MIRA INFORM REPORT

Report Date :

03.02.2007

IDENTIFICATION DETAILS

Name :	WIPRO CONSUMER CARE AND LIGHTING DIVISION OF WIPRO LIMITED
Registered Office :	Doddakannelli, Sarjapur Road, Bangalore – 560035, Karnataka
Country :	India
Financials (as on) :	31.03.2006
Date of Incorporation :	10.07.1996
Com. Reg. No.:	08-20800
CIN No.: [Company Identification No.]	L99999KA1996PLC020800
TAN No.: [Tax Deduction & Collection Account No.]	BLRW00415C
Legal Form :	Public Limited Liability Company. The company’s shares are listed on the Stock Exchanges.
Line of Business :	Software exports, software & services, consumer care, lighting and healthcare. Providing services of IT and IS consulting for E-business transformation, electronic commerce, web enabling, data warehousing and customer relation's management.

RATING & COMMENTS

MIRA’s Rating :

Aa

RATING		STATUS	PROPOSED CREDIT LINE
71-85	Aa	Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums	Large

Maximum Credit Limit :	USD 250000000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Clear
Comments :	Subject is a well-established and reputed company having excellent track. Available information indicates high financial responsibility of the company. Financial position is good. Payments are always correct and as per commitments. The company can be considered normal for business dealings at usual trade terms and conditions

LOCATIONS

Registered / Corporate Office :	Doddakannelli, Sarjapur Road, Bangalore - 560 035, Karnataka, India
Tel. No.:	91-80-28440011
Fax No.:	91-80-28440054
E-Mail :	renee.jhala@corp.wipro.co.in info@wiproindia.com
Website :	http://www.wiprocorfiorate.com http://www.wipro.com http://www.wipro.co.in
Software Technology Parks:	· Bangalore, Karnataka · Chennai, Tamilnadu · Secunderabad, Andhra Pradesh · Pune, Maharashtra · Gurgaon, Haryana · Hyderabad, Andhra Pradesh · Mumbai, Maharashtra
Factory :	> Sigma Infotech Park, Whitefield, Bangalore, Karnataka, India > S B Towers, 88, M G Road, Bangalore - 560 001, Karnataka, India > 608-610, Carlton Towers, No. 1 Airport Road, Bangalore - 560 001, Karnataka, India > Information Technology Park, Whitefield, Bangalore - 560 066, Karnataka, India > 271-27 1 A, Sri Ganesh Complex, Hosur Main Road, Bangalore - 560 068, Karnataka, India > 26, Sri Chamundi Complex, Madivala II, Bommanahalli, Hosur Main Road, Bangalore - 560 068, Karnataka, India > No. l, 2, 3, 4 and 54/1, Survey No. 201/C, Madivala III, Bangalore - 560 068, Karnataka, India > No. l, 2, 3, 4 and 54/1, Survey No. 201/C, Madivala III (Research & Development), Bangalore - 560 068, Karnataka, India > No. 1 , 2, 3, 4 and 54/3, Survey No.- 201/C, Madivala IV, Bangalore – 560 068, Karnataka, India > 3rd Floor, Ahmed Plaza, No.38/l&2, Bertenna Agrahara, Hosur Main Road, Bangalore - 560 068, Karnataka, India > Subramanya Arcade, Bannergatta Main Road, Bangalore, Karnataka, India > K-3 1 2, Koramangala Industrial Layout, Bangalore - 560 095, Karnataka, India > V Block, Koramangala, Bangalore - 560 095, Karnataka, India > Electronics City 1 - No. 72, Keonics Electronic City, Hosur Road, Bangalore - 561 229, Karnataka, India > Electronics City - II, Tower IV, No. 72, Keonics Electronic City, Hosur Road, Bangalore - 561 229, Karnataka, India > No.92, 2nd Main Road, KEONICS Electronic City – SIRI, Bangalore – 561 229, Karnataka, India > S. No. 70/1, 2, 3, 4(P) &. 84/1, 2, 3, 4(P) Doddathogur Village, Begur Hobli, ' Bangalore - 561 229, Karnataka, India > Capitale, 552 &. 555, Anna Salai, Teynampet, Chennai, Tamilnadu > 475A, Shollinganallur, Old Mahabalipuram Road (CDC-III), Chennai – 600 019, Tamilnadu > 111, Mount Road, Guindy, Chennai - 600 032, Tamilnadu > No. 105, Guindy, Mount Road, Chennai - 600 032, Tamilnadu > Infotech Park, SDF Building, 4th Floor, Kusumagiri, Kakkanad, Cochin > Infotech Park, 4th Floor, Vismaya Building, Kakkanad, Cochin > 239, Okhla Industrial Estate, Delhi, India > Plot No.27/28, Phase IV, Udyog Vihar, Gurgaon - 122 016 > Plot No. 281,Phase II, Udyog Vihar, Gurgaon - 122 106, Haryana > No. 480-481, Udyog Vihar, Phase-Ill, Gurgoan - 122015, Haryana > S. No. 203/1, Manikonda Jagir Village, Rajendranagar Mandal, RR District, Hyderabad > Survey Nos. 64, Serilingampali Mandal, Madhapur, Hyderabad - 500 033 > Queens Plaza, S P Road, Hyderabad - 500 033, Andhra Pradesh > Plot No. 1, 7, 8 & 9, Block-DM, Sector- V, Saltlake, Kolkata - 700 091, West Bengal > 146/147, Mettagalli Industrial Area, Mettagalli, Mysore > Vashi, Navi Mumbai, Mumbai, Maharashtra, India > Plot No. 2, MIDC, Infotech Park, Hingewadi, Pune - 411 027, Maharashtra > 1-8-448, Lakshmi Buildings, S P Road, Begumpet, Secunderabad - 500 016
Overseas Offices :	1300, Crittenden Lane, # 200, Mountain View, CA 94043, U.S.A. Tel. No. : 91-650-3163555 Fax No. : 91-650-3163467 Mimet House, Sa Praed Street, London W2 INJ, U.K. Tel. No. : +44 [020] 70873770 Fax No. : +44 [020] 72625360 Yokohama Landmark Tower, 9F # 911A, 2-2-1-1, Minato – Mirai, Nishi-Ku, Yokohama-shi, Kanagawa, 220-8109, Japan Tel. No. : +81 [45] 650 3950 Fax No. : +81 [45] 650 3951 Wipro Technologies 1995, El Camino Real, Suite 200, Santa Clara, CA 95050, USA Tel. No.: (408) 249 6345 Fax No.: (408) 6157174 / 6157178 15455 N. W., Greenbrier Parkway, Suite 210, Beaverton, OR 97006, USA Tel. No.: (503) 4390825 Fax No.: (503) 4398426 10655 N. E., 4^th Street, Suite 400, Bellevue, WA 98004, USA Tel. No.: (425) 4553486 Fax No.: (425) 6880973 833, East Arapaho Road, Suite 202, Richardson, TX 75081, USA Tel. No.: (972) 6716130 Fax No.: (972) 6716134 2432, W. Peoria Avenue, Suite 1323, Phoenix, AZ 85029, USA Tel. No.: (602) 8705780 Extn.: 101 100, W. 22^nd Street, Suite 106, Lombard, IL 60148, USA Tel. No.: (630) 8899860 Fax No.: (630) 8899187 8901, Lyndale Avenue, South Suite 106, Bloomington, MN 55420, USA Tel. No.: (952) 9489683 Fax No.: (952) 9489684 12081, Lafayett Street, Thornton, CO 80241, USA Tel. No.: 303-254 2457 Fax No.: 720-244 4872 33 Woodcock Avenue, #23 Haverhill, MA 01832, USA Tel. No.: 978-372 9531 Fax No.: 978-372 9560 345, Buckland Hills, Dr. Suite 7213, Manchester, CT 06040, USA Tel. No.: 860-644 3657 Fax No.: 860-644 3667 220, Old New Brunswick Road, Suite 202, Piscataway, NJ 08854, USA Tel. No.: (732) 4650401 Fax No.: (732) 4650420 Top Floor, Kings Court, 185, Kings Road, Reading RG 14 EX, United Kingdom 2432, W Peoria Ave, Suite 1323, Phoenix, Arizona, USA AZ 85029 Room no. 1064, Hatanpaankatu 1 (Kulma-Sarvis), Tampere, Finland Chrysler Building, 6^th Floor, 1 Riverside Drive West, Windsor ONN5A5K4, Canada Web Campus, Kaistrasse, 101 Kiel 24114, Germany
Branches :	Wipro Infotech Software & Service 88, M. G. Road, Bangalore – 560 001, Karnataka Tel. No. 91-80-2558 8422 Fax No. 91-80-2558 6657 Wipro Consumer Care & Lighting Group Nirmal, 241-242, Nariman Point, Mumbai – 400 021, Maharashtra Tel. No. 91-22-22029254 Fax No. 91-22-2284 1143 Wipro Fluid Power 9B/10A Peenya Industrial Area, Bangalore – 560 058, Karnataka Tel. No. 91-80-2839 4982 Fax No. 91-80-2839 6450 Wipro Biomed 903/904 Prakash Deep, 7, Tolstoy Marg, New Delhi – 110 001 Tel. No. 91-11-2332 5677 Fax No. 91-11-2373 8675 Wipro Lighting Tulsi Chambers, Opp. St. Francis D’Sales High School, Jalna Road, Aurangabad – 431 001, Maharashtra Tel. No. 91-240-2333 351 Fax No. 91-240-2334 001

DIRECTORS

Name :	Mr. Azim Hashmi Premji
Designation :	Chairman
Date of Appointment :	01.09.1968
Name :	Dr. Ashok Ganguly
Designation :	Chairman, ICICI One Source Limited. Former Chairman, ICI India Limited
Date of Appointment :	01.01.1999
Name :	Mr. B. C. Prabhakar
Designation :	Practitioner of Law
Date of Appointment :	20.02.1997
Name :	Mr. Vivek Paul
Designation :	Vice Chairman and Executive Officer
Date of Appointment :	26/07/1999
Name :	Mr. Narayan Vaghul
Designation :	Chairman, ICICI Bonk Limited
Date of Appointment :	09.06.1997
Name :	Professor Eisuke Sakakibara
Designation :	Professor of Economics, Keio Universityjapan
Date of Appointment :	01/01/2002
Name :	Mr. P. M. Sinha
Designation :	Former Chairman, Pepsi Company India Holdings
Date of Appointment :	01.01.2002
Name :	Dr. Jagdish N Sheth
Designation :	Professor of Marketing, Emory University, USA
Date of Appointment :	01.01.1999

MAJOR SHAREHOLDERS

CATEGORY	NO. OF SHARES	PERCENTAGE (%)
Promoters ' Holdings
Promoters
Promoters in his capacity as partner of Partnership firms	975520800	68.42
Promoter in his capacity as director of Private Limited Companies	128137800	8.99
Promoter in his individual capacity	56043060	3.93
Promoter Director’s Relatives	1434600	0.10
Sub Total	1161136260	81.44
Non Promoter's Holdings
Mutual Funds and UTI	8161139	0.57
Banks, Financial Institutions and Insurance Companies	14024057	0.98
FIIs	66695330	4.68
Sub Total	88880526	6.23
Others
Private Corporate Bodies	33197511	2.33
Indian Public	98080601	6.88
NRIs / OCBs	14944157	1.05
Directors and Relatives	23000	0.00
Trusts	8007415	0.56
ADR’s	21484797	1.51
Sub Total	175737481	12.33
Total	1425754267	100.00

BUSINESS DETAILS

Line of Business :	Software exports, software & services, consumer care, lighting and healthcare. Providing services of IT and IS consulting for E-business transformation, electronic commerce, web enabling, data warehousing and customer relation's management.
Products :	Item code no (ITC Code) 84713010 Product description Personal Computer ii) Item code no (ITC Code) 85249113 Product description I.T. Software iii) Item code no (ITC Code) 15162011 Product description Vegetable fats and oils (Edible Grade)
Exports to :	USA (75%), Indonesia, Japan, The Netherlands, Sweden, Taiwan and Thailand.
Imports from :	Germany, Japan, Singapore, UK and USA

PRODUCTION STATUS

Particulars	Unit	Licensed Capacity	Installed Capacity	Actual Production
Vanaspati/Hydrogenated oils	TPA	144000	45000	5257 Tons
Toilet soaps	TPA	64000	47930	38404Tons
Leather shoe uppers, leather shoes and allied articles	Pairs / Nos. [1000s] p.a. in millions	750	750	375
Fatty acids	TPA	20000	20000	20767 Tons
Glycerine	TPA	2000	1800	919 Tons
GLS lamps	000s	50000	50000	--
TL shells	000s	12694	12694	--
Fluorescent tube lights	000s	10694	10694	9283
CFL	Nos. in 000s	6658	6658	--
Mini computers/micro processor based systems and data communication systems	NPA	180000	180000	104748 Nos.

GENERAL INFORMATION

Suppliers :

Ø Atco Controls India Private Limited

Ø Arya Filaments Private Limited

Ø Bhargava Rotopack Private Limited

Ø Bombay Oil Seals Company

Ø Capart Industries Private Limited

Ø Everlite Corporation

Ø Exerlite Industries

Ø Fluo-Lite Private Limited

Ø Glostar Electricals Private Limited

Ø Har-Hal Plastic Engineering Private Limited

Ø Infocontral Systems Inc.

Ø Karthiks

Ø Kay Pee Industries

Ø Kasa Luminaties Private Limited

Ø Maharashtra Industries

Ø Meet Engineering Private Limited

Ø Mercury Lamps Private Limited

Ø Prachi Industries

Ø Prospects Industries

Ø Punjab Anand Lamp Industries

Ø R C Industries

Ø Regal Luminaries

Ø Rotam Commercials

Ø Sandesh Electricals

Ø SOBO Technology

Ø South India Auto Engineering Works

Ø Starlite Components Limited

Ø Sujatha Wood Industries

Ø Superstars

Ø Triumph Pack Private Limited

Ø Ujas Electricals Private Limited

Ø Unilux

Ø Unique Wires Private Limited

Ø Vijay Halo Coils Private Limited

Ø Vijay Litetronics Comp Limited

Ø Vossloh-Schabe India Private Limited

Customers :

Ø 3COM

Ø ABN Amro

Ø Alcatel

Ø Allianz Church & General

Ø Analog Devices

Ø Aristasoft

Ø AT & T

Ø Baxter

Ø BSI

Ø BT

Ø Cisco

Ø Compaq

Ø ContentGuard

Ø Corel

Ø Cox & Kings

Ø Daiwa

Ø Energy.com

Ø Epson

Ø Ericsson

Ø Esupportnow.com

Ø Farmers insurance

Ø Franklin Templeton

Ø Fujitsu

Ø General Motors

Ø Genuity

Ø Geoutilities.com

Ø Home Depot

Ø HP

Ø IBM

Ø Japan Travel Bureau

Ø JP Morgan

Ø KPN

Ø Lucent

Ø Magneti Marelli

Ø Marconi

Ø Menlo Logistics

Ø Microsoft

Ø Mitsubishi

Ø Morgan Stanley

Ø NCR

Ø NEC

Ø Newbridge

Ø Nike

Ø Nortel

Ø Npower

Ø NTL

Ø OTIS

Ø PacifiCorp

Ø Pepco Energy Services

Ø Pindar

Ø Seagate

Ø Sharp

Ø Skandia

Ø Sonera

Ø Sony

Ø Spice

Ø Sun

Ø Sunquest

Ø Telstra

Ø Texas Instruments

Ø Thames Water

Ø Thomas Cook

Ø Trafalgar Tours

Ø Transco

Ø Tufts Healthplan

Ø TIBCO

Ø United Technologies

Ø US Wireless

Ø VLSI

Ø Weyerhaeuser

Ø Winterthus

No. of Employees :

14000

Bankers :

Ø Canara Bank, Bangalore, Karnataka

Ø State Bank of India, Madame Cama Road, Nariman Point, Mumbai – 400 021

Ø Citibank N.A., Kanak Building, 41, Chowringhee Road, Kolkata – 700 071, West Bengal

Ø American Express Banking Corporation, Bangalore, Karnataka

Facilities :

SECURED LOANS	(Rs. In millions)
From Banks
Cash Credit Facility from banks	448.900
Development loan from Karnataka State Government	1.680
UNSECURED LOANS
Other Loans
Interest free loan from State Governments	49.780
Others	1.250

Banking Relations :	Satisfactory
Auditors :	N. M. Raiji & Company Chartered Accountants
Subsidiaries :	Wipro Japan KK Enthink Inc. Wipro Inc. Wipro Chandrlka Limited Wipro Trademarks Holding Limited Wipro Travel Services Limited Wipro Fluid Power Limited Wipro HealthCare IT Limited Wipro BPO Solutions Limited Wipro Holdings (Mauritius) Limited Wipro Holdings UK Limited Wipro Technologies (UK) Limited Wipro Shanghai Limited Wipro Consumer Care Limited Cygnus Nigri Investments Private Limited Wipro Infrastructure Engineering Limited Spectramind Inc mPower software Services Inc. mPower Software Services (India) Private Limited Mpact Technologies Services Private Limited BVPENTE Beteiligungsverwaltung GMBH New Logic Technologies AG New Logic Technologies Inc. New Logic Technologies SARL New Logic Technologies S.A. Wipro Equity Reward Trust
Associates :	Wipro GE Medical Systems Private Limited WeP Peripherals Limited
Membership :	Confederation of Indian Industry

CAPITAL STRUCTURE

Authorised Capital :

No. of Shares	Type	Value	Amount
1650000000	Equity Shares	Rs. 2 each	Rs. 3300.000 millions
25000000	10.25% Redeemable Cumulative Preference Shares	Rs. 10/- each	Rs. 250.000 millions
	Total		Rs. 3550.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1425754267	Equity Shares	Rs. 2 each	Rs. 2851.510 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2006	31.03.2005	31.03.2004
SHAREHOLDERS FUNDS
1] Share Capital	2851.510	1407.140	465.519
2] Share Application Money	74.860	12.050	0.000
3] Reserves & Surplus	61353.010	47517.290	34610.396
NET WORTH	64279.380	48936.480	35075.915
LOAN FUNDS
1] Secured Loans	450.580	215.890	947.466
2] Unsecured Loans	51.030	405.030	59.408
TOTAL BORROWING	501.610	620.920	1006.874
TOTAL	64780.990	49557.400	36082.789
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]	11182.520	9079.610	6550.174
Capital work-in-progress	6123.580	2502.390	1397.121
INVESTMENTS	34592.030	28595.110	24560.332
Deferred Tax Assets	381.380	318.560	315.533
CURRENT ASSETS, LOANS & ADVANCES
Inventories	1486.510	1273.740	1020.791
Sundry Debtors	19680.670	14065.140	10623.367
Cash & Bank Balances	8230.020	5368.960	2900.940
Loans & Advances	10988.170	5975.190	5523.442
Total Current Assets	40385.370	26683.030	20068.540
Less :
Current Liabilities	17768.340	12084.350	8563.202
Provisions	10115.550	5236.950	8245.709
Total Current Liabilities	27883.890	17321.300	16808.911
Net Current Assets	12501.480	9061.730	3259.629
Miscellaneous Expenditure	0.000	0.000	0.000
TOTAL	64780.990	49557.400	36082.789

PROFIT & LOSS ACCOUNT

PARTICULARS	31.03.2006	31.03.2005	31.03.2004
Sales Turnover [including other income]	103795.260	73266.950	52596.727
Profit/(Loss) Before Tax	23404.300	17570.230	10822.668
Provision for Taxation	3199.500	2622.020	1673.868
Profit/(Loss) After Tax	20204.800	14948.210	9148.800
Export Value	70832.940	53736.900	40.878
Import Value	3863.830	3237.350	2707.311
Total Expenditure	80390.960	55696.720	41774.059

QUARTERLY RESULTS

PARTICULARS	30.06.2006 [1^st Qtr.]	30.09.2006 [2^nd Qtr.]	31.12.2006 [3^rd Qtr.]
Sales Turnover	30016.000	33211.000	35693.000
Other Income	503.000	542.000	818.000
Total Income	30519.000	33753.000	36511.000
Total Expenditure	22536.000	25269.000	27250.000
Operating Profit	7983.000	8484.000	9261.000
Interest	1.000	26.000	29.000
Gross Profit	7982.000	8458.000	9232.000
Depreciation	811.000	888.000	925.000
Tax	980.000	918.000	918.000
Reported PAT	6191.000	6652.000	7389.000

Notes:

2006-06 Quarter 1

Expenditure Includes Cost of Sales / Services - Consumption of Raw Materials* Rs 3510.00 million - Other expenditure Rs 15710.00 million Selling & Marketing Expenses Rs 1957.00 million General & Administrative expenses Rs 1359.00 million Details of Expenditure Items exceeding 10% of total expenditure Staff Cost Rs 12769.00 million * Includes Increase/(Decrease) in finished and processed stocks Rs (126.00) million EPS is Basic Status of Investor Complaints for the quarter ended June 30, 2006 Complaints Pending at the beginning of the quarter Nil Complaints Received during the quarter 133 Complaints disposed off during the quarter 133 Complaints unresolved at the end of the quarter Nil 1. The above audited financial results were approved by the Board of Directors of the Company at its meeting held on July 19, 2006. 2. Effective April 01, 2006, the Company through its subsidiaries acquired 100% equity of cMango Inc and subsidiaries (cMango). cMango is a provider of Business Service Management (BSM) solutions. The consideration includes cash payment of Rs 884 Million and an earn-out of USD 12 Million to be determined and paid in the future based on specific financial metrics being achieved over a two year period. 3. Effective June 01, 2006, the Company through its subsidiaries acquired 100% equity of RetailBox BV and subsidiaries (Enabler). Enabler is in the business of providing comprehensive IT solutions and services. The consideration includes cash payment of Rs 2,425 Million and an earn-out of Euro 11 Million to be determined and paid in the future based on specific financial metrics being achieved over a two year period. 4. On June 29, 2006, the Company through its subsidiaries acquired 100% equity of Saraware Oy (Saraware) for an aggregate consideration of Rs 975 Million. Saraware provides design and engineering services to telecom companies. In addition, the Company would pay an earn-out of Euro 7 Million to be determined based on financial targets being achieved over a period of 18 months. 5. The Company has been granting restricted stock units (RSUs) since October 2004. The RSUs generally vest equally at annual intervals over a five year period. The stock compensation cost is computed under the intrinsic value method and amortized on a straight line basis over the total vesting period of five years. As permitted by generally accepted accounting principles in the United States (US GAAP), the Company applies a similar straight line amortization method for financial reporting under US GAAP. The Company has been advised by external counsel that the straight line amortization complies with SEBI guidelines. However, an alternative interpretation could result in amortization of the cost on an accelerated basis. Under this approach, the amortization in the initial years would be higher with a lower charge in subsequent periods (though the overall charge over the full vesting period will remain the same). If the Company were to amortize the cost on an accelerated basis, profit before tax and profit after tax for the quarter ended June 30, 2006 would have been lower by Rs 28 Million & Rs 24 Million respectively. Similarly, the profits before tax and profit after tax for the quarter ended June 30, 2005 and year ended March 31, 2006 would have been lower by Rs 213 Million & Rs 197 Million and Rs 490 Million & Rs 449 Million respectively. This would effectively increase the profit before and after tax in later years by similar amounts.

2006-09 Quarter 2

Expenditure Includes Cost of Sales / Services - Consumption of Raw Materials* Rs 4201.00 million - Other expenditure Rs 17364.00 million Selling & Marketing Expenses Rs 2035.00 million General & Administrative expenses Rs 1669.00 million Details of Expenditure Items exceeding 10% of total expenditure Staff Cost Rs 14234.00 million *Includes Increase/(Decrease) in finished and processed stocks Rs (100.00) million EPS is Basic Status of Investor Complaints for the quarter ended September 30, 2006 Complaints Pending at the beginning of the quarter Nil Complaints Received during the quarter 357 Complaints disposed off during the quarter 357 Complaints unresolved at the end of the quarter Nil 1. The above audited financial results were approved by the Board of Directors of the Company at its meeting held on October 18, 2006. 2. Effective April 01, 2006, the Company through its subsidiaries acquired 100% equity of cMango Inc and subsidiaries (cMango). cMango is a provider of Business Service Management (BSM) solutions. The consideration includes cash payment of Rs 884 Million and an earn-out of USD 12 Million to be determined and paid in the future based on specific financial metrics being achieved over a two year period. 3. Effective June 01, 2006, the Company through its subsidiaries acquired 100% equity of RetailBox BV and subsidiaries (Enabler). Enabler is in the business of providing comprehensive IT solutions and services. The consideration includes cash payment of Rs 2,442 Million and an earn-out of Euro 11 Million to be determined and paid in the future based on specific financial metrics being achieved over a two year period. 4. On June 29, 2006, the Company acquired 100% equity of Saraware Oy (Saraware). Saraware provides design and engineering services to telecom Companies. The consideration includes cash payment of Rs 947 million and an earn-out of Euro 7 Million to be determined based on financial targets being achieved over a period of 18 months. In addition, the purchase price payable to the sellers includes an amount payable equivalent to the amount collected against certain specific reward / incentives estimated to be receivable as on the acquisition date. 5. In July 2006, the Company acquired 100% equity of Quantech Global Services LLC and Quantech Global Services Ltd (Quantech). Quantech provides Computer Aided Design and Engineering services. The consideration includes upfront cash payment of Rs 142 Million, a deferred cash payment of USD 3 Million and an earn-out to be determined and paid in the future based on financial targets being achieved over a period of 36 months. 6. In December 2005, the Company through its subsidiaries acquired 100% equity of BVPENTE Beteiligungsverwaltung GmbH and its subsidiaries (New Logic) for an aggregate consideration of Rs 1,156.54 Million and earn-out of Euro 26 Million to be determined and paid in future on financial targets being achieved over a 3 year period. The consideration paid was subject to certain working capital adjustments. In the period ended September 30, 2006, the Company has completed the working capital adjustments and paid an additional consideration of Rs 68.76 Million, which has resulted in additional goodwill. 7. The Company has been granting restricted stock units (RSUs) since October 2004. The RSUs generally vest equally at annual intervals over a five year period. The stock compensation cost is computed under the intrinsic value method and amortized on a straight line basis over the total vesting period of five years. As permitted by generally accepted accounting principles in the United States (US GAAP), the Company applies a similar straight line amortization method for financial reporting under US GAAP. The Company has been advised by external counsel that the straight line amortization complies with SEBI guidelines. However, an alternative interpretation could result in amortization of the cost on an accelerated basis. Under this approach, the amortization in the initial years would be higher with a lower charge in subsequent periods (though the overall charge over the full vesting period will remain the same). If the Company were to amortize the cost on an accelerated basis, profit before tax and profit after tax for the quarter ended September 30, 2006 would have been lower by Rs 18 Million & Rs 15 Million respectively and the profit before tax and profit after tax for the six months ended September 30, 2006 would have been lower by Rs 45 Million & Rs 39 Million respectively. Similarly, the profits before tax and profit after tax for the quarter ended September 30, 2005 would have been lower by Rs 206 Million & Rs 191 Million respectively and the profit before tax and profit after tax for the six months ended September 30, 2005 would have been lower by Rs 419 Million & Rs 388 Million respectively. Profit before tax and profit after tax for the year ended March 31, 2006 would have been lower by Rs 490 million and Rs 449 million respectively. This would effectively increase the profit before and after tax in later years by similar amounts. In July 2005, the Company established Wipro Restricted Stock Unit Plan (WRSUP 2005). The Company is authorized to issue up to 12,000,000 Restricted Stock Units (RSUs) under the plan to eligible employees. In July 2006, the Company granted 2,482,560 RSUs under WRSUP 2004 and 918,130 options under WARSUP 2004. The Company also granted 3,556,466 options under WRSUP 2005. For the quarter ended September 30, 2006 the Company recorded stock compensation expense of Rs. 448 Million in respect of these grants.

2006-12 Quarter 3

Expenditure Includes Cost of Sales / Services - Consumption of Raw Materials* Rs 5231.00 million - Other expenditure Rs 18136.00 million Selling & Marketing Expenses Rs 2062.00 million General & Administrative expenses Rs 1821.00 million EPS is Basic Status of Investor Complaints for the quarter ended December 31, 2006 Complaints Pending at the beginning of the quarter Nil Complaints Received during the quarter 419 Complaints disposed off during the quarter 419 Complaints unresolved at the end of the quarter Nil 1. The above audited financial results were approved by the Board of Directors of the Company at its meeting held on January 17, 2007. 2. Effective December 01, 2005, the Company through its subsidiaries acquired 100% equity of mPower Software Services Inc. and its subsidiaries for an aggregate cash consideration of Rs 1,275 Million. In the terms of the scheme of amalgamation filed with and endorsed by the State of Delaware, USA, mPower Software Services Inc amalgamated with the Company's subsidiary with effect from April 2006. 3. In December 2005, the Company acquired 100% equity of BVPENTE Beteiligungsverwaltung GmbH and its subsidiaries (New Logic) for an aggregate consideration of Rs 1,156.54 Million and earn-out of Euro 26 Million to be determined and paid in future on financial targets being achieved over a 3 year period. The consideration paid was subject to certain working capital adjustments. In the period ended December 31, 2006, the Company completed the working capital adjustments and paid an additional consideration of Rs 69 Million. 4. Effective April 01, 2006, the Company acquired 100% equity of cMango Inc and subsidiaries (cMango). cMango is a provider of Business Service Management (BSM) solutions. The consideration includes cash payment of Rs 884 Million and an earn-out of Rs 531 Million (USD 12 Million) to be determined and paid in the future based on specific financial metrics being achieved over a two year period. 5. Effective June 01, 2006, the Company acquired 100% equity of RetailBox BV and subsidiaries (Enabler). Enabler is in the business of providing comprehensive IT solutions and services. The consideration includes cash payment of Rs 2,442 Million and an earn-out of Rs 642 Million (Euro 11 Million) to be determined and paid in the future based on specific financial metrics being achieved over a two year period. 6. On June 29, 2006, the Company acquired 100% equity of Saraware Oy (Saraware). Saraware provides design and engineering services to telecom companies. The consideration includes cash payment of Rs 947 Million and an earn-out of Rs 408 Million (Euro 7 Million) to be determined based on financial targets being achieved over a period of 18 months. In addition, the purchase price payable to the sellers includes an amount payable equivalent to the amount collected against certain specific reward / incentives estimated to be receivable as on the acquisition date. During the period ended December 31, 2006 the Company paid Rs 68 Million towards earn out. 7. In July 2006, the Company acquired 100% equity of Quantech Global Services LLC and Quantech Global Services Ltd (Quantech). Quantech provides Computer Aided Design and Engineering services. The consideration includes upfront cash payment of Rs 142 Million, a deferred cash payment of Rs 132 Million (USD 3.00 Million) and an earn-out to be determined and paid in the future based on financial targets being achieved over a period of 36 months. 8. In November 2006, the Company through its subsidiaries acquired 100% equity of Hydrauto Group AB (Hydrauto). Hydrauto is engaged in the production, marketing and development of customized hydraulic cylinders solution for mobile applications such as mobile cranes, excavator, dumpers and trucks. The consideration comprises upfront cash payment of Rs 1,365 Million and direct cost of Rs 47 Million. This acquisition will give the Company an entry into Europe, access to a customer base built over the past few decades and complementary engineering skills. 9. In November 2006, the Company acquired 100% equity of the India, Middle East and SAARC operations of 3D Networks and Planet PSG. 3D Networks, a platinum partner of Nortel Networks, provide business communication solutions that include consulting, voice, data and converged solutions, and managed services. 3D Networks' specialized solutions are deployed in ITES/IT, Telecom, Banking and Finance, Government and Service verticals. Planet PSG is the sole GlobalNortel Technical Services partner on Periphonics platform in APAC region and provides professional services on voice and speech platforms in the region. The consideration includes upfront cash payment of Rs 908 Million (USD 20 Million) and an earn-out to be determined and paid in the future based on financial targets being achieved over a period of 24 months. The maximum amount of earn out payable under the agreement is USD 43.78 Million. This acquisition is a strategic fit as it complements Wipro's existing practice capabilities and differentiates Wipro as the most comprehensive IT Solutions provider across verticals. 10. In August 2006, the Company entered into a venture with Motorola Inc. to address the managed services requirement of public and private network customers. WM NetServ Ltd, a company in which Wipro holds 81.1% shares will deliver public and private network customers with managed services focused on planning, deployment, optimization, security, operations and support services. 11. In December 2006, the Company sold 4 million shares in WeP Peripherals at a price of Rs 40 per share. Post this sale, the Company's holding in WeP Peripherals is reduced to 15%. The Company has recorded a gain of Rs 106 Million on the sale of these shares. The carrying amount of the remaining shares in WeP Peripherals is classified under long term investments. As a part of the sale transaction, the Company has also acquired a put option to sell the balance shares at Rs 40 per share at any time during January 2008 to December 2009. 12. The Company has been granting restricted stock units (RSUs) since October 2004. The RSUs generally vest equally at annual intervals over a five year period. The stock compensation cost is computed under the intrinsic value method and amortized on a straight line basis over the total vesting period of five years. As permitted by generally accepted accounting principles in the United States (US GAAP), the Company applies a similar straight line amortization method for financial reporting under US GAAP. The company has been advised by external counsel that the straight line amortization complies with SEBI guidelines. However, an alternative interpretation could result in amortization of the cost on an accelerated basis. Under this approach, the amortization in the initial years would be higher with a lower charge in subsequent periods (though the overall charge over the full vesting period will remain the same). If the Company were to amortize the cost on an accelerated basis, profit before tax and profit after tax for the quarter ended December 31, 2006 would have been higher by Rs 47 Million & Rs 40 Million respectively and the profit before tax and profit after tax for the nine months ended December 31, 2006 would have been higher by Rs 1 Million respectively. Similarly, the profits before tax and profit after tax for the quarter ended December 31, 2005 would have been lower by Rs 43 Million & Rs 37 Million respectively and the profit before tax and profit after tax for the nine months ended December 31, 2005 would have been lower by Rs 462 Million & Rs 425 Million respectively. Profit before tax and profit after tax for the year ended March 31, 2006 would have been lower by Rs 490 Million and Rs 449 Million respectively. In July 2005, the Company established Wipro Restricted Stock Unit Plan (WRSUP 2005). The Company is authorized to issue up to 12,000,000 Restricted Stock Units (RSUs) under the plan to eligible employees. In July 2006, the Company granted 2,482,560 RSUs under WRSUP 2004 and 918,130 options under WARSUP 2004. The Company also granted 3,556,466 options under WRSUP 2005. For the quarter ended December 31, 2006 the Company recorded stock compensation expense of Rs 440 Million.

KEY RATIOS

PARTICULARS	31.03.2006	31.03.2005	31.03.2004
Debt-Equity Ratio	0.01	0.02	0.02
Long Term Debt-Equity Ratio	0.00	0.01	0.00
Current Ratio	1.46	1.33	1.60
TURNOVER RATIOS
Fixed Assets	4.97	4.70	4.16
Inventory	74.37	63.42	57.82
Debtors	6.12	5.90	5.60
Interest Cover Ratio	748.50	316.29	308.37
Operating Profit Margin(%)	25.67	26.77	23.84
Profit Before Interest And Tax Margin(%)	22.83	24.21	20.92
Cash Profit Margin(%)	22.53	23.10	20.56
Adjusted Net Profit Margin(%)	19.68	20.54	17.63
Return On Capital Employed(%)	41.01	41.15	30.98
Return On Net Worth(%)	35.72	35.59	26.76

STOCK PRICES

Face Value	Rs.10/-
High	Rs.624.45/-
Low	Rs.617.00/-

LOCAL AGENCY FURTHER INFORMATION

Wipro is one of the leading players in providing IT services & Products business globally. Wipro though started as a edible oil producer way back in 1945, under the name Western India Vegetable Products, a private limited company has transformed itself into leading player in FMCG and IT services & Products business. It's FMCG business (or Wipro Consumer care and Lighting) with strong brands in baby care, toilet soaps, personal wash, personal grooming, domestic and industrial lighting has significant presence in domestic market. The company also have presence in manufacture of hydraulic cylinders and medical equipments through its subsidiary i.e. Wipro Fluid Power and JV affiliate Wipro GE Medical Systems Private respectively. 

Wipro provide comprehensive range of IT services, software solutions, IT consulting, business process outsourcing and research and development services in the areas of hardware and software design to leading companies worldwide. This was done by combining the business/industry knowledge of domain specialists and technical knowledge and implementation skills of delivery team in its development centres located both in Indian and around the world. The range of services includes IT consulting; custom application design, development, re-engineering and maintenance, systems integration, package implementation.  

Wipro's BPO, which operated as a separate subsidiary earlier was consolidated into Global IT services products division. The BPO provides Customer Interaction Services, Industry Administration Services, Business Optimization Services and Knowledge Services. The company also does Product Designing in Hardware, System Software Development and Support services for industries like Automotive Electronics, Computing Peripherals, Computing Platforms & Software products, Consumer Electronics, Industrial Automation & Avionics, Medical Devices, Mobile Devices & Application, semiconductors, Wireless Networks, Space Communications and much more. The Company is the largest third party R&D Service provider in the world with world's largest technology infrastructure management practices and are among the top 3 offshore BPO service providers by revenue. 

Wipro has set up an overseas design center, Odyssey 21 for undertaking projects and product developments in advanced technologies for overseas clients. Aviva Plc has selected Wipro Technologies as a strategic partner for Offshore IT Outsourcing. Under the agreement, Wipro will provide a range of IT services covering Application Development and maintenance, Package implementation and testing. The company launched its German operations based out of Frankfurt which will address the requirements of the enterprise for business applications as well as R & D outsourcing requirements of technology companies. 

The company has chalked out plans to expand its operations in Tamil Nadu. The company has set up a Campus Style facility at Sholinganallur, near Chennai as part of Phase II expansion of the Campus Development Centre. 

The company has invested in building ability in Wireless Domain like Global Standards for Mobile (GSM), Code Device Multiple Access (CDMA) and General Packet Radio Service (GRPS) and also in GigE Mac Core, Ethernet software solution and Residential Gateway solutions for Customer Premise Equipment. 

The FMCG business of Wipro consist of products including hydrogenated cooking oil, soaps and toiletries, light bulbs and fluorescent tubes and lighting accessories. The umbrella brand of the company are 'Santoor', Wipro Active line of talcum powers, Wipro Baby Soft line of infant and child care products and Wipro Sanjeevani line of wellness products. The brand portfolio and market share was strengthened/expanded by acquisition of Chandrika Ayurvedic soap and Glucovita Glucose Powder during 2004-05. The company has also launched Wipro Sanjeevani Honey, Wipro Sanjeevani Isabgol and Wipro Safewash liquid detergents. The capacity of Toilet Soaps was expanded by 19930 TPA to 47,930 TPA, in Mar'05. The Company has also installed CFL during '04-'05 which stood as 6658000 Nos in March 2005. 

Wipro Lighting is a major diversification of Wipro, manufacturing and marketing lighting products for households and the commercial and Industrial markets. Wipro has set up a wholly owned subsidiary company viz. Wipro Consumer Care Limited. This company will be engaged in the manufacture of consumer care and lighting products. 

The business restructuring exercises of the company to derive business synergy has resulted in birth of Wipro e-Peripherals, Wipro Fluid Power, two of its subsidiaries. In this context Wipro Infotech and Wipro Systems were amalgamated with Wipro in April, 1994 and Wipro Infotech spun off its peripherals services division into a new legal entity i.e. Wipro e-Peripherals on Sep 2000. Wipro Net has been amalgamated with the company with effect from April 1, 2001, which will enable it to synergize the customer offerings under one management and enable it to offer the specialized telecom skills available within both the companies. 

Continuing that the company spin-off of its Fluid Power business unit into a separate subsidiary company effective March 1, 2002. Netkracker, which was a subsidiary of Wipro subsequent to acquisition of equity interest of ICICI and the Fluid Power business was combined and renamed as Wipro Fluid Power Limited. 

Five of Wipro's manufacturing and development facilities secured the ISO 9001 certification during 1994-95. In February 2001, Wipro became the first software technology and services company in India to be certified for ISO 14001 certification for complying with the international standards for Environmental Management System (EMS) in three major software development and technology centers in Bangalore. The company has strong software engineering processes & also achieved ISO 9000 certification. Wipro is the first software company to get SEI Level 5 & also implemented Six Sigma TQM practices to software projects and support functions which represents a quality standard of less than 3.4 defects per million opportunities were a defect may arise. Wipro Technologies has won the 'Banker Technology Award' for the year 2004 Instituted by the Financial Times in the 'Risk Management Award' category. The company has been selected for the award for its project for JP Morgan Chase to create an operating risk management system. 

In the fiscal 2004-05 the company has issued Bonus Shares in the ratio of 2:1 to its shareholders.  

During December 2005, the company has signed a definitive agreement to acquire mPower Inc., a US based company with a development centre in Chennai and MPACT Technology Services, which is based in Chennai. 

In 2006, The Honorable High Court of Karnataka has approved the Scheme of Amalgamation for the merger of the Spectramind Limited, Bermuda, Spectramind Limited, Mauritius, & Wipro BPO Solutions Limited with the Company on April 05, 2006. 

The company has issued bonus Shares in the ratio of 1:1 to its shareholders. 

The company has acquired mPower Software Services Inc, a Princeton, New Jersey, US headquartered company with development Center in Chennai and MPACT Technology services Private Limited, based in Chennai, for an all cash Consideration of $28 million and New Logic Technologies AG, an Austrian Firm was acquired an all cash consideration of Euro 26 Million.  

The company has signed agreement in the current financial year to effectively acquire the target company cMango Inc., a US based Technology Infrastructure consulting firm in an all cash deal. The acquisition is effective in the next financial year 2006-2007.

Schemes of Amalgamation

The Schemes of Amalgamation of Wipro BPO Solutions Limited (formerly Wipro Spectramind Services Limited), Spectramind Limited, Bermuda, Spectramind Limited, Mauritius with Wipro Limited have been approved by the Hon'ble High Court of Kamataka on April 5, 2006. The erstwhile Wipro BPO Solutions Limited, Spectramind Limited, Bermuda and Spectramind Limited, Mauritius stands merged with Wipro Limited with the effect from April 1, 2005 being the appointed date. The Annual Report of Wipro Limited for the year 2005-06, has been prepared after giving effect to the amalgamations. The orders of the High Court have been filed with the Registrar of Companies, Bangalore on April 29, 2006.

PERFORMANCE OF THE COMPANY

Sales of the Company for the year ended March 31, 2006, were Rs. 102641 millions, up by 41% and Profit after Tax before extraordinary items was Rs. 20205 millions an increase by 35% over the previous year. Over the last 10 years, the Sales have grown at an average annual rate of 23% and Profit after Tax at 46%. The Company's earnings in Foreign Exchange stood at Rs. 70833 millions and have registered a growth of 32% compared to the previous year.

Increase in Share Capital

During the year, they issued 16290171 equity shares pursuant to exercise of stock options by eligible employees under Employee Stock Option Plans and 705893574 equity shares as Bonus shares, aggregating to 722183745 equity shares. Due to these Corporate Actions, the issued, subscribed and paid-up equity share capital increased from 703570522 (March 31, 2005) to 1425754267 equity shares as of March 31, 2006.

Fixed Assets :

Ø Land

Ø Buildings

Ø Railway siding

Ø Plant & Machinery

Ø Furniture, Fixture and Equipments

Ø Vehicles

Ø Technical Know-how

Ø Patents, Trademarks & Rights

It also has a joint venture with British Telecom for providing value-added network and VSAT services.

The company has been accredited with ISO 9001 and ISO 14001 Certification.

AS PER WEBSITE

News

Wipro appoints P R Chandrasekhar as Chief Executive – Americas & Europe

Bangalore, July 24, 2005

Wipro Limited (NYSE: WIT) today announced the appointment of P R “Sekar” Chandrasekhar as the Chief Executive of Americas and Europe. Sekar has been leading the European Operations for Wipro.

Under his leadership Wipro’s European operations have consistently grown ahead of the industry, driven by wins in a number of key deals, deepening of client engagements and expansion of service lines, including addition of a strategic consulting unit.

In his earlier roles in Wipro, Sekar has been responsible for Global M&A, Channel Development and the Global .Net Business. He led Wipro’s initiatives in M&A which have bolstered Wipro’s position as a leading Global IT services and BPO provider. He has also had a successful stint in Wipro GE Medical Systems in Sales. Prior to joining Wipro, Sekar was responsible for M&A for GE India.

Rich Garnick, Head of Wipro’s America Sales has resigned after four years at Wipro. Rich has contributed to institutionalizing the sales processes in North America, and in making Wipro a market leader across services lines.

Commenting on this change, Mr. Azim Premji, Chairman, Wipro Limited said, “Sekar brings in a wealth of experience, having worked in multiple strategic and sales roles. His ability to create a win-win with customers is further enhanced by his deep prior experience in the Americas and Europe. Increasingly, they find that their clients work with them across multiple geographies and having a common head for Europe and the Americas will align them better with this trend.” He added, “Rich has contributed to building their sales engine in North America. They wish him success in his future endeavors.”

Reflecting on his tenure at Wipro, Rich Garnick said, “Wipro has grown tremendously in its ability to engage and add value to customers, and it has been exciting to have been part of this transformation. Given this phenomenal growth and the associated travel, I have not been able to spend enough time with my family and there comes a time when you need to focus on the family and that is the key driver of my decision to leave Wipro. I am sure that the sales organization they have built will continue to make significant progress, under the leadership of Sekar.”

Commenting on his new role, P R Chandrasekar said, “North America is their largest market and I am very excited by the opportunity to grow their business there. They have a great team in place and I am confident that given their renewed focus on furthering the depth of their services lines and increased investments in sales and marketing, they will be able to drive market leadership.”

Rich will work with Sekar to facilitate a smooth transition. Sekar will be relocating to the US, while working very closely with the strong team that he leads in Europe.

About Wipro

Wipro Limited is the first PCMM Level 5 and SEI CMM Level certified IT Services Company globally. Wipro provides comprehensive IT solutions and services, including systems integration, Information Systems outsourcing, package implementation, software application development and maintenance, and research and development services to corporations globally. In the Indian market, Wipro is a leader in providing IT solutions and services for the corporate segment in India offering system integration, network integration, software solutions and IT services. Wipro also has profitable presence in niche market segments of consumer products and lighting. In the Asia Pacific and Middle East markets, Wipro provides IT solutions and services for global corporations.

Wipro's ADSs are listed on the New York Stock Exchange, and its equity shares are listed in India on the Stock exchange - Mumbai, and the National Stock Exchange, among others.

Wipro’s complete range of IT Services addresses the needs of both technology and business requirements to help organizations leverage leading-edge technologies for business improvement.

Wipro takes charge of the IT needs of the entire enterprise. The gamut of services extends from Enterprise Application Services (CRM, ERP, e-Procurement and SCM), to e-Business solutions. Wipro’s enterprise solutions have served and continue to serve clients from a range of industries including Energy and Utilities, Finance, Telecom, and Media and Entertainment.

A Cycle of Define, Perform, Review and Refine

The client is the world’s third largest water company, and provides clean and waste water services to over 69 million customers around the world. The client had embarked on a journey to streamline their IS operations to ensure better service delivery, improved customer relationship and closer links with business. They also wanted to move to a ‘thin’ layer of IS. This was a challenge considering that the client consists mostly of bespoke applications using a wide spectrum of technologies and functional areas that cover all the business functionality of a typical water utility.

Through a series of strategic initiatives over a two year period, Wipro made the client realize significant cost savings as well as remarkably improve the quality of the application estate. This was done by following a cycle of define, perform, review and refine, for each of the functions that Wipro was entrusted with. Wipro devised and implemented a strategy for cost savings by leveraging on its Global Sourcing model. The savings in the application support budget was also enabled through a system of forecasting and reviewing service requirements with partners and third party vendors.

They've developed a model called "Extended Engineering” that leverages synergies across the value chain

As product manufacturers and platform vendors across the world strive to make better products with shorter development cycles and reduced total cost of ownership, they at Wipro Technologies partner with them to provide comprehensive solutions in product lifecycle management and product realization. At Wipro, they've developed a model called "Extended Engineering" that allows you to leverage synergies across the value chain and progress swiftly from concept to market. They are now the world's largest contract R&D house for telecom, auto and electronics.

Industries served

Automotive Electronics
Computing Peripherals
Computing Platforms and Software Products
Consumer Electronics
Industrial Automation and Avionics
Medical Devices
Semiconductors
Storage Technologies

Telecommunication Solutions
Broadband
Optical Networks
Space Communications
Voice and Next-Generation Networks
Wireless Networks and Devices

Wipro plugs R&D Service into Innovation Networks

Wipro, the world’s largest third party R&D services provider, has built a 10,000-strong Product Engineering Solutions (PES) group that offers a complete range of R&D services — from product strategy to hardware design to quality consulting — to clients that sell electronics-based products. With more than 120 active clients in industries such as semiconductor, automotive, platforms and peripherals, consumer electronics, and medical devices, PES revenues have grown at 36% for the past three years. R&D services now accounts for 36% of Wipro's total revenues. By putting its extended engineering capabilities on play in global Innovation Networks, Wipro is making R&D services the next battleground.

True value from technology requires an in-depth understanding of business strategy.

Today’s businesses need partners who can talk about strategy and technology in the same conversation. At Wipro, they believe true value from technology requires an in-depth understanding of business strategy. Their cross-industry consulting services help you craft a vision for the organization and then provide a specific, practical business and technology framework that will make that vision a reality. Their consulting competencies spread across business, process, quality and technology consulting.

Refining Business Strategy

The client is an online financial services company that aggregates capital from small size investments to access large size institutional-quality private investments. The challenge was to build a private equity investment Net Market and generate a significant volume of transactions while adhering to complex and restrictive regulatory requirements and accommodating for multi-national users.

Wipro built the private equity Net Market adhering to complex and restrictive regulatory requirements administered by the SEC and NASD and accommodating multi-national users. Wipro achieved this through refining business strategy, creating a new Internet-based business model, building the technology backbone for the Net Market and providing thought leadership, business strategy, deep technology, and user experience skills.

CMT REPORT [Corruption, Money laundering & Terrorism]

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

1] INFORMATION ON DESIGNATED PARTY

No records exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

2] Court Declaration :

No records exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

3] Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

4] Record on Financial Crime :

Charges or conviction registered against subject: None

5] Records on Violation of Anti-Corruption Laws :

Charges or investigation registered against subject: None

6] Records on Int’l Anti-Money Laundering Laws/Standards :

Charges or investigation registered against subject: None

7] Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

8] Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

9] Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

10] Press Report :

No press reports / filings exists on the subject.

CORPORATE GOVERNANCE

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

CONTRAVENTION

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.44.11
UK Pound	1	Rs.86.58
Euro	1	Rs.57.04

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	9
PAID-UP CAPITAL	1~10	9
OPERATING SCALE	1~10	9
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	9
--PROFITABILIRY	1~10	9
--LIQUIDITY	1~10	9
--LEVERAGE	1~10	9
--RESERVES	1~10	9
--CREDIT LINES	1~10	9
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	YES
--EXPORT ACTIVITIES	YES/NO	YES
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	YES
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		81

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

Financial condition (40%) Ownership background (20%) Payment record (10%)

Credit history (10%) Market trend (10%) Operational size (10%)

RATING		STATUS	PROPOSED CREDIT LINE
>86	Aaa	Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums	Unlimited
71-85	Aa	Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums	Large
56-70	A	Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums	Fairly Large
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory
26-40	B	Unfavourable & favourable factors carry similar weight in credit consideration. Capability to overcome financial difficulties seems comparatively below average/normal.	Small
11-25	Ca	Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity	Limited with full security
<10	C	Absolute credit risk exists. Caution needed to be exercised	Credit not recommended

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions