Volume 2, Issue 7

An ELGI Publication

December 2004

News From The Divisions Theme News From The Branches

AED

- Ford approves our

body shop equipment

- Hyundai approves our

automotive equipment

- AUTOMECANICA 2004

ENGINES

- Order for 150 diesel

engines

RCD

- Growth in maintenance

kit business

- Service & Spares

dealer appointed

- Knit Show 2004

- 25,000 & going strong

- Compressors for new

generation locos

- Tie-up with J.P.Sauer

& Sohn

ROCD

- News from ROCD-PBG

- EPSAC Customers'

meet

- DPSAC workshop

- Awareness Program

- Knowledge Sharing

Programs

INTERNATIONAL DIVISION

Elgi - In Service to the Society

- Transforming lives

- Reaching out

- Ties with GKNM

- Coimbatore Cancer

Foundation

- Gujarat earthquake fund

- Kargil Relief Fund

- Profit share fund


CORPORATE UPDATE

- Six Sigma

- Vendor Quality

Improvement

- New Employees

- Weddings

- Obituary

AHMEDABAD

- A breakthrough in

POY

- New customers

COIMBATORE

- Engines-News from

South

MUMBAI

- Compressors for

construction company

- Order for pumpsets

NEW DELHI

- RICE TECH 2004


PRODUCT UPDATE

JBC Aligner - Visualiner CCD

Wheels Free Scissor Lift

Tank Mounted Screw Air Compressor

Engine Driven Reciprocating Compressor

Top


Elgi - In Service to the Society


With the advent of globalization, companies world over pay closer attention to the social impact they have on the communities, both locally and globally. Thanks to the resources these companies can garner, they can easily don the role of powerful societal players. Their activities tend to have a profound impact on the communities in which they operate and market. Of late, more and more companies want to invest in people, touch their lives and make the Earth a better place to live in.

Elgi has long recognised that with leadership comes responsibility. It is steadfast

on its commitment to keep alive its founder, Late Shri. LRG Naidu?s philosophy on

giving back to the community. The institutions that bear the group?s name stand

as towering testimonials to its social responsibility instincts. Elgi has committed

itself to the society by taking initiatives in the field of education, medical support

and upliftment of the physically and the mentally challenged.

Late Shri. LRG Naidu

Top

Transforming Lives

According to the 2001 Census, 65 per cent of Indians are literate. And almost every child now has access to a school, with around 95 per cent of our rural population having a primary school within one kilometre of their habitation. This is a significant achievement. It makes even more significant for us because Elgi has played a major role in shaping the future some of these children in its own way. Elgi provides rural children with the greatest asset that they can aspire for and that too at an affordable cost ? EDUCATION.

Through its LRG Naidu Educational Trust and Ellargi Trust, Elgi operates schools in the suburbs of Coimbatore and Hindupur. In Coimbatore, it has ? Sri Ramaswany Naidu Vidyalaya Higher Secondary School at Lakshminaickenpalayam and Elgi Matriculation and Higher Secondary School at Vellalore. The other, LRGV School is in Hindupur, Andhra Pradesh. In Tirupur, Chinnasamy Ammal Middle School and LRG Naidu College of Arts & Science for Women were formerly run by the Elgi group but later handed over to the Government.

The schools have experienced teachers, good infrastructural facilities such as a well equipped library, science laboratory, fully equipped computer lab, indoor and outdoor playground. A nominal fee structure is being maintained so that every child can afford it.

Sri Ramaswany Naidu Vidyalaya School, Lakshminaickenpalayam is the oldest among all schools. It was established as a high school way back in 1946 by Late Shri LRG Naidu through Sri Ramasamy Naidu Vidyalayam, a registered society. It became a higher secondary in 1978. In 1994, state board syllabus with English as a medium of instruction was also started. Scholarships are also being given to students on merit cum means basis.

BASIC STATISTICS

> No. of Students ? 1219

> No. of teachers - 38

> Syllabus ? State Board

> Medium ? Tamil & English

> Classes ? up to Std XII

ELGI Matriculation and Higher Secondary School at Vellalore was started by Elgi Equipments Limited in 1987 through Elgi Public Welfare Trust, a registered trust. The school has an information technology centre equipped with computers and multi-media equipment which many schools even in the city do not have . This year on 21st August a library complex was inaugurated by Mr.M.K.Jagadish, Director, American Information Resource Center (AIRC), Consulate General of the United States of America, Chennai.

BASIC STATISTICS

> No. of Students - 964

> No. of teachers - 30

> Syllabus - Matriculation : up to X Std

State Board ?: XI & XII

> Medium - Tamil & English

> Classes - up to Std XII

LRG Vidyalaya is located in Krikara village which is ninety kilometres from Bangalore in Hindupur, Andhra Pradesh. It was founded by Late Shri. L G Balakrishnan in 1978. Though Hindupur is in AP, it can be reached only via Karnataka. In Andhra Pradesh there?s no higher secondary system as in TamilNadu instead they have a Junior College system. Recently, LRG Naidu Junior College was established. It has a strength of 140 students.

BASIC STATISTICS

> No. of Students -1072

> No. of teachers - 38

> Syllabus - State Board

> Medium -English

> Classes - up to Std X

Chinnasamy Ammal Middle School was established in 1958 to provide education to the rural children in Tirupur. It?s now a high School and is being run by the Tirupur Municipality.

BASIC STATISTICS

> No. of Students - 1046

> No. of teachers - 13

> Syllabus - State Board

> Medium -Tamil & English

> Classes - VI to Std X

LRG College of Arts & Science for Women, started in 1971 was the first women?s college in Tirupur. Now, the college has been rechristened as LRG Government Arts College for Women after it was taken over by the State Government and is now, affiliated to the Bharathiar University. The college which has both regular and self-financing courses has nearly 1300 students.

Scholarships are being provided by both the LRG Naidu Educational Trust and the Ellargi Trust to deserving students to pursue their Under Graduation program. A sum of Rs10,000/- is being given as scholarship to the students every year.

Ms. G Ramya has been placed as a software engineer in Chennai based Cognizent

Technology Solution. She?s a final year Electronic and Communication Engineering

student in Sri Krishna College of Engineering and Technology. An alumnus of

Ramaswany Naidu Vidyalaya Higher Secondary School, Ramya topped her school

scoring 90% in her Board Exams. Hailing from an agricultural family, the monsoon

failure dealt a severe blow and her parents were unable to pay her college fees.

Thanks to the timely aid from the trust I was able to continue my studies,said

Ramya.

Two of her classmates who were also the beneficiaries of this scholarship are studying in Park Engineering College and Kumaraguru College of Engineering and Technology.

Top

Reaching Out

The Society for the Aid of Handicapped Children was established in 1963. Mrs Amirtham Varadaraj plays an active role in this institution. Since, its inception, this voluntary organization has been rendering yeoman service to thousands of differently abled children. Today, the Society runs a school and provides formal education up to 8th standard.

The services rendered by the society are

  • Special school for mentally challenged

  • Special school for physically challenged

  • Special school for speech and hearing impaired

  • Speech therapy

  • Physiotherapy

  • Brace workshop ( Calipers, Crutches, Limbs etc)

  • Vocational rehabilitation centre

  • Counselling and guidance

  • Computer centre for differently abled

  • Hostel for physically challenged

The special school for mentally challenged established in 1973 has 55 students in its enrolment. Based on their ability and performance level, the children are given training in self-help skills, social skills, academic skills, leisure time skills, pre-vocational skills, craft and work activities. Guidelines are being provided by Vidyasagar formerly Spastic Society of India for the Early Intervention program (for children from 0 -5 years of age)

In 1990 the government of Tamil Nadu donated Rs 2 lakhs to start a residential school for the physically handicapped. So, the Society started a transitional school with a modest dormitory to house the physically challenged and, speech and hearing impaired children. The building for the same was donated by Elgi Equipments during the society?s silver jubilee year in 1991. The school has 52 students. The children undergo physiotherapy, corrective surgery and appliances like crutches, calipers etc are provided free of cost. Out patients are also treated at a nominal cost. These special schools have been recognized by the State Commissioner for the Rehabilitation of the Disabled, Chennai. The society has well equipped speech, audiology and physiotherapy departments.

The Vocational Rehabilitation Centre provides training

for those who are above 18 years of age in the following

areas

> Envelope making, file making, book binding etc

> Offset printing unit

> Chalk and crayon making

> Craft works

> Two wheeler workshop and water service station

> Computer training for the disabled

Currently, this society is being funded by benevolent public, industrialists, myriad voluntary organizations and trusts. Assistance is also being provided by both the Central and State governments. But the need for the funds will remain and the Society hopes more and more companies will come forward to fill the hiatus. All donations to the society are exempt from Income Tax under section 80(G) of the IT Act. Lend a helping hand by becoming a member or a sponsor and make the world a better place for the differently enabled children.

Contact

The Society for the Aid of Handicapped Children

34, Mettupalayam Road,

Coimbatore ? 641 043

Ph: +91- 0422 ? 2441902.

Top

Ties with GKNM

Elgi has played a crucial role in the developmental activities of G Kuppuswami Naidu Memorial Hospital (GKNM) by actively contributing and participating in all its initiatives. The association with GKNM began when Late Mr.LG Balakrishnan became one of the trustees of the Kuppuswami Naidu Charity Trust for Education and Medical Relief. The trust commemorated its 25 years of charitable activities during its Silver Jubliee celebrations held on 5th January 1974. In an effort to promote the charitable activities carried out by the trust the Elgi group donated Rs10 lakhs from its LRG Ranganayaki Ammal Charities for GKNM?s Cardiology Block way back in 1974.

Both the LRG Naidu Educational Trust and the Ellargi Trust offer medical aid to economically poor patients undertaking treatment at GKNM. The medical assistance provided by the trusts comprises of individual medical relief as well as grants to hospitals. If the individuals are from the public a sum of Rs10,000/- is being given and if they are employees of the Elgi group, Rs5000/- more.

6 month old Jayasurya had to undergo a heart surgery to correct his Ventricular Septal Defect. His father Vishwanathan was a coolie and was unable to afford the same. The doctors at GKNM referred Jayasurya?s case to Ellargi Trust. The trust donated Rs10,000/- towards Jayasurya?s medical expenses.

Top

Coimbatore Cancer Foundation

"If I can lessen the mental agony of my fellow sufferers to some extent, then I myself would not have suffered in vain" - The Coimbatore Cancer Foundation (CCF) was conceived and launched by Late Mr.Kasthuri Sreenivasan himself a victim of cancer with these ideals in 1991. CCF is dedicated to the cause of cancer care and cure and functions at the G Kuppuswamy Memorial Hospital rendering counselling, guidance and educational services to the cancer patients and their family members. Mr. LG Varadaraj is the Chairman of the CCF. Through Ellargi Trust, the Elgi group has been providing financial assistance to the CCF by giving loans. The trust has allocated Rs50,000/- to provide treatment for poor Cancer patients. Apart from providing direct financial assistance, the Trust has also been rendering aid by publishing advertisements in the quarterly news bulletin published by the CCF.

Top

Gujarat Earthquake Fund

The earth has its own way of taking care if itself. It does keep check on damage being done to it by man. When we overstep our boundaries, it heaves a sigh ... it trembles and roars and the ground shakes and opens knocking down buildings like dominoes...? ? Jason Q

The millennium's much awaited Republic Day turned out to be a date with the death. A killer earthquake rocked our country?s most vibrant and commercial state, Gujarat and brought down multi-storey buildings like a pack of cards. In most of the natural disasters only the poor will be at the receiving end. However, the earthquake that struck Gujarat did not discriminate between the rich and the poor. The high-rise buildings not only accounted for maximum number of casualties but also buried many under its huge chunks of concrete and twisted metal. Relief materials came pouring in from across the world. Volunteers and voluntary organisations swarmed to the devastated areas. Mata Amirtanandamayi Math which symbolises service and charity for the poor and suffering adopted 3 villages flattened by the quake. In a show of solidarity to the cause of humanity we contributed Rs 5 lakhs to the Mata Amirtanandamayi Math.

Top

Kargil Relief Fund

Pakistan?s thirst for Jammu and Kashmir has never been satiated. It?s evident from its oft repeated endeavours to annex Jammu and Kashmir. Unnerved by its humiliating defeat in the 1971 war, Pakistan attempted to capture the deserted heights in Indian Territory, left by Indian army during the inhospitable weather conditions. The only hitch was Pakistan army?s miscalculation of the response from its arch rival. There was heavy exchange of artillery fire between Indian and Pakistani forces and finally Pakistan succumbed to a humiliating defeat. The whole nation sympathized with the Indian soldiers who became martyrs and who returned wounded or permanently maimed. Everyone came forward to contribute to the Kargil Fund so that the families of the dead and the suffering and the wounded can be taken care of. We contributed Rs 10 lakhs as donation to Kargil Defence Personnel Relief Fund.

Top

Profit Share Fund

From 1997 Elgi has been offering a unique profit-share

scheme to all its employees. The scheme not only offers

the employee an opportunity to contribute but also to

share the prospects of the company. In other words,

it?s an agreement that the company has with its

employees. Under the agreement, 25% of profit after

tax and dividend will be distributed to the employees.

The first profit share was a whopping Rs 312.17 lakhs.

To commemorate the introduction of this Profit Share

scheme, the employees contributed their one day?s

salary which was to the tune of Rs2,55,986. A

monument was erected in the factory to mark the landmark scheme and the rest was disbursed for philanthropic activities. The beneficiaries were ?

The Old Age Home, Podanur; The Family for Children, Podanur; The Sevaashram Trust, RS Puram and The Mother Teresa Home at Puliyakulam.

In the year 2003-?04, Profit Share Employees Welfare Fund was established by the Elgi Equipments Limited Employees Welfare Fund Trust. Each employee contributed a sum of Rs 5000/- from their profit share and a total amount of Rs18.44 lakhs was collected. The fund is being used to provide loans for the employees - to build/buy houses, to take care of their medical expenses, to provide higher education for their children and to buy consumer durables.

Please find below the details regarding the expenses borne by Ellargi and LRG Naidu Educational Trusts for all its philanthropic endeavours.

Name of the Trust

Category

2001-02

2002-03

2003-04

Total

( Rs. in lakhs)

Ellargi Trust

Medical Relief

6.43

6.25

4.98

17.66

Educational Aid

3.50

2.49

2.45

8.44

LRG Naidu Educational Trust

Medical Relief

1.37

0.77

0.69

2.83

Educational Aid

1.99

1.52

4.41

7.92

Top


News from the Divisions

AED

Ford approves our body shop equipment

Our body shop equipment have been approved by Ford India, a subsidiary of Ford Motor Company, USA. This approval from one of the three auto giants in the world cements our position as the leading automotive service solution provider in India. It will also enable us to gain a strong foothold in the body shop segment which is gaining vital importance in the car-care market. The approval stands as a testimony to our superior quality, technology and service network. This body shop approval takes the OEM body shop approval list to three in addition to HONDA SIEL CARS & TOYOTA KIRLOSKAR MOTORS.

Top

Hyundai approves our automotive equipment

The Korean auto giant, Hyundai Motors has approved for the supply of our automotive equipment to their numerous dealers spread across the nation. Going by its business volume, Hyundai is being tipped as the future leader in the small car segment. This approval from a top player in the Indian automobile segment has set the ball rolling for bigger business volumes in the coming future. Now, Hyundai is one among our prestigious list of OE customers.

Top

AUTOMECANICA 2004

This year AUTOMECANICA 2004 was held at Frankfurt, Germany. We (AED Team) visited the exhibition to enhance our knowledge and to assess our position in the global market. The exhibition has paved way for many useful insights in the global arena. We hope that knowledge and awareness gained from such visits will lead us to introduce new products and further strengthen our stand in the automotive service market world over.

- Business Development, AED

Top

ENGINES

Order for 150 diesel engines

We have supplied 150 diesel engines to M/s Killick Nixon,

a Mumbai based manufacturer and supplier of construction

equipments in the first half of this year. We bagged the

order from M/s Killick Nixon inspite of M/s Greaves Cotton

Limited being a major supplier of small range of diesel

engines to them. Our 5 HP engines were found to be a

perfect partner for their Needle vibrators, one of their

fast moving products. Kudos to Mr. Naseer A Mogal,

Engineer, Mumbai branch for all the efforts he put in

to clinch this deal.

- Ravikrishna P, Engines

Top

RCD

Growth in maintenance kit business

Maintenance kits are gaining popularity among our customers in both the reciprocating and the railway segments. These kits facilitate our customers in easy procurement of all necessary spares for maintenance/overhaul of the equipment and ensure the completion of service jobs as per schedule. As for us, these kits are very useful in fighting against the competition from non-genuine source/traders.

Recently our Kolkata team has bagged an order from South Eastern Railways for supply of 190 IOH (Intermediate Over-Haul) kits and 81 POH (Periodic Over-Haul) kits for TRC 1000MN Compressors. The total order is worth Rs 9.3 million. Through this order we have gained our market share in South Eastern Railway sheds like Bondamunda which were earlier dominated by traders and non-genuine spares suppliers.

From South Central Railways, our Hyderabad team has bagged an order for the supply of 748 AOH (Annual Over-Haul) kits worth Rs 2.17 millions. The maintenance kits will surely boost our further growth in the Railway segment.

Top

Service & Spares dealer appointed

We have appointed Kolkata based M/s B.M. Pneumatics as our Service and Spares Dealer to meet the increased service and spares requirement for reciprocating compressors in Kolkata and neighboring districts.

- R Parasuraman, RCD

Top

Knit Show 2004

The four-day, ?Knit Show 2004? in Tirupur was held from

16th to 19th September 2004. The show attracted garment

machinery suppliers, traders and accessories suppliers. We

displayed our Vayu Compressor - 2 HP/45 litres through

one of our OEMs in Tirupur. Being a popular model it finds

use in applications like stain removing machines, fusing

machines & embroidery machines. We have planned to

capitalise on this exhibition to increase the sales of our

Vayu units in Tirupur.

- N.Ramachandran, RCD

Top

25,000 & going strong

We created history on 23rd September 2004 when we rolled out our 25000th KU compressor. A 100% EOU project, Agni is the largest production by volume undertaken by ELGI so far. It?s not just about quantity, it has quality too. We?ve adhered to the stringent quality standards of the Fortune 500 Company dealing with professional category compressors. The experience gained in this project will help us to capture more customers world over. The cooperation of the operators, engineers and the management have been crucial for this success.


25000th KU compressor The Agni Team

- The Agni Team

Top

RR20100 ? Compressors for New Generation Locos

Our RR20100 has proved to be a successful compressor for 3 phase ABB Locomotives both in performance and in reliability over compressors supplied by MNCs like Sab Wabco of UK and Knorr Bremse of Germany. We are the only Indian company to receive the approval from Indian Railways to supply these compressors for new generation locomotives. These new generation locos are superior on power, features and performance over earlier conventional locos. The locos can be categorized as WAP-5, WAP-7 and WAG-9.

Recently, we have bagged a major order for 100% quantity of RR20100 valued at Rs 22 million from Chittaranjan Locomotive Works (CLW). This is a remarkable achievement and the credit goes to collective team work of the division.


Top

Tie-up with J.P.Sauer & Sohn

We have entered into a collaborative venture with J.P.Sauer & Sohn of Germany for the supply of modern high pressure compressors (above 200 bar) to the Indian Navy. J.P.Sauer is a leading manufacturer of naval compressors in the world having their compressors installed in advanced naval establishments like the US Navy, the Royal British Navy, the French Navy, the German Navy etc. These new generation compressors would be supplied for Aircraft Carriers, Submarines & Mine hunters. This tie-up would enable us to supply modern compressors to Indian Navy at competitive price.

- Satish Kini, RCD

Top

ROCD

News from ROCD-PBG

Ever since the inception of PBG in Elgi we seem to touch a new horizon every year. We received huge orders worth over Rs 10 million for 2 centrifugal compressors from Sanathan and Universal Texturisers which are both Silvassa based textile manufacturing companies. We?ve successfully launched the Elgi ? Samsung Turbo compressors in the South.

Elgi- Hitachi Oil Free Screw Air Compressor (OFSAC) has carved a niche for itself in the market and is posing a big threat to MNCs. This is evident from the turnkey order we received from Raymond for their Denim plant, slated to be the biggest in Asia. The order is worth over Rs 6 million. The success story doesn?t end there.

ER Textiles, Bangalore has placed a turnkey order worth over Rs 12 million for our OFSAC. The technical inputs given by our team enabled us to gain an upper hand over the competitors.

Chettinad Cements was a satisfied user of Atlas Copco products. But not any more.We have received a huge order from them valued over Rs 7 Million for our electric powered oil flooded compressors. The performance of ROCD ? PBG team is commendable.

- Thomas Paulose, ROCD

Top

EPSAC Customers? Meet

We conducted our EPSAC Customers? Meet at Kanpur and Ludhiana on 12th and 15th September 2004 respectively. In the former, 35 participants mostly from Tannery, Thermoforming & Edible oil industries participated. At the Ludhiana meet, 27 members participated.

Top

Conducted DPSAC Workshop

ROCD conducted a workshop for M/s. Neyveli Lignite Corporation Limited for their DPSAC units from 17th August to 19 August 2004. This prestigious customer of ours has 7 DPSAC and 19 EPSAC units. On the first day, Mr. B. Surender Mohan, Chief General Manager, Mines Zone 1 and 1A inaugurated the workshop. The efforts undertaken by Mr. K. Alagar, General Manager, GWC&D and Mr. M. Abdul Samath, CM, GWC&D in organizing the workshop within the NLC training complex and in GWC&D workshop yard is commendable. Executives from various functions attended the workshop.

Top

Awareness Program

An awareness program on screw air compressor technology and maintenance was conducted on10th September 2004 at Northern Coal Fields Limited, Singraulli. Mr.Adarsh Baizal, GM-HR inaugurated the program. A team of 28 members from NCL?s middle and higher management attended.

Top

Knowledge Sharing Programs

Knowledge sharing programs were conducted by the Knowledge Management Department of ROCD at various locations across India. Some of the topics are ? Electrical Phase 2, Electric Powered Screw Air Compressor ? Technology and Maintenance and Maintenance of Machine Tools.

- PR Krishnan, ROCD

Top

INTERNATIONAL DIVISION

Highlights from the African Desk

We have revived the DPSAC Business in Africa by shipping 10 units of Skid and 6 units of Portable Diesel Powered Screw Air Compressors valuing Rs 25 million. We are expecting more orders in the second half of this year.

Thanks to the efforts of Nysamco, our dealer there, we?ve clinched our first LEPSAC order for EL07335 (335 hp) with ELRD 1750 Drier from a South African mine.

Our partnership with COMPAIR, S.Africa accounts for 60% of Recip business in the first half. Shipment of Reciprocating Compressors is to exceed 150 units, 120 TB.

We?ve made inroads in Botswana & Uganda with our first shipment of Reciprocating and Screw Compressors to our new dealers in these two countries.

Repeat orders were received from our Tanzania dealer for Reciprocating Compressors & Automotive Equipment.

AED products and G5 reciprocating compressors were shipped to Indian Oil Mauritius Ltd, (IOML), Mauritius for their 4 new petrol stations. Orders are expected for another 20 outlets.

- P.Vijayakumar, International Division

Top

Highlights from America, Europe & UK

America

22,000 compressor pumps valued at Rs.91 million were shipped to a Fortune 500 Company in USA during the first half of this year. Spare parts worth Rs.1.6 millions were also supplied. A team from Elgi visited end users and service centres in USA and found that the product was well received.

We received an order for 100 compressors valued at Rs.31.50 millions from Wabtec Corp, the largest locomotive compressor manufacturer in USA. These compressors will be fitted on GE locomotives. The supplies will be executed during the second half of the year.

Orders worth Rs 3.9 millions were received from Wabtec Corp, USA for 100 crank shaft forgings.

There was a significant growth in our air end and accessories shipments to M/s Mega Group when supplies worth Rs 9 million were shipped during the first half of the year.

Our air end supplies to Can-K , Canada registered a significant growth. 28 air ends valued at Rs.1.65 million were shipped.

The successful performance of our screw compressors in Columbia resulted in repeat orders for 5 more valued at Rs.1.35 million.

Elgi received a trial order for 85 units of top blocks worth Rs1.2 million from a leading piston compressor packager in Columbia.

Europe

Spain

When it comes to air ends we are second to none. Betico, one of the reputed manufacturers of air compressors carried out trials on our air ends and we have proved to be more efficient than their current supplier. We have shipped 30 air ends to them and are expecting more.

Turkey

DEVCOM in Turkey will be making their first screw compressor with Elgi?s air end. Elgi has received its first order from DEVCOM for its air end and accessories inspite of the huge presence of more than 15 local players apart from the major global players in Turkey. Elgi is wishing them its very best.

UK

Elgi has tied up with Rand Equipment who have placed their first orders for 10 BMU?s. These compressors will be branded in their names and sold in theUK. They are well established and have many dealers.

Interlube Systems, UK continued to place bulk orders for our injectors used in centralised lubricating systems.

- BV Shivashankar, International Division

Top

Highlights from South East Asia

Malaysia

We?ve shipped our first DPSAC unit (1100/350) to Specific Resources Ltd, the company which operates the Penjom Gold Mine in Malaysia. The 1100/350 is coupled to a booster on a rig for drilling gold deposits in the mine. We were able to clinch this order inspite of major MNC Brands having their units there.

We?ve supplied 13 Axis air ends for belt driven packages to Carling Compressors, the only company in Malaysia which assembles screw compressors.

Thailand

The first order for a Horizon Tandem (EE160-9) from Thailand was shipped out in Sep?04. Lucky Spinning Mills had initially bought an Elliot Centrifugal for their entire plant. They faced many problems and were on the look out for a standby. Thanks to the performance of our compressor, when it comes to power saving and low running cost we were able to ward off competition from major MNC Brands and clinch the deal.

Indonesia

With the shipment of 25 Semi PU4 Lifts with arms instead of a ramp, to PT Aprilindo Sentosa, a reputed distributor for automotive products in Jakarta, we made our entry into Indonesia for automotive equipments.

- Sudhir Seshadri, International Division

Top

Highlights From Middle East & West Asia Region

The sales in the region during the first half recorded a growth

of 36% over the corresponding period in 2003-04 with growth

contributions from all the 10 countries in which we are actively

present.

We participated in Auto Expo 2004 in Tehran, Iran. Our OE

partner displayed our assembled reciprocating compressors.

Order valued at Rs 5.20 Millions concluded for our Top Blocks

with an OE in Egypt.

We have received orders for supply of Vehicle Washing Hoists

from oil companies in UAE and Qatar for their service stations.

First batch of horizon electric screw compressors with

accessories were exported to Iran for an upcoming textile mill.

- N. Ramakrishnan, International Division

Top

Highlights : Near Countries & CIS

ROCD grew by nearly 200% in the neighbouring countries over the corresponding period last year i.e. from Rs 7 million to Rs 15 million)

Sales in Bangladesh grew by 300% ( Rs 13 million) as compared to the first half of last year (Rs 4 million )

Orders worth Rs 1.5 million were received for our AED products from Dhaka

We received package orders for Wheel Aligners, Balancers etc from M/s Sipradi Trading, dealers of Tata Motors in Nepal

Made an exploratory visit to Pakistan - Karachi & Lahore.

Our first prospective dealer from Pakistan visited our company in September 2004 and is interested to deal with our compressors.

In August this year, our dealer in Dhaka has started a service centre with air end repairing facility. Our customers consider this as a very good effort by IFAD & ELGI

- D.Anand, International Division

ELGI partners with COMPAIR, S. Africa, a UK based MNC

We have joined hands with M/s COMPAIR, a UK based multi-national manufacturer of air compressors, to promote our Horizon reciprocating compressors in South African countries. ELGI ? Horizon reciprocating compressors were launched on 7th September 2004 at Johannesburg .

Mr. Theo Crous, Managing Director, Mr. Piet van Ransburg, Finance Director, Mr. Stan Kleb, Product Director of COMPAIR along with 7 of their dealers and 22 Sales & Service Engineers participated in the launch program. The launch was very well received & COMPAIR used the launch program to convey to their Dealers/Sales Engineers/Executives that they were impressed by the quality, performance of our compressors.

First orders worth Rs 7.5 million have been shipped and next order worth Rs.3 million will be shipped in the III Qtr. International division commends the untiring efforts of Mr. Satheesh, Country Manager, S. Africa and RCD for the excellent support in timely shipment of first order.

Standing (First from Right) Satheesh with COMPAIR officials

- P.Vijayakumar, International Division

Top

PRODUCT UPDATE