B.Braun India becomes partner with Govt of A.P.

for running and managing

11 hemodialysis with 111 units of Hemodialysis machines
This arrangement is through a Public Private Partnership Initiative, wherein B.Braun has brought in Foreign Direct
Investment in A.P. and A.P. Govt has signed an MoU with B.Braun for Sever Year on BOT (Build Own and
Transfer) basis.

Hyderabad, Andhra Pradesh, March 18, 2010 /India PRwire/ -- B. Braun Medical (India) Pvt. Ltd., a Subsidiary of
B. Braun Melsungen AG, one of the world's leading healthcare suppliers headquartered in Melsungen, Germany
partnered with the Government of Andhra Pradesh to reduce sufferings of poor patients (White card holders and
those covered under Aarogyashree Scheme). B.Braun India became partner with Govt of A.P. for running &
managing 11 hemodialysis centers within their medical colleges and hospitals with 111 units of Hemodialysis
machines. This arrangement is through a Public Private Partnership Initiative, wherein B.Braun has brought in
Foreign Direct Investment in A.P. and A.P. Govt has signed an MoU with B.Braun for Sever Year on BOT (Build
Own and Transfer) basis.

Disclosing this, addressing a Press Conference in Hyderabad, Mr. Lam Chee Hong, Managing Director of B.Braun
Malaysia said B. Braun has pioneered this Public Private Partnership initiative. It has already set up 8 hemodialysis
(dialysis) centres in places like Hyderabad (Gandhi and Osmania General Hospitals), Tirupathi, Warangal,
Kakinada, Kurnool and Vishakapatnam. These hemodialysis centres are set up in the Nephrology wing of the
Medical College in each of the city. Soon it is going to set up three more centres, one each in Srikakulam,
Anantapur and Vijayawada. Plans are also on the anvil to set up a Dialysis Centre at NIMS at Hyderabad. Threse
centres are being set up by B.Braun with an investment of Rs 45 crore.

As of now 85 machines are operational in 8 centres and the balance 26 machines will be added soon. B.Braun
registered over 350 patients and have performed upto 13th March over 7500 treatments since inception four
months back. Once all 11 centres and 111 machines become functional all of them put together will provide
treatment to around 1000 patients suffering from Chronic Kidney diseases who will be covered for maintenance
Haemodialysis.

The dialysis is provided free of cost to the patients. While the government pays Rs1200/- per each dialysis out of
which Rs1080/- is paid to B.Braun and balance goes to the respective Medical College.

Hyderabad is a diabetic capital. Approximately 7% of the population is diabetic, due to which sometimes kidneys
fail. Patients need dialysis, sometimes 8 to 12 times a month depending on their condition. Each dialysis costs
anywhere from Rs 1200/- to 2000/-. The cost is so much that needy patients cannot afford dialysis regularly.

6.45 crore population in the state of Andhra Pradesh is covered under Aarogyasri. For every ten lakh population,
there are 150 patients suffering with Chronic Kidney disease. This means the number of kidney disease patients in
the state who come under Arogyasri are 9675. Minimum dialysis required for these patients is two per week and
108 per year. All these Chronic Kidney patients in the state need 10,44,900 dialysis per year. Estimated required
dialysis machine capacity is put at 1,116.

The State of Andhra Pradesh both in private and government put together has 474 Dialysis Machines. The number
of patients can be catered with the present capacity is 4,006 only. Remaining 5000 patients are left for
non-availability of dialysis machines. The gap in demand and supply in terms of number of Hemodialysis machines
in the state is 642, informed Dr. Rahul Medakkar, Head of Operations of B.Braun Medical (India) addressing a
press conference in city.

B. Braun already has 266 dialysis machines installed in A.P. On all India basis, it has 1400 machines installed
which forms market share of 21%, informed Dr. Rahul Medakkar.

When asked whether they would expand to more cities, Dr. Rahum Medakkar said the focus is to add more
machines to existing centres. Replying to another question he said we are open to add more centres or more
machines if government feels the need. We are in the process of stabilising this pioneer services in the state of

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Andhra Pradesh and mature here in next few months. That is when we look at other options. We plan to replicate
the this pioneering model in other states. We have got firm enquiries from states like Tamil Nadu, Maharashtra and
Rajasthan to replicate Public Private Partnership Model hemodialysis centres, he informed.

B.Braun is founded 173 years ago, operates in 50 countries with manufacturing facilities in 5 continents. It is the
66th largest privately owned company world wide. The groups global turnover is 3.79 billion Euros. It has 31,000
employees worldwide.

Today B. Braun India is one of the leading companies in the field of healthcare in India, catering to therapeutic
segments such as Anesthesia, Surgery, Interventional Cardiology, Orthopedics, Dialysis Treatment & Home Care.
With its wide range of products & services, B. Braun in India is regarded as a comprehensive Solution Provider by
its customers, informed Krishna Chellappa, Business Unit Head of B.Braun.

Earlier addressing the gathering, Dr. Ravi Raju, Director of Medical Education, Government of A.P said, incidence
of Diabetes in A.P is more due to many reasons.

Nearly 7 per cent of population is suffering with some or other form of kidney failure. In some pockets of A.P like
Srikakulam, 18 to 20 per cent of population is suffering with Kidney diseases. Governement in association with
Haward Medical School and BARC under project SEEK (Screen Early Evalutar Kidney Diseases) is studying the
reasons high degree kidney failures in Srikakulam, said Dr. Ravi Raju.

The state has over 10,000 terminally kidney failure patients. They need regular dialysis. The treatment is
expensive. There are not many dialysis machines in the state. Hence, the state government decided to address this
problem and entered an arrangement with B.Braun under Public Private Partnership Model, couple of months back
he informed. Under this model patients covered under Aarogyasri will get free treatment, he said.

For more information, please contact:

Ramchandram Dhannaram
Managing Partner
(L) 0091-40-23241484

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