HERO MOTOCORP LTD - COMPANY HISTORY

Hero MotoCorp Limited is the world's largest manufacturer of two-wheelers. The company has four manufacturing facilities namely Dharuhera and Gurgaon in Haryana Haridwar in Uttarakhand and Neemrana in Rajasthan. The company is based in New Delhi India. The company offers a range of bikes starting from CD Dawn CD Deluxe Splendor Plus Splendor NXG Passion and Passion Pro. The 125 cubic centimeter segment offers Glamour Super Splendor and Glamour F1. It also has an offering called Achiever in 135 cubic centimeter segment. In the 150 cubic centimeter and above the company offers brands like Hunk CBZ X-treme Karizma and the Karizma ZMR.

It also offers a 100 cubic centimeter scooter Pleasure.Hero MotoCorp Limited was incorporated in the year 1984 with the name Hero Honda Motors Ltd. The company was established as a joint venture company between Honda Motor Company of Japan and Hero Group. In the year 1983 they signed a joint collaboration agreement and formed the company. The joint venture between India's Hero Group and Honda Motor Company Japan has not only created the world's single largest two wheeler company but also one of the most successful joint ventures worldwide.In the year 1985 the company commenced their commercial production at Dharuhera plant in Haryana and introduced their first motorcycle CD 100 in the market.

In the year 1989 they launched the new motorcycle model Sleek in the market and in the year 1991 they introduced new motorcycle model CD 100 SS in the market. In the year 1995 the company introduced their extraordinary product Splendor in the market.In the year 1997 the company inaugurated their second manufacturing facility at Gurgaon in Haryana. Also they introduced new motorcycle model Street in the market. In the year 1999 they launched Hero Honda CBZ the first 150cc motorcycle in the Indian two wheeler industry. In the year 2001 the company introduced new models Passion and Joy in the market. In the next year they introduced new models Dawn and Ambition in the market.In the year 2003 the company launched new motorcycle models namely CD Dawn Splendor+ and Passion Plus in the market. Also they launched Hero Honda Karizma the industry's first 223cc motorcycle. In the year 2004 they introduced new models Ambition 135 and CBZ* in the market.

During the year they renewed the joint technical agreement with the Honda Motors Company Japan.In the year 2005 the company launched Super Splendor CD Deluxe Glamour and Achiever in the market. In the year 2006 the company forayed into scotter segment and launched 100cc gearless scotter Pleasure in the market. In the year 2007 the company launched Splendor NXG CD Deluxe Passion Plus and Hunk in the market.During the year 2007-08 the company commissioned their third plant at Haridwar in Uttarakhand with an initial installed capacity of 500000 units. This plant had lean manufacturing and practices that ensure efficiency. During the year the company launched new models (including variants) including Splendor NXG Hunk New Super Splendor New Passion Plus Commemorative Splendor+ and a refreshed version of Pleasure. During the year 2008-09 the company increased the installed capacity of Motorised 2 wheelers upto 350CC engine by 1800000 Nos to 5200000 Nos. Also they launched eight models: Passion Pro (100 cubic capacity-4 Stroke) CBZ-Extreme (150 cubic capacity - 4 Stroke) Pleasure New Aesthetics Splendor NXG (Self Start) CD Deluxe (Self Start) Glamour FI Glamour (Carb) and HUNK Special Edition. Also they launched new motorcycle model Karizma - ZMR in the market.During the year 2009-10 the company increased the installed capacity of Motorised 2 wheelers upto 350CC engine by 200000 Nos to 5400000 Nos. The company launched nine new models during the year.

During the year 2010-11 the company launched six new models including variants of existing models successfully. They refreshed Glamour and Glamour FI. They introduced the New Hunk Super Splendor and Splendor Pro. The company launched the new upgraded versions of CBZ Xtreme and Karizma. Also they breached the landmark 5 million figure cumulative sales in a single year. During the year the Indian Promoter Group of the company which comprised of Hero Investments Pvt Ltd (HIPL) Bahadur Chand Investment Pvt Ltd (BCIPL) and Hero Cycles Limited (Hero Cycles) re-aligned the shareholding in the company following a family agreement. As a result Hero Cycles transferred its shareholding in the company to HIPL on May 28 2010. As a result of these transactions the Indian Promoter Group of the company now comprises of HIPL and BCIPL owned and controlled entirely by the Munjal Family headed by Brijmohan Lall Munjal. Also during the year the Indian Promoter Group and Honda Motor Co Ltd Japan (Honda) entered into a Share Transfer Agreement (the Agreement) on January 22 2011. As per the terms of the Agreement Honda had agreed to transfer its entire shareholding of 26% in the Company to the Indian Promoter Group bringing an end to the joint venture between the two promoter groups of the company. The acquisition was completed on March 22 2011 and the shares held by Honda were transferred to the Indian joint venture partner.In addition to the Agreement the Indian Promoter Group and Honda also entered into a License Agreement on January 1 2011. As per this agreement Honda has given to the company the right and license to manufacture assemble sell and distribute certain products and their service parts under their Intellectual Property Rights.In July 2011 the company changed their name from Hero Honda Motors Ltd to Hero MotoCorp Ltd. In February 2012 the company entered into a strategic partnership with Erik Buell Racing (EBR) of USA for contemporary technology and design inputs to enable the company to launch high end bikes for the domestic and international markets.In 2013 Hero Motocorp commenced construction of its new plant & Global Parts Centre.

The company Commences Construction of Its 'GAME-CHANGING' Centre of Global Innovation And Research & Design. In 2014 Hero Motocorp Heralds A New Era Of Technology Leadership. The company Sets New Benchmark For The Global Two Wheeler Industry.

The company Launches Splendor Ismart With Game Changing I3s Technology. The company also rides Into A Greener Tomorrow With 'GARDEN Factory'In 2015 Hero MotoCorp launched a new entry level commuter the HF Dawn. During the year the company has been allocated a 592-acre site to facilitate development of its Rs 1600-crore Greenfield manufacturing unit in Andhra Pradesh. HMCL Americas INC enters into 'Settlement Agreement' to Acquire EBR's Consulting Business. The company commences operation in their first ever plant outside India established in Villa Rica Colombia.On 29 September 2015 Hero MotoCorp launched two scooters under the brands Maestro Edge and Duet.In February 2016 Hero MotoCorp showcased three new bikes Splendor iSmart 110 the Xtreme 200 S the XF3R and an electric scooter the Duet E at Auto Expo a trade show in New Delhi. On 10 March 2016 Hero MotoCorp formally inaugurated its world-class Global Centre of Innovation and Technology' (CIT) in Jaipur Rajasthan. Built with an investment of Rs 850 crore the CIT will design and develop world-class products for global markets.In April 2016 Hero MotoCorp launched a drive against unscrupulous traders selling counterfeit Hero spare parts. On 14 July 2016 Hero MotoCorp launched the new Splendor iSmart 110 the first motorcycle to be developed completely in-house with Hero's own technology.

To commemorate the landmark 70 million in cumulative production of two-wheelers Hero MotoCorp on 26 September 2016 launched a Limited Edition of a new premium motorcycle Achiever 150. The Board of Directors of Hero MotoCorp at its meeting held on 26 October 2016 approved an investment of up to Rs 205 crore in one or more tranches for approximately 26-30% shareholding in Ather Energy Private Limited. Ather is a Bangalore-based technology start-up engaged in the business of designing and manufacturing smart Electric Vehicles (EV) and associated charging infrastructure.On 10 November 2016 Hero MotoCorp unveiled its new Dawn 125 motorcycle at the EICMA Motorcycle show in Milan Italy. As part of Hero MotoCorp's market-specific product strategy the Dawn 125 motorcycle has been developed specifically for the Africa region.On 12 January 2017 Hero MotoCorp launched new Glamour motorcycle in Argentina its first-ever global launch of a new product outside India. On 3 April 2017 Hero MotoCorp announced that the company clocked its highest-ever sales in a financial year at 6663903 units in FY 2017 compared to 6632322 units it had sold in the previous fiscal (FY 2016).In May 2017 Hero MotoCorp commenced commercial production at the second global manufacturing facility in Bangladesh. On 3 October 2017 Hero MotoCorp announced that it has set a new global benchmark in the two-wheeler industry surpassing the seven lakh sales mark in any month. Riding on robust demand for its range of two-wheelers the company registered its highest-ever sales for any month despatching 720739 units in September 2017. On 11 October 2017 Hero MotoCorp announced that it has set a new global record clocking 2 million unit sales in Q2 September 2017.

Hero MotoCorp sold 2022805 units of two-wheelers in Q2 September 2017 recording 11% growth over the corresponding quarter in the previous fiscal. On 7 November 2017 Hero MotoCorp unveiled the Xpulse Concept motorcycle as a world premier at the EICMA annual trade show in Milan Italy. On 21 December 2017 Hero MotoCorp unveiled three new motorcycles - the 125cc Super Splendor the 110cc Passion PRO and the 110cc Passion XPRO - to further augment its dominant leadership in the domestic market. On 22 December 2017 Hero MotoCorp announced that it will be increasing the ex-showroom prices of its motorcycles by about Rs 400 per model with effect from 1 January 2018 to partially off-set rising input costs. Hero MotoCorp surpassed the landmark seven million units in cumulative sales in a calendar year in 2017. The company sold a record 7207363 units of two-wheelers in the calendar year in 2017.