Escorts - Board Meeting On May 30, 2007

With reference to the earlier announcement dated January 25, 2007 wherein the Board of Directors of the Company had approved to raise equity linked instrument through Qualified Institutional placement (QIP) subject to various approvals as required in Companies Act, 1956 and SEBI guidelines. The Company has also obtained approval from shareholders in the Extra-ordinary General Meeting held on May 25, 2007, Escorts Ltd has informed that the Board of Directors of the Company shall consider to approve Placement Document on May 30, 2007, which shall be circulated to Qualified Institutional Buyers under the QIP Issue.