Monterrey Mexico, June 24, 2008: - Leading Industrial and Automotive Battery company Amara Raja Batteries Limited (BSE Code: 500008 & NSE Code: (AMARAJABAT) has announced a significant growth with gross revenues for FY 2007-08 scaling to Rs.13500 million compared to Rs.7451 million recorded in the FY 2006-07. For the year, the PBT shot up by 105% to Rs.1459.38 million and PAT up by 100% to Rs.943.63 million.
 

Rs. Million
	Fourth Quarter Ended		Full Year
	31-Mar-08	31-Mar-07	FY 07-08	FY 06-07
Gross Sales	3831.51	2414.04	13499.87	7451.03
Net Income	3181.04	1968.63	11089.36	6055.76
PBT	395.03	223.50	1459.38	711.98
PAT	261.84	152.29	943.63	470.44

The industrial VRLA batteries manufacturing capacity continued to be at industry leading utilization, keeping pace with the increasing demand from the telecom and UPS segments. The company retained its most preferred supplier status in these segments recording a 37% sales growth in Industrial VRLA batteries.

The company enjoys a market share of 26% in automotive OEM segment and 28% in the organized segment of after market, with volumes increasing by 27%Y-O-Y. The current manufacturing capacity for automotive 4-wheeler batteries is at 4.9 million units per annum and post expansion it would reach 5.4 million units by second quarter of FY-09.

In May ’08 the company entered the 2-wheeler battery segment with the launch of the Amaron Pro Bike Rider TM series powered by VRLA technology and offering the highest warranty in the country. The capacity for small VRLA batteries targeting the mini UPS and other standby applications will be going live in Q2 08-09. The combined capacity of 2-wheeler and SVRLA batteries is 1 million units which will be expanded to 3.2 million units over a period of time.

ARBL continues to be the market leader in the automotive aftermarket in Singapore and has expanded its reach into newer markets in the Asia Pacific, Africa and the Middle East.

The company’s retail network continues to grow and currently encompasses around 18000 retailers serviced by 175 franchised distributors, including 120 Amaron Pitstops, and 400 PowerZone TM outlets. By end of FY ’09, the network would span 20000 retailers, serviced by 200 franchised distributors, including 150 Amaron Pitstops, and 800 PowerZone TM outlets.

Speaking after the board meeting, <b>Dr.Ramachandra N.Galla, Chairman, Amara Raja Batteries Ltd,</b> said: “The surging demand in both industrial and automotive segment and lead price inflation, enabled us to achieve the milestone number of Rs.10,000 million in revenues. Looking ahead, we believe that prevailing economic trends like uncertain global growth rates, surging price of crude oil, volatile commodity prices and rising inflation in India will have their impact on the Indian economy and hence may impacts the Company’s growth trend. However, the Company would continue to grow faster than industry growth”.

<b>Mr.Jayadev Galla, Managing Director, Amara Raja batteries Ltd.,</b> said: “Amaron Pro Bike Rider™ our new offering for the 2-wheeler segment, with the highest warranty of 60 months, has been received well and will add to our top line. With the capacity expansions going as per schedule coupled with recently introduced new product offerings in automotive after market, we are hopeful of continuing our growth in both automotive and industrial battery segments…”

The company continues to place its emphasis on shareholders wealth creation with yet another initiative of issuing bonus shares in the ratio 1:2(one share for every two shares held) as recommended by the board of directors, he added.

<b>Mr. Suresh K, Financial Controller, Amararaja Batteries,</b> Said that the top line growth was enabled by good demand in both the addressable segments and also the surge in lead prices which accounted for around 50% of the year’s revenue growth. The effective treasury management by the company ensured that the interest outgo was minimal thus ensuring the good bottom line.

About Amara Raja Batteries Ltd

Amara Raja Batteries Limited,an Amara Raja-Johnson Controls Company with 26% equity from Johnson Controls, is the technology leader and is one of the largest manufacturers of Lead Acid batteries for both Industrial and Automotive applications in the Indian storage battery industry.

In India, Amara Raja is the preferred supplier to major telecom service providers, telecom equipment manufacturers, UPS segment (OEM & Replacement), Indian Railways and to Power, Oil & Gas among other industry segments. Amara Raja manufactures and sells automotive batteries under the brand name AMARON ® which is distributed through a large pan-India sale-service retail network.

The company supplies automotive batteries under OE relationships to Ashok Leyland, Fiat, General Motors, Hindustan Motors, Honda, Mahindra & Mahindra, Maruti, Hyundai & Tata Motors. The company is an exclusive supplier to Daimler Chrysler, Ford and Swaraj Mazda. The Company’s Industrial and Automotive batteries are exported to Asia Pacific, Africa and the Middle East.

Johnson Controls is a global leader in interior experience, building efficiency and power solutions. The company provides innovative automotive interiors that help make driving more comfortable, safe and enjoyable. For buildings, it offers products and services that optimize energy use and improve comfort and security. Johnson Controls also provides batteries for automobiles and hybrid electric vehicles, along with systems engineering and service expertise. Johnson Controls (NYSE: JCI), founded in 1885, is headquartered in Milwaukee, Wisconsin. Its sales for 2007 totalled US$ 34.6 billion.

Safe Harbor
Some of the statements in this news release that are not historical facts are forward-looking statements. These forward-looking statements include our financial and growth projections as well as statements concerning our plans, strategies, intentions and beliefs concerning our business and the markets in which we operate. These statements are based on information currently available to us, and we assume no obligation to update these statements as circumstances change. There are risks and uncertainties that could cause actual events to differ materially from these forward-looking statements. These risks include, but are not limited to, the level of market demand for our products, the highly-competitive market for the types of products that we offer, market conditions that could cause our customers to reduce their spending for our products, our ability to create, acquire and build new businesses and to grow our existing businesses, our ability to attract and retain qualified personnel, currency fluctuations and market conditions in India and elsewhere around the world, and other risks not specifically mentioned herein but those that are common to industry.

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