SBI to provide finance to Mahindra tractor dealers

September 13th 2006, Mumbai: State Bank of India, the largest commercial Bank in India has tied-up with Mahindra & Mahindra Ltd, the largest Indian tractor manufacturer to provide finance to M&M's Dealers. The tie-up envisages financial solutions with superior features to the Dealers of Mahindra Tractors spread across India.

While drawing on SBI's reach and premier status in Banking industry and Mahindra & Mahindra's commanding position as the leader in Tractor Industry, the Scheme will be without recourse to the manufacturer.

Under the Scheme SBI has offered affordable rate of interest to the Dealers alongwith a host of ther concessional terms. The scheme is subject to State Bank of India's credit norms.

Speaking on the occasion, Mr. P. C. Vaidya "� Sr. VP, Finance & Accounts of Farm equipment Sector, M&M said, "Our association with SBI in reaching out to farmers began with a highly successful tie-up for providing Retail Finance to our customers with the most cost effective finance solutions. This tie-up of providing finance to our Dealers is another vital link to the value chain from Factory to Farm and will add fillip to the relationship with SBI"

Commenting on the occasion, Mr J. Chandrashekharan "� GM, SME from State Bank of India said, "Our alliance with M&M as a lead banker is long and this new collaboration will further strengthen our relationship. The essence of Inventory financing/dealer financing by such tie-ups with Industry Majors is seamless flow of information and funds. We are confident that with these attractive and flexible terms and conditions, we would be able to increase our market share in channel financing and at the same time enable M&M and its Dealers to leverage this relationship with SBI to their benefit".

About The Mahindra Group

The US $3 billion Mahindra Group is among the top 10 industrial houses in India. Mahindra & Mahindra is the only Indian company among the top five tractor manufacturers in the world and is the market leader in multi-utility vehicles in India.

It has a leading presence in key sectors of the Indian economy, including trade and financial services (Mahindra Intertrade, Mahindra & Mahindra Financial Services Ltd.), automotive components, information technology & telecom (Tech Mahindra, Bristlecone), and infrastructure development (Mahindra GESCO, Mahindra Holidays & Resorts India Ltd., Mahindra World City). With around 60 years of manufacturing experience, the Mahindra Group has built a strong base in technology, engineering, marketing and distribution.

The Group employs around 30,000 people and has eight state-of-the-art manufacturing facilities in India spread over 500,000 square meters. The Mahindra Group has ambitious global aspirations and has a presence in 20 countries spread across four continents.

Mahindra products are today available in every continent except Antarctica. M&M has made strategic acquisitions of plants in China and the United Kingdom, and has 2 assembly plants in the USA. Its global subsidiaries include Mahindra Europe Srl. based in Italy, Mahindra USA Inc. and Mahindra South Africa. M&M has entered into partnerships with international companies like Renault, France, and International trucks, USA. The Group is celebrating its 60th anniversary in 2005-06.