1. Connecting India Faster CFA Franchisee Meeting Date : 15-09-2011 CFA MARKETING GM (Sales and Marketing- CFA) TAMILNADU CIRCLE, CHENNAI

2. CFA Franchisee – EOI Status Territory codeSSAClass of TerritoryStatus TN 01COIMBATOREAAppointed TN 02MADURAIBNo response TN 03KARAIKUDIBNo response VIRUDHUNAGARBNo response TN 04TRICHYBNo response TN 05THANJAVURBNo response CRDABNo response TN 06SALEMBAppointed TN 07ERODEBNo response COONOORBNo response TN 08PONDYCLOI issued CUDDALORECLOI issued DHARMAPURICLOI issued VELLORECLOI issued TN 09TUTICORINCAppointed TIRUNELVELICAppointed NAGERCOILCAppointed Appointed = 5 SSAs No response = 8 SSAs LOI issued = 4 SSA Sept 15, 2011 TN 10 2

3. Existing CFA Franchisee / Achievments ● 1. M/s Vasantha Communications, Chennai. ● Area covered: TN 01 - Coimbatore SSA. Agreement date : 24/03/11 Operation launched : 01/05/11 Sub-franchisee :10Retailers: 10 Feet on Street: 3 /46 Sept 15, 20113

4. Coimbatore SSA – Target/ Achieved Sept 15, 2011 MONTHLandlineBroadbandEVDORESTORAT ION TOTAL ACHIEVED APRIL425600100 1 MAY60070020025018 JUNE100013003003509 JULY1000130030035040 AUGUST1000135030035079 4

5. Coimbatore SSA – IN target Sept 15, 2011 SERVICEYEARLY TARGETACHIEVED UITC14.46 lakhsNIL FPH(TFS)10NIL UAN20NIL 5

6. CAMPAIGN CONDUCTED BY FRANCHISEE- Coimbatore SSA ● At the MANCHESTER GRAND, M.G.Road,Avarampalayamon 24/7/2011. ● 25 Flats visited and Doc collected -4 ● 3 G Demo…………………………..1 ● FWP/WLL…………………………1 ● Enquiry…………………………….3 Sept 15, 20116

7. CAMPAIGN CONDUCTED BY FRANCHISEE contd.. -Coimbatore SSA ● 100 ft Road Gandhipuram- 4 days. Lead generated -43. ● Participated in the TTD Kalyana function @ Codissia,CBT. Lead generated 145. ● Roadshows @ Tirupur, vadavalli(26), PN Pudhur(31),selvapuram(16), sneham apts-peelamedu(27), Parson Apts @ Ondipudhur(22), Hanuman Temple Peelamedu(26) Sept 15, 20117

8. CAMPAIGN @ TTD KALYANA UTSAV at CODISSIA CBT -Coimbatore SSA Sept 15, 20118

9. CAMPAIGN @ TTD KALYANA UTSAV at CODISSIA CBT - Coimbatore SSA Sept 15, 20119

10. 2. M/s Vasantham Agencies, Nagercoil ● Area Covered: TN 09 – Nagercoil/ Tirunelveli/ Tuticorin SSAs. ● Agreement date : 24/03/11 Operation launched : 06/06/11 ● Show room Opened at Nagercoil on - 06-06-2011, at SMT Complex,34 / C - Dennison Road, Nagercoil – 629 001. ● Sub-franchisee : 23Retailers: 52 Feet on Street: 13 Sept 15, 201110

11. NAGERCOIL SSA - Target/Achieved Sept 15, 2011 Target Land Line PCOs ( Including FLPP PCOs ) BB – Post paid BB – Prepaid BB- Prepaid Vouchers Achieved up to July 2011 28 + ( WLL-10) 127Nil Target for the month August -2011 1000510005Rs.5000 Target achieved in the month August - 2011 14 + (WLL – 06) Nil13Nil Target for the month September - 2011 100052505Rs.2500 11

12. NAGERCOIL SSA Sept 15, 2011 Target FOS Sub Franchisee POS Appointed up to July - 2011 101652 Target for the month August - 2011 6530 Target achieved in the month August - 2011 332 Achieved up to Aug - 2011 131952 Target for the month September - 2011 31050 12

13. NAGERCOIL SSA – IN TARGETS Sept 15, 2011 Target FPHUAN VPN TelevotingPRMTotal NationalCircleSDCA Target for the Year 2011- 12 6101124125 Target achieved as on 30-06-2011 Nil Target for the month August -2011 11111117 Target achieved in the month August -2011 Nil Target for the month September -2011 222222214 13

14. New CFA Franchisees (Under proccess) Sept 15, 2011 S.No Name of FranchiseeCode NoSSA CovStatus 11.M/s R.D Agencies, Salem TN 06SalemPBG received on 12/09/2011 22. M/s DTH & Telecom Ser vices Pvt. Ltd., Chennai. TN 08Vellore/ Dharmapur i LOI issued on 29/08/2011. PBG not yet received 3Lakshmi Agencies, Villupuram TN 10Cuddalore/ Pondichery PBG received on 15/09/2011 14

15. Highlights of CFA Franchisee ● 1. Franchisee must ensure office space (carpet area) of size 250-300 sq.ft. within 15 days of LOI. Manning of office space at least 14 hrs per day (8:00 AM to 10:00 PM), for seven days a week. ● 2. Tie-ups with organized/unorganized Points of Sale (Points of Sale like electronic shops, PC retailers, etc) on non- exclusive basis such that there is a tie-up PoS available at every 1 Km in commercial area & every 2 Km in residential area. Sept 15, 201115

16. Highlights of CFA Franchisee(contd.) ● 3. During the first 3 months of CFA Franchisee ‟ s appointment, 25% of the leads will be shared & thereafter, the percentage of leads shared will depend upon the concerned CFA Franchisee ‟ s conversion ratio mentioned in the EOI. ● 4. CAF collection, verification (physical verification, if required) and timely submission of documents to BSNL as per regulatory guidelines and BSNL instructions. ● 5. The FoS of the CFA Franchisee should service the customer within 2 hours. Sept 15, 201116

17. Highlights of CFA Franchisee(contd.) ● 6.Number of FoS appointed shall be based on the productivity criteria of 20 connections per FoS per month. ● 7. The Payment received by the Franchisee shall be deposited in BSNL on the same day or the day following. ● 8. SSA should appoint Nodal Officer for CFA Franchisee. Sept 15, 201117

18. Highlights of CFA Franchisee(contd.) ● 9. SSA will Communicate the targets for next calendar month on or before 25th of previous month. ● 10. Norm for FoS appointment: CFA Franchisee has to ensure a minimum of one FoS for every 4000 non broad- banded wireline connection in the territory allotted to him. ● 11. To do away with delay due to encashment of cheque, CFA Franchisee may give advance deposit other than PBG in BSNL ‟ s account against which material can be issued for sales. Sept 15, 201118

19. Highlights of CFA Franchisee(contd.) ● CFA Franchisee may open an account with RTGS / online transfer facilities in the bank in which BSNL ‟ s account is in concerned SSA. ● 12. Each SSA will set the targets for CFA Franchisee based on network coverage, wired line potential of territory and historical performance of franchisee. Sept 15, 201119

20. Highlights of CFA Franchisee(contd.) ● 13. It may be noted that 80% of the commission on secondary products will be payable straightaway. The balance 20% will be payable only if certified by the concerned nodal officer-CFA for completion of at least 60% sales targets on primary products. ● 14. CFA Franchisee shall display prominently the information prescribed by BSNL from time to time & will display a signboard, of size decided by BSNL, indicating the name & logo/Brand name of BSNL as may be prescribed by the BSNL. Sept 15, 201120

21. Feet On Street (FOS SSA wise) Sept 15, 2011 SSALandlineBroadbandNon-BB Conn FOS Pondicheri62245 22262 3998310 Coimbatore2515526568318586946 Cuddalore89263210236824017 Dharmapuri46814 10886 359289 Vellore115155258228933322 Nagercoil81080181396294116 Tuticorin64174142884988612 Tirunelveli90106198737023318 Salem144293 28015 11627829 21

22. Leads from Call centre during Aug 2011 Sept 15, 2011 S.NoSSA_DESC BSNLW EBSITE SMSCSC BSNLIN TRANET CIRCLE WEBSIT E CIRCLEI NTRANE T CALLCE NTER Total Leads 1PONDICHERY 45 000 21232 2DHARMAPURI 1116 000 7 0 34 3CUDDALORE 169 000 17244 4VELLORE 187 000 28255 5SALEM 301719 00 22189 6COIMBATORE 7067 000 9410241 7NAGARCOIL 5654 00 10176 8TIRUNELVELI 1145 00 18543 22

23. CFA Franchisee – New Commission structure dated 08-08-2011 ● For new BB/LL connections 100% commission payment after first bill payment instead of third bill payment. ● Centrex and VPN the Commission has been increased from Rs.50/- to one month FMC per member line. ● Free phone service and Universal Access Number the commission has been increased from Rs.1500/- to Rs.5000/- ● Premium rate Service the commission has been increased from Rs.1500/- to Rs.3000/- per commission. Sept 15, 201123

24. Performance Management System Targets will be set on following parameters Type A parameters i. Gross Connections (landline & Broadband provided) and sale of other consumer Fixed Access products ii. % conversion on leads The products used for target setting would be primary products as defined earlier. Type B parameters iii. % of PoS tie-ups activated by the CFA Franchisee Any exceptions or inability to this should be approved by GM (Sales-Consumer Fixed Access) in circle office. Sept 15, 201124

25. Performance Management System (Contd.) a. Review Process at SSA: For the purpose of monthly reviews various parameters, their scoring and cut-offs are given in table below. Sept 15, 2011 #Parameter (measured on monthly basis) ScoringCut-Off Score 1Gross Connections(Actual Land line & Broadband Connections provided) and sales of other consumer fixed access products % of Target Achieved >60% 2% Conversion on leads transferred % Conversion>15% #Parameter (measured on monthly basis) ScoringCut-Off Score 3Number of PoS tie-ups activated by the CFA Franchisee % of Target Achieved >60% 25

26. Performance Management System (Contd.) The SSA review committee (CFA-Franchisee)should discuss about any other complaints received about the CFA franchisee and warnings / monetary fines could be issued / imposed. SSA review committee (CFA-Franchisee) must prepare a scorecard for each CFA Franchisee before monthly review meeting. The scorecards for three months should be sent for circle level review each quarter. Sept 15, 201126

27. Consequences for Poor Performance: ● Any CFA Franchisee who does not meet the cut-off score on any parameter (Type A or Type B) or fails to deliver the services as per agreed procedure or parameter or adhere to targets as prescribed & agreed herein or breach any terms & conditions of contract without prejudice to other remedies available to BSNL, becomes liable for penalty as per the table given below Sept 15, 2011 MonthsOne Month Two Months Three Months Four Months Five Months Six Months Beyond Six Months IssuerSSA CircleSSA Circle PenaltyWarningStrong Warning Rs.2000Rs.4000Rs.7000Rs10000 27

28. Consequences for Poor Performance(contd.): CFA Franchisees who do not meet the cut-off scores on any Type B parameter should be given suitable warning and/ or penalty should be imposed as deemed fit by the SSA head. Sept 15, 201128

29. Statements: (Fortnightly) SSAWhether CFA Franchisee Appointed Total Sales figure of previous month Sales in fortnight ending on ……… L/LBBIN Pro duct s Sales through CM/CFA Franchisee/DSA Sales through BSNL Outlet L/LBBIN Product s L/LBBIN Products Sept 15, 201129

30. Statements: To be Submitted by SSAs in respect of CFA Franchisees ……. (Monthly) ● Target/ Achievement for the month of ……………………2011. ● ● Name of the SSA: ● Name of the Franchisee: ● I. Appointment of: (a) No. of Sub Franchisees: ● (b) Retailers: ● (c) FoS : (As per norms) ● …………………… contd. Sept 15, 201130

31. Statements: To be Submitted by SSAs in respect of CFA Franchisees ……. (Monthly) Sl. No. CFA ProductTargetAchievement 1Landline 2Broadband 3IN – Prepaid (In Pupees) 4IN – Postpaid (In Rupees) 5ISDN 6Prepaid BB RCV (In Rupees) Sept 15, 201131

32. E-Pin Franchisee status Sept 15, 2011 Sl.No.AgencyStatusBusiness done so far 1M/s.Faizal TradersAppointed as e-pin franchisee on 11-08- 2011 Purchased for Rs. 10 lakhs on 17-08-2011 2M/s.Karakkattu Communications Agreement signed on 15.09.2011 -- 3M/s. Key SystemsNot yet signed-- 32

33. Thank you Sept 15, 2011 33