Dear Valued Shareholders

The year gone by was undoubtedly an exceptional one with the Covid-19 pandemicaffecting normal life for extended periods across the globe. At Polyplex it became ourresponsibility and highest priority to ensure the health of our employees while securingour business operations. Despite the various challenges posed by this event includingglobal supply chain disruptions the Company managed to deliver much improved results.

The reported sales and other income were up 9% at H 49.77 billion fueled by 12% highersales volume and partly offset by decline in selling prices induced by lower raw materialprices. The Normalized EBITDA (profit before interest tax depreciation and exceptionalitems adjusted for unrealized FX gains/ losses on long term loans) was higher by 35% at H12.70 billion. Higher cash flows from operations and a strong & liquid balance sheetwith negative leverage (net cash positive) provide financial flexibility to access growthopportunities. The year under review also saw multiple dividend payouts as well as abuyback as the Company sought to deploy its surplus liquidity equitably.

The impending start-up of the BOPP film line in Indonesia will contribute to futureearnings growth besides consolidating our global leadership in the flexible packagingsegment. The new brownfield BOPET film line investment in the USA will help pave the wayfor Polyplex to consolidate and strengthen its position in North America. Several ongoingsmaller investments aimed at increasing our competitive edge with increasing share ofspecialty products and improving our productivity will provide further stimulus to ouroperations in the next 1-2 years.

The Company’s geographically diversified manufacturing and distributionoperations along with its broad-based product portfolio with an increasing share ofspecialty products has proven yet again to be one of its greatest assets which has notonly helped us navigate these difficult times including supply chain disruptions andincreasing preference for domestically sourced material but also enabled the Company tocapitalize on the right opportunities.

Innovation has been one of our key strengths and differentiators. We have been focusingon the sustainability and circular economy for a long time and ahead of any regulatorydevelopments. The expansion underway at Ecoblue for recycling post-consumer PET andPolyolefin waste and the investments in chemical recycling capability at Turkey andThailand demonstrate the Company’s continued commitment to Sustainability &Innovation besides growth.

On behalf of the Board we would like to thank all the shareholders and otherstakeholders including business partners and the employees of the Company for theircontinued support and efforts.

Pranay Kothari

Chief Executive Officer

Sanjiv Saraf

Chairman