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Mahindra announces entry into Construction Equipment Business

Synopsis: Unmatched fuel economy & warranty Equipped with REMOTECARE* – unique customer centric proposition Meets stringent global emission norms Project cost of this new business is Rs. 300 crore.

February 7, 2011, Mumbai: Mahindra & Mahindra Ltd., India's leading utility vehicle and tractor manufacturer, today announced its entry into the Construction Equipment business with the launch of the Mahindra EarthMaster Backhoe Loader. The project cost of the Construction Equipment business is around Rs. 300 crore.

Speaking at the launch of the Construction Equipment business, Dr Pawan Goenka, President, Automotive & Farm Equipment Sectors, Mahindra & Mahindra, said, am pleased to announce Mahindra's entry into a large, fast growing and profitable construction equipment industry with the launch of its first product in this category the EarthMaster Backhoe Loader.

The Mahindra EarthMaster is an outcome of 36 months of development and is loaded with technology not hitherto seen in this product segment in India. With EarthMaster we are ushering in a new era of performance, comfort and ease of operation in backhoe loaders.

The Mahindra EarthMaster has undergone over 20,000 hours of rigorous testing in the harshest of terrains and for the toughest of applications. It has been validated on all performance, safety and reliability parameters. It is backed by Mahindra's dealer network,

which will have unparalleled reach across the country. India is the world's largest backhoe loader market with over 25,000 units expected to be sold in this fiscal, and we hope to create a mark in this fast growing segment, said Mr. Kairas Vakharia, Business Head, Construction Equipment, Mahindra & Mahindra Ltd.

The Mahindra EarthMaster will be manufactured at Mahindra's state-of-the-art facility at Chakan, Pune. Mahindra's Product Development team has utilized extensive consumer insight and feedback to develop this product which is built to withstand India's rough terrain and heavy usage. In addition, the product offers cutting edge features using the latest vehicle systems and technologies at prices that are within reach of the mass market.

The Mahindra EarthMaster comes with a 2 year unlimited hours warranty which keeps contractors free from anxiety about expensive repairs that are normally associated with earthmoving machinery. The company has put in place a dedicated sales and service network to cater to its Construction Equipment customers. This will include over 200 Dealer Sales, Service and Spare Parts outlets, over 200 service vans to reach customers at their sites, 12 Area Offices, one Central Parts Warehouse & 10 Regional Parts Warehouses to supply dealers and a call center supporting nine languages.

About the Mahindra EarthMaster Backhoe Loader

The Mahindra EarthMaster presents the discerning Indian customer with the choice to BREAKFREE from the limitations of dated technology. Equipped with superior technology coupled with unmatched fuel economy, superior style and operator comfort and REMOTECARETM, the Mahindra EarthMaster offers a host of benefits to the earthmover and is the ideal machine for all heavy duty applications like excavation, loading, grading, dozing and cutting.

DITEC Engine The Mahindra EarthMaster is powered by Mahindra's DITEC Engine, a compact 3.3 litre engine which delivers best in class 83 HP (Ps) power. The construction of the DITEC engine combining Direct Injection (DI) with Turbo charger & Intercooler (TCI) delivers over 10% fuel savings per hour allowing Earthmoving contractors to lower their operating cost in a very competitive contracting and hiring business. The DITEC engine is packed with the latest technology for minimizing emissions that even meets USA Tier III emission norms, the most stringent in the world.

Two Year, Unlimited Hours Warranty Mahindra EarthMaster offers a 2 year unlimited hours warranty which allows customers to BREAKFREE from anxiety about expensive repairs. This unprecedented warranty on Mahindra EarthMaster is possible due to Mahindra's engineering and manufacturing capability, backed up by a grueling testing regime and sourcing of the best components.

*Machine operating information on the mobile through REMOTECARETM The REMOTECARE feature takes freedom to the next level. It is an intelligent communication system that keeps the business owner or manager constantly informed about the machine through mobile phone based SMS updates. This allows customers to BREAKFREE from lack of control over their business, and manage their fleets from the comforts of their office, car or home. Be it business information like daily work reports, or warnings like low fuel, filter clogging, engine oil pressure, customers get constant updates about their Mahindra EarthMaster 24X7 Futuristic Styling, Superior Comfort and Convenience The Mahindra EarthMaster comes with stylish 21st century looks leading to a great reputation for the customer and his business and an attractive place to work for his operator. The car like interior of the cabin is created using well designed consoles, and the latest front and side instrument clusters. Special care has been taken to design the Mahindra EarthMaster for all around visibility in day and night time. A deluxe seat with arm rests allows for comfort and working long hours. Personal storage areas and a stylish tool box conveniently located at the rear of the cabin, keep the work area neat and clear of clutter. With the FM Radio, operators can listen to their favorite songs as they make the Mahindra Earthmaster work for them.

Zero Fatigue Operation from a Machine that Talks. With Mahindra EarthMaster, Effortless is redefined. Primitive, tough to operate levers are a thing of the past with Mahindra EarthMaster. Only Mahindra EarthMaster offers specially designed joysticks that are not only easy to use but also minimize fatigue, thus allowing operators to work long hours. The machine has a new age digital cluster that helps the operators identify and trouble shoot problems. Operators in different regions of India can read messages and listen to warnings in 6 different languages, in addition to the standard warning indicators. Now that's Simplifying life

Third Generation Hydraulics Backhoe loaders that are normally found in India do not allow operators to undertake multiple movements simultaneously, nor are they suitable for fine operations like grading and cutting. The Mahindra EarthMaster enables the customer to BREAKFREE from these limitations using a hydraulic system only found on crawler excavators which allows faster and smoother operations.

About The Mahindra Group
The Mahindra Group focuses on enabling people to rise. Mahindra operates in the key industries that drive economic growth, enjoying a leadership position in tractors, utility vehicles, information technology, and vacation ownership. Mahindra has a presence in the automotive industry, agribusiness, aerospace, components, consulting services, defense, energy, finance and insurance, industrial equipment, logistics, real estate, retail, steel, and two wheelers. A US $7.1 billion multinational group based in Mumbai, India, Mahindra employs more than 112,000 people in over 79 countries. In 2010, Mahindra was named among the Forbes Asian Fab 50 and the Credit Suisse Great Brands of Tomorrow. Its flagship company Mahindra & Mahindra Limited has recently earned the distinction of being the only Indian automobile manufacturer to feature in the top 10 list of the Carbon Disclosure  Leadership Index in India,- 2010, created by the Carbon Disclosure Project (CDP).

For more information,
Visit us at www.mahindraconstructionequipment.com

For further information, please contact:
Ms. Roma Balwani
Senior Vice President & Group Head,
Corporate Communications Mahindra & Mahindra Ltd
Phone: (+91-22) 2490 1441
Fax: (+91-22) 2490 0830
Email: balwani.roma@mahindra.com