Asian Paints | 4QFY2011 Result Update

May 11, 2011

Asian Paints

ACCUMULATE

Performance Highlights

CMP
Target Price

(` cr)

4QFY11

4QFY10

Revenue

1,965.6
289.4
14.7

EBITDA
OPM (%)
PAT

190.9

% yoy

Angel est.

% Diff.

1,876.8

4.7

2,031.4

(3.2)

310.8

(6.9)

314.9

(8.1)

16.6

(184bp)

15.5

(77bp)

213.8

(10.7)

209.3

(8.8)

Source: Company, Angel Research

`2,682
`2,835

Investment Period

12 Months

Stock Info
Sector

FMCG

Market Cap (` cr)

25,729

Beta

The numbers for this quarter are not comparable on a yoy basis as 4QFY2010
included six month results of overseas subsidiaries. We maintain our Accumulate
recommendation on the stock.
Domestic volumes steady, international business affected by unrest in MENA: The
top line grew by 4.7% yoy to `1,965.6 (`1,876.8cr), however in comparable
terms, the growth was 22.6% yoy which was robust. For the full year, the
company registered a paint volume growth of 17% yoy on a standalone basis,
while on a consolidated comparable basis with overseas subsidiaries, the revenue
was aided by 19.5% yoy growth. Earnings declined by 10.7% yoy to `190.9cr
(`213.8cr), as the company faces margin pressures. The companys operating
profit declined by 184bp yoy to `289.4cr (`310.8cr) on account of high rawmaterial costs and other expenses (up 37bp yoy).
Outlook and valuation: Post 4QFY2011 results, we have tweaked our top-line
numbers to factor in relative sluggishness in demand in the companys
international business (particularly in certain pockets of South Asia and Middle
East). We have pruned our margin estimates to factor in gross margin pressures
that the company faces on account of unrelenting increase in crude prices but
expect margins to sustain at 17%, aided by higher value growth and ~4%
weighted average price hike taken in FY2012 (further prices not rules out).

0.4

52 Week High / Low

3,027/2,016

Avg. Daily Volume

18,600

Face Value (`)

10

BSE Sensex

18,585

Nifty

5,563

Reuters Code

ASPN.BO

Bloomberg Code

APNT@IN

Shareholding Pattern (%)

Promoters

52.3

MF / Banks / Indian Fls

17.8

FII / NRIs / OCBs

16.2

Indian Public / Others

13.7

Abs. (%)

3m

1yr

3yr

Sensex

4.8

8.4

11.0

APL

7.3

29.7

120.0

Key financials (Consolidated)

Y/E March (` cr)

FY2010

FY2011

FY2012E

FY2013E

6,681

7,706

9,153

10,679

22.3

15.3

18.8

16.7

772.0

843.2

988.5

1,182.2

% chg

92.3

9.2

17.2

19.6

EBITDA (%)

18.4

17.0

16.9

17.1

EPS (`)

80.5

87.9

103.1

123.2

P/E (x)

33.3

30.5

26.0

21.8

P/BV (x)

15.0

11.6

9.1

7.3

RoE (%)

57.4

43.0

39.3

37.2

RoCE (%)

54.7

47.3

45.8

44.6

3.8

3.3

2.7

2.3

20.6

19.1

16.0

13.3

Net sales
% chg
Net profit (Adj.)

EV/Sales (x)
EV/EBITDA (x)
Source: Company, Angel Research

Please refer to important disclosures at the end of this report

Chitrangda Kapur
022 3935 7800 Ext: 6822

chitrangdar.kapur@angelbroking.com
Sreekanth P.V.S
022 3935 7800 Ext: 6841

sreekanth.s@ angelbroking.com

Asian Paints | 4QFY2011 Result Update

Exhibit 1: Quarterly performance (Consolidated)

Y/E March (` cr)

4QFY11

4QFY10

Net Sales

1,965.6

Consumption of RM

1,152.6

(% of sales)
Staff costs
(% of sales)
Other expenses
(% of sales)
Total expenditure

% yoy

FY2011

FY2010

% chg

1,876.8

4.7

7,706.2

6,680.9

15.3

1,046.4

10.2

4,474.6

3,758.0

19.1

58.1

56.2

(15.7)

454.0

436.3

5.9

6.5

6.7

1,464.7

1,259.3

58.6

55.8

115.0

136.5

5.8

7.3

408.6

383.1

4.1
16.3

20.8

20.4

19.0

18.8

1,676.2

1,566.0

7.0

6,393.3

5,453.5

17.2

289.4

310.8

(6.9)

1,313.0

1,227.4

7.0

14.7

16.6

17.0

18.4

7.6

6.9

9.5

22.2

28.5

Operating profit
OPM (%)
Interest

(21.9)

Depre. & amortisation

29.2

24.1

20.9

113.1

83.6

35.4

Other income

20.0

20.8

(3.9)

82.6

140.5

(41.2)

(9.3)

1,260.2

1,255.9

16.4

18.8

(5.7)

378.9

373.1

Associate profit/loss

PBT (excl. extr items)

272.6

300.5

(% of sales)

13.9

16.0

Provision for taxation

81.8

86.8

(% of PBT)

30.0

28.9

30.1

29.7

4.9

22.1

38.1

48.3

190.9

213.8

881.4

882.8

(0.9)

(1.2)

Minority interest
Recurring PAT (after MI)
Extr. income/(expense)
Prior period items
Reported PAT

186.0

192.6

(10.7)

(3.4)

843.2

835.6

PATM (%)

9.5

10.3

10.9

12.5

Equity shares (cr)

9.6

9.6

9.6

9.6

Adjusted EPS (`)

19.4

20.1

87.9

87.1

(3.4)

0.3
1.5

(0.2)

0.9

0.9

Source: Company, Angel Research

Top-line growth aided by double digit domestic volume growth

The top line grew by 4.7% yoy to `1,965.6 (`1,876.8cr), however in comparable
terms, the growth was 22.6% yoy which was robust. For the full year, the company
registered a paint volume growth of 17% yoy on a standalone basis, while on a
consolidated comparable basis with overseas subsidaries, the revenue was aided
by 19.5% yoy growth.
The international businesses suffered on account of political unrest in the MENA
region. Going forward the sales from Egypt, Carribean, Bahrain, UAE and
Singapore are going to be challenging (according to the management). The
international business reported a growth of 3% yoy (adjusted for the exchange
rate).

May 11, 2011

Asian Paints | 4QFY2011 Result Update

Exhibit 2: Consol. top-line aided by 24% yoy growth in domestic sales

2,500

35.0
30.0

2,000
1,500

20.0

1,000

15.0

(yoy %)

(` cr)

25.0

10.0
500

5.0
-

4Q09 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 4Q11

Top-line (LHS)

yoy growth (RHS)

Source: Company, Angel research

Earnings decline on higher interest/depreciation expenses

In terms of recurring earnings, APL reported a decline of 10.7% yoy to `190.9cr
(`213.8cr), impacted by margin contraction, increase in interest expense (up 9.5%
yoy to `7.6cr), high depreciation charges (up 21% yoy to `20.9cr) and higher tax
rate (up 113bp yoy).

Raw material pressure results in operational margin contraction

At the operating level, APL registered a 184bp yoy contraction in OPM, which
resulted in a 6.9% yoy decline in EBITDA to `289.4cr (`310.8cr), impacted by higher
input cost as gross margin contracted by 288bp yoy and other expense witnessed an
increase (up 37bp yoy). The decrease in staff cost (down 142bp yoy) arrested further
margin contraction. Management has indicated that the companys performance
would continue to be impacted by raw-material inflation. The company took a price
hike of 12% in FY2011.
Since raw-material pressures have not eased and are further inching up,
management has indicated a price hike of 4.3% w.e.f. May 1, 2011, and another
2.4% w.e.f. June 1, 2011. The full impact of the price hikes is expected to be realised
in the coming quarters.

May 11, 2011

Asian Paints | 4QFY2011 Result Update

250.0

PAT (LHS)

OPM

4Q11

3Q11

4Q09

yoy growth (RHS)

Source: Company, Angel Research

18.9 18.7 19.6 16.6 19.0 18.3

16.4 14.7

10.0

4Q11

3Q11

2Q11

1Q11

4Q10

3Q10

(50.0)
2Q10

10
1Q10

4Q09

60

20.0

2Q11

50.0

110

12.4

30.0

1Q11

100.0

4Q10

160

40.0

43.9 43.2 43.7 44.2 42.7 43.7

40.3 41.4

3Q10

150.0

38.6

2Q10

200.0

210

(%)

260

50.0

(yoy %)

310

(`cr)

Exhibit 4: Gross margin expands due to price hikes

1Q10

Exhibit 3: Earnings impacted due to weak top line

Gross margin

Source: Company, Angel Research

Investment rationale

Demand conditions robust, model in a volume CAGR of ~16% over FY2011

13: Underlying demand conditions in decorative paints continue to be robust
across markets, driven by 1) economic recovery, 2) shorter repainting cycles
and 3) continuing strong demand in tier-II and III cities. For APL, we have
modeled in a ~16% CAGR in paint volumes over FY201113, driven by
robust demand conditions and market share gains.

Margins to sustain at ~17% levels, aided by price hikes and mix improvement:
We expect APL to sustain its OPM at ~17% levels, aided by 1) strong pricing
power as reflected in the recent price hikes amounting to cumulative weighted
average price hike of 1112% YTD, 2) superior product mix (higher proportion
of emulsions) and 3) higher operating leverage (driven by strong top-line
growth).

JV with PPG for industrial business: APL has formed a second 50:50 JV with
PPG to offer products in the protective, industrial powder, industrial containers
and light industrial coatings markets. We believe this JV is a positive
development for APL and will help the company to build up its position in
industrial coatings, where it is the second largest player.

Outlook and valuation

Post 4QFY2011 results, we have tweaked our top-line numbers. We have pruned
our margin estimates to factor in gross margin pressures that the company faces
on account of unrelenting increase in crude prices but expect margins to sustain at
17%, aided by higher value growth and ~4% weighted average price hike taken in
FY2012 (further prices not ruled out).

May 11, 2011

Asian Paints | 4QFY2011 Result Update

Exhibit 5: Change in estimates

Old estimates

New estimate

% chg

(` cr)

FY12E

FY13E

FY12E

FY13E

FY12E

FY13E

Revenue

9,124

10,663

9,153

10,679

0.3

0.2

OPM (%)

18.5

19.9

16.9

17.1

(162bp)

(285bp)

EPS (`)

95.6

116.0

103.1

123.2

7.8

6.2

Source: Company, Angel Research

At `2,682, the stock is trading at 21.8x FY2012E revised EPS of `123.2.

We maintain our Accumulate recommendation on the stock with a revised target
price of `2,835 (`2,767), based on 23x FY2013E earnings.
Concerns for the stock include 1) prolonged monsoons and 2) sluggish growth in
the companys international businesses from markets such as Caribbean, Middle
East and Singapore.

May 11, 2011

Asian Paints | 4QFY2011 Result Update

Exhibit 6: Key assumptions (Consolidated)

Y/E March (` cr)
Paints India (Gross sales)
Volume growth (%)
Realisation growth (%)
Others

FY2010

FY2011

FY2012E

FY2013E

5,603

6,925

8,373

9,906

16.4
(1.0)

12.9
9.5

16.3
4.0

14.9
3.0

150

97

200

229

Standalone net sales (less of excise)

5,125

6,322

7,634

9,006

APPG (Automotive 50:50 JV)

APICL (Industrial)
International business

218
71
1,264

244
78
1,062

274
87
1,158

312
96
1,265

Consolidated net sales

6,681

7,706

9,153

10,679

Paints India (Gross Sales)

Others

15.2
7.9

23.6
(35.5)

20.9
106.2

18.3
14.6

Standalone Net Sales (Less of Excise)

20.0

23.4

20.8

18.0

APPG (Automotive 50:50 JV)

13.9

11.9

12.0

13.9

APICL (Industrial)
International Business

18.4
33.4

10.0
(16.0)

12.0
9.0

10.0
9.3

Consolidated Net Sales

22.3

15.3

18.8

16.7

yoy growth (%)

Source: Company, Angel Research

May 11, 2011

Asian Paints | 4QFY2011 Result Update

Exhibit 7: Peer valuation

Company

Mcap
(` cr)

CMP
(`)

TP^
(`)

25,729

2,682

2,835

5.7

26.0

21.8

2.7

2.3

39.3

37.2

17.7

18.4

4,494

376

458

21.7

26.3

18.1

0.9

0.8

35.7

44.5

14.2

17.1

Reco

Upside
(%)

P/E (x)
FY11E FY12E

EV/Sales (x)
FY11E FY12E

CAGR #
Sales
PAT

RoE (%)
FY11E FY12E

Asian Paints

Accumulate

Britannia

Buy

Colgate

Reduce

12,519

921

837

(9.1)

27.1

24.2

4.7

4.2

100.1

87.2

13.5

11.8

Dabur

Accumulate

17,535

101

115

14.1

24.3

21.0

3.2

2.7

51.0

46.1

21.6

20.0

GSKCHL

Neutral

9,342

2,221

2,163

(2.6)

26.9

22.6

3.1

2.6

32.6

31.8

17.3

17.5

GCPL

Buy

12,527

387

447

15.5

21.7

19.1

3.2

2.9

35.1

26.3

13.4

17.8

HUL

Neutral

65,418

300

306

2.1

25.7

22.5

2.8

2.5

74.8

74.6

12.5

17.1
14.2

ITC

Accumulate

144,278

186

205

10.2

24.6

21.8

5.6

4.9

31.9

30.6

13.5

Marico

Accumulate

8,174

133

140

5.2

26.9

21.8

2.4

2.1

30.8

29.0

12.0

25.7

Nestle

Reduce

38,677

4,011

3,483

(13.2)

39.7

33.4

5.3

4.6

91.1

72.9

16.1

18.9

Source: Company, Angel Research, Note: # denotes CAGR for FY2011-13E, ^ In case of Neutral recommendation, TP = Fair value

Exhibit 8: Angel vs. consensus estimates

Top-line (` cr)

FY2011E

FY2012E

9,153
9,294
(1.5)

10,679
10,992
(2.8)

Angel estimates
Consensus
Diff (%)

EPS (`)

FY2011E

FY2012E

103.1
108.5
(5.0)

123.2
129.2
(4.6)

Angel estimates
Consensus
Diff (%)

Source: Company, Angel Research

Exhibit 9: Absolute returns of APL vs. Sensex

150%

Sensex

Exhibit 10: One-year forward P/E band

3,500

Asian Paints

3,000

130%

2,500

Share Price (`)

140%
120%
110%
100%
90%

15x

18x

21x

24x

2,000
1,500
1,000
500

35.0
30.0
25.0
20.0
15.0
10.0
5.0

Mar-05
Jul-05
Nov-05
Mar-06
Jul-06
Nov-06
Mar-07
Jul-07
Nov-07
Mar-08
Jul-08
Nov-08
Mar-09
Jul-09
Nov-09
Mar-10
Jul-10
Nov-10
Mar-11

Source: Company, Angel Research; Note: Blue-line indicates 5-year average

Apr-11

Oct-10

Apr-10

Oct-09

Apr-09

Oct-08

Apr-08

Oct-07

Apr-07

Oct-06

Apr-06

Source: Company, Angel Research

Exhibit 12: One-year forward premium vs. Sensex

120%
100%
80%
60%
40%
20%
0%
-20%
-40%

Apr-02
Oct-02
Apr-03
Oct-03
Apr-04
Oct-04
Apr-05
Oct-05
Apr-06
Oct-06
Apr-07
Oct-07
Apr-08
Oct-08
Apr-09
Oct-09
Apr-10
Oct-10
Apr-11

Exhibit 11: One-year forward P/E

May 11, 2011

Apr-05

Apr-11

Mar-11

Feb-11

Jan-11

Dec-10

Nov-10

Oct-10

Sep-10

Aug-10

Jul-10

Jun-10

May-10

Apr-10

Source: Company, Angel Research

Oct-05

80%

Source: Company, Angel Research; Note: Blue-line indicates 5-year average

Asian Paints | 4QFY2011 Result Update

Profit & Loss statement (Consolidated)

Y/E March (` cr)

FY2008

FY2009

FY2010

FY2011

FY2012E

FY2013E

4,939

6,045

7,107

8,311

9,891

11,552

531

581

426

605

738

873

Net sales

4,407

5,464

6,681

7,706

9,153

10,679

Total operating income

4,407

5,464

6,681

7,706

9,153

10,679

20.1

24.0

22.3

15.3

18.8

16.7

Total expenditure

3,747

4,794

5,453

6,393

7,608

8,855

Cost of materials

2,578

3,371

3,758

4,475

5,402

6,367

Advertising exp

566

714

853

994

1,135

1,281

Personnel

307

372

436

454

549

619

Others

296

338

406

471

522

587

Gross sales
Less: excise duty

% chg

EBITDA

661

670

1,228

1,313

1,545

1,824

% chg

38.2

1.4

83.2

7.0

17.7

18.1

(% of Net sales)

15.0

12.3

18.4

17.0

16.9

17.1

Depreciation& amortisation

59

74

84

113

130

142

EBIT

601

596

1,144

1,200

1,415

1,682

% chg

44.3

(1.0)

92.1

4.9

17.9

18.8

(% of Net sales)

13.6

10.9

17.1

15.6

15.5

15.7

21

26

28

22

16

Interest & other charges

Other income

60

51

78

83

93

107

(% of PBT)

9.3

8.2

6.5

6.6

6.2

6.0

Share in profit of associates

Recurring PBT

640

620

1,193

1,260

1,493

1,780

% chg

47.0

(3.0)

92.4

5.6

18.5

19.3

Extraordinary expense/(Inc.)
PBT (reported)

(64)

617

1,257

1,260

1,493

1,780

Tax

203

197

373

379

455

543

(% of PBT)

31.8

31.8

31.3

30.1

30.5

30.5

PAT (reported)

436

423

820

881

1,037

1,237

Add: Share of associates

19

22

48

38

49

55

PAT after MI (reported)

418

401

772

843

988

1,182

ADJ. PAT

409

398

836

843

988

1,182

% chg

45.4

(2.8)

110.0

0.9

17.2

19.6

Less: Minority interest (MI)

(% of Net sales)

May 11, 2011

8
631

9.3

7.3

12.5

10.9

10.8

11.1

Basic EPS (`)

43.5

41.8

80.5

87.9

103.1

123.2

Fully diluted EPS (`)

43.5

41.8

80.5

87.9

103.1

123.2

% chg

45.9

(3.9)

92.3

9.2

17.2

19.6

Asian Paints | 4QFY2011 Result Update

Balance sheet (Consolidated)

Y/E March (` cr)

FY2008 FY2009 FY2010

FY2011 FY2012E

FY2013E

SOURCES OF FUNDS
Equity Share Capital

96

96

96

96

96

96

Preference Capital

Reserves& Surplus

886

1,107

1,614

2,121

2,716

3,450

Shareholders Funds

982

1,203

1,710

2,217

2,812

3,546

57

76

94

84

95

101

275

309

229

179

124

69

Minority Interest
Total Loans
Deferred Tax Liability
Total Liabilities

39

53

56

56

56

56

1,354

1,641

2,090

2,536

3,088

3,772

APPLICATION OF FUNDS
Gross Block

1,211

1,461

1,500

1,927

2,166

2,373

Less: Acc. Depreciation

634

648

628

741

871

1,013

Net Block

578

813

873

1,186

1,296

1,360

Capital Work-in-Progress

114

92

407

289

325

356

44

51

37

37

37

37

277

78

624

624

624

624

1,494

1,799

1,844

2,313

2,983

3,851

111

210

106

210

526

1,012

Goodwill
Investments
Current Assets
Cash
Loans & Advances

209

247

239

270

343

416

Other

1,174

1,341

1,498

1,834

2,113

2,422

Current liabilities

1,152

1,192

1,695

1,912

2,177

2,456

341

607

149

401

806

1,395

1,354

1,641

2,090

2,536

3,088

3,772

FY2008 FY2009 FY2010 FY2011 FY2012E

FY2013E

Net Current Assets

Misc Exp
Total Assets

Cash flow statement (Consolidated)

Y/E March (` crore)
Profit before tax
Depreciation
Change in Working Capital
Interest / Dividend (Net)

622

1,130

1,260

1,493

1,780

59

74

84

113

130

142

(143)

134

(169)

(139)

(153)

(8)

(5)

(13)

(24)

(38)

Direct taxes paid

203

197

373

379

455

543

Others

(23)

(25)

137

(27)

12

Cash Flow from Operations

476

337

1,105

785

1,016

1,189

Inc./ (Dec.) in Fixed Assets

(282)

(228)

(354)

(308)

(276)

(238)

Inc./ (Dec.) in Investments

(84)

198

(546)

Cash Flow from Investing

(366)

(30)

(900)

(308)

(276)

(238)

Issue of Equity
Inc./(Dec.) in loans

(16)

(4)

(79)

(50)

(55)

(55)

Dividend Paid (Incl. Tax)

97

197

236

337

393

449

Interest / Dividend (Net)

(8)

(5)

(13)

(24)

(38)

(105)

(207)

(310)

(374)

(423)

(466)

100

(105)

104

317

486

Opening Cash balances

105

111

210

106

210

526

Closing Cash balances

111

210

106

210

526

1,012

Cash Flow from Financing

Inc./(Dec.) in Cash

May 11, 2011

647

Asian Paints | 4QFY2011 Result Update

Key ratios
Y/E March

FY2008 FY2009 FY2010 FY2011 FY2012E FY2013E

Valuation Ratio (x)

P/E (on FDEPS)

61.6

64.1

33.3

30.5

26.0

21.8

P/CEPS

54.9

54.5

28.0

26.9

23.0

19.4

P/BV

26.2

21.4

15.0

11.6

9.1

7.3

Dividend yield (%)

0.6

0.7

1.0

1.1

1.3

1.5

EV/Sales

5.8

4.7

3.8

3.3

2.7

2.3

EV/EBITDA

38.8

38.4

20.6

19.1

16.0

13.2

EV / Total Assets

18.9

15.7

12.1

9.9

8.0

6.4

EPS (Basic)

43.5

41.8

80.5

87.9

103.1

123.2

EPS (fully diluted)

43.5

41.8

80.5

87.9

103.1

123.2

Cash EPS

48.8

49.2

95.8

99.7

116.6

138.1

DPS

17.0

17.5

27.0

30.0

35.0

40.0

102.4

125.4

178.3

231.1

293.2

369.6

RoCE (Pre-tax)

47.6

39.8

61.3

51.9

50.3

49.0

Angel RoIC (Pre-tax)

44.6

35.0

58.0

54.8

54.0

57.4

RoE

46.5

36.4

57.4

43.0

39.3

37.2

Asset Turnover

3.6

3.7

4.5

4.0

4.2

4.5

Inventory / Sales (days)

59

51

52

50

49

48

Receivables (days)

38

38

30

37

36

35

Payables (days)

82

68

75

75

72

69

Net working capital (days)

19

26

11

13

Per Share Data (`)

Book Value
Returns (%)

Turnover ratios (x)

May 11, 2011

10

Asian Paints | 4QFY2011 Result Update

Research Team Tel: 022 - 3935 7800

E-mail: research@angelbroking.com

Website: www. angelbroking.com.com

Disclaimer
This document is solely for the personal information of the recipient, and must not be singularly used as the basis of any investment
decision. Nothing in this document should be construed as investment or financial advice. Each recipient of this document should make
such investigations as they deem necessary to arrive at an independent evaluation of an investment in the securities of the companies
referred to in this document (including the merits and risks involved), and should consult their own advisors to determine the merits and
risks of such an investment.
Angel Broking Limited, its affiliates, directors, its proprietary trading and investment businesses may, from time to time, make
investment decisions that are inconsistent with or contradictory to the recommendations expressed herein. The views contained in this
document are those of the analyst, and the company may or may not subscribe to all the views expressed within.
Reports based on technical and derivative analysis center on studying charts of a stock's price movement, outstanding positions and
trading volume, as opposed to focusing on a company's fundamentals and, as such, may not match with a report on a company's
fundamentals.
The information in this document has been printed on the basis of publicly available information, internal data and other reliable
sources believed to be true, but we do not represent that it is accurate or complete and it should not be relied on as such, as this
document is for general guidance only. Angel Broking Limited or any of its affiliates/ group companies shall not be in any way
responsible for any loss or damage that may arise to any person from any inadvertent error in the information contained in this report.
Angel Broking Limited has not independently verified all the information contained within this document. Accordingly, we cannot testify,
nor make any representation or warranty, express or implied, to the accuracy, contents or data contained within this document. While
Angel Broking Limited endeavours to update on a reasonable basis the information discussed in this material, there may be regulatory,
compliance, or other reasons that prevent us from doing so.
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Angel Broking Limited and its affiliates may seek to provide or have engaged in providing corporate finance, investment banking or
other advisory services in a merger or specific transaction to the companies referred to in this report, as on the date of this report or in
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connection with the use of this information.
Note: Please refer to the important `Stock Holding Disclosure' report on the Angel website (Research Section). Also, please refer to the
latest update on respective stocks for the disclosure status in respect of those stocks. Angel Broking Limited and its affiliates may have
investment positions in the stocks recommended in this report.

Disclosure of Interest Statement

Asian Paints

1. Analyst ownership of the stock

2. Angel and its Group companies ownership of the stock
3. Angel and its Group companies' Directors ownership of the stock
4. Broking relationship with company covered

No
No
No
No

Note: We have not considered any Exposure below `1 lakh for Angel, its Group companies and Directors.

Ratings (Returns):

May 11, 2011

Buy (> 15%)

Reduce (-5% to 15%)

Accumulate (5% to 15%)

Sell (< -15%)

Neutral (-5 to 5%)

11