Chapter 3

Company Profile
About Hero Moto Corp Ltd.

Hero Moto Corp Ltd. Formerly Hero Honda is an Indian

motorcycle and scooter manufacturing based in New Delhi,

India.

Hero MotoCorp Ltd is the world's largest manufacturing of two

wheeler based in India.

In 2001 company achieved the covered position of being the

largest two wheeler manufacturing company in India and also,

'The World's No. 1' two wheeler company in term of unit

volume sale in a calendar year. It maintains global industry

leadership to date till now.

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Vision

The story of herohonda began with a simple vision - the vision

of a mobile and an empowered India, powered by its two

wheelers. Hero Moto Corp Ltd. company's new identity reflect

its commitment towards providing world class mobility solution

with renewed focus on expanding company's foot print in global

arena.

Mission

Its mission is to become a global enterprise fulfilling its

customer needs and aspiration for mobility, setting a bench

marks in technology, styling and quality so that it convert its

customer into its brand advocate. It will continue focus on value

creation and enduring relationship with its partner.

Key Strategy

> Hero MotoCorp key strategies are to build a strong product

portfoho.

> Explore growth opportunities globally.

> Improve its operational efficiency continuously.

> Aggressively expand its reach to customer.

> Continue to invest in brand building activities.

> Ensure customer and shareholder delight.

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Brand

The new hero is arising and is poised to shine on the global

arena. Company's new identity "Hero Mota Corp Ltd." is truly

reflective of its vision to strengthen focus on mobility and

technology and creating global foot print.

Building and promoting new brand identity will be central to all

its initiatives, utilizing every opportunities and leveraging its

strong presence across sports, entertainment and ground level

activation.

Manufacturing

Hero Moto Corp Ltd. two wheeler are manufactured across 4

globally benchmarked manufacturing facilities. Two of its

abased at Gurgoan and Dharuhera which are located in the state

of Haryana in northern India.

The 3'"*^ manufacturing plant is based at Haridwar, in the hill

state of Uttarakhand; the latest addition is the state of art Hero

Garden Factory in Neemrana, Rajasthan.

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Distribution Networli

India's largest two wheeler maker Heromoto Corp today

launched six of its best selling bikes here as part of its target to

clock 1.2 million unit salesfromglobal business by 2020.

The two wheeler rolled out today include the 100 cc bikes -

Splendor, I Smart, Eco Deluxe and Passion Pro, the 125 cc -

Glamour, 150 cc - Hunk and 225 cc Karizma ZMR. The bike

will be sold in 120 outlets spread across the country.

The Company's growth in the two wheeler market in India is the

result of an intrinsic abihty to increase reach in geographies and

growth market's. Heromoto Corp extensive sales and service

network now span over to 6,000 customer touch points.

These comprise a mix of authorised dealership, service and

space parts outlet and dealer appointed outlet across the

Country.

"Colombia is one of the two wheeler market in South America

and therefore it is going to play a significant role as we continue

to expand our footprint in the region.

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Hero Moto Corp is also setting a manufacturing plant in

Colombia. It also became first two wheeler company in

Colombia to offer 4 year warranty on all its models.

Key Policies

A company that believes in maintaining ecological standards

along with business standards.

"We must do something for the community from whose land we

generate our wealth." - Chairman Dr.Brijmohan Lall Munjal.

At Hero MotoCorp, our goal isn't limited to business but

encompasses the broader spectrum of serving humanity through

social initiatives. Hero Moto Corp takes a stand as a socially

responsible enterprise respectful of its environment.

Hero Moto Corp has been strongly devoted not only to

environmental conservation programs but also expresses the

increasingly inseparable balance between economic concerns,

environmental and social issues faced by business. A business

must not grow at the expense of mankind but must serve

humankind at large.

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 Environment Policy

We at Hero MotoCorp have been

committed to demonstrate excellence

in our environmental performance on a

continuous basis, as an intrinsic

element of our corporate philosophy.

To achieve this we commit ourselves to:

• Integrate environmental attributes and cleaner production in

all our business processes and practices with specific

consideration to substitution of hazardous chemicals and

strengthening the greening of supply chain.

• Continue product innovations to improve environmental

compatibility.

• Comply with all applicable environmental legislation and also

controlling our environmental discharges through the

principles of "alara" (as low as reasonably achievable).

• Institutionalize resource conservation in the areas of oil,

water, electrical energy, paints and chemicals.

• Enhance environmental awareness of our employees and

dealers / vendors, while promoting their involvement in

ensuring sound environmental management.

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Quality Policy

Excellence in quality is the core value of Hero MotoCorp

philosophy.

We are committed at all levels to

achieve high quality in vv^hatever we do,

particularly in our products and services

which will meet and exceed customer's

growing aspirations through:

Innovation in products, processes and services.

Continuous improvement in our total quality management

systems.

Teamwork and responsibility.

Safety Policy

We believe that safe work practices

lead to better business performance,

motivated workforce and higher

productivity.

We shall create a safety culture in the organization by:

> Integrating safety and health matters in all our activities.

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• Promoting safety and health awareness amongst employees,

suppliers and contractors.

• Continuous improvements in safety performance through

precautions be sides participation and training of employees.

• Ensuring compliance with all applicable legislative

requirements.

• Empowering employees to ensure safety in their respective

work places.

Vigil Mechanism / Whistle Blower Policy

Im Hero MotoCorp Limited (hereafter

referred to as "HMCL" or

"Company" in this document)

believes in promoting a fair,

transparent, ethical and professional

work environment. While the HMCL code of conduct defines

the expectations from employees in terms of their integrity and

professional conduct, the vigil mechanism defines the

mechanism for reporting deviations from the standards defined

in the code.

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Remuneration Policy

The remuneration policy of the

Directors has been designed to keep

pace with the business environment

and market Hnked positioning. The

Remuneration & Nomination

Committee determines and recommends to the Board the

compensation payable to Directors. Remuneration for the

Executive Directors consists of a fixed component and a

variable component linked to the long term vision, medium

term goals and annual business plans.

Related Party Transactions Policy

Hero MotoCorp Ltd. (hereinafter

referred to as HMCL or the company)

recognizes that Related Party

Transactions can present potential or

actual conflicts of interest and may

raise questions about whether such transactions are consistent

with the Company and its shareholders' best interests and in

compliance to the provisions of the Companies Act, 2013 and

Clause 49 of the Listing Agreement.

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Corporate Social Responsibility Policy

The Board of Directors (the "Board") of

^Jit A Hero MotoCorp Limited (the

"Company") has adopted the following

policy and procedures with regard to

Corporate Social Responsibility. The

Board may review and amend this policy from time to time

subject to the recommendations of Corporate Social

Responsibility Committee.

Code of practices and procedures of fair disclosure of

unpublished price sensitive information

Code of practices and procedures of

fair disclosure of unpublished price

sensitive information

[Pursuant to Regulation 8(1) of SEBI

(Prohibition of Insider Trading)

Regulations, 2015]

[As approved by the Board of Directors of the Company at its

Meeting held on May 7, 2015 and applicable from May 15,

2015]

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Policy On Material Subsidiaries

The Board of Directors (the "Board")

of Hero MotoCorp Limited (the

"Company") has adopted the

following policy and procedures with

regard to determination of Material

Subsidiaries. The Board may review and amend this policy

from time to time.

Policy for Preservation of Documents & Archival

This Policy aims to preserve

Documents /Records maintained by

the Company either in Physical

Mode or Electronic Mode

(hereinafter referred to as "the

Documents"). This Policy has been formulated in accordance

with the Regulation 9 of the Securities and Exchange Board of

India (Listing Obligations and Disclosure Requirements)

Regulations, 2015 (Listing Regulations). The Policy shall come

into effect from December 1, 2015.

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Policy on Disclosure of Material Events by the Listed Entity

'^^ The Policy aims for disclosure of

important and material events of the

Company to the Stock Exchange(s),

where the equity shares of the

Company are listed, to stakeholders

in compliance with the provisions of Regulation 30 of the SEBI

(Listing Obligations and Disclosure Requirements) Regulations,

2015 (hereinafter referred to as the "Listing Regulations") and

SEBI circular no. CIP^CFD/CMD/4/2015 dated September 9,

2015 (hereinafter referred to as the "SEBI circular"). The Policy

shall come into effect from December 1, 2015.

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