This presentation talks about the various businesses of the UB group. It gives insights on its History, diversification, holding Structure and marketing strategies of the company.

1. UNITED BREWERIES GROUP Submitted by- AartiKalha - 2001 AnkitaBaru– 2007 SonalSrivastava – 2031

2. UB GROUP ---- GENESIS It was the late 19th century And Today Annual sales of over US$ 4b Market capitalization of US$ 12 b United Breweries Limited (UBL) was founded on March 15, 1915, in Madras by Thomas Leishman, a Scotsman. Lt. Col VITTAL MALLYA Dr. VIJAY MALLYA

3. 1990 2006 The Group has diverse interests in brewing, distilling, real estate, engineering, fertilizers, biotechnology, information technology and aviation. It is also the largest Indian manufacturer of beverage alcohol

4. BEVERAGE ALCOHOL

6. It has 48% market share in the country .

7. ISO 9000

8. Its flagship brand 'Kingfisher', has achieved international recognition consistently and has won many awards in International Beer Festivals.

10. To develop new consumption occasions like “food tastes better with Kingfisher”

11. Events, parties, movies

14. India’s largest and the world’s third largest spirits company.

15. USL was earlier McDowell and Company Limited.

16. 59% market share for its first line brands in India.

17. United Spirits recorded global sales of 90 million cases for the year ended on March 31, 2009.

19. Seasoned professionals

20. Least vulnerable to policy volatility due to large spread

21. Strongest Brands

23. Optimal as almost completely locally sourced

24. Largest Manufacturing base

25. Maximum Capacity utilizationCOMPETITIVE ADVANTAGE

26. MARKETING STRATEGY INNOVATION AT ITS BEST HEALTHY SUBSTITUTES Pre- Formed Sachets 100ml Tetra Packs Save Rs. 12

27. USL’s DIVERSIFICATION-WINE UVL imports wines from all over the world to offer a portfolio of wines of different origin, varietals, styles and price points. Four Seasons Wines Limited produces wines from grapes grown in Maharashtra, India at its Four Seasons winery near Baramati . MARKETING ACTIVITIES Aggressive retail play Wine Bar- UB CITY 100 CRORES- 3 to 5 yrs 1.2 cr bottles annually. (Exports) Events and sampling

28. Common Distribution Channel Medium Term Business Strategy Dominance at Point of Purchase 4. ACQUISITIONS (A) Shaw-Wallace in 2005 at 75% stake. (B) Bouvet Ladubay in 2006 This French wine has a heritage of over 156 years. (C) White & Mackey (D) Pinky Vodka –Liquidity Inc. 5. Eyeing Exports 6. URL’s EG. http://www.happyhourswithfriends.com/ http://www.pinkyvodka.com/ OTHER KEY STRATEGIES

29. KINGFISHER AIRLINES

30. KINGFISHER AIRLINES Kingfisher Airlines started its operations on May 9th,2005 and they began by leasing four Airbus 325 flights. -Coined the term VALUE CARRIER that means they will offer sum frill over the other Airlines. -Kingfisher has been certified as being one of the six airlines in the world to have five star rating from SKYTRAX. -kingfisher airlines has defined target audience-Sec A & Sec B+,(Socio Economic Class) -In july,2008 kingfisher’s share of Indian Aviation market stood at 14.3% while its sister carrier Air Deccan’s share stood at 13.5%.

31. OFFERINGS : Kingfisher Airlines offer (First to do) - : -Brand new Aircraft -Personal Assistance in Baggage handling -Video on demand Service -Designer Interiors -Gourmet Cuisine -In flight entertainment -Kingfisher Lounge & Clubs

32. Differentiated network strategy -Widest network (69 domestic cities alone) impossible to replicate by competitors -Flexible revenue generation strategy – We cater to all categories of customers -Reduced overlap between Kingfisher and Kingfisher Red flights Aggressive costs reductions -Fuel costs reduction of US$2 to $2.5 million on account of combined negotiations -Insurance, Administrative costs reduced with negotiations and cost cutting measures Enhanced Revenue speed -Growth in RASK of over 40%* -Significant enhancement in KF Red product -Selling and distribution channels fully leveraged -Higher cargo operations

33. KINGFISHER GOES INTERNATIONAL International Routes : -Bangalore-London Heathrow Airport -Mumbai-London Heathrow Airport -Bangalore-Colombo -Chennai-Colombo Kingfisher Airlines plans to add several destinations such as Dubai ,Singapore, Bangkok, Dhaka, Hongkong, Kuala Lampur and Maldives in 2009. Kingfisher Airlines announces its alliance WITH HILTON H HONORS guest the Reward function Plans to strengthen its overseas Operations with the induction of up to 5 more A330s during 2010

34. PRODUCT – AIRCRAFTS LIKE- A-320, A-319, ATC-72 AFTER AQUIRING DECCAN- NEW KINGFISHER RED PLACE COVERS THE MAJOR TERITORIES -MAIN STRATEGY IS TO TARGET THE METRO CITIES PRICE -HIGHER INCOME & UPPER MIDDLE CLASS GROUP -SEC A,SEC B, SOCIO ECONOMIC CLASS PROMOTION -EVENTS & ADVERTISEMENT -MULTIPLE TOUCH POINTS -LOYALTY & FREQUENT FLYER PROGRAMS -

35. AVENTIS PHARMA AVENTIS PHARMA

37. - UB Holdings has transferred its 9.98 % equity shares in Aventis Pharma to Variegate Trading Ltd, a wholly owned subsidiary of UB Holdings.

38. - In the year 1990’s Vijay Mallya- controlled UB holdings invested its 25 % of its investment in Pharma Industry for Aventis Pharma.

42. The company came in to UB umbrella in 1988.

44. -Infrastructure

45. -On-site fabrication of structures

46. -Installation, Testing, and commissioning of electrical and mechanical Equipments.

49. One of the most efficient and profitable naphtha based urea producers in the country.

50. Brands- Mangala Urea and DAP have a strong brand equity.

51. The Company has the capacity to manufacture 2,17,800 MT of ammonia, 3,80,000 MT of urea and 2,80000 MT NPK fertilizers annually.

52. In addition to marketing of manufactured products, the company also markets imported DAP & MOP.

53. True to its Marketing philosophy and commitment to the farming community the company also markets around 1, 75,000 MT crop specific soil specific Blended fertilizers along with various secondary nutrients as well as micronutrients.

55. The company sources the staples and vegetables from the farmers at market prices and supplies these to modern retailers and other bulk buyers.

56. Pilot projects have been started at Hassan and Chickamagalur and state-of-the-art processing and packaging facilities have been established at these centres as well as in Bangalore to process and pack vegetables and staples.

58. • The parent company of the UB Group.• Owns controlling stakes in UB Groups’ market leading companies: USL, UBL, KFA.• Each of the principal investments is a dominant leader in its space• Each investee company is in a fast growing segment catering to current and emerging consumer trends • Apart from the above key investments, other group investments into engineering, pharmaceuticals, fertilizers are also through UBHL• Promoters interests are aligned with UBHL• Transparent shareholding structure , ultimate economic benefit of the holding in each of the investments flows to UBHL

59. UB Holdings Ltd. Promoter Group 50.35% 55% Real Estate (UB City) Investments Pegasus License Spirits Beer Aviation Others 12.5% 78.9% 36.9% 100% 10.2% USL W&M UBL KFA Ltd. Aventis Pharma Ltd. 75% 50% Shaw Wallace Ltd. 24.5% MCF Ltd. Millennium Alcobev 49.77% 36.2% Deccan Aviation Ltd. Mc Dowell’s Holdings Ltd. 30.8% UB Engineering Ltd.

60. UBHL: VALUATION

63. The skyline defining development, UB City, located in the heart of Bangalore is the new jewel of the city.

64. Standing tall on VittalMallya Road and Kasturba Road, the four towers of UB City – Canberra, Comet, Concorde and UB Tower demonstrate how chrome and glass seamlessly blend with the greenery in the neighbouring Cubbon Park.

66. Beverage Alcohol

67. Processed Foods

68. Leather Footwear

69. Apparel

70. Largest Indian exporter of alcoholic beverages

71. Exports to over 75 countries

73. KINGFISHER CALENDER

74. UB’s FORAY INTO THE WORLD OF SPORTS

75. “Kingfisher is proud to be associated with Force India - the Indian Formula 1 team that is racing the world. Force India, like Kingfisher, embodies the spirit of India and the Global Indian.”

77. “We have broken the shackles of conservative socialism. The growing middle classes want the kind of standard of living you enjoy in the West. So what I'm selling is a lifestyle.” -Dr. Vijay Mallya

78. THANK YOU