Summer Training Report-Areva Company

SUMMER TRAINING PROJECT REPORT ON Collection of Payment & Cash Management AREVA T&D INDIA LIMITED NOIDA

UNDER THE GUIDANCE OF: Ms. Yashpal Kaur Rooprai

UNDER THE SUPERVISION OF: Mr. Shalinder Kumar

SUBMITTED BY ROHIT BARNWAL PGDM 2008-10

VINAYAK MANAGEMENT SCHOOL 7, Knowledge Park – II Greater Noida

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PREFACE In today’s era of cut-throat competition, PGDM is sure to have an edge over their counterparts. PGDM education brings its students in direct contact with the real corporate world through industrial training. The PGDM program provides its students with an in depth study of various managerial activities that are performed in any organization. A detailed analysis of managerial activities conducted in various departments like production, marketing, finance, human resources, export-imports, credit dept, etc. gives the student a conceptual idea of what they are expected to manage , how to manage and how to obtain the maximum output through minimum inputs and how to minimize the wastage of resources. I have undergone my summer training at AREVA T&D INDIA LIMITED. It is one of the leading Transformer companies in the country. I feel great pleasure to present this report work after my training at AREVA T&D INDIA LIMITED Topic of Cash Flow & Collection of Payment that produced to be golden opportunity for me by enriching my knowledge by comparing my theoretical knowledge with the managerial skill and application. Simple language has been used throughout the report. Report is illustrated with figure, charts and diagrams as and when required.

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CERTIFICATE This is to certify that the project work done on Collection of Payment and Cash Management is a bonafide work carried out by Mr. Shalinder Kumar and Mr. Pratiyush Kumar under my supervision and guidance. The project report is submitted towards the partial fulfillment of 2 – year, full time Post Graduate Diploma in Management. This work has not been submitted anywhere else for any other degree/diploma. The original work was carried during 28th May to 12th July in AREVA T&D India Ltd. Company.

Name & Sign of Industry Guide

Name & Sign of Faculty

Date: Student’s Name and Sign

Roll No.

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ACKNOWLEDGMENT “The satisfaction Euphoria that accompanies the successful completion of any work would be incomplete unless we mention the name of the person, who made it possible, who constant guidance and encouragement served as a beckon of light and crowned our efforts with success.” I consider it a privilege to express through the pages of this report, a few words of gratitude and respect to those who guided and inspired in the completion of this project.” I am deeply indebted to Mr. Pratiyush Kumar, Mr. Ashutosh Sharama (Project Controller) for giving me the opportunity to undergo my project in their esteemed organization and their timely suggestions & Valuable guidance. I also want to give thanks to Mr. Anand Ratanakar Pande (Chattered Accountant), Mr. Shalinder Kumar (Project Manager). They constantly encouraged me and showed the right path from day first till the completion of my project. I had worked of company visited to filling Work, Editing of Ms Office entries to expenses of all Month. In the last but not the least, my grateful appreciation is also extended to Dr. A.K Singh (Director of the collage), Mr. Sunil Kumar (Placement Officer) and Ms. Yash Kaur Rooprai (Faculty) my thanks to all my faculty members, parents and friends. However, I accept the sole responsibility for any possible errors of omission and would be extremely grateful to the readers of this project report if they bring such mistakes to my notice.

(ROHIT BARNWAL)

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DECLARATION I,am Rohit Barnwal, a student of Vinayak Management School Group of GNIT 7,Knowledge Park-II Greater Noida, hereby declare that this project is the record of authentic work carried out by me during the academic year 2008-10 and has not been submitted to any other university or Institute towards the award of any degree. An attempt has been made by me to provide all relevant and important details regarding the topic to support the theoretical edifice with concrete research evidence. This will be helpful to clean the fog surrounding the various aspect of the topic. I hope that this project will be beneficial for the Organization.

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CONTENTS Particulars EXECUTIVE SUMMARY PART A :- INDUSTRY OVERVIEW  Short history Cash Flow  Concept of Cash Flow in Detail  Seven Simple Rule of Cash Flow  Important of Cash Flow  Calculation of Cash Flow  Operating Cash Flow PART B:- COLLECTION OF PAYMENT  Role Of Project Controller  Cash Collection Document  Share Price, Share Holding, PART B : - COMPANY DETAIL  History of AREVA T&D INDIA LIMITED.  About Areva  Mutual Products at Glance  Achievement & Awards PART C : - DEPARTMENT DETAILS  Operation Department Details  Marketing Department Details  Human Resource Department Detail  Finance Department Details PART D :- DIFFERENT SCHEMES OF AREVA  Equity Schemes  Balanced Schemes SWOT ANALYSIS CONCLUSION GLOSSARY BIBLIOGRAPHY SUGGESTIONS

Page 06 08 09 10 14 17 18 21 26 28 31 34 35 36 41 44 45 46 48 53 59 74 75 83 87 88 89 90 92

Executive Summary

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This project has been a great learning experience for me; at the same time it gave me enough scope to implement my analytical ability. The first part gives an insight about the Filling Management, Expenses Collection, and Entries of Ms-Excel. It is purely based on whatever I learned at Areva T&D Pvt. Ltd. One can have a brief knowledge about Payment Collection and all its basics through the project. Other than that the real servings come when one moves ahead. Some of the most interesting questions regarding these products have been covered.

Position Summary: Oversees the functions within engineering for the design of the MFFF including Title III support to construction and provides the design authority role and technical direction for Title III Engineering to the Process Unit Assembly effort. Provides management, direction, and coordination for field engineering and interfaces with home office multi-discipline engineering group for this significant nuclear processing project. Engineering Manager is responsible for directing the Engineering and design function in all capacities for the MOX Fuel Fabrication Facility. This includes the scope/schedule and budgeting accountability for all activities required to engineer and design the facility and process features through construction and procurement, testing, and ultimately operation.

Position Responsibilities: Responsible for the execution of all the Engineering activities including planning, establishing work processes, monitoring performance, and managing interfaces. Manages a staff of engineering managers responsible for the completion of the engineering functions/aspects of a new nuclear fuel fabrication facility in accordance with plans and specifications. Responsible for preparation of engineering, production, and appropriate business reports as required by the project and company management. Directs and supervises all engineering discipline managers. Responsible for design engineering organization. Review, approve, and coordinate between construction and engineering on technical matters. Assure engineering practices, codes, and standards are compliant with federal, state, and local, as well as site specific requirements. Review and interpret Requests for Information and implement engineering dispositions. Identify field changes, propose design engineering changes, and coordinate with and obtain approval of design engineering regarding resolution of all engineering/design issues. Reviews and approves discipline staffing budget estimates and staffing assignment schedules. Maintains appropriate staffing level, including temporary personnel, as needed. Reviews and approves staff 7

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forecasting reports. Monitors the quality and progress of the overall design for the project ensuring that production requirements are satisfied.

Overseeing the management of the following activities:  Providing custody of the design management during construction and startup  Providing project configuration management to include document control  Providing oversight of the licensing process with the NRC including strategy, management, and support.  Responsible for the nuclear safety analysis for the MFFF  Serves as member of the MFFF Project Change Control Board  Implementing the design and technical requirements  Implementing critical component requirements  Performing the Design Verification functions of designated design documents  Integrating critical equipment design provided by vendors into the facility design  Integrating basic ordering agreement components into design  Providing sizing and calculations to qualify the design  Providing safety analysis for criticality/chem safety, etc.  Providing detail design for process units (gloveboxes) and develops software for control of the facility process.  Providing necessary documents including specs/regulations/procurement strategy for all QL-1 and engineered items.

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PART A INDUSTRY OVERVIEW

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SHORT HISTORY OF CASH FLOW They travel places others may fear to go, and in the process they find the best way to get there. Sometimes, they take a wrong turn and have to reassess their position; sometimes they stumble on a shortcut no one imagined was available. Ultimately, however, they make the trip easier, faster, and less risky for all who follow them. Like most industries, the Cash Flow Industry has Pioneers, and while they rarely get credit for their contributions, they are the ones who have made this industry what it is today. While they did not necessarily identify and target all the debt instruments that now exist, some have established the procedures used by others to recognize new debt instruments. Others created practices that have allowed markets to flourish. Still others have set into motion the forces that formed the current infrastructure and better defined the roles and relationships of the players. Cash Flow Pioneers are individuals who blazed the trail alone in the beginning, or corporations that maintained an aggressive approach to business for decades. It was these same innovators who designed and established the innovative practices that the Cash Flow Industry uses today. They blazed the trail that promises a bright future for all cash flow professionals. The Cash Flow Industry in its current form is still young. Although it has matured significantly in its short history, it is about to enter a period of dramatic and significant change. Because of its youth, many of its Pioneers have yet to be identified. There are new trails to be cut, new ideas to be formulated, and new products to be evaluated. The American Cash Flow Association® believes in recognizing the leaders in the industry and encouraging those would-be pioneers who may be concerned about the dangers on the road ahead. Take heart in the stories told here. One person got his idea from a radio talk show, another from an article in a business magazine. The future of the industry may be a small, insignificant notice in tomorrow’s Wall Street Journal. Cash flow professionals can be thankful that the industry’s pioneers are ready and waiting to blaze the trail to the next great discover.

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WHAT IS CASH FLOW: A revenue or expense stream that changes a cash account over a given period. Cash inflows usually arise from one of three activities - financing, operations or investing - although this also occurs as a result of donations or gifts in the case of personal finance. Cash outflows result from expenses or investments. This holds true for both business and personal finance. An accounting statement called the "statement of cash flows", which shows the amount of cash generated and used by a company in a given period. It is calculated by adding noncash charges (such as depreciation) to net income after taxes. Cash flow can be attributed to a specific project, or to a business as a whole. Cash flow can be used as an indication of a company's financial strength.

OBJECTIVE OF STUDY: The main objective of the summer training project report is to analysis the Cash position of the company.  To understand cash generation from operation activities.  To know the changes in the Cash Position of the Company.  To know the payment & Cash Collection of the Company.  To know about the short term Liquidity of the Company.  To understand the banking channel for smooth inflow & outflow.  Tools & Models implemented to generated Liquidity.

Investor explains Cash Flow: In business as in personal finance, cash flows are essential to solvency. They can be presented as a record of something that has happened in the past, such as the sale of a particular product, or forecasted into the future, representing what a business or a person expects to take in and to spend. Cash flow is crucial to an entity's survival. Having ample cash on hand will ensure that creditors, employees and others can be paid on time. If a business or person does not have enough cash to support its operations, it is said to be insolvent, and a likely candidate for bankruptcy should the insolvency continue. 11

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The statement of a business's cash flows is often used by analysts to gauge financial performance. Companies with ample cash on hand are able to invest the cash back into the business in order to generate more cash and profit.

Operating Cash flow: The cash generated from the operations of a company, generally defined as revenues less all operating expenses, but calculated through a series of adjustments to net income. The OCF can be found on the statement of cash flows. Also known as "cash flow provided by operations" or "cash flow from operating activities".

One method of calculated OCF is: OCF=EBIT+DEPRECATION-TAXES

Revenue Mean: When the net amount received (revenues less expenditures) falls short of the projected net amount to be received. This occurs when the actual amount of revenue received and/or the actual amount of expenditures do not correspond with predicted revenue and expenditure figures. This is the opposite of a revenue surplus, which occurs when the actual amount exceeds the projected amount.

Investopedia explains Revenue Deficit: For example, Consider an organization with budgeted revenue of $325,000 and budgeted expenditures of $200,000, which equates to a net amount of $125,000. During the fiscal year, the organization's total revenue is actually $300,000, while its total expenditure is $195,000. The net amount received by the organization is $105,000, which is $20,000 less than the projected receipt of $125,000. Therefore, although the organization generated a positive net amount of proceeds, it fell short of the projected amount, creating a revenue deficit.

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TEN RULES OF CASH FLOW IN THE COMPANY Cash flow is the lifeblood of all businesses. Learn the Cash Flow 101 Rules to free yourself from money worries. Use the basic rules of to help you take control of your cash flow so you can create the business you have always dreamed of. 1. Never Run Out of Cash. Running out of cash is the definition of failure in business. Make the commitment to do what it takes so it doesn't happen to you. 2. Cash Is King. It's important to recognize that the basics of cash flow 101 are what keeps your business alive. Manage it with the care and attention it deserves. It's very unforgiving if you don't. Remember, cash is king, because no cash means no business. 3. Know the Cash Balance Now. What is your cash balance right now? It's absolutely critical that you know exactly what your cash balance is. Even the most experienced person will fail if they are making business decisions using inaccurate or incomplete cash balances. This is fundamental cash flow 101. That's the reason why business failures are not limited to amateurs or people new to the business world. 4. Do Today's Work Today. The key to keeping an accurate cash balance in your accounting system is to do today's work today. When you do this, you will have the numbers you need when you need them. 5. Do the Work or Get Someone Else. Here is a simple rule to follow to make sure you have an accurate cash balance on your books. You do the work or have someone else do it. 6. Don't Manage From the Bank Balance. The bank balance and the cash balance are two different forms of cash. Rarely will the two ever be the same. Don't make the mistake of confusing them. It's futile and frustrating to attempt to manage your cash flow using the bank balance. It's a prescription for failure. You reconcile your bank balance. You don't manage from it.

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7. Know Your Six Months Cash Balance. What do you expect your cash balance to be six months from now? This one question will transform the way you manage your business and help you pass cash flow 101. This question really gets to the heart of whether you are managing your business or whether your business is managing you. 8. Cash Flow Problems Don't Just Happen. You would be amazed at the number of small businesses that fail because the owner did not see a cash flow problem in time to do something about it. The key is to always be able to answer the question - what do I expect my cash balance to be six months from now? 9. Have Cash Flow Projections. Cash flow projections are the key to making wise and profitable business decisions. They give you the answer to the all-important question from Rule # 7. It's impossible to run your business properly without them. 10. Take Care of Customers. Eliminate your cash flow worries so you are free to do what you do best-taking care of clients and making more money. Use these cash flow 101 rules to free yourself from cash flow worries. That way you can focus all your time and talents where you can make the most difference in your business. No more wasted time worrying about what's going on with your cash flow. Instead, you can focus your unique talents and abilities each day on ways to grow your business and make more income each year. That is a recipe for success and wealth creation.

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Seven Simple Rule of Increase Cash Flow Although your income statement might show a healthy profit, it doesn't amount to a hill of beans if you have no cash flow. One of the biggest mistakes made by new home business owners is allowing clients and customers to buy now and pay later. In other words, extending credit. Credit is for banks and large corporations, not for you as a home-based entrepreneur. Cash flow is the lifeblood of your business. Without it, your business will wither and die regardless of how many sales you've made or how much money is owed to you. Cash flow represents the amount of money coming in to your business through services rendered and products sold, and money going out to cover expenses and production costs. Your primary responsibility as a home-based business owner is to ensure the flow is consistent with more money coming in than going out so a pool starts to form to hold the overflow. This overflow is what allows you to make early payments so you can benefit from vendor discounts, to take advantage of special deals, capitalize on newfound opportunities, and easily cover unexpected emergencies. As soon as cash flow fails to produce the surplus funds you need, challenges arise and stress and overwhelm quickly follow. Integrate these seven simple rules to your operating strategies and enjoy the benefits of a steadily growing cash pool. 1. Request payment prior to delivering your product or service. If your service is delivered over an extended period of time and asking for a one-time payment in advance isn't realistic, divide the payment into segments and request payment in advance of each new time frame. For example, if you provide weekly house cleaning, consider requesting payment at the beginning of each month in advance of providing your services - or suggest three or six months payment in advance and offer a discount as an incentive. A mere 10 percent discount over a three-month period could put an extra $100 or more into your client's pocket. Many will jump at that deal. 2. Pay every bill on time to avoid late payment charges and earlier only if special payment discounts apply. 15

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As a hair stylist working primarily with cancer patients, imagine spending one thousand dollars a month on wigs. If the supplier offers 2/10, net 30 as payment terms, you will save two percent by paying your invoice within ten days. That might only be $20, but over a year, it adds up to $240. Take advantage of this incentive with every supplier that offers it and you could keep thousands of dollars in your business that you would otherwise have spent. 3. Deposit payments as soon as you receive them. Instead of making one or two trips to the bank each month, make them daily or weekly. Letting checks lie around increases the risk of loss. Also, go to a teller when making your deposit. Using an ATM machine removes any evidence you deposited real cash or checks. An employee or technical error or internal theft could create problems you simply don't need. 4. Use a business credit card whenever possible for travel, meals, and minor expenses. This leaves more cash in your hands and defers payment. Using a card that awards travel miles also helps you cut future travel costs. I've enjoyed cruises and free flights to business conferences thanks to air miles. 5. Create continuity sales. Build a product or service into your business that your client could use on a continual basis. For example, if you run a bookkeeping business and your clients struggle with cash flow, recommend bank reconciliation services every month. Many clients hand a box of receipts to their bookkeeper at the end of each year and cross their fingers hoping they did well. Helping your clients understand exactly where they are each and every month is an exceptional service that many will jump at. One client at $30 a month would give you $360. Ten clients at the same amount, paid in advance would give you $3,600 cash at the start of the year. 6. Create something that allows you to do the work once, but profit from over and over again. For example, many of today's business owners are creating e-books (electronic books) and audio recordings sharing valuable tips, information and knowledge that improve the health, happiness and prosperity of others. Selling electronic products online removes production costs and provides a steady flow of funds into your business. 7. Invest your overflow. Once you have built a comfortable overflow, consider investing some of it to make it grow even faster for you. Letting a large sum of money sit in your bank account

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does nothing to accelerate growth. Talk to an investment professional and find out how you can make that money work for you.

Important of Cash Flow When planning the short- or long-term funding requirements of a business, it is more important to forecast the likely cash requirements than to project profitability etc. Whilst profit, the difference between sales and costs within a specified period, is a vital indicator of the performance of a business, the generation of a profit does not necessarily guarantee its development, or even the survival. Cash Flow Vs Profit: Sales and costs and, therefore, profits do not necessarily coincide with their associated cash inflows and outflows. While, a sale may have been secured and goods delivered, the related payment may be deferred as a result of giving credit to the customer. At the same time, payments must be made to suppliers, staff etc., cash must be invested in rebuilding depleted stocks, new equipment may have to be purchased etc. For further information on the cash cycle and working capital,

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Calculating Cash Flow Normally, the main sources of cash inflows to a business are receipts from sales, increases in bank loans, proceeds of share issues and asset disposals, and other income such as interest earned. Cash outflows include payments to suppliers and staff, capital and interest repayments for loans, dividends, taxation and capital expenditure. Net cash flow is the difference between the inflows and outflows within a given period. A projected cumulative positive net cash flow over several periods highlights the capacity of a business to generate surplus cash and, conversely, a cumulative negative cash flow indicates the amount of additional cash required to sustain the business. Cash flow planning entails forecasting and tabulating all significant cash inflows relating to sales, new loans, interest received etc. and then analyzing in detail the timing of expected payments relating to suppliers, wages, other expenses, capital expenditure, loan repayments, dividends, tax, interest payments etc. The difference between the cash in- and out-flows within a given period indicates the net cash flow. When this net cash flow is added to or subtracted from opening bank balances, any likely short-term bank funding requirements can be ascertained.

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Planning to Project Cash Flow  Before using a model for short-term cash flow forecasting, a manager or entrepreneur should:  Decide the central purpose of the exercise (internal planning and control, negotiate a loan etc.).  Identify the target audience (directors, bank manager etc.)  Set the time intervals and horizon (e.g. monthly for twelve months)  Sort out the level of detail required.  Check that all the necessary key assumptions and data are to hand and have been adequately researched.  Compile opening balances for all items which will involve cash flows within the forecasting period.  Think through the likely impact of the critical assumptions on the cash flow projections. If necessary, prepare preliminary forecasts manually to confirm their overall direction and consider the underlying strategic issues relating to sales, funding, costs, stocks etc. As a guide, sales forecasts and debtor & creditor terms are likely to have the most profound impacts on short-term cash flows.

Planning Pitfalls When Forecasting Cash Flow: When preparing cash flow projections, be aware of the dangers of: Overstating sales forecasts Underestimating costs and delays likely to be encountered Ignoring historic trends or performances by debtors etc. Making unduly-optimistic assumptions about the availability of bank loans, credit, grants, equity etc.  Seeking spurious accuracy whilst failing to recognize matters of strategic importance    

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These problems can arise as the result of a lack of foresight or knowledge, or because of excessive optimism. They can lead to under-estimation of the cash and other resources required sustaining or developing a business with potentially disastrous consequences.

Way to Improving Cash Flow Once the cash flow projections have been prepared, they should be critically examined and used as a management tool to control and improve the business's expected cash position. Issues which might be examined include the following: 1. Increase sales (particularly those involving cash payments). 2. Reduce direct and indirect costs and overhead expenses. 3. Defer discretionary projects which cannot achieve acceptable cash paybacks (e.g. within one year???). 4. Increase prices especially to slow payers. 5. Review the payment performances of customers - involve sales force. 6. Become more selective when granting credit. 7. Seek deposits or multiple stage payments. 8. Reduce the amount/time of credit given to customers. 9. Bill as soon as work has been done or order fulfilled. 10. Improve systems for billing and collection. 11. Use the 80/20 rule to control inventories, receivables and payables. 12. Improve systems for paying suppliers. 13. Generate regular reports on receivable ratios and aging. 14. Establish and adhere to sound credit practices - train staff. 15. Use more pro-active collection techniques. 20

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16. Add late payment charges or fees where possible. 17. Increase the credit taken from suppliers. 18. Negotiate extended credit from suppliers. 19. Make prompt payments only when worthwhile discounts apply. 20. Reduce inventory (stock) levels and improve control over work-in- progress. 21. Sell off or return obsolete/excess inventory. 22. Utilize factoring, or discount facilities, to accelerate receipts from sales. 23. Defer or re-stage all capital expenditure. 24. Use alternative financing methods, such as leasing, to gain access to the use (but not ownership) of productive assets. 25. Re-negotiate bank facilities to reduce charges. 26. Seek to extend debt repayment periods. 27. Net off or consolidate bank balances. 28. Sell off surplus assets or make them productive. 29. Enter into sale and lease-back arrangements for productive assets. 30. Defer dividend payments. 31. Raise additional equity. 32. Convert debt into equity.

OPERATING CASH FLOW: The group’s free operating cash flow was -921 million euros in 2008, compared with -1.985 billion euros in 2007. Several factors explain this change: a decrease in company acquisitions, net of disposals, which came to +127 million euros in 2008 (primarily due to the contribution to cash when Suez took a stake in Georges Besse II), compared with -1.818 billion euros in 2007, the year UraMin was acquired; an increase in gross Capex, excluding company acquisitions, which went from -1.110 billion 21

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euros in 2007 to -1.623 billion euros in 2008; practically stable operating working capital requirement, at -451 million euros, despite the reconstitution of uranium and SWU inventories in the Front End division and the increase in working capital requirement in the Transmission & Distribution division, in line with business growth; a drop in EBITDA, which went from 1.335 billion euros in 2007 to 1.181 billion euros in 2008, primarily due to expenses recognized on the OL3 contract.

Operating cash flow by division: Division

2008

2009

Front End

609

1672

Reactors & Service

591

528

Back End

422

172

Nuclear Power Subtotal

777

2028

T&D

20

223

Other

124

190

Total

921

1985

Conclusion: 1. Decision Making 2. Investment 3. Dreams & Visions 4. Making Progress 5. Taxes 6. Cash

______________________________________________ 1. Decision Making:  I always like to look on the optimistic side of life, but I am realistic enough to know that life is a complex matter. 22

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 Keep it simple, stupid.  I would not give a fig for the simplicity this side of complexity, but I would give my life for the simplicity on the other side of complexity.  Stick to the knitting.  Every decision you make is a mistake.  For every complex problem there is an answer that is clear, simple, and wrong.

2. Investment:  Never give anyone the advice to buy or sell shares, because the most benevolent price of advice can turn out badly.  No price is too low for a bear or too high for a bull.  Do you know the only thing that gives me pleasure? It's to see my dividends coming in.  No one was ever ruined by taking a profit.  Cut your losses and let your profits run.

3. Dreams & Visions: Vision is the art of seeing things invisible. Myths are public dreams, dreams are private myths. Dreams are necessary to life. If one advances in the direction of his dreams, one will meet with success unexpected in common hours.  The very essence of leadership is that you have to have vision. You can't blow an uncertain trumpet.    

4. Making Progress:  There is nothing more difficult...than to take the lead in the introduction of a new order of things.  If you want truly to understand something, try to change it.  Do not follow where the path may lead. Go instead where there is no path and leave a trail.  You cannot travel on the path until you become the path itself.  There is no top. There are always further heights to reach. 23

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5. Taxes:  The avoidance of taxes is the only intellectual pursuit that still carries any reward.

 The difference between tax avoidance and tax evasion is the thickness of a prison wall.  We don't pay taxes. The little people pay taxes.  The art of taxation consists in so plucking the goose as to obtain the largest amount of feathers with the least possible amount of hissing.  Taxing is an easy business. Any projector can contrive new compositions, any bungler can add to the old.

6. Cash:        

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Cash flow is the movement of money in and out of a business. Happiness is a positive cash flow. Yesterday is a cancelled cheque. Tomorrow is a promissory note. Today is cash. Ah, take the Cash in hand and waive the Rest. Whoever has the gold makes all the rules. Revenue is vanity....margin is sanity....cash is king. Profit is an illusion, cash flow is fact. Profits are an opinion, cash is a fact

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PART-B COLLECTION OF PAYMENT

PROJECT CONTROLLER What is Project Controller: To manage the project control activities of a major UK prime spacecraft project. This will involve a good knowledge of the processes involved as well as the company tools such as Primavera P3, and MARS risk tool. It is essential that the individual understands the principles of Work Package Management and the structuring of WBSs. This will involve the development of toolsets and training of project staff. A controller will be aligned to a project or projects. If more than one then they will be from the same product family. The controller will be physically situated amongst the project team. His 25

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main function will be to promote an understanding of both financial, schedule, change control and risk issues within the project, to monitor and challenge the output of the same project team and to support the decision making process. The controller will gain knowledge in all aspects of his project and this will include: - The contract - The cost model - The risk profile and process - The project management - The industrial process - The management structure - The systems in supporting the project - The foreign exchange requirements - The structure of a project and its suppliers within SAP The project controller should align him/herself to the activities of the project manager and through an all round knowledge of the project, put him/her self in a position to present the status of the project on behalf of the project manager when needed. The controller will however remain independent of the project enabling him to always report a true and fair view as to the health of the project. Moreover, the position of project controller should be seen as an essential part of the training plan for any person looking to take on the role of project manager.

Specific Areas of Responsibility: 1. Cost Model/Schedule, P3. Ensure its integrity and coherence with data held within SAP. This will be achieved by a thorough understanding of the systems used to capture the actual (SAP) and the CTC's (project plan). In addition, the corporate reporting tool Cascade must be mastered to be able to present a complete project model. The controller must challenge all inputs to assure their validity and appropriateness. This will involve a comparison of actual to what was forecast in the project plan and a challenging of plans with regard to past performance, workload profiles, dependencies, risk profiles, contractual requirements etc 26

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2. Risk and Exposure Monitor the risk process to ensure that exposures are reported and managed appropriately. This will be done by a review of the stability and sensitivity of the assumptions made in the plan, the potential exposure to the project and/or the Company and the adequacy of the mitigation plans aimed at reducing this exposure. The risk process should be challenged to ensure that exposures are articulated and addressed in a timely and appropriate fashion. A process should be in place to monitor and prioritise risks and the subsequent mitigation plans. Risk mitigation plans should be included in the project plan and the controller has a role in ensuring that the exposure and cost of mitigation is fully understood and available for management consideration. 3. Bidding Activities To provide expert assistance to the bid manager in creating a cost model, identifying its sensitivities and drivers and therefore its inherent risk. Generic models should be created within Suretrak as they currently are in ECOS. The controller, who will be the expert on live projects should be well positioned to work on bids. Risks based on assumptions in the models will help generate a check list for the negotiators when dealing with the customer.

Qualifications and/or Skills Essential: Scheduling using P3/PMv6, Project management environment, Pro-active approach, good communication & analysis skills. Desirable: Engineering background and a fast leaner. Previous Experience: Essential: Working within a core management team on major projects, preferably space or science. Desirable: Scheduling, risk management, presentation skills, change control, fast leaner.

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COST ESTIMATION PACKAGE USAGE BY PROJECT CONTROLS: The cost estimation package is developed primarily for establishing the project budget and for providing the appropriate documentation and justification for a funding request. Once the project is funded, this package is not filed away. It becomes the baseline or target against which the performance of the project/program can be controlled and compared. By comparing the baseline with the actual performance, deviations from the baseline can be identified and corrected before they cause an impact on the project/program.

Technical Scope: As a project develops, some portion of the technical scope may be revised. If there is a deviation from the original technical scope, a change order is initiated and a revision to the original estimated cost usually occurs. Project control can use the detailed technical scope as well as the assumptions made by the estimator when assessing the cost impact of a change in scope. The detailed scope is used as a baseline, and all changes to it are documented by project controls.

Schedule: The schedule in the cost estimation package represents the same timeframe as the estimate. Therefore, any change in this schedule could affect the cost of the project/program. Thus, management can compare the baseline schedule to the actual schedule to identify scheduling problems or changes and any associated cost updates.

MAIN RESPONSIBILITIES: To establish and transmit down payment invoices to the customer, in compliance with the contract , and to manage the internal administrative part of the project (OTP opening , 28

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Tender Budget , Order Budget ,..) to officials and allow the start of the project (at commencement date).To ensure , with Commercial and finance Department.

Project Controller/Cost Controller: With 71,000 employees in over 100 countries, AREVA is world leader in nuclear power and the only company to cover all industrial activities in this field. As part of its development, the Projects Department of AREVA’s Mining activity is looking to recruit experienced project controllers and cost controllers to take part in its twenty international projects in Niger, Namibia, Canada and Kazakhstan.

Function: Your mission will be to assist the Project Manager in the areas of costing, scheduling, methods and risk management. You will be in charge of: • Setting up the tools and methods needed to manage the project and allow for the Projects Department’s shared reference base. • Drafting a project master schedule • Critical analysis and control of project costs • Reporting. • Analyzing project risks and tracking/implementing action plans • Initiating and monitoring the necessary quality audits

Role of Project Controller

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Project Controller: The Project Controller is work of reduce cost and timely to collect payment of Supplier. Their main works SAP Software to entries of all products that which have maintain the cost.

Safety Engineer: Direct the activities of the MOX Project Nuclear Safety organization to assure adequate design for safe operation, successful chemical processes, and compliance with company policies and procedures. Manage nuclear safety organization, including all phases of nuclear safety work including safety analysis, PRA, Criticality analysis.

SCHEDULE OF EQUIPMENT AND PRICES: S. No

Description

Qty.

Numerical 1No. Generator protection relay MiCOM P-343 relay 30

Unit Ex- Packing, works price forwarding freight (Rs.) & Insurance 3,90,000.00

Inclusive

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Total Exworks destination price (Rs.) 3,90,000.00

Numerical 1 No. Generator transformer protection relay MiCOM P-632 relay

2,50,000.00

Inclusive

2,50,000.00

6,40,000.00 GRAND TOTAL (Rupees Six Lac Forty Thousand Only)

6,40,000.00

PRICES The above prices are FIRM inclusive of Packing & forwarding Charges and commissioning charges and are on FOR destination basis exclusive of Excise duty and CST. Excise Duty and CST is to be paid extra as applicable. Present rate of Excise duty is 16.48% and present rate of CST is 3% against Form C. Bank charges shall be borne by the supplier. TERMS OF PAYMENT: 100% payment to the released after the receipt of invoices & completion of other contractual formalities. DELIVERY PERIOD: The material has already been delivered, installed and commissioned at Dehar Power House Unit no. 2. LITERATURE AND MANUAL: The supplier shall supply four sets of literature/instruction manual having Operation/Maintenance and troubleshooting instructions of the equipment after placement of purchase order. DESPATCH INSTRUCTIONS: The material is to be despatched as per Annexure-I- ‘Despatch Instructions’ OTHER TERMS AND CONDITIONS: Other terms and conditions shall be as per enclosed Appendix-I and to the extent modified by the provisions outlined above.

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You are requested to acknowledge the receipt of this purchase order and return one copy of the same duly signed on each page of the purchase order by your authorised representative at the earliest in token of your unconditional acceptance of the same.

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1. WARRANTY The supplier shall be responsible to replace free of cost , with no transportation or insurance cost to the purchaser upto the destination, the whole or any part of the material which in normal and proper use proves defective in quality or workmanship, subject to the condition that the defects are noticed within twelve months from the date the material is commissioned/ put to use or 18 months from the date of despatch whichever period may expire earlier. The consignee or any other officer of the purchaser actually using the material will give prompt notice of each such defect to the supplier as well as the purchaser. The replacement shall be effected by the supplier within a reasonable time but not in any case exceeding 60 days, from the date of intimation of defects. The supplier shall also arrange to remove the defective supply within a reasonable period, but not exceeding 60days from the date of issue of the notice in respect thereof, failing which the purchaser shall reserve the right to dispose off the defective material in any manner as considered fit at the sole risk and cost of the supplier. Any sale proceeds of the defective material after meeting the expenses incurred on its custody, disposal, handling etc. shall, however, be credited to the supplier’s account and set off against any outstanding dues of the purchaser against the supplier. These provisions shall also equally apply to the replaced material. In case the material is again found to be defective within a period of 12 months of its replacement, it shall also have to be replaced similarly. 2. WARRANTY DEED The supplier shall execute a Warranty Deed (on the Standard Performa to be supplied by the purchaser), on a non-judicial stamp paper required for such deeds as per the relevant act of the State in which it will be executed and signed and shall be kept valid for the Warranty period as per Clause-1 above. The Warranty Deed shall be supplied immediately after placement of purchase order. 3. PERFORMANCE BANK GUARANTEE The supplier shall furnish a Performance Bank Guarantee (on a standard Proforma to be supplied by the purchaser) of the value of 10% of the contract to cover the satisfactory working of the material during the period of Warranty as per Clause-1 above and it shall also be kept valid till such time any claim of the purchaser is pending against the supplier. The Performance Bank Guarantee shall be furnished by the supplier immediately after the receipt of purchase order. 33

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4.

ARBITRATION If at any time any question, dispute or difference whatsoever, shall arise between the purchaser and the supplier, upon or in relation to or in connection with the contract, provisions of Arbitration and Conciliation Act,1996 shall be applicable. The work under the contract shall be, if reasonably possible, continued during the Arbitration proceedings and no payment due or payable by the purchaser shall be withheld on account of such proceedings.

5.

JURISDICTION OF COURT In case of any dispute between the parties, the Courts at Chandigarh only shall have the jurisdiction to settle/decide and adjudicate upon such maters. Before approaching the court of law, any dispute or difference arising in connection with the contract shall be referred by either party for arbitration in accordance with Clause-4 above.

6.

MATERIAL AND WORKMANSHIP All material used in the manufacture of equipment shall be of the best quality obtainable of their respective kinds and the whole of the work shall be of the highest class, well finished and of approved design and make. Castings shall be free from blow holes, flaws ,cracks or other defects and shall be smooth, close grained, and of true forms and dimensions.

7.

EXCISE DUTY & CENTRAL SALES TAX/STATE SALES TAX AND OTHER DUTIES/TAXES A) Central Sales Tax/State Sales Tax The Central Sales Tax/State (Punjab, Haryana, Himachal Pradesh) Sales Tax will be paid extra at concessional rate against form ‘C’/’D’ as applicable at the time of supply subject to rates prevailing within the contractual delivery period as per Clause-1 above. The supplier shall furnish original vouchers and/or following certificates duly recorded on the invoices and signed by the supplier:Certified that the transaction, on which Sales Tax has been submitted to the Sales Tax Authorities for the assessment of the Sales Tax and the amount claimed from the purchaser has been/ shall be paid to Sales Tax Authorities.

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Certified that the goods on which Sales Tax has been charged have not been exempted under the Central Sales Tax Act or the rules made thereunder and the charges on account of Sales tax on these goods are correct under the provisions of the relevant act or rules made thereunder. Certified that we shall indemnify the purchaser in case it is found at a later stage that wrong or incorrect payment has been recovered on account of the sales tax paid by us. Certified that we are registered as a dealer under the Central Sales Tax in the State of __________ and our Registration No. is ____________for the purpose of sales tax. B) Excise Duty: The payment of the Statutory excise duty ,if due, will be made extra at the rates given in the supplier’s quotation limited to the rates prevailing within the contractual delivery period as per Clause-1 above and subject to furnishing of documentary proof of payment having been made by the supplier to the Excise Department. The supplier shall also furnish the following certificates duly recorded on the invoices and signed by him while claiming payment of Excise Duty:Certified that the sum of Rs…………….(Rupees …………………….) towards excise duty has been paid to the Central Excise Authorities towards despatch of (Name of Materials) effected from………..(Station) to…………(Station) consigned to ………….under R.R/G.R No ……….Dated ………… vide Bill No……………Dated ………….. Certified that the excise duty charged is at the prevailing rates and no part of the same is refundable. In case, any excise duty paid on this material, is refunded to the supplier, it will be passed on to the purchaser. Certified that the goods, on which Excise duty has been charged, have not been exempted under the Central Excise Duty and the Central Excise Duty charged on these goods is not more than what is payable under the provisions of the relevant act or rules made thereunder. Certified that we shall indemnify the purchaser in case it is found at a later stage that wrong or incorrect payment has been recovered on account of Excise Duty paid by us. C)

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Octroi and other duties/taxes: Octroi and other duties/taxes, if leviable on the finished goods at the station of despatch at the time of supply shall be paid at actuals subject to production of original payment documents and subject to the rates prevailing within delivery period, if the same have not been included in the quoted prices. To avoid any complication, with regard to octroi at the destination station, the material shall be despatched in the

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name of consignee and not to self. However, Octroi charges as applicable at the destination station shall be borne by the purchaser. 8.

ACCEPTANCE OF PURCHASE ORDER The supplier shall convey unconditional acceptance of the purchase order immediately after its receipt. For this purpose, three copies of the purchase order shall be supplied to the supplier. One copy of the purchase order, duly signed on each and every page by the supplier in token of their having accepted the P.O., shall be returned to the purchaser. The supplier shall also furnish documentary proof evidencing that signatory is an authorised representative of this supplier.

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INTRODUCTION Electricity is our business: We have over 100 years of expertise and dedication in bringing power to people worldwide. From rural electrification to turning the wheels of industry and facilitating the trading of energy, we bring power to your projects.

Your solution provider based upon a superior product offering: Our products and systems serve to transmit and distribute electricity, ensure the reliability, quality and safety of energy flows, as well as operate efficient networks through information management. We are present at all stages of the supply power chain, from the generator to the large end-user, backed by a comprehensive services portfolio. As a solution provider, we bring together and optimize different disciplines, T&D businesses and third-party suppliers, to address your specific problems, however complex, and add value to your business. We bring solutions that draw upon market segment expertise and are price-competitive.

A global presence: We are one of the world's leading T&D companies. We have over 25,000 employees located in more than 30 countries, with a dedicated sales force serving customers in over 100 countries. AREVA NP is the world leader in the design and construction of nuclear power plants and research reactors, engineering, instrumentation and control, modernization, maintenance and repair services, component manufacture and supply of nuclear fuel. The jointly-owned company is headquartered in Paris, with regional subsidiaries in the U.S. and Germany. AREVA has a 66% and Siemens a 34% stake in AREVA NP.

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MESSAGE FROM MANAGEMENT

AREVA NP Inc. appoints new President and CEO Michael Rencheck President & CEO, AREVA NP Inc Michael W. Rencheck has been appointed President and CEO, AREVA NP Inc., effective Jan. 26, 2009. Rencheck replaces Tom Christopher who will continue to support the company parttime as Vice Chairman of AREVA NP Inc. through June 2009 to ensure a smooth transition in leadership. Rencheck reports directly to Luc Oursel, CEO of AREVA NP, with regional reporting to Jacques Besnainou, President of AREVA Inc. Rencheck comes to AREVA NP Inc. from American Electric Power (AEP) where he served most recently as Senior Vice President and Chief Nuclear Officer of the Nuclear Generation Group. In this capacity, he was responsible for the nuclear operations of the Donald C. Cook nuclear plant in Michigan. "Mike brings a tremendous amount of engineering, plant modification, and project construction experience in the nuclear industry in addition to well-established relationships with key organizations such as the U.S. Nuclear Regulatory Commission and the Institute of Nuclear Power Operations," says Luc Oursel. "Under his leadership, AREVA NP will continue to strengthen its position for the deployment of the U.S. EPRTM, AREVA’s Gen III+ reactor design, and as a leading service provider for the existing fleet of nuclear power plants in the United States." After joining AEP’s Donald C. Cook plant in 1998 as Vice President of Nuclear Engineering, Rencheck held various positions during his tenure including Senior Vice President of Generation Engineering, Projects and Field Services; Senior Vice President of Engineering, Technical and Environmental Services; and President of AEP ProServ, a wholly owned engineering and field services subsidiary that completed several power generation projects and generated $400 million 38

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in annual revenue with various U.S. customers. Prior to joining AEP, Rencheck worked for Florida Power Corporation serving as Director, Nuclear Engineering and Projects for Crystal River Nuclear Station. Earlier in his career, Rencheck worked at Public Service Electric & Gas Company Salem Nuclear Station as Director of Engineering and Duquesne Light Company’s Beaver Valley Power Station. Rencheck earned a bachelor’s degree from Ohio Northern University in Electrical Engineering and a master’s degree in Management and Information Systems from Robert Morris University in Coraopolis, Pa. He is a Professional Engineer in eight states, including Virginia, and a Certified Senior Reactor Operator.

Board of Directors: Rathindra Nath Basu Managing Director, President of India Region and Director This person is connected to 6 board members in 1 different organizations across 1 different industries. Karim Vissandjee Vice President of Control & Financing, Executive Director, Member of Audit Committee and Member of Share Transfer & Shareholders & Investors Grievance Committee, AREVA T&D INDIA LIMITED Karim Vissandjee serves as Vice President of Control & Financing of AREVA T&D INDIA LIMITED (formerly Alstom Ltd.). Before joining AREVA T&D, Mr. Vissandjee served as Chief Financial Officer of Group Vedior France, after having held various top positions in finance within LVMH, Valeo and Olivetti. He serves as an Executive Director of AREVA T&D INDIA LIMITED Mr. Vissandjee graduated from H.E.C. Montreal (Canada). Michel Augonnet Executive Vice President of International Sales & Service Country Organisation and Executive Director, AREVA T&D INDIA LIMITED Michel Augonnet serves as Executive Director of AREVA T&D INDIA LIMITED (formerly, Alstom Ltd.) and has been its Executive Vice President of International Sales & Service Country 39

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Organisation since April 15, 2004. Mr. Augonnet began his career in 1974 at CEGELEC Energy Division. After 10 years as Project Manager for a Nuclear Power Station in South Africa, he headed the turnkey hydro power stations development. In 1993, he was appointed Corporate Commercial Director. Arthur de Montalembert Senior Vice President - International and Marketing and Director, AREVA T&D INDIA LIMITED Arthur de Montalembert has been Senior Vice President - International and Marketing and Director of AREVA T&D INDIA LIMITED since June 2006. Mr. de Montalembert career in the energy field started in 1979 as an officer for international energy affairs at the French Ministry of Industry. He joined COGEMA, the French nuclear fuel cycle company, in 1983 and held responsibilities in marketing & sales until 1987. From 1988 to 1992, he was COGEMA Chief Representative in Japan.

FACT & FIGURES: AREVA NP consistently demonstrates commitment to the nuclear power industry with investments in research and development, training, and facilities. Our 3,500 employees in the U.S. show the same commitment by anticipating and understanding the demands that nuclear power plant personnel face each day. This is how we have achieved market leadership in nuclear outage services and component replacement. This is how we will continue to lead the market as we prepare for the resurgence of nuclear power.

CORPORAT ORGANISATION: AREVA NP is headquartered in Paris (France) with main subsidiaries in the United States and Germany. AREVA has a 66 percent and Siemens a 34 percent stake in the company.

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AREVA's energy business is organized into four divisions covering the nuclear power cycle and electricity transmission and distribution. Within this organization, AREVA NP comprises four sectors: Fuel sector (AREVA Front-end Division), Plants sector (AREVA Reactors and Services Division), Nuclear Services sector (AREVA Reactors and Services Division), Equipment sector (AREVA Reactors and Services Division).

HISTORY: Constellation and AREVA Inc., announced the formation of UniStar Nuclear, a joint enterprise that provides the business framework through wich the first fleet of advanced nuclear power plants could be developed and deployed

COMMUNITY INVOLVEMENT: AREVA NP Inc. has a long history of community support and involvement and our parent company AREVA is committed, through our Sustainable Development principles, to being involved in every one of the communities in which the company operates. AREVA NP Inc.’s strategy for corporate citizenship goes beyond simply making a donation. We want to build partnerships within the community that support community needs, enhance quality 41

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of life, and engage our community leaders and employees. From building a Habitat for Humanity house to creating innovative training programs for nuclear maintenance technologies at the local community college, AREVA NP strengthens its communities with financial funding and by involving employees in volunteer opportunities. Areas of focus The areas of focus for AREVA NP's community involvement include:  Education: science, technology, engineering, business  Civic/Cultural/Environment: arts, music, theatre, history, environmental protection  Human services: housing, family crisis response, successful children and youth, strengthened families and individuals, healthy and independent individuals In addition, AREVA NP strongly supports the local United Way organizations in our communities joining our employees in giving more than $500,000 annually. REGIONAL SOLUTIONS: Plant Solutions

Fule Solutions

AREVA NP offers custom solutions to solve any complex nuclear engineering issue. The Plants Sector is committed to improving safety and plant performance by increasing reliability, reducing risks and reducing costs for the existing fleet as well as undertaking major initiatives for the deployment of new plants.

For nearly four decades, our fuel assemblies have powered the growth of nuclear energy around the world, providing the highest performance, cost-competitiveness, and reliability. Backed by the global resources of AREVA, and by proven domestic success, our fuel designs provide effective solutions to current and anticipated demands for high reactor core performance and reliability. Our advanced fuels feature superior debris protection, high resistance to corrosion, and fuel rod and structure designs for 18 to 24-month fuel cycles.

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Products & Services: The profiles in our Products & Services Catalog are only available in English. We offer four ways to search for product and services profiles: By Capability: Select a Domain and then select a Topic. Full-text search: Type a key word to search Entire Catalog for topic. A to Z index: Type the first letter of the Product you would like to view in the catalog. Complete Profile List: Select "Products & Services" to view the Entire Catalog and click on the topic of your choice. By Capabilities Full-Text Search Browser our catlog of products by cabilities Select a domain The select a topic

A to Z Index

News Room: The consortium formed by AREVA’s Transmission and Distribution division and PT Multifabrindo Gemilang, Indonesian electrical equipments contractor, has been awarded a €120 million contract by PT PLN (Persero), the Indonesian Public Electric utility. Through this contract, AREVA will modernize the Indonesian network in line with the “10 GW Generation program1” launched in 2006. This turnkey contract includes delivery of several high voltage substations as well as underground electrical cables, in order to distribute power to the main Java cities (Jakarta, Bandung and Surabaya). This project supports the government’s ambitious program to increase access to electricity for Indonesians within reliability and continuity of power supply. “In a highly competitive market environment, we are delighted to contribute to this major project which represents a great step towards the modernization of the Indonesian electrical network”, says Michel Augonnet, Executive Vice President for the Systems business unit of AREVA T&D. AREVA’s Transmission and Distribution (T&D) division has won a prestigious order for 2x220 kV Conversion Substations from Hindalco Industries Limited, India’s major Aluminum Producer. This order involves design, supply, installation and commissioning of 5 x 100 kA, 43

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1650 V DC rectifier substations, at each location of Bargwan (Singrauli-Madhya Pradesh) and Lapanga (Sambalpur-Orissa). Both substations will be delivered to Hindalco by 2011. AREVA’s Transmission and Distribution (T&D) division announced today that it has signed an exclusive partnership contract with A. Eberle GmbH & Co. KG Nuremberg in order to provide studies and services using the A. Eberle Collapse-Prediction-System (CPSys). This agreement builds upon more than ten years of professional collaboration between the two companies. A. Eberle is a German company focused on developing solutions for measuring, controlling and recording tasks for transformers and arc suppression coils. The Collapse-Prediction-System from A. Eberle is a patented tool which offers a unique way of providing off-line network stability analyses by recording all small signals emitted at a variety of frequencies as well as on-line instability predictions by detecting bad dampings and divergence very early. It allows users to analyze their network using highly accurate measurements, in addition to traditional model-based simulations. In fact, the level of the accuracy is so high that users can detect even hidden stability phenomena, and furthermore much quicker and sooner than they could using any other existing solution. Under the terms of the partnership, AREVA T&D will have global exclusivity on using the Collapse-Prediction-System to perform a complete system analysis for its customers, in order to identify not just what their network instabilities are, but also exactly where they are and what is causing them. As a result of this sort of study, AREVA T&D and A. Eberle will be able to recommend a perfectly-suited solution to fix exactly what is wrong.

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Group: All over the world, AREVA provides its customers with solutions for carbon-free power generation and electricity transmission. With its knowledge and expertise in these fields, the group has a leading role to play in meeting the world’s energy needs. Ranked first in the global nuclear power industry, AREVA's unique integrated offering covers every stage of the fuel cycle, reactor design and construction, and related services. In addition, the group is expanding its operations in renewable energies, including biomass, wind power and fuel cells. AREVA is also a world leader in electricity transmission and distribution and offers its customers a complete range of solutions for greater grid stability and energy efficiency. Sustainable development is a core component of the group’s industrial strategy. Its 75,000

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employees work every day to make AREVA a responsible industrial player that is helping to supply ever cleaner, safer and more economical energy to the greatest number of people.

Simplified legal organizational chart ___________________________________________

Operation: AREVA’s energy business is organized into four divisions covering the nuclear power cycle and electricity transmission and distribution.

FRONT END DIVISION

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RECTORS AND SERVICES DIVISION

BACK END DIVISION

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TRANIMISSION AND DISTRIBUTION

The group offers its customers reliable technological solutions for non CO2 emitting power generation and electricity transmission and distribution. The group is the world leader in nuclear power and the only company to cover all industrial activities in this field. AREVA's businesses help meet the 21st century's greatest challenges: making energy available to all, protecting the planet, and acting responsibly towards future generations.

STRATGEY & ORGASATION: Enable everyone to have access to ever cleaner, safer and more economical energy": that is the goal we have set for ourselves at AREVA. The AREVA group offers solutions for CO2-free power generation and electricity transmission and distribution. AREVA’s strategy is to leverage its integrated model to strengthen its position as world leader. The group is present in every segment of the nuclear value chain and can provide solutions to meet the strategic challenges facing its utility customers. AREVA’s integrated model is setting the standard for the market and is imitated by many competitors. Toshiba/Westinghouse, General Electric and Mitsubishi Heavy Industries have gradually deployed a strategy for partial integration of the value chain through acquisitions, equity interests and/or strategic partnerships. Russia’s approach is even more representative: the Russian government recently combined all of its nuclear fuel cycle operations under the umbrella of a single entity, By achieving these objectives, the group will maintain a strong balance sheet, high earnings, and solid cash flows. It is the group’s policy to maintain a strong balance sheet. This is a guarantee of security for its customers and enables the group to enter into major contracts, especially in connection with new reactor sales. It is also essential to the success of its businesses and to the financing of future investments. AREVA has set up provisions for its end-of-life-cycle liabilities and created a dedicated financial portfolio to cover all of its estimated end-of-life-cycle expenses when they come due. A special committee of the Supervisory Board monitors the dedicated asset portfolio and our coverage of future end-of-lifecycle expenses. Maintaining strong and recurring operating cash flow allows the group to fund its capital expenditures and create value for its shareholders. Towards that end, the group will continue to improve productivity and expects to achieve double-digit operating margin by 2012. These main lines of action are the foundation of AREVA’s development strategy.

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BUSINESS & MARKETING: The AREVA group has positioned itself as a major partner to electric utilities, which are facing the 20th century’s energy challenges: generating more electricity at the lowest cost with the utmost reliability while reducing greenhouse gas emissions. AREVA, the world leader in nuclear power, meets these challenges through each of its operating divisions by offering technological solutions for reliable CO2-free power generation and electricity transmission and distribution. With manufacturing facilities in 43 countries, AREVA aims for balanced development between the various regions of the world.

INVESTOR RELATIONS: In this area, you can access all of the group’s financial data and a series of tools giving you access to information for a better understanding of our operations.

CUSTOMER TRAINING: In the context of the current economic climate, many T&D customers are focusing on how to extend the lifecycle of existing assets while improving security, service continuity and power quality and network performance. AREVA T&D offers high added value services to its customers, from network consulting to training and competence management which cover all aspects of electrical installations. AREVA T&D Technical Institute can provide training on subjects ranging from safety, design, operations, maintenance to protection, control and network management. AREVA T&D Technical Institute will help you map out your training plans to improve your staff competences on existing equipment and also to keep your staff up-to-date on the latest technological advances.

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Areva Join Venture: AREVA’s Transmission and Distribution division has announced today the signing of an agreement to form a 50/50 joint venture with the Russian company, United Company RUSAL (UC RUSAL), the world’s largest producer of aluminum. The joint venture will become the preferred supplier for turnkey projects, electrical equipment and services in the T&D field for UC RUSAL’s plants and is expected to generate $500 million in orders over the next five years. Through this partnership, UC RUSAL will secure key competencies to support its fast growing production capacity. For AREVA, partnering with UC RUSAL will enable the company to strengthen its position on the booming electro-intensive industries market, and to further develop its activities in Russia. AREVA has longstanding experience and expertise in developing high direct current electricity supply systems for aluminum production sites around the world. In 2006, it designed and installed such a customized electrical system for UC RUSAL’s Sayanogorsk site in Siberia. Philippe Guillemot, Chairman and CEO of AREVA’s Transmission and Distribution division, said: “This new partnership is in line with our strategy to reinforce our presence on the industries market. It also illustrates our strong commitment to support UC RUSAL’s development strategy by ensuring its secure access to key competencies in the electrical field.” More about with manufacturing facilities in 41 countries and a sales network in more than 100 countries, AREVA offers customers reliable technological solutions for CO2-free power generation and electricity transmission and distribution. We are the world leader in nuclear power and the only company to cover all industrial activities in this field. Our 61,000 employees are committed to continuous improvement on a daily basis, making sustainable development the focal point of the group’s industrial strategy. AREVA’s businesses help meet the 21st century’s greatest challenges: making energy available to all, protecting the planet, and acting responsibly towards future generations. AREVA's T&D division is an active player around the globe. It designs, manufactures and supplies a complete range of equipment, systems and services for all stages in the transfer of electricity, from the generator to the large end-user.

VISION AND MISSION OF COMPANY: 49

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Vision: At AREVA to make the highly profile of company at to create the brand name of whole words.Its best performance product for tranmission and distribution.

Mission: At AREVA you’ll face new and exciting challenges every day as you support the needs of our customers. But there’s also a bigger picture to your career. Our businesses help to meet the needs of the great endeavors of the 21st century – making energy available to all, protecting the planet, and acting responsibly for future generations. It’s a vision that includes innovating cleaner, safer, and more attainable energy to drive economies, develop cultures, and deepen life experiences.

Brand Essence: AREVA participated in the last two America's Cup races and is still as committed as ever to helping the French team win. This year, AREVA is sponsoring the French Match Racing Team consisting of five crews of talented, seasoned sailors from a variety of backgrounds selected by the French Sailing Federation. This is the first French team to have been formed specifically for match racing. The team will participate in this year's prestigious World Match Racing Tour (WMRT), an international championship of ten match races held at various locations around the world.

Event: EP CHINA, 8-10 JULY 2009 - SHANGHAI

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The 7th International Exhibition on Electric Power Equipment and Technology will be staged from July 8 - 10, 2009 at Shanghai International Exhibition Center, PR China. Organized by China Electricity Council and Adsale Exhibition Services Ltd, this largest electric power exhibition in China will gather 400 leading suppliers from 20 countries/regions and about 20,000 trade buyers under one roof.

UPCOMING EXHIBITIONS: EP CHINA - Shanghai, China - July 8 – 10 Electric Indonesia - Indonesia, 17- 19 October 2009 LEP - Moscow, Russia - December 3 - 5 Power-Gen International - Las Vegas, USA - 8- 10 December 2009

Careers: A stimulating work environment, diversified jobs within a high-tech sector, careers in constant evolution.

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Joinus: AREVA T&D, a good place to energize your future. Because our business environment is undergoing constant changes, we invest a great deal in research and development. We aim to offer innovative solutions to our customers, maintain our technological advance and ensure that our operations are competitive. Our strategic business goals are clear: contribute to meeting major economic, technological and human challenges while achieving growth that is profitable, socially responsible and respectful to the environment. Your focus is our focus: to develop your talents so that you can demonstrate your skills and achieve your potential by offering you first career opportunities fostering a culture of performance. As we operate on each continent in the world, we can provide you with a wide variety of jobs around the globe. Attentive to our employees' expectations, we put a priority on functional and geographical mobility and training programs  A global expert in the energy business  An innovative industrial player 52

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 A talent developer  An open and supportive firm

Key Figure:  A global expert in the energy business  An innovative industrial player  A talent developer  An open and supportive firm

Your Integration into AREVA T&D: The Integration Program enables newcomers to smoothly integrate into AREVA T&D and their new role. It will help newcomers understand AREVA and become part of its culture during their first year through the following three phases:

The program is based on the following five key principles:  Integration starts before Day 1 and ends much later. In other words, Integration is not

only a warm welcome and a few induction slides (although this is part of it).  Active involvement of all stakeholders is required. Successful integration is based on

this; your direct management is the process owner.  Our business goals and values are demonstrated. The successful integration and

retention of newcomers support and illustrate these.

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 Integration and induction needs differ from one individual or country to another

while the overall framework should be common to all.

The Role of the Program is use:  Provide a basic understanding of AREVA - both at group and division level  Promote sense of belonging through the business strengths, the AREVA values and AREVA WAY  Help create an environment in which different experiences, cultures and perspectives are valued  Make everyone comfortable with their personal role and objectives thanks to clear support of their management  Help improve the retention of newcomers  Lead everyone to become rapidly efficient in their new role.

TESTIMONIALS: AREVA T&D as a new graduate from Erlangen University, and I am now working in the Research and Development function in Regensburg. The first time that I heard about AREVA T&D was during a campus management day at the University. I was instantly attracted by the international opportunities on offer. In Regensburg we work every day with people from around the globe. As a testing engineer, I have already been to Arnhem in the Netherlands to complete tests, I will be going to Milan in the near future, and following that I will travel in Europe, and possibly also to China to complete more testing there. I received a friendly welcome from all the team when I arrived in Regensburg, and can already really see the benefits of working for such an international company. AREVA in June 2007. From Day 1, part of my time has been dedicated to integration activities. These have ranged from attending an international management course run by the AREVA University in Washington, USA, to visiting production units in Brazil, Turkey and Germany. The working environment is very friendly and receptive. This has been really important for me, as it has helped me build relationships with my colleagues and achieve results in my work.

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SMART GRID: Meeting the challenges of the future, now  ensuring better grid reliability.  improving network stability to prevent blackouts and maximize availability of power,

while helping to integrate micro-grid generation  reducing environmental impact, primarily through reduced CO2 emissions, the

integration of renewable energy sources onto the grid and the development of “greener” products  And increasing energy efficiency, to enable utilities to operate their assets closer to the

limit, reduce equipment losses and optimize generation portfolio. In effect, electrical grids are now going through the technological revolution that we experienced 10 years ago with the Internet and telecommunications boom. They need to deliver more energy, with greater flexibility, and in a more complex environment - yet with the same infrastructure going from today's one-way centralized electricity network towards a dynamic and bidirectional flow of energy and data. They integrate more intelligence at all levels, meaning more renewable energy sources, UHV solutions, smarter distribution, micro-grids' emergence, storage solutions, consumer engagement to name just a few. AREVA T&D has anticipated these changes and launched an ambitious innovation program that offers the first solutions now. We are already the world leader in Energy Management Systems and we are doubling our investments in order to become the market leader for 'Smarter Grids' - through smarter teamwork and smarter technologies.

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PART C DEPARTMENT DETAILS

OPERATION DETAILS PRODUCTION / OPERATION PROCESS: A process is any activity or group of activities that takes one or more inputs, transforms and add value to them, and provides one or more output for its customers.” “The term operation management refers to the direction and control of the process that transform inputs into product and services.”

LOCATION DETAILS: AREVA T&D INDIA LIMITED. is located at Noida road which is in the heart of the city where service is easily available for all customer and easy access compare with other place that available in city. Location has major impact on success or failure of operation. Advantages of this type of location are that service cost and distribution cost is minimum comparison with other place. 57

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The major investor service centers of Transformer & Distribution are as below.

LAYOUT DETAILS: There is a plan of all the act of planning & optimum arrangement of planning including flow of man & material and customer, operating equipment, storage space, material handling equipments and all other supporting services along with the design of best structure to contain all these facilities.

PLANNING AND CONTROL: It is useful for effective utilization of resources, to achieve organization goal and objectives with respect to quality service, cost control timely service to co-ordinate with other department to ensure continuous quality service. There is a proper planning and planning with respect to which type of scheme to be introduced, what are expenses of R&D for finding out feasibility of that scheme, how many people will work on that particular job, before introducing new scheme. There is special research department for carrying out the analysis of market and there is a fund manager who carries out all planning for investing in various sector and he is also responsible for controlling the cost of transaction so that it can give return to investors. 58

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PRODUCTION & MAINTENANCE:

The production engineers ensure that the level of production complies with customer requirements, test and maintain the facilities. AREVA is looking for young professionals who are keen to face technical challenges in the field, and to get involved in team management.

IMPROVEMENT & PROTECTION:

AREVA’s line of business is highly demanding in terms of quality, safety and environmental preservation. Those working in these fields are of major importance to the group and contribute to its overall performance. As a result, the professions linked to these fields have a very important place within the group, and contribute to the company's overall performance. CUSTOMER SUPPORT AND SATISFACTION:

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AREVA manages and develops technical and industrial solutions to meet customer requirements. Our sales engineers develop and maintain customer relations, prepare bids, negotiate and manage contracts and offer after-sales service. The role of the sales engineers is to develop and maintain customer relations. Prepare offers, negotiate and manage contracts and provide after-sales service.

MANAGEMENT & DEVELOPMENT:

Like other companies that work in complex fields and very different countries, AREVA uses its support activities to promote the strategic and functional development of the group. All of its executives and managers use expert skills to carry out their duties.

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MARKETING DETAILS Marketing generally refers as the task of creating, promoting and delivering goods and services to consumers and business. Marketing managers seeks to influence the level of timing and composition of demand to meet the organisation’s objectives. Marketing people are involved in 10types of entities: goods, services, experiences, events, persons, places, properties, organization, information and ideas. The marketing concept rests on four pillars: target market, customer needs, integrated marketing and profitability. “Marketing is defined as a societal process by which individuals and groups obtain what they need and want through creating, offering and freely exchanging products and services of value with others. The basic four P’s of marketing are PRODUCT, PRICE, PLACE and PROMOTION.

MARKETINGSCENARIO: Transmission:

Products, turnkey systems and integrated services for network management and high-voltage substation operation. 61

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Power Generation:

A complete portfolio of solutions to ensure grid connections and the in-house electrical distribution of all types of power.

Industries and Building:

Advanced, medium-voltage solutions for electrical distribution of major industrial, commercial and public infrastructures. Oil & Gas:

Equipment and services for the development and enhancement of distribution networks. A range of intelligent, integrated solutions and project management for electrical distribution and control. Distribution:

The company selling of all area to product and distribution Mining & Metal: 62

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Systems to meet the complex distribution needs of the mining and metals industry.

MARKET SEGMENTATION: Market segmentation is an effort to increase a company’s precision marketing. A market segment consists of large identifiable group within a market with similar wants, purchasing power, buying attitudes or buying habits. TARGET MARKET: Angel Broking has maintained its reduce rating on Areva T&D with a target price of Rs 173 in its April 28, 2009 research report. “Areva T&D India posted a strong Top-line growth of 66.9% to Rs 845 crore (Rs 506 crore) for 1QCY2009, which was ahead of our expectations. On the Operating front, Areva T&D reported a sharp decline in EBITDA Margins by 390bp to 12.9% (16.8%). This was primarily due to the high raw material costs, which increased by a substantial 880bp to 72.1% (63.3%) of Net Sales.” “In the current challenging scenario, several headwinds emerging due to the unfavourable macro-economic environment are taking its toll on the entire Capital Goods Sector including Areva T&D. Besides, there is heightened competitive pressure in the market with management also admitting price undercutting by some players to win over the orders. At the current price of Rs 201, the stock is quoting at a P/E of 18.5x and 15.2x CY2009E and CY2010E EPS respectively, which we believe is expensive. Against the backdrop of an unfavourable broader environment, we maintain a Reduce on the stock, with a target price of Rs 173,” says Angel Broking’s research report.

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CUSTOMER’S PROFILE: AREVA is a world energy expert offering its customers technological solutions for highly reliable nuclear power generation and electricity transmission and distribution. Its T&D Division is one of the world's leading transmission and distribution companies, employing over 25,000 people in more than 30 countries, with a dedicated sales force serving customers in over 100 countries. POSITIONING STRATEGY: Areva T&D, one of the top three global players in the transmission and distribution of energy, knows exactly how to keep the juices flowing. The manufacturer provides industrial equipment and services for companies engaged in electric power production and distribution. Products include circuit breakers, transformers, rectifiers and switchgear. The company also offers a wide range of services, including asset and operation management, consulting, maintenance, repair, customer support, retrofits and refurbishments, training, and turnkey construction. With manufacturing facilities in 41 countries and a sales network in more than 100 countries, Areva offers customers reliable technological solutions for power generation and electricity transmission and distribution. It is the world leader in nuclear power and the only company to cover all industrial activities in this field. Globally, its 61,000 employees are committed to continuous improvement on a daily basis, making sustainable development the focal point of the group’s industrial strategy. Areva's T&D division is an active player around the globe. It designs, manufactures and supplies a complete range of equipment, systems and services for all stages in the transfer of electricity, from the generator to the large end-user.

Mr Poddar is the Past President of Federation of Indian Chambers of Commerce and Industry, International Chamber of Commerce-India., Indian Council of Arbitration, All India Organization of Employers (AIOE) and Council of Indian Employers (CIE). Mr. Poddar is the Chairman of the Audit Committee and member of the Share Transfer and Shareholder / investors grievance Committee. DISTRIBUTION COMPANIES: 64

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Areva, the French power major, on Friday said the proposed sale of its power transmission and distribution division world over will not lead changes in operations of its Indian arm - Areva T&D India, which will continue with its current market strategies. The sale will not involve a separate and independent sale of Areva T&D India. The shares in Areva T&D India Ltd, currently held by Areva T&D, would be transferred directly to the new shareholder," he said. The statement said that the sale will not involve delisting of Areva T&D India and that the company will not be dismantled. "Areva T&D will continue to follow its current market strategies in India and will comply with all regulations applicable to the Indian arm," he said. The sell-off rumours of Areva's transmission and distribution arm hit the market in May when Joe Kaesar, CFO of Siemens, said the company would like to buy out Areva's T&D division in case the French company approaches it. Since then, there were no major developments until recently when Areva T&D India, in response to media reports, informed the BSE on Wednesday that the group's supervisory board had decided it to put its T&D business on the block to finance the group's long-term financial needs. Siemens and Alstom, are tipped to be the frontrunners to lap up Areva T&D, which has a turnover of 5 billion euros and 31,000 employees. "The most logical choice of a buyer would be Siemens or Alstom, but some Chinese companies could also be in the reckoning," said an analyst. The Indian arm will be a strategic boost to whichever company buys the transmission division, as it has some big plans for India. DIRECT MARKETING: Areva T&D India has secured an order worth Rs 110 crore from the West Bengal State Electricity Transmission Company for 400kV substation at Kharagpur. The contact job includes design, engineering and supply, erection and commissioning of large power transformers, 400/220/132 kV breakers, automation system with control and relay panels and instrument transformers (CT/CVT/Wave Trasps). The order is expected to be completed in 30 months. 65

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Areva T&D India has won an order from Power Grid Corporation of India Ltd (PGCIL) for two 500 MVA power transformers. These 400 KV 3-phase class transformers will help PGCIL to augment capacities of their 400 KV Substations at Malerkotla and Patiala in Punjab. Both transformers are scheduled to be delivered by third quarter of 2010. PRICING POLICY: AREVA’s Transmission and Distribution Division (T&D), one of the world’s leading suppliers of products, systems and services for the electricity market, just announced its new pricing policy for power transformers. AREVA T&D will systematically propose to its customers to index the price of its transformers on an escalation formula, reflecting the variations in raw material costs (magnetic steel, mild steel, copper and oil). This will help avoid speculating on future raw material costs and ensure a true correlation between the prices proposed by AREVA T&D for its transformers and their actual cost. The new pricing proposal follows an unprecedented rise in raw material costs over the last 18 months, resulting in an increase in prices for all types of transformers and reactors manufactured by AREVA T&D.

PROMOTIONAL TOOLS: AREVA T&D is in the electricity transmission and distribution business. To market these products AREVA searched for an innovative promotional tool to differentiate itself from the competition, while simulating the benefits of having physical hardware present on a booth at events, conferences and exhibitions across the world. In consultation with AREVA T&D, Virtalis’ Development Team designed and built a virtual showroom showing the Company’s entire product range. Drawing on effects from Star Trek’s teleportation system, the Team designed the showroom so the various pieces of equipment can be beamed in and interrogated at their actual scale. Literature mounted on the walls of the showroom can be read, giving a background to each product. Virtalis then moved on to create a series of virtual AREVA installations for potential customers to explore. These include

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electricity sub-stations in an urban setting, a wind farm in its landscape and a series of different systems set on islands. VR is also used to demonstrate innovations in AREVA. Opportunities and Threats: Opportunities: In spite of the global financial Crisis, project in T&D sector were able to organize funds to keep the growth program going. Major success in this direction was achieved by Power Grid and NTPC, whose bonds were oversubscribed. Power Grid has shown significant progress in teams of implementation of 765KV project in India. It is expected that several 765kv sub-station projects will be awarded during the year 2009. Yours Company was also successful in bidding and winning business opportunities like eBOP (Electrical Balance of Plant) projects, opening a new area of business for your company. With the ambitious plans of power generation capacity addition there are many such project in the pipeline. Threats: Although the Government funded projects are moving ahead, the major section of the industry such as oil & gas is affected due to this global financial crisis. Price of commodities have dropped preventing investment in the Industrial Segment. Progress of three mega power projects and many other generation projects which involve private funding are required to be monitored very closely. The realty sector and commercial buildings is under pressure and witnessed negative growth. With actions taken by the Government, the scenario has started to show improvement. The secondary distribution business is linked with this sector evolves in the near future.

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HUMAN RESOURCE DETAILS “Human Resource Management function that helps managers recruits select, train and develop members for an organization. Obviously, HRM is concerned with the people’s dimension in organizations In all business concerns, there is one common element. I.e. HUMAN RESOURCE. Work force of an Organization is one of the most important inputs of components. It is said that people are 68

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our single most important assets. Because of the unique importance of HUMAN RESOURCE and its complexity due to ever changing psychology, behaviour and attitudes of men and women at work, personnel function, i.e., manpower management function is becoming increasingly specialized. The personnel function or system can be broadly defined as the management of people at work- management of managers and management of workers. Personnel function is particularly interested in personnel relationship and interaction of employees-human relations. In a sense, management is personnel administration. Management is the development of people, and not mere direction of material resources. Human capital is the greatest asset of a business enterprise. The essential ingredient of management is the leadership and direction of people. Each manager of people has to be his own personnel man. Personnel management is not something you really turn over to personnel department staff.

DEFINITIONS: According to Edward Flippo “ Personnel management organizing, directing and controlling of the procurement, development, compensation, integration, maintenance and separation of human resources to the end that individual, organizational and societal objectives are accomplished.” “Personnel planning are the process by which an organization ensures that is has the right number and kind of people, at right places, at the right time, capable of effectively and efficiently completing those tasks that will help the organization achieve its overall objectives.”

MANPOWER PLANNING: Human Resource Planning is the process by which an organization ensures that it has the right number and kind of people, at the right place, at the right time, capable of effectively and efficiently competing those tasks that will help the organization achieve its overall objectives. Human Resource Planning translates the organization’s objectives and plans into the number of workers meet those objectives. Without a clear-cut planning, estimation of an organization’s human resource need is reduced to mere guesswork. 69

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Areva follows the following process HR: Looking for an exciting opportunity to work as a Unit Human Resources Manager? Areva T&D has just the opportunity for you! AREVA T&D is currently seeking a Unit Human Resources Manager. The Unit Human Resources Manager plans, organizes, directs and supervises the Human Resources operations of the Site and contributes to the business operations of the Site as a member of the Unit Management Committees, in compliance to the AREVA values and in accordance with the Country norms and at optimized costs. The primary role of the Unit Human Resources Manager will include: in order to be considered for this Human Resources Recruiter opportunity. Candidates who exceed minimum qualifications may be considered for a higher level position. Education / Experience * Bachelor's degree in Human Resources. CULTURE: INTEGRITY: Integrity is central flature of AERVA culture and hence AREVA Ltd.s is no exception and the same is expected of the dealings, behaviour and work conduct. TRUST: Based on principal of trusteeship and AREVA Ltd. recognizes the immense trust placed in it by its shareholders, employees and customers base and strives to live by the standards it has set for itself, the standards that have made it what it is today.

INFORMAL WORKPLACE RELATIONSHIP: Informality in relationships at the workplace is the core of AREVA Ltd. culture. Here at AREVA Ltd. is believed that Human resource is not the domain of the Human Resource Department alone but also superior and hence of every superior – juniors share both a professional and personal relationship. The superior is not only the person the junior reports into but is also a guide, advisor and mentor.

COMMITTED, DILLEGENT AND ENTHUSIASTIC: AREVA SMC workplace environment is various and infused with enthusiasm and ambition.

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EMPLOYMENT TERMS: EEO: EEO is the policy and practice of the company to provide it to all the persons regardless of their religion, caste, creed, gender or other factors. All the employees and applicants receive equal consideration and treatment with respectively to employment, training, promotion, compensation, transfer, layoff, recall, discipline termination and other conditions.

MENTORING: AREVA Ltd. understands the constant need of guidance and direction to employees. Every superior acts as a mentor for all employees reporting into him. The mentor acts like a coach provides constructive feedback which helps the subordinates to sheer their career in the right direction.

EXCLUSIVE EMPLOYMENT: The employee position is that of full time employed with AREVA Ltd.. The company strictly prohibits the employees from seeking employment of any nature with any other entity. The employees have to take prior approval from the superior and the Human Resource department before engaging in activities like addressing seminars, teaching etc. and ensure that this official duties do not suffer on this account and no monetary benefit is derived there from. The employee or its relatives should also not be empanelled as an authorized / unauthorized distributor / agent / broker or in any other similar capacity of any entity (including HDFC Mutual Fund) engaged in distribution and selling of financial products. RECRUITMENT POLICY Recruitment & Selection: The upper level members like zonal managers, regional managers, branch managers and senior executives are recruited by publishing recruitment advertisement in leading national level newspaper. The qualified applicant are then called for interview and selected.

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The regional manager has authority to select lower level employee like peon, marketing executives, financial accountant etc. by approval of zonal manager. RECRUITMENT PROCESS: Step 1:Prospecting Identify as many prospective candidates as possible from multiple sources.

Step 2:Attracting talent Be prepared to talk passionately about the opportunities of Step 3:selecting this career. Select quality talent

Step 1: Prospecting

talents through effective interviewing, evaluation & hiring practices.

It consists of the following steps: Generating leads of potential candidates Contacting the leads and finding out their prima facie interest

Step 2: Attracting talent Developing your own recruiting style Developing a resource pool of talent Creating interest in the potential advisor

Step 3: Selecting talent 72

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Conducting an initial interview Administrating the candidate Final Selection interview is conducted by Managing Director.

TRAINING: Continuous training and upgrading technical, behavioural and managerial skills is a way of life in AREVA T&D India Ltd... AREVA T&D India Ltd. encourages agent or sub-broker to hone their skills regularly to enable them to face the challenges of the changing requirements of customers that fit market up and down. Training needs analysis is done on a regular basis and systematic methodologies are ensured that skills and capabilities of all agents are constantly upgraded to enable them to perform in the challenging work. There is special training session at regular time period in local branch to all financial consultant and agents about new scheme and to improve their effectiveness.

The successful candidates of the AMFI Exam are given the product training. The primary purpose is to become quite conversant with the product that one sells. In other words, product knowledge is very important for any advisor. Product knowledge is not just about knowing the broad terms and conditions of the various schemes of mutual fund. The advisors are explained about the schemes, the terms related with it, the benefits it provides to investor. This training is aimed at making the advisors fully equipped with the companies’ product information. This training is aimed at making the advisors experts in selling the mutual fund products.

This gives the advisors a systematic framework which they can follow so as to attract the customers and be effective in their work. Later the agents are trained on products, need analyses and how to deliver the message to the market. PERFORMANCE APPRAISAL: Objective of Performance appraisal if for Developmental uses for agents and financial consultants, for wages, transfer, promotion, for documentation and for organizational purpose like Human Resource Planning, Job analysis and for training and development.

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For Performance Appraisal modern method is used like MBO (Management by Objectives) and 360” appraisal. But there is some limitation like Hello effect, Bias, Perception factor, Spill over etc.

FINANCIAL DETAILS IMPORTANCE OF FINANCE: Finance is regarded as the life blood of a business enterprise. This is because in the modern money oriented economy. Finance is the one of the basic foundation of all kind of electronic activity. It is the master key which provides access to the entire source for being employed in manufacturing and merchandizing activities. It has rightly been said the business needs money to make more money. However it is also true that money begets more money, only when it is properly managed. Hence, efficient management of every business enterprise is closely linked with efficient management of its finance.

MEANING OF BUSINESS FINANCE: In general finance may be defined as the provision of money at the time it is wanted. However, as a management function it has a special meaning. Finance function may be defined as the procurement of funds and their effective utilization. Some of the authoritative definitions are as follows: “Business finance is that business activity which is concerned with the acquisition and conservation of capital funds in meeting financial needs and overall objectives of far business enterprise.” “Business finance can broadly be defined as the activity concerned with planning rising, controlling and administrating of the funds used in the business.”

MEANING OF FINANCIAL MANAGEMENT: From the various definition of the term business finance given above, it can be conclude that the term business finance mainly involves, rising of funds and their effective utilization keeping in view the overall objectives of the firm. This requires great caution and wisdom on the part of 74

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management. The management makes use of various financial techniques, devices, etc. For administrating the financial affairs of the firm in the most effective and efficient way. Financial management, therefore, means the entire gamut of managerial efforts devoted to the management of finance both its sources and uses of the enterprise. According to somloman “financial management is concerne4d with the efficient use of an important economic resource, namely, capital funds.” Phillipppatus has given a more elaborate definition of the term financial management. According to him “financial management is concerned with the managerial decisions that result in the acquisition and financing of long-term and short-term credits for the firm. As such it seals with the situations that require selection of specific assets (or combination of assets), the selection of specific liability (or combination of liabilities) as well as the problem of size and growth of an enterprise. The analysis of these decisions is based on the executed inflows and outflow of funds and their effects upon managerial objectives. Thus, financial management is mainly concerned with proper management of funds. The finance manager must see that the funds are procured in a manner that the risk, cost and control consideration are properly balanced in a given situation and there is optimum utilization of funds. Latest Quarterly/Half yearly Detailed Quarterly

As On(Months)

31-Mar-2009(3)

31-Mar-2008(3)

% Change

Sales of Products/Services

8450.00

5029.00

68.03

Other Income

0.00

35.00

--

Total Income

8450.00

5064.00

66.86

Total Expenses

7362.00

4154.00

77.23

OPBDIT

1088.00

910

19.56

Interest

122.50

29.00

322.41

Depreciation

80.30

59.00

36.10

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Extraordinary Items

0.00

0.00

--

Prior Period Adjustments

0.00

0.00

--

Provision for Tax

288.60

281.00

2.70

After Tax Profit

514.00

541.00

-4.99

Equity Capital

478.20

478.00

0.04

Reserves

0.00

0.00

--

Notes to Accounts

Click here

Click here

Income Statement: As on( Months )

31-Dec-07(12)

Profit / Loss A/C

Rs mn

%OI

Net Sales

20055.17

99.06 16056.96

99.44 8694.70

99.57

Operating Income (OI)

20245.45

100.00 16147.41

100.00 8731.84

100.00

OPBDIT

3778.48

18.66 2244.20

13.90 764.09

8.75

OPBDT

3647.78

18.02 2144.35

13.28 732.52

8.39

OPBT

3416.58

16.88 1957.53

12.12 628.97

7.20

Non-Operating Income

19.71

0.10

60.50

0.37

19.18

0.22

Extraordinary/Prior Period

27.19

0.13

60.66

0.38

-26.49

-0.30

Tax

1300.48

6.42

708.51

4.39

259.01

2.97

Profit after tax(PAT)

2163.00

10.68 1370.18

8.49

362.64

4.15

Cash Profit

2394.20

11.83 1557.00

9.64

466.19

5.34

76

31-Dec-06(12) Rs mn

31-Dec-05(9) %OI

Rs mn

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%OI

Dividend-Equity

430.39

2.13

286.93

1.78

99.72

1.14

Balance Sheet: As on

31-Dec-07

31-Dec-06

31-Dec-05

Assets

Rs mn

%BT

Rs mn

%BT

Rs mn

%BT

Gross Block

3194.24

18.67

2349.59

20.22

2004.39

25.47

Net Block

1649.49

9.64

942.62

8.11

469.81

5.97

Capital WIP

586.18

3.43

99.69

0.86

181.02

2.30

Investments

0.03

0.00

96.53

0.83

97.48

1.24

Inventory

2729.11

15.95

2386.25

20.54

1857.66

23.60

Receivables

10285.53

60.12

6236.89

53.68

4019.66

51.08

Other Current Assets

1859.29

10.87

1855.97

15.97

1244.30

15.81

Balance Sheet Total(BT)

17109.65

100.00 11617.95

100.00 7869.94

100.00

Liabilities

Rs mn

%BT

Rs mn

%BT

Rs mn

%BT

Equity Share Capital

478.21

2.79

398.88

3.43

398.88

5.07

Reserves

4957.68

28.98

3344.37

28.79

1710.16

21.73

Total Debt

1009.67

5.90

30.39

0.26

100.00

1.27

Creditors and Acceptances

3541.18

20.70

5401.51

46.49

3894.73

49.49

Other current liab/prov.

7122.91

41.63

2442.81

21.03

1766.16

22.44

Balance Sheet Total(BT)

17109.65

100.00 11617.95

100.00 7869.94

Ratio Analysis

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100.00

As on

31-Dec-07

31-Dec-06

31-Dec-05

OPBIT/Prod.cap.empl.(%)

60.54

57.51

46.83

PBIT/Cap. Employed (%)

61.34

59.30

42.95

PAT/Networth (%)

39.79

36.60

22.93

Tax/PBT (%)

37.55

34.08

41.67

Total Debt/Networth (x)

0.19

0.01

0.05

Long Term Debt/Networth (x)

0.00

0.00

0.00

PBDIT/Finance Charges (x)

29.27

23.69

23.97

Current Ratio (x)

1.39

1.34

1.26

RM Inventory (days consumption)

77.22

75.53

76.65

FG inventory (days cost of sales)

1.63

0.45

1.86

Receivables (days gross sales)

169.33

129.02

114.90

Creditors (days cost of sales)

78.49

141.81

133.81

Op. curr. assets (days OI)

263.00

230.00

216.00

Share Statistics: As on

31-Dec-07

31-Dec-06

31-Dec-05

EPS (Rs.)

45.23

34.35

12.12

CFPS (Rs.)

50.07

39.03

15.58

Book Value (Rs.)

113.67

93.85

52.87

DPS (Rs.)

9.00

7.19

3.33

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79

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