Berger Paints India Ltd has informed BSE that the Board of Directors of the Company at its meeting held on February 26, 2008 and subject to the approval of the shareholders by postal ballot and such other approvals as may be required, it has been decided to:

a) increase the authorised capital of the company from Rs 650,000,000 to Rs 750,000,000 divided into 375,000,000 Ordinary (Equity) Shares of Rs 2/- each; and

b) issue upto 20,000,000 warrants on a preferential basis to the promoters / promoter group of the Company with a right exercisable by the warrant holder(s) to subscribe to the equity share of the Company on the basis of one fully paid equity share for one warrant, pursuant to the provisions of Securities and Exchange Board of India (Disclosure and Investor Protection) Guidelines, 2000, as amended and other applicable legal requirements.

Proceeds of the aforesaid issue will be utilized for financing normal capital expenditures of the Company including new projects, modernisation and expansion proposals.