Shopper's Stop Limited - Securities and Exchange Board of India

Milestones of Our Business
Year Events
1991 IPHL opened its first Shoppers’ Stop store selling men’s wear at Andheri (Mumbai)
1992 Ladies section added
1993 Children and non apparel accessories sections added
Disney carnival organized, with official Disney characters (Mickey, Minnie, Donald
and Goofy) participating
In house Retail Management Trainee Programme started
1994 First Citizen Club loyalty card launched
1995 Second store opened (Bangalore)
1996 Festival of Britain celebrated in association with the Commercial Department of the
British Consul
1997 Shopper’s Stop Limited was incorporated on June 16
1997 Festival of Indian tradition and culture, ‘Parikrama’, launched
Co-branded credit card launched for FCC members in partnership with HSBC
1998 Third store opened (Hyderabad), the then largest with 72,287 sq. ft of retail area
SSL co-opted as India’s only member to the Intercontinental Group of Department
Stores (IDGS)
1999 Implemented JDA Retail ERP (a global leader in retail ERP packages)
Fourth and Fifth stores launched (Jaipur & Delhi)
2000 Sixth & Seventh stores opened (Chennai & Chembur, Mumbai)
Placed equity with external investors to raise Rs 600 mn
Acquired Crossword, one of India's leading book retailing chain, from India Book
House in partnership with ICICI Trusteeship Services Limited (A/c ICICI Emerging
Sectors Fund)
2001 Implemented Warehousing Module of JDA, Auto Replenishment and Auto Purchase
Order system and business to business connectivity
Eight and Ninth store launched (Pune & Bandra, Mumbai)
Profit Linked Reward System (PLRS) introduced for all employees
2002 Tenth store opened (Kandivali, Mumbai)
2003 Received various industry awards from CMAI (including Best Retailer of the Year)
and from Nasscom (Best IT Practice in Retail Category)
Signed Austin Reed licence for men’s outerwear for India exclusively
Three stores launched taking the total number of stores to 13 (Mulund, Mumbai,
Gurgaon and Kolkata)
2004 Fourteenth and fifteenth stores launched in February 2004 (Malad, Mumbai) and
June 2004 (Salt Lake City, Kolkatta) respectively taking total retail area to 687,250
sq ft
Received Superbrand status for 2003 and 2004
Auditor Qualifications’: Statutory Auditor “Deloitte Haskins & Sells” vide its report dated August 2, 2004
has mentioned the following two qualifications in respect of operations of Upasna Trading Limited and
Crossword Bookstores Limited, which are being reproduced from their report as follows:
(i) The operations of Upasna, a 100% subsidiary of SSL are entirely dependent on SSL and
SSL is committed to provide the necessary level of financial support to Upasna to enable it
to operate and pay its debts, if required. We are informed that management plans to
enhance Upasna’s role in the distribution and logistics operations of group companies and it
will therefore be able to repay SSL’s dues in the near future. Of the Rs 40 million
outstanding at 31 March 2004, Rs.25 million had been advanced by SSL to meet certain
disputed liabilities which have been paid by Upasna under protest and SSL has
correspondingly included this amount under contingent liabilities, [see note 2 in Annexure I
(c)]. In respect of the balance of Rs. 15 million, since the impact of non-recovery, if any,
cannot be quantified the Summary Statements [Annexures I (a) and II (a)] have not been
adjusted. This item has been the subject matter of an audit qualification in the annual
financial statements of SSL.
(ii) Attention is invited to note 6 in Annexure III (c): Pursuant to the acquisition of its present
business during the financial year ended 31st March 2000, Crossword acquired certain
intangible assets, namely, goodwill, trademarks and copyrights. These assets were
recorded at a gross book value of Rs. 143 million and are amortised over a 20 year period.
We are informed that Crossword is planning significant increase in its operations and
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