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in nature or of other hazardous substances into the air, soil or water beyond these limits may cause us to
be liable to regulatory bodies and incur costs to remedy the damage caused by such discharges. Any of
the foregoing could subject us to litigation, which may increase our expenses in the event we are found
liable, and could adversely affect our reputation. The Draft Environment Impact Assessment 2020 (“EIA
2020”) has been issued by the Ministry of Forest, Environment and Climate Change, which when
notified, will supersede the Environment Impact Assessment 2006. The EIA 2020, among other things,
also aims to strengthen the monitoring mechanism for compliance of conditions for prior environment
clearance. We may be subject to stricter compliance requirements under the EIA 2020 for the facilities
that we may setup in future and any such increased compliance may lead to increase in compliance cost
and may adversely affect our business and financial conditions.

The adoption of stricter health and safety laws and regulations, stricter interpretations of existing laws,
increased governmental enforcement of laws or other developments in the future than that are prevailing
as of now may require that we make additional capital expenditures, incur additional expenses or take
other actions in order to remain compliant and maintain our current operations. Complying with, and
changes in, these laws and regulations or terms of approval may increase our compliance costs and
adversely affect our business, prospects, results of operations and financial condition.

We are also subject to the laws and regulations governing relationships with employees in such areas as
minimum wage and maximum working hours, overtime, working conditions, hiring and termination of
employees, contract labour and work permits. Our business is also subject to, among other things, the
receipt of all required licenses, permits and authorizations including local land use permits,
manufacturing permits, building and zoning permits, and environmental, health and safety permits. There
is a risk that we may inadvertently fail to comply with such regulations, which could lead to enforced
shutdowns and other sanctions imposed by the relevant authorities, as well as the withholding or delay
in receipt of regulatory approvals for our new products.

We are subject to stringent labour laws or other industry standards and any strike, work stoppage or
increased wage demand by our employees or any other kind of disputes with our employees could
adversely affect our business, financial condition, results of operations and cash flows.

We are subject to a number of stringent labour laws. India has stringent labour legislation that protects
the interests of workers, including legislation that sets forth detailed procedures for dispute resolution
and employee removal and legislation that imposes financial obligations on employers upon
retrenchment. We are also subject to international, federal, state and local laws and regulations, in all
jurisdictions where we have operations, governing our relationships with our employees, including those
relating to minimum wage, overtime, working conditions, hiring and firing, non-discrimination, work
permits and employee benefits. Further, in order to retain flexibility and control costs, we appoint
independent contractors who, in turn, engage on-site contract labour to perform certain operations.
Although we do not engage these labourers directly, in the event of default by any independent
contractor, we may be held responsible for providing statutory benefits, including wages to these
labourers if the independent contractors fail to do so. If we are required to pay the wages of the contracted
employees, our results of operations and financial condition could be adversely affected. In addition,
under the Contract Labour (Regulation and Abolition) Act, 1970, as amended, we may be required to
absorb a number of such contract labourers as permanent employees. Thus, any such order from a
regulatory body or court may have an adverse effect on our business, results of operations and financial
condition.

Further, the Occupational Safety, Health and Working Conditions Code, 2020 (enacted by the parliament
of India and assented to by the President of India on September 28, 2020) will come into force on such
date as may be notified in the official gazette. Once effective, it will subsume various legislations
including the Factories Act, 1948 and the Contract Labour (Regulation and Abolition) Act, 1970. If there
is any failure by us to comply with the new regime, we may incur increased costs, be subject to penalties,
have our approvals and permits revoked or suffer a disruption in our operations, any of which could
adversely affect our business.

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