Indian Hotels

Company
Ltd.
Indian Hotels
Company
Ltd.
 Indian
Hotels
Company
Ltd
 Introduction
• collectively known as Taj Hotels Resorts and Palaces
• recognised as one of Asia's largest and finest hotel company.
• Incorporated by the founder of the Tata Group, Mr. Jamsetji N. Tata, the company
opened its first property, The Taj Mahal Palace Hotel, Bombay in 1903. The Taj, a
symbol of Indian hospitality, completed its centenary year in 2003.

Taj Hotels Resort and Palaces comprises more than 60 hotels in 45 locations across
India with an additional 15 international hotels in the Malaysia, United Kingdom,
United States of America, Bhutan, Sri Lanka, Africa, the Middle East and Australia.

Spanning the length and breadth of the country, gracing important industrial towns
and cities, beaches, hill stations, historical and pilgrim centres and wildlife
destinations, each Taj hotel offers the luxury of service, the apogee of Indian
hospitality, vantage locations, modern amenities and business facilities.
• IHCL operate in the luxury, premium, mid-market and value segments of the market
1903 The Company opens its first hotel, the "Taj Mahal Palace" in
Mumbai, India.
1974 The Company opens its first five star deluxe beach resort, the "Fort
Aguada Beach Resort" in Goa.

The Company begins business in metropolitan hotels by opening

the five star deluxe hotel, the "Taj Coramandel" in Chennai
1980 The Company opens its first hotel outside India, the "Taj Sheba
Hotel" in Sana'a, Yemen.

1984 The Company entered into a licence agreement to operate the "
Taj West End" in Bangalore, "Taj Connamera" in Chennai and the "
Savoy" in Ooty.
The Company opens a five star deluxe hotel in Calcutta, the "
Taj Bengal."
1989 The Company opens a five star deluxe hotel in Calcutta, the "
Taj Bengal."
1990 The Company establishes the Taj Kerala Hotels and Resorts Limited
with the Kerala Tourism Development Corporation.
1998 The Company opens the "Taj Exotica" in Bentota, Sri Lanka.
2000 The Company establishes Taj GVK Hotels and Resorts Limited with
the GVK group to operate three hotels in Hyderabad.

2001 The Company is awarded the management contract for the "
Taj Palace", Dubai.

The Company launches the "Taj Exotica Spa and Resort" in

Maldives.
2002 The Company obtains licences to manage and operate two leisure
hotels: the "Rawal-Kot" in Jaisalmer and the "Usha Kiran Palace",
Gwalior.

The Company acquires an equity interest in "Regent Hotel" in

Bandra, Mumbai which is later renamed as the "Taj Land End."

2003 The Company relaunches its flag ship property as the "Taj Mahal
Palace and Tower."
2004 The Company launches its first luxury serviced apartments, "
Wellington Mews" in Mumbai.

The Company opens its first economy hotel under the brand
"Ginger" in Bangalore.
2005 The Company obtains a management contract to operate "The Pierre" in New York,
USA.

The Company entered into a management contract to operate the "Taj Exotica" in
Palm Island, Jumeirah, Dubai.

The Company obtained the operating agreement for the "Umaid Bhavan Palace" in
Jodhpur.

2006 The Company acquires the "W" hotel in Sydney, Australia which is later renamed as
the "Blue Sydney".

The Company commences operation of its first wildlife lodge at Mahua Kothi,
Bandhavgarh.

2007 The Company acquires the "Ritz-Carlton" in Boston, USA which is later renamed as
the "Taj Boston."

The Company commences operation of its second wildlife lodge at Baghvan, Pench
.
 Products and Services
• Hospitality,
• airline catering private jet operation,
• luxury yachts travel agency,
• Educatinal Institutes(Institutes of Hotel Management)

• IHCL operates Taj Air, a luxury private jet operation with state-of-the-art Falcon 2000 aircrafts
designed by Dassault Aviation, France; and Taj Yachts, two 3-bedroom luxury yachts which can
be used by guests in Mumbai and Kochi, in Kerala.

IHCL also operates Taj Sats Air Catering Ltd., the largest airline catering service in South Asia, as
a joint venture with Singapore Airport Terminal Services, a subsidiary of Singapore Airlines.

Additionally, it operates the Indian Institute of Hotel Management, Aurangabad since 1993.
The institute offers a three-year diploma, designed with the help of international faculty and
has affiliations with several American and European programmes.
• Location
• The main office of Taj Hotels is in Mumbai. Taj Hotels
includes 57 hotels in 40 locations across India as well as 18
international hotels in the Maldives, Mauritius, Malaysia,
Seychelles, United Kingdom, United States of America,
Bhutan, Sri Lanka, Africa, West Asia and Australia. The
hotel group also has a network of regional sales and PR
offices in the United Kingdom, France, Germany, Italy,
Dubai, Singapore, Sydney, Tokyo and the USA. Taj Hotels
has secured management contracts at Palm Island,
Jumeirah, Dubai; Langkawi, Malaysia and Thimpu, Bhutan.
 Our hotels
Taj Hotels, Resorts and Palaces is an international hospitality group
with strong roots in India. For over 100 years, we have built our
reputation on legendary properties, unparalleled facilities and
impeccable service. We operate in the luxury, premium, mid-market
and value segments of the market through our following brands:
Taj (luxury full-service hotels, resorts and palaces)
Taj Exotica
Taj Safaris
Premium Hotels
Gateway hotels
Ginger
 The Taj Group of Hotels is grouped into strategic business units to standardise the
brands, making them distinct and identifiable. These brands have been classified as
luxury, business and leisure.
•Taj luxury hotels: 
–capture the essence of the Taj experience.
–Located in the main Indian cities,
–maintain high standards in all the services they offer.
–With exquisitely appointed rooms and modern comforts, these hotels offer the finest
standards of hospitality and service.
These include The Taj Mahal Palace & Tower (Mumbai)
The Taj Mahal Hotel (New Delhi),
Taj Bengal (Kolkata ), The Taj West End (Bangalore)
The Taj Coromandel Hotel (Chennai).
Taj Palace Hotel (New Delhi ),
• Taj leisure hotels:
– pleasure seekers, the curious and those simply wanting to get away from it all can do just that.
– These properties include idyllic beach resorts, genuine palaces, turn-of-the-century garden retreats,
hotels located close to historic monuments, pilgrim centres and some of India's best wildlife
sanctuaries.
• Taj Palace Hotels are exquisite 18th century monuments replete with domes,
terraces, carved pillars and archways built in the true royal Rajput style.
• These hotels are characterised by opulent, uniquely appointed, spacious rooms,
with exquisite decor. An abundance of sun, sand and surf await the leisure traveller
at the Taj beach resort hotels.
• The Taj Group of Hotels has won numerous prestigious international travel awards,
reinforcing its position as India's largest and finest hotel chain.
• A hundred on, the Taj's visage is as young as ever and its hospitality even stronger.
•  
• Taj exotica
– Meeting Rooms & Banquet Facilities
– Various Restaurants
– Recreation and Sports
– Children’s Activities
– Spas-Jiva Spa, Taamra Spa
– Shopping Arcade
– Medical facilities

 
• Taj business hotels:
– Located in the heart of India's key commercial cities and towns,
– provide every modern facility at particularly attractive room rates.
– These international style hotels meet the growing needs of business
travellers visiting cities, which are rapidly industrialising and expanding.
– The best hotels in their environment
– offer multi-cuisine restaurants and the best business facilities in the
city.
– Vibrant and progressive, they retain the warmth and spirit of India.
– The company anticipates that a significant portion of its long-term
growth will come from the expansion of this brand and is actively
seeking ways of strengthening and expanding this brand.
•
Hotel Business Services include: 
Laptops on hire
• Meeting Rooms & Banquet Facilities Mobile phones on hire
• 24-hour Business Centre Multimedia computers
Babysitting Pool
Beauty parlour / Hair salon
Portable printers on hire
Car hire service
Colour copier Secretarial services
Currency exchange Translation/interpretation services
Doctor-on-call Travel assistance
Express laundry/dry cleaning
Florist Wireless Internet access
Workstations
 Competitors
• ITC Group of hotels
• Marriott
• Provides genuine care service in beautiful settings, all designed to enable our guest to perform at
their very best
• More than 480 full service Marriott Hotels & Resorts locations worldwide
• Features include:
  -  Fully equipped fitness centers
  -  Gift shops
  -  Swimming pools
  -  Concierge levels
  -  Business centers
  -  Meeting facilities
  -  High-speed internet access
• Hyatt
• Hyatt Hotels and Resorts offer each guest an opportunity to enhance their stay and keep active by
using our fitness facilities.
• Oberoi
•  
 Swot analysis
• Strengths:
• Great heritage of India which is exploited to attract international customers.
• Good presence in the international as well as the domestic market.
• Competitive Management.
• Strong Sales and marketing
• Innovative product ideas
• Marketing alliances
• Maintaining high service standards
• Creating a talent pool of people
• Government support
• To have a lot of satisfied repeat customers

•  
• Weakness:
• Economical slowdown.
• Poor supprot infrastructure of the country.
•  
• Opportunities:
• Improvement in the spending power of the consumers.
• Better promotion of packages offered on the Taj website.
• 2010 commonwealth games during which the company plans to open more chains to provide accommodations to the rise in tourist inflow.
•  
• Threats:
• Ever rising competition from other companies both domestic and international.
• Reduced spending power of the guests due to recession.
• Terror Attacks
•  
 Vision

• The Taj Group of Hotels commits itself to the overall improvement of

the ecological environment, which we are all a part of.
• We recognize that we are not owners but caretakers of the Planet
and owe it to our children and future generations of humankind.
• It is our endeavor not only to conserve and protect but also to renew
and regenerate the environment in which we live and operate.
• Our commitment encompasses all actions related to our products,
services, associates, partners, vendors and communities.
• We will partner and engage with our environment through EARTH:
Environmental Awareness and Renewal at Taj Hotels. For us EARTH is
not a program, nor a process; it is a way of life
•  
 Corporate Social Responsibilities
• The Tata Group has always held that what comes from the society, must, in reasonable measure, go back to it. The Taj
is proud to be a part of this legacy, and is deeply committed to serve the community. We recognize that the
community is not just another stakeholder in our businesses, but serving the community, especially the
underprivileged sections, is central to our core values. We further believe that serving people in the form of
corporate volunteering has positive spin-offs by way of reviving a sense of bonding and the spirit of learning in our
employees.

Leveraging our competencies

The Taj uses its competencies in areas such as food production, housekeeping and laundry to develop and train ‘raw’
people to enable their earning a livelihood. For example partnering with NGOs to train underprivileged women
housewives in hospitality, self-grooming and house-keeping.

Promoting our culture

Globally, the Taj is synonymous to the culture and heritage of India and our ‘Building Livelihoods’ theme is extended
to the artisans and craftsmen of India. The Taj, in association with ‘Paramparik Karigar’ identifies the artisans and
craftsmen across India, in areas close in and around the location of our hotels and assigns projects to trainees who
identify projects that the hotel can take forward. The project provides our trainees with exposure to the unique arts
and crafts of India. It gives our trainees a unique opportunity to live within the community and broaden their own
outlook. The project has a strong, long-term impact and creates a strong platform for volunteering.
•  
 Major Taj Group companies forming
part of Consolidated accounts

Associates
• Subsidiaries Piem Hotels Ltd
• Taj SATS Air Catering Ltd Oriental Hotels Ltd
• Tifco Holdings Ltd Benares Hotels Ltd
• United Hotels Ltd Inditravel Pvt Ltd
• Roots Corporation Ltd Taj Air Ltd
Bjets Pte Ltd
• Innovative Foods Ltd
Taj Lanka Resorts
• International Hotel Management Taj Lanka Hotels
• Services, Inc. Joint Ventures
• St James Court Hotel Ltd Taj GVK Hotels & Resorts Ltd
• Taj International Hotels Ltd Taj Madras Flight Kitchen Pvt Ltd
• IHMS (Australia) Pty Ltd Taj Kerala Hotels & Resorts Ltd
Taj Karnataka Hotels & Resorts Ltd
• Taj International Hotels (HK) Ltd
Taj Safaris Ltd
• Samsara Properties Ltd Taj Asia Ltd
 Consolidated Financial (Unaudited)
Highlights – 2008/09
• Turnover of Rs. 2712 crores – lower by 9%
• PBIT of Rs.414 crores – lower by 50%
• PBT of Rs.184 crores – lower by 71%
• PAT of Rs.12 crores
• EPS at Rs.0.17 CY vs Rs.5.43 PY
 Consolidated Financials (Unaudited)–
2008/09
Rs. Crores 2008/09 2007/08 % Change
Net Sales/Income from Operations 2686.36 2920.03 (8)
Share of Profit in Associates 25.49 64.18 (60)
Total Income 2711.85 2984.21 (9)
a. Consumption of Raw Materials 276.84 266.07 4
b. Staff Costs 849.2 781.18 9
c. License Fees 103.67 112.64 (8)
d. Fuel, Power and Light 166.52 152.95 9
e. Depreciation 188.31 167.58 12
f. Other Expenditure 731.8 715.17 2
Total 2316.34 2195.59 6
Profit from operations before Interest and Tax 395.51 788.62 (50)
Other Income 70.52 75.47 (7)
Profit before Interest and Tax 466.03 864.09 (46)
Interest (Net) 230.46 202.32 14
Exceptional item (51.57) (37.07) 39
Profit before tax 184.00 624.70 (71)
Tax Provision 171.54 269.72 (36)
Profit After Tax 12.46 354.98 (96)
 Consolidated (Unaudited) Snapshot
Rs/Crores Revenue
2008/09 2007/08 2008/09 2007/08
IHCL 1,707 1823 234 378
Standalone

Subsidiaries 997 1104 (210) (102)

Joint Ventures 128 146 19 34
Associates 25 62 25 62
Total 2875 3135 68 373
Less: Inter 75 58 56 17
Company 75 58
56 17
Eliminations
Consolidated 2782 3077 12 355
Performance
Rs. In crores As on As on
March March
31, 2009 31, 2008
Sources of Funds
Capital 72.34 60.29
Preference shares issued by subsidiary
Reserves and Surplus 120
Minority Interest 274.11 3207.1 2208.8
Loan Funds 274.11 282.01
Trade Deposits 4646.88 3466.83
Deferred Tax Liability 23.8 23.63
160.52 148.88

Total 8504.75 6190.44

Application of Funds
Fixed Assets 4815.4 3949.54
Goodwill 361.15 297.03
Investments 2407.68 1541.94
Long Term Deposits 157.59 165.71
Foreign Currency Translation Difference Account
Net Current Assets 11.63
Deferred Tax Assets 743.3 226.72
Miscellaneous Expenditure 0.37 0.35
7.64 9.15

total 8504.75 6190.44

 New hotels in 2009/10
• IHCL
• Taj Falaknuma Palace, Hyderabad 60 room (Dec 09)
• Yeshwantpur 331 room (Feb 10)
• Taj Lands End Expansion, Mumbai 120 rooms (Sept 09)
• Taj Group
• Pierre renovation IHMS Inc. 184 rooms (Jun 09)
• Taj Palace, Cape Town Taj International SA 172 rooms (Dec 09)
• Fishcove Expansion,
Chennai Oriental Hotels Ltd. 64 rooms (Oct 09)
• Ginger hotels – 5 cities Roots Corporation Ltd 468 rooms
• Management Contract
• Panjim - Launched 164 rooms
• Gateway, OMR, Chennai 159 rooms (Jan 10)
• Vivanta by Taj, Bekal 72 Rooms (Mar 10)
Falaknuma Palace, Hyderabad
Vivanta By Taj,Yeshwantpur
Taj Lands End
The Pierre
Taj Palace,Capetown
Fishcove Expansion, Chennai
Panjim
Vivanta By Taj,Bekal