SANRAA MEDIA LIMITED
ANNUAL REPORT 2008-2009
LETTER TO SHAREHOLDERS
It gives us great pleasure in communicating with you at the end of this
eventful and successful financial year.
Outlook for the Industry:
We are in the midst of unprecedented economic upheaval, triggered by the
sub-prime mortgage crisis happened in United States.
The global economy entered its critical phase during September 2008
following the collapse of international large financial institutions. It
has thrown its cascading effect into almost all segments of the global
economy irrespective of the country. Despite, the global Media and
Entertainment (M&E) industry is experiencing a steady growth, and is
estimated to increase at 6.6% compound growth rate (CAGR) to $1.8 trillion
in 2010, according to Price water house Coopers' 'Global Entertainment and
Media Outlook: 2006-2010' report. The U.S. remains the largest E&M market,
growing at a CAGR of 5.6% reaching US$ 726 billion in 2010. Video games and
the Internet will be the fastest-growing segments, with compound annual
increases of 8.9% and 8.4% respectively. Canada is projected to expand at a
5.9% CAGR to US$ 41 billion in 2010.
The year 2008-09 showed growth for the Media and Entertainment industry as
a whole except for the last quarter which was impacted by the economic
slowdown and liquidity crunch. The Indian M&E industry stood at INR584
BILLION IN 2008, a growth of 12.4 per cent over the previous year. Overthe
next five years, the industry is expected to grow at a CAGR of 12.5 percent
to reach the size of INR 1052 billion in 2013.
(FICCI-KPMG Media & Entertainment Industry Report)
Sprucing up for a brighter future
You would be happy to note that during the year your company has under
taken the following measures to take the operation of the company to its
As stated in previous year's letter to shareholders, your Company has
changed its name to 'SANRAA MEDIA LIMITED' with effect from 23rd October
2008, in pursuant to the members' approval in the 12th annual general
* Your company has successfully struck a 2 million-pound co-production deal
with Endemol UK PLC, London for the production of the 3D Animated Series -
'The 99' which is termed as 'a landmark co-production deal' by THE HINDU.
* Your company, apart from the regular product development and web
solutions, successfully engaged in various projects, the major among them
are, 'the 99' and an ASEAN Based Project.
Your company has made significant growth in trading of media content during
Your company has developed a new facility across a sprawling area that can
house around 500 people, at Perungudi, situated at the IT corridor of
Chennai. The facility was launched by Honorable Minister for Information
Technology, Government of Tamil Nadu Dr. Tmt. Poongothai Aladi Aruna,
amidst representatives and enthusiasts of Gaming, Animation and Production
businesses. British Deputy High Commissioner, Mr. Mike Connor was the
Guest of Honour at the function.
The existing facility situated at Ekkattuthangal is equipped with latest
The Road Ahead:
We believe our efforts will enhance the Shareholder value of the Company
further in the near future.
Your Company with its ever growing and glowing team of talents looks ahead
to enter into the next phase of growth and to place itself as a global
entity in the field of media and entertainment industry. The Board is
confident that the quality content of your company's products and services
will set a new paradigm in the Media & Entertainment Industry. The Board
and the employees are looking forward to the challenges of this task.
We thank you for placing the faith in the Company. We look forward to a
continued support from you to steer the company to great heights.
For and on behalf of the Board
Date : 4th September 2009 A. Venkatramani