GAMMON INDIA LIMITED

Our vision is to be a world-class construction and infrastructure enterprise committed to quality, timely completion
of projects, customer satisfaction, continuous learning and enhancement of stakeholders‘ value. Some of our key
business strategies include:
Capture high growth opportunities throughout India: We intend to target specific sectors and geographical
areas where we believe there is high growth potential. We also intend to exploit our competitive advantages
in these high-value businesses, and will continue to evaluate and explore the opportunities in the roads,
transportation and power sectors. In particular, we believe that the road and transportation sectors will
provide significant opportunities, which may come as BOT projects that we undertake with third parties as
an EPC contractor or with our subsidiary, GIPL. We also expect the power sector to experience robust
growth, and we are positioning ourselves to capture these opportunities by leveraging our experience and
project execution capabilities in the construction of thermal, hydroelectric and nuclear power plants. We
intend to form joint ventures for a number of power projects as well as bid for the ancillary construction
work associated with these projects.
Enhance our EPC capabilities: Quality of work and timely completion of projects are critical to our EPC
and construction business. As a result, we aim to:
- consistently deliver a quality product, meeting all relevant specifications and requirements;
- achieve customer satisfaction through cost effective and timely completion;
- motivate and train our staff for continual improvement of productivity and quality standards; and
- update and implement our procedures in line with developments in international standards.
Position ourselves as a one stop energy shop: The power segment in India has witnessed and is expected to
have a robust growth with projected demand for new projects of 100,000 MW during the period 2008-2013.
(Source: Ministry of Power) There is an increasing trend for the utility power project owners to engage
companies which can provide solutions from concept to commissioning. In light of the above, we intend to
position ourselves as a ―one-stop energy shop‖, providing consulting, design, EPC, O&M, manufacturing
and other related services for nuclear, thermal, hydroelectric and non-conventional power projects. As a
result of the amalgamation of ATSL to our Company, we have scaled up our power transmission and
distribution business. We believe that our acquisitions will produce substantial synergistic benefits,
including a centralized command structure, economies of scale, diversity of operations and better visibility
as an integrated construction company. We intend to utilize these synergies and expand our products and
services offering in India, and we also plan to exploit these advantages by participating in large-scale
projects to optimize the allocation of resources and improve profitability. We have been pre-qualified to
supply boilers and turbines to various Indian companies, such as NHPC Limited, National Thermal Power
Corporation and North Eastern Electric Power Corporation. We believe we are ideally positioned to
capitalize on the strengths of the different businesses in which our subsidiaries and joint ventures are
engaged.
Increase our international presence: We intend to strengthen our international operations by exploring
business opportunities for developing projects outside India. We have acquired substantial stakes in two
Italian companies, Sofinter and FTM. Although Sofinter, FTM and SAE Powerlines made losses of €41.69
million, €17.66 million and €2.77 million, respectively, in the year ended December 31, 2008, various
improvements have been carried out in areas such as the product and market mix, the supply chain
management process and costs control. We also aim to bring cost-competitiveness to our Italian subsidiaries
and joint ventures through sharing resources or using low-cost manufacturing facilities in India.
Furthermore, to meet the anticipated growth in demand in energy we have ventured into drilling and
exploration, through a participating interest of 61.00% in a marginal field in Ecuador in joint venture with
Joshi Technologies International Inc. and a participating interest of 50.00% in an exploration program in
Nebraska, U.S. We will continue to evaluate opportunities to expand into new geographical and business
areas whether by means of organic growth or through strategic acquisitions.
Joint Venture Arrangements
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