1. Introduction:what we do: Infosys Technologies Ltd. (NASDAQ: INFY) was started in 1981 by sevenpeople with US$ 250. Today, we are a global leader in the "next generation" ofIT and consulting with revenues of over US$ 4.8 billion (FY 10). Infosys defines, designs and delivers technology-enabled business solutionsthat help Global 2000 companies win in a Flat World. Infosys also provides acomplete range of services by leveraging our domain and business expertiseand strategic alliances with leading technology providers. Our offerings span business and technology consulting, application services,systems integration, product engineering, custom software development,maintenance, re-engineering, independent testing and validation services, ITinfrastructure services and business process outsourcing. Infosys pioneered the Global Delivery Model (GDM), which emerged as adisruptive force in the industry leading to the rise of offshore outsourcing. TheGDM is based on the principle of taking work to the location where the besttalent is available, where it makes the best economic sense, with the leastamount of acceptable risk. Infosys has a global footprint with 63 offices and development centers in India,China, Australia, the Czech Republic, Poland, the UK, Canada and Japan.Infosys and its subsidiaries have 114,822 employees as on June 30, 2010. Infosys takes pride in building strategic long-term client relationships. Over 97%of our revenues come from existing customers (FY 10).

2. What we are: Vision "To be a globally respected corporation thatprovides best-of-breed business solutions,leveraging technology, delivered by best-in-class people." Vision 2050: A Global Dialogue onSustainability Infosys contributed to Vision 2050, a reportthat provides a pathway leading to asustainable world, under the auspices of theWorld Business Council for Sustainable 3. Mission"To achieve our objectives in an environment of fairness, honesty,and courtesy towards our clients, employees, vendors andsociety at large."ValuesWe believe that the softest pillow is a clear conscience. The valuesthat drive us underscore our commitment to: Customer Delight: To surpass customer expectationsconsistently Leadership by Example: To set standards in our business andtransactions and be an exemplar for the industry and ourselves Integrity and Transparency: To be ethical, sincere and open inall our transactions Fairness: To be objective and transaction-oriented, and therebyearn trust and respect Pursuit of Excellence: To strive relentlessly, constantly improveourselves, our teams, our services and products to become the 4. A Magnet for the Best Global Talent Fortune magazine identified Infosys among the top companies that"inspire, nurture and empower a new generation of global leaders." Weare committed to remain among the industrys leading employers.Quality Focus In God we trust, everyone else must come with data is an oft-heardphrase at Infosys. We constantly benchmark our services and processesagainst globally recognized quality standards. Our certifications includeSEI-CMMI Level 5, CMM Level 5, PCMM Level 5, TL 9000 and ISO9001-2000. In February 2007, Infosys BPO was certified for eSCM level4.0, the eSourcing Capability Model for Service Providers developed bya consortium led by Carnegie Mellon Universitys InformationTechnology Services Qualification Centre.Innovation, Speed and Excellence in Execution We were one of the first companies to develop and deploy a globaldelivery model and attain SEI-CMMI Level 5 certification our offshoreand onsite operations. We manage growth by investing in 5. Industry Leadership Our history is marked by a series of firsts. We were thefirst Indian company to list on a US stock exchange andthe first Indian company to do a POWL in Japan. InDecember 2006, we became the first Indian company tobe added to the NASDAQ-100 index and became the onlyIndian company to be part of any of the major globalindices. We were recently listed on The Global Dow.Infosys was also ranked No. 14 among the mostrespected companies in the world by ReputationInstitutes Global Pulse 2008. We were also listed onForbes Asian Fabulous 50 for the fourth consecutiveyear. Infosys is also a five-time Global MAKE Winner andone of only two Indian companies amongst global leadersto have won the award in 2008 6. Alliances: Our services and business solutions are strengthened by alliances with leading technology partners.We recommend technologies to the client based on what is best for the client. We do not solicit or accept influence or marketing assistance fees from any of our alliance partners. In a marketing alliance, Infosys and the alliance partner jointly deliver business solutions which leverage our industry, functional and technical expertise, Global Delivery Model and the alliance partners technology and services. In a technology alliance, Infosys works with an alliance partner to build business and technical competency in the alliance partners technology through training, engagement with the alliance partners technical support and development teams besides the development of 7. Their alliance partner: BEA Business Objects FAST FileNet HP IBM Informatica Interwoven Mantas Microsoft MicroStrategy Netegrity Inc Oracle Pegasystems SAP Siemens Sterling Commerce Sun Microsystems TIBCO Software Inc. Wavecom 8. Sustainability Infosys began its journey in Indias business environment in the 1980s, in an era when endless red tape was imposed on the private sector. In this environment, building a company whose long-term objectives included operational longevity, high ethical standards and global respect demanded commitment to a core set of values. For Infosys, these values focus on instilling trust in our relationships with all stakeholders, including employees, investors, clients, society and the communities in which Infosys operates. At Infosys, we believe that we must develop trust with the communities in which we operate to achieve longevity as a corporation. Through the Infosys Foundation, which receives a grant every year from Infosys (the last years grant was US$ 3 million) we contribute to betterment of healthcare (hospitals, infrastructure), education (books, scholarships, refurbishment of infrastructure) and skills 9. Infosys emphasizes its commitment to investors throughstringent corporate governance. Infosys was also amongthe first Indian companies to voluntarily comply with theUS Generally Accepted Accounting Principles (GAAP)and now provides financial results in the GAAP of sixcountries With employees from over 70 nationalities, Infosys hasbuilt an enduring value system based on openness,honesty, fairness and transparency, which has earned usthe confidence and trust of our clients. We enjoy +95%customer retention Infosys has built one of the largest corporate educationcenters in the world. This finishing center, with anannual capacity of 15,000, provides engineeringgraduates who aspire to be employees with theequivalent of a Bachelor of Science degree in ComputerScience from an American university Learn more about our initiatives to preserve arts andculture, encourage talent, support education and 10. Greenest brand in india Infosys ranked among the greenest brands in India: Infosys is among the greenest brands in India, according to a consumer survey conducted by Cohn & Wolfe, Landor Associates, Penn, Schoen & Berland Associates (PSB) and Esty Environmental Partners 11. Global campaignLets have a global campaign for environment conservation Infosys CEO and MD Kris Gopalakrishnan believes that companies must collaborate to develop standards and influence governments to make environment conservation mandatory 12. Focus Areas: Arts & Culture Environment Healthcare & Education Diversity Talent Tomorrows global company 13. Various parts:Industries Our business solutions and services help accelerate innovation, increase productivity, reduce costs, and optimize asset utilization.Aerospace and DefenseAirlinesAutomotiveBanking and Capital MarketsCommunication ServicesConsumer Packaged GoodsDiscrete ManufacturingEducationEnergyHealthcareHigh TechnologyHospitality and LeisureInsuranceLife SciencesLogistics and DistributionManufacturingPublishingResourcesRetailStudios and NetworksUtilities 14. IT ServicesWe create IT-enabled business solutions for ourclients by leveraging our domain and businessexpertise along with a complete range ofservices. Application Services Architecture Services Independent Validation and Testing Services Information Management Services Infrastructure Services Knowledge Services Packaged Application Services SOA Services Systems Integration Services 15. Engineering ServicesWe provide concept-to-market R&D andengineering services to improve your productoperations. Our services address thecomplete engineering value chain spanningvarious industry verticals. Lifecycle Management Manufacturing Process and Plant Solutions Product Engineering 16. Consulting Services Our consulting services ensure that youbecome stronger, more competitive andcapable of managing global business Core Process Excellence Information & Technology Strategies Learning & Complex Change Next Generation Commerce Product Innovation 17. BPO ServicesInfosys BPO combines domain expertise, process skillsand technology to deliver world-class processoutsourcing.Offerings by Industry Aerospace and Automotive Banking and Capital Markets Communication Service Providers Energy and Utilities Healthcare Insurance Life Sciences Manufacturing Media and Entertainment Retail and Consumer Packaged Goods Services Transportation and Services 18. Offerings by Function Business Platforms Customer Service Outsourcing Finance and Accounting Human Resources Outsourcing Knowledge Services Legal Services Sales and Fulfillment Sourcing and Procurement Outsourcing 19. Products and PlatformsOur products and platforms provide a holistic andintegrated transformation approach, complete withsolutions and services. Finacle Flypp Infosys ActiveDesk Infosys iEngage Infosys iProwe Infosys mConnect Infosys Research On Demand Infosys Unified Communications and Collaboration(UC) iTransform Supply Chain Visibility 20. Management Profiles :Board of DirectorsBusiness and Department Heads Infosys Members of the Board: Srinath Batni Director and Head, Delivery ExcellenceK. DineshDirector and Head, Communication DesignGroup, Information Systems and Quality and Productivity 21. S. Gopalakrishnan Chief Executive Officer and Managing DirectorT. V. Mohandas PaiDirector and Head, Finacle, Admin, Human Resources,Infosys Leadership Institute and Education andResearch 22. N. R. Narayana MurthyChairman of the Board and Chief MentorS. D. ShibulalChief Operating Officer and Member of the Board 23. Independent Directors David L. Boyles Independent Director Dr. Omkar Goswami Independent Director Sridar Iyengar Independent Director 24. K. V. KamathIndependent DirectorJeffrey Sean LehmanIndependent DirectorDeepak M. SatwalekarIndependent Director 25. Claude SmadjaIndependent DirectorDr. Marti G. SubrahmanyamLead Independent Director 26. Infosys Board Of Directors 27. The Infosys Executive Council 28. Branding:We believe that the Infosys brand is one of the most importantintangible assets that we own. During this fiscal year, we have beenappreciated by the following bodies as a recognition of how we operateand conduct business : Ranked as the most admired company in India according to theWall Street Journal survey Ranked among the 50 most respected companies in the world byReputation Institutes Global Reputation Pulse 2009 Ranked among the top 25 companies in Business WeeksInfoTech 100 Ranked among the top 25 companies in the world for developingleaders by Fortune / Hewitt Ranked as the best company to work for in India by Business Todaysninth survey of Best Companies to Work For.Industry analysts rated us highly in reports on our key services andmarkets. The services for which we were rated highly include ServiceOriented Architecture, Oracle Service providers, Comprehensive 29. Finance and Accounting Business Process Outsourcing, and also forthe Finacle product suite.We had over a million visits to our blogs on business and technologyrelated topics on our website www.infosys.com during the year.Our employees contributed and published several thought leadershiparticles across various industry fora and publications. We leveragedsocial media platforms and engaged with our stakeholders andinvestors on YouTube, SlideShare, Twitter and Facebook.Leading global publications wrote about us, our leadership, our talentand our performance. We continued to have leadership presenceat premier industry events like Oracle Open World and Sapphire.Our annual client events in the U.S. and Europe were well attended,and highly appreciated. At the World Economic Forum in Davos,Switzerland, our lunch panel discussion witnessed a full audience 30. Latest brand mConnect: Supports new devices without changes to core application, serviceInfosys mConnect is a context-aware, real-time mobile transaction middleware that enables mobile services for websites and e-Commerce platforms. 31. ShoppingTrip360: Taking in-store shopping to the nextlevelInfosys has launched ShoppingTrip360, a managed service to help shoppers,retailers and CPG companies collaborate in real-time through a network ofwireless sensor-based applications 32. Human resource managementEmployees are our vital and most valuable assets. We have createda favorable work environment that encourages innovation andmeritocracy. We have also set up a scalable recruitment and humanresources management process, which enables us to attract and retainhigh caliber employees. We added 6,837 (net) and 18,905 (gross)employees, taking our total strength to 92,688 up from 85,851 at theend of the previous year. Our attrition rate stands at 13.4% comparedto 11.1% for the previous year. Over the last year, we received 4,00,812applications from prospective employees and we continue to remainan employer of choice in the industry.During the year, we implemented the Infosys Role and CareerEnhancement (iRACE) program. iRACE aligns talent managementactivities with client priorities, business needs and employeeaspirations. We are excited about the influence iRACE will have on 33. Education & Research`We understand the significance of learning and continual educationin providing our employees with latest skills and technologies.We believe this will help in creating a challenging, entrepreneurial andempowering work environment that rewards dedication and a strongwork ethic for our employees. We have instituted two specializedunits, Education & Research and the Infosys Leadership Institute(ILI) to address the learning needs of our Company.The Infosys Global Education Center, a world-class training facilityestablished at our campus in Mysore, India, is aimed at consolidatingthe learning requirements across the Company. With a total built-uparea of 1.44 million square feet, the Infosys Global Education Centercan accommodate the training needs of approximately 14,000employees at a time.Our training, continuing education and career development programsare designed to ensure that our technology professionals and leadersenhance their skill-sets in alignment with their respective roles.Most of the engineering graduates we hire complete an integratedon-the-job training module of about 20 to 29 weeks before they areassigned to a business unit. 34. Our employees also undergo certification programs periodically todevelop the skills relevant for their roles. During the year, the totaldays of training doubled to over two million person-days. In addition,we have been working with several colleges across India throughour CampusConnect program, enabling their faculty to provideindustry-related training to their students.As of March 31, 2010, the Education & Research unit employedaround 610 full-time faculty members, including 208 with doctorateor masters degree.During the year, the Education & Research unit published acompendium of white papers. These are also shared with our partnerCampusConnect institutions. The compendium covers domainssuch as computing model and systems, software architecture andinformation and theory application in supply chain management.Researchers from the group have also published papers in renownedinternational publications and conference proceedings 35. Our Education & Research unit has received the following awardsand recognitions during the year : Golden Peacock National Training Award for the year 2009 The American Society for Training & Development (ASTD)BESTaward in 2009 for the fifth consecutive year The first Indian company inducted into the Global MostAdmiredKnowledge Enterprise (MAKE) Hall of Fame, retaining ourpositionfor the fifth consecutive year The Asian MAKE Award 2009 Ranked at the top in the Indian MAKE Award 2009, for thesecondyear after 2005.ILI focuses exclusively on developing leadership skills for oursenior-most and high potential tier leaders. Each tier leader isassigned an ILI counselor for personalized coaching and for 36. IT Infrastructure Taking Green IT initiatives forward, during the year we have replaced over 7,000 desktops with newer models that have a maximum power rating of 91W, compared to the older models which were at 120W. We have extended the optimized power management configuration for over 69,000 desktops. This has brought about an estimated 25% reduction in power demand by desktops. An in-house application named Terminator has been developed and rolled out on all desktops. This application is designed to ensure that the desktop is shut down either by the user or automatically at a pre-defined time after working hours. Continuing our efforts toward restructuring the existing data centers and server rooms, we have remodeled eight large and medium-sized server rooms and four dedicated Offshore Development Centers (ODCs) in order to increase the cooling efficiency and effectiveness, using less power. The steps involved have been consolidation of servers, re-modeling of the racks as per cold and hot aisle designs, replacement of older systems with newer ones, room re-sizing and usage of overhead cable trays which ensure better airflow under the floor. As a result, a number of air conditioning units have been de-commissioned to save power in each room, while the usage of newer systems for consolidation led to considerable power savings. 37. Moving away from dedicated computing infrastructure usedfor software development and testing, to a shared, secure andvirtualized environment, we have built an internal enterprise cloud.This infrastructure is capable of hosting around 3,000 virtual machinesand has an easy-to-use Self-Service portal with template- basedagile provisioning and simplified management of virtual machines.We are targeting the substitution of additional desktops and serversphysically installed in our server rooms and labs with these virtual machines.In addition to enabling faster provisioning, reduction in build / re- buildtime and optimal resource utilization, this implementation would savepower and cooling since it requires just around 20% of the total 38. CompetitionWe operate in a highly competitive and rapidly changing market andcompete with consulting firms such as Accenture Limited, Atos OriginS.A., Cap Gemini S.A., and Deloitte Consulting LLP; divisions of largemultinational technology firms such as Hewlett-Packard Companyand International Business Machines Corporation; IT outsourcingfirms such as Computer Sciences Corporation, Keane Inc., LogicaPlc and Dell Perot Systems; offshore technology services firms suchas Cognizant Technology Solutions Corporation, Tata ConsultancyServices Limited and Wipro Technologies Limited; software firms suchas Oracle Corporation and SAP A.G.; business process outsourcingfirms such as Genpact Limited and WNS Global Services and in-houseIT departments of large corporations.In the future, we expect competition from firms establishing andbuilding their offshore presence and firms in countries with lowerpersonnel costs than those prevailing in India. However, we recognizethat price alone cannot constitute a sustainable competitive advantage.We believe that the principal competitivea factors in our businessinclude the ability to effectively integrate onsite and offshore executioncapabilities to deliver seamless, scalable, cost-effective services; increasescale and breadth of service offerings to provide one-stop solutions;provide industry expertise to clients business solutions; attract andretain high-quality technology professionals and maintain financialstrength to make strategic investments in human resources and physicalinfrastructure through business cycles.We believe we compete favorably with respect to these factors. 39. Awards and recognition A sw e pur s u eex c el l en c er el e n t l es s l y , w e ar e de l i g h t edt or ec e i v e s e v e r alg l o b a l r e c o g ni t i ons a n d a w a r d s . T h i s f i s c a l y e a r w e w e r e :R a n k e d a m o n g t h e b e s t i n i n v e s t o r r e l a t i o ns i n t h e A P A C r e g i onR e c e i v e d t h e G o l d A w a r d f o r I n v e s t or R e l a t i o ns i n T e c h n o l og yi nt h e U . S . i n t h e A s s et T r i p l e A C o r p o r at e A w a r d s R a n k e d a s t h e m o s t s o u g h t - af t er c o m p a n y i n I n d i a b y B u s i n es sT o d a y S u r v e yR e c e i v e d t h e a w a r d f o r e x c e l l en c e i n i n c l u s i v i t y i n s t i t u t ed b y t h eA m e r i c an S o c i e t y f o r T r a i n i ng & D e v e l o pm en t ( A S T D )H o n o r e d w i t h t h e O r a c l e T i t a n P a r t n e r A w a r d a t O r a c l e O p e nW o r l d 2 0 0 9 e v e n tR e c e i v e d t h e E x c e l l en c e A w a r d f o r D i v e r s i t y H i r i n g I n i t i a t i v es f o rI n f o s y s B P OL i s t e d o n F o r b e s A s i a n F a b u l o us 5 0 f o r t h e f o u r t h c o n s e c u t i v e y e a rR e c o g n i z ed a s o n e o f I n d i a s B e s t C o m p a n i es t o W o r k F o r i n as u r v e y c o n d u c t ed b y G r e a t P l a c e t o W o r k I n s t i t ut e L i s t e d i n F o r t u n e s 1 0 0 f a s t e s t - g r ow i n g c o m p a n i es R a n k e d a s t h e B e s t O u t s o u r c i n g P a r t n e r b y t h e W a t e r s R a n k i n g s2 0 0 9 L i s t e d a m o n g b e s t c o m p a n i e s f o r l e a d e r s b y H a y G r o u p a n d C h i e fE x e c ut i v e M a g a z i n e T h e s o l e c o m p a n y f r o m I n d i a t o b e f e a t u r e d i n t h e T o p 2 5 l i s t o fB u s i n es s W e e ks I n f o T e c h 1 0 0 R e c e i v e d t h e d i s t i n c t i o n o f h a v i n g o n e o f t h e B e s t R a n k e d O n l i n eA n n u al Re p o r t s i n G r e a t er C h i n a & A s i a / P a c i f i c a t I R G l o b a lR a n k i ng s 2 0 0 9 40. InvestmentTrade investments are the investments made to enhance the Groupsbusiness interests. Investments are either classified as current or longtermbased on the Managements intention at the time of purchase.Current investments are carried at lower of cost and fair value of eachinvestment individually. Cost for overseas investments comprisesthe Indian Rupee value of the consideration paid for the investmenttranslated at the exchange rate prevalent at the date of investment.Long-term investments are carried at cost less provisions recorded torecognize any decline, other than temporary, in the carrying value ofeach investment. 41. Some of the Infosys offices:Infosys Mumbai 42. Infosys Pune: 43. Infosys Mysore: 44. Infosys Mangalore: 45. Annual Report: 46. Notes: 1 crore is equal to 10 millionBefore exceptional itemIncludes investments in liquid mutual funds RS 3,507 for fiscal2010Includes incomes from sales of investments in Onmobile systeminc,USA of $ 11 million ( RS 48 crore ), net on transactional coast for financial year March 31, 2010 47. Infosys v/s BSE Relative Index 48. Financial HighlightsFive Year Overview (Consolidated Basis) Particulars 2009-10 2008-09 2007-08 2006-07 2005-06 Revenue 22,74221,693 16,692 13,893 9,521 Operating Profit7,861 7,195 5,238 4,391 3,091 (PBIDT) Interest - - - - - Depreciation & 905761598514 437 Amortization Provision for1,681 919685386 313 taxation PAT from ordinary6,218 5,988 4,659 3,856 2,458 activities Dividend (inc1,674 1,573 2,225 751 1,412 dividend tax) 49. P & L Ratios - Standalone Particulars2009-10 2008-09 2007-08 2006-07 2005-06 Export revenue/ Total98.73 98.72 98.60 98.40 98.18 revenue(%) Software dev expenses/ 54.68 55.00 56.72 55.35 54.13 Total revenue (%) Gross Profit/ Total revenue 45.32 45.00 43.28 44.65 45.87 (%) Selling and marketing expenses/ 4.614.604.675.475.53 Total revenue (%)