Dear Members,
 
 I would like to take this opportunity to welcome you all once again.
 This is the second year of the company in its new status as a listed
 entity and the first year of full operations after it was listed during
 last financial year.
 
 Your support and confidence in us is integral to our achieving the
 vision of your company being a “Maritime Masterpiece”.
 
 The last year has been a year of enormous turbulences and upheavals in
 the world markets and economy, which has shaken even the best.  However
 the strategy laid out by your company has helped it to not only take
 big strides forward but also set up the stage for the future to take
 care of any further such trends.
 
 Ever since our inception we have steadily been expanding our capacity,
 capability and businesses and the past year has been no exception
 despite significant challenges in the market and economic conditions.
 Last year I had informed you about the infrastructure facilities, the
 material handling equipments and the new terminal being constructed.
 
 Further to that it gives me pleasure to state that the mechanisation of
 fertiliser / FRM, steel and coal handling has been achieved. The online
 bagging of fertilisers, the Goliath crane handling of steel plates and
 pipes as well as fully mechanized coal handling system are all steps
 towards better efficiency making the port one of its kind in the
 private sector. Under overall port limit, in Mundra Port there are four
 ports, North, South, East & West Port. The West Port for complete coal
 handling is on its way for completion as planned. The railway line has
 been extended nearer to the new coal terminal and thus the rail
 connectivity is complete at the port and entire SEZ area. The receipt
 and despatch yard has gone up from 5 to 10 lines.
 
 The master plans for complete development of the unique and the only
 port to have a 40 km waterfront in India are being drawn and the
 business proposition for adding new capacities being studied. The
 environmental clearances for the first phase of full 40 km water front
 have been received. Plans are on for expansion of bunker terminal,
 edible oil terminal, warehouses, two berths for dry cargo & doubling
 the rail line between Adipur and Mundra which will enhance the carrying
 capacity and resultant increased business.
 
 The Outside-in focus which I mentioned last year has enabled all the
 three business verticals to show signifi cant developments. The port
 business has grown significantly. During the year the three notified
 areas have been combined into one multi product SEZ. Nine units have
 been given permission to set up their manufacturing and service
 facilities during the year in the SEZ. On the infrastructure
 development front, several entities have been approved as co-developers
 for setting up hotels, hospitals, schools and other infrastructure
 facilities. Moreover water treatment plants and water and power
 distribution network has been set up. The logistics business also has
 made its own special mark as a quality total logistics solution
 provider.
 
 On the performance front, I am pleased to mention that the revenues
 have shown an increase of 38.73%, registering total revenue of over Rs.
 1135 crores; the profit after tax has risen by 116% to Rs. 461.08
 crores, EPS is at Rs. 11.51. Cargo volumes have improved across all
 business segments -cargo handled rose from 28.80 million tons in
 2007-08 to 35.72 million tons in 2008-09 which shows a growth of 24.03%
 year on year
 
 We have seen a meltdown all over the world not just of economies but
 also equally in corporate governance matters. However I believe that
 the high standards of corporate governance and transparency being
 practiced by us, adhering to the best industry practices sets us apart.
 
 The management has a vision of Pan India presence in ports. We have
 been marching towards that goal with the port at Mundra already
 handling 36 million tons. Dahej port is on stream and should be
 operating middle of next year. Goa port development is next on the
 horizon. With this the west cost presence would be signifi cant. On the
 east coast well there are strategic steps being taken to develop both
 green field projects as well as existing ports and the next year should
 be a significant year in that aspect.
 
 We have also taken a host of quality, health safety and environment
 (QHSE) initiatives which are at the very core of the port business.
 
 The Group is very conscious about its values. Our commitment to
 achieving goals as well as our value driven processes are our core
 strengths. The group always acts as a responsible corporate citizen.
 The Adani Foundation plays a pivotal role in bringing about sustainable
 development in and around its area of operations. The Group aims to
 enhance the quality of life of the surrounding communities. We have
 initiated the process for rural underground drainage system, free
 health check ups, initiatives to develop the girl child, better
 sanitation, ITI upgradation in Mundra.
 
 The Group also endeavours to create Institutes of excellence in various
 fields of higher education and with that in mind has ventured to
 establish a medical college at Bhuj as a Public Private Partnership
 Project. I am happy to inform you that we have obtained necessary
 government approvals and completed all required formalities for
 starting the medical college from August 2009 with total intake of 150
 students in the 1st year MBBS for the academic year 2009-10. Adani
 Institute of Infrastructure Management (AIIM) will also commence this
 year.
 
 The management is committed to high standards of operation and hence
 has further strengthened the management set up and has appointed a
 whole time director with vast experience to head the operations and
 strategise the future. The hunt for the right talent is ever on and I
 am proud to say that we have some of the best talent in the industry
 with people who are committed and dedicated to the task and goals on
 hand and would help in achieving the vision envisaged.
 
 I would like to express my gratitude to this huge family of
 shareholders, bankers, and investors for their unstinted support which
 strengthens our commitment of creating a sustainable long term value to
 all stakeholders. I am also thankful to the state and central
 governments who have also laid out pro development plans.
 
 Our key values - trust, courage and innovation are well entrenched in
 all that we do. We believe that tough times don’t last for long but
 tough people do. It gives me great pleasure when I receive appreciation
 letters from our dear members and when they assure their continued
 support in all circumstances.
 
                      And I still say that this is just the beginning
 
                                                  Sincere Regards
                                                  Gautam S. Adani
                                                         Chairman
                                                            ADANI