25 July 2013

ABB India Overview

A global leader in power and automation technologies Leading market positions in main businesses

135,000 employees in about 100 countries

$38 billion in revenue (2011) Formed in 1988 merger of Swiss and Swedish engineering companies Predecessors founded in 1883 and 1891 Publicly owned company with head office in Switzerland

Power and productivity for a better world ABBs vision

As one of the worlds leading engineering companies, we help our customers to use electrical power efficiently, to increase industrial productivity and to lower environmental impact in a sustainable way.

How ABB is organized Five global divisions

Power Products $10.3 billion 35,000 employees

Power Systems $7.7 billion 19,500 employees

Discrete Automation and Motion $8.4 billion 27,500 employees

Low Voltage Products $5.0 billion 21,000 employees

Process Automation $7.8 billion 28,500 employees

(2011 revenues, consolidated)

ABBs portfolio covers:

Electricals, automation, controls and instrumentation for power generation and industrial processes Power transmission Distribution solutions Low-voltage products

Motors and drives Intelligent building systems Robots and robot systems Services to improve customers productivity and reliability

Shaping the world we know today through innovation Pioneering technology since 1883
Founding fathers 1900 Steam turbine Turbochargers Gas turbine 1930 1940

1920

Industrial robot

Gas-insulated switchgear

Gearless motor drives

HVDC 1950 1960

1970 1980 Variable-speed motor drives Electric propulsion systems

Extended control systems

Ultrahigh voltage

1990

2000

Power and automation are all around us You will find ABB technology
orbiting the earth and working beneath it,

crossing oceans and on the sea bed,

in the fields that grow our crops and packing the food we eat, on the trains we ride and in the facilities that process our water, in the plants that generate our power and in our homes, offices and factories

ABB India Presence, Trends and Opportunities

Indian Macro economy

A Decade of progress

Between 2000-2010:

GDP trebled from less than US$ 0.5t to US$ 1.3t. Per Capita GDP rose 2.5x from US$ 427 to US$ 1058 Clocked a real GDP CAGR of 7.2%

Service sector grew from 49% of GDP to 57% of GDP

Growth was largely financed with savings rate increasing from 24% to 34% Merchandise trade (Imports+Exports) as a percentage of GDP nearly doubled from 22% to 40% Forex reserves expanded 7 times to US$ 280bn

Source: India Strategy Motilal Oswal report January 2011

India - Macro Overview

Macroeconomics: Declining IIP and exports with increasing inflation and trade deficit Increasing competition: Changing Rules of the Game and eligibility Criteria Increasing margin pressures: Interest costs and delay project investments Technology - Price equation: India high on better technology at a lower price Global footprint: Leverage India for optimizing cost and talent pool National Manufacturing Policy: Catalyst to sustain economic growth Investment in infrastructure: $1 trillion between 2012-17 Rail: Electrification of 12000 km + Metro planned in over 12 cities

India Power and Industry Segment Learnings

Power Segment

Industry Segment

Demand supply gap still 10-12% Over 12% of installed capacity is more than 30 years old Delicensing & Increased Participation of Private Players : 6% in 2006 to 29% in 2011. May go upto 52 % by 2017 Delay in projects land acquisition and environmental clearances National Grid: 155 188 thousand ckm planned by 2017

10-12% growth in consumption led by rising middle class

2020:100 mn jobs. 2025: 200 m jobs

Auto sector to contribute 10% of GDP by 2016

Huge opportunities in energy efficiency space Industrial Zones with special incentives for green technologies

Month DD, Year

| Slide 10

ABB in India Strong local presence since 1928

HARIDWAR FARIDABAD

KOLKATA

VADODARA

NASHIK

MUMBAI

BANGALORE

MYSORE

+
Cluster countries
Head office, Bangalore Key manufacturing/ project units

12 Manufacturing facilities 23 Marketing offices 4 Training centers 8 Service centers 3 Logistics warehouses 2 Power & Automation Engineering Centers ABBs largest R&D Center Listed on Bombay and National Stock Exchange, India

* As on 2011 June * Does not include Baldor and K-tech acquisitions

ABB in India
1.7+ BUSD in revenues, 10355 employees*

Power Products 2,732 Employees 462 MUSD 20,446 MINR

Power Systems 2,476 Employees 554 MUSD 24,491 MINR

Discrete Automation and Motion 1,524 employees 417 MUSD 18,440 MINR

Low Voltage Products 1,016 employees 121 MUSD 5,355 MINR

Process Automation 2,078 employees 315 MUSD 13,948 MINR

ABB India portfolio:

Electricals, automation, controls and instrumentation for power generation and industrial processes Power transmission

Distribution solutions Low-voltage products PLCs, variable frequency drives, motors for discrete automation and process industries

ABB in India is the 5th largest contributor to the group business volumes
*Regular employees + Trainees Revenues include all legal entities; Figures rounded off to 0 decimal;1 USD: 44.25 INR

India country organization 2013

Bazmi Husain
Country Manager

Pitamber Shivnani
Power Products

Amlan Datta Majumdar

Chief Financial Officer

Giandomenico Testi
Chief Technology Officer

N Venu
Power Systems

Raja Radhakrishnan
Country HR Manager

Ralph Schutheiss
Legal and Integrity

R Narayanan
Discrete Automation & Motion

Madhav Vemuri
Country Service Manager

TK Sridhar
Investor Relations

Priteesh Mahajan
Process Automation

Tajinder Vohra
Country Operations Officer

-TBDSustainability

Raimondo Salandra
Low Voltage Products

Subir K Pal
Communications, Business development and Marketing

ABB Group July 25, 2013 | Slide 13

ABB in India Local Investment in Manufacturing

Vadodara: First manufacturing facility 1962. Most recent - Wind Mill Generators in set up 2010, International quality certification (ISO 9001,14001,18001 certified)

Manufacturing and/or assembly performed in locations across India, much of which supplies local demand
Global factories for Power Products, Low Voltage Products and Discrete Automation and Motion Manufacturing facilities have unique energy savings systems such as solar panels for energy and water recycling systems

ABB in India Global Corporate Research Center

Highlights

Research cluster areas

Established in 2002 in India R&D footprint with 40% of BUs Lifecycle support for over 30 products 29 invention disclosures approved No. of engineers: 1000+ University cooperation with IIT, IISC Bangalore, IIIT Bangalore

Control and optimization Industrial communications Industrial software systems Network management systems 800xA Robotics and drives

ABB in India Global Industrial Services

Process competencies Process Automation Metals, Minerals, Oil, Gas & Petrochemicals, Pulp & Paper, Marine and Plant Electrification Process competencies Power Systems Grid Systems, Substation Automation and Power Generation

Engineering operation centers located in Bangalore and Chennai with 900 employees, delivering engineering for prestigious projects worldwide
Local delivery of a variety of projects ranging from aluminum smelter electrification to inter-state electrical grid control

Two Engineering Centers

Our customers
Some of the biggest names in the Indian Industry

Indias energy challenges

Reduce linkage between growth, energy use and emissions
Meeting these challenges requires the India to:
Reduce the correlation between economic growth and energy use Reduce the correlation between energy use and emissions

Energy efficiency

Renewable sources of energy

Industry / Govt. Push.BSE Green Index, PATAudits

Opportunity to reduce carbon footprint

There is scope for improvement when we compare India with other countries
6.0 5.0
TWh /mMTOE

Electrical Energy Available per Unit of Primary Energy Consumed to produce it

4.8
4.3 4.2

4.0 3.0 2.0 2.8

1.0
0.0
World India China USA

Power Generation Total Auxiliary Power Consumption in Power Plants is 8.34% of the Production World Average Benchmark 3.99%

Power Transmission & Distribution

Total Losses in T&D is 33% of power handling capacity. Benchmark: Germany 4%. 11% lost in Transmission, 22% in distribution.

India: Energy Supply Efficiency

North East to Agra UHVDC transmission Worlds highest capacity power interconnect
Customers need

Development of renewable hydro power 1730 km from load centre

ABBs response

800 kV UHVDC, 6000/8000 MW

Multi terminal

Customers benefits

High efficiency > 95 %

ROW ~ 40% of eqvt. 765 kV AC system Reliable transmission forced unavailability < 0.5 %

Improving capacity, reliability and efficiency in the grid

Pioneer in smart technologies
Challenge

ABB solution

Delhi, India: Electrify one of the largest metro projects in Asia

Custom engineered SCADA solution Maximum efficiency , optimal space use with minimal losses Modular eBoP solution for 300MW generating units that provide optimized and integrated solutions for complete plant electricals Network management with real-time control Key building block for smart grid

Maharashtra, India: State of the art, turnkey electrification solution for thermal power plant that supplies increased power to western grid Bangalore, India: Improve reliability in grid serving 53 million people in Karnataka

Tackling societys challenges on path to low-carbon era

Helping customers do more using less
Challenge

ABB solution

India/Bangladesh: Provide a complete automation solution for worlds longest trans national, single-belt conveyor India: Help the largest steel blast furnace in India maximize their production efficiency

Custom engineered System 800xA control solution Energy efficient drives and motors 800xA automation solution helps to increase productivity from 7850 tons per day to 9000 tons per day

India: Complete electrical and automation solution for one of the largest cement manufacturers in the world

Composite solution with plant electrics, drives and motors Elimination of hardware communication between MCC and DCS by using Profibus with intelligent MCC