Tata Tea launches Chai Unchai

Forays into the out-of-home beverage segment

Bangalore, January 23, 2008: Tata Tea, India's largest volume tea company today announced a significant initiative in its evolution. Tata Tea has forayed into the out-of-home beverage segment by unveiling their first outlet of 'Chai Unchai'.

Unveiling the first Chai Unchai outlet in the country at the IIM campus, Bangalore, Sangeeta Talwar, Executive Director, Tata Tea Limited said, "'Chai Unchai' is crafted as a unique retail space in the Out of Home segment that connects with youth in an exciting and differentiated manner. The new "adda" hangout is designed to be cool - neither a kiosk nor a parlour, and with an ambience that is warm, friendly, unpretentious and fun. The outlet offers both tea and non tea beverages with a range of unique snack offerings especially designed for it. Chai Unchai is another first in the industry in the way it has been conceptualised and executed. We are confident we will make a compelling connect with young people."

On the occasion of the launch of Chai Unchai retail outlet, Pankaj Dant, General Manager - Marketing & Sales, Tata Tea Limited commented, "Our research showed that this segment has a huge opportunity as consumers are constantly looking at different options for a satisfying out-of-home beverage experience. The design for the outlet has come out of a need expressed by the younger generation for a place where they can just be themselves."

Tata Tea plans to open outlets that cover the length and breadth of the country over the next 5-7 years, and attain market leadership position in this segment. Chai Unchai is aimed at catering to a distinct lifestyle need of today's youth.

The youth needs a place to relax where they don't have to live up to any expectations. The unique retail format of 'Chai Unchai' provides a place where consumers can have real masti to suit their mood. These outlets will be opened at strategic locations in shopping malls, colleges, university campuses and public places.

The menu of Chai Unchai will have a wide variety of tea to suit very mood, right from Darjeeling, masala and green tea in the hot tea ranges to mango, peach and mint in the cold tea offerings. Apart from tea, the outlet will serve different flavours of coffee, other Indian beverages and light snack foods.

About Tata Tea Limited

Tata Tea Limited is a group Company of TATA Group, one of the largest and most respected business houses of India. Tata Tea was formed in 1983 from the erstwhile Tata Finlay Company, a joint venture company formed in 1964. The Company has five major tea brands and is now the largest tea company in volume in the world's largest tea market, India. With the acquisition of Tetley Group in the year 2000, the combined entity now represents the second largest global branded tea operation with product presence in more than 40 countries. The current business interests include branded tea and tea extract business. Tata Tea Inc., a subsidiary company in US is involved in the marketing and value addition of tea extracts.

The thrust on globalisation agenda of Tata Tea had earlier resulted in acquisitions of Good Earth in US, Jemca in Czech, Eight O' Clock Coffee in US and recently, of trademarks Vitax and Flosana in Poland. Tata Tea recently signed a Joint Venture Agreement with Zhejiang Tea Import & Export (ZTIE) Company of People's Republic of China. The agreement involves setting up a joint venture Company at Economic Development Zone of Anji County, Zhejiang, PRC for manufacture and marketing of Green Tea Polyphenols, other green tea extracts, cold and hot water soluble instant tea, liquid tea concentrates and other value added tea beverage products. Also the recent acquisition of management control of Mount Everest Mineral Water Company is in line with Tata Tea's growth plans in India and the global market place.