Dear Shareholders,
 
 The defining focus for the global economy over the past year has been
 the slow road to recovery, and even as governments and policy makers
 tried to make this a sustainable recovery, the central issue facing the
 world today remains energy and how we meet our growing need for it.
 
 The evidence is clearly before us, there are today 1.5 billion people
 around the world with no regular access to power–no light, no 
 electricity for basic day-to-day appliances, and no power to
 operate machines for agriculture, or to pump water.  A lack 
 of access to energy for them results in no access to food, 
 water or decent health facilities.
 
 Sustainable development requires we not only focus on urban
 development, but bringing basic – and essential – development to those
 who need it the most.
 
 With sustainable development as a clear priority alongside climate
 change and energy security concerns, a roadmap to a sustainable energy
 mix is clearly a global priority.
 
 Over the past year the wind energy sector has continued to consolidate
 its position as a mature, cost effective and increasingly mainstream
 source of power. Global macro- economic trends have had a visible
 impact on the growth of the sector with growing momentum in emerging
 markets, and offshore wind showing strong promise in select mature
 markets.
 
 The increasingly large scale of projects and advances in technology,
 alongside external factors like increasing volatility in fossil fuel
 supplies and prices, have reinforced wind''s position as a cost
 competitive power source in comparison with conventional fuels.
 Industry estimates show that the cost of wind power has come down by
 over 30 per cent in just the last three years, and a recently published
 report by the US Energy Information Administration projects that, by
 2016, wind will be cheaper than even coal in pure
 cost-per-kilowatt/hour terms.
 
 However, wind today competes as not only a cost effective energy
 source, but as a sustainable, environment-friendly and long-term energy
 solution. With the developing world''s ever increasing need for power,
 and the global need for more secure energy supplies – there is no doubt
 that wind will be the key renewable resource for the world in the
 years to come.
 
 This is reflected in the rapid growth of wind in key growth markets the
 world over. Emerging markets have delivered strong growth, India – our
 home market – showed strong momentum which we see continuing over the
 mid-term.  Other emerging markets, such as Brazil, China and South
 Africa, offer strong potential and remain a priority for us. Our depth
 of experience in emerging economies, as well as our unique business
 model, put us in an extremely strong position to compete in these high
 growth markets.
 
 While some developed markets continued to present a challenging
 environent due to macro-economic challenges, Europe''s 20 per cent by
 2020 renewable targets, alongside developments like Germany''s recent
 decision to shut down its nuclear plants and Australia fixing a price
 for carbon – have all put in place strong drivers for the wind sector.
 With Europe''s limitations in land area, the opportunity for this growth
 is clearly offshore. And with REpower''s leadership in offshore wind
 technology, this is again a market we are well positioned in.
 
 Looking at our business performance, we have over the past year focused
 on driving improvements on all our key operational parameters – and the
 results are clearly seen in the steady improvement in our Group
 performance over the fiscal.
 
 In terms of strategic priorities, with a challenging global economic
 environment and a highly competitive wind market – we have placed a
 high priority on technology and innovation with a focus area lowering
 the cost for energy from wind making wind more competitive, and
 therefore more mainstream.
 
 As part of this strategic focus on technology, we have over the
 year successfully taken to market the Suzlon S9X suite and the REpower
 3XM, both of which have found wide marketplace acceptance and major
 orders. These turbines have been designed with improved aerodynamic
 efficiency, larger rotor diameters and increased hub heights to deliver
 greater Plant Load Factor (PLF) and yields in medium-to-low wind
 regimes.  These products are key to our future growth strategy as the
 wind sector shifts from high-wind sites – which are in now in
 relatively short supply the world over – to the more abundant
 medium-to-low wind speed sites. With these new offerings and our fleet
 availability (uptime) maintained at over 97 per cent, we present a
 compelling and attractive value proposition to ourcustomers.
 
 In another key step forward, we crossed the 95 per cent holding in our
 German subsidiary, REpower Systems SE, allowing us to trigger
 squeeze-out proceedings towards achieving 100 per cent ownership.
 REpower, with its leadership in offshore technology – with offshore
 wind energy projected to grow at nearly 40 per cent CAGR – and
 strong position in key developed markets, forms an important parto four
 strategy.
 
 Looking ahead, I believe we are strongly positioned to compete and win
 in the global marketplace. We have focused our effortson fivekey areas:
 
 First, market positioning: our decision to focus on emerging markets
 like Brazil, China, India and South Africa, and Europe and UK for
 offshore, has clearly been well founded with these markets driving
 growth for the entire sector. With our global reach, customer
 relationships with 11 out of the top 15 wind customers, high
 reliability and uptime, 17 GW of installations – including 220 MW
 installed and nearly 600 MW in development offshore – we present a
 compelling value proposition.
 
 Second, product portfolio: from the latest S9X and 3XM offerings, to
 the REpower 6M – the world''s largest commercially available wind
 turbine – we have the the widest product portfolio, and a turbine for
 every type of site in the world.
 
 Third, low-cost manufacturing and supply chain: with our manufacturing
 base concentrated in low-cost countries we have among the lowest
 production costs in the industry. At a time when the wind industry is
 still exploring manufacturing in India and China, we are successfully
 leveraging our well developed and mature lowcost supplychain in these
 countries.
 
 Fourth, consolidation: with the current economic climate there is an
 opportunity for consolidation in the sector; at Suzlon we have the
 opportunity to achieve this within the Group. We have rationalized and
 strengthened internal processes, leading to improved efficiency and
 effectiveness across all keyoperational parameters.
 
 Fifth, performance: we have placed a strong emphasis on strengthening
 our balance sheet, optimizing our debt profile, and building a strong
 orderbook. We believe that the steady and consistent improvement in our
 Group financial performance over the past five quarters underscores
 that we are headed in the right direction, and that our strategy is
 delivering.
 
 Looking at the big picture, what all this adds up to is our commitment
 to powering sustainable development the world over. With over 17 GW of
 wind turbines already installed, and new projects going into the ground
 every day, we are helping generate the power that will drive the
 sustainable,low carbon economy of tomorrow.
 
 I firmly believe we are on the road to a bright future, and on behalf
 of the entire Suzlon family – 13,000 strong and working across 32
 countries on six continents – I thank you for your support,
 perseverance and encouragement in making a greener tomorrow a
 reality, today.
 
 Regards,
 
 Tulsi R. Tanti
 
 Chairman and Managing Director
 
 Pune, June 2011