Infosys completes bonus issue of shares

Infosys Technologies Limited today announced that it has completed all statutory formalities relating to the issue of bonus shares and the same have been credited to the shareholders’ account on July 06, 2004. About 99. 50% of the company’s shares are held in demat form. The intimation to the shareholders about the credit of the bonus shares is being dispatched. The bonus shares in physical form and the necessary intimation is also being despatched to the shareholders holding shares in physical form.

The Board of Directors of Infosys Technologies Limited at their meeting held on April 13, 2004, had recommended an issue of bonus shares on the company’s equity shares in the ratio of 3:1, i. e. three additional equity shares for every one existing equity share, by capitalizing a part of the reserves. The board also announced the change in the ratio of ADS (American Depositary Shares) to domestic shares from 2:1 to 1:1. The company’s members in the Annual General Meeting held on June 12, 2004 had approved the same. The record date for the bonus issue was July 2, 2004.

Consequent to the issue of bonus shares, the company’s issued and outstanding equity shares as of July 06, 2004 would be 26,74,72,136 including 2,11,82,848 underlying equity shares representing 2,11,82,848 ADSs.

About Infosys Technologies Ltd. (NASDAQ: INFY)

Infosys is a leading global technology services firm founded in 1981. Infosys provides end - t o - end business solutions that leverage technology for our clients across the entire software life cycle: consulting, design, development, re - engineering, maintenance, system integration, package evaluation and implementation. In addition, Infosys offers software products to the banking industry, as well as business process management services through its majority - owned subsidiary, Progeon. For more information, visit us on the World Wide Web at www.infosys.com.

Safe Harbor Provision

Certain statements in this release related to the Offering constitute forward - looking statements. This Offering is subject to shareholder approval, which may not be obtained. Although the Offering is expected to be made to our equity holders in India, we may be required to exclude certain equity holders outside India to comply with U. S. rules and regulations. Our business is subject to a number of risks and uncertainties that could affect our future operating results including those described in our United States Securities and Exchange Commission filings including our Annual Report on Form 20 - F for the fiscal year ended March 31, 2004 and on Form 6 - K for the quarter ended June 30, 2004 and September 30, 2004. These filings are available at www.sec.gov. Infosys may, from time to time, make additional written and oral forward - looking statements, including statements contained in the company's filings with the Securities and Exchange Commission and our reports to shareholders. The company does not undertake to update any forward - looking statements that may be made from time to time by or on behalf of the company.