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PSG IM MBA 2010-11

Indian Business Leader

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The UB Group

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Agenda

Introduction

Personal Profile

Business Profile Business Strategy

Leadership Qualities

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The Tycoon- Live King Size.

Born on 18th December 1955

Alma mater : St Xaviers College, Calcutta.

Personal at his Best:

Forbes Ranking # 937 NW US$ 1Billion

Member of the Rajya Sabha, 2010-Active.

In 2004, Sword ofTipu Sultan

(Bid : 175,000).

In 2009, Belongings of Mahatma Gandhi(Bid: US$ 1.8 Million)

Established Mallya Hospital & ScientificResearch Foundation

Doctorate in Philosophy in Business Mgt,Honored by University of South California,Irvine

France Hg. Civilian Officer de la legion dHonneur for Business Achievement

Business Achievements:

In 2010, 2nd Largest Spirits Producer in theWorld by Sales Volume of 100 Million cases.U.K.s Diageo head the charts with Salesvolume of 111 Million cases.

Major Acquisition International Market Player

(Whyte & Mackay and Bouvet Ladubay)

Indias No.1 & Largest Pvt. Airline Fleet with400 flights a day with 28% market share.

International Brand Imaging of Indian Brand.

Emerging Market capitalization in China,Russia, Brazil, South Africa and South Korea

Indias First F1 Team Force India

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UBHL Overview

United Breweries Holding Limited (UBHL)

UBHL controls the Investments & Stakes of UB groups. USL, UBL, KFA, UB-diversifiedbusiness like MFC & UB Engineering UBHL control stakes :

UB City which fetch Rental Revenue of 34 Cr. (Retail + Commercial). UB City consist ofService Apartments, Pubs, Health Clubs, Retail Space.

UB Global engaged in export of spirits, beer leather goods & processed foods. It accountsglobal turnover of 34 Cr.

Mangalore Chemical Fertilizers (MCF) Mfg wide range of urea, di-ammoniumphosphate, granulated fertilizers, micronutrients and soil conditioners Net IncomeRs.490 Cr.

UB Engineering engaged in commissioning & erection of Industrials projects in India withNet Income Rs.527Cr. UBICS Inc., IT industry Affiliated to UBHL

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Business Entity Structure

UB Holding Ltd (UBHL)

UB Business UB City (Real Estate)

55%

Spirits (USL)34.1%

Beer (UBL)37.49%

Aviation60.6%

UB DiversifiedBusiness.

MFC Ltd (30.45%)

UB Engineering(40.74% )Millennium

Alcobev Pvt. Ltd.,

(100%)Scottish & NewCastle.

JV with Heineken

Whyte & Mackay(100%)

McDowells

Shaw Wallace(75%)

Whyte & Mackay(100%)

Promoter Investment 51.82%

KFA66.27%

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Business Overview- Spirits & Breweries

United Breweries Limited (UBL)Capacity : 6,110,000 Hecto Liters p.a.Produced: 3,674,632 Hecto Liters p.a.Market Share: Over 50% domesticFY2010 : 101 Million Case Sales Vol.Retail Value of Rs.8,200 Crore.

UBL & Heineken DealHeineken holds 37.5 % stake of UBLinherited from S&N acquisition.Heineken distribution through UBLnetwork. Vice versa UBL get internationalmarket access through Heineken.

Asia Pacific Breweries, India will acquired

throug

hJV UBL APB(APB was a direct competitor)

United Spirits Limited (USL)2nd Largest Spirits company in the World with100 Million case Sales Volume (Diego 111 Million Case)Retail Value of Rs.30,000 Crore.With current rate of 12% USL expectedachieve No.1 slot in current fiscal year.

Merger of S&W and Whyte & Mackaysacquisition strengthened USL in globalmarkets with Brand Positioning..

Tap growth in Emerging non-traditionalmarkets like Russia, China & WesternEurope.

In 1983, while assuming ChairmanshipSales Volume,USL @ 3 Million cases

UBL @ 4 Million casesUnderhis Leadership volume has beenincreased drastically. Recognized GlobalLeading Player.

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Business Overview- Aviation

In 2005, The Kingfisher Airline started. In 2008, Merged withDeccan Aviation

Kingfisher Red affordable-cost premiumsegment.

International Operations started fromSeptember 2008 connecting from

Bangalore to London.Connecting 61 States with 66 fleets(KFA). With 21% market share 380flights day.

Flight population of 3.01 Million FY-10.Dom Rev:1324 Cr. Intl Rev: 316 Cr.

Aggregate Growth of 29% in FY 10.

Membership in One World Alliance, toenhance domestic & international flights.

Achievements:Global Recognitions:Skytrax World Airline AwardsBest Airline in India /Central AsiaBest Cabin Crew Central Asia

Best Low Cost Airline in India / Centralfor Kingfisher REDBusiness Leadership Award for Aviation

NDTV Profit two yrs in row.Indias No.1 Airline in CustomerSatisfaction Business World.

Innovative ideas: Mobile Flying. LittleWings (Little Flyers)

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Business Strategy

Acquisition to gain prominence in Market

Joint venture Red Water Markets

The B word called Branding. Believed inBrands Image.

Advertisements through Fashions, Sports andCultural festival.

Challenging Environments

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1950- 1982 : Started & Expanded into breweriesby means of Acquisition

1983: Dr.Vijay Mallya took over the Groupbusiness at age of 28

1983-2003 : Acquisition of all small market

players in brews contd.

2005: Acquired 75% Shaw Wallace 2nd

Largest Player in India. KingfisherAirline started

2006 : Merger of all Spirits business underUSL (United Spirits Limited) & all beerbusiness under UBL (United Breweries Ltd)

2007: Acquired 100% Stake in Whyte & Mackay 4th

Largest Scotch Producer in the World

2008-09 :Completed Merger of Deccan toKingfisher. Named Kingfisher Red formed

Largest Pvt. Airline in India

2008-09 :Completed Legal Merger of ShawWallace. Heineken (JV) License to produceBeer in India

2010: 2ndLargest Spirits Producer in theWorld. Sales Volume of 100 Million

UB Groups Growth History

Net Sales Volume

USL: 3 Million Case.

UBL: 4 Million Case

Net Sales Volume

USL&UBL:100 Million Cases

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Leadership Qualities

Passion

Decisiveness

Conviction Integrity

Adaptability

Emotional Toughness

Emotional Resonance Mentoring Generations

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T

Dubbed as Indian Sir Richard Branson

The Playboy of the East & Married Twice.. Siblings: 3

Passion for Cars Got Ferrari @ age of 4 obliviously! (From his father).Mandwa- the car quest collection.

Lifestyle Yachts 3 Nos. & Pvt. Jets too. Derby.. Owns Stud Farm near Bangalore

Very Religious !!!, goes to Sabrimala Pilgrimage ever year walk barefoot likenormal devotee. Every first buy Aircraft goes to Tirupati before entering in toservice. Disciple of Sri Ravishankar

First Indian Company to Purchase A380 Airbus.

The Prince of Good Times Sid worked forDiageo (Official Competitor).

All Sports interested venture will be combine as UB Sport.

Kingfisher Swimsuit Calendar The Most Happening Things in end of Year

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Quotes.

I am always Claiming 24x7 isnt enoughI Love Challenges

Both will make you fly. This is a World Class experience, all at

affordable price. We are not a low-costcarrier and we do not intend to be one

Live the Life King Size

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Thank You

Mr.Suresh Kumar.D

Mr.Murali ManoharanMr.Saravanan.J