COMPANY PROFILE Jindal Steel and Power Limited (JSPL) is one of Indias major steel producers with a significant

presence in sectors like Mining, Power Generation and Infrastructure. With an annual turnover of over US $2.9 billion, JSPL is a part of the about US $ 15 billion diversified O.P Jindal Group and is consistently tapping new opportunities by increasing production capacity, diversifying investments, and leveraging its core capabilities to venture into new businesses. Jindal Steel and Power Limited is the third largest steel producer in India. The company manufactures and sells sponge iron, mild steel slabs, ferro chrome,iron ore, mild steel, structural, hot rolled plates and coils and coal based sponge iron plant. The company is also involved in power generation.

Jindal Steel and Power is a part of the Jindal Group, founded by O. P. Jindal (19302005). In 1969, he started Pipe Unit Jindal India Limited, one of the earlier incarnations of his business empire. After Jindal's death in 2005, much of his assets were transferred to his wife, Savitri Jindal. Jindal Group's management was then split among his four sons with Naveen Jindal as the Managing Director of Jindal Steel and Power Limited. His elder brother, Sajjan Jindal, is currently the head of ASSOCHAM, an influential body of the chambers of commerce, and the head of JSW Group, part of O.P. Jindal Group.

The company produces economical and efficient steel and power through backward integration from its captive coal and iron-ore mines. From the widest flat products to a whole range of long products, JSPL today sports a product portfolio that caters to varied needs in the steel market. The company also has the distinction of producing the worlds longest 121 metre rails and introducing large size parallel flange beams in India.

JSPL operates the largest coal - based sponge iron plant in the world and has an installed capacity of 3 MTPA of steel at Raigarh in Chhattisgarh. With a 0.6 MTPA wire rod mill and a one million tone capacity bar mill at Patratu, Jharkhand and a one million tone capacity bar mill, Jharkhand and a medium and light structural mill at Raigarh, Chhattisgarh.

The enterprising spirit and the ability to discern future trends have been the driving force behind the companys remarkable growth story. The company has scaled new heights with the combined force of innovation, adaptation of new technology and the collective skills of its 15,000 strong, committed workforce. And the recognition it has received only further lends credence to this. JSPL has recently been rated as the second highest value creator in the world by Boston Consulting Group; 11th fastest growing company in India by Business World; included in one of the Fab 50 Companies by Forbes Asia, 2009 and 2010.

JSPL endeavors to strengthen Indias industrial base by aiding infrastructural development, through sustainable development approaches and inclusive growth. The company deploys its resources to improve infrastructure, education, health, water, sanitation, environment etc. in the areas it operates in. The company has won several awards for its innovative business practices. As JSPL contributes to Indias growth, it has also set in place a global expansion plan in order to become one of the most prestigious and dynamic business groups in the World. The company continues to capitalize on opportunities in high growth markets, expanding its core areas and diversifying into new businesses. The future is studded with challenges and JSPL is taking them on with vigor and courage. On June 3, 2006, Bolivia granted development rights for one of the world's largest iron ore reserves in the El Mutn region to Jindal Steel. With the development rights for 20 billion tonne of El Mutun Iron Ore Reserves in Bolivia, JSPL plans to invest US$ 2.1 billion in the next few years on mining and on setting up an integrated 1.7 MTPA Steel Plant, 6 MTPA Sponge Iron plant, 10 MTPA Iron Ore Pellet Plant and 450 MW power plant in the South American nation. Savitri Jindal, the widow of O. P. Jindal, is ranked as the 19th richest Indian person according to Forbes.

VISION, MISSION AND VALUES VISION To be globally admired organization that enhances the quality of life of all stakeholders through sustainable industrial and business development.

MISSION y y y y y y y The spirit of entrepreneurship and innovation Optimum utilization of resources. Sustainable environment friendly procedures and practices The highest ethics and standards. Hiring, developing and retaining the best people. Maximization returns to stakeholders. Positive impact on the communities we touch.

VALUES y y y y Passion for people. Business excellence Integrity, ownership and sense of belonging Sustainable development

PRESENT MARKET POSITION OF JINDAL STEEL AND POWER LIMITED Jindal Steel and Power Limited is the third largest steel producer in India. Operating profit decreased 9.9% quarter-on-quarter to Rs9.6bn, marginally lower than our estimate of Rs9.9bn.The underperformance in operating profit was on account of lower than expected steel sales volume. Operating Profit Margin decreased 86bps quarter-on-quarter to 38% in first quarter of financial year 2011 on account of higher coal cost and subdued long steel prices. On a segmental basis, EBIT margins for the steel business increased from 31.1% in fourth quarter of financial year 2011 to 31.8% in first quarter of financial year 2012 and that of the power division declined sharply from 46.4% to 36.4%.