I am happy to share with you your company's spectacular performance in 2010-11 whichsaw it cross several new milestones. We surpassed previous year's all time highconsolidated net profit after tax (PAT) of Rs. 324 crore by 49 per cent thereby setting anew record at Rs. 484 crore during the year. Though the profitability in large measure waspropelled by a dramatic improvement in the demand for packaging films, the otherbusinesses also made significant contributions.
At SRF, we continued to demonstrate our business leadership by building and augmentingnew product and process capabilities. We made significant headway in our effort tocomplete approvals of our newly developed Polyester Tyre Cord Fabrics from some of theleading tyre majors. We diversified our product portfolio especially for the auto and theelectrical segments by developing and commercialising poly carbonate based engineeringplastics. And, we further stepped up our R&D efforts to discover and develop moleculesfor some of the world's leading pharma and agro-chemicals manufacturers. The capability ofthe R&D team in the Chemicals Business is increasing all the time and we believe thatthey will be the growth-driver for the future of the Chemicals Business.
Simultaneously we continued to work towards strengthening our long-term fundamentalsand global competitiveness through continuous investments in adding, replacing andupgrading capacity and technology. Recognising the distinctive potential of growth in allour businesses, we embarked upon several projects worth around Rs. 1500 crore during theyear. We also took several strategic initiatives to expand our global operations. Weentered into a joint venture to set up a Biaxially Oriented Poly Ethylene Terephthalate(BOPET) films plant in Bangladesh and obtained board approval for setting up a BiaxiallyOriented Polypropylene (BOPP) films plant in South Africa.
These developments clearly point to a brighter future. And, the credit must go to thosewho deserve this the most - our people who made concerted efforts to achieve a .remarkable breakthrough in our company's performance. We continued to draw on our talentpool and our 'management way' of TQM to build and improve upon our organisationalcapabilities in tune with changing business imperatives. Using IT as a platform we set offon a path of 'knowledge management' making a paradigm shift in the way we contribute andcollaborate across the company. Among other people development initiatives we worked onintegration of our overseas units with the parent company through relevant policies andsystems.
More importantly, we launched a company-wide campaign to reiterate our commitment toliving the organisational values. We also created and communicated a 'brand charter' whichdefined what we stood for as an organisation. Sure, all these efforts are aimed atenabling our colleagues to align with our company's business proposition, which revolvesaround ethical values. There is no gainsaying the fact that adherence to these values is abedrock of all our actions.
Another vehicle that drives our businesses is the creation of societal value throughsustainable means. Pursuing a purpose of changing the lives of the underprivileged in ourcommunity we continued to work on the identified areas of Education, Health Care-HIV AIDS,Natural Resource Management (NRM), and Affirmative Action in support of SC/ST, thehistorically disadvantaged people in India.
In particular, we expanded our ambit of work in education through our social wing, SRFFoundation. We intensified our efforts to improve infrastructure and teachers' training inall the 40 schools we have adopted in the Mewat region of Haryana. Many other companies,government agencies, NGOs, employee volunteers, educational institutes and the communityat large joined us in our efforts to transform the lives of the children in these schools.
It's truly satisfying to be able to contribute towards community development in ameaningful manner. Recognitions for our socially and environmentally responsible workfurther inspire us all to reaffirm our commitment to the cause. It's a matter of greatpride for all of us that our Chemicals Business was conferred with the prestigious'CII-ITC Sustainability Award-2010' for the third year in a row for its endeavor towardssustainable economic, environmental and social development. You will be happy to know thata consortium of Netherlands based Civil Society Organisations, selected our NRM project,the only one in Asia, as a unique example of NGO-Business Partnership to be presented at alearning event at Erasmus University, Rotterdam during the year. In line with ourproactive approach towards managing climate change, we undertook an ISO 14064-compliantstudy to measure the carbon footprint of its Chemicals Business based at Bhiwadi duringthe year.
The journey continues. We will continue to engage with our customers. We will continueto create value for our society. And, we will continue to spur innovation. Let me assureyou that we will remain committed to bringing continuous improvements in all that we dothe work ethos that reflect in the new tagline of your company, We always find a betterway.
I look forward with confidence to achieve total excellence.
With kind regards,
ARUN BHARAT RAM