Power

About GVK
GVK is a diversified business entity with a predominant focus on Infrastructure and Urban Infrastructure projects. It also has a
significant presence in the Hospitality, Services and Manufacturing sector.

Among the pioneers to envision the India Growth saga, GVK realized the potential needs of a rapidly developing economy,
particularly in the area of infrastructure development. One of the challenges facing the fast paced economic development in
India is to create world-class infrastructure which will further boost the growth and provide people with a better quality of life.

GVK has responded to the challenge by taking a lead in developing projects of national importance in diverse areas ranging
from power, airports, and roads. It also consolidated its position of strength in hospitality and manufacturing.

Having an asset base of close to Rs. 50 Billion (1,220 Million USD), GVK boasts of prestigious projects on hand worth of about
Rs 150 Billion (3,658 Million USD). Backed by the strength of 7,000 professionals with the required capabilities and technical
acumen, GVK is surging ahead, building on its achievements and exploring newer avenues for growth.

GVK Power and Infrastructure Limited (GVKPIL) has initiated power projects that will cross over 2000
MW capacity once operational. While Jegurupadu Combined Cycle Power Plant is operational, several
ambitious power projects are under development.

GVK is developing power projects that are based on coal, gas and hydel resources. The projects are being
developed across several States in the country including Andhra Pradesh, Punjab and Uttarakhand

Urban Infrastructure

GVK ONE
What makes 'GVK One' the most alluring business destination is its location. Builders would reckon with
pride that the location of GVK One is a winner forever. The multitude of attributes of GVK One promise vast
potential for brands and retailers to thrive, while metamorphosing the shopping experience in the city.

GVK One - Hyderabad's world-class retail scheme - will make the city proud and give shoppers and retailers
alike more reasons to smile. The many locational attributes of GVK One indicates the vast potential it holds
for brands to thrive. Every little detail at GVK One has been planned keeping in mind the dynamic needs of
retailers and shoppers. The trademix is perfect, offering products and services ranging from fashion and
food to home needs, leisure and entertainment. Matching international standards for the discerning
customer and retailer, it is convenience unlimited, and pleasure multifold, making the venture a sureshot
one-stop destination for all. In short, GVK One is a complete mall in every sense of the term, that would
make even a New Yorker wince with envy.

Position
Investors
GVK has consolidated its infrastructure assets under one company making it an integrated infrastructure
player. As part of the consolidation, all the infrastructure assets in Power, Airport, Road, and Mining will now
come under one umbrella of GVK Power & Infrastructure Limited (GVKPIL).

As a result of this consolidation, Mumbai International Airport Pvt. Ltd. (MIAL) which operates India’s
busiest airport, the Chhatrapati Shivaji International Airport in Mumbai and GVK Jaipur Expressway Pvt.
Ltd. which operates the six-lane toll road project on the Golden Quadrilateral will come under GVKPIL.

The Board of Directors of GVKPIL and the Board of Directors of Bowstring Projects & Investments Private
Limited (Bowstring) & the Board of Directors Green Garden Horticulture Private Limited (Green Garden)
have approved a proposal for the amalgamation of Bowstring & Green Garden with GVKPIL. Bowstring and
Green Garden, both closely held unlisted companies, hold equity stakes in various power and infrastructure
projects of GVK.

“The consolidation will align all GVK infrastructure companies under one roof thereby enabling GVK to
position itself as an integrated infrastructure company to leverage emerging opportunities in this sector. It
will also provide better realization of value for our investors" said Mr G. V. Krishna Reddy, Chairman,
GVK.

The Scheme of Amalgamation approved by the respective Boards envisages a share exchange ratio of 133
(One hundred thirty three) equity shares of the face value of Rs 10/- each of GVKPIL, for every 4 (Four)
equity shares of the face value of Rs 10/- each of Bowstring.

The Scheme also envisages a share exchange ratio of 153 (One hundred fifty three) equity shares of the
face value of Rs 10/- each of GVKPIL, for every 4 (Four) equity shares of the face value of Rs 10/- each of
Green Garden.

In the aforesaid meeting of the Board of Directors of GVKPIL, the proposal to issue and allot equity shares
in GVKPIL to members of GVK Industries Limited (GVKIL), other than GVKPIL itself, in consideration
for the transfer of and vesting in GVKPIL of the equity shares held by such members in GVKIL in terms of
Scheme of Arrangement under section 391 of the Companies Act was also considered.

The proposed Scheme of Arrangement (Scheme) envisages a share exchange ratio of 3 (Three) equity
shares of the face value of Rs 10/- each of GVKPIL, for every 40 (Forty) equity shares of the face value of
Rs 10/- each of GVKIL.

The share exchange ratio approved by the Boards of the respective entities was based on a valuation
process incorporating international best practices. The entities had appointed leading accounting firms,
Deloitte, Haskins & Sells, and Dalal & Shah to recommend the final share exchange ratio to the Boards of
the entities. Amarchand & Mangaldas & Suresh A. Shroff & Co. are the legal counsel for the entire process.

The Scheme of amalgamation and arrangement will be subject to various approvals including those of Stock
exchanges, shareholders of respective companies, any regulatory authorities. The Scheme of amalgamation
will have to be approved by the High Court of Delhi and Scheme of Arrangement will have to be approved by
the High Court in Delhi and High Court in Andhra Pradesh. The Appointed Date of merger is proposed to be
April 1, 2006.

The benefits of the proposed Scheme of Amalgamation and Arrangement are:

• Create an integrated, comprehensive infrastructure company that can cater to all segments of
infrastructure and consolidate its position as a leading company in the infrastructure sector
thereby creating substantial shareholder value
 • Re-organization of the infrastructure companies within GVK will enable better utilisation of
resources and capital and would create a stronger base for future growth of the infrastructure
business in general
• Create large balance sheet size to participate in upcoming infrastructure projects
• Align interest of all shareholders in a single listed entity and eliminate areas potential conflict of
interest and concerns of related party transactions
• Enable investors, existing shareholders to participate in diverse infrastructure assets
• Unlock value in operating assets and eliminate the need for multiple listing by group companies

GVK Power & Infrastructure Limited is a listed public company belonging to GVK, engaged in the
business of owning, operating and maintaining power plants by itself and through its subsidiary/ associate
companies.

GVKPIL presently owns 53.96% in GVK Industries Limited which operates the 216 MW Jegurupadu Phase
I gas based power plant and the 220 MW Jegurupadu Phase II gas based project which is ready for
commercial operations. GVKPIL also owns 44.97% (to be increased to 51% in due course) in Gautami
Power (464 MW Gas based power plant) which is ready for commissioning.

The new structure post-reorganisation

The proposed Scheme envisages consolidation of holdings of Bowstring and Green Garden, direct
and indirect, in various operating companies into GVKPIL, the flag-ship company of GVK.
Specifically, the following interests are proposed to be consolidated as part of the Scheme of
Amalgamation.

GVK Airport Developers Pvt. Ltd.

GVK Airport Developers is the holding company of GVK Airport Holding which holds equity stake in Mumbai
International Airport Pvt. Limited. MIAL has entered into Operating Maintaining and Development Agreement
with Airport Authority of India in April 2006 for developing operating and maintaining the Mumbai airport.
MIAL has been operating the Mumbai airport with effect from 3rd May 2006.

Alaknanda Hydro Power Company Limited

Alakananda is developing a 330 MW Hydropower Project in the State of Uttaranchal. Currently, the project is
under the construction phase and the company has signed a PPA with the Uttar Pradesh Power Corporation
Limited.

GVK Power (Goindwal Sahib) Limited

Goindwal Sahib is developing a 600 MW coal based Thermal Power Plant at Goindwal Sahib, in Punjab. The
Company has initialed the draft Power Purchase Agreement with Punjab State Electricity
Board ("PSEB") in December 2006.

Goriganga Hydro Power Private Limited

Government of Uttaranchal has awarded 200 MW Mapang Bogudiyar and 170 MW Bogudiyar Sirkari Bhyol
Hydroelectric Projects on River Goriganga in Pithoragarh District in the State of Uttaranchal. Government of
Uttaranchal has agreed for implementation of Single Integrated Project i.e. combining both the above
projects as 370 MW Mapang-Sirkari Hydroelectric Project.

GVK Jaipur Expressway Private Limited (GJEL)

A segment of the Golden Quadrilateral National Highway Development Project of Government of India. GJEL
was incorporated for designing, engineering, financing, constructing, operating, maintaining and widening
the 90.385 km existing 2 lane project highway to 6 lanes on the Jaipur - Kishangarh section of the National
Highway No. 8 in the State of Rajasthan by entering into a concession agreement with NHAI for a period of
20 years including construction period.

GVK Coal (Tokisud) Company Private Limited

Tokisud was incorporated to undertake coal mining activity. Tokisud will supply its entire output to GVK
Power (Goindwal Sahib) Limited for its exclusive consumption.

Share Prices Last One Year

GVK Power gains smartly
Published on Mon, Apr 20, 2009 at 14:16 , Updated at Mon, Apr 20, 2009 at 14:18
Source : moneycontrol.com

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GVK Power & Infrastructure touched an intraday high of Rs 26.65 and an intraday low of Rs 24.90. At
2:11 pm, the share was quoting at Rs 26.45, up Rs 1.65, or 6.65%.

It was trading with volumes of 5,391,443 shares. On Friday the share closed down 0.60% or Rs 0.15 at
Rs 24.80.
 Share Price Movement During The Last 12 Months

Pric Latest Gain/Lo

Period % Gain/Loss
e Price ss (Rs.)

27.8
3-Days 26.45 -1.40 -5.03
5

26.8
5-Days 26.45 -0.35 -1.31
0

26.2
7-Days 26.45 0.25 0.95
0

25.0
15-Days 26.45 1.40 5.59
5

19.7
1-Month 26.45 6.70 33.92
5

20.1
3-Month 26.45 6.30 31.27
5

14.3
6-Month 26.45 12.10 84.32
5

30.2
9-Month 26.45 -3.75 -12.42
0

45.0
1-Year 26.45 -18.60 -41.29
5

Financial Position
Profit loss account

Mar ' 08 Mar ' 07 Mar ' 06 Mar ' 05

Income:
Operating income 257.49 242.95 188.74 115.47
Expenses
Material consumed 21.18 19.96 15.28 10.43
Manufacturing expenses 23.12 21.95 18.30 14.95
Personnel expenses 35.19 31.94 27.81 16.45
Selling expenses 8.81 8.35 6.90 4.49
Adminstrative expenses 45.46 44.32 33.73 23.59
Expenses capitalized - - - -
Cost of sales 133.77 126.53 102.03 69.90
Operating profit 123.72 116.41 86.71 45.57
Other recurring income 0.86 0.73 0.51 0.32
Adjusted PBDIT 124.58 117.14 87.22 45.89
Financial expenses 4.43 4.22 5.18 2.34
Depreciation 11.48 11.22 10.89 6.86
Other write offs 0.92 1.13 0.48 1.26
Adjusted PBT 107.74 100.57 70.66 35.43
Tax charges 37.87 35.80 23.70 13.20
Adjusted PAT 69.87 64.78 46.96 22.23
Non recurring items 0.02 -0.19 -0.81 0.13
Other non cash adjustments 0.53 -0.26 0.09 -0.28
Reported net profit 70.42 64.32 46.25 22.09
Earnigs before appropriation 155.15 119.69 79.66 42.30
Equity dividend 20.06 18.81 12.54 5.64
Preference dividend - - - -
Dividend tax 3.41 3.20 1.76 0.79
Retained earnings 131.68 97.68 65.37 35.87

Balance sheet

Mar ' 08 Mar ' 07 Mar ' 06 Mar ' 05

Sources of funds
Owner's fund
Equity share capital 12.54 12.54 12.54 12.54
Share application money - - - -
Preference share capital - - - -
Reserves & surplus 220.39 173.44 139.08 107.13
Loan funds
Secured loans 50.47 68.39 70.63 29.15
Unsecured loans 24.00 5.00 15.20 47.86
Total 307.40 259.38 237.44 196.68
Uses of funds
Fixed assets
Gross block 268.61 258.13 254.08 161.03
Less : revaluation reserve - - - -
Less : accumulated depreciation 75.86 64.45 60.89 50.12
Net block 192.75 193.68 193.20 110.91
Capital work-in-progress 138.64 76.02 20.74 67.08
Investments - - 13.96 13.96
Net current assets
Current assets, loans & advances 50.29 61.92 62.75 39.52
Less : current liabilities & provisions 76.10 74.98 57.01 39.84
Total net current assets -25.81 -13.06 5.74 -0.32
Miscellaneous expenses not written 1.82 2.73 3.81 5.06
Total 307.40 259.38 237.44 196.68
Notes:
Book value of unquoted investments - - 13.96 13.96
Market value of quoted investments - - - -
Contingent liabilities 28.98 46.51 17.77 16.75
Number of equity sharesoutstanding (Lacs) 627.01 627.01 627.01 125.40

News
News
Gvk Consolidates Its Power, Airports And Road Projects Under Gvk Power & Infrastructure
Limited

- (28 Jan 2007)

Hyderabad, January 28, 2007 – GVK, today announced the consolidation of its infrastructure assets under one company
making it an integrated infrastructure player. As part of the consolidation, all the infrastructure assets in Power, Airport,
Road, and Mining will now come under one umbrella of GVK Power & Infrastructure Limited (GVKPIL).

As a result of this consolidation, Mumbai International Airport Pvt. Ltd. (MIAL) which operates India’s busiest
airport, the Chhatrapati Shivaji International Airport in Mumbai and GVK Jaipur Expressway Pvt. Ltd. which
operates the six-lane toll road project on the Golden Quadrilateral will come under GVKPIL.

The Board of Directors of GVKPIL and the Board of Directors of Bowstring Projects & Investments Private
Limited (Bowstring) & the Board of Directors Green Garden Horticulture Private Limited (Green Garden) in
separate meetings held today in Hyderabad considered and approved a proposal for the amalgamation of
Bowstring & Green Garden with GVKPIL. Bowstring and Green Garden, both closely held unlisted companies,
hold equity stakes in various power and infrastructure projects of GVK.

“The consolidation will align all GVK infrastructure companies under one roof thereby enabling GVK to
position itself as an integrated infrastructure company to leverage emerging opportunities in this sector. It
will also provide better realization of value for our investors.” said Mr. G.V. Krishna Reddy, Chairman, GVK.

The Scheme of Amalgamation approved by the respective Boards envisages a share exchange ratio of 133
(One hundred thirty three) equity shares of the face value of Rs.10/- each of GVKPIL, for every 4 (Four)
equity shares of the face value of Rs.10/- each of Bowstring.

The Scheme also envisages a share exchange ratio of 153 (One hundred fifty three) equity shares of the
face value of Rs.10/- each of GVKPIL, for every 4 (Four) equity shares of the face value of Rs.10/- each of
Green Garden.

In the aforesaid meeting of the Board of Directors of GVKPIL, the proposal to issue and allot equity shares in
GVKPIL to members of GVK Industries Limited (GVKIL), other than GVKPIL itself, in consideration for the
transfer of and vesting in GVKPIL of the equity shares held by such members in GVKIL in terms of Scheme
of Arrangement under section 391 of the Companies Act was also considered.

The proposed Scheme of Arrangement (Scheme) envisages a share exchange ratio of 3 (Three) equity
shares of the face value of Rs.10/- each of GVKPIL, for every 40 (Forty) equity shares of the face value of
Rs.10/- each of GVKIL.

The share exchange ratio approved by the Boards of the respective entities was based on a valuation
process incorporating international best practices. The entities had appointed leading accounting firms,
Deloitte, Haskins & Sells, and Dalal & Shah to recommend the final share exchange ratio to the Boards of
the entities. Amarchand & Mangaldas & Suresh A. Shroff & Co. are the legal counsel for the entire process.

The Scheme of amalgamation and arrangement will be subject to various approvals including those of Stock
exchanges, shareholders of respective companies, any regulatory authorities. The Scheme of amalgamation
will have to be approved by the High Court of Delhi and Scheme of Arrangement will have to be approved by
the High Court in Delhi and High Court in Andhra Pradesh. The Appointed Date of merger is proposed to be
April 1, 2006.

The benefits of the proposed Scheme of Amalgamation and Arrangement are:

Create an integrated, comprehensive infrastructure company that can cater to all segments of infrastructure
and consolidate its position as a leading company in the infrastructure sector thereby creating substantial
shareholder value.

Re-organization of the infrastructure companies within GVK will enable better utilisation of resources and
capital and would create a stronger base for future growth of the infrastructure business in general.

Create large balance sheet size to participate in upcoming infrastructure projects.

Align interest of all shareholders in a single listed entity and eliminate areas potential conflict of interest and
concerns of related party transactions

Enable investors, existing shareholders to participate in diverse infrastructure assets

Unlock value in operating assets and eliminate the need for multiple listing by group companies.

GVK Power & Infrastructure Limited is a listed public company belonging to GVK, engaged in the business of
owning, operating, and maintaining power plants by itself and through its subsidiary/associate companies.

GVKPIL presently owns 53.96% in GVK Industries Limited which operates the 216 MW Jegurupadu Phase I
gas based power plant and the 220 MW Jegurupadu Phase II gas based project which is ready for
commercial operations. GVKPIL also owns 44.97% (to be increased to 51% in due course) in Gautami Power
(464 MW Gas based power plant) which is ready for commissioning.

About GVK

GVK is amongst India's largest infrastructure developers with experience and expertise spanning areas
including hospitality, manufacturing, power, roads, airports and urban infrastructure. Until date GVK has
invested over Rs. 5,000 crore in its various business and has on hand projects in the pipeline of over Rs.
12,000 crore.

The new structure post-reorganisation

The proposed Scheme envisages consolidation of holdings of Bowstring and Green Garden, direct and
indirect, in various operating companies into GVKPIL, the flag-ship company of GVK. Specifically, the
following interests are proposed to be consolidated as part of the Scheme of Amalgamation:

GVK Airport Developers Pvt. Ltd.: GVK Airport Developers is the holding company of GVK Airport Holding
which holds equity stake in Mumbai International Airport Pvt. Limited. MIAL has entered into Operating
Maintaining and Development Agreement with Airport Authority of India in April 2006 for developing
operating and maintaining the Mumbai airport. MIAL has been operating the Mumbai airport with effect from
3rd May 2006

Alaknanda Hydro Power Company Limited: Alakananda is developing a 330 MW Hydropower Project in the
State of Uttaranchal. Currently, the project is under the construction phase and the company has signed a
PPA with the Uttar Pradesh Power Corporation Limited.

GVK Power (Goindwal Sahib) Limited: Goindwal Sahib is developing a 600 MW coal based Thermal Power
Plant at Goindwal Sahib, in Punjab. The Company has initialed the draft Power Purchase Agreement with
Punjab State Electricity Board (“PSEB”) in December 2006.

Goriganga Hydro Power Private Limited: Government of Uttaranchal has awarded 200 MW Mapang
Bogudiyar and 170 MW Bogudiyar Sirkari Bhyol Hydroelectric Projects on River Goriganga in Pithoragarh
District in the State of Uttaranchal. Government of Uttaranchal has agreed for implementation of Single
Integrated Project i.e. combining both the above projects as 370 MW Mapang-Sirkari Hydroelectric Project.

GVK Jaipur Expressway Private Limited (GJEL): A segment of the Golden Quadrilateral National Highway
Development Project of Government of India. GJEL was incorporated for designing, engineering, financing,
constructing, operating, maintaining and widening the 90.385 km existing 2 lane project highway to 6 lanes
on the Jaipur - Kishangarh section of the National Highway No. 8 in the State of Rajasthan by entering into a
concession agreement with NHAI for a period of 20 years including construction period.

GVK Coal (Tokisud) Company Private Limited:

Tokisud was incorporated to undertake coal mining activity. Tokisud will supply its entire output to GVK
Power (Goindwal Sahib) Limited for its exclusive consumption.

Dividend Policy
Merger of Glaxo Wellcome and SmithKline Beecham

The Boards of Glaxo Wellcome plc and SmithKline Beecham plc announced on 17th January 2000 that
they had agreed the terms of a proposed merger of equals of the two companies, subject to shareholder
approval and regulatory clearance. Based on the relative stock market valuations of Glaxo Wellcome and
SmithKline Beecham in the months preceding the announcement of the merger, shareholders of Glaxo
Wellcome would hold approximately 58.75 per cent and shareholders of SmithKline Beecham
approximately 41.25 per cent of the combined group.
Following shareholder approvals, and clearance from regulatory authorities, the merger became effective
on 27th December 2000.
The merger was implemented by way of a scheme of arrangement. A new holding company,
GlaxoSmithKline plc, acquired Glaxo Wellcome and SmithKline Beecham. In accordance with the agreed
merger terms, shareholders of Glaxo Wellcome and SmithKline Beecham received, in exchange for their
existing shares, shares in GlaxoSmithKline as follows:

for each Glaxo Wellcome ordinary share – 1 GlaxoSmithKline ordinary share

for each SmithKline Beecham ordinary share – 0.4552 GlaxoSmithKline ordinary shares.
In the case of shares held as American Depositary Shares (ADSs), evidenced by American Depositary
Receipts (ADRs), each Glaxo Wellcome ADS represented two Glaxo Wellcome ordinary shares and each
SmithKline Beecham ADS represented five SmithKline Beecham ordinary shares. Each GlaxoSmithKline
ADS represents two GlaxoSmithKline ordinary shares. Accordingly holders of Glaxo Wellcome ADRs and
holders of SmithKline Beecham ADRs received:
for each Glaxo Wellcome ADS – 1 GlaxoSmithKline ADS
for each SmithKline Beecham ADS – 1.138 GlaxoSmithKline ADSs
GlaxoSmithKline shares commenced trading on the London Stock Exchange and GlaxoSmithKline ADSs
commenced trading on the New York Stock Exchange on 27th December 2000.

Taxation
As a general guide to shareholders, GlaxoSmithKline has received advice that the merger should not
have any direct effect on the tax position of UK resident shareholders or US resident shareholders.
Further information is contained in the Scheme Document issued to shareholders on 5th July 2000.
General information concerning the UK and US tax effects of share ownership is set out in ‘Taxation
information for shareholders’. Shareholders who are in any doubt about their taxation position should
consult their own professional advisers.

Dividends – Glaxo Wellcome and SmithKline Beecham

Dividends 2000
Both Glaxo Wellcome and SmithKline Beecham announced dividends in respect of the year 2000 prior to
the effective date of the merger on 27th December 2000.

20
00
pe
Glaxo Wellcome nc
e

1
Interim
5
Second interim 2
 3
Final -

3
Total dividend per Glaxo Wellcome share
8

The equivalent dividend per GlaxoSmithKline share is the same as the dividend per Glaxo Wellcome
share.
The record date for the second interim dividend was 22nd December 2000 in relation to Glaxo Wellcome
shares and 26th December 2000 in relation to Glaxo Wellcome ADSs. The second interim dividend will be
paid on 17th April 2001 to shareholders of Glaxo Wellcome at the record date and on 27th April 2001 to
ADR holders of Glaxo Wellcome at the record date.

20
00
pe
SmithKline Beecham nc
e

3.
First interim 0
0
3.
Second interim 0
0
3.
Third interim 0
0
4.
Fourth interim 5
0

1
3.
Total dividend per SmithKline Beecham share
5
0

2
9.
Total equivalent dividend per GSK share
6
6
The record date for the fourth interim dividend was 22nd December 2000 in relation to SmithKline
Beecham shares and 26th December 2000 in relation to SmithKline Beecham ADSs. The fourth interim
dividend will be paid on 17th April 2001 to shareholders and ADR holders of SmithKline Beecham at the
record date.

Dividends (ADSs)
As a guide to holders of ADRs, the tables below set out the dividends paid per ADS in US dollars in the
last five years. The dividends are adjusted for UK tax credit less withholding tax, where applicable, and
are translated into US dollars at applicable exchange rates.
Since 6th April 1999, claims for refunds of tax credits or dividends from the UK tax authorities are of
negligible benefit to US shareholders.

Glaxo Wellcome SmithKline Beecham

Year $

2000 1.10
1999 1.14
1998 1.19
1997 1.17
1996 1.16

Dividends – GlaxoSmithKline

GlaxoSmithKline’s dividend policy was set out in the merger documents issued to shareholders during
2000.
GlaxoSmithKline will initially pay dividends in line with Glaxo Wellcome’s 2000 dividend of 38 pence per
Glaxo Wellcome share, which is equivalent to 38 pence per GlaxoSmithKline share. Subsequently,
assuming earnings continue to grow, GlaxoSmithKline will at least maintain an annual dividend of 38
pence per share, whilst building dividend cover (the ratio between distributable profits and dividends)
towards the industry average, which is closer to SmithKline Beecham’s recent payout ratio of 40-50 per
cent than to Glaxo Wellcome’s higher payout ratio.
GlaxoSmithKline will pay dividends quarterly. It is expected that GlaxoSmithKline will normally follow the
pattern established by SmithKline Beecham of a level dividend for each of the first three quarters, with a
higher dividend in the fourth quarter.

Dividend Calendar

First quarter 2001

Results Announcement 24th April 2001

Ex-dividend date 2nd May 2001
Record date 4th May 2001
Payable 5th July 2001

Second quarter 2001

Results Announcement 24th July 2001

Ex-dividend date 1st August 2001
Record date 3rd August 2001
Payable 4th October 2001

Third quarter 2001

Results Announcement 23rd October 2001

Ex-dividend date 31st October 2001
Record date 2nd November 2001
Payable 3rd January 2002

Fourth quarter 2001

Results Announcement 14th February 2002

Share price

Share price 2000 GSK(£) GW(£) SB(£)

At 1st January 2000 - 17.50 7.90

High during the year - 21.10 9.55
Low during the year - 14.40 6.71
At 26th December 2000 - 18.42 8.33
At 31st December 2000 18.90 - -
Increase/(decrease) over year 5% 5%
Following the announcement of the merger between Glaxo Wellcome and SmithKline Beecham in
January 2000, the share prices of the two separate companies tracked closely together during 2000. Over
the period from 1st January 2000 to 26th December 2000, the day before the merger was completed,
both the Glaxo Wellcome share price and the SmithKline Beecham share price increased by five per cent.
Whereas over the year to 31st December 2000, the FTSE 100 index declined ten per cent.
The expected positive benefits of the merger and the strong operating performances from both
companies during the year helped Glaxo Wellcome and SmithKline Beecham to achieve an improved
share price performance relative to the UK stock market. In addition, investor sentiment shifted away from
technology sectors towards more defensive sectors such as pharmaceuticals during 2000.
Shares in GlaxoSmithKline started trading on 27th December 2000. Between 27th December 2000 and
15th March 2001 the share price decreased by two per cent to £18.00. This compares to a decline in the
FTSE 100 index of six per cent.

Market capitalisation
The market capitalisation of GlaxoSmithKline at 31st December 2000 was £117 billion. At that date
GlaxoSmithKline was the third largest company by market capitalisation on the FTSE index.
10 year share price performance

Figures from 31st December 1990 to 31st December 2000

Over the 10 years from 31st December 1990 to 26th December 2000:
• the Glaxo Wellcome share price increased from £4.24 to £18.42, an increase of 334 per cent
• the SmithKline Beecham share price increased from £1.55 to £8.33, an increase of 437 per cent
Over the 10 years from 31st December 1990 to 31st December 2000:
• the FTSE 100 Index increased from 2143 to 6222, an increase of 190 per cent