Slide no. 1IR meeting – June’2010

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Slide no. 2IR meeting – June’2010

Structure of presentation

TVS Group

Industry outlook

TVSM : Poised for quality growth

Slide no. 3IR meeting – June’2010

Established 1911

Two-Wheelers& Three Wheelers

A fast growing Automobile Company

in India

Non-automotive

Pioneers in IT Hardware in India

andFinancial Services

Vehicle Dealership& Logistics

Largest Auto parts distributor

Largest car and truck dealership In

India

Auto Components

Largest Auto Components

Manufacturer in India

The TVS Group

Slide no. 4IR meeting – June’2010

TVS Group - Our Journey

Launch of Logistic Network

Begin Financial Services

Two wheeler Manufacturin

g

Dealership Agreement with

GM - 1929

Auto Components Manufacturing -

1961

Entry into Electronics Manufacturing

Launch of Bus Service -

1911

Established Overseas

plants

• Exports of 2W to 55 countries

•Exports to over 30 countries

•Largest in India

Trust Value Service

1920 1930 1940 1950 1960 1970 1980 1990 2000 2009

Three wheeler

Manufacturing

Slide no. 5IR meeting – June’2010

TVS Group - Awards & Recognition Deming Quality Award

Sundaram Clayton Brakes India TVS Motor Company Sundaram Brake Linings Lucas-TVS

Japan Quality Medal Sundaram Clayton

TPM Excellence awards Sundram Fasteners Brakes India TVS Motor Company Sundaram Auto Components Ltd

Slide no. 6IR meeting – June’2010

India remains a lucrative market India is the second largest two-

wheeler market in the world with sales of ~9.4 mn units in domestic market in FY10 However, penetration levels still very

low compared to other countries

such as China, Indonesia etc. Strong GDP growth at 8%+ augurs

well for the Indian economy Rising per capita income to enhance

affordability, and demand for two-wheelers Lack of public transport Emergence of a large young working

population

Low penetration rate despite India being 2nd largest market

253 236148

64 59 55

595

0100200300400500600700

Taiw

an

Thai

land

Viet

nam

Indo

nesi

a

Chin

a

Braz

il

Indi

a

(per 1000)

Increasing per-capita income

600687

773850

9351,029

0

300

600

900

1,200

FY07

FY08

FY09

FY10

E

FY11

E

FY12

E

($)

Source: KPMG

Source: CSO, ENAM Research

Slide no. 7IR meeting – June’2010

India – Macro perspective

Secular rural demand Stimuli such as NREGA will

help positive thrust in rural consumption

Higher MSP

Retail Financing improving with structural changes CIBIL checks mandatory Higher down payment Absence of DSAs Tighter credit norms

Credit sales improving

50

20

30

0

10

20

30

40

50

60

FY07 FY10 FY11E

(%)

Slide no. 8IR meeting – June’2010

310360

420469

548631 665 674 706

876

0

300

600

900

00-01 01-02 '02-03 03-04 '04-05 '05-06 '06-07 '07-08 '08-09 '09-10

Motorcycles Ungeared scooters Mopeds Scooters

(nos. in 000’s )

Two Wheeler Industry – Average Monthly sales

Slide no. 9IR meeting – June’2010

Executive segment, the key focus area

Motorcycles – Industry Structure

49% 50%53%

57% 60%

10% 11% 13% 14% 15%

25%29%41%

34%39%

0%

25%

50%

75%

100%

2005-066.19 mn

2006-077.08 mn

2007-086.55 mn

2008-096.81mn

2009-108.43 mn

Economy Executive Premium

Slide no. 10IR meeting – June’2010

TVSM – poised for Quality growth

Slide no. 11IR meeting – June’2010

TVSM - Company overview

One of the largest two and three wheeler companies A state of the art manufacturing plants located in

Karnataka, Tamil Nadu, Himachal Pradesh and Indonesia Capacity 24 lakh vehicles (2009-10) being increased to 28

Lakhs Strong World class in-house R & D Robust supplier base Extensive all India sales & service network Rapid growth in exports Sales ( 2009-10) : Rs. 4431 Cr.

Slide no. 12IR meeting – June’2010

610

258

409

645

259

438

638

310

572

200

575

950

1325

1700

2007-08 2008-09 2009-10

Motorcycles Scooters Mopeds

(nos. in 000’s )

866

1342 1277

1520

Strong presence in all 3 segments

Slide no. 13IR meeting – June’2010

Number of Dealers 641January 2010

97180

137

227

North South West East

Strong All India distribution network

TVSM has a robust two tier distribution network with 641 exclusive dealers supplemented by more than 2000 sales & service points

Slide no. 14IR meeting – June’2010

A complete portfolio with product at every price point

XL Super / Heavy duty

15000

20000

25000

30000

35000

40000

45000

50000

60000

MOPEDS UNGEAREDSCOOTERS

MOTORCYCLES

Ex-S

how

room

pri

ce-B

ang

alo

re (

June’1

0)

Flame SR 125

Apacheseries

StaR series

Scooty Pep

Streak

JiveWeGo

Complete product range

Slide no. 15IR meeting – June’2010

TVS Jive – 110cc

India’s first auto clutch motorcycle Launched in April’10 with pan-India availability by June/

July’10 Positioned in the Executive segment, which accounts for 60%

+ of the motorcycle market Initial response very satisfactory.

Slide no. 16IR meeting – June’2010

TVS Apache RTR – 180cc

Slide no. 17IR meeting – June’2010

Un-geared Scooters – Steadily gain momentum Industry

CAGR (5 years) 12%

Account for 14% of the two wheeler segment

TVSM TVSM strong in the sub 100 segment. However overall TVSM

Market share lower in the absence of bigger scooter.

Launch of WeGo will address this issue

Slide no. 18IR meeting – June’2010

Cell phone charger

Get charged on the move!

New 90 cc engine

More power for that zippy ride

Under seat storage illumination

No more fumbling in the dark

Patented EZ center stand

No huffing. No puffing. Park effortlessly

Self glow ignition key ring

Now visible in the dark

Trendy decals

A vibrant & stylish look

Best Design of the year 2008

Overdrive awards

Slide no. 19IR meeting – June’2010

Scooty Streak

Launched in Sept 2008 With 6 never before features, and leading edge styling

Slide no. 20IR meeting – June’2010

TVS WeGo – 110cc

Multi-user friendly vehicle Equipped with

Unique design technology - Body Balance Large 12 inch alloy wheels Big internal storage space LED tail lamp

Slide no. 21IR meeting – June’2010

The stylish TVS KING

Slide no. 22IR meeting – June’2010

The stylish TVS KING

TVS entered the 3W market towards the end of FY08, with TVS-King.

TVS-King engineered with ‘best in class’ features.

Achieved average monthly Sales of 2500 nos in April/May ‘2010

Large potential for exports. Target of 50,000 units in FY11 (14,700 units in

FY10)

Slide no. 23IR meeting – June’2010

Indonesia – The emerging opportunity

Third largest market in the world with volumes over 6mn units p.a. TVS has a local assembly plant with a capacity of 0.3 mn units p.a. Launched TVS Neo , TVS Rockz and Apache in the Indonesian market

TVS King TVS Neo

TVS Neo

Slide no. 24IR meeting – June’2010

Awards in Indonesia

Slide no. 25IR meeting – June’2010

TVS Motor’s Standalone performance 2009-10

Rs Cr

Slide no. 26IR meeting – June’2010

Summary Long term growth prospects for the industry are attractive

TVSM poised to grow Strong innovation and faster upgrades Strong brands that resonate with their customers Exports will be a significant growth engine Entry into three wheeler has enhanced product portfolio

Significantly improved/ superior product quality

New products across segments, will strengthen TVS’ presence and lead to market share gains

Improved product mix likely to increase realizations and profitability

Focused efforts to reduce cost will improve profitability Strong free-cash flow expected

Slide no. 27IR meeting – June’2010

No part of this presentation is to be circulated, quoted, or reproduced for any distribution without prior written approval from TVS Motor Company Limited, PB 4, Harita, Hosur-635109, Tamilnadu, India. Certain parts of this presentation describing estimates and future plans may be “forward looking statements” within the meaning of applicable laws and regulations. Actual results might differ materially from those either expressed or implied. This material is not a complete record of the discussion.

Thank you