Walmart International statement regarding foreign direct investment in India

Gurgaon, India, November 25, 2011

“Allowing 51 percent FDI (foreign direct investment) in multi-brand retail is an important first step,” said Raj Jain, Walmart India president and managing director and CEO Bharti Walmart. “We are grateful that the Government has realized and appreciated the value that we will bring to strengthen the Indian economy. This change will positively impact the Indian market and our people. It will also contribute toward India’s image as a one of the world’s fastest growing economies and a welcoming destination for international businesses. However, we will need to study the conditions and the finer details of the new policy and the impact that it will have on our ability to do business in India.”

Bharti Walmart Private Limited is a business-to-business (B2B) joint venture between Bharti Enterprises and Walmart for wholesale cash-and-carry and back-end supply chain management operations in India to serve small retailers, manufacturers and farmers. The JV launched its first B2B Best Price Modern Wholesale cash-and-carry store in Amritsar in May 2009. A typical cash-and-carry store will stand between 50,000 and 100,000 square feet and sells a wide range of fresh, frozen and chilled foods, fruits and vegetables, dry groceries, personal and home care, hotel and restaurant supplies, clothing, office supplies and other general merchandise items. The JV is expected to open 16 wholesale cash-and-carry facilities and employ approximately 4,000 people by end of 2011. Currently, Best Price Modern Wholesale operates 14 stores that are present in Amritsar, Zirakpur, Jalandhar, Kota, Bhopal, Ludhiana, Raipur, Indore, Vijayawada, Meerut, Agra, Lucknow, Jammu and Guntur.

“We are willing and able to invest in back-end infrastructure that will help reduce wastage of farm produce, improve the livelihood of farmers, lower prices of products and ease supply-side inflation, thus saving people money so they can live better,” Jain added. “We also believe that extending the scope of this policy beyond cities with 1 million in population will bring immense benefits in the form of jobs and access to quality merchandise at great prices. It will also supplement our efforts to build an efficient and sustainable supply chain with regional geographical synergies.

Bharti Walmart Private Limited is a joint venture between Bharti Enterprises, one of India's leading business groups with interests in telecom, agri-business and retail, and Walmart. The joint venture is establishing wholesale cash-and-carry and back-end supply chain management operations in line with India Government guidelines.

# # #