi International Airports

The increase of 5.2% is mainly from the Operations of DIAL

Fi i l P fit & L t


43/45

Financials: Profit & Loss account

GMR Infrastructure Limited: Consolidated Profit & Loss account

Gross revenues

Net revenues

Other income

Total expenditue

EBIDTA

EBIDTA margin (%)

Interest & finance charges

Depreciation

PBT


Taxation

PAT (Before Minority Interest)PAT margin(%)

PAT (After Minority Interest)

PAT margin(%)

(US$mm)

FY2005 FY2006 FY2007 9M FY2008

250 267 495 423

250 267 427 351

3 1 5 16

151 153 290 242

102 115 141 125

40.8% 43.1% 33.1% 36%

24 33 36 25

49 55 34 30

29 27 71 69

34

. . . .

1 3 10 13

28 24 61 5511.20% 8.99% 14.2% 15.88%

17 18 44 40

6.80% 6.74% 10.3% 11.51%

Financials: Balance sheet


44/45

Financials: Balance sheet

GMR Infrastructure Limited: Consolidated Balance sheet (US$m

Sources of funds

Shareholder's funds

Minority interest

Loan Funds

(a) Secured Loans

(b) Unsecured Loans

Deferred tax Liabilities

Total Liabilities

Application of funds


Investments

Net Current assets

Miscellaneous expenditure

Total assets

)

FY2005 FY2006 FY2007 9M FY2008

111 144 501 1539

93 107 132 154

459 652 760 1318

28 95 172 425

9

691 998 1569 3445

35

44 64 66 1303

59 183 294 199

0

691 998 1569 3445


45/45

Tha k You

Documents

GMR Investor Presentation