EXPORT POTENTIAL OF COMMERCIAL

VEHICLES IN SPECIFICATION WITH

ASHOK LEYLAND

PROJECT SUMMITED BY

MR. K. SANTHOSH KUMAR M.B.A.

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THE CONTENT

INTRODUCTION:

AN EXECUTIVE SUMMARY

EVOLUTION OF THE INDUSTRY

INDIAN AUTO MOBILE INDUSTRY

THE INDIAN INDUSTRY

HISTORY OF INDIAN EXPORT

DESTINATION OF EXPORT

EXPORT ANALYSIS

EXPORT STRATEGY

GOVERNMENT POLICY````

THE BIRTH OF ASHOK LEYLAND

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ASHOK LEYLAND AN INTERNATIONAL VIEW:

INTERNATIONATIONAL DEALERS IN EXPORT

ITS INTERNATIONAL OPERATIONS

ASHOKLEYLAND SPARES TO EXPORT

INTERNATIONAL EXPORT OF PRODUCTS

ASHOK LEYLAND IN SEARCH OF OVER SEAS PARTNERS

BOOSTING IN EXPORT AND SERVICE NETWORK

ASHOK LEYLAND IN EXPORT COMPONENT

ASHOK LEYLAND ISSUES BONUS TO EXPORT

VARIETY OF VEICHELES TO EXPORT:

COMMERCIAL VEICHELES OF ASHOK LEYLAND

THE GLOBAL NETWORK

LIGHT AND HEAVY VEICHELES TO EXPORT

COMMERCIAL VARIETIES OF BUSES TIPPERE AND TRUCKS

INTERNAL FACTORS OF ASHOK LEYLAND:

SUPPLIERS CORNER

POWER SOLUTION

CORPORATE NEWS OF EXPORT POTENTIAL

SALES UPDATE

DEALERSHIPS

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SERVICE CENTERS

DEALERS LOCATORS

SALES AND SERVICE

AUTOSHOW 2012

COMMUNITY OVERVIEW

JOINT VENTURES

LEGENDARY VIEW OF THE COMPANY:

ASHOK LEYLAND AND LEGENDARY COMPANY

HINDUJA GROUP IN RELATION WITH LETLAND

EURO RATIO OF ASHOK LEYLAND

OVERVIEW:

CONCLUSION

ANNEXURE

Mr .Raghunandha Saran the Founder of Ashok leyand

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AN EXECUTIVE SUMMARY

The automobile industry world over has been an important component of economics,

though the determinants vary in different countries. India has been substantially

dependent upon transfer of technology and import of raw materials and components

of advance nations to initiate imperatives of export competitiveness pose major

challenges in respect of import dependent sectors such as the automobile sectors.

Given that the Indian automobile industry has had an export led development and is

marked by low and medium scales of operations and high degree of industry

concentration, export performance of individual firm’s gains importance. According

to experts even if necessary product attributes exist propensity to take risk and

continuous market development costs are essential to sustain effective export market

performance. While the Indian automotive firms were not placed in respect of the

above factors, some manufacturers took up exports of automobiles in right earnest.

Such willingness was more pronounced in the jeep and commercial sectors while

Indian products fulfilled the needs of certain markets for low priced functional

models.

With the de-licensing of the automobile industry in 1993, the industry moved into top

gear. There is a rush in automobile majors to tie up with local producers both as a

growing market and as a part of their global operations. Most foreign producers

coming in India have chalked out plans to use India as a major procurement platform

for their world wide operations both for cars and auto compon The early phase of the

evolution of the motor vehicle industry in India has many similarities with some of

the the late entrants into the industry. The subsequent development however has been

significantly different in India with its emphasis on high level of indigenization and

ancillary development.

The origin of the automobile industry in India can be tracked to 1942 when Hindustan

limited was established in Baroda. This was followed by the establishment of Premier

Automobiles Limited in 1949 and Standard Motors Private Limited.

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There were nine units engaged in the manufacture of Motor Vehicles:

i. Hindustan motors

ii.Premier Automobiles

iii. Standard Motor Products

iv. Ashok Leyland

v. Telco

vi. Bajaj Tempo

vii. Mahindra & Mahindra

viii. Simpson & Company Limited

ix. Enfield Motor Limited

x.

EVOLUTION OF THE INDUSTRY

INITIAL YEARS

Cars regarded as luxuries

Manufacturing was licensed ; capacity expansion restricted

Imports of cars was restricted to State Trading Corporations & Foreign Diplomats

High customs duty

Steep excise duty & sales tax

Market dominated by two players = Premier auto & Hindustan motors

1980's

Entry of Maruti Udyog ltd. better product at lower price ; enjoyed Govt. support

Sellers market

Long waiting periods

Limited choice

Restrictions on capacities

License requirements

High import duties

Auto finance becomes available but is limited to a few players

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MUL captured a major market share; PAL and HM were able to maintain volumes

1990's

Cars perceived as necessities

Still a sellers market

Long waiting periods continue

Development of the mid price & luxury segment

Increase in competition with the entry of foreign manufacturers especially after

the mid 90's

Superior models & more choice

Auto finance booms = more players (foreign banks & NBFC); better schemes

De-licensing in 1993

Removal of capacity restrictions

Decrease in custom & excise duties

2000 onwards

Buyer's market

Drop in waiting period

Market segmentation to change from being price based to being size based

Shake out in the industry

Increase in indigenization

Technologically superior & more comfortable models , internationally comparable

models.

Regulatory framework to be completely relaxed

INDIAN AUTOMOBILE INDUSTRY: A REVIEW

The Automobile Industry in India, since the inception in 1948 has faced several

constrains and problems but has resolutely bounced back to emerge as them.

Engine of Growth in the national economy

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With its far reaching forward and backward linkages the automobile industry has

come to play a very important role in the economic development of the country. The

following table showing collective turnover of automobile and auto component

industry during the last five years gives a measure of the impressive growth achieved

its importance in the Indian economy.

Indian Automobile Industry showed a growth rate of +20% in the period form 1993 to

1996. Thereafter especially from the second half of 1996 there has been a slow down

in the growth rate.

This has aggravated further in 1997-98 and the down turn countries in the 1 st quarter

of 1998-99.

The new joint venture like Daewoo, General Motors, Mahindra Ford, Hyundai, Honda

Siel, Volvo, Mitsubishi are slowing settling down and planning to invest substantiated

amounts in the forthcoming years. Existing manufacturers are also planning to expand

their capacity. A conducive business environment is essential for the success of their

venture. Manufacturers are looking forwards a revival in the industry. With a support

promised by the government, industry hopes that it has revive its position in the

market at least in the forthcoming months.

GROWTH RATE FOR 2007-08

Category % Rate

M&HCV 10

LCV -4

Cars 50

Jeeps -34

Scooters 41

Motorcycles 41

Mopeds -27

3 wheelers 30

RESEARCH METHODOLOGY

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RESEARCH DESIGN

To conclude with the answers to the various Questions like:

Strategies needed to be effective in automobile industry.

Level of importance of each of these strategies

Identification of how these strategies can be applied

Identification of how companies are capable of applying these strategies

DESCRIPTIVE R ESEARCH

An exploratory study is generally based on secondary data that are readily

available.

The research that was conducted was essentially internet based and literature based.

Various RSS feeds, books and news were interpreted and an incessant look was kept at the Google alerts

LIMITATIONS OF THE RESEARCH

There was a lot of difficulty in conducting the research.

The secondary data is not always correct so a lot of cross checking had to be

done to find the correct data.

All the books were not accessible for secondary research so online

downloading the books had to done

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CURRENT SCENERIO

2000 onwards

Emergence of a new Automobile industry

1. Manufacturing Technologies: Flexible Manufacturing

2. New Generation of Engines: Turbo Charging, Catalytical converter

3. Safety emissions norms

4. Material: Low weight Synthetic composites

5. New Collaboration: Entry of Foreign Manufacturers

6. Regulatory Frame: Deregulations and De-licensing

7. Changing Structure of Demand

8. Distribution System: Changing relation between Manufacturers and Dealers.

THE INDIAN INDUSTRY

THE AUTOMOBILE CORPORATE HOUSES OF INDIA

1. ASHOK LEYLAND LIMITED

Products Manufactured: a. Light, Medium & Heavy

Duty Commercial Vehicles

b. Spare Parts

c. Diesel Engines

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d. Ferrous Castings

Details of Collaborations

Name of Collaborator : Iveco SpA, Italy

Products : Engines, Commercial Vehicles

HISTORY OF INDIAN EXPORTS

India began exporting CV's in the early 1950's. Telco and Ashok Leyland initiated

serious efforts for export of vehicles in the early 1960's and could secure a serious

foothold in the countries of South Africa, Middle East and other third world countries.

Continuous upgradation of technologies to suit Indian and Third World operating

conditions, coupled with steadily increasing domestic volumes enabled these firms to

sustain their export presence in the face of international competition. HM also

initiated export initiative in 1968 but eventually focused on exports to Bangladesh.

The inability to sustain a wider export presence has been due to obsolescence of

technology and collapse of domestic volumes.

Mahindra and Mahindra made a modest beginning in 1968. Besides South Asia and

the Middle East Countries, M & M targeted East European countries and Oceania. M

& M is strategy was to export through CKD assembly activities in such markets.

Potential markets in New Zealand, Sri Lanka, Indonesia, Greece and Iran were tapped

through the CKD exports and the local assembly route in 1970. M & M also set up a

subsidiary in Greece in the 1980's to cater to CKD assembly in Greece and also to

supply to other European countries. The company also obtained approvals for

homologation in Australia, were efforts were on for similar approvals in some EEC

countries.

In the car sector MUL achieved a major breakthrough by exporting its 800 cc cars and

vans to France and other European countries. More recently it has successfully

exported the new Maruti ZEN or ALTO which now contributes around 40% to

Maruti's exports.

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The export performance of the individual manufacturers has been inconsistent.

Though a high level of exports was achieved by exporting manufacturers during

1975-80, the momentum could not be sustained in the 80's. The basic reason for this

was a basic instability in export markets with repeat purchases being irregular.

In the MCV sector both Telco and Ashok Leyland have operated in the export

markets against stiff international of their technology strategy.

HM exports were confined to Bangladesh of the Bedford range of trucks. This was

due to the low price, suitability for loading conditions, proximity of manufacturing

works at Calcutta, to Bangladesh and extensive parts network through Bedford

dealership.

Both Telco and Ashok Leyland targeted increase in exports as a strategic objective.

Telco encouraged its associate concern, Automobile Corporation of Goa. Limited, to

enter into technical collaboration with Fuji Heavy Industries of Japan for export of

quality bus bodies. Telco also envisaged that its new range of indigenously developed

utility vehicles would mark its new thrust in global markets.

Ashok Leyland had also stated that- their overseas links with shareholders would

support a greater export thrust. In the wake of the recent changes and liberalization of

the automobile sector, the new joint ventures have greater export thrusts. There is

however a number of stumbling blocks in faster export growth. Firstly, the vehicles

require conformance to emission norms and safety standards. This requires

upgradation in the quality of present vehicles, e.g. four stroke engine two-wheelers

need to be produced as they are best suited to meet the above norms.

Secondly, the models being produced under joint ventures are outdated in the world

market, e.g. Peugeot plans to manufacture its 309 model which has been phased out

in France. Though there are joint ventures like that between DCM and Daewoo

which will produce the widely accepted Cielo. Daewoo plans to shift’ it’s production

base for Daewoo in the near future.

Thirdly Indian exports need to become cost in competitive in order to face foreign

competition.Maruti's ZEN model is an example of the company's success in facing

competition.

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EXPORTS

Indian Vehicle has driven into the export market at a rapid pace. In five years, exports

have increased from 38,000 vehicles to 190,000. Export earnings are up from Rs. 4

billion to Rs. 16.7 billion.

Exports of Vehicles 1990-91 1996-97

Nos. in 000 Rs. Bn. Nos. in 000 Rs. Bin.

Cvs 6 1.9 15 7.8

Cars & Utilities 6 1.1 39 6.0

Two & Three Wheelers 26 0.8 146 2.9

Total 38 3.8 190 16.7

91-92 92-93 93-94 94-95 95-96 96-97

0

5000

10000

15000

20000

25000

30000

35000

40000

Cars

M&HCVs

LCVs

MUVs

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Source: AIAM

91-92 92-93 93-94 94-95 95-96 96-97

0

10000

20000

30000

40000

50000

60000

70000

Scooters

Motorcycles

Mopeds

3Ws

Such an attractive growth of 80% per annum in terms of numbers and 68% per annum

in terms of casings has been possible through four routes.

The Vehicles have met the technical requirements of road worthiness, safety and

emission norms in the destination countries.

The users have accepted the quality and performance of these vehicles.

The collaborators or the distributor’s networks in those countries have provided

channels for display and sales of Indian vehicles.

The relative currency, values and cost of production have made them extremely

competitive in the world markets.

The destinations have been spread over all the continents from Australia and New

Zealand to South East Asia, South America, Middle East, Africa and Europe. These

exports have added stability to the product portfolios of vehicle manufacturers and has

facilitated diversification' into every engine and tonnage segment.

Latest scenario in automobile sector

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De-licensing in 1991 has put the Indian automobile industry on a

new growth track, attracting foreign auto giants to set up their production facilities in

the country to take advantage of various benefits it offers. This took the Indian

automobile production from 5.3 Million Units in 2001-02 to 10.8 Million Units in

2007-08. The other reasons attracting global auto manufacturers to India are the

country’s large middle class population, growing earning power, strong technological

capability and availability of trained manpower at competitive prices.

In 2006-07, the Indian automotive industry provided direct employment to more than

300,000 people, exported auto component worth around US$ 2.87 Billion, and

contributed 5% to the GDP. Due to this large contribution of the industry in the

national economy, the Indian government lifted the requirement of forging joint

ventures for foreign companies, which attracted global to the Indian market to

establish their plants, resulting in heightened automobile production.

The Indian automobile market is currently dominated by two-wheeler segment but in

future, the demand for passenger cars and commercial vehicles will increase with

industrial development. Also, as India has low vehicle presence (with passenger car

stock of only around 11 per 1,000 population in 2008), it possesses substantial

potential for growth.

DESTINATION OF EXPORTS

Destination Value (Rs. '000)

Africa Rs. 542,147

South East Asia Rs. 231,825

West Asia Rs. 69,758

West Europe Rs. 2,039,905

East Euiope Rs. 338,293

America Rs.105,212

Others Rs. 313,015

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Exports are profitable and all manufacturers are entering the export market to a

varying extent, offering a different product range. The prices of Indian products are

one third to one half of other vehicles in the world markets. They would be even

more competitive now with the changing, currency rates.

All category of vehicles nave contributed to this growth. Cars exports have been

largely by Maruti. The objectives of the new car joint ventures are not only to

capitalize on the opportunities in the Indian market but also to use the production

facilities and infrastructure in India as a major supplier to their global operations.

PAL-Peugeot. Mercedes-Benz India and General Motors India are planning to export

sizeable portion of their cars. MBI is also supplying gears and diesel engines to

TELCO and TELCO are supplying to MBI engine components, axles, transmission

gears, sheet metal parts and painting facilities. Both are mutually helping each other

in promoting exports. Daewoo Motors will export a large number of vehicles and, in

addition transmission and engines to other Daewoo facilities world-wide. All players

in the commercial vehicles sector have contributed their share in building up exports.

Among the utilities exports, Maruti has been the leader.

Escorts are the largest exporter of motor cycles, followed by Hero Honda and Bajaj

Auto. Majestic Auto are the largest exporter of mopeds. It exports, CKD kits to forty

two countries including Brazil, Mauritius. Iran, Egypt and Argentina and are now

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exploring North America and Europe. Bajaj Auto is the largest exporter of Scooters,

followed by Kinetic Honda who use Honda's export network to access exports

markets. for Bajaj Auto Limited (BAL), exports are becoming a focus area. In last

four years, exports have gone up from 1% to 4%. Bajaj exports to fifty countries and

has major presence in fifteen of them.

Despite such an encouraging export performance, the volumes have been small and

marginal compared to world standards. Most of these exports by the manufacturers

and joint ventures are pioneering efforts and have yet to grow in volumes and market

shares.

While vehicles have met statutory and technical standards, they have to achieve a

breakthrough in finish and offer comfort and convenience features to which customers

in the export markets are accustomed. Large scale exports of four wheelers is not

possible without world class products, know how and engineering or access to the

foreign market network, and unless domestic base is large enough.

Quality Control & Pre-shipment Inspection Formalities

The quality control and pre-shipment inspection procedure applicable to transport

equipments is In-Process and Quality Control. Under this system the exporter is

required to get the goods inspected at various stages of manufacture. Industrial units

approved as export worthy by the specified panel of the inspection agency are

required to keep a record of the process undertaken during manufacture for constantly

monitoring the quality of the product at every stage of production, beginning from the

procurement of raw materials till the stage of packaging of the finished products. The

officer of the export inspection agency inspects from time to time the systems of

quality controls being introduced and followed by such units and ultimately the units

get the certificate of inspection without in depth inspection at the final stage,

depending upon the record of steps for quality control taken by them from time to

time.

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The exporter of the manufacturing units has to apply for registration as export-worthy

units. The certificate of registration is granted by the Export Inspection Agency after

being satisfied that the industrial unit or the exporter has proper facilities for

undertaking manufacture of the product to be exported and maintains appropriate

testing laboratory to control the quality of the product to be exported at each stage of

processing. The Export Inspection Agency after receiving the application for

recognition as export-worthy unit normally collects information and data as the

production facilities of the unit and nominates a panel of experts for inspection of the

unit. Once the production unit has been declared export-worthy the procedure for

receiving export inspection certificate becomes very easy for such units. The exporter

has to send the notice of intimation to the council along with:

(i) inspection form (or the pass book for debiting the fee)

(ii) an export contract

(iii) an invoice

(iv) a copy of the certificate of export-worthiness issued by the agency.

The exporter receives the inspection certificate in triplicate for his use. The

certificates are now issued in the aligned format as per the new standardized pre-

shipment export documents.

To encourage more units to adopt PQC system, the units are now being provided the

necessary technical assistance by the Export inspection Agencies.

Export Analysis

Railways, Tramways, Locomotives etc Equipment and parts thereof: Indian exports of

the above category of items have been falling at the rate of 7.60 per cent annually for

last three years. This is due to the fact that India is mainly exporting spare parts and

components of old equipment, which is in the process of being phased out in most of

the developed countries and hence is not economically viable for them to

manufacture. Such items are therefore imported from countries like India where

similar equipment is still being used and manufactured extensively. As years pass

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export of these components is bound to fall and we safely conclude that the future

export potential to the developed world are some-what bleak whereas in the

developing world the export potential still exists. For instance in countries in the CIS

region they are still using the outmoded technology to a large extent because the

existing manufacturing facilities are very nearly closed due to coordination problems

after the break up of USSR. These countries could therefore turnout to be major

destinations for India’s exports atleast in near future. Indian locomotives (current) are

of an advanced category as compared to some countries like Vietnam, Bangladesh etc.

This future potential should be fully exploited by Indian companies, who have a

relatively low cost per unit as compared to their competitors. As an industry, the

transport sector has three challenges:

The investment challenge, the quality challenge and the technology challenge

INDIA’S EXPORT CLASSIFIED UNDER INDIAN EXPORT AND

WORLD IMPORT GROWTH RATE COMBINATIONS

Type of

combination

SITC Code Name of the item Remarks

High-Low 781* Passenger motor vehicle excluding buses India’s growth rate of

exports high or very high,

while world

782* Lorries special motor vehicles export growth rate is low,

negligible or negative.

India’s

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784* Motor vehicle parts accessories expansion mainly at the

expense of competitors.

895* Office supplies

RECOMMENDATIONS

RESEARCH & DEVELOPMENT

The expenditure incurred by the automobile manufacturers on R & D is not

significant. One of the reasons could be that most of the technology is obtained

through transfer from foreign manufacturers through collaborations. The amount of

royalty payments being high, the manufacturers do not intend to spend time or money

on R & D as all the least technology reaches them through their foreign counterparts.

But if the automobile industry people want to get their product accepted in the world

market, they will have to develop their R&D facilities. For this cause the Government

of India should give some benefits in the form of tax rebates to those who work for

the cause of R&D or open workshop for carrying on the research process.

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INTERNATIONAL ADVERTISEMENT

The Indian Automobile manufacturer should go for a thorough advertisement, while

keeping world standard in the cognigence i.e. the Peugeot 306 T.V. commercial many

times seen during the Grand Slam, a beautiful female stopping her car, opting for

hitch hiking just to sit in that marvously designed car. Then there was an

advertisement of BMW a rat walking on the steering and enable to stop it free

movement, depicting the extent of luxury it provide. Another internationally

acclaimed T.V. commercial was of Rolls-Royce made by advertising king Ogilvy &

Mather showing a car running at 60 miles an hour and the only audible voice was of

the electronic clock.

TESTING TRACKS

Indian testing tracks and reliability test equipment are not up to world standards. The

automobile industry collecting should make world standard tracks and maintain them.

If these are made no doubt the export of vehicles from India will get a major boost.

Along with the test track some good race track should also be made. The only good

tracks available for racing is in Chennai and one in Calcutta is under process. These

depict in the kind of performance the vehicles are capable of giving.

EXPORT STRATEGY

The following action plan is suggested to increase India’s share of automotive

components:

1) The Indian manufacturers should approach the OEMs of vehicles and try to

convince them about the quality and reliability of their products as the

replacement markets also mostly depend on the success achieved in supplying

original equipment to the vehicle manufacturers. In order to make a dent in the

market, a workshop on automotive components from India should be organized.

The Indian companies should also bring with the samples to display their

capabilities.

2) The directives and exhaust emission regulations for automobiles are being

enforced in many Member States. Indian manufacturers would be required to

obtain type approvals, particularly in the field of automotive safety, environment

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protection and fuel efficiency. Indian testing laboratories are to be upgraded and

institutional linkages among the identified Indian testing laboratories (i.e.

Automobile Research Association of India. Central Institute of Road Transport

and Vehicle Research Development) have to be established with their counterpart

agencies.

3) Indian standards on automobiles and the technical standards are to be compared

and explained to the Indian manufacturers. Ways and means of achieving these

standards are to be explained to the industry. A workshop should be held in India

to inform the Indian manufacturers of the technical developments in the world

market.

4) Focus on our participation in the international trade fairs has to be sharpened to

project the capabilities of the Indian manufacturers and to place them in the

appropriate market slot. Participation in Autoauslung (FranKfurt).

Automechanica (Frankfurt),Auto Partec (Birmingham), SITEV (Geneva), etc. has

to be organized in a more coordinated manner.

5) The Indian firms having collaborations with the European firms should make use

of these arrangements to enter the markets as the products manufactured under

such collaborations would find an easy entry.

6) Indian companies should organize a well coordinated distribution system to meet

the quick delivery schedules, large workshops and garages, warehousing facilities

should be utilized for effecting quick deliveries.

GOVERNMENT POLICY

India has made significant strides in the field of industry and technology over nearly

four decades. Large investments in the industrial and infrastructural sectors with

emphasis on heavy and basic industries have brought about an enormous

transformation in the industrial scene. India’s progress in the fields of power

generation, fertilizer, petrochemical, steel, cement, sugar, space research and transport

industries has been remarkable and mainly due to the efforts of both the Government

and the industry by way of inducting and adopting modern technology best suited for

the purpose.

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Due to induction of modern technology in the automobile sector, the component

industry has grown sustainability and today auto components are manufactured not

only to cater to the domestic requirements but also for international makes and

models. Extensive use of international makes and models. Extensive use of computer

integrated design and manufacturing has resulted in quality precision components.

Automobile components are also being developed to specific buyers’ requirements

and exported to all countries in the world.

The Indian industry has been freed of many controls and the present

industrial policy of the Govt. of India has among others, made foreign investment

very conducive. Foreign ownership of upto 51% of a venture has been approved for

high priority industries ranging from machinery to chemical and metals. The advent

of the 51% equity limit coupled with faster approval processes has significantly

increased foreign investments in India particularly for development of machinery and

component for the export market.

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Type Public

Traded asBSE: 500477

NSE: ASHOKLEY

Industry Automotive

Founded 1948

Headquarters Chennai, Tamil Nadu, India

ProductsAutomobiles

Engines

Revenue 2.5 billion

Employees 1,15,812 (2011)

Parent Hinduja Group

Subsidiaries

Ennore foundries Limited

Automotive Coaches and Components

Limited

Gulf-Ashley Motors Limited

Ashley Holdings Limited

Ashley Investments Limited

Ashley Design and Engineering Services

(ADES)

Avia Ashok Leyland

Ashok Leyland Defence Systems (ALDS)

Ashok Leyland Project Services Limited

Lanka Ashok Leyland[1]

HISTORY OF ASHOK LEYLAND

(NSE: ASHOKLEY, BSE:500477) is a commercial vehicle manufacturing company based inChennai,

India. Founded in 1948, the company is one of India's leading manufacturers of commercialvehicles, such as

trucks and buses, as well as emergency and military vehicles. Operating six plants,Ashok Leyland also

makes spare parts and engines for industrial and marine applications. It sells about60,000 vehicles and about

Ashok Leyland Modern Truck Ashok Leyland Modern Truck

Ashok Leyland Comet tank truck in Nepal A fire truck in India manufactured by Ashok Leyland

Iraq Army Ashok Leyland truck An Ashok Leyland city bus in Cochin

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Ashok Leyland city bus as part of Jaipur BRTS An Ashok Leyland bus run by the Chennai Metropolitan Transport Corporation

Following the independence of India, Pandit Jawaharlal Nehru, India’s first Prime Minister, persuaded Mr Raghunandan Saran, an industrialist, to enter automotive manufacture. The company began in 1948 as Ashok Motors, to assemble Austin cars. The company was renamed and started manufacturingcommercial vehicles in 1955 with equity participation by British Leyland. Today the company is the flagship of the Hinduja Group, a British-based and Indian originated transnational conglomerate.

Early products included the Leyland Comet bus which was a passenger body built on a truck chassis, sold in large numbers to many operators, including Hyderabad Road Transport, Ahmedabad Municipality, Travancore State Transport, Bombay State Transport and Delhi Road Transport Authority.

By 1963, the Comet was operated by every State Transport Undertaking in India, and over 8,000 were in service. The Comet was soon joined in production by a version of the Leyland Tiger.

In 1968, production of the Leyland Titan ceased in Britain, but was restarted by Ashok Leyland in India.

The Titan PD3 chassis was modified, and a five speed heavy duty constant-mesh gearbox utilized, together with the Ashok Leyland version of the O.680 engine. The Ashok Leyland Titan was very successful, and continued in production for many years.

Over the years, Ashok Leyland vehicles have built a reputation for reliability and ruggedness. This was mainly due to the product design legacy carried over from British Leyland.

Ashok Leyland had a collaboration with the Japanese company Hino Motors from whom the technology for the H-series engines was bought. Many indigenous versions of H-series engine were developed with 4 and 6 cylinder and also conforming to BS2 and BS3 emission norms in India.

There engines proved to be extremely popular with the customers primarily for their excellent fuel efficiency.

Most current models of Ashok Leyland come with H-series engines.

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An Ashok Leyland bus run by the Chennai Metropolitan Transport Corporation

In 1987, the overseas holding by Land Rover Leyland International Holdings Limited (LRLIH) was taken over by a joint venture between the Hinduja Group, the Non-Resident Indian transnational group and IVECO Fiat SpA, part of the Fiat Group and Europe's leading truck manufacturer.

Ashok Leyland’s long-term plan to become a global player by benchmarking global standards of technology and quality was soon firmed up.

These vehicles used Iveco engines and for the first time had factory-fitted cabs. Though the Cargo

trucks are no longer in production and the use of Iveco engine was discontinued, the cab continues to

be used on the 'ecomet' range of trucks. In the journey towards global standards of quality, Ashok Leyland reached a

major milestone in 1993 when it became the first in India's automobile history to win the ISO 9002

certification. The more comprehensive ISO 9001 certification came in 1994, QS 9000 in 1998 and

ISO 14001 certification for all vehicle manufacturing units in 2002. In 2006, Ashok Leyland became the

first automobile company in India to receive the TS16949 Corporate Certification.Editor’s note: This is

part of a series of articles peeking into clean car industries and car manufacturers of China, India, South

Korea and Germany. Among many other goals, Ashok Leyland aims to expand its operations to

penetrate into overseas markets. Included in the company’s plans is to acquire smaller car

manufacturers in China and in other developing countries. In October 2006, Ashok Leyland bought a

majority stake in the Czech based- Avia. Called Avia Ashok Leyland Motors s.r.o., this will give Ashok

Leyland a channel into the competitive European market. According to the company, in 2008 the joint

venture sold 518 LCVs in Europe despite tough economic conditions. Furthermore, the company will

expand its product offers into construction equipment, following a joint venture with John Deere.

Newly formed in June 2009, the John Deere partnership is a 50/50 split between the companies. The

company says negotiation is progressing on land acquisition, and the production plans are in

place. The venture is scheduled to start rolling out wheel loaders and backhoe loaders in October

2010. Aside from the full

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expansion planned for the company, Ashok Leyland is also paying close attention to the environment.

In fact, they are one of the companies showing the strongest commitment to environmental protection,

utilizing eco-friendly processes in their various plants. Even as they thrust into different directions,

Ashok Leyland maintains an R&D group that aims to uncover ways to make their vehicles more fuel

efficient and reduce emissions. In fact, even before laws were placed on car emissions, Ashok Leyland was

already producing low- emission vehicles. Back in 1997, they have already released buses with quiet

engines and low pollutant emission based on the CNG technology. In 2002 it developed the first hybrid

electric vehicle. Ashok Leyland has also launched a mobile emission clinic that operates on highways

and at entry points to New Delhi. The clinic checks vehicles for emission levels, recommends

remedies and offers tips on maintenance and care. This work will help generate valuable data and garner

insight that will guide further development. When it comes to the development of environmentally friendly technologies,

Ashok Leyland has developed Hythane engines. In association with the Australian company Eden

Energy, Ashok Leyland successfully developed a 6-cylinder, 6-liter 92 kW BS-4 engine which uses

Hythane (H-CNG,) which is a blend of natural gas and around 20% of hydrogen. Hydrogen helps

improve the efficiency of the engine but the CNG aspect makes sure that emissions are at a controlled level.

A 4-cylinder 4-litre 63 KW engine is also being developed for H-CNG blend in a joint R&D program

with MNRE (Ministry of New and Renewable Energy) and Indian Oil Corporation.

The H-CNG concept is now in full swing, with more than 5,500 of the technology’s vehicles running

around Delhi. The company is also already discussing the wide-scale use of Hythane engines with the

Indian government. Hythane engines may be expected in the near future, but these may not be brought

to the United States as yet. Ashok Leyland’s partnership with Nissan is also focusing on vehicle,

powertrain, and technology development listed under three joint ventures. With impressive investment,

the joint ventures will focus on producing trucks with diesel engines that meet Euro 3 and Euro 4

emission standards.

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In the coming years, Ashok Leyland also has some hybrid trucks and buses in store for its market. The

buses and trucks are set to feature a new electronic shift-by-wire transmission technology as well as

electronic-controlled engine management for greater fuel efficiency. Ashok Leyland focuses on

improving fuel efficiency without affecting automotive power, and the vehicles will have a 5%

improvement on fuel efficiency. Ashok Leyland is also developing electric batteries and bio-fuel

modes.

Ashok Leyland Ltd’s March quarter results were expected to be impressive, as its monthly vehicle

output reports had indicated a 138% jump in volumes. But what impressed was its net profit growth of

317%, to Rs223 crore, over the year-ago period, even as sales rose by 139%. Ashok Leyland’s

operating profit margin rose to 13% compared with 10.5%. Higher volume growth, a better product

mix due to higher sales of multi-axle vehicles and tractor trailers, and cost reduction were key reasons

for margin expansion. its estimate for volume growth in 2011 is conservative, at 15% compared with

over 30% in FY2010.

Around 1,200 buses under the Jawaharlal Nehru National Urban Renewal Mission scheme are yet to

be delivered of the 5,098 ordered. Besides, it has orders on hand from state transport undertakings for

another 2,000 buses. The firm is investing to increase its capacity, with Rs1,200 crore proposed for

expansion plans over the next two years; mainly to increase output of engines and new generation

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cabs. Besides, it plans to invest Rs800 crore in joint ventures. Analysts believe that its Uttarakhand

plant is expected to deliver 22,000-25,000 vehicles in fiscal 2011, in its first full year of operation. The

company has also steadily gained market share, from 21-22% in the first quarter of 2010 to 28-29% in

the fourth quarter. One concern is that it is not yet a strong player in the eastern market. Besides, the

southern market, traditionally its stronghold, has grown by only 15% in volume terms in 2010. The rest

of India (mainly north and west) grew by 40% during the year.

An Ashok Leyland-Nissan joint venture produced light commercial vehicles (LCVs) from the former's

Hosur facility near Bangalore as well as from Renault-Nissan's car plant near Chennai.

Current status

Inter-city luxury bus

Ashok Leyland is the second technology leader in the commercial vehicles sector of India. The history

of the company has been punctuated by a number of technological innovations, which have since

become industry norms. It was the first to introduce multi-axled trucks, full air brakes and a host of

innovations like the rear engine and articulated buses in India. In 1997, the company launched the

country’s first CNG bus and in 2002, developed the first Hybrid Electric Vehicle.

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The company has also maintained its profitable track record for 60 years. The annual turnover of the

company was USD 1.4 billion in 2008-09. Selling 54,431 medium and heavy vehicles in 2008-09,

Ashok Leyland is India's largest exporter of medium and heavy duty trucks. It is also one of the largest

private sector employers in India - with about 12,000 employees working in 6 factories and offices

spread over the length and breadth of India.

The company has increased its rated capacity to 105,000 vehicles per annum. Also further investment

plans including putting up two new plants - one in Uttarakhand in North India and a bus body building

unit in middle-east Asia are fast afoot. It already has a sizable presence in African countries like

Nigeria, Ghana, Egypt and South Africa.

Ashok Leyland has also entered into some significant partnerships, seizing growth opportunities offered by diversification and globalization – with Continental Corporation for automotive infotronics; with Alteams in Finland for high pressure die casting and recently, with John Deere for construction equipment.[3]

As part of this global strategy, the company acquired Czech Republic-based Avia's truck business. The newly acquired company has been named Avia Ashok Leyland Motors s.r.o. This gives Ashok Leyland a foothold in the highly competitive European truck market.

In 2010 Ashok Leyland acquired a 26% stake in the British bus manufacturer Optare, a company based on the premises of a former British Leyland subsidiary C.H.Roe. In December 2011 Ashok Leyland increased its stake in Optare to 75.1%.

The Hinduja Group also bought out IVECO's indirect stake in Ashok Leyland in 2007. The promoter shareholding now stands at 51%. Leyland has a state of the art research and development center at Vellivoyal Chavadi which is located near Chennai.

Nissan Ashok LeylandIn 2007, the company announced a joint venture with Japanese auto giant Nissan (Renault Nissan Group) which will share a common manufacturing facility in Chennai, India. The shareholding structures of the three joint venture companies are:

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Ashok Leyland Nissan Vehicles Pvt. Ltd., the vehicle manufacturing company will be owned 51% by Ashok Leyland and 49% by Nissan

Nissan Ashok Leyland Powertrain Pvt. Ltd., the powertrain manufacturing company will be owned 51% by Nissan and 49% by Ashok Leyland

Nissan Ashok Leyland Technologies Pvt. Ltd., the technology development company will be owned 50:50 by the two partners.

Dr. V. Sumantran, Executive Vice Chairman of Hinduja Automotive Limited and a Director on the Board of Ashok Leyland is the Chairman of the Powertrain company and he is on the Boards of the other two JV companies. The venture, once it takes off, will be one of the largest investments made in automotive field in the country

BUSAshok Leyland announced iBUS in the beginning of 2008, as part of the future for the country's increasingly traffic-clogged major cities. Its Rs 60-lakh, iBus, a feature-filled, low-floor concept bus for the metros revealed during the Auto Expo 2008 in India, a vehicle for a first production run of pilot models should be ready by the end of this year. The start of full production is scheduled for 2009. Developed by a team of young engineers, the low-floored iBus will have the first of its kind features, including anti-lock braking system, electronic engine management and passenger infotainment. The executive class has an airline like ambience with wide LCD screens, reading lights, audio speakers and, for the first time, Internet on the move. A GPS system enables vehicle tracking and display of dynamic route information on LCD screens, which can also support infotainment packages including live data and news. The bus will probably be equipped with an engine from the new Neptune family, which Ashok Leyland also introduced at this exhibition, which are ready for the BS4/Euro 4 emission regulations and can be upgraded to Euro 5.[4]

U-TruckAshok Leyland, announced sale of vehicles on the new U-Truck platform from November,2010 with the rolling out of the first set of 10 models of tippers and tractor trailers in the 16 – 49-tonne segment.Further, another 15 models are set to enter the market in the next 12 months.

DostDOST is a 1.25 ton light commercial vehicle (LCV) that is the first product to be launched by the Indian-Japanese commercial vehicle joint venture Ashok Leyland Nissan Vehicles. Dost is powered by a 55 hp high-torque, 3-cylinder, turbo-charged Common Rail Diesel engine and has a payload capacity of 1.25 Tonnes. It is available in both BS3 and BS4 versions. The LCV is being produced in Ashok Leyland's plant in Tamil Nadu's Hosur. The LCV is available in three versions with the top-end version featuring air-conditioning, power steering, dual-colour of a beige-gray trim and fabric seats. With the launch of Dost Ashok Leyland has now entered the Light Commercial Vehicle segment in India[5][6][7][8][9]

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Ashok Leyland Defence Systems

An Indian road-mobile launcher with a ballistic missile

Ashok Leyland Defence Systems (ALDS) is a newly floated company by the Hinduja Group. Ashok Leyland, the flagship company of Hinduja group, holds 26 percent in the newly-formed Ashok Leyland Defence Systems (ALDS). The newly floated company has a mandate to design and develop defence logistics and tactical vehicles, defence communication and other systems.[10] Ashok Leyland is the largest supplier of logistics vehicles to the Indian Army. It has supplied over 60,000 of its Stallion vehicles which form the Army's logistics backbone.[11]

Facilities The company has seven manufacturing locations in India:

o Ennore and Hosur, Tamil nadu (Hosur - 1, Hosur - 2, CPPS)o Alwar , Rajasthano Bhandara , Maharashtrao Pantnagar , Uttarakhand

Ashok Leyland's Technical Centre, at Vellivoyalchavadi (VVC) in the outskirts of Chennai, is a state-of-the-art product development facility, that apart from modern test tracks and component test labs, also houses India's one and only Six Poster testing equipment

The company had an Engine Research and Development facility in Hosur, which was shifted to VVC, Chennai.

The company has signed an agreement with Ras Al Khaimah Investment Authority (RAKIA) in UAE for setting up a bus body building unit in the Middle East.

LeadershipFrom April 1, 2011 Mr. R. Seshasayee was handed over the responsibility of Executive Vice Chairman of Ashok Leyland, passing over the responsibility of Managing Director to Mr. Vinod Dasari. Mr. Seshasayee was the MD since 1998. Under his leadership the company has expanded from a purely India-centric company to a company with global focus. Mr. Seshasayee was also the President of CII (Confederation of Indian Industry), the apex body representing Indian Industry for the year 2006-2007.

Page 33

The following are the other functional heads at Ashok Leyland:

1. Mr. Vinod Dasari - Managing Director2. Mr. K.Sridharan- Chief Financial Officer3. Mr. J.N.Amrolia, Executive Director - Construction and Allied Businesses4. Mr. Anup Bhat, Executive Director - Strategic Sourcing5. Mr. S.Balasubramanian, Executive Director - Projects6. Mr. A.K.Jain, Executive Director - Project Planning7. Mr. R.R.G.Menon, Executive Director - Product Development8. Mr. N.Mohanakrishnan, Executive Director - Internal Audit9. Mr. M.Nataraj, Executive Director - Global Bus Strategy10. Mr. Rajindar Malhan, Executive Director - International Operations11. Mr. Rajive Saharia, Executive Director - Marketing12. Mr. Shekar Arora, Executive Director - Human Resources13. Mr. B.M.Udayashankar, Executive Director - Manufacturing14. Mr. A.R.Chandrasekaran, Executive Director - Secretarial and Company

Secretary

Achievements Ashok Leyland buses carry 60 million passengers a day, more people than the

entire Indian rail network Ashok Leyland has a near 85% market share in the Marine Diesel engines

markets in India In 2002, all the vehicle-manufacturing units of Ashok Leyland were ISO

14001 certified for their Environmental Management System, making it the first Indian commercial vehicle manufacture to do so.

In 2005, received the BS7799 Certification for its Information Security Management System (ISMS), making it the first auto manufacturer in India to do so.

In 2006, received the ISO/TS 16949 Corporate Certification, making it the first auto manufacturer in India to do so.

It is one of the leading suppliers of defence vehicles in the world and also the leading supplier of logistics vehicles to the Indian Army.

It is the largest manufacturer of CNG buses in the world.

Products(not exhaustive)

Luxura Viking BS-I - city bus Viking BS-II - city bus Viking BS-III -city bus Cheetah BS-I Cheetah BS-II Panther 12M bus Stag Mini Stag CNG 222 CNG Lynx

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Double Decker Vestibule bus Airport Tarmac Coach Gensets

Goods segment Comet 1611 1612 H 1613 H 1613 H/2 (12m Goods) 4/51 GS 1613 Taurus 2516/2 (6x4) Tipper CT 1613 H/1 & H/2 Bison Tipper 1613 ST (4x2) Taurus HD 2516MT/1 (6x4) Taurus 2516 - 6X4 2516 H (6X2) Taurus 2516 - 6 X 2 4018 Tractor Artik 30.14 Tractor Tusker Turbo Tractor 3516 ecomet 912 ecomet 111i 4921 U-Truck Tippers U-3123 U-2523 U-2518 U-1616 U-1618

THE BIRTH OF ASHOK LEYLAND

Founded by Raghunandan Saran, Ashok Motors was set up in collaboration with Austin Motor Company, England and incorporated on September 7th for the assembly of Austin cars.

1948 The first A40 assembled

Production began in September at the factory situated at Ennore, south of Madras, and soon the first indigenously assembled A40 Austin car was rolled out.

1949 Ashok Motors and Leyland, UK agree to collaborate

An agreement was reached between the two companies and Ashok Motors got sole rights to import, assemble and progressively manufacture Leyland trucks for seven years.

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1950 Assembly of Leyland chassis commences

The first Leyland chassis assembled by Ashok Motors at Ennore were four Comet 350-engines tippers sold to the Mangalore Tile Factory.

1951 Government approval for manufacture of commercial vehicles

The Government approved the progressive manufacture of Leyland commercial vehicles and a license for the manufacture of 1,000 Comets a year was granted.

1954 Ashok Motors becomes Ashok Leyland Named after Raghunandan’s son, Ashok, the company was renamed ‘Ashok

Leyland’ with equity participation from Leyland Motors, Ltd. 1955 India’s first double-decker arrives ‘Titan’ - The first Indian-made double decker with 50% indigenous

components was launched. 1967 A revolution in steering For the first time, power steering was featured on commercial vehicles. 1969 A specially designed vehicle for the Indian Army 1,000 numbers of the 6x4 ‘Hippo’ Tipper was designed and delivered to the

Indian Army based on its specific requirements. 1970 Production target upped to 10,000 vehicles a year The license to manufacture 10,000 vehicles a year was granted 1972 Turnover tops Rs. 1,000 million Ashok Leyland’s turnover for the first time crossed Rs. 1,000 million 1974 The Viking appears The ‘Viking’, the first ever bus with an alternator and a unique front overhang

that facilitated front entry hit the Indian roads. 1976 A Cheetah bounds into the frame India’s first rear-engine bus – ‘Cheetah’ was introduced with mixed reactions

from drivers. While it cut off much of the heat, their complaint was that they “could not hear the engine!”

1978 Hosur plant starts operations The Company’s second plant – Hosur 1 – was inaugurated by M. G.

Ramachandran, the then Chief Minister of Tamil Nadu. 1980 Two major new truck introductions India’s first 13-ton truck – ‘Tusker’ with a 125 hp engine was launched

followed by the country’s first multi-axle truck – ‘Taurus’. 1980 India’s first Vestibule bus introduced India’s first vestibule or the articulated bus was introduced ushering in a whole

new concept in urban travel. 1982 Manufacturing footprint expands northwards Two new manufacturing facilities at Bhandara (Maharashtra) and Alwar

(Rajasthan) were inaugurated in March and August respectively. 1982 Technical Centre ready

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The Company’s Technical Centre at Vellivoyalchavadi, on the outskirts of Madras was ready equipped with much-needed testing tracks.

1990 First Indian auto company to receive ISO 9002 certification This was followed two years later with the ISO 9001 Certification. 1993 First driver training facility set up The most comprehensive driver training facility in India’s private sector was

set up at Namakkal, right in the heart of Tamil Nadu’s trucking community. 1995 Hosur Plant II inaugurated The second plant at Hosur was inaugurated by the then Prime Minister, Deve

Gowda, in December. 1996 The Stallion rides for the Indian Army The Stallion, an all-terrain logistic vehicle, was inducted into the Indian Army. 1997 India’s first CNG bus launched As a major step in developing alternate fuel for mass transportation, India’s

first CNG-powered bus was handed over to the BEST (Brihan Mumbai Electricity Supply and Transport), Mumbai

1997 Another innovation in alternate fuel technology The country’s first Hybrid Electric Vehicle was developed and showcased at

Auto Expo 2002. 2002 First Indian auto company to receive BS 7799 certification For Information Security Management System 2005 A Stag crosses the border When the Srinagar – Muzzafarabad road route was open for traffic, the first

vehicle to cross from the Indian side was a Stag bus, flagged off by Prime Minister Dr. Manmohan Singh and UPA Chairperson, Mrs. Sonia Gandhi.

2005 Acquisition of AVIA The truck business of Czech Republic-based AVIA came into the Company’s

fold 2006 Agreement inked with Ras Al Khaimah Investment Authority For the setting up of a bus assembly plant in the UAE, which was later

inaugurated by Highness Sheikh Saud Bin Al Qasimi, Supreme Council Member and Ruler of Ras Al Khaimah in 2010.

2006 Joint Venture forged with Nissan Motor Company, Japan For manufacture and marketing of Light Commercial Vehicles 2007 Joint venture with Continental AG, Germany The JV was with then Siemens VDO, for the development of automotive

Infotronics. 2007 Carrying the dreams of a nation An Ashok Leyland double decker bus carried the victorious World T20 cricket

team, under the leadership of M S Dhoni, on their lap of honour through the streets of Mumbai.

2007 Joint Venture with the Alteams Group, Finland For the production of HPDC (High Pressure Die Casting) extruded aluminum

components.

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2007 Joint Venture inked with John Deere, USA For the manufacture of construction equipment products. 2008 Albonair, GmbH established For the development of clean and green technologies. 2008 India’s first Hybrid CNG Plug-in Bus Showcased at Auto Expo 2010 and later did service during the

Commonwealth Games moving VIPs and media at Pragati Maidan, New Delhi.

2010 Pantnagar plant inaugurated The Company’s modern, technologically world-class and largest plant went on

stream with a capacity to touch 75,000 vehicles. 2010 The U-Truck platform launch The new, future-ready U-Truck platform entered the market with the promise

of a holistically superior level of trucking. 2010 Stake in Optare plc. As part of its global bus strategy, the Company bought 26% stake in Optare

plc, a well-known bus maker in the UK. Subsequently, the stake was increased to 75.1% in January, 2012.

2010 A full range player with DOST Entry into the LCV segment. 2011 Enters the construction equipment space October 2011 saw the launch of a new brand – LEYLAND DEERE – and the

unveil of the first product from the Ashok Leyland – John Deere joint venture – the 435 Backhoe Loader.

2011 Jan Bus World’s first single step entry, front engine, fully flat floor bus unveiled by

Union Minister Shri Kamal Nath 2012 U-3723 Introduced India’s first 37-tonne haulage truck with the highest payload of up

to 27 tonnes 2012

INTERNATIONAL DEALERS IN EXPORT:

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Thank you for evincing interest in an Ashok Leyland Commercial Vehicle Dealership.

For close to six decades, Ashok Leyland has been a part of the Commercial Vehicle industry with pioneering technologies and product innovations including Multi-axle vehicles, Tractor trailers, CNG buses, Double Decker and Low floor buses. Ashok Leyland has chartered out a growth plan that will meet the demands of the market place; a growth plan that marks a focused drive to reach the 1,05,000 vehicle mark in the coming year.

What does this mean to you?

It is a fully-loaded opportunity that not only gives you great returns, but also the satisfaction that you play a big role in the networking of your country. So, if you have a passion for engineering tomorrows, welcome aboard.

To partner with Ashok Leyland, you need:

A suitably located and sizeable site area Capability to provide infrastructure conforming to Ashok Leyland’s standards And, most importantly, outstanding marketing and servicing capabilities in

the Automotive industryPlease find below the Ashok Leyland Dealership application form which we request you to fill and send across to us; on the basis of which we will determine if you meet the minimum requirements expected of an Ashok Leyland dealership. If your request is approved, we will present you with a Dealer Contract

International Operations:

Our growing international footprint is thanks to our success in producing vehicles ideally suited for varying foreign conditions and terrains. Exporting to over 30 countries worldwide, we are leaders in the bus markets of Sri Lanka, Bangladesh and Mauritius and have significant presence in the Middle East and Africa too. We are proud participants in the Bus Rapid Transport (BRT) system in Lagos, Nigeria, that is

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going a long way in providing better and comfortable city travel. We are now seeking to make inroads into CIS and Latin America.

AVIA Ashok Leyland Motors, headquartered in Prague, the Czech Republic, represents our European presence. The famous D- Series trucks are popular on the roads of Hungary, UK, Ireland, Slovakia, Spain, Czech Republic and soon in the Middle East.

With the Ras Al Khaimah Investment Authority, we have set up a state-of-the-art facility at Ras Al Khaimah, UAE, with an initial annual capacity to manufacture 2,000 vehicles of international quality.

The 75.1% stake in Optare plc., a leading bus maker in the UK, gives impetus to our global bus strategy to accelerate technology adoption, develop new products and address new markets.

INTERNATIONAL OPERATIONS OF ASHOK LEYLAND:

For over six decades, Ashok Leyland has been a technology leader in India's commercial vehicle industry, moulding the country's commercial vehicle profile by introducing technologies and product ideas that have gone on to become industry norms.

From 18 seater to 82 seater double-decker buses, from 2.5 tonne to 49 tonne in trucks, from numerous special application vehicles to diesel engines for industrial, marine and genset applications, Ashok Leyland offers a wide range of products.

Ashok Leyland buses carry over 70 million passengers a day. 700,000 Ashok Leyland vehicles keep the wheels of the economy turning.

Ashok Leyland vehicles are exported to over 30 countries worldwide. Recently, the Company has entered hitherto untapped markets - Honduras, for specially designed buses, Chile, Viet Nam and Angola. Significant presence is still maintained in Sri Lanka, Bangladesh, Mauritius and the Middle East.

AVIA Ashok Leyland Motors in Prague (Czech Republic) is the Company's beach head in Europe which produces and markets the famous D-Line series of trucks for the European markets including Hungary, UK, Ireland, Spain and Slovakia in addition to the Czech Republic.

The 75.1% controlling stake in Optare plc., a leading bus maker in the UK, gives impetus to the Company's global bus strategy. Optare, known for its innovative, weight-optimized 'Low Carbon' range of low-floor midi and city buses, are pioneers of low-floor double-deckers in the UK. This strategic partnership now enables Ashok Leyland to accelerate technology adoption, develop new products and address new markets.

Ashok Leyland has increased its global manufacturing footprint with the setting up of an

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integrated chassis and bus assembly plant in Ras-Al-Khaimah in the UAE with the capacity to produce 2000 buses annually. Strategically located, this plant will feed the growing demands of the GCC and African markets.

In the realm of design and engineering services, under the brand name 'Defiance' Ashok Leyland offers end-to-end solutions in the space of design, development, prototyping, testing and validation. In the US, the Company's Defiance Testing & Engineering provides high-end testing capabilities and Defiance Tech offers integrated Engineering Manufacturing Enterprise (EME) solutions.

Albonair GmbH: was established to be a complete solution provider for reducing automotive emissions and has, in the short period since inception, developed the complete solution for Selective Catalytic Reduction (SCR) and Urea Dosing System (UDS) conforming to Euro 4, 5 and 6 emission standards for commercial as well as passenger vehicles. Albonair has also succeeded in securing orders from Global OEMs and is gearing to develop and deliver the same.

DIVERSIFICATIONGrowth is sought through diversification, capitalizing opportunities afforded by adjacencies.

A significant development has been Ashok Leyland's entry into the high-growth Light Commercial Vehicle segment in partnership with Nissan Motor Company making Ashok Leyland a full range commercial vehicle player. The partnership has three separate companies for vehicle manufacturing, powertrain manufacturing and technology development. DOST, the first product from this partnership has hit the Indian market in October, 2011.

The 50/50 joint venture with John Deere marks the company's foray into the high-potential construction equipment business. The first product from this combine – the 435 Backhoe Loader has just hit the Indian market. Soon to follow will be a full range of 4-wheel loaders and excavators which will start rolling out from Leyland Deere’s

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state-of-the-art manufacturing facility at Goomdipoondi, near Chennai.

Ashok Leyland has also entered into a 50:50 Joint Venture with the Alteams Group, Finland, for the manufacture of High Pressure Die Casting (HPDC) extruded aluminum products pre-dominantly for telecommunication and automotive sectors. Another 50:50 Joint Venture, forged with Continental AG (that also includes Siemens VDO) is for the design, development and adaptation of Infotronic products and services for the transportation sector.

ASHOK LEYLAND SPARES TO EXPORT:

We export, import and distribute genuine Automobile Parts for off road and Heavy Duty Vehicles. Our company provides Ashok Leyland, Spare Parts for new generation Light Commercial Vehicle and Heavy Commercial Vehicle models - COMET, VIKING, CHETTAH, TUSKER, TAURUS, BEAVER, HIPPO, STAG, LYNX MODEL, CARGO 709,909 1612.

Leading Brands We Can Offer

Engine Parts: Ashok Leyland Genuine, IPL, Goetze, Usha, Anand, Bimite,

Gear Box Parts: Ashok Leyland Genuine, ZF

Pumps : Rane Power Steering Pump, Mico Fip, ZF, Ashok Leyland Genuine

Gears: Ashok Leyland Genuzne, Gajra Gears, Ramon and Demm

Bearings: Ashok Leyland Genuine, Timken, NBC, SKF, FAG, HMT, NTN, Koyo, NRB, RHP England Imported

Filters: Ashok Leyland Genuine, Mico, Kirloskar, Purulator, Fleetguard, Donaldson, Mann, Baldwin, Sakura and Elofic

Steering Parts: Rane, ZF, Ashok Leyland Genuine

Brake Components: Sundaram Clayton, Brakes India Ltd., TVS, Rane, Ferrodo and Ashok Leyland Genuine

Clutch Parts: Luk, Sachs, Ashok Leyland Genuine, Clutch Auto, Repco

Electricals: Lucas TVS, Ashok Leyland Genuine

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Spring Leaf: Ashok Leyland Genuine, TVS, UIE, Lamina, JPSL, Autosteels, Canara

Propeller Shaft Components: Ashok Leyland Genuine, SPICER, XLO, MSL, SRMT, DD

Gauges: Pricol, VDO, V3, Ashok Leyland Genuine

Oil Seals: Ashok Leyland Genuine, Fenner, HTA, Superseal, Automotive Axles

Turbo Charger: KKK, Holset, Garret, Ashok Leyland Genuine

Brake Drums: Suncast, SBP, SRMT, Fitcast, Ashok Leyland Genuine

Wheel Disc: Wheels India and Ashok Leyland Genuine

Bolts And Nuts: TVS-Sundaram Fasters, Unbrako, STL, GKW

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ASHOK LEYLAND LOOKING FOR OVERSEAS PARTNER:

Pune, March 2: 

Ashok Leyland is looking for overseas partners to grow its exports, the Managing Director, Mr Vinod Dasari, has said.

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The company which recently began exports to newer markets such as Latin America, Ukraine and Russia has exported 11,200 units of till end of February 2012 and expects to end the fiscal at exports accounting for 15 per cent of total sales.

“Buses currently account for around 70 per cent of our overseas sales,” Mr Dasari said. The company’s strategy is to start out with buses in newer markets. “When the local network gets used to our aggregates, and a service infrastructure is established, we can look at exporting trucks there,” he said, adding that while most buses are sent as CBUs, the company is also scouting for partnerships to push exports, including in areas like bus-body building.

Among the other initiatives on the cards is a drive to shed the company’s image as a maker of age-old products and one that is present only in the southern part of India. “Over 65 per cent of our products are less than three years old, over two-thirds of the employees are less than 35, and sales outside of south India are over 50 per cent,” Mr Dasari quipped, adding that Ashok Leyland is set to appoint a brand ambassador and also begin a advertisement campaign to spread this message.

The company launched its 400th dealership and full service centre for MCVs and HCVs across India at Tathwade near Pune on Friday.

Ashok Leyland to Boost Exports and Service Network:Ashok Leyland, the flagship of the Hinduja Group, which recently began selling its

vehicles in newer markets such as Latin America, Ukraine and Russia, is now looking

for overseas partners to give a fillip to its exports. This was announced by the

company's managing director Vinod Dasari during the occasion of the inauguration of

a new state-of-the-art dealership in Pune called My Auto World Ashok Leyland on

March 2, 2012. Ashok Leyland has exported 11,200 units till the end of February

2012 and expects to end the fiscal at exports accounting for 15 per cent of the total

sales. "Buses currently account for around 70 per cent of our overseas sales," Dasari

said.

The company's strategy is to start out with buses in newer markets. "When the local

network gets used to our aggregates, and a service infrastructure is established, we

can look at exporting trucks there," he said, adding that while most buses are sent as

CBUs, the company is also scouting for partnerships to push exports, including in

areas like bus-body building. Among the other initiatives on the cards is an attempt to

shed the company's image as a maker of age-old products with a strong presence only

in the southern part of India. "Over 65 per cent of our products are less than three

years old, over two-thirds of the employees are less than 35, and sales outside of south

India are over 50 per cent," Dasari said.

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The company will soon appoint a brand ambassador and also launch an advertisement

campaign to spread this message. Meanwhile, the new dealership, the second in the

city, also marks the company's 400th full service outlet in the country. The new

dealership, strategically located on NH4, Tathawade, Taluka Mulshi, Pune, is the

single biggest facility in Maharashtra, spread over 70,000 sq feet with 24 service bays

equipped with modern tools, computerised machines and sophisticated infrastructure.

"Our renewed focus on the northern and western markets has started to bear fruit,"

commented Dasari. "We have more outlets in the north than in the south and with our

manufacturing facility at Pantnagar now at full throttle, we are confident of meeting

the demands from these markets adequately and promptly," he added.

According to Dasari, Maharashtra has been fast gaining importance as a key

manufacturing hub with substantial freight movement. "Ashok Leyland is now present

in every district of Maharashtra with full service facility. Not only have the numbers

increased but we have ensured that there is a contact point every 75 kms on major

corridors so that we are always close to our customers," Dasari claimed. This is a part

of its TatkaAL initiative whereby the company guarantees reaching a customer

anywhere on the golden quadrilateral or on the north-south, east-west corridors within

four hours and restoration of vehicle in 48 hours. "We have so far trained and

developed over 16,000 mechanics and nearly 5,400 retailers across the country to

service our customers better," Dasari added.

Ashok Leyland to export components :news

Our Corporate Bureau12 June 2004

Chennai: Commercial vehicles major, Ashok Leyland Limited, will start export of auto components to the Japanese vehicle manufacturer, Hino Motors, for which it has developed some critical engine components.

According to officials, the components are undergoing tests and the company is working on the final price before starting the shipments. It may be recalled, Ashok

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Leyland sources engine technology from Hino Motors.

Ashok Leyland has decided to invest Rs 550 crore over the next two years towards capacity addition, research and development and replacements of old machinery.

Announcing this at a press conference, R Seshasayee, managing director, said, "During 2004-05 the capex will be Rs 300 crore and the balance Rs 250 crore will be spent in 2005-06."

The additional investments will be in four phases. The first phase will be increasing the capacity to 67,000 units per annum (pa). The second phase will comprise activities like development of new aggregates, product improvement (high power/torque), development of new engine, expanding the cab production capacity. The third and fourth phase involves increasing the overall capacity to 75,000 pa and production of new generation vehicles totaling 10,000 units pa.

The company has slated a slew of launches during this calendar year. In August, Ashok Leyland will be launching a new generation tractor vehicle, a factory built 12m, 180hp bus, followed by a rear-engine 260hp coach.

"During the last quarter of this fiscal we will be launching the Bharat stage III engine. Work is on for developing a Euro III engine with common 'rail fuel injection system'," Seshasayee added.

These aside, derivatives of existing models - Ecomet and Stag mini bus powered by diesel and compressed natural gas (CNG) have also been planned.

Listing out the company's priorities, Seshasayee said, "Our immediate focus is to expand capacity through the least cost route, introduction of technologically-improved products, improving the productivity and managing the input cost hike through cost reduction initiatives like value engineering and e-sourcing."

Towards this end, the company hiked its R&D spending to 2 per cent of its sale revenue in 2003-04 and substantial investments have gone into the company's testing facilities.

According to Seshasayee, the Indian commercial vehicles market will move slowly towards high-powered vehicles, and as such poses no immediate threat to the company. The year also saw Ashok Leyland forming a joint venture company with Gulf Oil Corporation Ltd to set up model dealerships offering total transport solutions.

Speaking about the company's China and Pakistan plans, Seshasayee says that talks

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have commenced with Pakistani bus operators. "We are studying the Chinese vehicles and the aggregates market. China's latest auto policy makes it difficult for the new entrants."

Financial engineering engineers higher profit

For the year 2003-04 Ashok Leyland has logged sales revenue of Rs 3,927 crore and other income of Rs 18 crore.

The company sold 48,654 vehicles and 5,085 marine engines as against 36,444 units and 5,924 engines during 2002-03. The company sold 44,837 (passenger vehicles - 11,354, goods carrier - 33,483) in the domestic market. While sales to the defence forces came down to 35 units from 820 units in the previous year, exports went up by 1,232 units to 3,782 units. Sales of spares to the defence sector declined to Rs 446 crore from Rs 477 crore during 2002-03.

"Our capacities were utilised to roll out vehicles to meet the demand spurt and hence marine engine production came down slightly," said Seshasayee.

For the FY 2004, the company registered a net profit of Rs 193.5 crore, up from the Rs 120 crore posted in FY2003. According to Seshasayee, the profits would have been higher but for the increase in input costs - steel 68 per cent and copper 29 per cent - over the past two years as a result of which, the company spent Rs 2,363 crore on raw materials last fiscal as against Rs 1,620 crore.

"We were able to raise vehicle price only by 6.2 per cent. Similarly power cost too went up by 10 per cent effective from January 2003." According to him, the company has decided to source components from China to cut costs.

In addition, staff costs and other expenditure too went up by Rs 11 crore and Rs 79 crore to Rs 309 crore and Rs 364 crore respectively.

According to Seshasayee the staff cost increased due to incentives to workers for higher productivity. Last fiscal, Ashok Leyland reduced its workforce by 337 through a voluntary retirement scheme (VRS) bringing the current labour strength to 12,007 workers."

Adds K Sridharan, executive director, finance, "The upswing in the other expenditure head is mainly due to the investments made in R&D and testing facilities." Last fiscal, the companies other expenditure went up by Rs 79 crore to Rs 364 crore.

Last fiscal, the company slashed its finance cost by Rs 38 crore to Rs 20 crore, which added to its. This was possible by prepaying high cost debt to the tune of Rs 260

Page 48

crore, remarked Sridharan.

To augment its financial resources, Ashok Leyland raised Rs 441 crore in April by issuing foreign currency convertible notes (FCCN) at 0.5 per cent interest rate.

The board has proposed a dividend of 75 per cent (Rs.7.50 per share).

COMMERCIAL VEICHELS OF ASHOK LEYLAND

Ashok Leyland Multi-axle Vehicles

Multi-axle vehicles have been designed and manufactured by Ashok Leyland, the pioneers in multi-axle trucks and vehicles.

These robust and heavy duty vehicles have been exclusively built for the transportation of general loads and goods with complete safety and convenience.

Variants 2214 (6X2) 2516 H (6X2) 2514 H (6X2) 2516 H (6X4) 2516H/4C

2214 - 6 X 2This vehicle operates with a H series W06ETI naturally aspirated diesel engine with a maximum power of 114 PS (84 KW) @ 2400 rpm. The vehicle runs at a maximum speed of 67 kmph and has a 6 speed synchromesh gearbox.

View Technical Specification of 2214 - 6 X 2

2516 H (6X2)This vehicle is powered with a 165 PS (122 KW) @ 2400 rpm, WO6DTI diesel engine. The vehicle comes with a 6 speed synchromesh

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gearbox and is equipped with an integral power steering along with dual line full air brakes.

View Technical Specification of 2516 H (6X2)

2514 H (6X2)This vehicle runs with a H Series WO6DTI 2D turbo charged diesel engine with a maximum power of 132 PS (94 KW) @ 2400 rpm. The vehicle is well equipped with an integral power steering along with dual line full air brakes.

View Technical Specification of 2514 H (6X2)

2516 H (6X 4)This vehicle runs with a H Series WO6DTI 2N turbo charged inter-cooled diesel engine with a maximum power of 165 PS (122 KW) @ 2400 rpm. The vehicle comes with a 6 speed synchromesh gearbox along with a single plate dry type axial spring clutch. The vehicle has a maximum speed of 74 kmph.

View Technical Specification of 2516 H (6X 4)Variants

Ecomet 912 Ecomet 1112

Ecomet 912This vehicle runs with a H series 4 cylinder engine turbocharged inter cooled diesel engine with a maximum power of 120 PS @ 2500 rpm. The vehicle is equipped with a ZF S5.36 synchromesh gearbox along with a single plate diaphragm type hydraulically actuated clutch.

View Technical Specification of Ecomet 912

Ecomet 1112This truck operates with a H series 4 cylinder engine turbocharged inter cooled diesel engine with a maximum power of 120 PS @ 2500 rpm.

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The vehicle is well equipped with a recirculating ball type manual steering along with dual line full air SAW brakes. The truck has a maximum speed of 80 km/h.

AIRPORT-TARMAC-COACH

Airport Tarmac coach from Ashok Leyland as the name suggests, is best suited for carrying the passengers in airports. The vehicle has a maximum power of 120 PS @ 2400 RPM with a 4 speed automatic transmission gear box. Airport Tarmac coach also features a power steering with dual line full air brakes. The model has the maximum speed of 75 Kmph and is 11000 mm in length. 

CHEETAH BS-II

The Ashok Leyland Cheetah BS-II is best suited for the hilly terrains and operates on a 6 cylindered turbo charged inter cooled diesel engine. This vehicle has a maximum power of 132 PS @ 2400 RPM with a 5 speed synchromesh gear box.

Cheetah BS-II has a maximum speed of 75 Kmph. The model has an integral power steering with dual line full air brakes. 

Cheetah BS-IIICheetah BS-III from Ashok Leyland is best suited for traveling in the Metro / city with a 6 cylindered turbo charged inter cooled diesel engine. The vehicle operates with a maximum power of 167 PS @ 2400 rpm and has a 5 speed synchromesh gear box.

Cheetah BS-III also has a fully floating hypoid gear at the rear axle and runs on a maximum speed of 75 Kmph. The model features a power steering along with dual line full air brakes. 

Double deckerDouble decker from Ashok Leyland is a mass transportation bus and is best

suited for intra city movement.

The vehicle has a 6 cylindered turbo charged inter cooled diesel engine with a maximum power of 132 PS @ 2400 RPM.

Double decker has a 5 speed synchromesh gear

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box and a maximum speed of 75 Kmph. The model is equipped with a power steering and dual line full air brakes.

Lynx BS-II

Lynx BS-II operates on 4 cylindered turbo charged inter cooled diesel engine with a maximum power of 120 PS @2500 RPM. This Ashok Leyland model has a recirculating ball type manual steering with a variable ratio of 32.2 : 1 to 48.0 : 1.

Lynx BS-II runs on a maximum speed of 83 Kmph and has dual line full air S cam brakes. This bus has a seating capacity between 40 and 45 persons

PANTHER BS-II

Panther BS-II, a luxury bus from Ashok Leyland provides passenger transportation and is best suited for inter city journey. The vehicle has the maximum power of 165 PS @ 2400 RPM with a 5 speed synchromesh gear box.

Panther BS-II runs at a maximum speed of 75 Kmph and has an air suspension at front and rear. The model comes with a power steering and dual line full air brakes

Stag BS-II

Stag BS-II from Ashok Leyland operates on a 4 cylindered turbo charged inter cooled diesel engine with a maximum power of 120 PS @ 2500 RPM. This vehicle comes with a semi elliptic leaf springs and shock absorber in both front and rear.

Stag BS-II has a manual steering in a variable ratio of 32.2 : 1 with dual line full air S cam brakes. This model runs on a maximum speed of 81 Kmph and has the seating capacity between 30 and 36 persons.

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Viking Mahindra LoadKing DIS-II has a maximum speed of 75 kmph. To add on to its high profile technique, this model has a 5 speed synchromesh gearbox and an integral power steering. The distinguished features also include dual line full air brakes. 

View Technical Specification of Viking BS - II

Viking BS - IIIViking BS-III from Ashok Leyland is best suited for the metro cities for transportation of passengers. This is a luxury bus with a front entry door at the front of the front axle. This model has a 6 cylindered engine operating on turbo charged inter cooled diesel.

Viking BS-III has a maximum speed of 75 Kmph and has a 5 speed synchromesh gearbox. This bus however comes with a manual steering and has dual line, full air brakes. 

Viking CNG BS-IIIAshok Leyland Viking CNG BS-III is a metro and intra city bus for passenger transportation. This model is operated by a 6 cylindered engine with a maximum power of 122 PS @ 2400 RPM. The vehicle comes with a 5 speed synchromesh gear box.

Viking CNG BS-III is equipped with a power steering and dual line full air brakes. The vehicle runs at a maximum speed of 75 Kmph. 

Viking SLF BS-IIIViking SLF BS-III is best suited for transporting passengers in metro cities. This vehicle from Ashok Leyland operates with a 6 cylindered turbo charged inter cooled diesel engine and has a maximum power of 167 PS @ 1500 RPM.

Viking SLF BS-III comes with a 5 speed synchromesh gear box. The model is well

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equipped with a power steering and dual line full air brakes. This vehicle runs at a maximum speed of 75 Kmph. 

12 M Bus

The Ashok Leyland 12 M Bus is a luxury bus with a 6 cylindered turbo charged inter cooled diesel Bharat Stage II. It has a 6 speed synchromesh gearbox and an air suspension at the front and rear. The bus also has a power steering with dual line full air brakes.

12 M Bus runs on a maximum speed of 95 Kmph and has the maximum power of 177 ps @ 2400 rpm.

View Technical Specification of 12 M Bus

12 M Bus BS-II12 M BS-II from Ashok Leyland is a city bus operated

with 6 cylindered turbo charged inter cooled diesel engine. The vehicle has a maximum power of 114 PS @ 2400 RPM with a 5 speed synchromesh gear box.

12 M BS-II has a power steering with dual line full air brakes. The bus runs at a maximum speed of 75 Kmph. It has a rubber ended suspension in

front and progressive shackle at rear. 

1613H/2 (12M Goods)This model

launched by Ashok Leyland has an integral power steering and is ideally used as scooter, car and three wheeler carrier and runs on a top speed of 78.8 kmph. It is also used by courier, parcel companies and logistics for carrying white goods and electronic appliances. 1613H/2 (12M Goods)

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has a maximum power of 132 PS ( 97 KW) @ 2400 rpm with a maximum torque of 43.8 kgm @ 1600 - 1800 rpm. The vehicle is well equipped with Dual line Full air brakes for a better control.The range of 4 x 2 haulage models have been designed by Ashok Leyland with complete precision and perfection on quality, efficiency, comfort and performance.

These sophisticated and heavy duty vehicles are high performers, yet they are cost efficient in terms of fuel economy and maintenance.

These machines are rigid in structure to deliver maximum durability and thus can perform even on the toughest terrain on this earth.

Ashok Leyland Multi-axle Vehicles

Multi-axle vehicles have been designed and manufactured by Ashok Leyland, the pioneers in multi-axle trucks and vehicles.

These robust and heavy duty vehicles have been exclusively built for the transportation of general loads and goods with complete safety and convenience.

2516 H/4C 6X4This vehicle operates with a H Series WO6DTI 2N turbo charged inter-cooled diesel engine with a maximum power of 165 PS (122 KW) @ 2400 rpm. The vehicle is well equipped with an integral power steering along with dual line full air brakes.

View Technical Specification of 2516H/4C

2516 H (6X 4)This vehicle runs with a H Series WO6DTI 2N turbo charged inter-cooled diesel engine with a

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maximum power of 165 PS (122 KW) @ 2400 rpm. The vehicle comes with a 6 speed synchromesh gearbox along with a single plate dry type axial spring clutch. The vehicle has a maximum speed of 74 kmph.

Hippo Tipper

Hippo Tipper has been designed and engineered by Ashok Leyland to deliver an improved performance Towards the mining and construction industry. The vehicle is used for both on and off highway applications for mining, quarrying and many more.

Hippo Tipper is a 238 PS @ 2200 rpm powered vehicle with a AL 680 TCAC diesel engine. The vehicle comes with a synchromesh gearbox and a single plate dry type clutch. The vehicle is featured with nine forward and one reverse speed gear.

This vehicle is well equipped with an integral power steering along with dual line full air brakes. The vehicle runs at a maximum speed of 67 km/h.Ashok Leyland Beaver Haulage

Beaver haulage has been designed and structured by Ashok Leyland, the largest manufacturer of logistic vehicles for the Indian Army. This is a special defense vehicle used especially for hauling for defense purposes.

The vehicle is robust and sturdy in nature and structure that it can operate even in the toughest conditions.

Beaver haulage vehicle operates with a AL 680 TCAC diesel engine with a maximum power of 238 PS @ 2200 rpm. The vehicle is featured with a constant mesh gearbox along with five

forward and one reverse gears. The vehicle runs with a maximum speed of 55.8 km/h.

This vehicle is also equipped with an integral power steering along with dual line full air brakes.

Ashok Leyland Hippo HaulageHippo haulage are special applications vehicles, purposely built to carry out several applications from just one vehicle. This is a highly versatile and reliable vehicle for all utilities.

This vehicle has been exclusively designed and engineered by Ashok Leyland to deliver maximum efficiency and performance with ultimate perfection.

Hippo haulage operates with a AL 680 TCAC

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diesel engine with a maximum power of 238 PS @ 2200 rpm. The vehicle is featured with a single plate dry type clutch along with a constant mesh gearbox. This vehicle comes with five forward and one reverse speed gear.

This vehicle runs at a maximum speed of 49 km/h. The vehicle is well equipped with an integral power steering along with dual line full air brakes.

Applications Mobile crane Drilling rigs Concrete pumps Transit mixers Cement bunkers Radar mounting Site mix slurry Bull dozer carriers Mast mobiles Troop carriers Stealth weapon carriers

Ashok Leyland 4 X 2 and Multixled Tippers4 X 2 and Multi-axle Tippers have been designed and developed by Ashok Leyland, the pioneers in the manufacturing of multi-axle trucks and tippers. These vehicles are highly beneficial in the transportation of goods and materials from one place to another with much convenience and safety.

These vehicles have been designed to meet the needs of effective transportation of minerals, ores, sand, cement and other earth materials. The vehicle is an asset to the construction and mining industry with its true and dedicated performance across the country. These vehicles function efficiently in the road construction, canal projects and the mining industries.

CT 1613 H/1 (4X2)This is a 132 PS (97 KW) @ 2400 rpm powered

vehicle along with a H series 6 cylinder turbocharged inter-cooled diesel engine. The vehicle comes with a 6 speed synchromesh

gearbox along with single plate dry and friction type clutch.

View Technical Specification of CT 1613 H/1 (4X2)

Taurus 2516/2 (6x4)This is a 159 PS (117 KW) @ 2400 rpm powered

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vehicle with a L62N 6 cylinder turbocharged after cooled diesel engine. The vehicle is well equipped with a power steering and dual line full air brakes.

View Technical Specification of Taurus 2516/2 (6x4)

1613 ST (4x2)This is a 132 PS (97 KW) @ 2400 rpm powered vehicle with a H series 6 cylinder turbocharged inter-cooled diesel engine. The vehicle is featured with a 6 speed synchromesh gearbox and runs with a maximum speed of 75 km/h.

View Technical Specification of 1613 ST (4x2)

Taurus HD 2516MT/1 (6x4)This is a 159 PS (117 KW) @ 2400 rpm powered vehicle with a L62N 6 cylinder turbocharged after cooled diesel engine. The vehicle is well equipped with a power steering along with dual line full air brakes. The vehicle has a maximum speed of 67.3 km/h.

View Technical Specification of Taurus HD 2516MT/1 (6x4)

CT 1613 H/2 (4x2)This is a 132 PS (97 KW) @ 2400 rpm powered vehicle with a H series 6 cylinder turbocharged inter-cooled diesel engine. The vehicle runs at a

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maximum speed of 75 km/h and is featured with a 6 speed synchromesh gearbox.

Ashok Leyland Beaver TractorBeaver Tractor is a multi-purpose and a versatile vehicle, designed and developed by Ashok Leyland. This vehicle is a front-runner in a wide range of applications such as acid tankers, containers, transit mixers, LPG tanker, self loading crane, recovery truck and many more.Beaver tractor operates with a AL 680C TCAC diesel engine with a maximum power of

238 PS @ 2200 rpm. The vehicle comes with a constant mesh gearbox with overdrive gears including six forward and one reverse speed gears. The vehicle also features a single plate dry type clutch.

Beaver tractor is well equipped with an integral power steering along with dual line full air brakes. The vehicle runs at a maximum speed of 72 km/h.

YAK 4x4Yak 4x4 from Ashok Leyland is a defence vehicle with an engine power of 177 PS @ 2700 RPM. The vehicle is equipped with a four speed automatic Allison MD 3560 P with PTO gearbox.

Yak 4x4 is featured with an integral power steering and dual line air brakes. The vehicle has been designed with perfection to run on all types of terrains.

Stallion 4x4 Mk IIIStallion 4x4 Mk III has been designed for rendering general services to the Army. The vehicle operates on a turbocharged diesel engine with a power of 160 PS @ 2400 RPM.

This Ashok Leyland model has a 6 speed ZF synchromesh gearbox.

Stallion 4x4 Mk III is equipped with an integral power steering and has full air dual line “S” cam brakes.

Stallion 4x4 Mk IVStallion 4x4 Mk IV is an upgraded and enhanced model of Stallion 4x4 Mk III. This vehicle has an engine power of 177 PS @ 2400 RPM.

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This Ashok Leyland vehicle has a pay load of 5 T for cross country and 7.5 T on the highway.

Stallion 4x4 Mk IV is equipped with an integral power steering and dual line brakes. The vehicle has a 6 speed synchromesh gearbox and runs at a maximum speed of 82 kmph.

Comet 4x4Ashok Leyland Comet 4x4 is a defence vehicle developed for the purpose of carrying troops to different locations with a payload of 10 T.

The vehicle has an engine power of 108 PS @ 2550 RPM and has a 5 speed constant mesh gearbox.

Comet 4x4 is equipped with an integral power steering and has dual line air brakes. The vehicle has the capacity to run at a maximum speed of 81 kmph.

High Mobility Vehicle 6x6High Mobility Vehicle 6x6 is a defence vehicle and has been exclusively designed to render high mobility under stringent conditions as and when required.

This Ashok Leyland vehicle has a payload of 5T and comes with an engine power of 260 HP @ 2500 RPM.

High mobility vehicle 6x6 has large tyres and is an all wheel drive vehicle. The model is equipped with an integral power steering and has dual line air brakes. The vehicle has a

maximum speed of 80 kmph.

Light Recovery Vehicle 4x4Light Recovery Vehicle 4x4 has been designed to recover and Tow the defence vehicles. This vehicle from Ashok Leyland has been purposely developed for uprighting, unditching and pulling up a slope of all military “B” vehicle casualties having payload of upto 7.5 T.

Light recovery vehicle 4x4 has an engine power of 160 PS @ 2400 RPM. The vehicle is equipped with an integral power steering and dual line air brakes. This vehicle can run at a maximum speed of 90 kmph.

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Field Artillery Tractor 6x6Field Artillery Tractor 6x6 from Ashok Leyland has been designed to be used as gun Tower for 155 mm and 130 mm guns. The ammunitions are self loaded on to the vehicle and it also has a winch for self recovery.

Field Artillery Tractor 6x6 has an engine power of 345 PS @ 2200 RPM and has an 8 speed synchromesh gearbox with torque convertor. The vehicle is equipped with an integral power steering along with dual line air brakes. This vehicle runs at a maximum speed of 87 kmph.

Stallion 4x4 5KL Water Browser

Stallion 4x4 5KL Water Browser has been exclusively developed for supplying water to any location under different circumstances. This vehicle from Ashok Leyland has an engine power of 160 PS @ 2400 RPM with a 6 speed synchromesh gearbox.

Stallion 4x4 5KL water browser is equipped with an integral power steering and dual line air brakes. The vehicle has a maximum speed of 82 kmph and is featured with a water tank capacity of 5000 liters.

Truck Fire Fighting 4x2Truck Fire Fighting 4x2 has been designed as a fire fighting vehicle for the defence and is highly equipped with the modern techniques of fire control. This vehicle from Ashok Leyland has an engine power of 160 PS @ 2400 RPM and has a 6 speed synchromesh gearbox.

Truck fire fighting 4x2 has a water tank capacity of 3200 liters and a foam tank capacity of 425 liters. The vehicle can also run at a maximum speed of 78 kmph

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All large global players are present in India•GM•Toyota•Ford•Hyundai•Maruti Suzuki•Honda•Skoda•Volvo•Mercedes Benz•BMW•Volkswagen•Suzuki Motorcycle

•Tata Motors•Mahindra & Mahindra•Bajaj Auto•TVS Motors•Hero Honda•Force Motors•Ashok Leyland•Eicher•Swaraj Mazda

•Delphi•Visteon•Bosch•Denso•Valeo•Thyssen Krupp

•Bharat Forge•Sundram Fasteners•Rane Group•Shriram Pistons•RICO Auto•Sono Koyo Steering

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•ExideGlobal OEMsGlobal suppliers

MAP OF ASHOK LEYLAND MOTOR PLANTS:

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LIGHT AND HEAVY VEICHEL OF ASHOK LEYLAND FOR COMMERCIAL EXPORT:

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Our trucks have been the wheels of the economy for decades. We offer a comprehensive range for a variety of applications: long-haul, distribution, construction, mining. Available in a wide array of configurations and driveline options, we are sure you will find a solution in our range whatever be your need to move goods.

Long haul

Mining and Construction:

Distribution trucks:

Light Vehicles

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The Light Vehicles segment has come to the fore with fractional, last mile deliveries of consumables becoming critical. Our DOST, a vehicle with a rated payload of 1.25 tonnes, is positioned to meet an evolving market need for slightly heavier tonnage vehicles due to higher aggregation of small loads.

Defence Vehicles:

We are pioneers in the design, development and manufacture of Defence vehicles and offer end-to-end solutions to meet the logistics and tactical  requirements of the armed forces. While the Stallion is our flagship platform, we have developed two more platforms – the COLT and the SUPER STALLION. Going forward, we are expanding our Stallion range of logistics transport solutions while tactical or armoured vehicles will be offered on all three platforms on the on the back of strategic partnerships with KMW, Germany; Panhard, France and Paramount, South Africa.

Buses:

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People move to keep their lives ticking and we move some 70 million people every day on our buses. From 18 seaters to 80 seaters, Ashok Leyland has an extensive range of buses that fits almost every requirement.

City Bus Sub-Urban Bus

Inter-City Bus School & Staff Bus

Buses:

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From 18 seaters to 80 seaters, our buses move some 70 million people every day.

Trucks:

We have a comprehensive range of trucks for a variety of applications: long-hauls, distribution, construction or mining.

MINING AND CONSTRUCTION:

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4X2 – Trucks 1618 XP

U-1618 T U-1616 T

Multi-Axle Tipper Trucks:

2516H3/4C RMC U-3123 T

U-2523 T U-2518 T

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U-Truck AVIA Truck

Long haul:

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Multi Axle vehicles3123 XL

3118 XP 3118 XL

3116 XL 3116 il

2516 il/1 2518 XP

2518 XL 2516 il

4923 U-4923 TT

4023 XP U-4023 TT\

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Distribution trucks

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4X2 Haulage1616 XP

1616 XL 1616il

ICV

ecomet 1212 Strong ecomet 1212 Smar

Ecomet 1012 Smart

City Bus

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ULE CNG BS4 ULE Diesel BS4

Lynx BS3 Stag BS3

Vestibule Bus - BS3 Titan Double Decker BS3

RE SLF BS4 Sub-Urban Bus

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Lynx BS3

Suppliers Corner:

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Strong, capable and reliable supply chain partners are critical as we source more than 70% of the components for our vehicles. It is the responsibility of our ‘Sourcing and Supply Chain’ department to evolve sourcing strategies that are aligned to our corporate mission, manage a competitive global supply base and inbound logistics apart from handling sourcing, parts development, supplier relationship management and setting up of inbound logistics for all manufacturing locations in India. In addition, there are purchase departments at each plant.

Structured into domains based on technology, namely Proprietary, Sheet Metal, Castings, Forgings, Steel, Non Metallic, Fasteners, Bar machining, Imports, Fully Built Vehicle Solutions (FBVS) and Corporate Logistics, the department operates from its offices in Chennai, Gurgaon and Shanghai

To maintain a highly capable and competitive supply base, focus is on:

Partnering best-in-class suppliers Conducting rigorous evaluation and improving supplier performance - measured on

Quality, Cost, Logistics, Development and Management (QCLDM) Deciding share of business on the basis of performance Optimizing supplies in coordination with third party logistics (3PL) providers

The Supplier management process involves engaging suppliers and exchanging real time information with the suppliers. This is enabled through our web portals:

Supplier Performance Management (SPM): gives the latest data on individual supplier’s performance on various parameters like quality, cost, logistics, development and management. Each supplier can view their own score on a monthly basis and take necessary measures to improve the performance.

Supply Chain Management (SCM): allows the suppliers access to day-to-day transactional data like receipts, rejections, production schedule lines, payment status etc. This enables better planning of business for our suppliers.

Supplier Relationship Management (SRM): has been launched in May ’11 along with SAP implementation at our Hosur 2 and CPPS plants. This portal replaces the SCM portal for these plants, and will subsequently cover all plants. In addition to the available facilities The SRM portal enables bi-directional exchange of information, facilitating better material planning for suppliers and Ashok Leyland.

Power Solutions: form-w 8faFY5MR search_block_for

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Under the brand name, Leypower, we offer complete power solutions by supplying engines for a variety of applications apart from vehicles: be it for running generator sets, for marine applications or for powering earth-moving equipment, compressors, cranes, harvester combines and the like. Leypower has provided many an industry the power to keep running uninterrupted.

CORPORATE NEWS OF ASHOK LEYLAND COMMERCIAL VEICHELES IN EXPORT:

March 2012

Thursday, March 29, 2012Ashok Leyland unveils the HMV 8x8 Super Stallion

Published From:

New Delhi

March 29th, 2012. New Delhi:  Expands the Stallion range of logistics vehicles The Hinduja flagship, Ashok Leyland, today unveiled the SUPER STALLION 8x8 High Mobility Vehicle (HMV) and with that,...

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March 29th, 2012. New Delhi:

Expands the Stallion range of logistics vehiclesThe Hinduja flagship, Ashok Leyland, today unveiled the SUPER STALLION 8x8 High Mobility Vehicle (HMV) and with that, the expansion of their range of logistics vehicles.  Also being displayed for the first time is a new face-lifted version of the very popular Stallion in 6x6 configuration with a new high power engine and auto transmission.

“The HMV 8x8 SUPER STALLION is our new top-of-the-range offering – a contemporary technology product that is proudly indigenous. This heavier Super STALLION platform builds on the heritage of the STALLION, of which more than 65,000 vehicles are deployed by the Indian Army. STALLIONS form the veritable backbone of their logistics operations and we cherish our role as their largest supplier of logistics vehicles,” said Mr. Nitin Seth, Executive Director – Defence Business, Ashok Leyland. “This experience, as well as experience in some of our new export markets has allowed us to factor customer feedback to achieve the significant improvements to the product,” he added.

SUPER STALLION 8x8 (HMV – High Mobility Vehicle)

The SUPER STALLION HMV 8x8 is the new flagship of Ashok Leyland’s range of logistics vehicles. It has been specially configured to meet the army’s emerging requirement for vehicles with higher mobility and greater power to operate in challenging desert terrains. It is propelled by a state-of-the-art powerful 360 hp (265 kW) Neptune engine, that can crank up a torque of 1400 Nm. Hub reduction axles ensure better ground clearance and grip for its 8 wheels in sand and the Central Tyre Inflation System (CITS) enables inflating or deflating tyres even when on the move. Driver comfort is been addressed through air-conditioning, bucket seats in the ergonomic cab and parabolic suspension in front for a better ride. The SUPER

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STALLION platform promises the same versatility of the STALLION platform and can be offered for a variety of applications like Field Artillery Tractor and Mounted Gun with different transmission and driveline configurations.

STALLION 6x6

The STALLION 6x6 is significantly upgraded in form and function compared to its earlier version. It has a more powerful 165 kW Common Rail Diesel engine that is capable of 800 Nm of torque to operate in demanding, mountainous terrain. Ease of use is addressed by the Automatic Transmission that is matched to the new engine. The STALLION 6x6 is also equipped with a modern, face-lifted cabin that is ergonomic, air-conditioned with bucket seats and fitted with a driver-friendly information display cluster panel. The parabolic spring suspensions in front improve ride comfort. The back-up Emergency Power Steering comes in most handy in treacherous conditions while the Semi-Automatic Tyre Inflation System helps when traversing across different kinds of terrains. The STALLION 6x6 can be used as Troop Carriers, Water and Fuel Bowsers, LRV and as the base vehicle to mount communication equipment and command control posts. This vehicle is already performing with the Royal Thai Army and is also operational in Honduras and South Africa.

Fleet Management System

Both these platforms are supported by a Fleet Management System (FMS) to ensure increased operational efficiency and fleet uptime. Fleet managers can track fleet usage, fuel usage and service complaints and plan scheduled preventive as well as corrective maintenance in addition to being informed about availability status of vehicles in the fleet. The simple and easy-to-use interface helps fleet managers, drivers and maintenance crews to log in vehicle data and generate relevant reports. Driver and mechanic training programmes can also be monitored through these dashboards. The entire FMS system can also be offered in a fully operational turn-key basis.

A comprehensive range of customer services is also on offer that include service camps, mobile and driver trainings. Model rooms have been set up across the country for regular technical seminars, field service campaigns and the mammoth task of ‘training the trainers’ for operation / maintenance of the Indian Army’s Stallion fleet. A mobile parts store, positioned in the Eastern Command, ensures easy availability of genuine spares that not only helps getting the vehicle back on the road faster but keeps it going longer.

All of this helps Ashok Leyland stay true to its mission of being the trusted mobility partner for India’s Defence forces.

Thursday, March 29, 2012

Ashok Leyland Defence Systems unveils the COLT range of tactical vehicle

Published From:

Page 79

New Delhi

March 29th, 2012. New Delhi: Strategic partnerships with global leaders to expand product range Ashok Leyland Defence Systems, a joint venture Company, engaged in the manufacture of specialized...

March 29th, 2012. New Delhi:

Strategic partnerships with global leaders to expand product rangeAshok Leyland Defence Systems, a joint venture Company, engaged in the manufacture of specialized tactical and armoured vehicles, today unveiled the first of the range of COLT tactical vehicles - the Light Tactical Vehicle (4x4).

The Light Tactical Vehicle is being developed through the Company’s strategic partnership with Panhard General Defense, France. In addition, a new range of product concepts and systems developed with Krauss Maffei Wegmann Gmbh (KMW), Germany, were also unveiled.

“India’s Defence sector is seeking greater participation from the private sector to shore up the nation’s defenses and Ashok Leyland Defence stands poised to leverage technologies and partnerships to provide tactical and armoured solutions to address our country’s defense requirements,” said Dr. V. Sumantran, Chairman, Ashok Leyland Defence Systems. “Our product range will offer state-of-the-art performance while achieving high levels of local content and cost competitiveness. Today, we are proud to unveil the COLT 4x4 Light Tactical Vehicle which offers superior protection, improved agility and enhanced performance, typical of our new range of vehicles,” he added.

COLT Light Tactical Vehicle (4x4)

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The COLT Light Tactical Vehicle (LTV), jointly developed by Ashok Leyland Defence and Panhard General Defense, has excellent mobility owing to a power to weight ratio of over 34 horsepower per tonne. It is equipped with a high performance chassis, a unique suspension system and an innovative patented armoured hull. Essentially designed to carry out protected tactical liaison missions, the LTV can fill a large array of roles such as escort, patrol and command vehicles. The product is battle-proven and over 2,000 are deployed across 15 countries.

Product portfolio

Ashok Leyland Defence is also engaged in developing range of armoured vehicles with military payloads ranging from 1.5 to 16 tonnes, on the COLT, STALLION and SUPER STALLION platforms that will address requirements for Light Specialist Vehicles (LSV), Light Bullet Proof Vehicle (LBPV), Light Artillery Machines (LAM), Mine Protected Vehicles (MPV), Field Artillery Tractors, Multi-Barrel Rocket Launchers (MBRLs) and other special applications. Ashok Leyland Defence offers unique capabilities in bringing state-of-the-art equipment to India with high local content and customized to suit specific needs of India’s defence forces.

Winning partnerships

Panhard General Defense are pioneers in the design and development of armoured vehicles and known for their VBL (Véhicule Blindé Léger) or Light Armoured Vehicles with 1,600 to the French Army alone. They also make the PVP (Petit Vehicule Protégé) of which more than 750 are in service. Ashok Leyland Defence and Panhard have laid out a plan to address India’s evolving needs for light tactical vehicles.

Krauss-Maffei Wegmann (KMW) GmbH and Co KG, Germany:  KMW, one of Europe’s most sophisticated defence contractors and Ashok Leyland Defence are to jointly develop advanced systems for the Indian Defence establishment as well as other Defence forces worldwide. This strategic partnership combines the technological bandwidth of KMW with the innovation of Ashok Leyland Defence, aimed at deriving cost advantages and expand product opportunities for Ashok Leyland Defence. KMW has a rich, 170-year history and are market leaders in the highly protected armoured wheeled and tracked vehicles. The armed forces of over 30 nations rely on their systems such as the MBT LEOPARD 2, the artillery system PzH 2000 and the armoured wheeled vehicle - DINGO 2.

Wednesday, March 7, 2012

Ashok Leyland appoints a new Chief Technology Officer

Published From:

Chennai

Hinduja Group flagship Ashok Leyland has appointed Mr. Sam Burman as its Chief Technology Officer. As CTO, a new position in the Company, he will be responsible for the Product Development, Advanced...

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Hinduja Group flagship Ashok Leyland has appointed Mr. Sam Burman as its Chief Technology Officer. As CTO, a new position in the Company, he will be responsible for the Product Development, Advanced Engineering and Product Planning functions.

Prior to joining Ashok Leyland, Mr. Burman was with IVECO, Italy, as Senior Vice President for medium and heavy trucks.

Born in Sweden, Mr. Burman is a Mechanical Engineer with over 30 years of experience in the global truck and bus industry in various capacities across Europe, South America, China, Australia, South Africa and the USA. His long and fruitful association with Scania saw him handling different assignments across the globe.

He knows over six languages and his interests include cooking, golf and adventure sports.

Friday, March 2, 2012

Ashok Leyland inaugurates second Pune dealership and 400th outlet in the country

Published From:

Pune, (Maharashtra)

Pune, (Maharashtra), March 2nd 2012: Ashok Leyland, the flagship of the Hinduja Group, has inaugurated a new state-of-the-art dealership in Pune - M/s My Auto World Ashok Leyland (A unit of My Car...

Pune, (Maharashtra), March 2nd 2012: Ashok Leyland, the flagship of the Hinduja Group, has inaugurated a new state-of-the-art dealership in Pune - M/s My Auto World Ashok Leyland (A unit of My Car Pune). This is the Company’s 2nd dealership in the city and also marks the Company’s 400th full service outlet in the country. The new dealership, strategically located on NH4, Tathawade, Taluka Mulshi, Pune, is the single biggest facility in Maharashtra, spread over 70,000 sq. feet with 24 service bays equipped with modern tools, computerized machines and sophisticated infrastructure.

“Our renewed focus on the northern and western markets has started to bear fruit,” commented Mr. Vinod K Dasari, Managing Director, Ashok Leyland, at this development. “We have more outlets in the North than in the South and with our manufacturing facility at Pantnagar now at full throttle, we are confident of meeting the demands from these markets adequately and promptly. Maharashtra has been fast gaining importance as a key manufacturing hub with substantial freight movement and, with our new channel partner, we are well placed to offer best in class sales and service support to our customers. Ashok Leyland is now present in every district of Maharashtra with full service facility,” he added.

Elaborating on the milestone of having inaugurated Ashok Leyland’s 400th customer touch point, Mr. Dasari said, “Yes, it is a great achievement considering that we have added over 100 full service outlets in the last couple of years. Not only have the numbers increased but we have ensured that there is a contact point every 75 kms on major corridors so that we are always close to our customer.”

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Such a wide, well thought out network has allowed the Company to offer a unique best-in-class customer service through TatkaAL. With this initiative, the Company guarantees reaching a customer anywhere on the Golden Quadrilateral or on the North-South, East-West corridors within 4 hours and restoration of vehicle in 48 hours. Having launched TatkaAL a year ago, the Company’s track record thus far has been extraordinary. Ashok Leyland has also trained and developed over 16,000 mechanics and nearly 5,400 retailers across the country to service customers better.

February 2012

Wednesday, February 1, 2012Ashok Leyland’s Q3 revenue up 29% at Rs. 2,880 crores

Published From:

Chennai

Net profit up 54% EBITDA also up 27% Hinduja Group flagship, Ashok Leyland has reported a 29% increase in its revenue for the third quarter of the current fiscal at Rs. 2,880 crores as against Rs.  2...

Net profit up 54% EBITDA also up 27%

Hinduja Group flagship, Ashok Leyland has reported a 29% increase in its revenue for the third quarter of the current fiscal at Rs. 2,880 crores as against Rs.  2,227 crores for the corresponding quarter of 2010-11. Net profit for the quarter was up by 54% at Rs. 67 crores (Rs. 43 crores). EBITDA was up 27%. Sales volume for the quarter witnessed a healthy increase of 26% at 23,175 nos. (18,437 nos.).

Employee Cost rose by 12% at Rs. 272 crores (Rs. 244 crores) on the back of bonus payouts in the quarter. Other Expenditure increased by 42% at Rs. 268 crores as against Rs. 189 crores for the corresponding quarter of the previous fiscal as also did Financial Expenses, up by 16% at Rs. 55 crores (Rs. 47 crores) due to increase in working capital and higher interest costs on CAPEX loans.

Production volume for the quarter improved by 25% at 24,153 nos. (19,291 nos).

For the nine months ended December 2011, sales revenue was higher by 16% at Rs. 8,470 crores (Rs. 7,289 crores). Net profit was, however, down 7.8% at Rs. 307 crores (Rs 333 crores).

"Despite a substantial improvement in our quarter sales and profits, Q3 was a challenging one due to a few supply chain issues," said Mr. Vinod K. Dasari, Managing Director, Ashok Leyland. "These have since been resolved. STU demand was weaker in Q3 but is expected to bounce back in Q4. The initial feedback from customers for DOST has been very favourable and we are quickly ramping up production to meet the demand," added Mr. Dasari.

January 2012

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Friday, January 6, 2012Ashok Leyland presents India’s first 37-tonne haulage truck With a payload capacity of up to 27 Tonnes, the U-3723 H is also India’s most efficient truck

Published From:

New Delhi

New Delhi, January 6th, 2012: Ashok Leyland, the Hinduja Group flagship, today introduced India’s first 37-tonne haulage truck with the highest payload of up to 27 tonnes. Built on the contemporary...

New Delhi, January 6th, 2012: Ashok Leyland, the Hinduja Group flagship, today introduced India’s first 37-tonne haulage truck with the highest payload of up to 27 tonnes. Built on the contemporary and future-ready U-Truck platform, the U-3723 H guarantees superior performance, durability and best-in-class operational efficiency.

One outstanding feature of the U-3723 H is its five axles - twin steerable front axles, two rear axles and a self-steerable pusher lift axle at the middle that enables the vehicle to carry more loads, far more efficiently. The auto-lift axle senses when the vehicle is running in an unloaded condition and will automatically lift the axle which translates into additional fuel saving. Engineered to deliver a faster turnaround and better gradeability, the U-3723 H is equipped with the fuel-efficient 225 HP ‘H’ Series engine and a 9-speed gearbox. Further, the 10x4 configuration makes for excellent maneuverability even in arduous operating conditions.

At the launch, Mr Vinod K Dasari, Managing Director, Ashok Leyland, said, “The U-3723 H is truly the most efficient truck in the country and carefully engineered to meet certain specific customer requirements. With a more stringent implementation of rated payload on one hand and the availability of higher loads on the other, customers have been increasingly seeking higher capacity rigid trucks that can carry more loads translating into better operational economics. Market trends are clearly skewed towards the 31+Tonne category and thus our U-3723 H is perfectly positioned to meet the demands for higher payload capacity, faster turnaround time and better maneuverability.”

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The feature-rich sleeper cab is designed to address driver comfort and safety especially during long distance freight operations. Other features include an optional AC and parabolic suspensions with shock absorbers.

Fuel efficiency is further enhanced by the aero-dynamic cab and lower unladen weight. An optimized drive train and 11R20 tyres deliver improved driveability and effortless maneuverability. The deep section frames with bogie suspensions ensure better vehicle stability even at higher loads. A long loading span of 31 feet can easily take loads of any density and dimension. Strong aggregates, a robust chassis frame and suspensions reduce down-time considerably.

The U-3723 H is best-suited for such applications like construction, Ready Mix Concrete, boom pumps and stone marble.

About the Hinduja Group

Hinduja Group is an investment and banking group with a diversified global portfolio of holdings across the manufacturing services and banking sectors. The Group, founded by Shri P.D. Hinduja in 1914 has activities across three core areas: Investment Banking, International Trading and Global Investments. It also supports charitable and philanthropic activities across the world through the Hinduja Foundation. As part of its Global investments, the Group owns businesses in Automotive, Information Technology, Media, Entertainment & Communications, Banking & Finance, Infrastructure Project Development, Chemicals & Agri business, Energy, Real Estate, Trading and Healthcare. www.hindujagroup.com.

About Ashok Leyland

Ashok Leyland is the flagship of the Hinduja Group and a leading manufacturer of commercial vehicles in India with 2010-11 turnover of US $ 2.5 billion. With seven manufacturing locations at Chennai, Hosur (three plants), Alwar, Bhandara and Pantnagar (Uttarakhand), the Company has a production capacity of 150,000 vehicles. Ashok Leyland has associate companies in the Czech Republic and the UAE

Thursday, January 5, 2012

Union Minister Kamal Nath unveils Ashok Leyland’s revolutionary Jan Bus

Published From:

New Delhi

New Delhi, January 5th, 2012: JAN BUS World’s first single step entry, front engine, fully flat floor bus Equipped with Automated Manual Transmission – the first time in a city bus in India  The Hon’...

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New Delhi, January 5th, 2012: JAN BUS

World’s first single step entry, front engine, fully flat floor bus Equipped with Automated Manual Transmission – the first time in a city bus in India

The Hon’ble Union Minister of Urban Development, Mr. Kamal Nath, today unveiled the Jan Bus - world’s first single step, front engine, fully flat floor bus, a revolutionary new concept in urban transportation from Ashok Leyland, the Hinduja Group flagship. Feature-rich and technologically advanced, the Jan Bus is an innovative, well thought-out transport solution that promises passengers easy, comfortable and affordable city travel.

Several unique features have been packed into the Jan Bus, none more so than the floor, that is 650 mm from the ground and uniformly flat right from the driver’s work station to the rear. Passengers therefore do not have to climb any steps after entering the bus while the stylishly side-mounted seats and seat-mounted stanchions offer ample hindrance-free leg room, which also makes cleaning very easy. The Jan Bus has a single step entry and wide doors for quick alighting and boarding and considerable less stoppage time at bus stops. A kneeling option means that the floor height can be further lowered. The bus offers a high degree of customization with multiple options for door placement (available at 5 locations) and seating layouts.  The Jan Bus can thus be configured for various applications like BRTS (Bus Rapid Transport System), airport tarmac and normal city travel.

The Jan Bus is equipped with another unique feature: the Ashok Leyland trade-marked Automated Manual Transmission (AMT) – LEYMATIC® – seen for the first time on city buses in India, that saves the driver from strenuous gear shifts and clutch operations and leaves him to focus on the road. The Jan Bus has superior acceleration thanks to a 235 HP turbo-charged BS 4 compliant CNG MPFI engine. Another innovative aspect is the front-view cameras that enable the driver to see beyond the vehicle immediately in front of him thus making it ideal for the bumper-to-bumper city traffic and congested roads.

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Unveiling the unique bus, Mr. Kamal Nath, Hon’ble Union Minister of Urban Development said, “A lot of the transport problems faced by urban India are attributable to the proliferation of private vehicle usage. People, however, will convert to public modes of transport only if they have good, comfortable, affordable and efficient options. With the Jan Bus, I am confident that Ashok Leyland has gone a long way towards providing a very attractive transport solution both for the passenger as well as the operator.”

Also speaking on the occasion, Mr. Vinod K. Dasari, Managing Director, Ashok Leyland said: “The Jan Bus is a good example of innovative Indian engineering. Historically, we have been successfully introducing new, passenger-friendly bus solutions and the Jan Bus is just a continuation of that tradition. Patents have been applied for the 16 various innovations on this bus alone. For us, the Jan Bus is also a triumph of our understanding of the needs of our customers and is now ready for rolling out into the market. The Jan Bus is not only operator- and passenger-friendly, but has been engineered to address pedestrian safety as well with a specially designed fascia.”

The Jan Bus is replete with other features like an elegant driver work space with a host of friendly assists, air suspension for a comfortable ride, an infotainment system to keep passengers informed and entertained. It is intelligent and high-tech too thanks to its multiplexing, electronically controlled engine and gearshift.

Thursday, January 5, 2012

Ashok Leyland launches two new-generation LCV models

Published From:

New Delhi

New Delhi, January 5th, 2012:  Dost LCV to be joined by a STILE, Multi-Functional Vehicle and PARTNER, a 6-tonne LCV Two new-generation LCV platforms from Ashok Leyland were revealed today at the...

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New Delhi, January 5th, 2012:  Dost LCV to be joined by a STILE, Multi-Functional Vehicle and PARTNER, a 6-tonne LCV

Two new-generation LCV platforms from Ashok Leyland were revealed today at the Auto Expo. The Multi-Functional  Ashok Leyland STILE and the contemporary 6-tonne LCV Ashok Leyland PARTNER represent very different faces of the LCV spectrum. Following on the heels of the Ashok Leyland DOST, which has seen very strong response in the market, these new products will allow the cCompany, over the coming years, to address a very wide range of customer needs and applications.

STILE, is a modern Multi-Functional Vehicle (MFV) and will usher in a new class of vehicles for the Indian customer. It has been specially developed to address various applications like people carriers in the urban and rural areas, hotel shuttles, taxi services, ambulances, panel vans, courier services, inter-city and intra-city travel.

STILE sports a classy, sophisticated look with its sleek contours and structured edges. The monocoque body construction makes for a lower kerb weight contributing to its fuel efficiency, while for passengers, it translates into greater safety and excellent ride quality. The interiors wear a pleasing look with dual-tone treatment and superior ergonomics.  The low floor feature makes for easy entry and exit, while sliding doors on both sides allow for easy access in tight parking spaces. STILE will be available in both CNG and Diesel versions, with a wide choice of seating options of 2 and 3 rows.

PARTNER is the new 6-tonne LCV platform that was launched globally by Nissan Motor Company very recently, which has helped them gained precious market share in several global markets. The cab has a modern Euro-look, is spacious with advanced ergonomics, power steering and air-conditioning while a well-appointed interior has ample room for occupants and their belongings. The cab is also tiltable for easy serviceability. PARTNER is powered by a contemporary 120 hp ZD30-DDTI Common Rail Diesel (BS 4-complaint) engine that gives the vehicle excellent pick-up and good gradeability for faster turnaround. On display is a Refrigerated Truck which represents one of the application variants, some of the others being steel and aluminium containers and tippers.

The company has seen solid bookings for the recently launched Ashok Leyland DOST. To keep up the momentum in the small LCV segment, the company also showed its new DOST-CNG variant. This product will also enter the market shortly, catering to those markets where CNG is preferred or mandated.

“Right from the outset, we were determined not to remain a one product/platform or niche player in the LCV space. We are delighted to present two brand-new concepts on our two new-generation platforms that have been developed, close on the heels of the launch of our DOST platform,” said Dr. V. Sumantran, Non-Executive Vice Chairman, Ashok Leyland and Chairman, Nissan Ashok Leyland Powertrain Ltd. “Both these new vehicles maintain our focus on offering Japanese technology and quality at Indian cost. Together with the addition of the DOST-CNG, expected to be launched in 2012, we hope to cater to a wide range of needs, and at the same time, address the growing expectations of the Indian consumer. ” he added.

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The STILE and PARTNER platforms are scheduled for launch in mid of calendar year 2013. The Dost-CNG will reach the market in 2012.

Sales Updates:

Mar 2012

Mar 2011

%Apr - Mar 2012

Apr - Mar 2011

%

Commercial Vehicles - excl SCV (DOST)

Sales 12074 12169 -1 94416 94106 0

SCV (DOST) Sales 2211 - - 7593 - -

Total Sales 14285 12169 17 102009 94106 8

Dealerships:

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Ever since Ashok Leyland got into the business, dealers across the globe have played a crucial role in helping us establish a global footprint for ourselves across the world. We are also proud to boast of our extensive dealer network spread across the whole of India and abroad. We have high regards for our dealer network and appreciate their contribution to Ashok Leyland’s growth and branding. We also look forward to growing our network by leaps and bounds and establish a mutually beneficial relationship with our dealers like never before.

Ashok Leyland Authorised Service Center

Ashok Leyland has moulded Indian Commercial Vehicle Industry with pioneering technologies and product innovations that include Multi Axled Vehicles, Tractor Trailers, CNG Buses, Double Decker and Low Floor Buses. We cultivate trust in every endeavour and if you have what it takes it that way, you are the one we are looking for. Be a part of our service network and join us for a profitable Venture.

What we seek from you

Outstanding service marketing abilities. Capability to invest Rs.25-30 Lakhs on service infrastructure conforming to Ashok

Leyland Standards. Site area of 12000 sq ft for a 4 bay facility. Strong commitment to building long term relationships with customers. Ambition to grow the service business

Dealer Locator:Bottom of Form

Finding one of our dealers is now oh-so-easy. All you have to do is to enter the information sought, as to what your specific requirements are and bingo, a satellite screen will open up indicating exactly where you are, where you are headed and all the touch points along your way indicating all the facilities available at each of them.

Sales and Service network

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Our all-India sales, service and parts network promises easy access to customers anywhere in the country.

We have

10 Regional offices and 20 Area Offices Nearly 375 touch points for offering sales, service and parts support Close to 190 dealer outlets for industrial and marine engines Upwards of 140 Authorized Service Centres Over 5000 plus outlets for Leyparts, genuine spares for our products serviced by five

warehousesTogether they form the vital link between us and our customers, however distant they may be located offering quality service to derive the best of our products, day after

day.

Auto Shows 2012:

Top of Form

11th Auto Expo 2012

Venue: Pragati Maidan, New Delhi

Date:    5-Jan-2012 to 11-Jan-2012

Details

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7th Defexpo 2012

Venue: Pragati Maidan, New Delhi

Date:    29-Mar-2012 to 1-Apr-2012

Community Overview

Through various Corporate Social Responsibility (CSR) initiatives we strive to improve the quality of the environment and life at large. Our constant endeavor has been to make our vehicles consume less, pollute less which is reflected in our developmental work (often well ahead of legislation), eco-sensitive manufacturing systems, processes, energy conservation measures and conscious greening initiatives.

Considerable ground has been covered in spreading HIV/AIDS awareness, medical and blood donation, driver training, safety on the highways and setting up and hand-holding women self-groups to be economically self dependent. Employee volunteerism is encouraged and recognized.

Green Mission

We, at Ashok Leyland, believe in making this earth greener for our future generations to live in. Know more about our Green Mission here.

AIDS Awareness

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We were one of the first organisations to start an AIDS intervention centre in mid-90s to spread awareness about HIV/AIDS.

Joint Ventures

To fill a significant gap in our range, we have joined hands with Nissan Motor Company, Japan, to develop and manufacture Light Commercial Vehicles, under both the Ashok Leyland and Nissan brands, in the 2.5 to 7.5 tonne segment. The JV resides in three separate companies for Vehicle Manufacturing, Power Train Manufacturing and Technology Development. The first offering from this stable, the 2.5 tonne DOST, has just hit the Indian market.

With our JV with John Deere, USA, we aim to seize the opportunities of the robustly growing construction equipment sector with products like Backhoe Loaders, Four-wheel-drive Loaders, Skid Steers and Excavators under both the Ashok Leyland and John Deere brands.

This is a JV with Continental AG, Germany  to design, develop and adapt infotronics products and services for automotive customers and meet the requirements of our vehicles and, at the same time, avail of opportunities with other vehicle manufactures in India and overseas.

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Ashley Alteams is a JV with the Alteams Group, Finland, and is in the business of producing High Pressure Die Casting (HPDC) aluminum components pre-dominantly for telecommunications and automotive sectors.

Associate Companies

Albonair GmbH

Albonair GmbH: was established with a vision of being a complete solution provider for reducing automotive emissions and has, in the short period since inception, developed the complete solution for Selective Catalytic Reduction (SCR) and Urea Dosing System (UDS) conforming to Euro 4, 5 and 6 emission standards for commercial as well as passenger vehicles.

Ashok Leyland Project Services Ltd.

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Ashok Leyland Project Services Ltd. assists the investment entities of the Group to identify and implement successfully projects and provides professional services to international companies interested in projects in India. Specialised services include undertaking pre-investment, project development - feasibility studies, appraisals, development of joint ventures, company formation and other professional services that are designated to deliver project opportunities from concept to commissioning.

Automotive Components and Coaches Ltd. (ACCL)

Automotive Components and Coaches Ltd. (ACCL) promoted by Ashok Leyland and the Tamil Nadu Industrial Development Corporation has two divisions: ACCL and PL Haulwel Trailers that offer a wide variety of well-engineered after chassis solutions. ACCL makes tippers, bus bodies, front-end structures (FES), tankers, aluminum containers, OB vans, energy vans while PL Haulwel Trailers (PLHT - a Division of ACCL) manufactures Fifth Wheel Couplers and Hoists, adjustable couplers, double oscillating couplers and fifth wheel tip hoists, Semi-Trailers, Tip Trailers up to 35T capacity  Flat beds (Skeleton /platforms).

Defiance Technologies

Defiance: stands for the global capability to deliver end-to-end services in design engineering, prototyping, testing and validation through Defiance Technologies, sophisticated, high-end testing capabilities through Defiance Testing & Engineering (DTE), Detroit and technology-enabled manufacturing and enterprise solutions through Defiance-Tech.

Hinduja Foundries Ltd. (HFL)

Hinduja Foundries Ltd (HFL): Established in 1959, Hinduja Foundries is India's largest automotive jobbing foundry with production capacity of 125,000 MT in Grey

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Iron and 3000 MT in aluminum gravity die castings per annum. Certified to ISO - 9001 and QS 9000 Quality systems, HFL is also largest manufacturers of Cylinder Block and Cylinder head castings in India.

Hinduja Leyland Finance

Incorporated in November 2008, Hinduja Leyland Finance (HLF), jointly promoted by Ashok Leyland and the Hinduja Group, was formed to provide finance for the purchase of vehicles or equipment. HLF received the NBFC License in March 2010 and have started operations with an equity of Rs. 225 crores. The strength of the Company lies in its core competence in fund-based lending for a diversified portfolio of Commercial Vehicles, Cars, Construction Equipment, Tractors and Used Vehicles and its network that covers 19 states with over 275 locations.

Lanka Ashok Leyland (LAL)

Lanka Ashok Leyland (LAL): Established in 1982, this is a venture with the Government of Sri Lanka in which we have 28% equity holding. We supply chassis in both completely built-up and knocked down conditions to LAL, which, in turn, assembles the chassis and builds bodies for the local market. LAL has also established a fully owned subsidiary called Lanka Ashok Leyland Services, which takes care of marketing and after-sales service including sale of spares.

TVS IRIZAR

TVS IRIZAR: To address the growing demand for luxury coaches in the country, this is a joint venture between Ashok Leyland, TVS & Sons Ltd and IRIZAR, the internationally reputed bus body builder from Spain. As a preferred supplier, IRIZAR-TVS provides a platform to introduce new bus body concepts and designs and fully built buses of international luxury to India.

COMMERCIAL VARIETY OF BUS TRUCKS N TIPPERS FOR EXPORT

BUSES:

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6M Eland Bus Stag26 - 32 Seater 16 - 22 Seater

Stag CNG Eagle Mini Bus - 81226 - 32 Seater 26 - 32 Seater

MINIBUSES:

LYNX LYNX CNG31 - 45 SEATER 31 - 45 SEATER

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HAWK 130 HAWK 16031 - 45 SEATER 31 - 45 SEATER

LARGE BUSES:

Viking 115 Viking 130

42 - 66 Seater 42 - 66 Seater

Viking CNG Falcon 18042 - 66 Seater 42 - 66 Seater

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Falcon 205 12M

42 - 66 Seater 42 - 66 Seater

TRUCKS:

LCVS

8014 912 4 X 2 | 9T GVW

4X2/8T GVW

ECOMET1112 90164 X 2 | 9T GVW 4 X 2 | 11T GVW

HCVS

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1518 16124 x 2 | 16T GVW 4 x 2 | 15T GVW

1613 16184 x 2 | 16T GVW 4 x 2 | 16T GVW

2516 31168 x 2 | 31T GVW 6 x 2 | 6 x 4 | 25T GVW

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3121 35164 x 2 | 35T GVW 8 x 2 | 31T GVW

4018 49216 x 4 | 49T GVW 4 x 2 | 40T GVW

TIPPERS:

912 90164 x 2 | 9T GVW 4 x 2 | 9T GVW

1112 15184 x 2 | 15T GVW 4 x 2 | 11T GVW

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1518 16134 x 2 | 16T GVW 4 x 2 | 15T GVW

1618 25166 x 2 | 6 x 4 | 25T GVW 4 x 2 | 16T GVW

SPECIAL TRUCKS:

STALLION-4X4MK-III STALLION-4X4MK-IV4 X 4 | 12T GVWQ 4 X 4 | 12T GVW

© Ashok Leyland. All rights reserve

THE HAULAGE MODEL OF ASHOK LEYLAND

The range of 4 x 2 haulage models have been designed by Ashok Leyland with complete precision and perfection on quality, efficiency, comfort and performance.

These sophisticated and heavy duty vehicles are high performers, yet they are cost efficient

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in terms of fuel economy and maintenance.

These machines are rigid in structure to deliver maximum durability and thus can perform even on the toughest terrain on this earth.

1613 HThis vehicle runs with a Hino W06DT turbocharged diesel engine with a maximum power of 130 PS @ 2400 rpm. The vehicle is equipped with a 5 speed synchromesh gearbox. This vehicle is also featured with a manual steering with an optional power steering and has

dual line full air brakes.

View Technical Specification of 1613 H

1612 H1612 H runs with a Hino W06E naturally aspirated diesel engine with a maximum power of 119 PS @ 2400 rpm. The vehicle has a maximum speed of 75 km/h and is well equipped with a manual steering along with dual line full air brakes.

View Technical Specification of 1612 H

Comet 1611Comet 1611 launched by Ashok Leyland is used as courier, container, parcel carrier and also in logistics. The engine of this carrier is turbo charged inter cooled H Series WO4CTI engine that has a maximum power of 120 PS @ 2400 rpm and maximum torque of 40 kgm @ 1500 -

1600 rpm.

View Technical Specification of Comet 1611

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1613H/2 (12M Goods)This model launched by Ashok Leyland has an integral power steering and is ideally used as scooter, car and three wheeler carrier and runs on a top speed of 78.8 kmph. It is also used by courier, parcel companies and logistics for carrying white goods and electronic appliances

View Technical Specification of 1613H/2 (12M Goods)

4/51GSThis carrier vehicle is manufactured by Ashok Leyland and is well equipped with an Integral power steering and dual line full air brakes. 4/51GS has an engine that has a maximum power of 132 PS ( 97 KW) @ 2400 rpm with a maximum torque of 43.8 kgm @ 1600 - 1800

rpm. The vehicle's emissions are in accordance to the Bharat Stage II norms.

View Technical Specification of 4/51GS

1613 S This model launched by Ashok Leyland is ideal for carrying blue metal, sand, coal, brick and general goods and is also used as a tanker. The vehicle is well equipped with a turbo charged inter cooled engine with a maximum power of 132 PS ( 97 KW) @ 2400 rpm and maximum

torque of 43.8 kgm @ 1600 - 1800 rpm.

View Technical Specification of 1613 S

1616 HThis model is launched by Ashok Leyland and has a H Series WO6DTI 2N Turbo charged inter cooled engine that has emissions according to the Bharat

Stage II norms and has maximum power of 165 PS (122 KW) @ 2400 rpm with maximum torque of 56 kgm @ 1600 - 1800 rpm. 1616H has an integral power steering and dual line full air brake.

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View Technical Specification of 1616 H

1616H - BS III1616H - BS III launched by Ashok Leyland is well equipped with turbo charged inter cooled Bharat Stage III engine with maximum power of 167 PS ( 123 KW) @ 2400 rpm with maximum torque of 55 kgm @ 1500 rpm. This vehicle is ideal for carrying general goods, white goods and

also used as petroleum and water tanker.

SITEMAP

ASHOK LEYLAND AN LEGENDARY COMPANY :

Ashok Leyland, the Hinduja Group flagship company in India, is a leading manufacturer of commercial vehicles with a product range of

7.5T GVW to 49T GTW in goods vehicles and 19 seaters to 80 seaters in passenger models. The Company’s annual turnover exceeds US $ 2 billion. It has a production capacity of nearly 100,000 vehicles per annum. The Company exports to over 30 countries in Asia, the Middle East, Africa and South America.

Founded in 1948 and head quartered in Chennai, Ashok Leyland started manufacturing commercial vehicles in 1954, with technology from and equity participation by Leyland Motors Ltd, UK.

In 1987, Hinduja Group jointly with IVECO, the commercial vehicle arm of Fiat, Italy, gained a controlling interest in Ashok Leyland and its associate companies when it acquired the UK-based Land Rover Leyland International Holdings Ltd (LRLIH).

With its own comprehensive R&D base, strengthened by collaborations with global technology leaders, Ashok Leyland has established a tradition of technological leadership and a strong reputation for product reliability. The history of Company has been punctuated by a number of technological innovations, which have since become industry norms. It was the first to introduce three-axled trucks, full-air brakes and a host of innovations like the rear-engine and articulated buses in India. In 1997, the Company launched the country’s first CNG bus and in 2002, the first Hybrid Electric Vehicle.

The Company also offers a wide range of special vehicles. For over three decades, Ashok Leyland has been a pioneer in the design and development of special vehicles for the armed forces and is counted among the world’s largest producers of medium duty defence vehicles today. The Company has been supporting the modernization of the Indian Army by developing a host of modern special

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application vehicles that include 5 / 7.5T GVW vehicles for GS role, Light Recovery Vehicles, High Mobility Vehicles, Fire Fighting Trucks and Field Artillery Tractors.

The Company’s all-India customer-base is served through an all-India sales, service and parts network.

In 1995, Ashok Leyland set up a driver training centre, the first of its kind in India – offering a comprehensive training package that prepares a driver for life on and off the road. Over 100,000 drivers have already been trained.

Sustained encouragement to people initiatives combined with regular training programmes, has resulted in a workforce (employee strength: 12,000) that is alive to changes in the operating environment. Ashok Leyland is a learning organization and centre-stage in learning is the Management Development Centre at Hosur.

Milestones in TQM journey:

Ashok Leyland was the first automotive manufacturer in India to receive ISO 9002 certification in 1993

ISO 9001 certification came in 1994 QS 9000 certification came in 1998

All the manufacturing Units of Ashok Leyland are ISO 14001 certified for their Environment Management System (EMS). In addition, the Company has taken up a ‘Greening the supply chain’ initiative so as to extend its commitment of a green environment to its suppliers.

The company has six manufacturing facilities spread over three states. In its effort to convert its technological leadership into market leadership through improved customer satisfaction, the Company has been enhancing its product range by positioning customized models to suit geographical and application segments.

HINDUJA GROUP IN RELATION WITH LEYLAND:

Hinduja Group

Type Private

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Industry Conglomerate

Founded 1914

Headquarters London, United Kingdom

Key people S P Hinduja, (Chairman)

Products

Automotive, financial services,

ITES, oil and gas, media and

telecom

Employees 40,000+

Subsidiaries List of subsidiaries

Website hindujagroup.com

The Hinduja Group is a conglomerate company headquartered in London, United Kingdom. It was founded in 1914 by Parmanand Deepchand Hinduja, initially operating in Mumbai, India, and setting up its first international operation in Iran in 1919. The headquarters of the Group moved to Iran where it remained until 1979, when the Islamic Revolution forced it to move to Europe. Srichand Hinduja and his brother Gopichand moved to London in 1979 to develop their father's export business.

Contents 1 Subsidiaries

o 1.1 Ashok Leyland Ltd o 1.2 Ashok Leyland Defence o 1.3 Gulf Oil Corporation Ltd

1.3.1 Gulf Oil International o 1.4 IndusInd Bank Ltd o 1.5 Hinduja Foundries Ltd o 1.6 Hinduja Global Solutions Ltd. o 1.7 P. D. Hinduja National Hospital and Medical Research Centre o 1.8 Defiance Technologies Limited o 1.9 Hinduja Bank (Switzerland) Ltd

2 Controversy o 2.1 Bofors scandal o 2.2 2001 Hinduja affair o 2.3 Ashok Leyland

3 References

SubsidiariesThe Hinduja Group incorporates:

Ashok Leyland Gulf Oil

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Hinduja Bank Switzerland IndusInd Bank Hinduja Global Solutions (formerly named HTMT Global Solutions) Hinduja TMT Hinduja Ventures IndusInd Media and Communications Ltd. Hinduja Foundries P D Hinduja Hospital Defiance Technologies Limited

Ashok Leyland LtdThe Hinduja Group bought into Ashok Leyland, India’s second largest HCV manufacturer,[1] in 1987. It was the Group’s first foray into India.

The company has a large export market, including a 65% plus market share in Sri Lanka (in the 16 ton plus category) and also enjoys a similar market share in the bus segment in Dubai. During 2003-2005, the company executed an order of 3322 trucks for Iran under the UN’s oil and food programme, the largest ever in the Indian commercial vehicle industry.

The company is also a pioneer in CNG (Compressed Natural Gas) buses and special vehicles for the armed forces, both of which have opened up additional export opportunities for the company.[2]

The company currently produces 84,000 vehicles per annum, with a target of 100,000 vehicles for the year. A new vehicle assembly plant - a joint venture with Ras Al Khaimah Investment Authority (RAKIA) is being prepared in the United Arab Emirates, which was projected to be onstream by March 2008....

The company is in the process of taking over the Detroit based "Defiance Testing & Engineering Services" (DTE), which supplies major American car manufacturers.

Ashok Leyland DefenceThe Hinduja group has formed an independent company to spearhead its defence business. The Group plans to cash in on the growing global demand for defence products. Ashok Leyland Defence Systems Ltd., is the newly floated company by the Hinduja Group. Ashok Leyland, the flagship company of Hinduja group, holds 26 percent in the newly formed Ashok Leyland Defence Systems (ALDS), which has a mandate to design and develop defence logistics and tactical vehicles, defence communication and other systems. Dr V. Sumantran, Executive Vice Chairman, Hinduja Automotive Limited, heads the new venture.[3] Ashok Leyland is the largest supplier of logistics vehicles to the Indian Army. It has supplied over 60,000 of its Stallion vehicles which form the Army's logistics backbone.[4]

Gulf Oil Corporation LtdThe chemical hub of the Hinduja Group was strengthened by the merger of Gulf Oil India Limited with IDL Industries Limited, which became effective from 1 January 2002. The merger enabled the Hinduja Group to consolidate its position in the Indian chemical segment.

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The Company currently has four major operating Divisions:

Commercial Explosives - handling explosives, detonators, explosive bonded metal clads and special devices for defense and space applications. Has eight plants in India, its Hyderabad plant being the largest detonator manufacturing facility in the world (192 million per annum). It is the largest exporter of explosives and detonators to 21 countries, including the Philippines and countries in South East Asia, North Africa, the Persian Gulf, the Middle East, and Southern Europe.

Lubricants - lubricants, greases, and car accessories. Set up in 1993, and now the second largest private sector lubricant oil manufacturer in India.

Mining and Infrastructure - undertakes large scale mining services in coal and iron ore, plus services to the infrastructure sector such as underground metro railways and national highways. Currently it is executing two large projects for Coal India Ltd. The Division has a major presence in the iron ore mining sector where it is working in very large mines rich in iron ore.

Speciality Chemicals - manufactures active pharmaceutical ingredients, intermediates, and finished forms such as tablets, capsules, injectables and liquids. Also undertakes contract research and development services. Manufacturing based in Hyderabad.

Gulf Oil InternationalGulf Oil International, which operates from London offices, is one of the largest petroleum companies and petroleum product traders in the world, operating in more than 83 countries through a network of own companies, joint ventures, licensees, and distributors. It employs more than 3000 people directly worldwide, with indirect employment touching more than 30,000.

It has filling stations in most countries in Europe, parts of South America, and Indonesia. It also markets car batteries, car care products, vehicle air filters, lubrication machinery, and speciality chemicals in many countries. The company operates its exclusive Gulf Express chain of car service centres in Saudi Arabia and is planning to expand into Bahrain and other countries in the Middle East. It is also reported to be considering setting up a base oil refinery in India and a chain of service stations.

Gulf Oil International is also one of the biggest petroleum product traders in the world, with a large plant in China and expanding into the Middle East, Africa and the Asia Pacific Region, with entries announced into Indonesia, Sri Lanka, and China, and massive expansion projects in Dubai, Saudi Arabia and India. It is an internationally accepted company

IndusInd Bank LtdIndusInd Bank is a leading private sector bank, and is the only Indian bank to have been founded by NRIs (Non-resident Indians), and the only commercial bank in India to receive ISO-9001:2000 certification for its branch network. It began its operation in 1994 with a capital of Rs 1 billion and with a focus on corporate and SME lending, and following its merger with Ashok Leyland Finance Ltd (ALFL) in 2004, has had

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an increasing emphasis on retail banking, and has grown into a bank with capital of Rs 10 billion and assets of around Rs 200 billion. It has a customer base in excess of 1.5 million and a network of 170 branches and 99 off-site ATMs (as on March 31, 2007) spread across 141 geographical locations pan India.

The Bank has representative overseas offices in Dubai and London, and correspondent banking relationships with 335 banks worldwide. In the recent past, the Bank has also entered into strategic alliances with Union National Bank in the United Arab Emirates and Doha Bank in Qatar to enhance its NRI business. The Bank’s national reach is extended further through its marketing arrangements for loan products through an associate firm, IndusInd Marketing and Financial Services, which has more than 745 marketing outlets across the country. The Bank has secured high domestic investment-grade ratings for its financial instruments from the local subsidiaries of S&P, Moody’s and Fitch.

Hinduja Foundries LtdHinduja foundries is a five decades old, professionally managed company catering to the casting needs of the developing automobile OEMs in India. It has three manufacturing plants in operation in Southern India. Around 30 % of the vehicles rolled out in India (cars, commercial vehicles and tractors) have major castings supplied by the company. A modern new green field foundry was set up in Sriperumbudur near Chennai with a state-of-the-art R&D centre and starts its production in 2007.

The company has been growing at the rate of around 42% CAGR (Sales - 32 to 100 million $) during the last 5 years (2002-3 to 2006-7) in line with the growth of new emerging India and based on the projected growth of the auto components industry in India, has plans to grow at 35-40% CAGR (Sales 100 to 250 million $) during the next 4 years.

Hinduja Global Solutions Ltd.Hinduja Global Solutions Ltd. (formerly HTMT Global Solutions) commenced its IT operations in 1993. It provides outsourcing solutions including Back office processing, contact center, and Customized IT services to a global clientele comprising several Fortune 500 companies. Hinduja Global Solutions began as an IT consulting firm specializing in providing solutions centered on a mainframe platform, in partnership with IBM. In 1995, the company entered corporate training in mainframes.

The company has over 14500 employees with offices in North America and London, and 19 delivery centers spread across Bangalore, Mysore, Mumbai, Nagercoil, Chennai, Durgapur, Siliguri and Hyderabad in India; Lyndhurst [disambiguation needed  ], Peoria, Illinois, St Louis, Waterloo, and El Paso in the United States; Montreal in Canada, Cyber City in Mauritius, and Manila in the Philippines.

The Contact Center & Back Office Services Division houses multiple international voice centers and back office processing units for leading Health Insurance, Pharmaceuticals, Life Sciences, Telecom, Banking and Financial Services, Consumer

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Electronics / Products, Technology, Automotive, Government, Media and Entertainment, Energy and Utilities and Transportation and Logistics companies.

HTMT’s recent acquisitions have made the company into one of the top Business process outsourcing (BPO) companies in India, with a customer base of over 65 clients and revenues of US$200 million. It is also one of the very few companies headquartered in India with global multiple delivery centers with a major presence in the US. Its Mauritius center supports the French-speaking population, and its Texas center provides support in Spanish.

InCablenet is one of the companies which come under the umbrella of Hinduja TMT or HTMT. It is part of its foray into Media and Communications.

P. D. Hinduja National Hospital and Medical Research CentreThe P. D. Hinduja National Hospital and Medical Research Centre is a modern multi-speciality tertiary care hospital with a medical research center set up in collaboration with Massachusetts General Hospital (MGH), Boston. The hospital has an inpatient capacity of over 350 beds including of 53 critical care beds in different specialties. As a tertiary care hospital, it offers services covering investigations and diagnosis to therapy, surgery, and post-operative care. It is the first tertiary care hospital to have been awarded the prestigious ISO 9002 certification from KEMA, Netherlands, for Quality management systems, and was recently awarded the prestigious "Golden Peacock Global Award" for philanthropy in emerging economies (2006).

The hospital has treated over 1.5 million outpatients, and performed over a million surgeries and over 7.5 million lab investigations. Its laboratory is the first hospital laboratory to be accredited by the College of American Pathologists.

Defiance Technologies LimitedDefiance Technologies, a Hinduja Group Company, is a leading provider of Engineering, ERP and IT services to global customers leveraging the Global Delivery Model.

The Hinduja Group is a well diversified multi-billion, global business conglomerate. The group has about 100 years of experience in building and running successful businesses across sectors such as Automotive, Energy & Chemicals, Banking & Finance, IT/ITES, Media & Entertainment and Healthcare. Some of the prominent brands that are part of the Hinduja Group include Ashok Leyland (global top 10 commercial vehicle manufacturer), Gulf (a global energy and lubricants brand) and Hinduja Bank (Switzerland).

Founded in 1976 in USA with a focus on product engineering and testing, Defiance was later acquired by the Hinduja Group and expanded its services to Engineering, ERP and IT. Defiance has a long history of serving top global companies with over 120 global clients including 30 of the Fortune 500 companies.credible management team with global experience in delivering high-end solutions in Engineering, ERP and IT services space.

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Headquartered at Chennai, India, Defiance has world class development centers at Chennai and Bangalore in India, and state-of-the-art testing facilities at Troy and Westland, Michigan. Defiance has business offices in USA, Europe, Middle East, South Africa and India.

Defiance leverages Hinduja Global Solutions (HGS), a group company for back office processing and contact center services.

Dr. V Sumantran is the Chairman and Mr. Subu D Subramaniam, the CEO and MD for Defiance Technologies Limited.

More details are available here[5]

Hinduja Bank (Switzerland) LtdHinduja Bank (Switzerland) Ltd was founded as a finance company in 1978 and became a Swiss regulated bank in 1994.

Hinduja Bank has its headquarters in Geneva and has a developed network in Switzerland including offices in Lucerne, Zurich, St Margrethen and Basle. Additionally it has a global presence in London, Dubai, Paris, New York, Mauritius and Chennai. Over the years, its businesses have expanded to include Wealth Management, Trade Finance Services, Global Investment Solutions and Corporate Finance Services. More details are available here[6]

ControversySrichand, Gopichand and Prakash Hinduja have been connected with the investigation into the long-running Bofors scandal, in which Swedish firm Bofors was alleged to have paid illegal bribes to Government officials and politicians in connection with the $1.3bn sale of 400 howitzers to the Indian Government in 1986. The three brothers were charged by the Indian Central Bureau of Investigation in October 2000,[7] but in 2005 the High Court in Delhi threw out all charges against them, citing a lack of evidence and saying that documents central to the prosecution case were "useless and dubious" since their provenance could not be verified. Judge RS Sodhi said: "I must express my disapproval that 14 years of trial and 2.5bn rupees ($57m) of public money was spent on the case. It has caused huge economical, emotional, professional and personal loss to the Hindujas."[8]

2001 Hinduja affairIn January 2001, it was revealed that UK government Minister Peter Mandelson had telephoned Home Office minister Mike O'Brien on behalf of Srichand Hinduja, who was at the time seeking British citizenship, and whose family firm was to become the main sponsor of the "Faith Zone" in the Millennium Dome. Consequently, on 24 January 2001 Mandelson resigned from the Government for a second time, [9][10]

insisting he had done nothing wrong. An independent enquiry by Sir Anthony Hammond came to the conclusion that neither Mandelson nor anyone else had acted improperly.

In January 2001, immigration minister Barbara Roche revealed in a written Commons reply that Keith Vaz, Member of Parliament for Leicester East and at the time a

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Foreign Office minister, and other MPs, had also contacted the Home Office about the Hinduja brothers, saying that Vaz had made inquiries about when a decision on their application for citizenship could be expected.[11]

On 25 January Vaz became the focus of Opposition questions about the Hinduja affair and many parliamentary questions were tabled, demanding that he fully disclose his role. Vaz said via a Foreign Office spokesman that he would be "fully prepared" to answer questions put to him by Sir Anthony Hammond QC who had been asked by the Prime Minister to carry out an inquiry into the affair. Vaz said that he had known the Hinduja brothers for some time; he had been present when the charitable Hinduja Foundation was set up in 1993, and had also delivered a speech in 1998 when the brothers invited Tony and Cherie Blair to a Diwali celebration.[12]

On 26 January 2001, Prime Minister Tony Blair was accused of prejudicing the independent inquiry into the Hinduja passport affair, after he declared that Keith Vaz not done "anything wrong". On the same day, Vaz told reporters that they would "regret" their behaviour once the facts of the case were revealed. "Some of you are going to look very foolish when this report comes out. Some of the stuff you said about Peter, and about others and me, you'll regret very much when the facts come out," he said. When asked why the passport application of one of the Hinduja brothers had been processed more quickly than normal, being processed and sanctioned in six months when the process can take up to two years, he replied, "It is not unusual."[13]

On 29 January, the government confirmed that the Hinduja Foundation had held a reception for Vaz in September 1999 to celebrate his appointment as the first Asian Minister in recent times. The party was not listed by Vaz in the House of Commons Register of Members' Interests and John Redwood, then head of the Conservative Parliamentary Campaigns Unit, questioned Vaz's judgement in accepting the hospitality.[14]

In March Vaz was ordered to fully co-operate with a new inquiry launched into his financial affairs by Elizabeth Filkin. Foreign Secretary Robin Cook, Vaz's superior, also urged him to fully answer allegations about his links with the Hinduja brothers. Mr Vaz met Mrs Filkin on 20 March to discuss a complaint that the Hinduja Foundation had given the sum of £1,200 to Mapesbury Communications, a company run by his wife, in return for helping to organise a Hinduja-sponsored reception at the House of Commons. Vaz had previously denied receiving money from the Hindujas, but insisted that he made no personal gain from the transaction in question.[15][16]

In June 2001 Vaz admitted that he had made representations during the Hinduja brothers' applications for British citizenship while a backbench MP. Tony Blair also admitted that Vaz had "made representations" on behalf of other Asians. [17] On 11 June 2001 Vaz was dismissed from his post as Europe Minister, to be replaced by Peter Hain. The Prime Minister's office said that Vaz had written to Tony Blair stating he wished to stand down for health reasons.[18]

In December 2001 Elizabeth Filkin cleared Vaz of failing to register payments to his wife's law firm by the Hinduja brothers, but said that he had colluded with his wife to conceal the payments. Filkin's report said that the payments had been given to his wife for legal advice on immigration issues and concluded that Vaz had gained no

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direct personal benefit, and that Commons rules did not require him to disclose payments made to his wife. She did, however, criticise him for his secrecy, saying, "It is clear to me there has been deliberate collusion over many months between Mr Vaz and his wife to conceal this fact and to prevent me from obtaining accurate information about his possible financial relationship with the Hinduja family".[19]

Ashok LeylandIn February 2005 Ashok Leyland, an India-based flagship company of the brothers' Hinduja Group, announced an agreement to supply 100 army vehicles to the Sudanese Defence Ministry. It was alleged by arms campaigner Mark Thomas that this contravened UK arms export legislation, as a number of the company's directors were UK residents or citizens.[20]

EURO RATIO OF ASHOK LEYLAND IN ITS EXPORT:

ASHOK LEYLAND LTD:

The Company was founded in 1948 and is based in Chennai, India. Ashok Leyland limited is a subsidiary of Hinduja Automotive Ltd. It was named after the founder Raghunandan Saran’s son Ashok, the company was renamed ‘ASHOK LEYLAND’ with equity participation from Leyland Motors Ltd in 1955. Ashok Leyland ltd engages in the manufacture and sale of commercial vehicles and related components in India and internationally. In the year 1967, India’s first inland made double decker was launched by Ashok Leyland. The Company's products include Buses – double decker and vestibule buses, CNG buses, Trucks – including multi axle trucks & tractor trailers, diesel engines, defense and special vehicles for Indian army. From 18 seater to 82 seater double-decker buses, from 7.5 ton to 49 ton in haulage vehicles, from numerous special application vehicles to diesel engines for industrial, marine and genset applications, Ashok Leyland offers a range of products. In the year 2006 Ashok Leyland acquired AVIA the Czech Republic based truck manufacturer. In 2007 the company formed a JV with Nissan Motor Company, Japan for the manufacture and marketing of light commercial vehicles, same year Ashok Leyland signed another JV with Continental AG, Germany – for the development of automotive Infotronics. In 2010, the Company acquired 26% stake in Optare plc. a bus manufacturer in the United Kingdom. Ashok Leyland Ltd is compared to: Bajaj Auto Limited, Motherson Sumi Systems Limited in India and Xiamen King Long Motor Company Limited globally.

Investment Rationale: Management expects industry to grow at a moderate rate of 5 % - 6 % in FY12. Higher interest rates, rising fuel prices and sluggish freight rates in Southeast are

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likely to impact sentiments negatively. Higher tonnage tipper segment is witnessing strong demand with about 50 % YoY growth in H1FY12 largely driven by construction activities. Regional wise sales increased by 112 % in west, 42 % in South, 15 % in North and decline in East. Company’s strength in Tipper segment was affected due to supply constraints of fully built vehicles. Management expects to maintain its market share of 25 % in FY12 driven by penetration in northern and eastern markets. To achieve this Ashok Leyland is increasing dealerships and service stations, increasing production of fully built vehicles (FBV) and necessary price corrections (for select products). It aims to do 3500 units of FBV as of 2000 to 2500 units per month currently. Implementation of ban on overloading has been gaining momentum in Uttar Pradesh, Madhya Pradesh, Bihar and now in Karnataka also. Ashok Leyland has started dispatching its LCV ‘Dost” under Nissan JV with volumes of 210 units in October. During November domestic prices were increased upto 1 %. Internationally prices of metals like Aluminum & Copper are witnessing marginal reduction which is partly offset by unfavorable exchange rate. Management expects benefits in second half of FY12 and maintains EBITDA margins of 10.5 % for FY12. Management targets 9,000 units of manufactured engine sales in H2FY12. Spare parts sales were at Rs. 370 Cr in H1 and management targets Rs. 400 Cr in H2FY12. Ashok Leylands JV with John Deere is expected to launch its first product named Backhoe loader followed by wheel loader in FY13, with the target volumes of 8,000 to 9,000 units. Ashok Leylands Continental JV has started supplying dashboard electronic equipment which is to be fitted in UTruck platform. Management expects major of its JVs to turn EBITDA positive in the next 2 to 3 years. U-Truck has been launched in tractor-trailer and tipper segments only - with the volumes of 2,000 units in H1FY12 and targets its volumes of 6,000 by H2FY12.  Loans & Advances are up by Rs 310 Cr largely due to VAT accumulation of Rs. 46 Cr and excise of Rs. 55 Cr. Also, capital advances are up by Rs. 50 Cr. Management targets to bring down Loans & Advances by Rs. 100 Cr going ahead. It is expected that Ashok Leyland will maintain exports target of 13,000 vehicles for FY12 and targets 15 % of total volumes as exports this is possible due to increased penetration in new markets of Latin America and Africa.

Outlook and Valuation: Ashok Leyland is raising its stake in British bus maker Optare Plc to 75.1 % following a re-financing agreement.  Ashok Leyland had already acquired a 26 % stake in Optare in July 2010 aiming at a long-term strategic partnership. This re-financing was achieved with Ashok Leyland facilitating a credit-line to support Optare's re-banking options and providing a substantially improved working capital facility for the business. Optare's management believes that this re-financing represented a "defining moment" in the company's turnaround plan, which the company had commenced in 2009. Along with the access to Optare’s technology including modern range of city buses, Ashok Leyland sees a large opportunities to grow in the global bus market. Both the management sees this as an important element in their vision of being among the top 5 bus manufacturers globally. Through leveraging the synergies of the two companies, managements are confident that going forward they will be able to accelerate technology sharing, develop future-ready products and substantially increase their global footprint. Ashok Leyland has been trading in the range of Rs. 21 & Rs. 24. Keeping these in mind, Ashok Leyland could be an ideal Buy as well as at declines with a stop loss placing at Rs. 20.50 for a target of Rs. 30.00. Uncertainty with respect to demand for Ashok Leyland (due to regional disparity) continues to be a concern on the volume front. However, price hikes and

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lower Raw Material cost can provide cushion against the drop in earnings due to lower volumes. The company could report EPS of Rs. 2.40 x for FY12E and Rs. 3.00 for FY13 estimates. The stock could be bought with the short term target of Rs. 24 & Rs. 30 for Medium to long term period with the strict stop loss of Rs. 20.50 

KEY FINANCIALS FY10 FY11 FY12E FY13E

SALES (Rs. Crs) 7,244.70 11,117.70 12,542.70 14,274.70

NET PROFIT (Rs. Crs) 388.90 657.30 627.40 786.20

EPS (Rs.) 1.50 2.50 2.40 3.00

PE (x) 18.50 10.90 11.40 9.10

P/BV (x) 3.10 2.70 2.40 2.10

EV/EBITDA (x) 11.20 6.70 5.90 4.90

ROE (%) 17.60 26.40 22.30 24.70

ROCE (%) 12.50 18.50 17.40

Overview:

For over six decades, we have been moving people and goods, touching you and millions across 50 countries worldwide. Today, we are the flagship of the Hinduja Group, one of the largest commercial vehicle manufacturers in India with a turnover of US $ 2.5 billion in 2010-11 having consistently delivered profits to our stake-holders since inception.

Our buses safely carry 70 million passengers to their destinations every day.  Close to 700,000 of our vehicles keep the wheels of economies turning and, as the largest supplier of logistics vehicles to the Indian Army, we play a critical role in keeping our borders safe.

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For our customers, we are committed to provide transport solutions that offer the best operating economics while for users of our vehicles, comfort and safety. This has driven us to pioneer concepts that have become industry norms fueled both by our robust inherent R&D capabilities and the strength of strategic alliances forged with global technology leaders.

Headquartered in Chennai, India, our manufacturing footprint is pan-India with two facilities in Prague (Czech Republic) and Ras Al Khaimah (UAE).

To offer you more from our stable of offerings, we have inked 50:50 Joint Ventures (JV) with Nissan Motor Company (Japan) for Light Commercial Vehicles and John Deere (USA) for construction equipment. Our JV with Continental AG (Germany) is for developing automotive Infotronics while the one with the Alteams Group is for producing high press die casting extruded aluminum components for both the automotive and telec

CONCLUSION

The question that has often been asked is "Does the Indian Industry have the power to

compete internationally: There is no simple answer to this. Rather one would have to

make a detailed analysis often strengths weaknesses of the Indian industry with a

specific focus on what Indian Industry is and should be doing to cope with the ride of

global competition. Although it would be very difficult to analyse all aspects of

exports an attempt has been made of highlights the issue relevant to in Indian

automobile industry exports.

Historically production of Indian Automobile Industry was controlled monitored by

various policies resulting in shortage of vehicles in the market. Automobile industry

was considered as a luxury item and therefore controlled by various policies and

measures. For some of the model the customer had to wait for years not months to get

his vehicle.

Most often vehicles were enjoying high premium and it continued little liberalization.

Moreover the policy was worse of import substitution taken than export promotion.

In this context, manufacturer had a limited opportunity or incentives to export from

Indian market. It was very difficult to meet even the domestic demand due to limited

licensed capacities. Further the manufacturers had problems like:

Low volume and high cost of production

Difficult to access the technology capital goods and production aids

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Cumbersome export procedure

Low margin in export market

Lack of international network

Lack of infrastructure like loads

However with the liberalization July '91, some of these problems were taken care by

the government. But some of the problems either aggravated or remained unsolved. It

was expected that with the liberalization and with more industrialization, the

government may allocate more funds or privatize source of the infrastructural

activities like rods, railway, telecom it I to augment the growth process.

However even after 5 year of liberalization some of the decision has been either

postponed or policies are not clear or supportive to attract investment.

Further in most of the countries exports activity is being considered or priority

activity and the --- who the most successful exporter carried a high regard in the

country. In India we have not yet identified or given the importance of exports from

India. It is worth mentioning that in the past India was ahead of countries like Korea

in exports. The analysis shows that on India, exports have been a marginal activity.

We are still concentrating more on the issue how to make imports rather than to

promote exports. Keeping in these constraints of carefully analyse some of the

automobiles companies, performance of exports over the last 5 year, one will

conclude that the performance has been reasonable.

There has been a substantial increase in exports volume in 1997-98 as compared to

1992-93. In just 5 years, overall exports increased from 73891 vehicles to 189684

vehicles an increase of 256%. Exports as a percentage of total sales increased from

3.9% in 1992-93 to 4.8% in 1997-98.

Within the liberalization of foreign investment technology, vehicle and vehicle and

component manufacturing have easier access to the latest technology which is

essential to meet international quality of performance standards. It is also easy to

import machines and tooling. While these while these are no longer serious hurdles,

further liberalization simplification of procedures and reduction of taxes and duties,

buildings, up of proper infrastructure like ports, roads etc. and threat on export by the

government are necessary to augment exports India. If these are implemented, with

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the volume advantage in some segment, there is no doubt that Indian automobiles

manufacturing can increase their share in export market many times in the next 5 to

50 years.

ANNEXURE

EXPORTS

The buzzword in Industry today is Exports!

The Automotive Industry in India has passed through a variety of phases during

the last forty years. Initially content with only products like Ambassador and Padmini

manufacturers felt quite comfortable by their turn-over. Both these cars-at one time

enjoyed a wait-list running into years which also explains why little attention was

paid to R & D and upgraded technology.

Over the years the very working pattern of this Industry changed. This was more

pronounced after the advent of Maruti on the Indian scene. It brought about a total

transformation in this segment and when overseas manufacturers like. Suzuki set shop

in India joining hands with the Government, it opened up opportunities for those

belonging to component Industry to explore possibilities to step out in Exports

revenue which - apart from attractive revenue - also gave them a distinct identity as

earners of Foreign Exchange!

What added even more to export drives was the advent of a number of

International Automotive Shows. The most important in this class is Automechanika

in Frankfurt. It had a modest start with barely a dozen participants initially joining in

to try their luck in Germany. Subsequently, the Show picked up to enormous

promotions and India today ranks as the largest participant in it outside of Europe.

The Show has gained in strength through the staunch support of your publication -

AET - which also brought together ACMA and IGEP to promote the Show in India.

The extent of achievement of the Show is reflected in the decision of Frankfurt to

choose India as one of the countries in Asia where regional editions of

Automechanika would be held : the two other important points being China and

Singapore. The Indian edition of Automechanika would be held in Delhi in

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conjunction with ACMA and CII next February: it will form a parallel Show with

IETF.

Over the years many more International Shows have also come up and the one which

draws many participants from India is the one held in Las Vegas. Even Shows like

Equip Auto in France tried to lure India into participation but somehow it did not

click for the simple reason that exhibitors from India would any time opt for

Automechanika which is widely seen as the World's Largest Show for Automotive

Components.

India has also had a close look at the Automotive Show in Leipzig in Germany.

Auto Mobil International as it is called is essentially a Motor Show like IAA in

Frankfurt or the British Motor Show. To widen its base to cater to wider circle of

exhibitors Messe Leipzig have since accepted the suggestion by ACMA to add an

Auto Component wing to the main Show where India could also participate. Happily,

Leipzig Messe have not only accepted the suggestion but have already added

AMITEC to the Auto Mobil International from 1998. We would naturally be happy to

see the Indian Auto Component Industry making its mark in the Leipzig Show next

April: this would certainly widen the business horizons of Indian Industry.

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REFERENCES

WWW.GOOGLE.COM

WWW.EEPCINDIA.COM

WWW.IEPORT.COM

“A PRACTICAL HANDBOOK FOR EXPORTERS” BY Rajkumar S

Adukia.

WWW.JUST-AUTO.COM

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