As we celebrate 20 years, we look back with a sense of pride at how
 much we have achieved over the last two decades, growing from a
 fledgling enterprise to one that is respected globally.
 
 Dear Friends,
 
 In the life of any individual, the first twenty years are significant.
 It is the period when one grows from total dependence on others to
 taking ones first steps, finding ones way around and finally reaching
 adulthood and maturity, ready to take on the world. In the challenging
 journey through life, one accomplishes multiple milestones and eaves
 behind inspiring imprints for future generations.
 
 The same with Strides. Today, as we celebrate 20 years, we look back
 with a sense of pride at how much we have achieved over the last two
 decades, growing from a fledgling enterprise to one that is respected
 globally. The partnerships that we have built along the way testify our
 commitment to excellence. Today, we are ready for a credible growth
 trajectory, leveraging emerging global opportunities.
 
 The global pharmaceutical industry is witnessing an evolution in
 strategy and operations against the backdrop of an increasingly
 integrating world. Integrating in terms of markets, knowledge,
 infrastructure and regulatory compliance.  The catalyst behind this
 integration is discovering unknown synergies. We have been consistently
 taking advantage of these value streams to drive growth.  Value streams
 of partnerships, multi- locational facilities, research and development
 and above all our people.  These synergies have enabled us to widen our
 visibility in multiple domains. Our partnerships are now
 multi-dimensional: strategic, research and development- oriented and
 even regulatory. Our growth momentum is driven by both specialty and
 pharma businesses, supported by a strong licensing income. We also want
 to emerge as a major player in branded pharmaceutical business.
 
 Agila
 
 Agila represents our prime focus and reflects our objective to emerge
 as a significant player in the sterile segment.  Sterile injectables
 constitute 46% of the total drug shortage in the USA. This is primarily
 due to process complexity and relatively long gestation, with very few
 players having the capability to make sterile injectable products. We
 are consistently developing a pipeline for drugs, which are part of the
 FDA shortage list.
 
 A significant portion of our revenue will be allocated for the
 manufacture of specialised sterile products (US-patented products whose
 patents will expire by 2015).
 
 Moving up the value chain
 
 We acquired 70% stake in Inbiopro Solutions, a Bangalore-based
 biotechnology firm. This acquisition marks our foray into biologics,
 strengthening our offering in the Specialty segment. This acquisition
 will enable us to leapfrog in the fast growing and complex
 biopharmaceutical industry, without having to start from scratch.  A
 decidedly significant advantage in the oncology domain would be
 providing opportunities for licensing income in the coming years.
 
 Financial achievements
 
 In FY2010, we enhanced our revenue to Rs.17,655 Million, compared with
 Rs.13,283 Million in FY2009. We launched new products, increased
 licensing income and strengthened partnerships. Strides Arcolabs
 EBITDA was Rs.3,963 Million in FY2010, compared to Rs.2,105 Million in
 the last fiscal, and a net profit of Rs.1,224 Million in FY2010 against
 Rs.1,097 Million in FY2009. We also successfully placed USD 100 Million
 (Rs.4,550 Million) QIP in FY2010.
 
 Next altitude
 
 We have now the experience, capability and the commitment to scale the
 next altitude. We have already begun our preparations to make it a
 reality and have identified our set of priorities:
 
 .Encourage filings in various regulated markets through research and
 development focus
 
 .Develop our value chain, along with partners in emerging markets like
 Africa, Brazil, India, Indonesia and Turkey, among others
 
 .Enhance focus on Specialty business for regulated markets through
 partnerships
 
 .Concentrate more on non-Specialty segment for emerging markets,
 catering to the end customer through our own distribution network
 
 .Drive organic growth in the UK, Canada, Indonesia and Turkey
 
 .Upgrade operational facilities and supply chain capabilities
 
 We want to be positioned as an innovation-focused organization to make
 affordable drugs for people across the world. We are living in exciting
 times when global growth is driven by developing economies. Hundreds of
 thousands of more people are breaking the shackles of poverty and
 backwardness in these countries with the hope for a better quality of
 life.  At Strides, we are committed to deliver, while continuing with
 our partnership and research capabilities to access new markets to
 spread the message of wellness.
 
 Arun