Accounting Policies of National Plastic Technologies Ltd. Company

Mar 31, 2025

1 Corporate information

National Plastic Technologies Limited (L25209TN1989PLC017413), a public limited company
domiciled in India with its registered office located at 44, Pantheon Road, Thiru Complex, 2nd Floor,
Egmore, Chennai - 600 008. The Company is predominantly into manufacture of products of
automotive industry and consumer durable industry and is already a major supplier of Injection
Moulded Plastic Products. At present the company has 7 plant''s situated in the state of Tamil Nadu
(Hosur I and II, Irrungattukottai (SIPCOT), Guindy), Himachal Pradesh (Nalagarh), Haryana
(Faridabad) and in the Union Territory of Puducherry

The Company is listed on the Bombay Stock Exchange (BSE).

The financial statements were approved for issue by the Board of Directors on 27th May 2025
2. Basis of preparation of financial statements

2.1 Basis of preparation and compliance with Ind AS

The Financial Statements of the Company have been prepared in accordance with Indian
Accounting Standards (''Ind AS’) notified under Section 133 of the Companies Act, 2013 (''Act"), and
the Companies (Indian Accounting Standards) Rules issued from time to time and relevant
provisions of the Companies Act, 2013 (collectively called as Ind AS). The standalone financial
statements are presented in INR, which is its functional currency and all values are rounded to the
nearest Lakhs, except when otherwise stated.

2.2 Basis of measurement

The financial statements have been prepared on a going concern basis, using historical cost
convention and on an accrual method of accounting, except for financial assets, financial liabilities
and defined benefit plans which have been measured at fair value, as required by relevant Ind AS.

2.3 Functional and Presentation Currency

These financial statements are presented in Indian Rupees, which Is the Company''s functional
currency, being the currency of the primary economic environment in which the company operates.
All amounts have been rounded off to the nearest lakhs, unless otherwise indicated. Certain figures
apparently do not add up because of rounding off but are wholly accurate in themselves.

2.4 Current and non-current classification

The Company presents assets and liabilities in the Balance Sheet based on current / non-current
classification.

An asset is classified as current if it satisfies any of the following criteria:

a) It is expected to be realised or intended to be sold in the Company’s normal operating cycle.

b) It is held primarily forthe purpose of trading,

c) It is expected to be realised within twelve months after the reporting period, or

d) It is a cash or cash equivalent unless restricted from being exchanged or used to settle a liability for
atleast twelve months after the reporting period

All other assets are classified as non-current.

A liability is classified as current if It satisfies any of the following criteria:

a) it is expected to be settled in the Company’s normal operating cycle,

b) it is held primarily for the purpose of trading,

c) it is due to be settled within twelve months after the reporting period

d) there is no unconditional right to defer the settlement of the liability for at least twelve months after
the reporting period.

The Company classifies all other liabilities as non current. Current liabilities include current portion of
non current financial liabilities

Deferred tax assets and liabilities are classified as non current assets and liabilities.
The operating cycle is the time between the acquisition of assets for processing and their realisation
in cash and cash equivalents. The Company has identified twelve months as its operating cycle.

2.5 Use of estimates and assumptions

In preparing these standalone financial statement, the Management has made judgements,
estimates and assumptions that affect the application of accounting polices and the reported
amounts of assets, liabilities(induding contingent liabilities), income and expenses. The
Management believes that the estimates used in the preparation of the financial statements are
prudent and reasonable and a continuous evaluation is done on the estimation and judgements
based on historical experience and other factors. Actual results may differ from these estimated. The
areas involving critical estimates or judgements are as follows:

a. Useful life and residual value of property, plant and equipment (refer accounting policy 2.6)

b. Impairment of property, plant and equipment (refer accounting policy 2.6).

c. Recognition and measurement of defined benefit obligations (refer accounting policy 2.10)

d. Recognition of deferred tax assets (refer accounting policy 2.13)

e. Fair Value measurement of Financial Instruments (refer accounting policy 2.11)

f. Provisions and contingent liabilities (refer accounting policy 2.15)

g. Allowances for Inventory (refer accounting policy 2.8)

h. Recognition of discounts, incentives and volume discounts on sales (refer accounting policy 2.9)

2.6 Property, plant and equipment

Property, plant and equipments are stated at historical cost less accumulated depreciation. Cost
comprises of purchase price and other attributable costs, if any, in bringing the assets to its working
condition for its intended use. However, cost excludes Goods and Service Tax to the extent credit of
the tax is availed of. Subsequent costs are included in the asset''s carrying amount or recognized as a
separate asset, as appropriate, only when it is probable that future economic benefits associated with
the item will flow to the Company and the cost of the item can be measured reliably. Costs directly
attributable to the acquisition including borrowing cost upto put to use, are capitalised until the PPE
are ready for use as intended by management.

Depreciation

(I) Depreciation on Property, plant and equipment is provided for on Straight Line method in the
manner prescribed in Part C of Schedule II of the Companies Act,2013 except for Plant and
Machinery and Electrical Fittings of Irungattukottai and Guindy plant acquired before 31.03.2022.

Based on engineer''s certification, the useful life of Plant & Machinery and Electrical fittings of
Irungattukottai and erstwhile Guindy plants acquired before 31.03.2022. have been considered as
follows:

(a) Plant & Machinery - 25 Years

(b) Electrical Fittings -15 Years

(ii) Depreciation is provided after reckoning the maximum residual value @ 5% of the original cost of
the asset.

(iii) In respect of addition of assets during the year, depreciation has been provided on Pro-rata basis.
Impairment of Non Financial Assets

The carrying value of assets or cash generating units at each balance sheet date is reviewed for

impairment if any indication of impairment exists. If the carrying amount of the assets exceed the
estimated recoverable amount, an impairment is recognised for such excess amount. The
impairment loss is recognised as an expense in the statement of profit and loss.

2.7 Intangible Assets:

Separately purchased intangible assets are initially measured at cost. Subsequently, intangible
assets are carried at cost less any accumulated amortisation and accumulated impairment losses, if
any.

Amortisation

The useful life of Intangible assets are assessed and amortised on the straight line basis over the
period of their expected useful life.

The computer software are amortised over the period of 6 years on straight line basis.

2.8 Inventories

Inventories are valued as under:

(I) Raw Materials, Stores & Consumables*-at lower of cost or net realisable value.

(ii) Work In progress** - at cost.

(iii) Finished Goods*** - at lower of cost or net realizable value.

Costs are arrived at by using FI FO method and it includes the followings:

* Cost of raw materials includes purchase price (net of GST) plus transportation charges, insurance
charges, handling charges and other direct attributable costs to bring the material to the present
location as on the reporting date.

** Cost of Work in progress includes landed cost of raw material plus proportionate labour and
overheads on absorption costing basis.

’** Cost of finished goods includes landed cost of raw material plus proportionate labour and
overheads on absorption costing basis.

2.9 Revenue recognition

Revenue is recognised when the performance obligations are satisfied and the control of the goods is
transferred being when the goods are delivered as per the relavant terms of the contract at which
point in time the Company has a right to payment for the goods, customer has possession and legal
title to the goods, customer bears significant risk and rewards of ownership and the customer has
accepted the goods or the Company has objective evidence that all criteria for acceptance have been
satisfied.

Sale of goods

Revenue is recognised at the fair value of the consideration received or receivable, after deduction of
any trade discounts, volume rebates and any taxes or duties collected on behalf of the government
such as Goods & Service Tax.

Sale of Services

Revenue from services are recognised as and when services are rendered and on the basis of
contractual terms with the parties.

Others

All other incomes are recognised when no significant uncertainty as to its subsequent realisation
exists.

2.10 Employee benefits

(I) Short-term employee benefits

Short term employee benefits are recognized as an expense at the undiscounted amount in the
statement of profit and loss of the year in which the related service is rendered.

(ii) Post Employment benefits

(a) Defined contribution plans

A defined contribution plan is a post-employment benefit plan under which an entity pays fixed
contributions into a separate entity and will have no legal or constructive obligation to pay further
amounts. Contributions paid/payable for Provident Fund of eligible employees is recognized in the
statement of Profit and Loss each year.

(b) Defined benefit plans

The liability or asset recognised in the balance sheet in respect of defined benefit gratuity plan is the
present value of the defined benefit obligation at the end of the reporting period less the fair value of
plan assets. The defined benefit obligation is calculated at the end of each reporting period by
Actuaries.

Post employment benefits are recognized as an expense in the statement of profit and loss for the
year in which the employee has rendered services. The company accounts for Gratuity based on
acturial valuation made by Independent actuary as at the balance sheet date.

2.11 Financial Instruments

Financial instruments are recognised when the Company becomes a party to the contractual
provisions of the instrument. Regular way purchases and sales of financial assets are recognised on
trade-date, the date on which the Company commits to purchase or sell the asset.

(A) Financial Assets

The Company determines the classification of its financial assets at initial recognition. The
classification depends on the Company’s business model for managing the financial assets and the
contractual terms of the cash flows.

The financial assets are classified in the following measurement categories:

a) Those to be measured subsequently at fair value (either through other comprehensive income, or
through profit or loss), and

b) Those to be measu red at amortised cost.

For assets measured at fair value, gains and losses will either be recorded in profit or loss or other
comprehensive income. For investments in debt instruments, this will depend on the business model
in which the investment is held. For investments in equity instruments, this will depend on whetherthe
Company has made an irrevocable election at the time of initial recognition to account for the equity
investment at fair value through other comprehensive income. At initial recognition, the Company
measures a financial asset at its fair value plus, in the case of a financial asset not at fair value through
profit or loss, transaction costs that are directly attributable to the acquisition of the financial asset.
Transaction costs of financial assets carried at fair value through profit or loss are expensed in profit
or loss as incurred. Subsequent measurement of debt instruments depends on the Company’s
business model for managing the asset and the cash flow characteristics of the asset. There are three
measurement categories into which the Company classifies its debt instruments.

(I) Amortised Cost

The Company classifies its financial assets as at amortised cost only if both of the following criteria
are met

a) The asset is held within a business model with the objective of collecting the contractual cash
flows, and

b) The contractual terms give rise on specified dates to cash flows that are solely payments of
principal and interest on the principal outstanding.

Financial assets at amortised cost include loans receivable, trade and other receivables, and other
financial assets that are held with the objective of collecting contractual cash flows. After initial
measurement at fair value, the financial assets are measured at amortised cost using the effective
interest rate (EIR) method, less impairment.

Amortised cost is calculated by taking into account any discount or premium on acquisition and fees
or costs that are an integral part of the EIR. The EIR amortisation is included in finance income in the
statement of profit or loss. The losses arising from impairment are recognised in the Statement of
Profit or Loss in other income.

(ii) Fair value through other comprehensive income

Financial assets that are held for collection of contractual cash flows and for selling the financial
assets, where the asset''s cash flows represent solely payments of principal and interest, are
measured at fair value through other comprehensive income. Movements in the carrying amount are
taken through other comprehensive income, except for the recognition of impairment gains or losses,
and interest revenue which are recognised in profit or loss. When the financial asset is derecognised,
the cumulative gain or loss previously recognised in other comprehensive income is reclassified
from equity to profit or loss and recognised in other gains/(losses). Interest income from these
financial assets is included in other income using the effective interest rate method.

(ill) Financial assets at fair value through profit or loss

The Company classifies the following financial assets at fair value through profit or loss:

a) Debtinvestmentsthatdonotqualifyformeasurementatamortised cost;

b) Debt investments that do not qualify for measurement at fair value through other comprehensive
income; and

c) Debt investments that have been designated at fair value through profit or loss.

Derecognition of financial assets

The Company derecognises a financial asset when the contractual rights to the cash flows from the
assets expire, or when it transfers the financial asset and substantially all the risks and rewards of
ownership of the asset to another party.

(B) Financial Liabilities

The Company determines the classification of its financial liabilities at initial recognition.
Classification

The Company classifies all financial liabilities as subsequently measured at amortised cost, except
for financial liabilities at fair value through profit or loss.

Initial recognition and measurement

Financial liabilities are classified, at initial recognition, as financial liabilities at fair value through profit
or loss. Loans and borrowings, payables are subsequently measured at amortised cost.

Derecognition of financial liabilities

Afinancial liability is derecognised when the obligation under the liability is discharged or cancelled or
expires.

(C) Equity investments

All equity investments in scope of Ind AS 109 are measured at fair value. For equity instruments, the
company may make an irrevocable election to present in other comprehensive income subsequent
changes in the fair value. The classification is made on initial recognition and is irrevocable.

If the company decides to classify an equity instrument as at FVTOCI, then all fair value changes on
the instrument, excluding dividends, are recognized in the OCI. There is no recycling of the amounts
from OCI to P&L, even on sale of investment. However, the company may transfer the cumulative
gain or loss within equity. Equity instruments included within the FVTPL category are measured atfair
value with all changes recognized in the Profit and Loss.

2.12 Cash and cash equivalents

Cash and cash equivalent in the balance sheet comprise cash at banks and on hand and short-term
deposits with an original maturity of three months or less, which are subject to an insignificant risk of
changes in value. For the purpose of the statement of cash flows, cash and cash equivalents consist
of cash and short-term deposits, as defined above.

2.13 Taxation

Provision for taxation comprises of the current tax provision, and the net change in the deferred tax
asset or liability during the year.

The income tax expense or credit for the period is the tax payable on the current period''s taxable
income based on applicable income tax rate for each jurisdiction adjusted by changes in defferred tax
assets and liabilities attributable to temporary differences and to unused tax losses. The current
income tax charge calculated on the basis of the tax laws enacted or substantively enacted at the end
of the reporting period. Management periodically evaluates positions taken in tax returns with respect
to situations in which applicable tax regulation is subject to interpretation. It establishes provisions
where appropriate on the basis of the amounts expected to be paid to the tax authorities.

Provision for deferred tax is made on the timing differences arising between the taxable
income and the accounting income computed using the tax rates and the laws that have been
enacted or substantively enacted at the reporting date.

Deferred income tax is provided in full, using the liability method, on temporary differences arising
between the tax bases of assets and liabilities and their carrying amounts in the financial statements.
Deferred income tax is determined using tax rates (and laws) that have been enacted or substantially
enacted by the end of the reporting period and are expected to apply when the related deferred
income tax asset is realised or the deferred income tax liability is settled.

Current and deferred tax is recognised in profit or loss, except to the extent that it relates to items
recognised in other comprehensive income or directly in equity. In this case, the tax is also
recognised in other comprehensive income or directly in equity, respectively.

2.14 Segment accounting

Operating segments are reported in a manner consistent with the internal reporting provided to Chief
Operating Decision Maker (CODM). The Company has identified its Managing Director as CODM
who is responsible for allocating resources and assessing performance of the operating segments
and makes strategic decisions.

The company operates in a single segment, i,e Injection Moulded Plastic Products and hence does
not call for segmentwise disclosure of assets, liabilities, revenues or expenses as prescribed under
IND AS 108"Operating Segments", issued by ICAI.

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Mar 31, 2024

1 Corporate information

National Plastic Technologies Limited (L25209TN1989PLC017413), a public limited company domiciled in India with its registered office located at 44, Pantheon Road, Thiru Complex, 2nd Floor, Egmore, Chennai - 600 008. The Company is predominantly into manufacture of products of automotive industry and consumer durable industry and is already a major supplier of Injection Moulded Plastic Products. At present the company has 7 plant''s situated in the state of Tamil Nadu (Hosur - I & II, Irrungattukottai (SIPCOT), Guindy), Himachal Pradesh (Nalagarh), Haryana (Faridabad) and in the Union Territory of Puducherry.

The Company is listed on the Bombay Stock Exchange (BSE).

The financial statements were approved for issue by the Board of Directors on 15th May 2024 2. Basis of preparation of financial statements 2.1Basis of preparation and compliance with Ind AS

The Financial Statements of the Company have been prepared in accordance with Indian Accounting Standards (''Ind AS'') notified under Section 133 of the Companies Act, 2013 (''Act"), and the Companies (Indian Accounting Standards) Rules issued from time to time and relevant provisions of the Companies Act, 2013 (collectively called as Ind AS). The standalone financial statements are presented in INR, which is its functional currency and all values are rounded to the nearest Lakhs, except when otherwise stated.

2.2 Basis of measurement

The financial statements have been prepared on a going concern basis, using historical cost convention and on an accrual method of accounting, except for financial assets, financial liabilities and defined benefit plans which have been measured at fair value, as required by relevant Ind AS.

2.3 Functional and Presentation Currency

These Financial statements are presented in Indian Rupees, which is the Company''s functional currency, being the currency of the primary economic environment in which the Company operates. All amounts have been rounded off to the nearest lakhs, unless otherwise indicated. Certain figures apparently do not add up because of rounding off but are wholly accurate in themselves.

2.4 Current and non-current classification

The Company presents assets and liabilities in the Balance Sheet based on current / non-current classification.

An asset is classified as current if it satisfies any of the following criteria:

a) It is expected to be realised or intended to be sold in the Company''s normal operating cycle.

b) It is held primarily for the purpose of trading,

c) It is expected to be realised within twelve months after the reporting period, or

d) It is a cash or cash equivalent unless restricted from being exchanged or used to settle a liability for atleast twelve months after the reporting period

All other assets are classified as non-current.

A liability is classified as current if it satisfies any of the following criteria:

a) it is expected to be settled in the Company''s normal operating cycle,

b) it is held primarily for the purpose of trading,

c) it is due to be settled within twelve months after the reporting period

d) there is no unconditional right to defer the settlement of the liability for at least twelve months after the reporting period.

The Company classifies all other liabilities as non current. Current liabilities include current portion of non current financial liabilities

Deferred tax assets and liabilities are classified as non current assets and liabilities. The operating cycle is the time between the acquisition of assets for processing and their realisation in cash and cash equivalents. The Company has identified twelve months as its operating cycle.

2.5 Use of estimates and assumptions

In preparing these standalone financial statement, the Management has made judgements, estimates and assumptions that affect the application of accounting polices and the reported amounts of assets, liabilities(including contingent liabilities), income and expenses. The Management believes that the estimates used in the preparation of the financial statements are prudent and reasonable and a continuous evaluation is done on the estimation and judgements based on historical experience and other factors. Actual results may differ from these estimated. The areas involving critical estimates or judgements are as follows:

a. Useful life and residual value of property, plant and equipment (refer accounting policy 2.6)

b. Impairment of property, plant and equipment (refer accounting policy 2.6).

c. Recognition and measurement of defined benefit obligations (refer accounting policy 2.10)

d. Recognition of deferred tax assets (refer accounting policy 2.13)

e. Fair Value measurement of Financial I nstruments (refer accounting policy 2.11)

f. Provisions and contingent liabilities (refer accounting policy 2.15)

g. Allowances for Inventory (refer accounting policy 2.8)

2.6 Property, plant and equipment

Property, plant and equipments are stated at historical cost less accumulated depreciation. Cost comprises of purchase price and other attributable costs , if any , in bringing the assets to its working condition for its intended use. However, cost excludes Goods and Service Tax to the extent credit of the tax is availed of. Subsequent costs are included in the asset''s carrying amount or recognized as a separate asset, as appropriate, only when it is probable that future economic benefits associated with the item will flow to the Company and the cost of the item can be measured reliably.Costs directly attibutable to the acquisition are capitalised until the PPE are ready for use as intended by management.

Depreciation

(I) Depreciation on Property, plant and equipment is provided for on Straight Line method in the manner prescribed in Part C of Schedule II of the Companies Act,2013 except for Plant and Machinery and Electrical Fittings of Irungattukottai and Guindy plant acquired before 31.03.2022.

Based on engineer''s certification, the useful life of Plant & Machinery and Electrical fittings of Irungattukottai and erstwhile Guindy plants acquired before 31.03.2022. have been considered as follows :

(a) Plant & Machinery - 25 Years

(b) Electrical Fittings - 15 Years

(ii) Depreciation is provided after reckoning the maximum residual value @ 5% of the original cost of the asset.

(iii) In respect of addition of assets during the year, depreciation has been provided on Pro-rata basis. Impairment of Non Financial Assets

The carrying value of assets or cash generating units at each balance sheet date is reviewed for impairment if any indication of impairment exists. If the carrying amount of the assets exceed the

estimated recoverable amount, an impairment is recognised for such excess amount. The impairment loss is recognised as an expense in the statement of profit and loss.

2.7 Intangible Assets:

Separately purchased intangible assets are initially measured at cost. Subsequently, intangible assets are carried at cost less any accumulated amortisation and accumulated impairment losses, if any.

Amortisation

The useful life of Intangible assets are assessed and amortised on the straight line basis over the period of their expected useful life.

The computer software are amortised over the period of 6 years on straight line basis.

2.8 Inventories

Inventories are valued as under :

(I) Raw Materials, Stores & Consumables* - at lower of cost or net realisable value.

(ii) Work In progress** - at cost.

(iii) Finished Goods*** - at lower of cost or net realizable value.

Costs are arrived at by using FIFO method and it includes the followings :

* Cost of raw materials includes purchase price (net of GST) plus transportation charges, insurance charges, handling charges and other direct attributable costs to bring the material to the present location as on the reporting date.

** Cost of Work in progress includes landed cost of raw material plus proportionate labour and overheads on absorption costing basis.

*** Cost of finished goods includes landed cost of raw material plus proportionate labour and overheads on absorption costing basis.

2.8 Revenue recognition

Revenue is recognised when the performance obligations are satisfied and the control of the goods is transferred being when the goods are delivered as per the relavant terms of the contract at which point in time the Company has a right to payment for the goods, customer has possession and legal title to the goods, customer bears significant risk and rewards of ownership and the customer has accepted the goods or the Company has objective evidence that all criteria for acceptance have been satisfied.

Sale of goods

Revenue is recognised at the fair value of the consideration received or receivable, after deduction of any trade discounts, volume rebates and any taxes or duties collected on behalf of the government such as Goods & Service Tax.

Sale of Services

Revenue from services are recognised as and when services are rendered and on the basis of contractual terms with the parties.

Others

All other incomes are recognised when no significant uncertainty as to its subsequent realisation exists.

2.10 Employee benefits

(I) Short-term employee benefits

Short term employee benefits are recognized as an expense at the undiscounted amount in the statement of profit and loss of the year in which the related service is rendered.

(ii) Post Employment benefits

(a) Defined contribution plans

A defined contribution plan is a post-employment benefit plan under which an entity pays fixed contributions into a separate entity and will have no legal or constructive obligation to pay further amounts. Contributions paid/payable for Provident Fund of eligible employees is recognized in the statement of Profit and Loss each year.

(b) Defined benefit plans

The liability or asset recognised in the balance sheet in respect of defined benefit gratuity plan is the present value of the defined benefit obligation at the end of the reporting period less the fair value of plan assets. The defined benefit obligation is calculated at the end of each reporting period by Actuaries.

Post employment benefits are recognized as an expense in the statement of profit and loss for the year in which the employee has rendered services. The company accounts for Gratuity based on acturial valuation made by I ndependent actuary as at the balance sheet date.

2.11 Financial instruments

Financial instruments are recognised when the Company becomes a party to the contractual provisions of the instrument. Regular way purchases and sales of financial assets are recognised on trade-date, the date on which the Company commits to purchase or sell the asset.

(A) Financial Assets

The Company determines the classification of its financial assets at initial recognition. The classification depends on the Company''s business model for managing the financial assets and the contractual terms of the cash flows.

The financial assets are classified in the following measurement categories:

a) Those to be measured subsequently at fair value (either through other comprehensive income, or through profit or loss), and

b) Those to be measured at amortised cost.

For assets measured at fair value, gains and losses will either be recorded in profit or loss or other comprehensive income. For investments in debt instruments, this will depend on the business model in which the investment is held. For investments in equity instruments, this will depend on whether the Company has made an irrevocable election at the time of initial recognition to account for the equity investment at fair value through other comprehensive income. At initial recognition, the Company measures a financial asset at its fair value plus, in the case of a financial asset not at fair value through profit or loss, transaction costs that are directly attributable to the acquisition of the financial asset. Transaction costs of financial assets carried at fair value through profit or loss are expensed in profit or loss as incurred. Subsequent measurement of debt instruments depends on the Company''s business model for managing the asset and the cash flow characteristics of the asset. There are three measurement categories into which the Company classifies its debt instruments.

(I) Amortised Cost

The Company classifies its financial assets as at amortised cost only if both of the following criteria are met:

a) The asset is held within a business model with the objective of collecting the contractual cash flows, and

b) The contractual terms give rise on specified dates to cash flows that are solely payments of principal and interest on the principal outstanding.

Financial assets at amortised cost include loans receivable, trade and other receivables, and other financial assets that are held with the objective of collecting contractual cash flows. After initial measurement at fair value, the financial assets are measured at amortised cost using the effective interest rate (EIR) method, less impairment.

Amortised cost is calculated by taking into account any discount or premium on acquisition and fees or costs that are an integral part of the EIR. The EIR amortisation is included in finance income in the statement of profit or loss. The losses arising from impairment are recognised in the Statement of Profit or Loss in other income.

(ii) Fair value through other comprehensive income

Financial assets that are held for collection of contractual cash flows and for selling the financial assets, where the asset''s cash flows represent solely payments of principal and interest, are measured at fair value through other comprehensive income. Movements in the carrying amount are taken through other comprehensive income, except for the recognition of impairment gains or losses, and interest revenue which are recognised in profit or loss. When the financial asset is derecognised, the cumulative gain or loss previously recognised in other comprehensive income is reclassified from equity to profit or loss and recognised in other gains/(losses). Interest income from these financial assets is included in other income using the effective interest rate method.

(iii) Financial assets at fair value through profit or loss

The Company classifies the following financial assets at fair value through profit or loss:

a) Debt investments that do not qualify for measurement at amortised cost;

b) Debt investments that do not qualify for measurement at fair value through other comprehensive income; and

c) Debt investments that have been designated at fair value through profit or loss.

Derecognition of financial assets

The Company derecognises a financial asset when the contractual rights to the cash flows from the assets expire, or when it transfers the financial asset and substantially all the risks and rewards of ownership of the asset to another party.

(B) Financial Liabilities

The Company determines the classification of its financial liabilities at initial recognition. Classification

The Company classifies all financial liabilities as subsequently measured at amortised cost, except for financial liabilities at fair value through profit or loss.

Initial recognition and measurement

Financial liabilities are classified, at initial recognition, as financial liabilities at fair value through profit or loss. Loans and borrowings, payables are subsequently measured at amortised cost.

Derecognition of financial liabilities

A financial liability is derecognised when the obligation under the liability is discharged or cancelled or expires.

© Equity investments

All equity investments in scope of Ind AS 109 are measured at fair value. For equity instruments, the company may make an irrevocable election to present in other comprehensive income subsequent changes in the fair value. The classification is made on initial recognition and is irrevocable.

If the company decides to classify an equity instrument as at FVTOCI, then all fair value changes on

the instrument, excluding dividends, are recognized in the OCI. There is no recycling of the amounts from OCI to P&L, even on sale of investment. However, the company may transfer the cumulative gain or loss within equity. Equity instruments included within the FVTPL category are measured at fair value with all changes recognized in the Profit and Loss.

2.12 Cash and cash equivalents

Cash and cash equivalent in the balance sheet comprise cash at banks and on hand and short-term deposits with an original maturity of three months or less, which are subject to an insignificant risk of changes in value. For the purpose of the statement of cash flows, cash and cash equivalents consist of cash and short-term deposits, as defined above.

2.13 Taxation

Provision for taxation comprises of the current tax provision, and the net change in the deferred tax asset or liability during the year.

The income tax expense or credit for the period is the tax payable on the current period''s taxable income based on applicable income tax rate for each jurisdiction adjusted by changes in defferred tax assets and liabilities attributable to temporary differences and to unused tax losses. The current income tax charge i calculated on the basis of the tax laws enacted or substantively enacted at the end of the reporting period. Management periodically evaluates positions taken in tax returns with respect to situations in which applicable tax regulation is subject to interpretation. It establishes provisions where appropriate on the basis of the amounts expected to be paid to the tax authorities.

Provision for deferred tax is made on the timing differences arising between the taxable income and the accounting income computed using the tax rates and the laws that have been enacted or substantively enacted at the reporting date.

Deferred income tax is provided in full, using the liability method, on temporary differences arising between the tax bases of assets and liabilities and their carrying amounts in the financial statements. Deferred income tax is determined using tax rates (and laws) that have been enacted or substantially enacted by the end of the reporting period and are expected to apply when the related deferred i ncome tax asset is realised or the deferred income tax liability is settled.

Current and deferred tax is recognised in profit or loss, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. In this case, the tax is also recognised in other comprehensive income or directly in equity, respectively.

2.14 Segment accounting

Operating segments are reported in a manner consistent with the internal reporting provided to Chief Operating Decision Maker (CODM). The Company has identified its Managing Director as CODM who is responsible for allocating resources and assessing performance of the operating segments and makes strategic decisions.

The company operates in a single segment, i,e Injection Moulded Plastic Products and hence does not call for segmentwise disclosure of assets, liabilities, revenues or expenses as prescribed under IND AS 108"Operating Segments", issued by ICAI.

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Mar 31, 2015

1. ACCOUNTING POLICIES:

(i) Accounting policies are consistent with generally accepted Accounting principles, except where overstated otherwise.

(ii) Financial Statements are based on historical cost.

(iii) Mercantile System of Accounting is followed and Income & Expenditure are accounted for on accrual concept on a going concern basis consistently. Bonus, Rates and Taxes are on payment basis.

2. FIXED ASSETS:

Expenditure incurred in connection with acquisition of fixed assets are capitalized along with the cost of such assets.

3. CAPITAL WORK IN PROGRESS:

Capital work in progress is carried at cost comprising direct cost and incidental expenditure during construction period to be allocated to the fixed assets on the completion of construction.

4. DEPRECIATION:

Based on Internal Technical Evaluation, the Company has re-assessed the remaining useful life of fixed assets w.e.f 1st April 2014 in accordance with Part A of Schedule II to the Companies Act, 2013. As a result of the above, depreciation is higher by Rs. 15.94 lacs for the yearended31.03.2015.

However, based on the engineer''s certification, the useful life of Plant & Machinery and Electrical fittings of Irungattukottai and Guindy Plants have been enhanced as follows:

(i) Plants Machinery- from 15 years to 25 years

(ii) Electrical fittings - from 10 years to 15 years

5. REVENUE RECOGNITION:

Sale of goods is recognized at the point of dispatch of goods to the customers from the Company''s factory.

6. SALES:

Sale comprises sale of goods and includes applicable excise duty and local taxes. Consequently duties paid to the authorities are recorded as expenditure.

7. INVENTORIES:

Inventories are valued in accordance with the method of valuation prescribed by The Institute of Chartered Accountants are as follows:

(a) Finished goods are valued at cost of production consisting of Raw material cost, Manufacturing and administrative overheads or net realizable price whichever is lower.

(b) Work-in-progress is valued at cost of production consisting of Raw material cost, Manufacturing and administrative overhead.

(c) Raw materials, Stores or consumables are valued at landed cost or net realizable value whichever is lower.

8. PROVISION FOR CONTINGENT LIABILITIES & CONTINGENT ASSETS:

All Liabilities have been provided for; except liabilities of contingent nature which have been disclosed at their estimated value in the Notes to Accounts, but no provision are made for same and contingent assets are neither recognized nor disclosed in the financial statement.

9. TAXATION:

Provision is made for current tax and deferred tax. Deferred Tax is recognized subject to the consideration of prudence on timing differences, being the difference between taxable income and accounting income that originate in one period for using the tax rates and laws that have been enacted or substantially enacted on the Balance Sheet date and are capable of reversal in one or more subsequent periods. The Deferred Tax Asset is provided as per the Accounting Standard 22 of the Institute of Chartered Accountants of India.

MAT Credit is recognized as an asset to the extent there is convincing evidence that the company will pay normal income tax during the specified period. MAT Credit is recognized as an asset in accordance with the recommendations contained in guidance Note issued by the Institute of Chartered Accountants of India. The said asset is created by way of a credit to profit and loss account and shown as MAT Credit Entitlement. The Company will review the same at each Balance Sheet date and write down the carrying amount of MAT Credit entitlement to the extent there is no longer convincing evidence to the effect that Company will pay normal income tax during the specified period.

10. FOREIGN CURRENCYTRANSACTIONS:

Transactions denominated in foreign currencies are normally recorded at the exchange rate prevailing at the time of the transaction or at contracted forward rates.

11. EMPLOYEE RETIREMENT BENEFITS:

(i) Company''s contributions under Provident Fund Act and Employees State Insurance

Act are charged to Profit & Loss A/C on accrual basis.

(ii) Liability for Gratuity is recognized on payment basis. This is inconsistent with Accounting Standard 15 of ICAI. Provision on actuarial basis has not been made as the amount involved is insignificant.

12. BORROWING COST:

The Borrowing cost has been treated in accordance with Accounting Standard on Borrowing Costs (AS 16) issued by The Institute of Chartered Accountants of India.

13. INVESTMENTS:

Long term investments are valued at cost. Provision for diminution in the value of investments is made to recognize a decline other than temporary.

14. IMPAIRMENT OF ASSETS:

As per the management opinion there is no impairment loss to the fixed assets during the year.

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Mar 31, 2014

1. ACCOUNTING POLICIES:

(i) Accounting policies are consistent with generally accepted Accounting principles, except wherever stated otherwise.

(ii) Financial Statements are based on historical cost.

(iii) Mercantile System of Accounting is followed and Income & Expenditure are accounted for on accrual concept on a going concern basis consistently. Bonus, Rates and Taxes are on payment basis.

2. FIXEDASSETS:

Expenditure incurred in connection with acquisition of fixed assets are capitalized along with the cost of such assets.

3. CAPITAL WORK IN PROGRESS:

Capital work in progress is carried at cost comprising direct cost and incidental expenditure during construction period to be allocated to the fixed assets on the completion of construction.

4. DEPRECIATION:

Depreciation is provided from the date the assets have been acquired / commissioned and put to use, on Straight line method at the rates and the manner specified in Schedule XIV of the Companies Act 1956.

5. REVENUE RECOGNITION:

Sale of goods is recognized at the point of dispatch of goods to the customers from the Company''s factory.

6. SALES:

Sale comprises sale of goods and includes applicable excise duty and local taxes. Consequently duties paid to the authorities are recorded as expenditure.

7. INVENTORIES:

Inventories are valued in accordance with the method of valuation prescribed by The Institute of Chartered Accountants are as follows:

(a) Finished goods are valued at cost of production consisting of Raw material cost inclusive of CENVAT, Manufacturing and administrative overheads or net realizable price whichever is lower.

(b) Work-in-progress is valued at cost of production consisting of Raw material cost inclusive of CENVAT, Manufacturing and administrative overhead.

(c) Raw materials, Stores or consumables are valued at landed cost or net realizable value which ever is lower.

8. PROVISION FOR CONTINGENT LIABILITIES & CONTINGENT ASSETS:

All Liabilities have been provided for, except liabilities of contingent nature which have been disclosed at their estimated value in the Notes to Accounts, but no provision are made for same and contingent assets are neither recognized nor disclosed in the financial statement.

9. TAXATION:

Provision is made for current tax and deferred tax. Deferred Tax is recognized subject to the consideration of prudence on timing differences, being the difference between taxable income and accounting income that originate in one period for using the tax rates and laws that have been enacted or substantially enacted on the Balance Sheet date and are capable of reversal in one or more subsequent periods. The Deferred Tax Asset is provided as per the Accounting Standard 22 of the Institute of Chartered Accountants of India. The Company has made current tax provision for Minimum Alternate Tax (MAT) u/s 115JB of the Income Tax Act, 1961. As per the provisions of Section 115JAA, MAT Credit receivable has been recognized on the basis of return of Income filed for the previous years and MAT provided for the current year. MAT Credit is recognized as an asset to the extent there is convincing evidence that the company will pay normal income tax during the specified period. MAT Credit is recognized as an asset in accordance with the recommendations contained in guidance Note issued by the Institute of Chartered Accountants of India. The said asset is created by way of a credit to profit and loss account and shown as MAT Credit Entitlement. The Company will review the same at each Balance Sheet date and write down the carrying amount of MAT Credit entitlement to the extent there is no longer convincing evidence to the effect that Company will pay normal income tax during the specified period.

10. FOREIGN CURRENCYTRANSACTIONS: Transactions denominated in foreign currencies are normally recorded at the exchange rate prevailing at the time of the transaction or at contracted forward rates.

11. EMPLOYEE RETIREMENT BENEFITS:

(i) Company''s contributions under Provident Fund Act and Employees State Insurance Act are charged to Profit & Loss A/C on accrual basis.

(ii) Liability for Gratuity is recognized on payment basis. This is inconsistent with Accounting Standard 15 of ICAI. Provision on actuarial basis has not been made as the amount involved is insignificant.

12. BORROWING COST:

The Borrowing cost has been treated in accordance with Accounting Standard on Borrowing Costs (AS 16) issued by The Institute of Chartered Accountants of India.

13. INVESTMENTS:

Long term investments are valued at cost. Provision for diminution in the value of investments is made to recognize a decline other than temporary.

14. IMPAIRMENT OF ASSETS:

As per the management opinion there is no impairment loss to the fixed assets during the year.

---

Mar 31, 2013

1. ACCOUNTING POLICIES:

(i) Accounting policies are consistent with generally accepted Accounting principles, except wherever stated otherwise.

(ii) Financial Statements are based on historical cost.

(iii) Mercantile System of Accounting is followed and Income & Expenditure are accounted for on accrual concept on a going concern basis consistently. Bonus, Rates and Taxes are on payment basis.

2. FIXED ASSETS:

Expenditure incurred in connection with acquisition of fixed assets are capitalized along with the cost of such assets.

3. CAPITAL WORK IN PROGRESS:

Capital work in progress is carried at cost comprising direct cost and incidental expenditure during construction period to be allocated to the fixed assets on the completion of construction.

4. DEPRECIATION:

Depreciation is provided from the date the assets have been acquired / commissioned and put to use, on Straight line method at the rates and the manner specified in Schedule XIV of the Companies Act 1956.

5. REVENUE RECOGNITION:

Sale of goods is recognized at the point of dispatch of goods to the customers from the Company''s factory.

6. SALES:

Sale comprises sale of goods and includes applicable excise duty and local taxes. Consequently duties paid to the authorities are recorded as expenditure.

7. INVENTORIES:

Inventories are valued in accordance with the method of valuation prescribed by The Institute of Chartered Accountants are as follows:

(a) Finished goods are valued at cost of Production consisting of Raw material cost inclusive of CENVAT, Manufacturing and administrative overheads or net realizable price whichever is lower.

(b) Work-in-progress is valued at cost of production consisting of Raw material cost inclusive of CENVAT, Manufacturing and administrative overhead.

(c) Raw materials, Stores or consumables are valued at landed cost or net realizable value which ever is lower.

8. PROVISION FOR CONTINGENT LIABILITIES & CONTINGENT ASSETS:

All Liabilities have been provided for, except liabilities of contingent nature which have been disclosed at their estimated value in the Notes to Accounts, but no provision are made for same and contingent assets are neither recognized nor disclosed in the financial statement.

9. TAXATION:

Provision is made for current tax and deferred tax. Deferred Tax is recognized subject to the consideration of prudence on timing differences, being the difference between taxable income and accounting income that originate in one period for using the tax rates and laws that have been enacted or substantially enacted on the Balance Sheet date and are capable of reversal in one or more subsequent periods. The Deferred Tax Asset is provided as per the Accounting Standard 22 of the Institute of Chartered Accountants of India.

The Company has made current tax provision for Minimum Alternate Tax (MAT) u/s 115JB of the Income Tax Act, 1961. As

per the provisions of Section 115JAA, MAT Credit receivable has been recognized on the basis of return of Income filed for the previous years and MAT provided for the current year. MAT Credit is recognized as an asset to the extent there is convincing evidence that the company will pay normal income tax during the specified period. MAT Credit is recognized as an asset in accordance with the recommendations contained in guidance Note issued by the Institute of Chartered Accountants of India. The said asset is created by way of a credit to profit and loss account and shown as MAT Credit Entitlement. The Company will review the same at each Balance Sheet date and write down the carrying amount of MAT Credit entitlement to the extent there is no longer convincing evidence to the effect that Company will pay normal income tax during the specified period.

10. FOREIGN CURRENCYTRANSACTIONS: Transactions denominated in foreign currencies are normally recorded at the exchange rate prevailing at the time of the transaction or at contracted forward rates.

11. EMPLOYEE RETIREMENT BENEFITS.

(i) Company''s contributions under Provident Fund Act and Employees State Insurance Act are charged to Profit & Loss A/C on accrual basis.

(ii) Liability for Gratuity is recognized on payment basis. This is inconsistent with Accounting Standard 15 of ICAI. Provision on actuarial basis has not been made as the amount involved is insignificant.

12. BORROWING COST:

The Borrowing cost has been treated in accordance with Accounting Standard on Borrowing Costs (AS 16) issued by The Institute of Chartered Accountants of India.

13. INVESTMENTS:

Long term investments are valued at cost. Provision for diminution in the value of investments is made to recognize a decline other than temporary.

14. IMPAIRMENT OF ASSETS:

As per the management opinion there is no impairment loss to the fixed assets during the year.

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Mar 31, 2012

1. ACCOUNTING POLICIES:

(i) Accounting policies are consistent with generally accepted Accounting principles, except wherever stated otherwise.

(ii) Financial Statements are based on historical cost.

(iii) Mercantile System of Accounting is followed and Income & Expenditure are accounted for on accrual concept on a going concern basis consistently. Bonus, Rates and Taxes are on payment basis.

2. FIXED ASSETS:

Expenditure incurred in connection with acquisition of fixed assets are capitalized along with the cost of such assets.

3. CAPITAL WORK IN PROGRESS:

Capital work in progress is carried at cost comprising direct cost and incidental expenditure during construction period to be allocated to the fixed assets on the completion of construction.

5. REVENUE RECOGNITION:

Sale of goods is recognized at the point of dispatch of goods to the customers from the Company's factory.

6. SALES:

Sale comprises sale of goods and includes applicable excise duty and local taxes. Consequently duties paid to the authorities are recorded as expenditure.

7. INVENTORIES:

Inventories are valued in accordance with the method of valuation prescribed by The Institute of Chartered Accountants are as follows:

(a) Finished goods are valued at cost of production consisting of Raw material cost inclusive of CENVAT, Manufacturing and administrative overheads or net realizable price whichever is lower.

(b) Work-in-progress is valued at cost of production consisting of Raw material cost inclusive of CENVAT, Manufacturing and administrative overhead.

(c) Raw materials, Stores or consumables are valued at landed cost or net realizable value which ever is lower.

8. PROVISION FOR CONTINGENT LIABILITIES & CONTINGENT ASSETS:

All Liabilities have been provided for, except liabilities of contingent nature which have been disclosed at their estimated value in the Notes to Accounts, but no provision are made for same and contingent assets are neither recognized nor disclosed in the financial statement.

9. TAXATION:

Provision is made for current tax and deferred tax. Deferred Tax is recognized subject to the consideration of prudence on timing differences, being the difference between taxable income and accounting income that originate in one period for using the tax rates and laws that have been enacted or substantially enacted on the Balance Sheet date and are capable of reversal in one or more subsequent periods. The Deferred Tax Asset is provided as per the Accounting Standard 22 of the Institute of Chartered Accountants of India.

The Company has made current tax provision for Minimum Alternate Tax (MAT) u/s115JBof the Income Tax Act, 1961. As per the provisions of Section 115JAA, MAT Credit receivable has been recognized on the basis of return of Income filed for the previous years and MAT provided for the current year. MAT Credit is recognized as an asset to the extent there is convincing evidence that the company will pay normal income tax during the specified period. MAT Credit is recognized as an asset in accordance with the recommendations contained in guidance Note issued by the Institute of Chartered Accountants of India. The said asset is created by way of a credit to profit and loss account and shown as MAT Credit Entitlement. The Company will review the same at each Balance Sheet date and write down the carrying amount of MAT Credit entitlement to the extent there is no longer convincing evidence to the effect that Company will pay normal income tax during the specified period.

10. FOREIGN CURRENCYTRANSACTIONS: Transactions denominated in foreign currencies are normally recorded at the exchange rate prevailing at the time of the transaction or at contracted forward rates.

11. EMPLOYEE RETIREMENT BENEFITS:

(i) Company's contributions under Provident Fund Act and Employees State Insurance Act are charged to Profit & Loss A/C on accrual basis.

(ii) Liability for Gratuity is recognized on payment basis. This is inconsistent with Accounting Standard 15 of ICAI. Provision on actuarial basis has not been made as the amount involved is insignificant.

12. BORROWING COST:

The Borrowing cost has been treated in accordance with Accounting Standard on Borrowing Costs (AS 16) issued by The Institute of Chartered Accountants of India.

13. INVESTMENTS:

Long term investments are valued at cost. Provision for diminution in the value of investments is made to recognize a decline other than temporary.

14. IMPAIRMENT OF ASSETS:

As per the management opinion there is no impairment loss to the fixed assets during the year.

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Mar 31, 2011

1. ACCOUNTING POLICIES:

(i) Accounting policies are consistent

with generally accepted Accounting principles, except wherever stated otherwise.

(ii) Financial Statements are based on historical cost.

(iii) Mercantile System of Accounting is followed and Income & Expenditure are accounted for on accrual concept on a going concern basis consistently. Bonus, Rates and Taxes are on payment basis.

2. FIXED ASSETS:

Expenditure incurred in connection with acquisition of fixed assets are capitalized along with the cost of such assets.

3. CAPITAL WORK IN PROGRESS:

Capital work in progress is carried at cost comprising direct cost and incidental expenditure during construction period to be allocated to the fixed assets on the completion of construction.

4. DEPRECIATION :

Depreciation is provided from the date the as s ets h ave be en acq u i r ed / commissioned and put to use, on Straight line method at the rates and the manner specified in Schedule XIV of the Companies Act 1956.

5. REVENUE RECOGNITION:

Sale of goods is recognized at the point of dispatch of goods to the customers from the Company's factory.

6. SALES:

Sale comprises sale of goods and includes applicable excise duty and local taxes. Consequently duties paid to the authorities are recorded as expenditure.

7. INVENTORIES:

Inventories are valued in accordance with the method of valuation prescribed by The Institute of Chartered Accountants are as follows:

(a) Finished goods are valued at cost of production consisting of Raw material c o s t inclusive of CE NVAT, Manufacturing and administrative overheads or net realizable price whichever is lower.

(b) Work-in-progress is valued at cost of production consisting of Raw material c o s t inclusive of CENVAT, Manufacturing and administrative overhead.

(c) Raw materials, Stores or consumables are valued at landed cost or net realizable value which ever is lower.

8. PROVISION FOR CONTINGENT LIABILITIES & CONTINGENT ASSETS:

All Liabilities have been provided for, except liabilities of contingent nature which have been disclosed at their estimated value in the Notes to Accounts, but no provision are made for same and contingent assets are neither recognized nor disclosed in the financial statement.

9. TAXATION:

Provision is made for current tax and deferred tax. Deferred Tax is recognized subject to the consideration of prudence on timing differences, being the difference between taxable income and accounting income that originate in one period for using the tax rates and laws that have been enacted or substantially enacted on the Balance Sheet date and are capable of reversal in one or more subsequent periods. The Deferred Tax Asset is provided as per the Accounting Standard 22 of the Institute of Chartered Accountants of India.

The Company has made current tax provision for Minimum Alternate Tax (MAT) u/s 115JB of the Income Tax Act, 1961. As per the provisions of Section 115JAA, MAT Credit receivable has been recognized on the basis of return of Income filed for the previous years and MAT provided for the current year. MAT Credit is recognized as an asset to the extent there is convincing evidence that the company will pay normal income tax during the specified period. MAT Credit is recognized as an asset in accordance with the recommendations contained in guidance Note issued by the Institute of Chartered Accountants of India. The said asset is created by way of a credit to profit and loss account and shown as MAT Credit Entitlement. The Company will review the same at each Balance Sheet date and write down the carrying amount of MAT Credit entitlement to the extent there is no longer convincing evidence to the effect that Company will pay normal income tax during the specified period.

10. FOREIGN CURRENCY TRANSACTIONS:

Transactions denominated in foreign currencies are normally recorded at the exchange rate prevailing at the time of the transaction or at contracted forward rates.

11. EMPLOYEE RETIREMENT BENEFITS:

(i) Company's contributions under

Provident Fund Act and Employees State Insurance Act are charged to Profit & Loss A/C on accrual basis.

(ii) Liability for Gratuity is recognized on payment basis. This is inconsistent with Accounting Standard 15 of ICAI. Provision on actuarial basis has not been made as the amount involved is insignificant.

12. BORROWING COST:

The Borrowing cost has been treated in accordance with Accounting Standard on Borrowing Costs (AS 16) issued by The Institute of Chartered Accountants of India.

13. INVESTMENTS:

Long term investments are valued at cost. Provision for diminution in the value of investments is made to recognize a decline other than temporary.

14. IMPAIRMENT OF ASSETS:

As per the management opinion there is no impairment loss to the fixed assets during the year.

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Mar 31, 2010

1. ACCOUNTING POLICIES:

(i) Accounting policies are consistent with generally accepted Accounting principles, except wherever stated otherwise.

(ii) Financial Statements are based on historical cost.

(iii) Mercantile System of Accounting is followed and Income & Expenditure are accounted for on accrual concept on a going concern basis consistently. Bonus, Rates and Taxes are on payment basis.

2. FIXED ASSETS:

Expenditure incurred in connection with acquisition of fixed assets are capitalized along with the cost of such assets.

3. CAPITAL WORK IN PROGRESS:

Capital work in progress is carried at cost comprising direct cost and incidental expenditure during construction period to be allocated to the fixed assets on the completion of construction.

4. DEPRECIATION :

Depreciation is provided from the date the assets have been acquired / commissioned and put to use, on Straight line method at the rates and the manner specified in Schedule XIV of the Companies Act, 1956.

5. REVENUE RECOGNITION :

Sale of goods is recognized at the point of dispatch of goods to the customers from the Companys plants.

6. SALES:

Sale comprises sale of goods and includes applicable excise duty and local taxes. Consequently duties paid to the authorities are recorded as expenditure.

7. INVENTORIES:

Inventories are valued in accordance with the method of valuation prescribed by The Institute of Chartered Accountants are as follows:

(a) Finished goods are valued at cost of production consisting of raw material cost inclusive of Cenvat, manufacturing and administrative overheads or net realisable price whichever is lower.

(b) Work-in-progress is valued at cost of production consisting of raw material cost inclusive of Cenvat, manufacturing and administrative overheads.

(c) Raw materials, stores or consumables are valued at landed cost or net realisable value, which ever is lower.

8. PROVISION FOR CONTINGENT LIABILITIES & CONTINGENT ASSETS:

All Liabilities have been provided for, except liabilities of contingent nature which have been disclosed at their estimated value in the Notes to Accounts, but no provisions are made for same and contingent assets are neither recognised nor disclosed in the financial statement.

9. TAXATION:

Provision is made for current tax and deferred tax. Deferred Tax is recognised subject to the consideration of prudence on timing differences, being the difference between taxable income and accounting income that originate in one period for using the tax rates and laws that have been enacted or substantially enacted on the Balance Sheet date and are capable of reversal in one or more subsequent periods. The Deferred Tax Asset is provided as per the Accounting Standard 22 of the Institute of Chartered Accountants of India.

The Company has made current tax provision for Minimum Alternate Tax (MAT) u/s 115JB of the Income Tax Act, 1961. As per the provisions of Section 115JAA, MAT Credit receivable has been recognised on the basis of Return of Income filed for the previous years and MAT provided for the current year. MAT Credit is recognised as an asset to the extent there is convincing evidence that the company will pay normal income tax during the specified period. MAT Credit is recognised as an asset in accordance with the recommendations contained in guidance note issued by the Institute of Chartered Accountants of India. The said asset is created by way of a credit to Profit and Loss Account and shown as MAT Credit Entitlement. The Company will review the same at each Balance Sheet date and write down the carrying amount of MAT Credit entitlement to the extent there is no longer convincing evidence to the effect that Company will pay normal income tax during the specified period.

10. FOREIGN CURRENCY TRANSACTIONS:

Transactions denominated in foreign currencies are normally recorded at the exchange rate prevailing at the time of the transaction or at contracted forward rates.

11. EMPLOYEE RETIREMENT BENEFITS.

(i) Companys contributions under Provident Fund Act and Employees State Insurance Act are charged to Profit & Loss A/C on accrual basis.

(ii) Liability for Gratuity is recognised on payment basis. This is inconsistent with Accounting Standard 15

Provision on actuarial basis has not been made as the amount involved is insignificant.

12. BORROWING COST:

The Borrowing cost has been treated in accordance with Accounting Standard on Borrowing Costs (AS 16) issued by The Institute of Chartered Accountants of India.

13. INVESTMENTS:

Long term investments are valued at cost. Provision for diminution in the value of investments is made to recognise a decline other than temporary.

14. IMPAIRMENT OF ASSETS:

As per the management opinion, there is no impairment loss to the fixed assets during the year.

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Mar 31, 2009

(i) Accounting policies are consistent with generally accepted Accounting Principles, except wherever stated otherwise.

(ii) Financial Statements are based on historical cost.

(iii) Mercantile System of Accounting is followed arid Income & Expenditure are accounted for on accrual concept on a going concern basis consistently. Bonus,. Rates & Taxes are on payment basis.

2. FIXED ASSETS:

Expenditure which are of Capital nature are capitalized at cost which directly incurred in acquiring assets.

3. CAPITALWORKIN PROGRESS:

Capital work in progress is carried at cost comprising direct cost and incidental expenditure during construction period to be allocated to the fixed assets on the completion construction.

4. DEPRECIATION:

Depreciation is provided from the date the assets have been acquired / commissioned and put to use, on Straight line method at the rates and the manner specified in Schedule XIV of the Companies Act 1956.

5. REVENUE RECOGNITION:

Sale of goods is recognized at the point of dispatch of goods to the customers from the Companys factory.

6. SALES:

Sale comprises sale of goods and includes applicable excise duty and local taxes. Consequently duties paid to the authorities are recorded as expenditure.

7. INVENTORIES:

Inventories are valued in accordance with the method of valuation prescribed by The Institute of Chartered Accountants are as follows:

(a) Finished goods are valued at cost of production consisting of Raw material cost inclusive of CENVAT, Manufacturing and administrative overheads or net realizable price whichever is lower.

(b) Work-in-progress is valued at cost of production consisting of Raw material cost inclusive of CENVAT, Manufacturing and administrative overhead.

(c) Raw materials, Stores or consumables are valued at Landed cost Of Net realizable value which ever is lower.

8. PROVISION FOR CONTINGENT LIABILITIES & CONTINGENT ASSETS:

All Liabilities have been provided for, except liabilities of contingent nature which have been disclosed at their estimated value in the Notes to Accounts, but no provision are made for same and contingent assets are neither recognized nor disclosed in the financial statement.

9. TAXATION:

Provision is made for current tax and deferred tax. Deferred Tax is recognized subject to the consideration of prudence on timing differences, being the difference between taxable income and accounting income that originate in one period tor using the tax rates and laws that have been enacted or substantially enacted on the Balance Sheet date and are capable of reversal in one or more subsequent periods. The Deferred Tax Asset is provided as per the Accounting Standard 22 of the Institute of Chartered Accountants of India.

10. FOREIGN CURRENCY TRANSACTIONS:

Transactions denominated in foreign currencies are normally recorded at the exchange rate prevailing at the time of the transaction or at contracted forward rates.

11. EMPLOYEE RETIREMENT BENEFITS:

(i) Companys contributions under Provident Fund Act and Employees State Insurance Act are charged to Profit & Loss A/C on accrual basis.

(ii) Liability for Gratuity is recognized on payment basis. This is inconsistent with Accounting Standard 15 of ICAI. Provision on actuarial basis has not been made as the amount involved is insignificant,

12. BORROWING COST:

The Borrowing cost has been treated in accordance with Accounting Standard on Borrowing Costs (AS 16) issued by The Institute of Chartered Accountants of India. .

13. INVESTMENTS:

Long term investments are valued at cost. Provision for diminution in the value of investments is made to recognize a decline other than temporary.

14. IMPAIRMENT OF ASSETS:

As per the management opinion there is no impairment loss to the fixed assets during the year.

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Mar 31, 2008

1. ACCOUNTING POLICIES:

(i) Accounting policies are consistent with generally accepted Accounting Principles, except wherever stated otherwise.

(ii) Financial Statements are based on historical cost.

(iii) Mercantile System of Accounting is followed and Income & Expenditure are accounted for on accrual concept on a going concern basis consistently.

2. FIXED ASSETS:

Expenditure which are of Capital nature are capitalized at cost which directly incurred in acquiring assets.

3. CAPITAL WORK IN PROGRESS:

Capital work in progress is carried at cost comprising direct cost and incidental expenditure during construction period to be allocated to the fixed assets on the completion of construction.

4. DEPRECIATION:

Depreciation is provided from the date the assets have been acquired / commissioned and put to use, on Straight line method at the rates and the manner specified in Schedule XIV of the Companies Act 1956.

5. REVENUE RECOGNITION:

Sale of goods is recognized at the point of dispatch of goods to the customers from the Companys factory.

6. SALES:

Sale comprises sale of goods and includes applicable excise duty and local taxes. Consequently duties paid to the authorities are recorded as expenditure.

7. INVENTORIES:

Inventories are valued in accordance with the method of valuation prescribed by The Institute of Chartered Accountants are as follows:

(a) Finished goods are valued at cost of production consisting of Raw material cost inclusive of CENVAT, Manufacturing and administrative overheads or net realizable price whichever is lower.

(b) Work-in-progress is valued at cost of production consisting of Raw material cost inclusive of CENVAT, Manufacturing and administrative overhead.

(c) Raw materials, Stores or consumables are valued at Landed cost of Net realizable value which ever is lower.

8. PRELIMINARY EXPENSES:

Preliminary Expenses is amortized over a period of ten years.

9. PROVISION FOR CONTINGENT LIABILITIES & CONTINGENT ASSETS:

All Liabilities have been provided for, except liabilities of contingent nature which have been disclosed at their estimated value in the Notes to Accounts, but no provision are made for same and contingent assets are neither recognized nor disclosed in the financial statement.

10. TAXATION:

Provision is made for current tax and deferred tax. Deferred Tax is recognized subject to the consideration of prudence on timing differences, being the difference between taxable income and accounting income that originate in one period for using the tax rates and laws that have been enacted or substantially enacted on the Balance Sheet date and are capable of reversal in one or more subsequent periods. The Deferred Tax Asset is provided as per the Accounting Standard 22 of the Institute of Chartered Accountants of India.

11. FOREIGN CURRENCY TRANSACTIONS:

Transactions denominated in foreign currencies are normally recorded at the exchange rate prevailing at the time of the transaction or at contracted forward rates.

12. EMPLOYEE RETIREMENT BENEFITS:

(i) Companys contributions under Provident Fund Act and Employees State Insurance Act are charged to Profit & Loss A/C on accrual basis.

(ii) Liability for Gratuity is recognized on payment basis. This is inconsistent with Accounting Standard 15 of ICAI. Provision on actuarial basis has not been made as the amount involved is insignificant.

13. BORROWING COST:

The Borrowing cost has been treated in accordance with Accounting Standard on Borrowing Costs (AS 16) issued by The Institute of Chartered Accountants of India.

14. INVESTMENTS:

Long term investments are valued at cost. Provision for diminution in the value of investments is made to recognize a decline other than temporary.

15. IMPAIRMENT OF ASSETS:

As per the management opinion there is no impairment loss to the fixed assets during the year.

---

Mar 31, 2007

1. ACCOUNTING POLICIES:

(i) Accounting policies are consistent with generally accepted Accounting Principles.

(ii) Financial Statements are based on historical cost.

(iii) Mercantile System of Accounting is followed and Income & Expenditure are accounted for on accrual basis except rates & taxes which is accounted on cash basis.

2. FIXED ASSETS:

Expenditure which are of capital nature are capitalized at Cost which comprises of purchase price, statutory levies and Other expenses/charges directly incurred in acquiring such Assets. Modvat credit on eligible assets acquired has been Reduced from the cost of the asset.

3. DEPRECIATION:

Depreciation is provided on cost, as reduced by Modvat credit Claimed on assets, from the date the assets have been acquired/commissioned and put to use, on the Straight Line method, at the rates and the manner specified in schedule XIV of the Companies Act 1956. The company has provided Depreciation based on book value upto the date of revaluation and on the enhanced value from the date of revaluation.

4. REVENUE RECOGNITION:

Sale of goods is recognized at the point of despatch of goods to the customers from the Companys factory. Income from Interest on advances, royalty & technical charges, consultancy and service charges1 are accounted on accrual basis.

5. SALES:

Sale comprises sale of goods and includes applicable excise duty and local taxes. Consequently duties paid to statutory authorities are recorded as expenditure.

6. INVENTORIES:

Inventories are valued in accordance with the method of valuation prescribed by The Institute of Chartered

Accountants are as follows: .

a) Raw materials, stores or consumables are valued at landed cost or net realizable value whichever is lower.

b) Work-in-progress is valued at cost of production Consisting of Raw material costs inclusive of Modvat, Manufacturing and Administrative overheads.

c) Finished Goods is valued at cost of production consisting of Raw material costs inclusive of Modvat, - Excise duty, Manufacturing and Administrative overheads or at net realizable price whichever is lower.

7. DEFERRED REVENUE EXPENDITURE:

ISO and TS Certification expenses is amortized over a period of of three years.

8. CONTINGENT LIABILITIES:

All liabilities have been provided for, except liabilities Of contingent nature which have been disclosed at there Estimated value in the Notes to Accounts.

9. FOREIGN CURRENCY TRANSACTIONS:

Transactions denominated in foreign currencies are normally recorded at the exchange rate prevailing at the time of the transaction or at contracted forward rates.

10. EMPLOYEE RETIREMENT BENEFITS:

i) Companys contributions under Provident Fund Act and Employees State Insurance Act are charged to Profit & Loss Account on accrual basis. .

ii) Liability for Gratuity is recognized on payment basis. This is inconsistent with Accounting Standard 15 of ICAI. Provision on actuarial basis has not been made as the amount Involved is insignificant.

11. BORROWING COST:

The Borrowing cost has been treated in accordance with Accounting Standard on Borrowing Costs(AS 16) issued by The Institute of Chartered Accountants of India.

---

Mar 31, 2006

1. ACCOUNTING POLICIES:

(i) Accounting policies are consistent with generally accepted Accounting Principles.

(ii) Financial Statements are based on historical cost.

(iii) Mercantile System of Accounting is followed and Income & Expenditure are accounted for on accrual basis except rates & taxes which is accounted on cash basis.

2. FIXED ASSETS:

Expenditure which are of capital nature are capitalized at Cost which comprises of purchase price, statutory levies and Other expenses/charges directly incurred in acquiring such Assets. Modvat credit on eligible assets acquired has been reduced from the cost of the asset.

3. DEPRECIATION:

Depreciation is provided on cost as reduced by Modvat credit claimed on assets, from the date the assets have been acquired/commissioned and put to use, on the Straight Line method, at the rates and the manner specified in schedule XIV of the Companies Act 1956. The company has provided Depreciation based on book value upto the date of revaluation and on the enhanced value from the date of revaluation.

4. REVENUE RECOGNITION:

Sale of goods is recognized at the point of despatch of goods to the customers from the Companys factory. Income from Interest on advances, royalty & technical charges, consultancy and service charges are accounted on accrual basis.

5. SALES:

Sale comprises sale of goods and includes applicable excise duty and local taxes. Consequently duties paid to statutory authorities are recorded as expenditure.

6. INVENTORIES:

Inventories are valued in accordance with the method of valuation prescribed by The Institute of Chartered Accountants are as follows:

a) Raw materials, stores or consumables are valued at landed cost or net realizable value whichever is lower.

b) Work-in-progress is valued at cost of production consisting of Raw material costs inclusive of Modvat, Manufacturing and Administrative overheads.

c) Finished Goods is valued at cost of production consisting of Raw material costs inclusive of Modvat, Excise duty, Manufacturing and Administrative overheads or at net realizable price whichever is lower.

7. DEFERRED REVENUE EXPENDITURE:

The advertisement and sales promotion expenses in connection wtih promotion of sale products are amortized over a period of three years.

8. CONTINGENT LIABILITIES:

All liabilities have been provided for, except liabilities of contingent nature which have been disclosed at there estimated value in the Notes to Accounts.

9. FOREIGN CURRENCY TRANSACTIONS:

Transactions denominated in foreign currencies are normally recorded at the exchange rate prevailing at the time of the transaction or at contracted forward rates.

10. EMPLOYEE RETIREMENT BENEFITS:

i) Companys contributions under Provident Fund Act and Employees State Insurance Act are charged to Profit & Loss Account on accrual basis.

ii) Liability for Gratuity is recognized on payment basis. This is inconsistent with Accounting Standard 15 of ICAI. Provision on actuarial basis has not been made as the amount involved is insignificant.

11. BORROWING COST:

The Borrowing cost has been treated.

---

Mar 31, 2003

1. ACCOUNTING POLICIES :

(i) Accounting policies are consistent with generally accepted Accounting Principles.

(ii) Financial Statements are based on historical cost.

(iii) Mercantile System of Accounting is followed and Income & Expenditure are accounted for on accrual basis.

2. FIXED ASSETS:

Expenditure which are of capital nature are capitalised at cost which comprises of purchase price, statutory levies and other expenses/charges directly incurred in acquiring such assets. Modvat credit on eligible assets acquired has been reduced from the cost of the asset.

3. DEPRECIATION:

Depreciation is provided on cost as reduced by Modvat credit claimed on assets, from the date the assets have been acquired/commi- ssioned and put to use, on the Straight Line method, at the rates and the manner specified in schedule XIV of the Companies Act 1956. The company has provided depreciation based on book value upto the date of revaluation and on the enhanced value from the date of revaluation.

4. REVENUE RECOGNITION :

Sale of goods is recognised at the point of despatch of goods to the customers from the Company's factory. Consignment Sales are accounted on receipt of Sales Patti from t h e Consignee. Income from Interest on advances, royalty & technical charges, consultancy and service charges are accounted on accrual basis.

5. SALES:

Sale comprises sale of goods and include applicable excise duty and local taxes. Consequently duties paid to Statutory authorities are recorded as expenditure.

6. INVENTORIES:

Inventories are valued in accordance with the method of valuation prescribed by The Institute of Chartered Accountants are as follows:

a) Raw materials, stores or consumables are valued at landed cost or net realisable value whichever is lower.

b) Work-in-progress is valued at cost of production consisting of Raw material costs inclusive of Modvat, Manufacturing and Administrative overheads.

c) Finished Goods is valued at cost of production consisting of Raw material costs inclusive of Modvat, Excise duty, Manufacturing and Administrative overheads or at net realisable price whichever is lower.

7. DEFERRED REVENUE EXPENDITURE:

Public issue expenses is amortised over a period of ten years and advertisement and sales promotion expenses in connection with promotion of sale products are amortised over a period of three years.

8. CONTINGENT LIABILITIES:

All liabilities have been provided tor, except liabilities of contingent nature which have been disclosed at their estimated value in the Notes to Accounts.

9. FOREIGN CURRENCY TRANSACTIONS:

Transactions denominated in foreign currencies are normally recorded at the exchange rate prevailing at the time of the transaction or at contracted forward rates.

10. EMPLOYEE RETIREMENT BENEFITS:

Company's contributions under Provident Fund Act and Employees State Insurance Act are charged to Profit & Loss account on accrual basis.

ii) Liability for Gratuity is recognised on payment basis. This is inconsistent with Accounting Standard 15 of ICAI. Provision on actuarial basis has not been made as the amount involved is insignificant.

11. BORROWING COST:

The Borrowing cost has been treated in accordance with Accounting Standard on Borrowing Costs(AS 16) issued by The Institute of Chartered Accountants of India. During the year, there no specific borrowings attributable to qualifying assets since the Assets acquired has taken a short period of time for their intended use, no capitalization of interest on borrowed funds has been carried out.

---

Mar 31, 2002

1. ACCOUNTING POLICIES:

(i) Accounting policies are consistent with generally accepted Accounting Principles.

(ii) Financial Statements are based on historical cost.

(iii) Mercantile System of Accounting is followed and income & Expenditure are accounted for on accrual basis.

2. FIXED ASSETS:

Expenditure which are of capital nature are capitalised at cost which comprises of purchase price, statutory levies and other expenses/charges directly incurred in acquiring such assets. Modvat credit on eligible assets acquired has been reduced from the cost of the asset.

3. DEPRECIATION:

Depreciation is provided on cost as reduced by Modvat credit claimed on assets, from the date the assets have been acquired/commissioned and put to use, on the Straight Line method, at the rates and the manner specified in schedule XIV of the Companies Act 1956. The company has provided depreciation based on book value upto the date of revaluation and on the enhanced value from the date of revaluation.

4. REVENUE RECOGNITION:

Sale of goods is recognised at the point of despatch, of goods to the customers from the Companys factory. Consignment Sales are accounted on receipt of Sales Patti from the Consignee. Income from Interest on advances, royalty & technical charges, consultancy and service charges are accounted on accrual basis.

5. SALES:

Sale comprises sale of goods and include applicable excise duty and local taxes. Consequently duties paid to Statutory authorities are recorded as expenditure.

6. INVENTORIES:

Inventories are valued in accordance with the method of valuation prescribed by The Institute of Chartered Accountants are as follows:

a) Raw materials, stores or consumables are valued at landed cost or net realisable value whichever is lower.

b) Work-in-progress is valued at cost of production consisting of Raw material costs inclusive of Modvat, Manufacturing and Administrative overheads.

c) Finished Goods is valued at cost of production consisting of Raw material costs inclusive of Modvat, Excise duty, Manufacturing and Administrative overheads or at net realisable price whichever is lower.

7. DEFERRED REVENUE EXPENDITURE:

Public issue expenses is amortised over a period of ten years and advertisement and sales promotion expenses in connection with promotion of sale products are amortised over a period of three years.

8. CONTINGENT LIABILITIES:

Ail liabilities have been provided for, except liabilities of contingent nature which have been disclosed at their estimated value in the Notes to Accounts.

9. FOREIGN CURRENCY TRANSACTIONS:

Transactions denominated in foreign currencies are normally recorded at the exchange rate prevailing at the time of the transaction or at contracted forward rates.

10. EMPLOYEE RETIREMENT BENEFITS:

i) Companys contributions under Provident Fund Act and Employees State Insurance Act are charged to Profit & Loss account on accrual basis.

ii) Liability for Gratuity is recognised on payment basis. This is inconsistent with Accounting Standard 15 of ICAI. Provision on actuarial basis has not been made as the amount involved is insignificant.

11. BORROWING COST:

The Borrowing cost has been treated in accordance with Accounting Standard on Borrowing Costs (AS 16) issued by The Institute of Chartered Accountants of India. During the year, there were no specific borrowings attributable to qualifying assets since the assets acquired has taken a short period of time for their intended use, no capitalization of interest on borrowed funds has been carried out.

---

Mar 31, 2001

1. FIXED ASSETS AND DEPRECIATION :

Expenditure which are of capital nature are capitalised at cost which comprises of purchase price statutory levies and other expenses/ charges directly incurred in acquiring such assets. Modvat credit on eligible assets acquired has been reduced from the cost of the asset. During the financial year 1994-95 , the company had revalued the land at Rs. 65 Lakhs as per the revaluation certificate issued by chartered Engineers and approved Valuers. In the financial year 1993-94, the company had revalued one machinery and mould at Rs. 75.00 Lakhs and Rs. 9.00 Lakhs respectively.

Depreciation is provided on cost as reduced by Modvat credit claimed on assets, from the date the assets have been acquired/commissioned and put to use, on the Straight Line method, at the rates and the manner specified in schedule XIV of the companies Act 1956. The company has provided depreciation based on book value upto the date of revaluation and on the enhanced value from the date of revaluaton.

2. REVENUE RECOGNITION :

Sale of goods is recognised at the point of despatch of goods to the customers from the Company s factory. Consignment Sales are accounted on receipt of Sales patti from the Consignee. Income from Interest on advances, royalty & technical charges, consultancy and service charges are accounted on accrual basis.

3. SALES :

Sale comprises sale of goods and include applicable excise duty and local taxes. Consequently duties paid to authorities are recorded as expenditure.

4. INVENTORIES :

Inventories are valued as follows :

a) Raw materials, stores or consumables are valued at landed cost or net realisable value whichever is lower.

b) Work-in-progress is valued at cost of production consisting of Raw material costs inclusive of Modvat, Manufacturing and Administrative overheads.

c) Finished Goods is valued at cost of production consisting of Raw material costs inclusive of Modvat, Excise duty,Manufacturing and Administrative overheads.

5. DEFERRED REVENUE EXPENDITURE :

Public issue expenses is amortised over a period of ten years and advertisement'and sales promotion expenses in connection with promotion of sale products are amortised over a period of three years.

6. CONTINGENT LIABILITIES :

All liabilities have been provided for, except liabilities of contingent nature which have been disclosed at their estimated value in the Notes to Accounts.

7. FOREIGN CURRENCY TRANSACTIONS :

Transactions denominated in foreign currencies are normally recorded at the exchange rate prevailing at the time of the transaction or at contracted forward rates.

8. EMPLOYEE RETIREMENT BENEFITS :

i) Company 's contributions under Provident Fund Act and Employees State Insurance Act are charged to Profit & Loss account on accrual basis.

ii) Liability for gratuity is recognised on payment basis. This is inconsistent with Accounting Standard 15 of ICAI. Provision on actuarial basis has not been made as the amount involved 's insignificant.

---

Mar 31, 2000

1. FIXED ASSETS AND DEPRECIATION:

Expenditure which are of capital nature are capitalised at cost which comprises of purchase price, statutory levies and other expenses/charges directly incurred in acquiring such assets. Modvat credit on eligible assets acquired has been reduced from the cost of the asset. During the financial year 1994-95, the company had revalued the land at Rs. 65 Lakhs as per the revaluation certificate issued by Chartered Engineers and approved Valuers. In the financial year 1993-94, the company had revalued one machinery and mould at Rs. 75.00 Lakhs and Rs.9.00 Lakhs respectively. Depreciation is provided on cost as reduced by Modvat credit claimed on assets, from the date the assets have been acquired/commissioned and put to use, on the Straight Line method, at the rates and the manner specified in schedule XIV of the Companies Act 1956. The company has provided depreciation based on book value upto the date of revaluation and on the enhanced value from the date of revaluation.

2. REVENUE RECOGNITION:

Sale of goods is recognised at the point of despatch of goods to the customers from the Company's factory. Consignment Sales are accounted on receipt of sales patti from the Consignee. Income from Interest on advances, royalty & technical charges, consultancy and service charges are accounted on accrual basis.

3. SALES:

Sales comprises sale of goods and include applicable excise duty and local taxes. Consequently duties paid to authorities are recorded as expenditure.

4. INVENTORIES:

Inventories are valued as follows :

a) Raw materials, stores or consumables are valued at landed cost or net realisable value whichever is lower.

b) Work-in-progress is valued at cost of production consisting of Raw material costs inclusive of Modvat, Manufacturing and Administrative overheads.

c) Finished Goods is valued at cost of production consisting of Raw material costs inclusive of Modvat, Excise duty, Manufacturing and Administrative overheads.

DEFERRED REVENUE EXPENDITURE :

Public issue expenses is amortised over a period often years and advertisement and sales promotion expenses in connection with promotion of sale of products are amortised over a period of three years.

CONTINGENT LIABILITIES:

All liabilities have been provider for, except liabilities of contingent nature which have been disclosed at their estimated value in the Notes to Accounts.

FOREIGN CURRENCY TRANSACTIONS:

Transactions denominated in foreign currencies are normally recorded at the exchange rate prevailing at the time of the transaction or at contracted forward rates.

EMPLOYEE RETIREMENT BENEFITS:

i) Company's contributions under Provident Fund Act and Employees State Insurance Act are charged to Profit & Loss account on accrual basis.

ii) Liability for Gratuity is recognised on payment basis. This is inconsistent with Accounting Standard 15 of ICAI. Provision on actuarial basis has not been made as the amount involved is insignificant.

---

Mar 31, 1999

1. FIXED ASSETS AND DEPRECIATION :

Expenditure which are of capital nature are capitalised at cost which comprises of purchase price, statutory levies and other expenses charges directly incurred in acquiring such assets. Modvat credit on eligible assets acquired has been reduced from the cost of the asset. During the financial year 1994-95, the company had revalued the land at Rs. 65 Lakhs as per the revaluation certificate issued by Chartered Engineers and approved Valuers. In the financial year 1993.94, the company had revalued one machinery and mould at Rs. 75.00 Lakhs and Rs.9.00 Lakhs respectively.

Depreciation is provided on cost as reduced by Modvat credit claimed on assets, from the date the assets have been acquired/commissioned and put to use, on the Straight Line method, at the rates and the manner specified in Schedule XIV of the Companies Act, 1956. The company has provided depreciation based on book value upto the date of revaluation and on the enhanced value from the date of revaluation.

2. REVENUE RECOGNITION :

Sale of goods is recognised at the point of despatch of goods to the customers from the Company's factory. Income from Interest on advances, royalty & technical charges, consultancy and service charges are accounted on accrual basis. Consignment Sales are accounted on receipt of sale patty from the consignee.

3. SALES :

Sale comprises sale of goods and include applicable excise duty and local taxes. Consequently duties paid to authorities are recorded as expenditure.

4. INVENTORIES :

Inventories are valued as follows :

a) Finished goods and work-in-progress are valued at cost of production consisting of Raw material costs inclusive of Modvat, Manufacturing and Administrative Overheads.

b) Raw materials, stores or consumables are valued at landed cost or net realisable value whichever is lower.

5. DEFERRED REVENUE EXPENDITURE :

Public issue expenses is amortised over a period of ten years and advertisement and sales promotion expenses in connection with promotion of sale products are amortised over a period of three years.

6. CONTINGENT LIABILITIES :

All liabilities have been provided for, except liabilities of contingent nature which have been disclosed at their estimated value in the Notes to Accounts.

7. FOREIGN CURRENCY TRANSACTIONS :

Transactions denominated in foreign currencies are normally recorded at the exchange rate prevailing at the time of the transaction or at contracted forward rates.

8. EMPLOYEE RETIREMENT BENEFITS :

i) Company's contributions under Provident Fund Act and Employees State Insurance Act are charged to Profit & Loss account on accrual basis.

ii) Liability for Gratuity is recognised on payment basis. This is inconsistent with Accounting Standard 15 of ICAI. Provision on actuarial basis has not been made as the amount involved is insignificant.

---

Mar 31, 1998

1. FIXED ASSETS AND DEPRECIATION:

Expenditure which are of capital nature are capitalised at cost which comprises of purchase price, statutory levies and other expenses / charges directly incurred in acquiring such assets. Modvat credit on eligible assets acquired has been reduced from the cost of the asset.

During the financial year 1994-95, the company had revalued the land at Rs. 65 Lakhs as per the revaluation certificate issued by Chartered Engineers and approved Valuers. In the financial year 1993-94, the company had revalued one machinery and mould at Rs. 75.00 Lakhs and Rs. 9.00 Lakhs respectively.

Depreciation is provided on cost as reduced by Modvat credit claimed on assets, from the date the assets have been acquired/commissioned and put to use, on the Straight Line method, at the rates and the manner specified in schedule XIV of the Companies Act 1956. The company has provided depreciation based on book value upto the date of revaluation and on the enhanced value from the date of revaluation.

Expansion work relating to Pondicherry project has been going on during the year and amount expended towards the same has been shown under the head Capital Work-in-progress. A portion of the building which has been completed has been capitalised based on the amount certified by the Architects, and depreciation on the same has been provided from the date of completion.

2. REVENUE RECOGNITION:

Sale of goods is recognised at the point of despatch of goods to the customers from the Company's factory. Income from Interest on advances, royalty & technical charges, consultancy and service charges are accounted on accrual basis.

3. SALES:

Sale comprises sale of goods and include applicable excise duty and local taxes. Consequently duties paid to authorities are recorded as expenditure.

4. INVENTORIES:

Inventories are valued as follows:

a) Finished goods and work-in-progress are valued at cost of production consisting of Raw material costs inclusive of Modvat, manufacturing and Administrative overheads.

b) Raw materials, stores or consumables are valued at landed cost or net realisable value whichever is lower.

5. DEFERRED REVENUE EXPENDITURE

Public issue expenses is amortised over a period of ten years and advertisement and sales promotion expenses in connection with promotion of sale products are amortised over a period of three years.

6. CONTINGENT LIABILITIES:

All liabilities have been provided for, except liabilities of contingent nature which have been disclosed at their estimated value in the Notes to Accounts.

7. MISCELLANEOUS EXPENDITURE:

Preliminary expenses are written off in equal instalments over a period of eight years.

8. FOREIGN CURRENCY TRANSACTIONS:

Transactions denominated in foreign currencies are normally recorded at the exchange rate prevailing at the time of the transaction or at contracted forward rates.

9. EMPLOYEE RETIREMENT BENEFITS:

i) Company's contributions under Provident Fund Act and Employees State Insurance Act are charged to Profit & Loss account on accrual basis.

ii) Liability for Gratuity is recognised on payment basis. This is inconsistent with Accounting Standard 15 of ICAI. Provision on actuarial basis has not been made as the amount involved is in significant.

---

Mar 31, 1997

1. FIXED ASSETS AND DEPRECIATION :

Expenditure which are of capital nature are capitalised at cost which comprises purchase price, statutory levies and other expenses/charges directly incurred in acquiring such assets. Modvat credit on assets acquired has been reduced from cost. During the financial year 1994-95, the company had revalued the land at Rs.65 Lakhs as per the revaluation certificate issued by chartered engineers and approved valuers. In the financial year 1993-94, the company had revalued one machinery and mould at Rs.75 Lakhs and Rs. 9 Lakhs respectively.

Depreciation is provided on cost as reduced by Modvat credit claimed on assets, from the date the assets have been acquired/commissioned and put to use on the Straight Line method, at the rates and the manner specified in Schedule XIV of the Companies Act, 1956. The company has provided depreciation based on book value upto the date of revaluation and on the enhanced value from the date of revaluation.

2. REVENUE RECOGNITION :

Sale of goods is recognised at the point of despatch of goods to the customers from the Company's factory. Income from Interest on advances, royalty & technical charges, consultancy and service charges are accounted on accrual basis.

3. SALES :

Sale comprises sale of goods and include applicable excise duty and local taxes Consequently duties paid to the authorities are recorded as expenditure.

4. INVENTORIES :

Inventories are valued as follows :

(a) Finished goods and work-in-progress are valued at cost of production consisting of Raw material costs inclusive of Modvat, manufacturing and administrative overheads.

(b) Raw materials, stores or consumables are valued at landed cost or net realisable value whichever is lower.

5. DEFERRED REVENUE EXPENDITURE :

Public issue expenses, is amortised over a period of ten years and advertisement and sales promotion expenses in connection with launching of new products are amortised over a period of three years.

6. CONTINGENT LIABILITIES :

All liabilities have been provided for, except liabilities of contingent nature which have been disclosed at their estimated value in the notes to Accounts.

7. MISCELLANEOUS EXPENDITURE :

Preliminary expenses are written off in equal instalments over a period of eight years.

8. FOREIGN CURRENCY TRANSACTIONS :

Transactions denominated in foreign currencies are normally recorded at the exchange rate prevailing at the time of the transaction.

9. EMPLOYEE RETIREMENT BENEFITS :

i) Company's contributions under Provident Fund Act and Employees State Insurance Act are charged to Profit & Loss account on actual payment basis.

ii) Liability for Gratuity is recognised on payment basis. This is inconsistent with Accounting Standard 15 of ICAI. Provision on actuarial basis has not been made as the amount involved is insignificant.

---

Mar 31, 1996

1. FIXED ASSETS AND DEPRECIATION:

Expenditure which are of capital nature are capitalised at cost which comprises purchase price, statutory levies and other expenses/charges directly incurred in acquiring such assets. During the financial year 1994-95, the company had revalued the land at Rs.65 Lakhs as per the revaluation certificate issued by Chartered Engineers and Approved Valuers. In the financial year 1993-94, the company had revalued one machinery and mould at Rs. 75.00 Lakhs and Rs. 9.00 Lakhs respectively.

Depreciation is provided from the date the assets have been acquired/commissioned and put to use on the Straight Line method, at the rates and the manner specified in schedule XIV of the Companies Act 1956. The company has provided depreciation based on book value upto the date of revaluation and on enchanced value from the date of revaluation. The company has changed the method of providing the Depreciation from written down value method to Straight line method during the year.

2. REVENUE RECOGNITION

Sale of goods is recognised at the point of despatch of goods to the customers from the Company's factory. Income from Interest on Advances, Royalty & Technical charges, consultancy and Service charges are accounted on accrual basis.

3. SALES:

Sale comprises sale of goods and include applicable Excise duty and Local taxes. Consequently duties paid to the authorities are recorded as expenditure.

4. INVENTORIES:

Inventories are valued as follows:

(a) Finished goods and work in progress are valued at cost of production consisting of Raw material costs inclusive of Modvat, manufacturing and Administrative overheads.

(b) Raw materials, stores or consumables are valued at cost or net realisable value whichever is lower.

5. DEFERRED REVENUE EXPENDITURE:

Public Issue Expenses, is amortised over a period of ten years and Advertisement and Sales Promotion Expenses in connection with launching of new products are amortised over a period of three years.

6. MISCELLANEOUS EXPENDITURE:

Preliminary expenses are written off in equal instalments over a period of Eight years.