PRESS RELEASE

Sundaram Finance BPO arm to foray into Tier 2 city in Tamil Nadu SBS to open new BPO facility in Madurai Plans to hire 500 employees in Madurai in 12 months

Chennai 28th January 2008: Chennai headquartered SBS (Sundaram Business Services), the BPO arm of leading financial services company, Sundaram Finance, has announced its first expansion into a Tier 2 city with the setting up of a BPO facility in Madurai.

SBS’s new 12000 sq. ft BPO delivery facility will come up in the heart of Madurai city and will become operational by the middle of next month. As part of this expansion into Madurai, SBS plans to hire over 500 employees for its Madurai facility over the next 12 months.

To kick off its Madurai operations and as phase 1 of its expansion, SBS will initially provide policy administration services for one of its leading Life Insurance customers from out of its Madurai facility.

SBS currently has BPO facilities in Chennai, Mumbai and Delhi. In July 2007, SBS picked up a majority stake in Chennai based BPO Professional Management Consultancy (PMC) that doubled its headcount to over 1600.

SBS has a strong presence in the domestic BPO market in the BFSI and Manufacturing space. SBS also has a strong presence in the Australian outsourcing market.

Commenting on the infrastructure expansion, P.S. Raghavan, Executive Director, SBS said, “ This infrastructure expansion into Madurai is on the back of a few important domestic outsourcing deals we have won in recent months. Also, a few of our existing customers in India, in the financial services space, have expanded their outsourcing engagement with SBS.”

SBS offerings include accounting services, credit processing, deposit processing, employee administration and Insurance related processing services. In keeping with Sundaram Finance’s core philosophy of ‘ Do what you know best’, SBS focuses on ‘Non-Voice’ support services.

On the reason for choosing Madurai for its latest BPO facility, P.S Raghavan said, “ Madurai’s infrastructure is impressive for a city of its size. The city has a robust public transportation system, and a well-developed intra and inter-state bus and railway systems. With well established and renowned educational institutions, the city offers quality talent pool for us to tap into as we expand our BPO presence.”

Apart from BFSI, where its core strengths lie, SBS also offers services such as accounts payable and payroll outsourcing. In the payroll space, SBS services over 8000 employees, while in the accounts payable space, SBS handles well over 1 lakh transactions annually.

On the outlook for its BPO arm, T. T. Srinivasaraghavan, Managing Director, Sundaram Finance said “We are pleased with the progress SBS has made last year. The integration with PMC is on track. With the current expansion into Madurai, Sundaram BPO will take its headcount to over 2500 employees this year. On the overseas front, we will continue to expand our presence in Australia, where we have established a strong client base in the accounting services space.”