Notes to Accounts of Machino Plastics Ltd.

Mar 31, 2025

o) Provisions, contingent liabilities and contingent assets

Provisions are recognised when the Company has a present obligation (legal or constructive) as a result of a past
event, it is probable that an outflow of economic benefits will be required to settle the obligation, and a reliable
estimate can be made of the amount of the obligation.

The amount recognized as a provision is the best estimate of the consideration required to settle the present
obligation at the end of the reporting period, taking into account the risks and uncertainties surrounding the
obligation.

These estimates are reviewed at each reporting date and adjusted to reflect the current best estimates. If the
effect of the time value of money is material, provisions are discounted. The discount rate used to determine the
present value is a pre-tax rate that reflects current market assessments of the time value of money and the risks
specific to the liability. The increase in the provision due to the passage of time is recognised as interest expense.

Contingent liabilities exist when there is a possible obligation arising from past events, the existence of which
will be confirmed only by the occurrence or non-occurrence of one or more uncertain future events not wholly
within the control of the Company, or a present obligation that arises from past events where it is either not
probable that an outflow of resources will be required or the amount cannot be reliably estimated. Contingent
liabilities are appropriately disclosed unless the possibility of an outflow of resources embodying economic
benefits is remote.

A contingent asset is a possible asset arising from past events, the existence of which will be confirmed only by
the occurrence or non- occurrence of one or more uncertain future events not wholly within the control of the
Company. Contingent assets are not recognised till the realisation of the income is virtually certain. However, the
same are disclosed in the financial statements where inflows of economic benefits are possible.

p) Cash and cash equivalents

Cash and cash equivalents for the purpose of presentation in the statement of cash flows comprises of cash
at bank and in hand, bank overdraft and short term highly liquid investments/bank deposits with an original
maturity of three months or less that are readily convertible to known amounts of cash and are subject to an
insignificant risk of changes in value.

q) Events after the reporting period

Adjusting events are events that provide further evidence of conditions that existed at the end of the reporting
period. The financial statements are adjusted for such events before authorisation for issue.

Non-adjusting events are events that are indicative of conditions that arose after the end of the reporting period.
Non-adjusting events after the reporting date are not accounted but disclosed.

r) Earnings Per Share

(i) Basic earnings per share

Basic earnings per share is calculated by dividing:

• The profit attributable to owners of the company

• By the weighted average number of equity shares outstanding during the financial year, adjusted for
bonus elements in equity shares issued during the year and excluding treasury shares.

(ii) Diluted earnings per share

Diluted earnings per share adjusts the figures used in the determination of basic earnings per share to take
into account:

• The after income tax effect of interest and other financing costs associated with dilutive potential
equity shares, and

• The weighted average number of additional equity shares that would have been outstanding assuming
the conversion of all dilutive potential equity shares.

The dilutive potential equity shares are adjusted for the proceeds receivable had the equity shares been
actually issued at fair value (i.e. the average market value of the outstanding equity shares). Dilutive
potential equity shares are deemed converted as at the beginning of the period, unless issued at a later
date. Dilutive potential equity shares are determined independently for each period presented.

The number of equity shares and potentially dilutive equity shares are adjusted retrospectively for all
periods presented for any share splits and bonus shares issues including for changes effected prior to the
approval of the financial statements by the Board of Directors

s) Offsetting instruments

Financial assets and liabilities are offset and the net amount reported in the Balance Sheet when there is a legally
enforceable right to offset the recognised amounts and there is an intention to settle on a net basis or realise
the asset and settle the liability simultaneously. The legally enforceable right must not be contingent on future
events and must be enforceable in the normal course of business and in the event of default, insolvency or
bankruptcy of the Company or the counterparty.

t) Segment Reporting

Operating segments are reported in a manner consistent with the internal reporting provided to the chief
operating decision maker (CODM) as defined by Ind AS- 108, "Operating segment".

Company''s income and expenses including interest are considered as part of un-allocable income and expenses
which are not identifiable to any business segment. Company''s asset and liabilities are considered as part of un¬
allocable assets and liabilities which are not identifiable to any separate business segment.

u) Financial Risk Management
Risk management framework

The Company''s Board of Director has overall responsibility for the establishment and oversight of the Company''s
risk management framework. The Board has established the Risk Management Policy.

The Company''s risk management policies are established to identify and analyse the risks faced by the Company,
to set appropriate risk limits and controls and to monitor risks and adherence to limits. Risk management policies
and systems are reviewed regularly to reflect changes in market conditions and the Company''s activities. The
Company, through its training and management standards and procedures, aims to maintain a disciplined and
constructive control environment in which all employees understand their roles and obligations.

The Audit Committee oversees how management monitors compliance with the company''s risk management
policies and procedures, and reviews the adequacy of the risk management framework in relation to the risks
faced by the Company. The Audit Committee is assisted in its oversight role by Internal Audit function, which
regularly reviews risk management controls and procedures, the results of which are reported to the Audit
Committee.

The Company has exposure to Credit, Liquidity and Market risks arising from financial instruments:

A. Credit Risk

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument
fails to meet its contractual obligations, and arises principally from the Company''s receivables from
customers.

Trade and other receivables:-

The Company''s exposure to credit risk is influenced mainly by the individual characteristics of each customer.
However, management also considers the factors that may influence the credit risk of its customer base,
including the default risk of the country in which customers operate.

The Risk Management Committee has established a credit policy under which each new customer is
analysed individually for Creditworthiness before the Company''s standard payment and delivery terms and
conditions are offered. Credit limits are established for each customer and reviewed periodically.

At the end of the reporting period, there are no significant concentrations of credit risk. The carrying
amount reflected above represents the maximum exposure to credit risk.

B. Liquidity Risk

Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated
with its financial liabilities that are settled by delivering cash or another financial asset. The Company''s
approach to managing liquidity is to ensure, as far as possible, that it will have sufficient liquidity to meet its
liabilities when they are due, under both normal and stressed conditions, without incurring unacceptable
losses or risking damage to the Company''s reputation.

C. Market Risk

Market risk is the risk that changes in market prices such as commodity prices risk, foreign exchange rates
and interest rates which will affect the Company''s financial position. Market risk is attributable to all market
risk sensitive financial instruments including foreign currency receivables and payables.

Capital Management

The Company''s objective for capital management is to maximize shareholder wealth, safeguard business
continuity and support the growth of the Company. The Company determines the capital management
requirement based on annual operating plans and long term and other strategic investment plans. The
funding requirements are met through a mix of equity, borrowings and operating cash flows.

Interest rate risk Management

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate
because of changes in market interest rates. The company is exposed to interest rate risk because company
borrows funds at both fixed and floating interest rates. The risk is managed by the company by maintaining
an appropriate mix between fixed and variable rate borrowings.

Statement of Cash flows

Cash flows are reported using the indirect method, whereby profit / (loss) before tax is adjusted for the
effects of transactions of non-cash nature and any deferrals or accruals of past or future cash receipts or
payments. The cash flows from operating, investing and financing activities of the Company are based on
classification made in a manner considered most appropriate to Company''s business.

Nature of securities

The cash credit facilities are secured by way of pari passu first charge on entire current assets of the Company
including stocks of raw material, goods in transit and book debts along with second pari passu charge on entire
fixed assets of the Company is excluding moulds and dies, Gurgaon and Manesar Plants.

The sales invoice discounting facility has the exclusive charge on debtors of "Maruti Suzuki India Limited" funded
by Yes Bank Ltd.

a) Cash credit facilities outstanding from Axis Bank Limited is Nil (Previous year Rs. 155.20) carry interest of
11.45% computed on the daily basis on the actual amount utilized, and are repayable on demand.

b) Cash credit facilities outstanding from Kotak Mahindra Bank Limited is Rs. 270.12 (Previous year Rs. 446.35)
carry interest of 9.80% computed on the daily basis on the actual amount utilized, and are repayable on
demand.

c) Cash credit facilities outstanding from Yes Bank Limited is Rs. 2,576.35 (Previous year Rs 1,109.90) carry interest
of 10.45% computed on the daily basis on the actual amount utilized, and are repayable on demand.

d) Sales invoice discounting outstanding from Yes Bank Limited is Rs 2,986.88 (Previous year Rs 2,412.20) carry
interest of 7.95% computed on the daily basis on the actual amount utilized, and are repayable on demand.

e) Revolving loan against tentative delivery instruction (TDI) from MSIL outstanding from Kotak Mahindra Bank
Limited is Rs 858.38 (Previous year Rs 1,000.00) carry interest of 9.20% computed on the daily basis on the
actual amount utilized, and are repayable on 75 days from usance.

The quarterly returns or statements of current assets filed by the company with banks are in arrangement with
books of accounts of the company. Further there is no material discrepancy between books & information
submitted to bank.

(iii) Commitments

Estimated amount of contracts, remaining to be executed on land Nil (Previous year ? 2,080.81 lakh), on machinery
/ spare parts of machinery (net of advances) ? 1,306.69 lakh (Previous year ? 370.93 lakh (approx.) payable in USD
86,390 and JPY 5,42,55,000), on factory building ? 529.69 lakh (Previous year Nil).

32. Post retirement employee benefits:

(i) Defined benefit plans such as gratuity

The company provides for gratuity for employees in India as per the Payment of Gratuity Act, 1972. Every employee
who has completed five years or more of service gets a gratuity on departure at 15 days salary (last drawn salary) for
each completed year of service. The company has a defined benefit gratuity plan. The scheme is funded with "Life
Insurance Corporation" in the form of a qualifying insurance policy. The present value of obligation is determined
based on actuarial valuation using the Projected Unit Credit Method, which recognizes each period of service
giving rise to additional unit of employee benefit entitlement and measures each unit separately to build up the
final obligation.

The above sensitivity analysis is based on a change in each assumption while holding all other assumptions
constant. In practice, this is unlikely to occur and changes in some of the assumptions may be correlated. When
calculating the sensitivity of the defined benefit obligation to significant actuarial assumptions, the same method
(present value of the defined benefit obligation calculated with the projected unit credit method at the end of
the reporting period) has been applied as when calculating the defined benefit liability recognized in the balance
sheet.

Risk exposure

Through its defined benefit plans, the Company is exposed to a number of risks, the most significant of which are
detailed below:

Interest rate risk:

The defined benefit obligation calculated uses a discount rate based on government bonds. If bond yields fall, the
defined benefit obligation will tend to increase.

Salary inflation risk:

Higher than expected increases in salary will increase the defined benefit obligation.

Demographic risk:

This is the risk of variability of results due to unsystematic nature of decrements that include mortality, withdrawal,
disability and retirement. The effect of these decrements on the defined benefit obligation is not straight forward
and depends upon the combination of salary increase, discount rate and vesting criteria. It is important not to
overstate withdrawals because in the financial analysis the retirement benefit of a short career employee typically
costs less per year as compared to a long service employee.

(ii) Defined contribution plans such as provident fund

The Company has defined contribution plans namely provident fund. Contributions are made to provident
fund at the rate of 12% of basic salary as per regulations. The contributions are made to registered provident fund
administered by the Government. The obligation of the Company is limited to the amount contributed and it has
not further contractual nor any constructive obligation. The expense recognised during the year towards defined
contribution plan is as follows:

33. Other income includes interest income ?8.49 lakh (Previous year ?1.51 lakh), tax deducted thereon is ?0.46 lakh
(Previous year Nil lakh), Profit on sale of property, plant and equipment is Nil (Previous year ?2.35 lakh), Duty draw back
received ?2.63 lakh (Previous year ?2.35 lakh).

34. Leases
Company as a lessee

The Company has lease contracts for various items of Land and Building in its operations. Leases generally have lease
terms between 1 and 33 years. The Company''s obligations under its leases are secured by the lessor''s title to the leased
assets. Generally, the Company is restricted from assigning and subleasing the leased assets and some contracts require
the Company to maintain certain financial ratios.

The Company has a lease contract with his joint venture partner namely Maruti Suzuki India Limited for 33 years for use
of land of Gurugram factory premises on annual rent of ?!/-. The Company has not created ROU assets and liabilities on
this because there is no material impact on the financials.

The Company had total cash outflows for leases of ?192.56 lakh in March 31, 2025 (?189.64 lakh in March 31, 2024).
There are no non cash additions to right-of-use assets and lease liabilities. There are no future cash outflows relating to
leases that have not yet commenced.

35. Investment in equity share is measured at fair value through other comprehensive income as per Ind AS 109.

Company was allotted 12,50 000 equity shares of face value of Rs.10 each in March 1995 by Caparo Maruti Limited (CML)
constituting 10% equity capital of CML in total. The amount of Rs.125 lacs in this regard is reflected as an investment in
the balance sheet of the company. However, CML, illegally, unilaterally passed a resolution in its board cancelling the
shares held by the company and allegedly unlawfully modified the register of members in the year 2004. Accordingly,
the company filed a Plaint before the Hon''ble High Court of Delhi for nullifying such illegal act by CML. The matter is
pending before the Hon''ble High Court of Delhi. Company has not made any provision in this regard in the balance
sheet as the Management is of strong opinion that judicial decision will be in its favour as the Company was arbitrarily
denied its rights as a shareholder and the company firmly believes that it continues to be the lawful shareholder of CML.

The company is unable to ascertain the fair value of investment in equity shares in Caparo Maruti Limited as it is not
practicably feasible to do so and therefore, no fair value adjustment have been made in the books of accounts and these
equity instruments have been carried forward at cost as at Balance sheet date.

36. Segment information

The company is engaged primarily in manufacturing plastic injection moulding parts and moulds & dies. The company
has identified two operating segments i.e.

Plastic injection moulding parts:

The segment comprises manufacturing plastic injection moulding parts.

Moulds & dies:

The segment comprises manufacturing moulds & dies.

Both segments are reportable segment as per Ind AS-108 "Operating Segments". The geographical segmentation is not
relevant, as there is insignificant export.

Segments have been identified considering the nature of product and differential risk and returns of segment. These
business segments are monitored and reviewed by the Chairman cum Managing Director (Chief operating decision
maker) for the purpose of making decisions about resource allocation and performance assessment.

Segment measurement:

The measurement principles for segment reporting are based on IND AS 108. Segment''s performance is evaluated
based on segment revenue and profit and loss from operating activities.

1. Operating revenues and expenses related to both third party and inter-segment transactions are included in
determining the segment results of each respective segment.

2. Operating expense comprises of consumption of materials, employee benefits expenses, depreciation and other
expenses.

3. Finance expenses incurred are not allocated to individual segment and the same has been reflected at the Group
level for segment reporting.

4. The total assets disclosed for each segment represent assets directly managed by each segment, and primarily
include receivables, Property, Plant and Equipment, inventories, operating cash and bank balances, and exclude
income tax receivable, land & building which is used commonly for both segments.

5. Segment liabilities comprise operating liabilities and exclude liabilities associated with cash credit borrowings,
deferred tax liabilities, provision for gratuity and GST payable.

6. Segment capital expenditure is solely related to plastic injection moulding parts.

7. Unallocated expenses comprise depreciation & security expenses of commonly used building & group gratuity
contribution.

45. Capital Management

The Company manages its capital to ensure that the company will be able to continue as going concerns while
maximizing the return to stakeholders through the optimization of the debt and equity balance.

The capital structure of the Company consists of net debt (borrowings as detailed in notes 15 and 18 offset by cash
and bank balances) and total equity of the company. The company is not subject to any externally imposed capital
requirements.

The Company''s risk management committee reviews the capital structure of the Company on a semi-annual basis. As
part of this review, the committee considers the cost of capital and the risks associated with each class of capital. The
Company monitors capital on the basis of following gearing ratio, which is net debt divided by total equity plus debt.

*Fair value of instruments is classified in various fair value hierarchies based on the following three levels:

Level 1: Level 1 hierarchy includes financial instruments measured using quoted prices.

Level 2: The fair value of financial instruments that are not traded in an active market is determined using valuation
techniques, which maximise the use of observable market data and rely as little as possible on entity specific estimates.
If significant inputs required to fair value an instruments are observable, the instrument is included in level 2.

Level 3: If one or more of the significant inputs are not based on observable market data, the instruments are included
in level 3.

Management uses its best judgement in estimating the fair value of its financial instruments. However, there are
inherent limitations in any estimation technique. Therefore, for substantially all financial instruments, the fair value
estimates presented above are not necessarily indicative of the amounts that the Company could have realized or paid
in sale transactions as of respective dates. As such, the fair value of financial instruments subsequent to the reporting
dates may be different from the amounts reported at each reporting date.

7. Financial risk management:

The Company''s Corporate Treasury function provides services to the business, co-ordinates access to domestic and
international financial markets, monitors and manages the financial risks relating to the operations of the company
through internal risk reports which analyses exposures by degree and magnitude of risks. These risks include market risk
(including currency risk, interest rate risk and other price risk), credit risk and liquidity risk.

The Corporate Treasury function reports quarterly to the company''s risk management committee, an Independent
body that monitors risks and policies implemented to mitigate risk exposures.

Market Risk

Market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes
in market prices. Market risk comprises of currency risk, interest rate risk and price risk. Financial instruments affected
by market risk include loans and borrowings, trade receivables and trade payables involving foreign currency exposure.
The sensitivity analysis in the following sections relate to the position as at March 31, 2025 and March 31, 2024. The
sensitivity of the relevant profit or loss item is the effect of the assumed changes in respective market risks. This is based
on the financial assets and financial liabilities held at 31 March 2025 and 31 March 2024.
a) Foreign currency risk management

Foreign currency risk is the risk that the fair value or future cash flows of an exposure will fluctuate because of
changes in foreign rates. The Company''s exposure to the risk of changes in foreign exchange rates relates primarily
to the trade / other payables, trade / other receivables and derivative assets / liabilities. The risk primarily relate to
fluctuations in US Dollar, EURO and JPY against the functional currencies of the Company. The Company''s exposure
to foreign currency changes for all other currencies is not material. The Company evaluates the impact of foreign
exchange rate fluctuations by assessing its exposure to exchange rate risks.

c) Credit risk management

Credit risk refers to the risk that counterparty will default on its contractual obligations resulting in financial loss to
the Company. The company has adopted a policy of only dealing with creditworthy counterparties and obtaining
sufficient collateral, where appropriate, as a means of mitigating the risk of financial loss from defaults. The
company only transacts with entities that are rated the equivalent of investment grade and above. This information
is supplied by independent rating agencies where available and, if not available, the company uses other publicly
available financial information and its own trading records to rate its major customers. The company''s exposure
and the credit ratings of its counterparties are continuously monitored and the aggregate value of transactions
concluded is spread amongst approved counterparties. Credit exposure is controlled by counterparty limits that
are reviewed and approved by the risk management committee annually.

d) Liquidity risk management

Ultimate responsibility for liquidity risk management rests with the board of directors, which has established an
appropriate liquidity risk management framework for the management of the company''s short-term, medium-
term and long-term funding and liquidity management requirements. The company manages liquidity risk by
maintaining adequate reserves, banking facilities and reserve borrowing facilities, by continuously monitoring
forecast and actual cash flows, and by matching the maturity profiles of financial assets and liabilities.

Liquidity and interest risk tables

The following tables detail the Company''s remaining contractual maturity for its non-derivative financial liabilities
with agreed repayment periods. The tables have been drawn up based on the undiscounted cash flows of financial
liabilities based on the earliest date on which the company can be required to pay.

The tables include both interest and principal cash flows. To the extent that interest flows are floating rate, the
undiscounted amount is derived from interest rate curves at the end of the reporting period.

Note:

(i) No funds have been advanced or loaned or invested (either from borrowed funds or share premium of any other sources
or kind of funds) by the Company to or in any other person(s) or entity(ies), including foreign entities ("Intermediaries")
with the understanding, whether recorded in writing or otherwise, that the Intermediary shall lend or invest in party
identified by or on behalf of the Company (Ultimate Beneficiaries).

(ii) The Company has not received any fund from any party(s) (Funding Party) with the understanding that the Company
shall whether, directly or indirectly lend or invest in other persons or entities identified by or on behalf of the Company
("Ultimate Beneficiaries") or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

52. Ratios

The following are analytical ratios for the year ended March 31,2025 and March 31,2024

1. Long term borrowings Short term borrowings

2. Net Profit after taxes Non-cash operating expenses Interest other adjustments like loss or gain on sale of
Fixed assets etc.

3. Interest Lease payments for the current year Repayments of long term borrowings

4. Purchase of raw material stores and spares including repair & maintenance packaging

5. Total equity Lease liabilities Total borrowings Deferred tax liability - Intangible assets
Reasons for variations

6. Debt Equity Ratio has increased primarily due to increase in total debt.

7. Return on Equity ratio has increased primarily due to increase in turnover and higher profitability thereof.

8. Net capital turnover ratio has decreased primarily due to an increase in current assets which led to decrease in
working capital

9. Net profit ratio has increased primarily due to increase in turnover and higher profitability thereof.

10. Return on Investment ratio primarily increased due to increase in turnover and higher profitability thereof.

53. Previous year figures have been regrouped / rearranged, wherever considered necessary to current year''s classification.

The accompanying notes are forming part of these financial statements
As per our report attached

For KMGS & Associates

Chartered Accountants
Firm Registration No: 004730N

Lalit Goel Aditya Jindal Sanjiivv Jindall Sandeep Goel

Partner Chairman cum Managing Director Whole Time Director - Strategy Independent Director

Membership No: 091100 DIN - 01717507 DIN - 00017902 DIN - 08471700

Ravinder Hooda Sandhya Kumari

Place : Gurugram Chief Financial Officer Company Secretary

Date : 23^rd May 2025 ICSI M. No. FCS13540

---

Mar 31, 2024

Note 1.1 Rights, preference and restrictions attached to equity shares

The Company has one class of equity share having a par value of Rs. 10 per share. Each shareholder is eligible for one vote per share held with a right to receive per share dividend declared by the company

In the event of liquidation of the company, the holders of equity share shall be entitled to receive all of the remaining assets of the company, after distribution of all preferential amounts, if any. Such amount will be in the proportion to the number of equity shares held by stockholders.

Secured term loans from banks & others

a. Term loans are secured by way of pari passu first charge on company''s fixed assets excluding tools & dies, both present & future and second charge on current assets

b. The term loan taken from Yes Bank is Nil (Previous year Rs 231.82) which carries interest of 10.10% per annum

c. The term loan taken from HDFC Bank Limited is Rs Nil (Previous year Rs 139.01) which carries interest of 9.55% per annum

d. The term loan taken from Yes Bank is Rs 249.97 (Previous year Rs 357.09) which carries interest of 10.50% per annum

e. The term loan taken from Yes Bank is Rs 183.33 (Previous year Rs 261.90) which carries interest of 10.90% per annum

f. The term loan (GECL 2.0) taken from Yes Bank is Rs 488.75 (Previous year Rs 743.75) which carries interest of 9.25% per annum

g. The term loan (GECL 3.0) taken from Yes Bank is Rs 510.00 (Previous year Rs 510.00) which carries interest of 9.25% per annum

h. The term loan taken from TATA Capital Financial Services Limited is NIL (Previous year Rs.166.80) which carries interest of 11.15% per annum.

i. The term loan taken from TATA Capital Financial Services Limited is Rs. 110.89 (Previous year Rs 258.89) which carries interest of 11.40% per annum

j. The term loan taken from TATA Capital Financial Services Limited is Rs. 2,173.81 (Previous year Nil) which carries interest of 10.75% per annum

Nature of securities

The cash credit facilities are secured by way of pari passu first charge on entire current assets of the Company including stocks of raw material, goods in transit and book debts along with second pari passu charge on entire fixed assets of the Company is excluding moulds and dies, Gurgaon and Manesar Plants.The sales invoice discounting facility has the exclusive charge on debtors of "Maruti Suzuki India Limited" funded by Yes Bank Ltd.

a) Cash credit facilities outstanding from Axis Bank Limited is Rs. 155.20 (Previous year Rs. 1,271.47) carry interest of 10.15% computed on the daily basis on the actual amount utilized, and are repayable on demand.

b) Cash credit facilities outstanding from Kotak Mahindra Bank Limited is Rs. 446.35 (Previous year Rs. 297.93) carry interest of 9.60% computed on the daily basis on the actual amount utilized, and are repayable on demand.

c) Cash credit facilities outstanding from Yes Bank Limited is Rs. 1,109.90 (Previous year Rs 2,127.23) carry interest of 10.45% computed on the daily basis on the actual amount utilized, and are repayable on demand.

d) Cash credit facilities outstanding from HDFC Bank Limited is Nil (Previous year Rs. 180.89) carry interest of 10.70% computed on the daily asis on the actual amount utilized, and are repayable on demand.

e) Working capital demand loan outstanding from Yes Bank Limited is Nil (Previous year Rs 500.00) carry interest of 8.60% computed on the daily basis on the actual amount utilized, and are repayable on demand.

f) Sales invoice discounting outstanding from Yes Bank Limited is Rs 2,412.20 (Previous year Rs 1,705.37) carry interest of 8.50% to 9.00% computed on the daily basis on the actual amount utilized, and are repayable on demand.

g) Revolving loan against tentative delivery instruction (TDI) from MSIL outstanding from Kotak Mahindra Bank Limited is Rs 1,000.00 (Previous year Nil) carry interest of 9.00% computed on the daily basis on the actual amount utilized, and are repayable on 75 days from usance.

The quarterly returns or statements of current assets filed by the company with banks are in arrangement with books of accounts of the company. Further there is no material discrepancy between books & information submitted to bank.

31. Contingent liabilities and commitments (to the extent not provided for):

(i) Contingent liabilities not provided for

Demand under the Central Excise Act of ? Nil (Previous year ? 24.87 lakh). Demand dropped in full in appeal at Customs, Excise & Service Tax Appellate Tribunal, New Delhi by Decision dated 12 March 2024 and letter issued dated 15^th March 2024.

(ii) Guarantees

In respect of outstanding bank guarantees: ? 299.28 lakh (Previous year Nil)

(iii) Commitments

Estimated amount of contracts, remaining to be executed on land ? 2,080.81 lakh (Previous Year Nil), on machinery / spare parts of machinery (net of advances) ? 370.93 lakh (approx.) payable in USD 86,390 and JPY 5,42,55,000 (Previous year ?6.01 lakh (approx.) payable in USD 7,300).

32. Post retirement employee benefits:

(i) Defined benefit plans such as gratuity

The company provides for gratuity for employees in India as per the Payment of Gratuity Act, 1972. Every employee who has completed five years or more of service gets a gratuity on departure at 15 days salary (last drawn salary) for each completed year of service. The company has a defined benefit gratuity plan. The scheme is funded with

(ii) Defined contribution plans such as provident fund

The Company has defined contribution plans namely provident fund. Contributions are made to provident fund at the rate of 12% of basic salary as per regulations. The contributions are made to registered provident fund administered by the Government. The obligation of the Company is limited to the amount contributed and it has not further contractual nor any constructive obligation. The expense recognised during the year towards defined contribution plan is as follows:

33. Other income includes interest income ?1.51 lakh (Previous year ?7.31 lakh), tax deducted thereon is Nil (Previous year ?0.19 lakh), Profit on sale of property, plant and equipments is ?2.35 lakh (Previous year ?0.84 lakh), Sundry creditors written off is Nil (Previous year ?3.60 lakh), Duty draw back received ?2.35 lakh (Previous year ?3.44 lakh), Forfeiture of advance from customer is Nil (Previous year ?10.86 lakh).

34. Leases Company as a lessee

The Company has lease contracts for various items of Land and Building in its operations. Leases generally have lease terms between 1 and 33 years. The Company''s obligations under its leases are secured by the lessor''s title to the leased assets. Generally, the Company is restricted from assigning and subleasing the leased assets and some contracts require the Company to maintain certain financial ratios.

The Company has a lease contract with his joint venture partner namely Maruti Suzuki India Limited for 33 years for use of land of Gurugram factory premises on annual rent of ?!/-. The Company has not created ROU assets and liabilities on this because there is no material impact on the financials.

The Company had total cash outflows for leases of ?189.64 lakh in March 31, 2024 (?171.24 lakh in March 31, 2023). There are no non cash additions to right-of-use assets and lease liabilities. There are no future cash outflows relating to leases that have not yet commenced.

35. Investment in equity share is measured at fair value through other comprehensive income as per Ind AS 109.

Company was allotted 12,50 000 equity shares of face value of Rs.10 each in March 1995 by Caparo Maruti Limited ( CML ) constituting 10% equity capital of CML in total. The amount of Rs.125 lacs in this regard is reflected as an investment in the balance sheet of the company. However, CML, illegally, unilaterally passed a resolution in its board cancelling the shares held by the company and allegedly unlawfully modified the register of members in the year 2004. Accordingly, the company filed a Plaint before the Hon''ble High Court of Delhi for nullifying such illegal act by CML. The matter is pending before the Hon''ble High Court of Delhi. Company has not made any provision in this regard in the balance sheet as the Management is of strong opinion that judicial decision will be in its favour as the Company was arbitrarily denied its rights as a shareholder and the company firmly believes that it continues to be the lawful shareholder of CML.

The company is unable to ascertain the fair value of investment in equity shares in Caparo Maruti Limited as it is not practicably feasible to do so and therefore, no fair value adjustment have been made in the books of accounts and these equity instruments have been carried forward at cost as at Balance sheet date.

36. The company is exclusively engaged in the business of manufacturing plastic moulded parts for automotive, appliances and industrial application and allied products, which is considered as the only reportable segment referred to in statement on Ind AS-108 "Operating Segments". The geographical segmentation is not relevant, as there is insignificant export.

2. Borrowings (non-current) consists of loans from banks and government authorities, other financial liabilities (noncurrent) consists of interest accrued but not due on deposits other financial assets consists of employee advances where the fair value is considered based on the discounted cash flow.

3. The fair value of forward foreign exchange contracts is calculated as the present value determined using forward exchange rates, currency basis spreads between the respective currencies and interest rate curves.

4. The fair value of financial assets and liabilities is included at the amount at which the instrument could be exchanged in a current transaction between willing parties, other than in a forced or liquidation sale.

Level 1: Level 1 hierarchy includes financial instruments measured using quoted prices.

Level 2: The fair value of financial instruments that are not traded in an active market is determined using valuation techniques, which maximise the use of observable market data and rely as little as possible on entity specific estimates. If significant inputs required to fair value an instruments are observable, the instrument is included in level 2.

Level 3: If one or more of the significant inputs are not based on observable market data, the instruments are included in level 3.

Management uses its best judgement in estimating the fair value of its financial instruments. However, there are inherent limitations in any estimation technique. Therefore, for substantially all financial instruments, the fair value estimates presented above are not necessarily indicative of the amounts that the Company could have realized or paid in sale transactions as of respective dates. As such, the fair value of financial instruments subsequent to the reporting dates may be different from the amounts reported at each reporting date.

46. Financial risk management:

The Company''s Corporate Treasury function provides services to the business, co-ordinates access to domestic and international financial markets, monitors and manages the financial risks relating to the operations of the company through internal risk reports which analyses exposures by degree and magnitude of risks. These risks include market risk (including currency risk, interest rate risk and other price risk), credit risk and liquidity risk.

The Corporate Treasury function reports quarterly to the company''s risk management committee, an Independent body that monitors risks and policies implemented to mitigate risk exposures.

Market Risk

Market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk comprises of currency risk, interest rate risk and price risk. Financial instruments affected by market risk include loans and borrowings, trade receivables and trade payables involving foreign currency exposure. The sensitivity analysis in the following sections relate to the position as at March 31, 2024 and March 31, 2023. The sensitivity of

the relevant profit or loss item is the effect of the assumed changes in respective market risks. This is based on the financial assets and financial liabilities held at 31 March 2024 and 31 March 2023.

a) Foreign currency risk management

Foreign currency risk is the risk that the fair value or future cash flows of an exposure will fluctuate because of changes in foreign rates. The Company''s exposure to the risk of changes in foreign exchange rates relates primarily to the trade / other payables, trade / other receivables and derivative assets / liabilities. The risk primarily relate to fluctuations in US Dollar, EURO and JPY against the functional currencies of the Company. The Company''s exposure to foreign currency changes for all other currencies is not material. The Company evaluates the impact of foreign exchange rate fluctuations by assessing its exposure to exchange rate risks.

Interest rate sensitivity analysis

The sensitivity analyses below have been determined based on the exposure to interest rates at the end of the reporting period. For floating rate liabilities, the analysis is prepared assuming the amount of the liability outstanding at the end of the reporting period was outstanding for the whole year. A 50 basis point increase or decrease is used when reporting interest rate risk internally to key management personnel and represents management''s assessment of the reasonably possible change in interest rates.

c) Credit risk management

Credit risk refers to the risk that counterparty will default on its contractual obligations resulting in financial loss to the Company. The company has adopted a policy of only dealing with creditworthy counterparties and obtaining sufficient collateral, where appropriate, as a means of mitigating the risk of financial loss from defaults. The company only transacts with entities that are rated the equivalent of investment grade and above. This information is supplied by independent rating agencies where available and, if not available, the company uses other publicly available financial information and its own trading records to rate its major customers. The company''s exposure and the credit ratings of its counterparties are continuously monitored and the aggregate value of transactions concluded is spread amongst approved counterparties. Credit exposure is controlled by counterparty limits that are reviewed and approved by the risk management committee annually.

d) Liquidity risk management

Ultimate responsibility for liquidity risk management rests with the board of directors, which has established an appropriate liquidity risk management framework for the management of the company''s short-term, medium-term and long-term funding and liquidity management requirements. The company manages liquidity risk by maintaining adequate reserves, banking facilities and reserve borrowing facilities, by continuously monitoring forecast and actual cash flows, and by matching the maturity profiles of financial assets and liabilities.

Liquidity and interest risk tables

The following tables detail the Company''s remaining contractual maturity for its non-derivative financial liabilities with agreed repayment periods. The tables have been drawn up based on the undiscounted cash flows of financial liabilities based on the earliest date on which the company can be required to pay.

The tables include both interest and principal cash flows. To the extent that interest flows are floating rate, the undiscounted amount is derived from interest rate curves at the end of the reporting period.

The contractual maturity is based on the earliest date on which the company may be required to pay.

49. The group offsets a financial asset and a financial liability when it currently has a legally enforceable right to set off the recognized amounts and the group intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously.

(i) No funds have been advanced or loaned or invested (either from borrowed funds or share premium of any other sources or kind of funds) by the Company to or in any other person(s) or entity(ies), including foreign entities ("Intermediaries") with the understanding, whether recorded in writing or otherwise, that the Intermediary shall lend or invest in party identified by or on behalf of the Company (Ultimate Beneficiaries).

(ii) The Company has not received any fund from any party(s) (Funding Party) with the understanding that the Company shall whether, directly or indirectly lend or invest in other persons or entities identified by or on behalf of the Company ("Ultimate Beneficiaries") or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

1. Long term borrowings Short term borrowings.

2. Net Profit after taxes Non-cash operating expenses Interest other adjustments like loss or gain on sale of Fixed assets etc.

3. Interest Lease payments for the current year Repayments of long term borrowings

4. Purchase of raw material stores and spares including repair & maintenance packaging

5. Total equity Lease liabilities Total borrowings Deferred tax liability - Intangible assets Reasons for variations

6. Debt Service Coverage ratio has increased primarily due to increase in earnings available for debt service and decrease in repayments of long term borrowings.

7. Return on Equity ratio has increased primarily due to increase in turnover and higher profitability thereof.

8. Trade payable turnover ratio has decreased primarily due to an increase in purchase or raw material and increase in balance of trade payables at the yearend, which led to increase in average trade payables.

9. Net capital turnover ratio has decreased primarily due to an increase in current assets which led to decrease in working capital

10. Net profit ratio has increased primarily due to increase in turnover and higher profitability thereof.

11. Return on Capital employed has increased primarily due to increase in turnover, higher profitability and decrease in borrowings.

12. Return on Investment ratio primarily increased due to increase in turnover and higher profitability thereof.

52. Previous year figures have been regrouped / rearranged, wherever considered necessary to current year''s classification.

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Mar 31, 2019

1. General information of the company-

Machino Plastic Limited is a public limited company incorporated as on 02^nd April, 1986 under the erstwhile Companies Act, 1956 in India, having its registered office at Plot No 3, Maruti Joint Venture Complex, Gurgaon, Haryana - 122015. The company is a joint venture of Maruti Suzuki India Ltd and Suzuki Motor Corporation, Japan for the manufacture of injection moulded automotive i.e. bumpers, instrument panels, grills etc as original equipment and for spare parts market primarily for Maruti Suzuki India Limited. The company also manufactures various automotive components for others manufacturers.

Note Rights, preference and restrictions attached to equity shares

1.1 The Company has one class of equity share having a par value of Rs. 10 per share. Each shareholder is eligible for one vote per share held with a right to receive per share dividend declared by the company

In the event of liquidation of the company, the holders of equity share shall be entitled to receive all of the remaining assets of the company, after distribution of all preferential amounts, if any. Such amount will be in the proportion to the number of equity shares held by stockholders.

Notes

Secured term loans from banks & others

a. Term loans are secured by way of pari passu first charge on company''s fixed assets excluding tools & dies, both present & future and second charge on current assets

b. The term loan taken from Yes Bank is Rs 70,833,333 (Previous year Rs 120,833,333) which carries interest of 9.80% per annum

c. The term loan taken from Yes Bank is Rs 139,090,909 (Previous year Rs 170,000,000) which carries interest of 9.85% per annum

d. The term loan taken from Kotak Mahindra Bank Limited is Rs 76,964,875 (Previous year Rs 98,954,839) which carries interest of 9.55% per annum

e. The term loan taken from HDFC Bank Limited is Rs 76,388,889 (Previous year Rs 93,055,556) which carries interest of 9.65% per annum

f. The term loan taken from Yes Bank is Rs 74,988,559 (Previous year Nil) which carries interest of 9.95% per annum

g. The term loan taken from Yes Bank is Rs 55,000,000 (Previous year Nil) which carries interest of 10.25% per annum

h. The term loan taken from TATA Capital Financial Services Limited is Rs. 83,336,000 (Previous year Rs 100,000,000) which carries interest of 10.75% per annum

i. The term loan taken from TATA Capital Financial Services Limited is Rs. 9,204,449 (Previous year Rs 23,011,997) which carries interest of 10.80% per annum

Notes Nature of securities

The cash credit facilities are secured by way of pari passu first charge on entire current assets of the Company including stocks of raw material, goods in transit and book debts along with second pari passu charge on entire fixed assets of the Company is excluding moulds and dies, Gurgaon and Manesar Plants.

* Cash credit facilities outstanding from Allahabad Bank is Rs. 9,145,752 (Previous year Rs. 1,034,473) carry interest of 12.20% computed on the daily basis on the actual amount utilized, and are repayable on demand.

* Cash credit facilities outstanding from Axis Bank Limited is Rs. 220,171,358 (Previous year Rs. 27,620,927) carry interest of 9.80% computed on the daily basis on the actual amount utilized, and are repayable on demand.

* Cash credit facilities outstanding from Kotak Mahindra Bank Limited is Rs. 44,699,614 (Previous year Nil) carry interest of 9.25% computed on the daily basis on the actual amount utilized, and are repayable on demand.

* Cash credit facilities outstanding from Yes Bank Limited is Rs. 233,271,771 (Previous year Rs 368,916,429) carry interest of 9.95% computed on the daily basis on the actual amount utilized, and are repayable on demand.

* Cash credit facilities outstanding from HDFC Bank Limited is Rs 2,862,366 (Previous year Nil) carry interest of 9.75% computed on the daily basis on the actual amount utilized, and are repayable on demand.

* Working capital demand loan outstanding from Yes Bank Limited is Rs 50,000,000 (Previous year Nil) carry interest of 9.35% computed on the daily basis on the actual amount utilized, and are repayable on demand.

Note:

The Government of India has implemented Goods and Services Tax (“GST”) from 01st July, 2017 replacing Excise Duty, Service Tax and various other indirect taxes. Until 30 June 2017, ''Sale of products'' includes the amount of excise duty recovered on sales amounting to Rs 119,309,351. The Company collects GST on behalf of the Government and is not included in ''Sale of products'', and therefore revenue from ''Sale of products'' for the year ended 31 March 2019 is not comparable with that of the previous year. ''Sale of products'' net of excise duty for the year ended 31 March 2018 is Rs 3,059,432,465.

2. contingent liabilities and commitments (to the extent not provided for):

(i) Contingent liabilities not provided for

a) Demand under the Central Excise Act of Rs. 58,211,882 (Previous year Rs. 111,535,494)

b) Demand under the Sales Tax Act of Rs. 621,691 (Previous year Rs. 621,691).

c) Bill discounted of Rs. Nil (Previous year Rs. 16,707,311)

(ii) Commitments

Estimated amount of contracts, remaining to be executed on capital account (net of advances) Rs. 20,393,000 (Previous year Rs. 121,827,656).

3. (i) Contribution to defined benefit plan

The company has a defined benefit gratuity plan. Every employee who has completed five years or more of service gets a gratuity on departure at 15 days salary (last drawn salary) for each completed year of service. The scheme is funded with “Life insurance corporation” in the form of a qualifying insurance policy.

4. Other income includes interest income Rs. 331,776 (Previous year Rs. 310,934), tax deducted thereon is Nil (Previous year Rs. 393), Profit on sale of fixed assets Rs. 660,387 (Previous year Rs. 2,103,700), Sundry creditors written off Rs. 2,177,183 (Previous year Rs. 661), Duty draw back received Rs 315,447 (Previous year Rs. 246,570), Reversal of impairment of assets Rs 1,469,504 (Previous year Nil).

5. Investment in equity share are measured at fair value through other comprehensive income as per ind AS 109.

The company had made Investment of Face Value of Rs.12,500,000 in equity shares of Caparo Maruti Limited. The investee company has disputed the shareholding of the Company. The company has filed a petition to Hon''ble Company Law Board, who gave company an option to sell shares to majority shareholders after valuation to make an exit. The Company filed an appeal in the Hon''ble Delhi High Court which dismissing company''s appeal upheld Company Law Board order thereafter SLPs were preferred against the orders of the Hon''ble High Court of Delhi before the Hon''ble Supreme Court of India by both the parties. The Hon''ble Supreme Court of India vide its order dated 29^th March 2016 dismissed both SLPs. However, it states that the order of dismissal is subject to the result of such case(s) as may be pending between the paties in respect of cancellation of the shares held by the petitioner. The matter is still sub-judice.

In the current circumstances, the company is unable to ascertain the fair value of investment in equity share in Caparo Maruti Limited as it is not practicably feasible to do so. Consequently, no fair value adjustment has been made in the books of accounts and these equity instruments have been carrying forward at cost as at Balance sheet date

6. The company is exclusively engaged in the business of manufacturing plastic moulded parts for automotive, appliances and industrial application and allied products, which is considered as the only reportable segment referred to in statement on Ind AS-108 “Operating Segments”. The geographical segmentation is not relevant, as there is insignificant export.

7. Information as required by ind AS 24“Related Parties Disclosures” as follows:

List of related parties:

a. Associate companies

Maruti Suzuki India Limited

Suzuki Motor Corporation, Japan

b. Enterprises under common control

Suzuki Motor Gujarat Private Limited

Suzuki Motorcycle India Private Limited

c. Enterprises over which key management personnel

And their close members are able to exercise significant influence

Machino Motors Private Limited

Machino Techno Sales Limited

Machino Transport Private Limited

Machino Finance Private Limited

Machino Media Private Limited

Machino Auto Comp Tooling Private Limited

Machino Polymers Limited

Rajiv Exports Industries Private Limited

Grandmaastters Mold Limited

Pranaa Plastics Limited

d. Key management personnel & their close members

Mr M.D. Jindal - Chairman Emeritus (Expired on 13^th January 2019)

Mr Sanjiivv Jindall - Chairman cum Managing Director & Son of Chairman Emeritus

Machino Plastics Limited

Notes to the financial statements for the year ended 31 March 2019

(All amount in Rupees, unless otherwise stated)

Ms Kamla Jindal - Spouse of Chairman Emeritus (Expired on 21^st November 2018)

Ms Sarita Jindal - Spouse of Managing Director cum Chairman

Mr Aditya Jindal - Executive Director & Son of Chairman cum Managing Director

Mr Surya Kant Agrawal - General Manager cum Company Secretary

The Company manages its capital to ensure that the company will be able to continue as going concerns while maximizing the return to stakeholders through the optimization of the debt and equity balance.

The capital structure of the Company consists of net debt (borrowings as detailed in notes 16 and 19 offset by cash and bank balances) and total equity of the company. The company is not subject to any externally imposed capital requirements.

The Company''s risk management committee reviews the capital structure of the Company on a semi-annual basis. As part of this review, the committee considers the cost of capital and the risks associated with each class of capital. The Company monitors capital on the basis of following gearing ratio, which is net debt divided by total equity plus debt.

The Company''s Corporate Treasury function provides services to the business, co-ordinates access to domestic and international financial markets, monitors and manages the financial risks relating to the operations of the company through internal risk reports which analyses exposures by degree and magnitude of risks. These risks include market risk (including currency risk, interest rate risk and other price risk), credit risk and liquidity risk.

The Corporate Treasury function reports quarterly to the company''s risk management committee, an Independent body that monitors risks and policies implemented to mitigate risk exposures.

Market Risk

The company''s activities expose it primarily to the financial risks of changes in foreign currency exchange rates and interest rates.

a) Foreign currency risk management

The company undertakes transactions denominated in foreign currencies; consequently, exposures to exchange rate fluctuations arise. Exchange rate exposures are managed within approved policy parameters

The carrying amounts of the company''s foreign currency denominated monetary assets and monetary liabilities at the end of the reporting period are as follows.

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest rates. The company is exposed to interest rate risk because company borrows funds at both fixed and floating interest rates. The risk is managed by the company by maintaining an appropriate mix between fixed and variable rate borrowings.

Interest rate sensitivity analysis

The sensitivity analyses below have been determined based on the exposure to interest rates at the end of the reporting period. For floating rate liabilities, the analysis is prepared assuming the amount of the liability outstanding at the end of the reporting period was outstanding for the whole year. A 50 basis point increase or decrease is used when reporting interest rate risk internally to key management personnel and represents management''s assessment of the reasonably possible change in interest rates.

(i) The exposure of group borrowings to interest rate changes at the end of reporting period are as follows:

(ii) As at the end of reporting period, the company had the following variable rate borrowings:

c) credit risk management

Credit risk refers to the risk that a counterparty will default on its contractual obligations resulting in financial loss to the Company. The company has adopted a policy of only dealing with creditworthy counterparties and obtaining sufficient collateral, where appropriate, as a means of mitigating the risk of financial loss from defaults. The company only transacts with entities that are rated the equivalent of investment grade and above. This information is supplied by independent rating agencies where available and, if not available, the company uses other publicly available financial information and its own trading records to rate its major customers. The company''s exposure and the credit ratings of its counterparties are continuously monitored and the aggregate value of transactions concluded is spread amongst approved counterparties. Credit exposure is controlled by counterparty limits that are reviewed and approved by the risk management committee annually.

d) Liquidity risk management

Ultimate responsibility for liquidity risk management rests with the board of directors, which has established an appropriate liquidity risk management framework for the management of the company''s short-term, medium-term and long-term funding and liquidity management requirements. The company manages liquidity risk by maintaining adequate reserves, banking facilities and reserve borrowing facilities, by continuously monitoring forecast and actual cash flows, and by matching the maturity profiles of financial assets and liabilities.

Liquidity and interest risk tables

The following tables detail the Company''s remaining contractual maturity for its non-derivative financial liabilities with agreed repayment periods. The tables have been drawn up based on the undiscounted cash flows of financial liabilities based on the earliest date on which the company can be required to pay.

The tables include both interest and principal cash flows. To the extent that interest flows are floating rate, the undiscounted amount is derived from interest rate curves at the end of the reporting period.

The contractual maturity is based on the earliest date on which the company may be required to pay.

8. Fair value of measurement

Fair value of the company''s financial assets and financial liabilities that are measured at fair value on a recurring basis.

9. The group offsets a financial asset and a financial liability when it currently has a legally enforceable right to set off the recognized amounts and the group intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously.

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Mar 31, 2018

1. General Information of the company:-

Machino Plastic Limited is a public limited company incorporated as on 02nd April, 1986 under the erstwhile Companies Act, 1956 in India, having its registered office at Plot No 3, Maruti Joint Venture Complex, Gurgaon, Haryana - 122015. The company is a joint venture of Maruti Suzuki India Ltd and Suzuki Motor Corporation, Japan for the manufacture of injection moulded automotive parts i.e. bumpers, instrument panels, grills etc as original equipment and for spare parts market primarily for Maruti Suzuki India Limited. The company also manufactures various automotive components for others manufacturers.

Note Rights, preference and restrictions attached to equity shares

The Company has one class of equity share having a par value of Rs. 10 per share. Each shareholder is eligible for one vote per share held with a right to receive per share dividend declared by the company

In the event of liquidation of the company, the holders of equity share shall be entitled to receive all of the remaining assets of the company, after distribution of all preferential amounts, if any. Such amount will be in the proportion to the number of equity shares held by stockholders.

Secured term loans from banks & others

a. Term loans are secured by way of pari passu first charge on company’s fixed assets excluding tools & dies, both present & future and second charge on current assets

b. The term loan taken from Yes Bank is Rs 120,833,333 (Previous year Rs 170,833,333) which carries interest of 9.00% per annum

c. The term loan taken from Yes Bank is Rs 170,000,000 (Previous year Rs 170,000,000) which carries interest of 9.10% per annum

d. The term loan taken from Kotak Mahindra Bank Limited is Rs 98,954,839 (Previous year Rs 109,949,821) which carries interest of 9.15% per annum

e. The term loan taken from HDFC Bank Limited is Rs 93,055,556 (Previous year Rs 100,000,000) which carries interest of 9.85% per annum

f. The term loan taken from TATA Capital Financial Services Limited is Rs. 100,000,000 (Previous year Rs 100,000,000) which carries interest of 10.25% per annum

g. The term loan taken from TATA Capital Financial Services Limited is Rs. 23,011,997 (Previous year Rs 39,678,797 ) which carries interest of 11.50% per annum

h. Repayment schedule

Nature of securities

The cash credit facilities are secured by way of pari passu first charge on entire current assets of the Company including stocks of raw material, goods in transit and book debts along with a second pari passu charge on entire fixed assets of the Company is excluding moulds and dies, Gurgaon and Manesar Plants.

* Cash credit facilities outstanding from Allahabad Bank is Rs. 1,034,473 (Previous year Rs. 7,379,485) carry interest of 12.20% computed on the daily basis on the actual amount utilized, and are repayable on demand.

* Cash credit facilities outstanding from Axis Bank Limited is Rs. 27,620,927 (Previous year Rs. 268,092,956) carry interest of 9.30% computed on the daily basis on the actual amount utilized, and are repayable on demand.

* Cash credit facilities outstanding from Kotak Mahindra Bank Limited is Nil (Previous year Rs 10,882,541) carry interest of 10.30% computed on the daily basis on the actual amount utilized, and are repayable on demand.

* Cash credit facilities outstanding from Yes Bank Limited is Rs. 368,916,429 (Previous year Rs 140,066,457) carry interest of 9.45% computed on the daily basis on the actual amount utilized, and are repayable on demand.

* Cash credit facilities outstanding from HDFC Bank Limited is Nil (Previous year Rs 70,822) carry interest of 9.75% computed on the daily basis on the actual amount utilized, and are repayable on demand.

Note:

a) According to the requirement of IND AS, revenue for the year ended 31 March 2017 were reported inclusive of excise duty. The Government of India has implemented Goods and Service Tax (“GST”) from 01st July, 2017 replacing Excise Duty, Service Tax and various other indirect taxes. Accordingly, as per IND AS 18, the revenue for the year ended 31 March 2018, is reported net of GST and inclusive of excise duty pertaining to April’ 2017 to June’ 2017.

b) Excise duty collected from customers included in sale of products to Rs 119,309,351 (previous year Rs 419,423,932)

2. contingent liabilities and commitments (to the extent not provided for):

(i) Contingent liabilities not provided for

a) Demand under the Central Excise Act of Rs. 111,535,494 (Previous year Rs. 111,535,494)

b) Demand under the Sales Tax Act of Rs. 621,691 (Previous year Rs. 621,691).

c) Bill discounted of Rs. 16,707,311 (Previous year Rs. 7,152,049)

(ii) Guarantees

In respect of bank guarantees: Nil (Previous year Rs.5,434,322)

(iii) Commitments

Estimated amount of contracts, remaining to be executed on capital account (net of advances) Rs. 121,827,656 (Previous year Rs. 9,424,527).

3. (i) Contribution to defined benefit plan

The company has a defined benefit gratuity plan. Every employee who has completed five years or more of service gets a gratuity on departure at 15 days salary (last drawn salary) for each completed year of service. The scheme is funded with “Life Insurance corporation” in the form of a qualifying insurance policy.

4. Other income includes interest incomeRs. 310,934 (Previous year Rs. 216,369), tax deducted thereon is Rs. 393 (Previous year Rs. 7,795), Profit on sale of fixed assets Rs. 2,103,700 (Previous year Rs. 1,922,125), Sundry creditors written off Rs. 661 (Previous year Rs. 6,054), Duty draw back received Rs 246,570 (Previous year Rs. 177,706), Exchange fluctuation gain Nil (Previous year gain Rs 754,275).

5. Investment in equity share are measured at fair value through other comprehensive income as per Ind AS 109.

The company had made Investment of Face Value of Rs.12,500,000 in equity shares of Caparo Maruti Limited. The investee company has disputed the shareholding of the Company. The company has filed a petition to Hon’ble Company Law Board, who gave company an option to sell shares to majority shareholders after valuation to make an exit. The Company filed an appeal in the Hon’ble Delhi High Court which dismissing company’s appeal upheld Company Law Board order thereafter SLPs were preferred against the orders of the Hon’ble High Court of Delhi before the Hon’ble Supreme Court of India by both the parties. The Hon’ble Supreme Court of India vide its order dated 29^th March 2016 dismissed both SLPs. However, it states that the order of dismissal is subject to the result of such case(s) as may be pending between the paties in respect of cancellation of the shares held by the petitioner. The matter is still sub-judice.

In the current circumstances, the company is unable to ascertain the fair value of investment in equity share in Caparo Maruti Limited as it is not practicably feasible to do so. Consequently, no fair value adjustment has been made in the books of accounts and these equity instruments have been carry forward at cost as at Balance sheet date

6. The company is exclusively engaged in the business of manufacturing plastic moulded parts for automotive, appliances and industrial application and allied products, which is considered as the only reportable segment referred to in statement on Ind AS-108 “Operating Segments”. The geographical segmentation is not relevant, as there is insignificant export.

7. Information as required by Ind AS 24“Related Parties Disclosures” as follows:

List of related parties:

a. Associate companies

Maruti Suzuki India Limited Suzuki Motor Corporation, Japan

b. Enterprises under common control

Suzuki Motor Gujarat Private Limited Suzuki Motorcycle India Private Limited

c. Enterprises over which key management personnel

And their close members are able to exercise significant influence

Machino Motors Private Limited Machino Techno Sales Limited Machino Transport Private Limited Machino Finance Private Limited Machino Media Private Limited Machino Auto Comp Tooling Private Limited Machino Polymers Limited Rajiv Exports Industries Private Limited Grandmaastters Mold Limited Pranaa Plastics Limited

d. Key management personnel & their close members

Mr M.D. Jindal - Chairman Emeritus

Mr Sanjiivv Jindall - Chairman cum Managing Director & Son of Chairman Emeritus

Ms Kamla Jindal - Spouse of Chairman Emeritus

Ms Sarita Jindal - Spouse of Managing Director cum Chairman

Mr Aditya Jindal - Executive Director & Son of Chairman cum Managing Director

Mr Surya Kant Agrawal - General Manager cum Company Secretary

8. capital Management

The Company manages its capital to ensure that the company will be able to continue as going concerns while maximizing the return to stakeholders through the optimization of the debt and equity balance.

The capital structure of the Company consists of net debt (borrowings as detailed in notes 16 and 19 offset by cash and bank balances) and total equity of the company. The company is not subject to any externally imposed capital requirements.

The Company’s risk management committee reviews the capital structure of the Company on a semi-annual basis. As part of this review, the committee considers the cost of capital and the risks associated with each class of capital.The Company monitors capital on the basis of following gearing ratio, which is net debt divided by total equity plus debt.

9. Financial risk management:-

The Company’s Corporate Treasury function provides services to the business, co-ordinates access to domestic and international financial markets, monitors and manages the financial risks relating to the operations of the company through internal risk reports which analyses exposures by degree and magnitude of risks. These risks include market risk (including currency risk, interest rate risk and other price risk), credit risk and liquidity risk.

The Corporate Treasury function reports quarterly to the company’s risk management committee, an Independent body that monitors risks and policies implemented to mitigate risk exposures.

Market Risk

The company’s activities expose it primarily to the financial risks of changes in foreign currency exchange rates and interest rates.

a) Foreign currency risk management

The company undertakes transactions denominated in foreign currencies; consequently, exposures to exchange rate fluctuations arise. Exchange rate exposures are managed within approved policy parameters

The carrying amounts of the company’s foreign currency denominated monetary assets and monetary liabilities at the end of the reporting period are as follows.

b) Interest rate risk management

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest rates. The company is exposed to interest rate risk because company borrows funds at both fixed and floating interest rates. The risk is managed by the company by maintaining an appropriate mix between fixed and variable rate borrowings.

Interest rate sensitivity analysis

The sensitivity analyses below have been determined based on the exposure to interest rates at the end of the reporting period. For floating rate liabilities, the analysis is prepared assuming the amount of the liability outstanding at the end of the reporting period was outstanding for the whole year. A 50 basis point increase or decrease is used when reporting interest rate risk internally to key management personnel and represents management’s assessment of the reasonably possible change in interest rates.

(i) The exposure of group borrowings to interest rate changes at the end of reporting period are as follows:

(ii) As at the end of reporting period, the company had the following variable rate borrowings:

(iii) Sensitivity

Profit/loss is sensitive to higher/lower interest expense from borrowings as a result of changes in interest rates.

c) credit risk management

Credit risk refers to the risk that a counterparty will default on its contractual obligations resulting in financial loss to the Company. The company has adopted a policy of only dealing with creditworthy counterparties and obtaining sufficient collateral, where appropriate, as a means of mitigating the risk of financial loss from defaults. The company only transacts with entities that are rated the equivalent of investment grade and above. This information is supplied by independent rating agencies where available and, if not available, the company uses other publicly available financial information and its own trading records to rate its major customers. The company’s exposure and the credit ratings of its counterparties are continuously monitored and the aggregate value of transactions concluded is spread amongst approved counterparties. Credit exposure is controlled by counterparty limits that are reviewed and approved by the risk management committee annually.

d) Liquidity risk management

Ultimate responsibility for liquidity risk management rests with the board of directors, which has established an appropriate liquidity risk management framework for the management of the company’s short-term, medium-term and long-term funding and liquidity management requirements. The company manages liquidity risk by maintaining adequate reserves, banking facilities and reserve borrowing facilities, by continuously monitoring forecast and actual cash flows, and by matching the maturity profiles of financial assets and liabilities.

Liquidity and interest risk tables

The following tables detail the Company’s remaining contractual maturity for its non-derivative financial liabilities with agreed repayment periods. The tables have been drawn up based on the undiscounted cash flows of financial liabilities based on the earliest date on which the company can be required to pay.

The tables include both interest and principal cash flows. To the extent that interest flows are floating rate, the undiscounted amount is derived from interest rate curves at the end of the reporting period.

The contractual maturity is based on the earliest date on which the company may be required to pay.

10. The group offsets a financial asset and a financial liability when it currently has a legally enforceable right to set off the recognized amounts and the group intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously.

The following table provides quantitative information about offsetting of financial assets and financial liabilities:

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Mar 31, 2017

1. General Information of the company:-

Machino Plastic Limited is a public limited company incorporated as on 02nd April, 1986 under the erstwhile Companies Act, 1956 in India, having its registered office at Plot No 3, Maruti Joint Venture Complex, Gurgaon, Haryana - 122015. The company is a joint venture of Maruti Suzuki India Ltd and Suzuki Motor Corporation, Japan for the manufacture of injection moulded automotive parts as original equipment and for spare parts market primarily for Maruti Suzuki India Limited. The company also manufactures various automotive components for others manufacturers.

2. Significant Accounting Policies

a) Basis of preparation:-

The Company has adopted accounting policies that comply with Indian Accounting standards (INDAS or Ind AS) notified by Ministry of Corporate Affairs vide notification dated 16 February 2015 under section 133 of the Companies Act 2013. Accounting policies have been applied consistently to all periods presented in these financial statements. The financial statements referred hereinafter have been prepared in accordance with the requirements and instructions of Schedule III to the Companies Act 2013, amended from time to time applicable to companies to whom Ind AS applies read with the Ind AS.

The opening financial statements have been prepared in accordance with “Indian Accounting Standard 101 (First time Adoption of Indian Accounting Standards). The opening financial statements comprise Balance Sheet, Statement of Change in equity and its related notes.

The adopted accounting policies comply with each Ind-AS effective at the end of its first Ind-AS reporting period i.e.31st March 2017 except as specified in paragraphs 13-19 and Appendices B-D of Ind AS 101. In the opening financial statements:

(i) All assets and liabilities have been recognised as required by Ind AS.

(ii) All assets and liabilities have been derecognized which are not permitted by Ind AS.

(iii) All assets, liabilities or components of equity have been reclassified in accordance with Ind AS.

(iv) All assets and liabilities have been measured in accordance with Ind AS.

The accounting policies used by the Company in its opening financial statement may differ from those previously used in accordance with Indian Generally Accepted Accounting Principles (GAAP) or the previous GAAP The resulting adjustments, which arose for events and transactions before the date of transition to Ind AS, have been directly recognized in retained earnings at the date of transition to Ind-AS i.e. April 1,2015 (or, if appropriate, another category of equity) at the date of transition to Ind ASs.

The company estimates in accordance with Ind ASs at the date of transition to Ind ASs are consistent with estimates made for the same date in accordance with previous GAAP (after adjustments to reflect any difference in accounting policies), unless there is objective evidence that those estimates were in error.

The company has explained how the transition from previous GAAP to Ind ASs has affected its reported Balance sheet and Statement of Profit & loss. Accordingly, The Company’s first Ind AS financial statements includes:

(a) Reconciliations of its equity reported in accordance with previous GAAP to its equity in accordance with Ind ASs for both of the following dates:

(i) the date of transition to Ind ASs; and

(ii) the end of the latest period presented in the company’s most recent annual financial statements in accordance with previous GAAP

(b) Reconciliation to its total comprehensive income in accordance with Ind ASs for the latest period in the Company’s most recent annual financial statements. The starting point for that reconciliation being the profit or loss under previous GAAP

The Company’s first Ind AS financial statements includes three Balance Sheet’s, two Statements of profit and loss, and two Statements of changes in equity and two cash flow and related notes.

The Company’s first financial statements have been prepared in accordance with the Ind AS prescribed. The preparation of the Company’s first financial statements in conformity with Ind AS requires the Company to exercise its judgement in the process of applying the accounting policies. It also requires the use of accounting estimates and assumptions that effect the reported amounts of assets and liabilities at the date of the financial statements. These estimates and assumptions are assessed on an ongoing basis and are based on experience and relevant factors, including expectations of future events that are believed to be reasonable under the circumstances and presented under the historical cost convention on accrual basis of accounting.

b) Use of Estimates:-

The preparation of financial statements require estimates and assumptions to be made that affect the reported amount of asset and liabilities on the date of the financial statements and the reported amount of the revenue and the expenses during the reporting period. Difference between the actual results and estimates are recognized in the period in which the results are known / materialized.

3.1 Rights, preference and restrictions attached to equity shares

The Company has one class of equity share having a par value of Rs. 10 per share. Each shareholder is eligible for one vote per share held with a right to receive per share dividend declared by the company

In the event of liquidation of the company, the holders of equity share shall be entitled to receive all of the remaining assets of the company, after distribution of all preferential amounts, if any. Such amount will be in the proportion to the number of equity shares held by stockholders.

3.2 Aggregate number of bonus shares issued and shares bought back during the period of five years immediately preceding the reporting date:

A) Equity shares of Rs. 10 each allotted as fully paid bonus shares by capitalisation out of capital redemption reserves.

B) Equity shares of Rs. 10 each buy back

Notes

Secured term loans from banks & others

a. Term loans are secured by way of pari passu first charge on company’s fixed assets excluding tools & dies, both present & future and second charge on current assets

b. The term loan taken from Yes Bank is Rs 170,833,333 (Previous year Nil) which carries interest of 9.85% per annum

c. The term loan taken from Yes Bank is Rs 170,000,000 (Previous year Nil) which carries interest of 9.65% per annum

d. The term loan taken from Kotak Mahindra Bank Limited is Rs 109,949,821 (Previous year Nil) which carries interest of 9.85% per annum

e. The term loan taken from HDFC Bank Limited is Rs 100,000,000 (Previous year Nil) which carries interest of 9.85% per annum

f. The term loan taken from TATA Capital Financial Services Limited is Rs. 100,000,000 (Previous year Nil) which carries interest of 10.25% per annum

g. The term loan taken from TATA Capital Financial Services Limited is Rs. 39,678,797 (Previous year Rs. 122,222,000) which carries interest of 11.75% per annum

h. Repayment schedule

Notes

Nature of securities

The cash credit facilities are secured by way of pari passu first charge on entire current assets of the Company including stocks of raw material, goods in transit and book debts along with a pari passu charge on entire fixed assets of the Company

* Cash credit facilities outstanding from Allahabad Bank is Rs. 7,379,485 (Previous year Rs. 112,780,191) carry interest of 12.20% computed on the daily basis on the actual amount utilized, and are repayable on demand.

* Cash credit facilities outstanding from Axis Bank Limited is Rs. 268,092,956 (Previous year Rs. 103,015,954) carry interest of 9.20% computed on the daily basis on the actual amount utilized, and are repayable on demand.

* Cash credit facilities outstanding from Kotak Mahindra Bank Limited is Rs. 10,882,541 (Previous year Nil) carry interest of 10.30% computed on the daily basis on the actual amount utilized, and are repayable on demand.

* Cash credit facilities outstanding from Yes Bank Limited is Rs. 140,066,457 (Previous year Nil) carry interest of 9.25% computed on the daily basis on the actual amount utilized, and are repayable on demand.

* Cash credit facilities outstanding from HDFC Bank Limited is Rs. 70,822 (Previous year Nil) carry interest of 9.75% computed on the daily basis on the actual amount utilized, and are repayable on demand.

4. Contingent liabilities and commitments (to the extent not provided for):

(i) Contingent liabilities not provided for

a) Demand under the Central Excise Act of Rs. 111,535,494 (Previous year Rs. 111,535,494)

b) Demand under the Income Tax Act of Rs. 1,646,625 (Previous year Rs. 2,182,598)*

c) Demand under the Sales Tax Act of Rs. 621,691 (Previous year Rs. 621,691).

d) Bill discounted of Rs.7,152,049 (Previous year Rs. 14,942,719)

* The Ld CIT (A) vide order dated 27 April 2017 quashed the penalty demand order passed by Assessing Officer u/s 271(1)(c) of the Income Tax Act, 1961

(ii) Guarantees

In respect of bank guarantees: Rs.5,434,322 (Previous year Rs.5,434,322)

(iii) Commitments

Estimated amount of contracts, remaining to be executed on capital account (net of advances) Rs. 9,424,527 (Previous year Rs. 4,636,800).

5. (i) Contribution to defined benefit plan

The company has a defined benefit gratuity plan. Every employee who has completed five years or more of service gets a gratuity on departure at 15 days salary (last drawn salary) for each completed year of service. The scheme is funded with “Life Insurance corporation” in the form of a qualifying insurance policy.

6. Other income includes interest income Rs. 216,369 (Previous year Rs. 468,592), tax deducted thereon is Rs. 7,795 (Previous year Rs. 44,529), Profit on sale of fixed assets Rs. 1,922,125 (Previous year Rs. 142,974), Sundry creditors written off Rs. 6,054 (Previous year Rs. 99,563), Duty draw back received Rs 177,706 (Previous year Rs. 106,199), Exchange fluctuation gain Rs 754,275 (Previous year loss Rs 1,590,878).

7. Investment in equity share are measured at fair value through other comprehensive income as per ind AS 109.

The company had made Investment of Face Value of Rs.12,500,000 in equity shares of Caparo Maruti Limited. The investee company has disputed the shareholding of the Company. The company has filed a petition to Hon’ble Company Law Board, who gave company an option to sell shares to majority shareholders after valuation to make an exit. The Company filed an appeal in the Hon’ble Delhi High Court which dismissing company’s appeal upheld Company Law Board order thereafter SLPs were preferred against the orders of the Hon’ble High Court of Delhi before the Hon’ble Supreme Court of India by both the parties. The Hon’ble Supreme Court of India vide its order dated 29th March 2016 dismissed both SLPs. However, it states that the order of dismissal is subject to the result of such case(s) as may be pending between the paties in respect of cancellation of the shares held by the petitioner. The matter is still sub-judice.

In the current circumstances, the company is unable to ascertain the fair value of investment in equity share in Caparo Maruti Limited as it is not practicably feasible to do so. Consequently, no fair value adjustment has been made in the books of accounts and these equity instruments have been carry forward at cost as at Balance sheet date

8. The company is exclusively engaged in the business of manufacturing plastic moulded parts for automotive, appliances and industrial application and allied products, which is considered as the only reportable segment referred to in statement on Ind AS-108 “Operating Segments”. The geographical segmentation is not relevant, as there is insignificant export.

9. Information as required by ind AS 24 “Related Parties Disclosures” as follows:

List of related parties:

a. Associate companies

Maruti Suzuki India Limited Suzuki Motor Corporation, Japan

b. Enterprises under common control

Suzuki Motor Gujarat Private Limited

Suzuki Motorcycle India Private Limited

c. Enterprises over which key management personnel

And their close members are able to exercise significant influence

Machino Motor Private Limited Machino Techno Sales Limited Machino Transport Private Limited Machino Finance Private Limited Machino Media Private Limited Machino Auto Comp Tooling Private Limited Machino Polymers Limited Rajiv Exports Industries Private Limited Grandmaastters Mold Limited Pranaa Plastics Limited

d. Key management personnel & their close members

Mr M.D. Jindal - Chairman Emeritus

Mr Sanjiivv Jindall - Managing Director cum Chairman & Son of Chairman Emeritus

Ms Kamla Jindal - Spouse of Chairman Emeritus

Ms Sarita Jindal - Spouse of Managing Director cum Chairman

Mr Aditya Jindal - Executive Director & Son of Managing Director cum Chairman

Mr Suryakant Agrawal - General Manager cum Company Secretary

10. Capital Management

The Company manages its capital to ensure that the company will be able to continue as going concerns while maximizing the return to stakeholders through the optimization of the debt and equity balance.

The capital structure of the Company consists of net debt (borrowings as detailed in notes 16 and 19 offset by cash and bank balances) and total equity of the company. The company is not subject to any externally imposed capital requirements.

The Company’s risk management committee reviews the capital structure of the Company on a semiannual basis. As part of this review, the committee considers the cost of capital and the risks associated with each class of capital. The Company monitors capital on the basis of following gearing ratio, which is net debt divided by total equity plus debt.

11. Financial risk management:-

The Company’s Corporate Treasury function provides services to the business, co-ordinates access to domestic and international financial markets, monitors and manages the financial risks relating to the operations of the company through internal risk reports which analyses exposures by degree and magnitude of risks. These risks include market risk (including currency risk, interest rate risk and other price risk), credit risk and liquidity risk.

The Corporate Treasury function reports quarterly to the company’s risk management committee, an Independent body that monitors risks and policies implemented to mitigate risk exposures.

Market Risk

The company’s activities expose it primarily to the financial risks of changes in foreign currency exchange rates and interest rates.

a) Foreign currency risk management

The company undertakes transactions denominated in foreign currencies; consequently, exposures to exchange rate fluctuations arise. Exchange rate exposures are managed within approved policy parameters

The carrying amounts of the company’s foreign currency denominated monetary assets and monetary liabilities at the end of the reporting period are as follows.

b) Interest rate risk management

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest rates. The company is exposed to interest rate risk because company borrows funds at floating interest rates.

Interest rate sensitivity analysis

The sensitivity analyses below have been determined based on the exposure to interest rates at the end of the reporting period. For floating rate liabilities, the analysis is prepared assuming the amount of the liability outstanding at the end of the reporting period was outstanding for the whole year. A 50 basis point increase or decrease is used when reporting interest rate risk internally to key management personnel and represents management’s assessment of the reasonably possible change in interest rates.

(i) The exposure of group borrowings to interest rate changes at the end of reporting period are as follows:

(ii) As at the end of reporting period, the company had the following variable rate borrowings:

(iii) Sensitivity

Profit/loss is sensitive to higher/lower interest expense from borrowings as a result of changes in interest rates.

c) credit risk management

Credit risk refers to the risk that a counterparty will default on its contractual obligations resulting in financial loss to the Company. The company has adopted a policy of only dealing with creditworthy counterparties and obtaining sufficient collateral, where appropriate, as a means of mitigating the risk of financial loss from defaults. The company only transacts with entities that are rated the equivalent of investment grade and above. This information is supplied by independent rating agencies where available and, if not available, the company uses other publicly available financial information and its own trading records to rate its major customers. The company’s exposure and the credit ratings of its counterparties are continuously monitored and the aggregate value of transactions concluded is spread amongst approved counterparties. Credit exposure is controlled by counterparty limits that are reviewed and approved by the risk management committee annually.

d) Liquidity risk management

Ultimate responsibility for liquidity risk management rests with the board of directors, which has established an appropriate liquidity risk management framework for the management of the company’s short-term, medium-term and long-term funding and liquidity management requirements. The company manages liquidity risk by maintaining adequate reserves, banking facilities and reserve borrowing facilities, by continuously monitoring forecast and actual cash flows, and by matching the maturity profiles of financial assets and liabilities.

Liquidity and interest risk tables

The following tables detail the Company’s remaining contractual maturity for its non-derivative financial liabilities with agreed repayment periods. The tables have been drawn up based on the undiscounted cash flows of financial liabilities based on the earliest date on which the company can be required to pay.

The tables include both interest and principal cash flows. To the extent that interest flows are floating rate, the undiscounted amount is derived from interest rate curves at the end of the reporting period.

The contractual maturity is based on the earliest date on which the company may be required to pay.

12. Fair value of measurement

Fair value of the company’s financial assets and financial liabilities that are measured at fair value on a recurring basis.

a) The fair values of current debtors, bank balances, current creditors and current borrowings are assumed to approximate their carrying amounts due to the short-term maturities of these assets and liabilities are as follows.

13. current Tax

The income tax expense for the year can be reconciled to the accounting profit as follows:

The tax rate used for the 2016-17 and 2015-16 reconciliations above is the corporate tax rate of 21.314% & 34.608% respectively.

14. Specified bank notes (SB’Ns):-

During the year, the Company had specified bank notes or other denomination note as defined in the MCA notification G.S.R. 308(E) dated 31 March 2017 on the details of Specified Bank Notes (SBN) held and transacted during the period from 08 November 2016 to 30 December 2016, the denomination wise SBNs and other notes as per the notification is given below

15. The group offsets a financial asset and a financial liability when it currently has a legally enforceable right to set off the recognized amounts and the group intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously.

The following table provides quantitative information about offsetting of financial assets and financial liabilities:

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Mar 31, 2016

Note

1. Other income includes interest received Rs. 468,592 (Previous year Rs. 187,238), tax deducted thereon is Rs. 44,529 (Previous year Rs. 13,924), Profit on sale of fixed assets Rs. 142,974 (Previous year Nil), Sundry creditors written off Rs. 99,563 (Previous year 3,359,738), Duty draw back received Rs 106,199 (Previous year Rs. 77,009).

2. The company had made Investment of Face Value of Rs.12,500,000 in equity shares of Caparo Maruti Limited. The investee company has disputed the shareholding of the Company. The company has filed a petition to Hon''ble Company Law Board, who gave company an option to sell shares to majority shareholders after valuation to make an exit. The Company filed an appeal in the Hon''ble Delhi High Court which dismissing company''s appeal upheld Company Law Board order thereafter SLPs were preferred against the orders of the Hon''ble High Court of Delhi before the Hon''ble Supreme Court of India by both the parties. The Hon''ble Supreme Court of India vide its order dated 29th March 2016 dismissed both SLPs. However, it states that the order of dismissal is subject to the result of such case(s) as may be pending between the patties in respect of cancellation of the shares held by the petitioner. The matter is still sub-judice.

3. The company is exclusively engaged in the business of manufacturing plastic moulded parts for automotive, appliances and industrial application and allied products, which is considered as the only reportable segment referred to in statement on Accounting Standard (AS) -17 “Segmental Reporting”. The geographical segmentation is not relevant, as there is insignificant export.

4. Information as required by Accounting Standard - (AS) - 18 “Related Parties Disclosures” as follows:

List of related parties:

a) Associate companies Maruti Suzuki India Limited Suzuki Motor Corporation, Japan

b) Enterprises over which key management personnel And their relatives are able to exercise significant influence Machino Motors Private Limited Machino Techno Sales Limited Machino Transport Private Limited Machino Finance Private Limited Machino Media Private Limited Machino Auto Comp Tooling Private Limited Machino Polymers Limited Rajiv Exports Industries Private Limited Grandmaastters Mold Limited Pranaa Plastics Limited

c) Key management personnel & relatives

Mr M.D.Jindal - Chairman

Mr Sanjiivv Jindall - Managing Director cum Vice Chariman & Son of Chairman

Mrs Kamla Jindal - Spouse of Chairman

Mrs Sarita Jindal - Spouse of Managing Director

Mr Aditya Jindal - Executive Director & Son of Managing Director

Ms Simta Jindal - Daughter of Managing Director

5. The figures are adjusted to the nearest rupee and figures for previous year have been regrouped / rearranged to conform to the classification in the current year.

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Mar 31, 2015

Note 1.1 Rights, preference and restrictions attached to equity shares

The Company has one class of equity share having a par value of Rs. 10 per share. Each shareholder is eligible for one vote per share held with a right to receive per share dividend declared by the company In the event of liquidation of the company, the holders of equity share shall be entitled to receive all of the remaining assets of the company, after distribution of all preferential amounts, if any. Such amount will be in the proportion to the number of equity shares held by stockholders.

Notes

Nature of securities

The cash credit facilities are secured by way of pari passu first charge on entire current assets of the Company including stocks of raw material, goods in transit and book debts along with a pari passu charge on entire fixed assets of the Company

* Cash credit facilities outstanding from The Bank of Tokyo-Mitsubishi UFJ, Ltd is Nil (Previous year Rs. 49,196,450/-) carry interest of 14.50% computed on the daily basis on the actual amount utilized, and are repayable on demand.

* Cash credit facilities outstanding from Allahabad Bank is Rs. 174,061,617/- (Previous year Rs. 166,093,515/-) carry interest of 12.70% computed on the daily basis on the actual amount utilized, and are repayable on demand.

* Cash credit facilities outstanding from Axis Bank Limited is Rs. 5,258,937/- (Previous year Rs. 59,035,560/-) carry interest of 12.50% computed on the daily basis on the actual amount utilized, and are repayable on demand.

2. Contingent liabilities and commitments (to the extent not provided for):

(i) Contingent liabilities not provided for

a) Demand under the Central Excise Act of Rs. 111,535,494/- (Previous year Rs. 111,535,494/-).

b) Demand under the Income Tax Act of Rs. 2,182,598/- (Previous year Rs. 1,646,625/-).

c) Demand under the Sales Tax Act of Rs. 621,691/- (Previous year Rs. 621,691/-).

(ii) Guarantees

In respect of bank guarantees: Rs.1,558,000/- (Previous year Rs. 1,558,000/-)

(iii) Commitments

a) Estimated amount of contracts, remaining to be executed on capital account (net of advances) Rs.30,306,871/- (Previous year Rs. 3,581,597/-).

b) The Hon''ble High Court of Punjab and Haryana has awarded enhanced compensation to land looser in respect of land acquired by HSIIDC, A Government Agency, from whom the company has purchased on 16th March 2005, four acres of land for its factory at Manesar. In turn HSIIDC has demanded a sum of Rs.42,320,250/- in respect of land allotted to the company. The company has paid Rs 39,360,951/- lacs (inclusive of all interest due to delay payment) and the said enhancement have formed the cost of free hold land at Manesar. The company has received an additional notice from HSIIDC dated 29th August 2014 demanding additional cost / charges in respect of Plot No 128 & 129, Sector 8, IMT Manesar amounting to Rs 23,184,000/-. The company has paid Rs 4,753,038/- lacs (inclusive of all interest due to delay payment) in respect of additional demand.

3. During the year ended 31st March 2009 company has revalued its land (free hold) by Rs. 149,621,982/- substituting its historical cost of Rs 47,253,018/- by revalued amount of Rs. 196,875,000/-. The said revaluation was done by an external valuer using comparable method.

4. (i) Contribution to defined benefit plan

The company has a defined benefit gratuity plan, Every employee who has completed five years or more of service gets a gratuity on departure at 15 days salary (last drawn salary) for each completed year of service. The scheme is funded with "Life Insurance Corporation" in the form of a qualifying insurance policy.

5. Other income includes interest received Rs. 187,238/- (Previous year Rs. 1,137,545/-), tax deducted thereon is Rs. 13,924/- (Previous year Rs. 74,251/-), Profit on sale of fixed assets Nil (Previous year 1,177,946/- ), Sundry creditors written off Rs. 3,359,738/- (Previous year Nil), Duty draw back received Rs 77,009/- (Previous year Nil).

6. The company had made Investment of Face Value of Rs.12,500,000/- in equity shares of Caparo Maruti Limited. The investee company has disputed the shareholding of the Company. The company has filed a petition to Hon''ble Company Law Board, who gave company an option to sell shares to majority shareholders after valuation to make an exit. The Company filed an appeal in the Hon''ble Delhi High Court which dismissing company''s appeal upheld Company Law Board order thereafter SLPs were preferred against the orders of the Hon''ble High Court of Delhi before the Hon''ble Supreme Court of India by both the parties. The matter is still sub-judice.

7. During the year the company has determined the estimated useful life of its fixed assets based on the technical evaluation as permitted under the provision of Schedule II of Companies Act, 2013 and has provided depreciation accordingly w.e.f. 01st April 2014. This has resulted into depreciation for the year ended 31st March 2015 being higher by Rs 6,096,217/-.

8. The company is exclusively engaged in the business of manufacturing plastic moulded parts for automotive, appliances and industrial application and allied products, which is considered as the only reportable segment referred to in statement on Accounting Standard (AS) -17 "Segmental Reporting". The geographical segmentation is not relevant, as there is insignificant export.

9. Information as required by Accounting Standard - (AS) - 18 "Related Parties Disclosures" as follows:

List of related parties:

a) Associate companies

Maruti Suzuki India Limited Suzuki Motor Corporation, Japan

b) Enterprises over which key management personnel

And their relatives are able to exercise significant influence

Machino Motors Private Limited Machino Techno Sales Limited Machino Transport Private Limited Machino Finance Private Limited Machino Media Private Limited Machino Auto Comp Tooling Private Limited Machino Polymers Limited Rajiv Exports Industries Private Limited Grandmaastters Mold Limited Pranaa Plastics Limited

c) Key management personnel & relatives

Mr M.D.Jindal - Chairman

Mr Sanjiivv Jindall - Managing Director cum Vice Chariman & Son of Chairman

Mrs Kamla Jindal - Spouse of Chairman

Mrs Sarita Jindal - Spouse of Managing Director

Mr Aditya Jindal - Executive Director & Son of Managing Director

Ms Simta Jindal - Daughter of Managing Director

10. The figures are adjusted to the nearest rupee and figures for previous year have been regrouped / rearranged to conform to the classification in the current year.

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Mar 31, 2014

Note 1.1 Rights, preference and restrictions attached to equity shares

The Company has one class of equity share having a par value of Rs. 10 per share. Each shareholder is eligible for one vote per share held with a right to receive per share dividend declared by the company

In the event of liquidation of the company, the holders of equity share shall be entitled to receive all of the remaining assets of the company, after distribution of all preferential amounts, if any. Such amount will be in the proportion to the number of equity shares held by stockholders.

2. Contingent liabilities and commitments (to the extent not provided for):

(i) Contingent liabilities not provided for

a) Demand under the Central Excise Act of Rs. 111,535,494/- (Previous year Rs. 111,535,494/-).

b) Demand under the Income Tax Act of Rs. 1,646,435/- (Previous year Rs. 13,079,410/-).

c) Demand under the Sales Tax Act of Rs.621,691/- (Previous year Nil).

(ii) Guarantees

In respect of bank guarantees: Rs.1,558,000/- (Previous year Rs. 1,500,000/-)

(iii) Commitments

Estimated amount of contracts, remaining to be executed on capital account (net of advances) Rs.3,581,597/- (Previous year Rs. 17,975,216/-).

3. During the year ended 31st March 2009 company has revalued its land (free hold) by rupees Rs. 149,621,982/-) substituting its historical cost of Rs 47,253,018/- by revalued amount of Rs. 196,875,000/-. The said revaluation was done by an external valuer using comparable method.

4. (i) Contribution to defined benefit plan

The company has a defined benefit gratuity plan, Every employee who has completed five years or more of service gets a gratuity on departure at 15 days salary (last drawn salary) for each completed year of service. The scheme is funded with "Life Insurance Corporation" in the form of a qualifying insurance policy.

5. Other income includes interest received Rs. 1,137,545/- (previous year Rs. 976,405/-), tax deducted thereon is Rs. 74,251/- (previous year Rs. 97,652/-), Profit on sale of fixed assets Rs.1,177,946/- (Previous year 44,199/-), Gain from Foreign Fluctuation Rs. 35,871/- (Previous year Nil), Discount received Rs. Nil (Previous year Rs.6,596,161/-).

6. The company had made Investment of Face Value of Rs.12,500,000/- in equity shares of Caparo Maruti Limited. The investee company has disputed the shareholding of the Company. The company has filed a petition to Hon''ble Company Law Board, who gave company an option to sell shares to majority shareholders after valuation to make an exit. The Company filed an appeal in the Hon''ble Delhi High Court which dismissing company''s appeal upheld Company Law Board order thereafter SLPs were preferred against the orders of the Hon''ble High Court of Delhi before the Hon''ble Supreme Court of India by both the parties. The matter is still sub-judice.

7. The Hon''ble High Court of Punjab and Haryana has awarded enhanced compensation to land looser in respect of land acquired by HSIIDC, A Government Agency, from whom the company has purchased on 16th March 2005, four acres of land for its factory at Manesar. In turn HSIIDC has demanded a sum of Rs.42,320,250/- in respect of land allotted to the company. IMT Manesar Association has filed petition in the Hon''ble High Court of Punjab and Haryana challenging the demand of behalf of industries at Manesar. The Hon''ble High Court has directed allottees, to deposit 60% of demanded amount, pending final judgement. The company has paid Rs. 29,838,112/- including interest and the said enhancement has formed the cost of free hold land at Manesar.

8. The company is exclusively engaged in the business of manufacturing plastic moulded parts for automotive, appliances and industrial application and allied products, which is considered as the only reportable segment referred to in statement on Accounting Standard (AS) -17 "Segmental Reporting". The geographical segmentation is not relevant, as there is insignificant export.

9. Information as required by Accounting Standard - (AS) - 18 "Related Parties Disclosures" as follows:

List of related parties:

a. Associate companies

Maruti Suzuki India Limited Suzuki Motor Corporation, Japan

b) Enterprises over which key management personnel

And their relatives are able to exercise significant influence

Machino Motors Private Limited Machino Techno Sales Limited Machino Transport Private Limited Machino Finance Private Limited Machino Media Private Limited Machino Auto Comp Limited Machino Auto Comp Tooling Private Limited Machino Polymers Limited Rajiv Exports Industries Private Limited Grandmaastters Mold Limited Pranaa Plastics Limited

c. Key management personnel & relatives

Mr M.D.Jindal - Chairman

Mr Sanjiivv Jindall - Managing Director cum Vice Chairman & Son of Chairman

Mrs Kamla Jindal - Spouse of Chairman

Mrs Sarita Jindal - Spouse of Managing Director

Mr Aditya Jindal - Executive Director & Son of Managing Director

Ms Simta Jindal - Daughter of Managing Director

10. The figures are adjusted to the nearest rupee and figures for previous year have been regrouped / rearranged to confirm to the classification in the current year.

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Mar 31, 2013

1. Contingent liabilities and commitments (to the extent not provided for): (i) Contingent liabilities not provided for

a) Demand under the central excise act of Rs. 111,535,494/- (Previous year Rs. 139,256,442/-).

b) Demand under the income tax act of Rs. 13,079,410/- (Previous year Rs. Nil). (ii) Guarantees

a) In respect of bank guarantees : Rs.1,500,000/- (Previous year Rs. 1,000,000/-)

(iii) Commitments

a) Estimated amount of contracts, remaining to be executed on capital account (net of advances) Rs. 17,975,216/- (Previous year Rs. Nil).

2. During the year ended 31st March 2009 company has revalued its land (free hold) by (Rs. 149,621,982/-) substituting its historical cost of Rs 47,253,018/- by revalued amount of Rs. 196,875,000/-. The said revaluation was done by an external valuer using comparable method.

3. (i) Contribution to defned beneft plan

The company has a defned beneft gratuity plan, every employee who has completed fve years or more of service gets a gratuity on departure at 15 days salary (last drawn salary) for each completed year of service. The scheme is funded with "Life Insurance Corporation" in the form of a qualifying insurance policy.

4. Other income includes interest received Rs. 976,405/- (Previous year Rs. 4,668,248/-), tax deducted thereon is Rs. 97,652/- (previous year Rs. 1,73,008/-), Proft on sale of fxed assets Rs.44,199/- (Previous year 13,143,416/-), Gain from Foreign Fluctuation Rs. Nil (Previous year Rs. 2,881/-), Discount received Rs.6,596,161/- (Previous year Rs.4,233,395/-).

5. The company had made Investment of Face Value of Rs.12,500,000/- in equity shares of Caparo Maruti Limited. The investee company has disputed the shareholding of the Company. The company has fled a petition to Hon''ble Company Law Board, who gave company an option to sell shares to majority shareholders after valuation to make an exit. The Company fled an appeal in the Hon''ble Delhi High Court which dismissing company''s appeal upheld Company Law Board order thereafter SLPs were preferred against the orders of the Hon''ble High Court of Delhi before the Hon''ble Supreme Court of India by both the parties. The matter is still sub-judice.

6. The Hon''ble High Court of Punjab and Haryana has awarded enhanced compensation to land looser in respect of land acquired by HSIIDC, A Government Agency, from whom the company has purchased on 16th March 2005, four acres of land for its factory at Manesar. In turn HSIIDC has demanded a sum of Rs.42,320,250/- in respect of land allotted to the company. IMT Manesar Association has fled petition in the Hon''ble High Court of Punjab and Haryana challenging the demand on behalf of industries at Manesar. The Hon''ble High Court has directed allottees, in the hearing dated 30th April 2013, to deposit 40% of demanded amount, pending fnal judgement. The company has not yet paid any amount. However in case, the said enhancement is paid the same will form of cost of free hold land at Manesar.

7. An accident occurred in Manesar Plant of the company on 21st January 2012 causing damage to fxed assets Gross Valued at Rs. 33,202,884/- and WDV at Rs. 23,872,957/- and stock value of Rs. 2,606,334/- at cost. Company has in force an all industrial risk insurance policy at the time of accident which has arrangement for replacement / re-instatement of assets. Management is of the view that fnal adjustment for impact on carrying value of assets shall be carried out after settlement of insurance claims, since it is unascertainable at this stage.

8. The company is exclusively engaged in the business of manufacturing plastic moulded parts for automotive, appliances and industrial application and allied products, which is considered as the only reportable segment referred to in statement on Accounting Standard (AS) -17 "Segmental Reporting". The geographical segmentation is not relevant, as there is insignifcant export.

9. Information as required by Accounting Standard – (AS) - 18 "Related Parties Disclosures" as follows: List of related parties:

a. Associate companies

Maruti Suzuki India Limited Suzuki Motor Corporation, Japan

b. Enterprises over which key management personnel and their relatives are able to exercise signifcant infuence

Machino Motors Pvt. Limited Grandmaastters Mold Limited Machino Techno Sales Limited Machino Transport Private Limited Machino Finance Private Limited Machino Autocomp Pvt Ltd Machino Polymers Limited

c. Key management personnel & relatives

Mr. M.D.Jindal - Chairman

Dr. Sanjiivv Jindall - Managing Director & Son of Chairman

Mrs. Kamla Jindal - Spouse of Chairman

Mrs. Sarita Jindal - Spouse of Managing Director

Mr. Aditya Jindal - Son of Managing Director

Miss Simta Jindal - Daughter of Managing Director

10. The fgures are adjusted to the nearest rupee and fgures for previous year have been regrouped / rearranged to conform to the classifcation in the current year.

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Mar 31, 2012

1. Contingent liabilities not provided for:

- Demand under the central excise act of Rs. 13,92,56,442/-(Previous year Rs. 13,92,56,442)

2. Estimated amount of contracts, remaining to be executed on capital account (net of advances) Rs. NIL (Previous year Rs. 26,90,693/-)

3. During the year ended 31st March 2009 company has revalued its land ( free hold) by rupees Rs. 14,96,21,982/-) substituting its historical cost of Rs 4,72,53,018/- by revalued amount of Rs. 19,68,75,000/-. The said revaluation was done by an external valuer using comparable method.

4. (i) Contribution to defined benefit plan

The company has a defined benefit gratuity plan, Every employee who has completed five years or more of service gets a gratuity on departure at 15 days salary (last drawn salary) for each completed year of service. The scheme is funded with "Life Insurance Corporation" in the form of a qualifying insurance policy.

* The estimates of rate of escalation in salary considered in actuarial valuation, taken into account inflation, seniority, per motion and other relevant factors including supply and demand in the employment market.

(ii) Contribution to defined contribution plan

As of 31-03-2012 31-03-2011

Provident Fund 36,65,500 40,42,679

5. Other income includes interest received Rs.46,68,248/- (previous year Rs. 47,98,305/-). tax deducted thereon is Rs. 1,73,008/- (previous year Rs. 4,04,105/-), Profit on sale of equity shares Rs.NIL (Previous year 9,46,98,800/-), Profit on sale of fixed assets Rs.1,31,43,416/- (Previous year 74,19,689/-), Gain from Foreign Fluctuation Rs.2,881/- (Previous year NIL), Discount received Rs.42,33,395/- (Previous year NIL).

6. The company had made Investment of Face Value of Rs.1,25,00,000/- in equity shares of Caparo Maruti Limited. The investee company has disputed the shareholding of the Company. The company has filed a petition to honble company law board, who gave company an option to sell shares to majority shareholders after valuation to make an exit. The Company filed an appeal in the Hon'ble Delhi High Court which dismissing company's appeal upheld company law board order thereafter SLPs were preferred against the orders of the Hon'ble High Court of Delhi before the Hon'ble Supreme court of India by both the parties. The matter is still sub-judice.

7. The sales / revenue have been accounted on the basis of purchase orders issued by customers. However in respect of a customer the discussion is going on for adjustment of prices, the agreed amount of which is not ascertainable. The same will be accounted on crystallization of amount.

8. An accident occurred in Manesar Plant of the company on 21st January 2012 causing damage to fixed assets Gross Valued at Rs. 3,32,02,884/- and WDV at Rs. 2,38,72,957/- and stock value of Rs. 26,06,334/- at cost. Company has in force an all industrial risk insurance policy at the time of accident which has arrangement for replacement / re-instatement of assets. Thus in the opinion of the management there is no likely hood of loss to the company, Management is of the view that adjustment for impact on carrying value of these assets shall be carried out in the amount after settlement of insurance claims, since it is uncertain able at this stage.

9. The company is exclusively engaged in the business of manufacturing plastic moulded parts for automotive, appliances and industrial application and allied products, which is considered as the only reportable segment referred to in statement on Accounting Standard (AS) -17 "Segmental Reporting". The geographical segmentation is not relevant, as there is insignificant export.

10. Information as required by Accounting Standard - (AS) - 18 "Related Parties Disclosures" as follows: List of related parties:

a. Associate companies

Maruti Suzuki India Limited

Suzuki Motor Corporation, Japan

b. Enterprises over which key management personnel and their relatives are able to exercise significant influence

Machino Motors Pvt. Limited

Grandmaastters Mold Limited

Machino Techno Sales Limited

Machino Transport Private Limited

Machino Finance Private Limited

Machino Autocomp Pvt Ltd

Machino Polymers Limited

c. Key management personnel & relatives

Mr. M.D.Jindal - Chairman

Dr. Sanjiivv Jindall - Managing Director & Son of Chairman

Mrs. Kamla Jindal - Spouse of Chairman

Mrs. Sarita Jindal - Spouse of Managing Director

Mr. Aditya Jindal - Son of Managing Director

Miss Simta Jindal - Daughter of Managing Director

11. In compliance with the Accounting Standard (AS) 22 "Accounting for Taxes on Income" deferred tax liability arising during the year on account of timing differences amounting Rs. 53,10,542/- has been recognised in the profit and loss account.

12. The figures are adjusted to the nearest rupee and figures for previous year have been regrouped / rearranged to conform to the classification in the current year.

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Mar 31, 2011

1. Contingent liabilities not provided for:

- Demand under the central excise act of Rs. 13,92,56,442/-(Previous year Rs. 12,36,55,534)

2. Estimated amount of contracts, remaining to be executed on capital account (net of advances) Rs. 26,90,693/- (Previous year Rs. 1,79,71,630/-)

3. During the year ended 31st March 2009 company has revalued its land ( free hold) by rupees Rs. 14,96,21,982/-) substituting its historical cost of Rs 4,72,53,018/- by revalued amount of Rs. 19,68,75,000/-. The said revaluation was done by an external valuer using comparable method.

4. (i) Contribution to defined benefit plan

The company has a defined benefit gratuity plan, Every employee who has completed five years or more of service gets a gratuity on departure at 15 days salary (last drawn salary) for each completed year of service. The scheme is funded with "Life Insurance Corporation" in the form of a qualifying insurance policy.

5. Other income includes interest received Rs. 47,98,305 (previous year Rs. 52,89,725). tax deducted thereon is Rs. 4,04,105 (previous year Rs. 6,64,282); Profit on sale of equity shares Rs.9,46,98,800 (Previous year 6,98,98,000); Income from Job work Nil (previous year Rs. 1,60,956.50); Profit on sale of fixed assets Rs.74,19,689 (Previous year 37,55,137).

6. The company had made Investment of Face Value of Rs 1,25,00,000 in equity shares of Caparo Maruti Limited. The investee company has disputed the shareholding of the Company. The company has filed a petition to honble company law board, who gave company an option to sell shares to majority shareholders after valuation to make an exit. The Company filed an appeal in the Honble Delhi High Court which dismissing companys appeal upheld company law board order thereafter SLPs were preferred against the orders of the Honble High Court of Delhi before the Honble Supreme court of India by both the parties. The matter is still sub-judice.

7. During the year company has carried out restoration & relocation of two injection molding machines at a cost of Rs. 3,56,14,919, which has been capitalized.

8. The company is exclusively engaged in the business of manufacturing plastic moulded parts for automotive, appliances and industrial application and allied products, which is considered as the only reportable segment referred to in statement on Accounting Standard (AS) -17 "Segmental Reporting". The geographical segmentation is not relevant, as there is insignificant export.

9. Information as required by Accounting Standard – (AS) - 18 "Related Parties Disclosures" as follows:

List of related parties:

a) Associate companies

Maruti Suzuki India Limited

Suzuki Motor Corporation, Japan

b) Enterprises over which key management personnel and their relatives are able to exercise significant influence

Machino Motors Pvt. Limited

Grandmasstters Mold Limited

Machino Techno Sales Limited

Machino Transport Private Limited

Machino Finance Private Limited

Machino Autocomp Pvt Ltd

Machino Polymers Limited

c) Key management personnel & relatives

Mr. M.D.Jindal - Chairman

Dr. Sanjiivv Jindall - Managing Director & Son of Chairman

Mrs. Kamla Jindal - Spouse of Chairman

Mrs Sarita Jindal - Spouse of Managing Director

Mr Aditya Jindal - Son of Managing Director

Miss Simta Jindal - Daughter of Managing Director

10. In compliance with the Accounting Standard (AS) 22 "Accounting for Taxes on Income" deferred tax liability arising during the year on account of timing differences amounting Rs. 98,78,617/- has been recognised in the profit and loss account.

11. The figures are adjusted to the nearest rupee and figures for previous year have been regrouped / rearranged to conform to the classification in the current year.

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Mar 31, 2010

1. Contingent liabilities not provided for: • Demand under the Central Excise Act, 1944 of Rs. 12,36,55,537/- (Previous year Rs. 13,92,56,442)

2. Estimated amount of contracts, remaining to be executed on capital account (net of advances) Rs. 1,79,71,630/- (Previous year Rs. 1,37,78,758/-)

3. During the year ended 31st March, 2009 company has revalued its land (free hold) by Rs. 14,96,21,982/- substituting its historical cost of Rs 4,72,53,018/- by revalued amount of Rs. 19,68,75,000/-. The said revaluation was done by an its external valuer using comparable method.

4. Contribution to defined benefit plan

The company has a defined benefit gratuity plan, Every employee who has completed five years or more of service gets a gratuity on departure at 15 days salary (last drawn salary) for each completed year of service. The scheme is funded with "Life Insurance Corporation" in the form of a qualifying insurance policy.

The following tables summarize the components of net benefit expenses recognised in the profit and loss account and the funded status and amounts recognised in the balance sheet for the respective plan (as per Actuarial Valuation as on 31st March,2010).

5. Other income includes interest received Rs. 52,89,725 (previous year Rs.44,03,524); tax deducted thereon is Rs. 6,64,282 (previous year Rs. 9,23,878.01); Profit on sale of equity shares Rs.6,98,98,000 (Previous year 5,98,79,200); Income from Job work Rs.1,60,956.50 (previous year Rs. 19,09,207.24); discount received Rs. Nil (previous year Rs. 18,44,740).

6. The company had made investment of face value of Rs. 1,25,00,000 in equity shares of Caparo Maruti Limited. The investee company has disputed the shareholding of the company. The company has filed a petition to Hon’ble Company Law Board, who gave company an option to sell shares to majority shareholders after valuation to make an exit. The company filed an appeal in the Honble Delhi High Court which dismissing companys appeal upheld Company Law Board order thereafter SLP were preferred against the orders of the Honble Delhi High Court before the Honble Supreme Court of India by both the parties. The Honble Supreme Court of India has appointed M/s Walker Chandok & Co. for valuation of shares of Caparo Maruti Ltd. The matter is still sub-judice.

7. The company is exclusively engaged in the business of manufacturing plastic moulded parts for automotive, appliances and industrial application and allied products, which is considered as the only reportable segment referred to in statement on Accounting Standard (AS - 17) "Segmental Reporting". The geographical segmentation is not relevant, as there is insignificant export.

8. Information as required by Accounting Standard - (AS - 18) "Related Parties Disclosures" as follows:

List of related parties:

a) Associate Companies Maruti Suzuki India Limited Suzuki Motor Corporation, Japan

b) Enterprises over which key management personnel and their relatives are able to exercise significant influence

Machino Motors Pvt. Limited Grandmasstters Mold Limited Machino Techno Sales Limited Machino Transport Private Limited Machino Finance Private Limited Machino Autocomp Pvt Ltd Machino Polymers Limited

c) Key management personnel & relatives Mr. M.D.Jindal - Chairman

Dr. Sanjiivv Jindall - Managing Director & Son of Chairman

Mrs. Kamla Jindal - Spouse of Chairman

Mrs. Sarita Jindal - Spouse of Managing Director

Mr. Aditya Jindal - Son of Managing Director

Ms. Simta Jindal - Daughter of Managing Director

9. In compliance with the Accounting Standard (AS - 22) "Accounting for Taxes on Income" deferred tax assets arising during the year on account of timing differences amounting Rs. 1,71,59,283 has been recognised in the profit and loss account and adjusted with deferred tax liability.

10. The figures are adjusted to the nearest rupee and figures for previous year have been regrouped / rearranged to conform to the classification in the current year.