Amaron rides in on breakthrough innovation - introduces VRLA (Valve Regulated Lead Acid) technology for two wheelers

Company Brief

New Delhi, May 26, 2008

Amara Raja Batteries entered the two wheeler battery segment today with the launch of Amaron Pro Bike Rider 2-wheeler batteries, powered by VRLA (Valve Regulated Lead Acid) technology from JCI customized by Amara Raja’s R&D for the Indian markets. Offering the most powerful performance at 30% higher cranking power than the best in the market, Amaron Pro Bike Rider comes with the first ever 60 month warranty.

VRLA technology is the preferred choice for the luxury cars across the world today. Amaron Pro Bike Rider is powered by proprietary VRLA technology from Johnson Controls Inc., which has been adapted and customized to meet the harsh demand of rugged Indian conditions at the in-house R&D lab of ARBL. The design and development has focused on applications and specifications required specially for the Indian market.

Sporting Brand Amaron’s distinctive colours of Neon Green, Silver and Black, Amaron Pro Bike Rider was launched in the city today by Mr. Jayadev Galla, Managing Director and Mr.Ganesh Swaminathan, Head – Automotive, Amara Raja Batteries Ltd, amid a galaxy of Indian pro-racers and Amaron brand ambassadors - Narain Kartikeyan, Armaan Ebrahim and Aditya Patel. The company also launched a micro-site www.amaronprobikerider.com which would not just help disseminate information on the new product but also have sections on two wheeler battery technology and maintenance for better understanding.

Speaking at the launch, Mr. Jayadev Galla said, “True to the personality of Brand Amaron, Amaron Pro Bike Rider offers the first ever 60 month warranty in 2-wheeler batteries. VRLA technology is the preferred choice for the luxury cars across the world and today we have made this superior technology available to the 2-wheeler customers in India. In all, Amaron Pro Bike Rider is a no-compromise combination of innovative technology, superior performance and appealing aesthetics.”

The combined OE and After Market 2-wheeler battery industry is currently valued at Rs. 500 crores and is growing at the CAGR of 8%. In addition to the traditional segments, the growth is being fueled by the increasing popularity of high end 2-wheelers among Gen Y. There is also growth coming from new users of un–geared scooters among urban and semi-urban women.

“2-wheeler riders traditionally were not required to pay much attention to the battery in the kick start models. However with increasing shift to self start, the battery technology and choice is becoming critical. Amaron Pro Bike Rider with the breakthrough VRLA technology has been designed to give them the comfort of the longest life and highest power and saves them the added hassle of caring for the batteries in their bikes,” Mr. Jayadev Galla added.

Amaron Pro Bike Rider is expected to raise the levels of awareness among customers and make battery replacement for their 2-wheelers as a decision on which they have a role. More with ARBL’s extensive dealer network and PitStops, it will be a new, satisfying buying experience too.

Elaborating on the marketing plans, Mr. Ganesh Swaminathan, Head – Automotive, said, “Our network of 18,000 retailers, 120 Pit Stops and extensive service hubs is our huge strength. This will bring the Amaron Pro Bike Rider within easy reach of customers across the country along with the added comfort of highly efficient after sales service.”

“Drawing on the brand strengths of Amaron, we are confident Amaron Pro Bike Rider will capture a good market share in the first year itself. In 5 years we aim to have 20%. In FY 2008-09, we have earmarked 25% of our overall communications budget for brand building and marketing promotions and will continue the same proportion going ahead,” he added.

On product and technology

Amaron Pro Bike Rider series offers valve-regulated lead-acid two wheeler batteries with lead calcium tin alloy, synthetic AGM separator, external ribs, flame arrestor and a radial grid design. These distinctive features ensure that the customers have products which require zero maintenance, offer highest cranking power, are spill or leak proof and carry a warranty of 60 months. The series is available in 3 variants of 2.5 Ampere Hour, 5 Ampere Hour and 9 Ampere Hour.

On plant and capacity

In January 2007, ARBL announced expansion plans to invest Rs.84 crores to set up the combined manufacturing capacity of 3.2 million units for 2-wheeler batteries and Small VRLA batteries for UPS applications. Currently 1 million units combined capacity is ready and will scale up to 3.2 million units by FY 2010.

For more details on Amaron Pro Bike Rider, please walk into a battery store or Amaron Pit Stop in your neighborhood or log on to our website www.amaronprobikerider.com

·Packs first ever 60 month warranty for 2-wheeler batteries

·Based on proprietary JCI technology designed and developed for Indian market by Amara Raja

For further information, please contact:

Ogilvy Public Relations Worldwide

Pradeep Joseph

Mob: 9818995013

e-mail: pradeep.joseph@ogilvy.com