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    ValueLeadership

    Jindal Steel and Power Limited

    11 12ANNUAL

    R E P O R T

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    Our iniaves in value creao

    helped transform lives and ta

    forward the message of a resIndia to the world. We will co

    to strengthen our leadership

    creaon, and make eorts, so

    people have the opportunity

    their full potenal, can parc

    in the decisions that impact tand contribute towards huma

    advancement and creavity.

    AT JINDAL STEEL &

    POWER LIMITED JS

    VALUE CREATION H

    SEVERAL FACETS: PA

    AND PERSEVERANC

    CREATE EXCELLENC

    THE WORLD; CONSI

    FOCUS ON REWARD

    SHAREHOLDERS AC

    INDUSTRY AND BUS

    SCENARIOS; REINFO

    FOOTPRINTS ACROS

    TRANSCONTINENTA

    MARKETS; ENCOUR

    INNOVATION AND

    FUTURE PREPAREDN

    TO BENEFIT ECONO

    AND SOCIETIES; AN

    FIRM COMMITMEN

    PARTNER THE PROG

    OF ALL STAKEHOLD

    AND COMMUNITIES

    GLOBALLY.

    Rolling Table of Rail & Universal Beam Mill at Raigarh Steel Plant, Chhasgarh

    102 Founder Chairmans Vision

    03 Inspiraon fromChairperson

    Emeritus

    04 CMDs Perspecve

    06 Key Highlights

    10 Corporate Identy

    16 Product Porolio

    18 Group Businesses

    22 Core Strengths

    24 Awards and Accolades

    Business Leadership

    226 Operaonal Review

    34 Global Ventures

    38 Human Resource

    40 Sustainability at JSPL

    60 Board of Directors

    62 Management Team

    64 Key Performance IndicatorsSustainable Operaons

    365 Noce

    70 Directors Report

    76 Annexures to Directors Report

    86 Corporate Governance Report

    100 Management Discussion

    and Analysis ReportExcellent Governance

    4109 Standalone Financial

    Statements

    165Consolidated Financial

    StatementsRobust Financials

    Read inside

    Corporate informaonAIRPERSON EMERITUS

    mt. Savitri Jindal

    OARD OF DIRECTORS

    ri Ratan Jindal Director

    ri Naveen Jindal Chairman & Managing Director

    mt. Shallu Jindal Addional Director

    ri Vikrant Gujral Group Vice Chairman & Head Global Ventures

    ri Anand Goel Joint Managing Director

    ri Sushil Maroo Director & Group CFO

    ri R. V. Shahi Director, Independent

    ri Arun K. Purwar Director, Independent

    ri Arun Kumar Director, Independent

    ri Haigreve Khaitan Director, Independent

    ri Hardip Singh Wirk Director, Independent

    ri Rahul Mehra Director, Independent

    ri Inderpal Singh Kalra Nominee Director - IDBI Bank L imited, Independent

    ri M. L. Gupta Wholeme Director

    BANKERS

    State Bank of India

    Punjab Naonal Bank

    State Bank of Paala

    ICICI Bank Limited

    Canara Bank

    STATUTORY AUDITORS

    M/s S.S. Kothari Mehta & Co.

    145-149, Tribhuwan Complex,

    Ishwar Nagar, Mathura Road,

    New Delhi - 110 065

    COST AUDITORS

    M/s Ramanath Iyer & Co.

    BL-4, Shalimar Bagh (Paschmi),

    New Delhi - 110 088

    COMPANY SECRETARY

    Shri T.K. Sadhu

    This pdf has been kept interacve tohelp you easily access the informaonthat you seek by clicking on the desiredsecons from the contents page.

    The icons will take you back to therespecve pages from any page that youare on.

    Previous Page Next PageContents

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    Annual Report 2011-12 Jindal Steel & Power Limited Business Leadership Sustainable Operaons Excellent Governance Robust Financials

    Our Chairperson Emeritus, Smt. Sav

    is giving shape to the vision of Shri O

    through numerous business iniav

    community outreach programmes.

    in aligning business priories with m

    social intervenon, creang a frame

    enduring value creaon.

    At JSPL, we are inspired by her hum

    approach to entrepreneurship, visib

    her eorts to provide healthcare fa

    educaon and employability to thos

    In addion, she supports our enviro

    protecon iniaves.

    Smt. Savitri Jindal remains the drivin

    behind JSPLs global pre-eminence i

    creaon, not just for shareowners, b

    larger stakeholder community.Smt. Savitri JindalChairperson Emeritus

    Enriching a legacy

    of value creaon

    AT JSPL, WE ARE INSPIRED BY

    HER HUMANE APPROACH TO

    ENTREPRENEURSHIP, VISIBLE I

    EFFORTS TO PROVIDE HEALTH

    FACILITIES, EDUCATION AND

    EMPLOYABILITY TO THOSE IN N

    This was the convicon of Shri O.P. Jindal

    who founded one of Indias largest business

    conglomerates, the O.P. Jindal Group.

    He had foreseen the tremendous potenal

    of indigenous entrepreneurship, at a me

    when value creaon had not become a

    corporate buzzword. He felt the objecve of

    entrepreneurship is to create enduring value

    for society, which in turn, will help create a new

    breed of entrepreneurs.

    Over the years, the Group with its diverse

    business interests has spread its footprints

    naonally and internaonally, creang value

    across geographies, cultures and naonalies.

    Moreover, the Group has played a signicant

    role in helping drive Indias economic growth

    and social wellbeing.

    Shri O.P. Jindal had always tried to align

    business priories with social commitments

    like supporng healthcare, educaon, rural

    infrastructure, sports, culture and other

    pursuits among the marginalised secons of

    the populaon. The Group as a whole and JSPL

    in parcular, remains the torchbearer of his

    inspiring vision.

    Shri O.P. JindalFounding Chairman

    VALUE REPRESENTS THE CORE

    OF ALL CONSTRUCTIVE HUMAN

    ACTIVITY, WHICH HAS DRIVEN SOCIAL

    TRANSFORMATION AND ECONOMIC

    PROGRESS ACROSS TIME. FOR

    DEVELOPING NATIONS LIKE INDIA,

    THE POTENTIAL FOR VALUE CREATION

    IS STILL LARGELY UNEXPLORED.

    Sowing the seeds

    of value leadership

    FounderChairmansVision |InspiraonfromChairpersonEmeritus

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    Annual Report 2011-14 Jindal Steel & Power Limited Business Leadership Sustainable Operaons Excellent Governance Robust Financials

    OUR PERFORMANCE IN 201112 IS

    ONCE AGAIN DUE TO THE EFFORTS

    OF OUR EXCEPTIONAL TEAM OF

    TALENTED AND HIGHLY MOTIVATED

    TEAM. WE ALSO THINK THAT IT TAK

    VALUEDRIVEN CULTURE TO BRING

    THE POTENTIAL OF OUR PEOPLE.

    We have signed an MoU with the Government of Odisha to

    set up a downstream Industrial Park for the development

    and industrialisaon of Angul in Odisha; leveraging our large

    steel and power manufacturing capacity along with the Coal

    Gasicaon plant and 80,000 barrel per day CTL project. This

    park will provide a unique opportunity to the entrepreneurs

    of Odisha to set up industrial units at a faster rate. Moreover,

    there will be a focus on select target recovery based industries

    and other medium and small-scale downstream units, which

    would both add value and increase industrial acvity. With an

    investment commitment of `500 crore, the park will create

    direct and indirect employment for over 32,000 people.

    Total investment by prospecve entrepreneurs in the park isexpected to be over `5,000 crore. This park is expected to

    become operaonal by the end of 2014.

    It has always been our endeavour to inculcate the best

    pracces from across the globe. We signed an MoU with the

    Australian mining major, Rio Tinto to jointly work towards global

    commercialisaon of the Hismelt (high-intensity smelng)

    technology to be used in a fully integrated steel making facility.

    We will be introducing the Hismelt technology for the rst me

    in the world other than a pilot plant commissioned in Australia.

    We are looking for acquision opportunies of iron ore and coal

    mines in Australia and Africa to secure raw material sources.

    Our performance in 2011-12 is once again due to the eorts

    of our exceponal team of talented and highly movated

    professionals. We also think that it takes a value-driven culture

    to bring out the potenal of our people. Our people are taking

    responsibility for their acons; making decisions in the best

    interests of the Company; and execung with focus, excellence

    and integrity.

    JSPLs business priories have never overshadowed its

    community eorts. In fact, we have always looked upon ourbusiness as an enabling force for social advancement. JSPLs

    CSR programmes focus on educaon, health and family welfare,

    agriculture, animal husbandry, water resource management,

    infrastructure development, on-farm and o-farm livelihood

    enhancement, capacity building and women empowerment.

    Moreover, we are upliing underprivileged communies and

    supporng locals to develop professional skills and earn a

    beer livelihood. The O.P. Jindal Community College marks

    the fullment of Shri O.P. Jindals vision to educate and train

    a skilled workforce, who can deliver products and services of

    global standards.

    At JSPL, all business decisions are guided by sensiv

    towards the environment and an emphasis on socia

    with the parcipaon of employees, contractors, cu

    communies and all other stakeholders. We are enh

    our focus more on the use of green technologies to

    carbon footprint and opmise the use of natural res

    I thank our Board of Directors, employees, business

    shareholders and the wider community of stakehol

    making JSPLs value leadership an inspiraon for the

    Naveen JindalChairman &am