Investor Presentation Aug10

8/8/2019 Investor Presentation Aug10

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nves or resen a onAugust 2010

1

BSE Scrip Code: 500271, NSE Ticker: MAX, Bloomberg: MAX:INwww.maxindia.com


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MAX GROUP - OVERVIEW

2

www.maxindia.com


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Max IndiaIn the Business of Life

IN THE BUSINESS OF LIFE

u - us ness corpora e ocuse on peop e an serv ce

Protecting Life Caring for Life

Improving Life

Enhances Life

74:26 JV with New

York Life

75.6% ownership;

8 facilities with1100 beds

100% owned; 180

active sites

74:26 JV with BUPA

Finance Plc, UK

Other Business Corporate Social Responsibility

Niche high barrier polymer films & LeatherFinishing Foils

Focus on healthcare, children and the environment

3

To be one of Indias most admired corporates for service excellence


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Key Investment Highlights

n que oppor un y o par c pa e n e s rong grow po en a n e us ness o e

USD 1.5 Bn Revenue.. 4 Mn Customers..17,000 Employees..70,000 Agents..1,350 Doctors2

Well established board governance.internationally acclaimed domain experts inducted4

Strong growth trajectory even in challenging times

3

Diversified ownership..marquee investor base5

Superior brand recall with a proven track record of service excellence6

Strong history of entrepreneurship and nurturing successful business partnerships7

Pharmaceuticals

Component

Telephony Services Plating Chemicals

Transcription

Hutchison COMSAT ATOTECH

4


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Max Group - Key Highlights

Goldman Sachs invests Rs. 522 Cr. through FCDs representing 9.1% equity stakePromoters subscribe to warrants convertible into 3% equity stake at an investment of Rs. 173 Cr; 50% already infused Max Indias stake in MHC to increase from 70% to 75.6%

MNYL turns profitable in Q1FY11 with a statutory profit of Rs.19 Cr. Axis Bank relationship commenced

800 Feet On Street on board

urns pro a e; ac va es x s an re a ons p

Enters into a JV with Nova Medical Centres with beneficial stake of 26%, to initially set up 2 centres in Delhi/NCR

With addition of 350 beds in FY10 bed strength grows to 1100; 800 additional beds to be added by 2012

MHC adds specialties and forms alliance with Nova for Day Care Centers

Max Bupa launches business on a national platform in 9 cities - Delhi/NCR, Mumbai, Hyderabad, Chennai, Pune,Bangalore, Jaipur, Surat & Ludhiana

Max Bupa commences operations and establishes pan India presence

Augments 3rd party distribution through tie up with Karvy Insurance Broking (Branch network over 500 branches) Break even and market share target of 5% by Year 5

MSF undertakes significant expansion

5

73% expansion in capacity with addition of 22,000 TPA BOPP line on track for a target start up in Apr 11


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Consolidated Financial Performance

Rs Crore

6000

8000Total Revenue Trend Consistent track record of strong

growth in all businesses

Losses contained significantly in FY10

11111994

36114891

7729

2000

4000 despite challenging business environment

Life Insurance AUM around Rs. 11,000Cr.*

FY 06 FY 07 FY 08 FY 09 FY10

Rs Crore

FY 06 FY 07 FY 08 FY 09 FY 10

Qtr end

Jun10 FY 06 FY 07 FY 08 FY 09 FY 10

Jun 30

2010

Operating

Revenue1,008 1,820 3,244 4,508 5,571 1,497

Investment and

Other Income**103 174 367 383 2,158 363

Net Worth 637 591 1,537 1,312 1,996 1,978

Loan Funds 382 559 552 347 440 406

Total Revenue 1,111 1,994 3,611 4,891 7,729 1,860

Expenses 1,206 2,065 3,671 5,224 7,773 1,889

Ne Fixed

Assets447 628 718 930 965 984

Treasury

Corpus487 285 1,261 413 909 792

6* AUM for Q1FY11

Profit / (Loss)

after Tax***(95) (71) (60) (333) (44) (29)

Life Insurance

(AUM)886 1,835 3,575 5,405 10,121 10,960


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MAX NEW YORK LIFE INSURANCE

7

www.maxnewyorklife.com


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Parentage

Max India

Indias leadingconglomerate

New York Life

Fortune100 company withtrack record of 180 years

Successful track record ofbuilding businesses

Expertise

AUM of more than $ 256billion

Expertise

Local perspective of theIndian market Managing the regulatory

Global perspective on theinsurance business Products and Actuarial

8

framework


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Life Insurance Industry Perspective

92%120%60

IndividualAdjustedNewBusinessandGrowth25%

34% 36%

100%

Marketshare IndividualAdjustedNewBusiness

53

47

55

19%

33% 31%

17% 40%

60%

80%

20

30

40

000scr

ore

75%66% 64%

50% 57% 52%

40%

60%

1621

10%20%

0%

0

10

FY05 FY06 FY07 FY08 FY09 FY10

R 50% 43% 48%

0%

20%

FY05 FY06 FY07 FY08 FY09 FY10

2010 A challenging year for life insurance

Regulations to increase customer returns, enhance cover multiples, improve persistency

Focus shifts to distribution rationalization, traditional products, customer retention, cost management andprofitability

9Source: IRDA website


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MNYL Advantages

Average case size per agent at Rs. 23,400 for Q1FY11 against Rs. 22,300, grows 5% y-o-y Average case rate per agent at 0.60 for Q1FY11 against 0.54, grows 12% y-o-y

Highly Productive Agency Model and Best in Class Training

gency orce as a un en aroun , w o ces across oca ons Around 750 trainers on board

Comprehensive Product Portfolio

Long tenor products with a young customer profile Balance maintained between ULIP and traditional products ULIP products contribute 73% to new sales and contribute 59% to inforce block of business

Top quartile persistency

First Life Insurer to disclose Embedded Value; Embedded Value for FY10 at Rs. 2,723 Cr,grows by 19% y-o-y

Disclosures Ahead of Competition

Implied NBM for FY10 at 20%; VNB at Rs. 267 Cr.

Investment Performance better than benchmarks

10

AUM around Rs.11,000 Cr. at the end of Q1FY11, growth of 55% y-o-y


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S. Company Individual New Business Premium (Rs. Cr) Individual Policies (000)

Market Position Insurance Sales

No. Premium Adjusted for 10% single premium

QTD Jun10

QTD Jun 09 Growth (%) MarketShare

QTD Jun10

QTD Jun09

Growth (%)

1 ICICI Pru 1,060 545 95% 21.2% 335 360 -7%

2 HDFC Standard 591 360 64% 11.8% 135 152 -11%

3 Reliance Life 533 435 22% 10.7% 494 407 21%

4 SBI Life 416 493 -16% 8.3% 123 160 -23%

5 Bajaj Allianz 400 434 -8% 8.0% 349 357 -2%

6 Birla Sunlife 393 369 6% 7.9% 363 330 10%

7 Max New York 384 384 0% 7.7% 204 258 -21%-.

9 Kotak Life 151 122 24% 3.0% 58 53 9%

10Canara HSBC

OBC147 119 23% 2.9% 23 14 66%

Others 731 602 22% 333 306 9%

Pr ivat e Tot a l 4 ,994 4,039 24% 2,540 2,545 -

LIC 5,796 3,722 56% 6,618 5,905 12%

Grand Tot a l 10,790 7,761 39% 9,158 8,450 8%

11

Market Share ofPvt. Players

46.3% 52.0% 27.7% 30.1%

Source: IRDA website


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Agency Benchmarking

New business* Q1FY11

( Agency)( Rs Cr)

(As onJun 30,

2010)

Premium peragent (Rupees)

RankCase rateper agent

Rank

241 70,152 11,473 1 0.60 1

248 168,124 4,914 6 0.45 2

266 195,565 4,542 9 0.42 3

, , .

208 65,532 10,571 2 0.31 5

551 241,830 7,597 3 0.24 6

60 35,897 5,596 4 0.21 7

139 151,557 3,062 11 0.20 8

47 32,728 4,789 7 0.18 9

63 53,273 3,945 10 0.17 10

301 198,879 5,052 5 0.12 11

12

41 62,459 2,170 12 0.08 12

Source: IRDA Journal, media reports and companys internal estimates

Note: Premium per agent and case per agent are computed on average agents

* Individual First Year Premium (Adjusted 10% for Single premium)


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PROPORTION OF Tenure A e of Insured

Our Focus Protection Oriented,Longer Tenor Life Insurance

3418.0WHOLE LIFE

POLICIES (%, bynumber)

PRODUCT TYPE (Years) (Years)

42

31ENDOWMENT 12.5 19

35

0.2DEFERREDANNUITY

1.6TERM

18

28

41

7.0MONEY BACK40

18

UNIT LINKED 59.0 3616

HEALTH 1.7 13 37

13

21 35

MNYL AverageMNYL Average

As on 30th June, 2010


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MNYL Embedded Value 2009-10

.

267 1913772,723

Unwind of

Value ofNew Other

New CapitalInjection

972,284

Cost

discountverrun

Implied NBM is*

1,517

,

(21.0% in 2008-09)

767 880

Opening EV Closing EV

Denotes increase to EV Net Worth

14

Denotes decrease to EV

*APE Adjusted Premium Equivalent (Annualized First Year Premium adjusted for 10% of Single Premium & 50% of Limited Pay Products)

Value of In-force business


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MNYL Key Assumptions toEmbedded Value

Particulars Assumptions

Cash / Money Market / TB 4.30 %

G Secs 7.87 %

Corporate Bonds 8.80 %

Equities 13.00 %

.

Risk Discount Rate 13.00 %

Tax rate 14.2 % (12.5 % + 10% surcharge +

3 % education cess)

n For change in risk discount rate by 0.5%, the value of new business would change by 4.3%

Sensitivity

n Operating assumptions like mortality, morbidity and lapses are based on our own experience andvalidated with industry / reinsurers experience

n Ex ense assum tions are based on our own ex ense ro ection model. Basis our current ex ansion

15

strategy, our expense break even happens in FY 12-13


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New Business Growth Ad usted FYP1

and

Key Metrics

Renewal remium and conservation ratio2

10,121

8000

10000

12000

1200

1400

1600

1800AUM

90%

120%

2000

2500

3000

3500

216440

769 1308 1595 1584478

8861835

3575

0

2000

4000

6000

0

200

400

600

800

180 317 588 1117 2014 3011

80% 78%83% 82% 83%

30%

60%

0

500

1000

1500

FY 05 FY 06 FY 07 FY 08 FY 09 FY10

AFYP (Rs cr) AUM (Rs cr)

FY 05 FY 06 FY 07 FY 08 FY 09 FY10

Renewal Premium (Rs cr) Conservation Ratio

Agency Strength and Offices3

In force business and No. of policies

242

705715

400

500

600

700

50000

60000

70000

80000

1751

2578

2985

2000

2500

3000

80

100

120

9017 15285 25048 36896 84355 72813

65105

165

0

100

200300

0

10000

20000

30000

FY 05 FY 06 FY 07 FY 08 FY 09 FY10

17 27 45 70 94 123

375 695

1098

0

500

1000

0

20

40

FY 05 FY 06 FY 07 FY 08 FY 09 FY10

16

Agency strength No of Offices Sum Asssured (Rs 000's cr) Policies '000

1. Individual First Year Premium adjusted for 10% single pay2. Conservation ratio = Renewal premium for the current period / (First Year + Renewal Premium for the previous period)


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The Way Forwardsustained profitablegrowth

Multichannel distribution model with focus on building superior agency force

Focus on strengthening distribution & improving productivity

Bolstering Bancassurance through additional strategic tie-ups

Concentration on improving agent productivity and retention

Focus on protection oriented products with enhanced cover multiples

ro uc s an us omer e en on

3 new ULIPs & 1 new Traditional product in the pipeline Maintaining conservation ratio through focus on persistency

-

Continued focus on cost management

17

Improving in-house productivity to decrease costs per transaction


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MAX BUPA HEALTH INSURANCE

18

www.maxbupa.in


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About the Joint Venture ...

Largest independent health insurance provider in UK 10 million customers in over 190 countries

, Group revenues in 2009 - 7.0 billion and PBT of 417 million Recently voted as best international health care provider

JV between Max India (74%) and Bupa (26%) Max India and Bupa jointly drive strategy & business development

regulatory environment Max Indias experience of Life Insurance and Healthcare sectors

and Bupas international health insurance expertise creates anunparalleled combination

JV

19


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Health Insurance Industry Perspective

80%

n Private health insurers gradually increasingmarket share

~ -38% 39%

42% 41%40%

50%

60%

70%

n Specialist health insurers grow rapidly over last 2-3 years

n Vanilla mediclaim product still most popular

62% 61% 58% 59%25%

0%

10%

20%

30%

n Private players slowing down B2B sales

n Public health insurers to cap cashless claims

2006 2007 2008 2009 2010

Public Health Insurers Market Share Private Health Insurers Market Share

12%14% 1200

11%

4%

9%

6%

8%

10%

12%

491 1095600

800

1000

P(RsCr.)

3% 3%

Star Health

& Allied

ICICI

Lombard

Bajaj

Allianz

HDFC Reliance Others

0%

2%

4%

44115

535

0

200

400G

20

Private Sector Market Share Split 2009 - 2010

- -

Apollo Munich Star Health & Allied Aggregate specialised health insurers


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Health Insurance Market In IndiaA Rapid Growth Story ...

28,461

25 000

30,000

17,508

22,322

20,000

8 447

10,770

13,731

10,000

15,000

761 1,0041,354 1,732

2,2223,209

5,110

6,625

5,000

-2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015

*Source: KPMG CII Health Insurance Report 2008

21


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What Max Bupa Has Set Out To Do

Category / product awareness

Trust, consistency and customer

Process pain

Com lexityadvocacy

A health preventive focusLack of accountability

Transparency and accountabilityRelationships with customers

Service Level

Uncertainty of health insuranceproducts and processes

a ue percept on

22


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Relationship

Max Bupa differentiated proposition

GoodHospitalization

experience:

Simplicity,Transparency:Hassle free claim

Com rehensive

Manager forGold & Platinum

CustomersTechnology &

No TPA

underwriting at point

of claim

benefitsautomat on

ahead of curve

Value for money:Comprehensivebenefits for the

money paid

Support for

Familys health

Access toinformation

Checkups onrenewal

Health andwellness focus

Health Coach(2011 onwards)

24/7 health line

23


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Business Progress

License received from IRDA in Feb 2010, first product approved in March 2010License received from IRDA in Feb 2010, first product approved in March 201011

Simultaneous brand & business launch in 9 cities from Apr 29, 2010 Delhi (NCR),Simultaneous brand & business launch in 9 cities from Apr 29, 2010 Delhi (NCR),22 , , , , , ,, , , , , ,

Gross Written Premium of Rs. 2.4 Cr. in 45 days since launchGross Written Premium of Rs. 2.4 Cr. in 45 days since launch33

44 Peak equity commitment of Rs. 700 Cr. of which Rs. 220 Cr. infused

People strength 470, to grow to 600 by December; 1296 agents on boardPeople strength 470, to grow to 600 by December; 1296 agents on board

66 100% growth in month on month premium with 5000+ lives covered

Max BUPA Heartbeat sold in 100+ cities; high end products experiencing highertraction

7

24

Augments 3rd party distribution through pan India tie up with Karvy Insurance BrokingAugments 3rd party distribution through pan India tie up with Karvy Insurance Broking88


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MAX HEALTHCARE

25

www.maxhealthcare.in


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Healthcare Se ments Share b 2012

Healthcare Industry Perspective

12.0

Insurance

& Medical

Equipment,

13%

USD 77 Bn.9.7

8.0

10.0

Bed Density per 1000 population

Pharma,

13%

Diagnostics,

3%

0.9

2.92.2

3.2 2.61.9

2.6

2.0

4.0

.

osp ta s,

71%0.0

KEY HIGHLIGHTS

In 2010, the industry is expected to grow by 10-15%; hospital chains, diagnostics, medical devices & wellness products &services are expected to be most favored sub sectors by investors

Private hospitals to contribute USD 45 Bn by 2012 Share of top tier private hospitals (>100 beds) is expected to grow to 40% of the total hospital segment by 2015

Specialty hospitals are estimated to grow faster than overall industry due to rise in lifestyle diseases

26Sources: Research on India Report , 2010, Healthcare India Report, Fitch Ratings, 2010, FICCI E&Y Report, 2008

n a nee s an nves men o n y o ncrease e ens y o per , popu a on

Public health insurers to cap cashless claims


27/60

Growin Health Insurance Market...

Key Drivers for Growth

8450

60

70

80

90

billion

100

48

65

India UK US

000s)

14 17 22 32

5166

0

10

20

30

FY04 FY05 FY06 FY07 FY08 FY09 FY10

Rs

8.5 7 4.5 9.8

3224

6.4

19.218

Open Heart Knee replacement Lap Cholcystectomy Obesity Surgery

(USD

Rising health insurance penetration will make healthcareaffordable

Cost differentials provide a huge untapped market formedical tourism related business opportunities

International Healthcare Expenditure (as a % of GDP) % Population

2.9

3.4

1.2

3.3

4.2

3.6

Mexico

Brazil

India

Public

3.30%2.80%

1.30%

4.91%

3.70%

2.70%

2%

4%

6.8

6.4

8.4

3.1

0 5 10 15 20

US

Austr r vate 0.18% 0.20%

0%Cardiac Diabetes Obesity Cancer

2005 2015

27Sources: FICCI & E&Y Report, 2007, IRDA, B&K report, 2009, Crisil, Research on India Report, 2010

Low healthcare spend presents opportunities for growthand expansion

Growing trend of lifestyle diseases need effective andcontinuing medical attention


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MHC Model

- Max Super Specialty Hospitals Saket

Neurosciences Oncology Cardiac Care

- Max Super Specialty Hospital Patparganj

Joint Replacement and Orthopaedics

Aesthetics and Reconstructive surgery

Max Hospitals 3

Specialty Centre 2

Medicine & Allied Specialties Mother and Child High-end diagnostics

Infertility and IVF

Primary CarePrimary Care

PHP Specialist doctor consult

Implants 9

Basic diagnostics like pathologycollection Home Care

28

Presence across the healthcare delivery value chain


29/60

Shareholding Pattern and Key Highlights

Others,

4.9%

IFC

Washington

3.1%

Shareholding* FactsheetHealthcare facilities 8

Physicians 1350**

Warburg

Pincus,

Other support staff Around 3,650

Patient base Approx. 980,000

Patient transactions Over 220,000 pm

.Beds 1,100

ICU Beds 324

Operation Theatres 35

MaxIndia

Ltd,75.6%

Cathlabs 3

LINAC 2

PET 1

MRIs 4CTs 6

29* Shareholding pattern as reflected above is adjusted for recent investment of Rs. 53 Cr. by Max India in MHC**Includes 705 physicians on Rolls

Lab facilities at Max Super Specialty Hospital are NABL accredited


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Key Strengths

State-of-the-art infrastructure and facilities

Comprehensive and integrated healthcare services

Well established brand name throughout India Quality conscious and patient centric approach

Consistently improved operational and clinical efficiency Won numerous accolades including accreditations by the NABH and NABL Comprehensive range of services offer primary, secondary, tertiary and quaternary care

Team of 1350 doctors complemented by 1800 nurses and 1850 other trained medical

personnel and support staff *

Network of highly respected and leading specialists

Centres of excellence in cardiac, minimal access, metabolic and bariatric, orthopedics andjoint replacement, neurosciences, pediatrics, obstetrics & gynecology, oncology andaesthetic & reconstructive surgery

Leadership in key super-specialties in tertiary care

Organ transplant, cord blood banking, stem cell research to be added

DNB Di lomate of National Board & fellowshi ro rams

Extensive emphasis on medical training and education

30

High quality nursing and paramedic care supported by nursing and paramedic college

*As of June 30, 2010


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Key Metrics

56.5%57.2%

57.0%

59.0%

450

600

Revenue and Contribution Margin

14964 15540

18914

19433 20431

20000

25000

600

800

Avg. operational beds and Avg. revenue per

occupied bed day*

131 245 372 423 534

50.6%51.5%

53.1%

51.0%

53.0%

55.0%

150

300

346

610 662712 751

5000

10000

15000

200

400

49.0%0

FY 06 FY 07 FY 08 FY 09 FY10

Revenue (Rs cr) Contribution Margin

00

FY 06 FY 07 FY 08 FY 09 FY10

Avg. operational beds Avg Revenue per bed day (Rs)

4779953751

64785 6439068806

40000

60000

80000

45000

60000

75000

322

432 446493 565

300

450

600

1500

2000

2500

22235

36671 46532 51103

59130

0

20000

0

15000

30000

FY 06 FY 07 FY 08 FY 09 FY10

7711105

1593

1900

0

150

0

500

1000

FY 06 FY 07 FY 08 FY 09 FY10

31

Inpatient Transactions Avg. revenue per patient (Rs) Outpatient transactions (000's) Avg. revenue per patient (Rs)

*Average revenue per occupied bed day has been calculated on inpatient revenue


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Max Healthcare Expansion

Facility No.ofBeds

Date ofCommencement

Max Hospital, 150 Jun 2011

21502450

2000

2500

3000

Bed Capacity

Dehradun

Max Hospital, 300 Sep 2011

770

1100

0

500

1000

1500

Max Hospital,

Mohali**

300 Sep 2011

FY09 FY10 FY12 FY16

Bed Capacity

Max Hospital,

Bhatinda**

300 Sep 2011Funding Position

Funding required for new projects of approx Rs. 500 Cr.*

Equity infusion of approx Rs. 300 Cr. and debt of approx Rs.

Max Hospital,

Greater Noida

300 FY16r.

Of the above, equity of Rs. 117 Cr. to be raised; balanceequity and debt funding tied up

3232*This does not include project cost for Greater Noida facility and Phase 2 cost of Mohali and Bhatinda** 100 beds to be added in Phase 2 (Year 5)

Land already in place for the expansion


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MAX NEEMAN MEDICAL INTERNATIONAL

33

www.neeman-medical.com

Indian Clinical Research Industry


34/60

Indian Clinical Research IndustryPerspective

250

300300

350

Growth of the Clinical Trial Industry in India

Indian CRO industry

100120

150 160175

100

150

200

250

US$Millionis expected to leap

into a superiorgrowth trajectory inthe next few years

0

50

2004 2005 2006 2007 2008 2009E 2010E

Key Growth Drivers of Clinical Research

Huge patient population base with therapeutic diversity

Huge talent pool

Data processing infrastructure for bio-informatics

As per FICCI - Ernst and Young Survey Report 2008 and market information

Favorable patent regulations

34


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MNMIOverview

Full service contract research organization (CRO) with focus on Phase II, III & IV trails

Service offerings include: Project management, Site management, Data management, including, bio-

statistics and report writing, monitoring services and supply chain management

Confirmed order book of Rs 37 Cr. as at Jun10 end with net addition of Rs. 7 Cr. during the quarter

Business Development efforts focused on medium/small-sized biotech & pharma companies

Key Highlights

Operational since 2001 and profitable

Revenue for Q1FY11 at Rs. 2.3 Cr.

Marquee Clients

Business development pipeline of approx Rs. 76 Cr.

Patient retention rate at 92%

5 successful US FDA GCP audits

5 new clients added in Q1FY11; client base grows to 62

Database of over 1100 GCP/ICH trained investigators

60% of employees out of 295 are physicians

35

92 studies being executed across 180 sites


36/60

MAX SPECIALITY FILMS

36

www.maxindia.com


37/60

Global BOPP Industry Perspective

7130 75007900

77% 76% 77% 77% 78%

60%

80%

100%

6000

8000

10000

BOPPGlobalDemandandSupply GlobalpercapitaconsumptionofBOPPBOPP per capitaconsumption inIndia lower than

(KGs)

4950 5150 5500 5800 63000%

20%

40%

0

2000

4000 1.91.6

1.2

0.5 1.6 0.16

0.8

average

(KTA)

2007 2008 2009 2010 2011

Capacity Production Utilization

WesternEurope

China NorthAmerica

Asia LatinAmerica

India WorldAverage

Global flexible packaging industry growth at over 5%

Growth of flexible packaging Industry ~ 15% in India and 7 - 8% globally

Per capita consumption of BOPP in India relatively lower

BOPP films are recyclable and have a competitive advantage over other plastic and traditional products

Shift from PET to BOPP (Indian BOPP:PET products ratio around 1:2 against 3:1 globally)

Competitive pricing and costs spurs exports from India and restricts imports

37

Convertor industry growing & India becoming global hub for supplies of Flexible Laminates

MSF i ibl i T B d


38/60

MSF visible in Top Brands

MSF films in

38


39/60

Key Differentiators

CommoditySpeciality(Preferred)

MetallisedFilms

Coated Films Foils

End Use

Packaging,Industrial,

Textiles

Packaging,Lamination

Packaging,Lamination,Industrial,

Packaging,Industrial

Lifestyle,Apparels

Our FocusMax Speciality Films is much more than packaging

n Manufacturer of niche (high margin) and high barrier speciality polymer films

n Pioneer in introduction of value added roducts/technolo in India

n Value added products account for 60-70% of total sales

n New product development 6 to 8 per year

39

n ong erm re a ons p w ue c p cus omers; re erre en or

Key Highlights


40/60

Key Highlights

BOPP lines of 30,000 TPA & all Metallisers running at 100%+ capacity utilization

Capacity Utilization

BOPP capacity expansion of 22,000 TPA, operational in April 2011 Expansion to spur growth & profitability

Special Films developed for Pepsis Aliva & Cadburys Silk

New Product Development

Revenue of Rs. 92 Cr. and PBT of Rs. 5.2 Cr in Q1FY11; y-o-y growth of 16% and 8% Achieved EBIDTA Margin of 12% in current quarter

Performance

Energy Conservation from Ministry of Power Govt. of India

Awards

40

International Quality Crown from B.I.D. Spain


41/60

Thank You

41

M I di M t T


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Max India Management Team

Mr. Analjit Singh

Chairman & Managing

Director

Mr. Analjit Singh has been the driving force behind Max Groups sustained growth and success since the early

80s. Mr. Singh a prominent industrialist is an alumnus of Doon School; University of Delhi, and the Graduate

School of Management, Boston University

Mr. C. V. Raghu

Director Legal &

Regulatory

Mr. Raghu brings with him a rich and varied experience of 24 years, of which, 14 years have been spent with

American Express Bank. Prior to that, he has worked with Hindustan Lever Limited and CII. He holds a Bachelors

Degree in Law from Faculty of Law, Delhi University.

r. o t a war

Director Corporate

Development

. , ,

& Standard Chartered. In his last assignment with Standard Chartered he was responsible for developing

strategy, revenue & economic profit across products. Mr. Talwar is a post-graduate in Arts and Hospitality

Management.

. .

Director - Group Human

Capital

Mr. Dwarakanath brings rich and varied experience of 41 years primarily from GSK GlaxoSmithKline Consumer

Healthcare and is currently the non Executive Director of GSK. He has done his Post Graduate diploma in

Personnel Management and Industrial Relations, B.Sc and Bachelor of Law.

s. u a a a nam

Chief Financial Controller

Ms. Ratnam brings with her over 21 years of rich and varied experience with Jubilant Organosys and Tata Motors

and has expertise in the field of financial restructuring and fund raising. She is a Chartered Accountant.

Mr. V KrishnanMr. V. Krishnan has more than 25 years of rich experience in Corporate Regulatory and Compliance matters and

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Company Secretary,

Group. He is a member of the Institute of Company Secretaries of India.

MNYL M t T


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MNYL Management Team

Mr. Rajesh Sud

Managing Director

and CEO

Mr. Sud, a founder member, has been instrumental in establishing MNYLs distribution footprint across India. Today

MNYLs Agency model is recognized as best-in-class. Prior to joining MNYL, he was the CEO & Managing Director of

Esanda Finance Ltd (a financial services subsidiary of ANZ Grindlays Bank)

Mr. Rajit Mehta

Chief Operating

Officer

Mr. Mehta, a founder member, has led and built the HR function of MNYL and provided overall HR direction in line with

business strategy. He has also played a significant role in managing change / transition agendas both at a functional

and organizational level while facilitating strategic initiatives. Prior to joining MNYL, he was Director - Human Resources

at Bank of America, India

Mr. John Poole

Chief Actuary

Mr. Poole, is both Chief Actuary and Appointed Actuary for MNYL. He has been instrumental in building MNYLs

actuarial capability and implementing best practices. Prior to this assignment, he worked with AMP in various key

management positions including CFO and Actuary

Mr. Sunil Kakar

Senior Director &

Mr. Kakar joined MNYL in March 2001 and is in charge of Finance, Accounts, Investments and Risk Management.

Under his leadership investment portfolio continues to generate top quartile returns. Prior to joining MNYL, Sunil was

with Bank of America India as Vice President CFO ,

Mr. Ashish Vohra

Chief Distribution

Mr. Vohra brings with him well rounded experience of 21 years in marketing, product and business roles across

financial services and manufacturing industries. Prior to joining MNYL, he was with Fullerton India as Business

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Officer Manager, Commercial Mass Market. His previous engagements were with Citibank and Eicher Motors.

Road Map to Becoming Indias Most Admired


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Life Insurance Company

A trusted life insurance specialist

Customer centric

Financially responsible and strong

A great place to work

VISIONVISION Become the most admired Life Insurance Company in India

MISSIONMISSION

Part of top quartile newLife Insurance Companies National Player Brand of FIRST choice

KEYKEYWHAT Comprehensive suite ofproducts,competitive pricing, extensive distribution,

Employer of Choice Principal of Choice for Agents

Key DifferentiatorsKey Differentiators

Financial Strength & Security

Quality of agents

Flexible ProductsOBJECTIVESOBJECTIVES

STRATEGIESSTRATEGIES

, ,profitable portfolios

HOW TalentedPeople, Professional & Productive Agents,

Performance Metrics, Leverage Technology, Teamwork,

Service Excellence

Fair Terms of Business

,

INITIATIVESINITIATIVES What-When-Who-How-Cost linkage plans at Departmental andIndividual levels

VALUES & BELIEFS OPERATING PRINCIPLES METRICS & PERFORMANCE

Excellence Honesty Knowledge Caring

STANDARDS MGMT PROCESS Customer comes first

International quality standards Do it right the first time Fact based decisions Bias for result oriented action Financial stren th & disci line

Input Output External Internal

GMPR Ratings TEC/TTR Templates Primary, Shared and

Contributory

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Teamwork

Direct and open communication Respect Max & NYLI values & parentage Fun at work

so ute Ratios

a ance scorecar Core, Functional and

Leadership Competencies

MNYL Performance Snapshot


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MNYL Performance Snapshot

Key Business Drivers Unit Quarter Ended Y-o-Y

GrowthJun-10 Jun-09

a) Gross written premium income Rs. Crore

First year premium 405 389 4%

Renewal premium 845 677 25%

Total 1,304 1,118 17%

b) Individual Adjusted Premium (APE*) Rs. Crore 384 384 -

c) Conservation ratio** % 79% 85%

d) Average case size Rs. 23,395 22,285 5%

e) Case rate per agent per month No. 0.60 0.54 12%

f) Number of agents No. 72,813 84,355 -14%

g) Paid up Capital Rs. Crore 1,973 1,782 11%

h) Individual Policies in force No. 3,041,076 2,661,592 14%

45*Individual First Year Premium adjusted for 10% single pay**Conservation Ratio = Renewal Premium for the current period / (First Year + Renewal Premium for the previous period)

i) Sum insured in force Rs. Crore 139,957 102,963 36%

Life Insurance Industry Regulatory Update


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Life Insurance Industry Regulatory Update

Notification Revised Regulation Implementation

ULIP charges capped at 300 bps for policieswith 10 years maturity and 225 bps for policies

July 2009w over years ma ur y

Overall fund management charges capped at150 bps and 125 bps respectively

c or a ex s ng pro uc sand Jan 2010 for all new products.

May 2010n mum tenure o a s ncrease rom

to 5 yearsJuly 2010

June 2010Charges to be distributed evenly over the lock-

in periodSep 2010

June 2010Capping of charges for policies surrenderedafter lock-in period graded from 5th year to 15th

year

June 20104.5% guaranteed return to be provided onpension and annuity

Sep 2010

July 2010surrendered during the lock-in period

Sep 2010

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MHC Key Physicians


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MHC Key Physicians

Padma Shri Dr. Rustom Phiroze Soonawala

MD, FRCS, FRCOG

Chairman, Obstetrics & Gynaecology

Eminent and Internationally renowned Obstetrician & Gynaecologist.

Former President of the Federation of Obstetricians and Gynaecologists

Dr. S.K.S. Marya (M.S., DNB, Mch, FICS)

Chairman - Orthopaedics & Joint Replacement andAssociate Medical Director

Renowned Joint Replacement Surgeon having 30 years experience.

Pioneered bilateral Hip and Knee Joint replacement.

Author and teacher par excellence.

Dr. Shakir Husain

MD, DM, FINR (Switzerland)

Director Interventional & Sr. Consultant Neurology

Former Consultant & Interventional Neurologist at Ganga Ram Hospital

He is a visiting professor to the University of Ulm, Germany and BSMMU,

Dhaka has been closely involved in the development of comprehensive

Stroke and Neuro intervention centers in the Asia-Pacific region

Dr. Rana Patir

MS, MCH (Neuro Surgery)

Director Neurosurgery

Renowned Neurosurgeon having 27 years experience.

Served institutions of repute like Sir Ganga Ram Hospital, AIIMS, Institute of

Neurosciences, Guwahati etc.

Dr. Anurag Krishna

MS, MCh., FAMS

Director, Paediatrics and Paediatric Surgery

20 years experience in Paediatric surgery -complex congenital malformations

Published 50 scientific papers in leading national and international journals

Served as Member of the Board of Management of Sir Ganga Ram Hospital.

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MHC Key Physicians


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MHC Key Physicians

Dr. Urvashi Prasad Jha

MD, MRCOG, FRCOG

Director Obstetrics & Gynaecology

Over 30 Years Experience in treating women with gynaecological problems

Served institutions of repute like with Indraprastha Apollo Hospital, PD Hinduja

Hospital and Medical Research Centre, Dharamshilla Cancer Hospital etc.

Padamashree Dr. (Prof.) H. S. Rissam

MD, DM, FICA FCCP, FISE, FIMSA, FICC,FCSI, FICN, FRSM, MRSH

Over 30 Years Experience in Cardiology & Medicine

Former Director Medical Sciences - Batra Hospital & Medical Research Centre,

Former Associate Director - Escorts Heart Institute & Research Centre, New Delhi

Director Clinical Cardiac Sciences & SeniorInterventional Cardiologist

ormer ro essor o e c ne ar o ogy ovt e ca o ege an group

of Hospitals Srinagar & Kashmir

Dr. Harit Chaturvedi (MS, MCH) Having 25 years of experience in Surgical Oncology.

Oncology

,

Hospitals, Batra Hospital & Medical Research Centre, New Delhi.

Renowned Radiotherapy Oncology Surgeon, with 26 years experience.

.

MD (Radiotherapy & Oncology)

Sr. Consultant & Chief Radiation Oncology

.

India, American Society for Therapeutic Radiation Oncology etc.

Served institutions of repute like PGI Chandigarh, Batra Hospital & Medical

Research Centre and Rajiv Gandhi Cancer Institute & Research Centre.

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MHC Accreditations and Awards


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FICCI Healthcare ExcellenceAwards(2009)

ISO 14001:2004 at Pitampura

ISO 9001:2008 Recertification atMax Heart & Vascular Institute,

First in North India to get NABH for MHVI & MSSH

, ,Park &Home Office

Max Super Speciality HospitalIndia International

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Excellence in Healthcare Delivery

Achiever Award

MHC Tertiary Care Facility, Saket[South Delhi]


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[South Delhi]

MAX SUPER SPECIALITY HOSPITAL(East & South)

MAX SUPER SPECIALITY HOSPITAL

(West):- , :-n Patient beds (East ; 207 beds) & (South ; 83 beds)

n 11 OTs, 2 Cardiac Catheterization Labs

n Tower Specialties Cardiac Sciences, Minimal Access,

ay

n 184 beds (including 71 critical care beds)

n 7 OTs, 20 Consult Chambers

n Tower Specialties Orthopaedics, Neuro Sciences,

,

(Surgical, Medical and Radiation)n Nuclear Diagnostic Services

n Advanced CT Scan Imaging

n

,

Reconstructive Surgeryn Brain Suite (first in Asia) and Intra Operative MRI

n DSA Lab (for Neuro Sciences)

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Cardiac Life Support Ambulances and Air Evacuation

Service

n High end Radiology facilities with 64 slice Cardiac CT

MHC Tertiary Care Facility, Patparganj[East Delhi]


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[East Delhi]

PATPARGANJ (PPG I ) (May 2005) PATPARGANJ (PPG II) (Feb 2010)

154 inpatient beds

3 OTs

General Surgery & MAS

Nephrology

259 inpatient beds

7 OTs, 1 Cardiac Catheterization Labs

Invasive & Non Invasive Cardiology

Cardio Thoracic Vascular Surgery

Plastic Surgery & Gastroentrology

Other allied specialties

(Surgical, Medical and Radiation) Orthopaedics & Joint Replacement

Neurosciences

Urology

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Critical Care & Other allied specialties

Ambulatory Care

MHC Secondary Care Facility[ Suburb of Delhi ]


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[ Suburb of Delhi ]

NOIDA (August 2002)GURGAON (July 2007) PITAMPURA (February 2002)

32 inpatient beds

2 OTs

Mother and child care

Non-invasive cardiolo

80 inpatient beds

3 OTs

Orthopaedics & Trauma

Ophthalmology (anterior and posterior)

90 inpatient beds

2 OTs

Lithotripsy

Laparoscopic surgery

Orthopaedics

ENT, ophthalmology

Urology and nephrology

Medical & surgical intensive care Nephrology and urology

Aesthetic and reconstructive surgeries

General and minimally invasive

Aesthetic & Reconstructive Surgery

Non-invasive cardiology

Physiotherapy

Paediatric & Neonatal Intensive Care

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Full range diagnostics

PHP, OPD and Dentistry

surger es

PHP and OPD

Paediatric & Neonatal Intensive Care

Full range diagnostics

PHP, OPD and Dentistry

MHC Speciality Centres Panchsheel

[South Delhi]


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[South Delhi]

OPTHALMOLOGY AND DENTAL CARESPECIALIST CONSULTS AND

HIGH-END DIAGNOSTICS

Lasik, OPD and diagnostics

Dental 5 chambers

(August 2006)

GP and specialist consults

Diagnostics

Preventive health and chroniccare

Physiotherapy

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emergencies

IVF

Home Care

Project Cost


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jn Max India

EquityCapital

Rs. 696 Crore

Current Rs. 220 Cr Future Rs. 150 Cr

n Warburg Pincus Rs. 140 Crn IFC, Washington Rs. 50 Crn Other Forei n Investors Rs. 20 Cr

Preference

n New Investor Rs. 116 Cr

n

Project Cost*

Rs. 1,592 Crore

Rs. 250 Crore

n Indian Banks and FinancialInstitutions

Drawn Rs. 421 Cr

Future (tied-up) Rs. 127 Cr

eFunds

Rs. 617 Crore .

InternalAccruals

56* The above project cost does not include project cost for Greater Noida Hospital and Phase 2 cost of Mohali and Bhatinda

Rs. 29 Crore

MHC Performance Snapshot


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- -

Key Business Drivers n

GrowthJun -10 Jun - 09

a) Revenue (Gross) Rs. Crore

Inpatient Revenue 115 91 26%

Day Care Revenue 5 - -

Outpatient Revenue 39 26 47%

Total 159 118 35%b) Profitability

Contribution Margin Rs. Crore 92 67 37%

Contribution (%) % 57.4% 56.8%EBITDA Rs. Crore 5 6 -25%

EBITDA (%) % 3.0% 5.4%

c) Patient Transactions (No. of Procedures) No.

, ,

Day care Procedures 1,748 - -

Outpatient Registrations 654,863 513,181 27%

d) Average Operational Beds No.

Inpatient Beds 910 727Daycare Beds 27 - -

e) Average Occupancy %Inpatient 63.9% 69.4%

Daycare 61.9% - -

f) Average Length of Stay No. 3.5 3.3 -6%

57Note: The results presented above are for Max Healthcares network of hospital

g) Average Revenue per Occupied Bed Day (IP) Rs. 21,789 19,841 10%

h) Average Revenue per Occupied Bed Day (Daycare) Rs. 35,053 - -

MSF Performance Snapshot


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Key Business Drivers UnitQuarter Ended Growth (%)

Jun-10 Jun-09 (FY10/09 A)

a) Sales Quantity BOPP Tons 7,269 7,030 3%

b) Revenue* Rs. Crore 92 80 16%

c) Profitability:

Contribution Margin** Rs. Crore 33 31 6%

% 35.3% 38.5%

EBITDA Rs. Crore 11 11 -

%11.6% 13.4%

PBT Rs. Crore 5.2 4.8 8%

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% 5.6% 6.0%

*Extraordinary Income of Rs. 17.2 Cr. on account of settlement of GBC Litigation has not been considered above**Contribution Margin is calculated as revenue less raw material consumption.


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MAX INDIA LTD.Max House, Okhla, New Delhi 110 020

Phone: +91 11 26933601-10 Fax: +91 11 26933619

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Investor Presentation Aug10

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