ExlService Holdings, Inc. (EXLS) to Expand Operations in India

NEW YORK and NEW DELHI, March 8 /PRNewswire-FirstCall/ — ExlService Holdings, Inc., a leading provider of outsourcing and transformation services, today announced plans to set up two new delivery centers in Noida and Jaipur in India.  These centers will expand EXL’s global services capacity, support new client acquisitions and enable greater flexibility to meet client requirements.  It will also strengthen EXL’s ability to provide a stronger business continuity framework.

The new facilities are located in Special Economic Zones (SEZ).  The cost and tax structures of SEZ facilities would help sustain EXL’s competitiveness in the global market.  With the addition of these two facilities, EXL will have 16 delivery centers and offices spread across ten locations in six countries.

“It is essential for EXL to provide our clients with a world-class infrastructure that meets their multi-shore global delivery requirements.  The expanded service delivery will effectively sustain our leadership position while creating new value propositions for our clients,” said Rohit Kapoor, President and Chief Executive Officer of EXL.  “Noida and Jaipur are strategic locations because both these regions offer rich talent pools, robust support infrastructure and are in close proximity to several other EXL delivery centers.”

The new Noida facility will have a capacity of over 800 seats spread over 100,000 square feet in the first phase and another 1400 spread over 120,000 square feet in the second phase. The first phase is expected to be operational in the third quarter of 2010. Noida is currently home to six delivery centers of EXL.

The Jaipur facility will be EXL’s first center in a tier two Indian location. Jaipur is located approximately 250 kilometers from New Delhi.  It is an attractive location due to lower operating costs and ease of access to a qualified talent pool. This facility will have a capacity of approximately 500 seats spread over 38,000 square feet and is expected to be operational in the second quarter of 2010. EXL will focus on providing finance and accounting and transaction processing services from this facility.

About ExlService Holdings, Inc.

ExlService Holdings, Inc. (Nasdaq: EXLS) is a leading provider of outsourcing and transformation services. EXL’s outsourcing services include a full spectrum of business process outsourcing services from offshore delivery centers requiring ongoing process management skills. Transformation services enable continuous improvement of client processes by bringing together EXL’s capabilities in decision analytics, risk and financial management and operations and process excellence services. Headquartered in New York, EXL primarily serves the needs of Global 1000 companies in the insurance, utilities, financial services, transportation and travel sectors. Find additional information about EXL at www.exlservice.com.

This press release contains forward-looking statements. You should not place undue reliance on those statements because they are subject to numerous uncertainties and factors relating to the Company’s operations and business environment, all of which are difficult to predict and many of which are beyond the Company’s control. Forward-looking statements include information concerning the Company’s possible or assumed future results of operations, including descriptions of its business strategy. These statements may include words such as “may,” “will,” “should,” “believe,” “expect,” “anticipate,” “intend,” “plan,” “estimate” or similar expressions. These statements are based on assumptions that we have made in light of management’s experience in the industry as well as its perceptions of historical trends, current conditions, expected future developments and other factors it believes are appropriate under the circumstances. You should understand that these statements are not guarantees of performance or results. They involve known and unknown risks, uncertainties and assumptions. Although the Company believes that these forward-looking statements are based on reasonable assumptions, you should be aware that many factors could affect the Company’s actual financial results or results of operations and could cause actual results to differ materially from those in the forward-looking statements. These factors are discussed in more details in the Company’s filings with the Securities and Exchange Commission, including the Company’s Annual Report on Form 10-K for the year ended December 31, 2008. These risks could cause actual results to differ materially from those implied by forward-looking statements in this release.

You should keep in mind that any forward-looking statement made herein, or elsewhere, speaks only as of the date on which it is made. New risks and uncertainties come up from time to time, and it is impossible to predict these events or how they may affect the Company. The Company has no obligation to update any forward-looking statements after the date hereof, except as required by federal securities laws.