EXIDE INDUSTRIES LIMITED

Corporate Social Responsibility Policy

Exide Industries Limited (“the Company”) has always been a responsible

corporate citizen and it has various societal obligations. It always seeks

ways to make a positive impact on the society at large.

The Company has developed its CSR Policy in accordance with Section

135 of the Companies Act 2013 and the Companies (Corporate Social

Responsibility Policy) Rules, 2014 notified by the Ministry of Corporate

Affairs, Government of India. This Policy, henceforth called “EIL CSR

Policy”, underlines the guiding principles and mechanisms for

undertaking various CSR activities/ programs by the Company.

Objectives
The objectives of the EIL CSR Policy are to:
 Increasingly contribute to activities that are beneficial to the

society and community at large.

 Chart out a mechanism for undertaking CSR activities.
 Engage with the Company’s key stakeholders in matters related to

CSR activities.
 Align the CSR activities undertaken by the Company with the

applicable laws.

Areas of Focus
Appendix – I of EIL CSR policy lists out the detailed CSR activities to be

implemented by the Company. Such list is indicative and not exhaustive

in nature. Also the CSR activities undertaken shall not be in pursuance of

the normal course of business of the Company. Further, the programs or

activities that benefit only the employees of the Company or their

families shall not be considered as CSR activities.

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The Board of Directors and / or the CSR Committee reserve the right to

modify, alter or otherwise update the Appendix -I from time to time, and

as it deems fit. If there is any inconsistency between EIL CSR Policy,

Appendix-I and / or the Indian regulations, the requirements of the Indian

regulations shall prevail. In such a scenario, the Board of Directors and /

or the CSR Committee shall modify, alter or update the EIL CSR Policy

and /or Appendix -I to ensure it meets the requirements of such

regulations.
The CSR Committee of Directors (hereinafter referred to as the “CSR

Committee”) will decide on the activities to be undertaken in each

financial year and the budget allocation for the same.

Organization Mechanism

Composition of the CSR Committee:

The CSR Committee shall be constituted by the Board of Directors of the

Company pursuant to the provisions of Section 135 of the Companies

Act, 2013, as amended from time to time.

Roles and responsibilities of the CSR Committee

The CSR Committee shall be responsible for:

i. formulating the CSR Policy and proposing revisions as and when

required subject to the approval of the Board of Directors;

ii. proposing budget allocation for the CSR activities, subject to the

approval of the Board of Directors;

iii. identifying modalities of implementing the CSR activities;
iv. formulation of an effective monitoring system;
v. monitoring the progress of the CSR programs on a regular basis;
vi. review of the impact assessment; and

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vii. annually report to the Board, the status of CSR activities and

contributions made.

CSR Fund
The total amount allocated for the expenditure on CSR activities (“CSR

Fund”) for each financial year by EIL’s CSR Committee may include the

following:
i. Two (2) per cent of the average net profits before tax of EIL made

during the three (3) immediately preceding financial years,

calculated as per Section 198 of the Companies Act, 2013; read

with the Companies (Corporate Social Responsibility Policy) Rules,

2014.
ii. Any income arising there from.

Any surplus arising out of the CSR projects or programs shall not form

part of the business profit of the Company. The CSR Committee would

determine how much of the CSR Fund is to be spent and allocated to

various CSR activities to be undertaken in each financial year and obtain

necessary approvals from the Company’s Board of Directors, if required.

The CSR Committee shall endeavor to give preference to the local areas

around which the Company’s offices and factories are situated for the

CSR activities.

Implementation

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The CSR Committee may recommend implementation of the CSR

programs by one or more of the following methods:

i. directly by the company; and/or
ii. by a registered trust or a registered society or a Section 8

company established by the Company, its Holding Company,

subsidiaries or associate companies.

iii. through program implementation agencies that is a registered

trust or a registered society or a Section 8 company recognized

by the relevant legislation for implementation of CSR activities

pursuant to the Companies Act, 2013; and/or

iv. in collaboration with other companies, in a manner that EIL CSR

Committee is able to report separately on such

projects/programs; and/or
v. any other method as may be deemed appropriate from time to

time or on a case to case basis.

Monitoring and Evaluation Framework

For each CSR activity/program approved under this CSR Policy, the suggested

framework for monitoring and evaluation will be as per the recommendations of

the High Level Committee set up by the Ministry of Corporate Affairs,

Government of India, to suggest measures for improved monitoring of the

implementation of CSR policies by companies under Section 135 of the

Companies Act, 2013.

Amendments
The CSR Policy may be amended by the CSR Committee, as and when

required, subject to the approval of the Board of Directors of EIL.

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Appendix- I

List of CSR activities which may be undertaken by the

Company
i. eradicating hunger, poverty and malnutrition, (promoting health

care including preventive health care) and sanitation including

contribution to the Swach Bharat Kosh set-up by the Central

Government for the promotion of sanitation and making available

safe drinking water;

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 ii. promoting education, including special education and employment

enhancing vocation skills especially among children, women,

elderly, and the differently abled and livelihood enhancement

projects;
iii. promoting gender equality, empowering women, setting up homes

and hostels for women and orphans; setting up old age homes, day

care centers and such other facilities for senior citizens and

measures for reducing inequalities faced by socially and

economically backward groups;

iv. enduring environmental sustainability, ecological balance,

protection of flora and fauna, animal, welfare, agro-forestry,

conservation of natural resources and maintaining quality of soil,

air and water including contribution to the Clean Ganga Fund setup

by the Central Government for rejuvenation of river Ganga;

v. protection of national heritage, art and culture including restoration

of buildings and sites of historical importance and works of art;

setting up public libraries; promotion and development of

traditional arts and handicrafts;

vi. measures for the benefit of armed forces veterans, war widows and

their dependants.
vii. Training to promote rural sport, nationally recognized sports,

Paralympics sports and Olympic sports;

viii. Contribution to the Prime Minister’ National Relief Fund or any other

fund set up by the Central Government for socio - economic

development and relief and welfare of the Scheduled Castes, the

Scheduled Tribes, other backward classes, minorities and women;

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ix. Contribution or funds provided to technology incubators located

within academic institutions which are approved by the Central

Government;
x. Rural development projects;
xi. Any other projects or activities as may be approved by the Central

Government pursuant to section 135 of the Companies Act, 2013,

from time to time.