Notes to Accounts of Shah Foods Ltd.

Mar 31, 2025

2.6. Provisions, contingent liabilities and contingent assets
Contingent liability:

A possible obligation that arises from past events and the existence of which will be
confirmed only by the occurrence or non-occurrence of one or more uncertain future events
not wholly within the control of the Company are disclosed as contingent liability and not
provided for. Such liability is not disclosed if the possibility of outflow of resources is
remote.

Contingent assets:

A contingent asset is a possible asset that arises from past events and whose existence will
be confirmed only by the occurrence or non-occurrence of one or more uncertain future
events not wholly within the control of the Company. Contingent assets are not recognised
and disclosed only when an inflow of economic benefits is probable.

Provisions:

A provision is recognized when as a result of a past event, the Company has a present
obligation whether legal or constructive that can be estimated reliably and it is probable that
an outflow of economic benefits will be required to settle the obligation. If the obligation is
expected to be settled more than 12 months after the end of reporting date or has no definite
settlement date, the provision is recorded as non-current liabilities after giving effect for
time value of money, if material. Where discounting is used, the increase in the provision
due to the passage of time is recognized as a finance cost.

2.7. Revenue Recognisation

a) Revenue from the sale of goods is recognised when significant risks and rewards in
respect of ownership of the goods are transferred to the customer, as per the terms of the
order. The company has shown separately in the expenses as the revenues from the
operations are stated at gross amount as per the Requirement of Ind AS 115. Further, the
amounts collected on behalf of third parties such as government authorities for VAT, Service

Tax and GST are excluded from the revenue since the same do not result in increase in
Equity.

b) Interest Income is recognised on time proportion basis.

2.8. Income taxes

Income tax expense comprises current and deferred tax expense. Income tax expenses are
recognized in statement of profit and loss, except when they relate to items recognized in
other comprehensive income or directly in equity, in which case, income tax expenses are
also recognized in other comprehensive income or directly in equity respectively.

Current tax is the tax payable on the taxable profit for the year, using tax rates enacted or
substantively enacted by the end of reporting period by the governing taxation laws, and
any adjustment to tax payable in respect of previous periods. Current income tax assets and
liabilities are measured at the amount expected to be recovered from or paid to the taxation
authorities. Management periodically evaluates positions taken in the tax returns with
respect to situations in which applicable tax regulations are subject to interpretation and
establishes provisions where appropriate.

Deferred taxes arising from deductible and taxable temporary differences between the tax
base of assets and liabilities and their carrying amount in the financial statements are
recognized using substantively enacted tax rates and laws expected to apply to taxable
income in the years in which the temporary differences are expected to be received or
settled.

Deferred tax asset are recognized only to the extent that it is probable that future taxable
profit will be available against which the deductible temporary differences can be utilized.
The carrying amount of deferred tax assets is reviewed at each reporting date and reduced
to the extent that it is no longer probable that sufficient taxable profit will be available to
allow all or part of the deferred income tax assets to be utilized.

2.9. Earnings Per Share

a) Basic earnings per share are calculated by dividing the net profit for the period
attributable to equity shareholders by the weighted average number of equity shares
outstanding during the period.

b) For the purpose of calculating diluted earnings per share, the net profit for the period
attributable to equity shareholders and the weighted average number of shares outstanding
during the period are adjusted for the effects of all dilutive potential equity shares, if any.

2.10. Borrowing cost

Borrowing costs directly attributable to the acquisition, construction or production of
qualifying assets, which are assets that necessarily take a substantial period of time to get
ready for their intended use or sale, are added to the cost of these assets, until such time as
the assets are substantially ready for their intended use or sale.

All other borrowing costs are recognised in statement of profit and loss in the period in
which they are incurred.

2.11. Segment Reporting

The company has only one preliminary reportable segment i.e. manufacturing of Biscuits for
Britannia Industries Limited and Trading of shares and securities hence there is no separate
reportable segments as required in Ind AS 108 issued by ICAI.

2.12. Depreciation

Depreciation on tangible fixed assets is provided using the Straight-Line Method based on
the useful life of the assets as estimated by the management and is charged to the Statement
of Profit and Loss as per the requirement of Schedule II of the Companies Act, 2013. In case
of additions or deletions during the year, depreciation is computed from the month in which
such assets are put to use and up to previous month of sale or disposal, as the case may be.
The Factory land is shown under the head "Assets Held For Sale" hence no depreciation is
charged.

2.13. Foreign currency Transactions

Foreign currency transactions are recorded at the exchange rate prevailing at the date of
transactions. Exchange difference arising on settlement of transactions is recognised as
income or expense in the year in which they arise.

Monetary assets and liabilities related to foreign currency transactions remaining unsettled
at the end of the year are restated at the year-end rate and difference in translations and
unrealised gains / (losses) on foreign currency transactions are recognised in the statement
of profit & loss.

The premium or discount arising at the inception of forward exchange contracts is amortised
as expense or income over the life of the contract. Exchange differences on such contracts are
recognised in the statement of profit and loss in the year in which the exchange rates change.
Any profit or loss arising on cancellation or renewal of forward exchange contract is
recognised as income or as expense for the year.

2.14. Non current assets held for sale

Non-current assets are classified as held for sale if their carrying amount will be recovered
principally through a sale transaction rather than through continuing use and sale is
considered highly probable. A sale is considered as highly probable when decision has been
made to sell, assets are available for immediate sale in its present condition, assets are being
actively marketed and sale has been agreed or is expected to be concluded within 12 months
of the date of classification.

Non-current assets held for sale are neither depreciated nor amortised. Assets and liabilities
classified as held for sale are measured at the lower of their carrying amount and fair value
less cost of sale and are presented separately in the Balance Sheet.

The management is not able to sale the factory land during the year due to the Covid 19
pandemic situation which is beyond its control. The intention of the management is
however still the same to sale the assets.

19. a) In opinion of the directors, contingent liability not provided is Rs. Nil. (Nil)

b) Estimated amount of contracts remaining to be executed on capital account and
not provided for: Rs. Nil (Nil).

20. Balances of Trade Payables, Unsecured Loans, Trade Receivables, Long Term and Short¬
Term Loans & Advances, In-operative bank accounts, Other Current and Other Non¬
Current Assets and Provisions are subject to the confirmation of the parties concerned.
Wherever confirmation of the parties for the amounts due to them / amounts due from
them as per books of accounts are not received, necessary adjustments, if any, will be made
when the accounts are reconciled / settled.

21. In the absence of information regarding outstanding dues of MICRO or Small-Scale
Industrial Enterprise(s) as per The Micro, Small & Medium Enterprise Development Act, the
Company has not disclosed the same as required by Schedule III to the Companies Act.

22. Wherever no vouchers and documentary evidences were made available for our
verification, we have relied on the authentication given by management of the company.

26. Balance confirmations for debit/credit balances have been sought.

27. Additional information pursuant to Act, 2013 to the extent applicable. (As certified by the
Directors).

A) Installed Capacity: NA

B) Production: NA

(C) Value of Imported and Indigenous raw materials (including components) consumed and
their percentage: NA

28. Expenditure in foreign currency during the year on account of royalty, know-how,
professional consultancy fees, interest and other matters Rs. Nil (Previous Years Rs. Nil)

29. C.I.F. Value of Imports of raw materials, components and spares -
Rs. Nil (Previous year Rs. Nil)

30. Earning in foreign exchange on account of export etc. - Rs. Nil

31. Remittance in foreign currency on account of dividend etc. - Rs. Nil (Previous year Rs. Nil)

32. In the opinion of Board of Directors, the current asset, loans & advances are
approximately of the same value, if realized in the ordinary course of business. The
provision for all known liabilities is adequate and not in excess of the amount reasonably
necessary.

As per our report of even date For and on behalf of the Board of Directors

FOR KESHRI & ASSOCIATES SHAH FOODS LIMITED

Chartered Accountants
Firm registration no. 310006E

sd/- sd/-

Sd/-

Jagdish Rameshbhai Asawa MANAN RAJESH PATEL HEMAKSHI MANAN PATEL

Partner DIRECTOR Managing Director

Membership No. 163626 DIN : 03496656 DIN : 07297442

Place : Ahmedabad Place : Ahmedabad

Date : 28/05/2025 Date : 28-05-2025

---

Mar 31, 2024

2.6. Provisions, contingent liabilities and contingent assets
Contingent liability:

A possible obligation that arises from past events and the existence of which will be
confirmed only by the occurrence or non-occurrence of one or more uncertain future events
not wholly within the control of the Company are disclosed as contingent liability and not
provided for. Such liability is not disclosed if the possibility of outflow of resources is
remote.

Contingent assets:

A contingent asset is a possible asset that arises from past events and whose existence will
be confirmed only by the occurrence or non-occurrence of one or more uncertain future
events not wholly within the control of the Company. Contingent assets are not recognised
and disclosed only when an inflow of economic benefits is probable.

Provisions:

A provision is recognized when as a result of a past event, the Company has a present
obligation whether legal or constructive that can be estimated reliably and it is probable that
an outflow of economic benefits will be required to settle the obligation. If the obligation is
expected to be settled more than 12 months after the end of reporting date or has no definite
settlement date, the provision is recorded as non-current liabilities after giving effect for
time value of money, if material. Where discounting is used, the increase in the provision
due to the passage of time is recognized as a finance cost.

2.7. Revenue Recognisation

a) Revenue from the sale of goods is recognised when significant risks and rewards in
respect of ownership of the goods are transferred to the customer, as per the terms of the
order. The company has shown separately in the expenses as the revenues from the
operations are stated at gross amount as per the Requirement of Ind AS 115. Further, the
amounts collected on behalf of third parties such as government authorities for VAT, Service
Tax and GST are excluded from the revenue since the same do not result in increase in
Equity.

b) Interest Income is recognised on time proportion basis.

2.8. Income taxes

Income tax expense comprises current and deferred tax expense. Income tax expenses are
recognized in statement of profit and loss, except when they relate to items recognized in
other comprehensive income or directly in equity, in which case, income tax expenses are
also recognized in other comprehensive income or directly in equity respectively.

Current tax is the tax payable on the taxable profit for the year, using tax rates enacted or
substantively enacted by the end of reporting period by the governing taxation laws, and
any adjustment to tax payable in respect of previous periods. Current income tax assets and
liabilities are measured at the amount expected to be recovered from or paid to the taxation
authorities. Management periodically evaluates positions taken in the tax returns with
respect to situations in which applicable tax regulations are subject to interpretation and
establishes provisions where appropriate.

Deferred taxes arising from deductible and taxable temporary differences between the tax
base of assets and liabilities and their carrying amount in the financial statements are
recognized using substantively enacted tax rates and laws expected to apply to taxable
income in the years in which the temporary differences are expected to be received or
settled.

Deferred tax asset are recognized only to the extent that it is probable that future taxable
profit will be available against which the deductible temporary differences can be utilized.
The carrying amount of deferred tax assets is reviewed at each reporting date and reduced
to the extent that it is no longer probable that sufficient taxable profit will be available to
allow all or part of the deferred income tax assets to be utilized.

2.9. Earnings Per Share

a) Basic earnings per share are calculated by dividing the net profit for the period
attributable to equity shareholders by the weighted average number of equity shares
outstanding during the period.

b) For the purpose of calculating diluted earnings per share, the net profit for the period
attributable to equity shareholders and the weighted average number of shares outstanding
during the period are adjusted for the effects of all dilutive potential equity shares, if any.

2.10. Borrowing cost

Borrowing costs directly attributable to the acquisition, construction or production of
qualifying assets, which are assets that necessarily take a substantial period of time to get
ready for their intended use or sale, are added to the cost of these assets, until such time as
the assets are substantially ready for their intended use or sale.

All other borrowing costs are recognised in statement of profit and loss in the period in
which they are incurred.

2.11. Segment Reporting

The company has only one preliminary reportable segment i.e. manufacturing of Biscuits for
Britannia Industries Limited and Trading of shares and securities hence there is no separate
reportable segments as required in Ind AS 108 issued by ICAI.

2.12. Depreciation

Depreciation on tangible fixed assets is provided using the Straight-Line Method based on
the useful life of the assets as estimated by the management and is charged to the Statement
of Profit and Loss as per the requirement of Schedule II of the Companies Act, 2013. In case
of additions or deletions during the year, depreciation is computed from the month in which
such assets are put to use and up to previous month of sale or disposal, as the case may be.
The company has decided to sell its factory land, factory building and plant & machineries
of the factories. The management is not able to sale Factory land in this year due to the
Covid-19 pandemic situation which is beyond its control. The intention of the management
is however still the same to sale the assets. Hence, depreciation on such assets are not
provided for the period.

2.13. Foreign currency Transactions

Foreign currency transactions are recorded at the exchange rate prevailing at the date of
transactions. Exchange difference arising on settlement of transactions is recognised as
income or expense in the year in which they arise.

Monetary assets and liabilities related to foreign currency transactions remaining unsettled
at the end of the year are restated at the year-end rate and difference in translations and
unrealised gains / (losses) on foreign currency transactions are recognised in the statement
of profit & loss.

The premium or discount arising at the inception of forward exchange contracts is amortised
as expense or income over the life of the contract. Exchange differences on such contracts are
recognised in the statement of profit and loss in the year in which the exchange rates change.
Any profit or loss arising on cancellation or renewal of forward exchange contract is
recognised as income or as expense for the year.

2.14. Non current assets held for sale

Non-current assets are classified as held for sale if their carrying amount will be recovered
principally through a sale transaction rather than through continuing use and sale is
considered highly probable. A sale is considered as highly probable when decision has been
made to sell, assets are available for immediate sale in its present condition, assets are being
actively marketed and is expected to be concluded within 12 months of the date of
classification.

Non-current assets held for sale are neither depreciated nor amortised. Assets and liabilities
classified as held for sale are measured at the lower of their carrying amount and fair value
less cost of sale and are presented separately in the Balance Sheet.

The management is not able to sale the factory land during the year due to the Covid 19
pandemic situation which is beyond its control. The intention of the management is
however still the same to sale the assets.

19. a) In opinion of the directors, contingent liability not provided is Rs. Nil. (Nil)

b) Estimated amount of contracts remaining to be executed on capital account and
not provided for: Rs. Nil (Nil).

20. Balances of Trade Payables, Unsecured Loans, Trade Receivables, Long Term and Short¬
Term Loans & Advances, In-operative bank accounts, Other Current and Other Non¬
Current Assets and Provisions are subject to the confirmation of the parties concerned.
Wherever confirmation of the parties for the amounts due to them / amounts due from
them as per books of accounts are not received, necessary adjustments, if any, will be made
when the accounts are reconciled / settled.

21. In the absence of information regarding outstanding dues of MICRO or Small-Scale
Industrial Enterprise(s) as per The Micro, Small & Medium Enterprise Development Act, the
Company has not disclosed the same as required by Schedule III to the Companies Act.

22. Wherever no vouchers and documentary evidences were made available for our
verification, we have relied on the authentication given by management of the company.

23. Figures have been rounded off to the nearest rupee wherever required.

26. Balance confirmations for debit/credit balances have been sought.

27. Expenditure in foreign currency during the year on account of royalty, know-how,
professional consultancy fees, interest and other matters Rs. Nil (Previous Years Rs. Nil)

28. C.I.F. Value of Imports of raw materials, components and spares -
Rs. Nil (Previous year Rs. Nil)

29. Earning in foreign exchange on account of export etc. - Rs. Nil (Previous year Rs. Nil)

30. Remittance in foreign currency on account of dividend etc. - Rs. Nil (Previous year Rs. Nil)

31. In the opinion of Board of Directors, the current asset, loans & advances are
approximately of the same value, if realized in the ordinary course of business. The
provision for all known liabilities is adequate and not in excess of the amount reasonably
necessary.

As per our report of even date For and on behalf of the Board of Directors

FOR KESHRI & ASSOCIATES SHAH FOODS LIMITED

Chartered Accountants
Firm registration no. 310006E

Jagdish Rameshbhai Asawa MANAN RAJESH PATEL HEMAKSHI MANAN PATEL

Partner DIRECTOR Managing Director

Membership No. 163626 DIN : 03496656 DIN : 07297442

UDIN: 24163626BKCMOD6582

Place : Ahmedabad Place : Ahmedabad

Date : 30-05-2024 Date : 30-05-2024

---

Mar 31, 2015

1 Corporate information

Shah Foods Ltd. Is a public limited company in India and incorporated under the provision of the company Act. 1956. Its shares are listed in BSEL. The Company's activities are in manufacturing of Biscuits for Britannia Industries Limited and Trading of shares and securities.

2. Rights & Restriction attached to shares Equity shares

The Company has one class of equity shares having a par value of Rs. 10 per share. Each shareholder is eligible for one vote per share held. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting, except in case of interim dividend. In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the Company after distribution of all preferential amounts, in proportion to their shareholding.

3. (AJMETHOD OF ACCOUNTING :

Expenses are provided on mercantile system except cash system for Insurance Claims, Sales Tax Refund.

The Accounts have been prepared on historical cost basis of accounting. All expenses and income to the extent considered payable and receivable unless stated otherwise are accounted for on accrual basis. Accounting policies not specifically referred to are in consistent with generally accepted accounting practices.

(BJ) FIXED ASSETS:

Fixed Assets are stated at cost of acquisition or construction less Depreciation. All costs relating to the acquisition and installation of fixed assets are capitalised.

(CJ) DEPRECIATION:

Depreciation on Fixed Assets has been provided on straight line method as per rates specified in amended schedule XIV of the Companies Act, 1956 Vide Notification No GSR 758 (2) dated 16th December 1993 other than free hold land for full year.

(DJ) INVENTORIES:

Raw Materials & Furnace Oil is valued at cost. Stock of Shares of Trading activity is valued at cost or market value whichever is lower.

(EJ) INVESTMENT:

Unquoted Investments are stated at cost.

(FJ) GRATUITY:

Payment for present liability of future payment of gratuity is being made to approve Gratuity Funds which fully covers the same under cash accumulation scheme of the Life Insurance Corporation of India.

4. Previous year's figures have been regrouped / rearranged wherever necessary to make them comparable with current year's figures.

5. Provision made of Rs. 5,80,000 for Income Tax has been made from current year profit and Rs. 3,410 for deferred Tax has been made from current year profit on the basis of claims and deductions as per Income Tax Act 1961.

6. RELATED PARTY DISCLOSURES UNDER ACCOUNTING STANDARD 18

* RELATED PARTY

A) Associate Companies: (1) IND ASIA Funds Advisors Pvt. Ltd. (2) Helios Greentech Pvt. Ltd.

B) Vice chairman: Shri. Janak P. Shah

C) Directors

(1) Shri. Sushil P. Shah (2) Shri. Pradip P. Shah (3) Shri Virendra P. Shah (4) Shri. Shrichand R. Kahar (5) Shri. Nirav J. Shah (6) Mrs. Pushpa J. Shah

* RELATED PARTY TRANSCATIONS

A) Associate Companies - Nil -

B) Directors

* Details of remuneration to Vice Chairman, Operations Director are disclosed in the notes to accounts.

* There are no write offs/write back of any amounts for any of the above-related party.

7. Expenditure incurred on employees covered u/s 217(2A) of the companies act,1956- Rs. NIL (Previous year Rs. NIL)

8. During the year under review, Britannia Industries Limited deducts TDS on job-work receipts on job charges including excise duty and hence TDS rate & job charges are not comparable.

9. Balance confirmations for debit/credit balances have been sought.

10. Additional information pursuant to para III and IV of part II of schedule VI of Companies Act, 1956 to the extent applicable.(As certified by the Directors)

11. Expenditure in foreign currency during the year on account of royalty, know-how, professional consultancy fees, interest and other matters Rs. Nil. (Previous years Rs. Nil).

12. C.I.F. Value of imports of raw materials, components and spares Rs. Nil.(Previous year Rs. Nil)

13. Earning in foreign exchange on account of export etc. Rs.Nil.

14. Remittance in foreign currency on account of dividend etc. Rs.NIL. (Previous year Nil)

15. In the opinion of Board of Directors, the current assets, loans & advances are approximately of the same value, if realised in the ordinary course of business. The provision for all known liabilities is adequate and not in excess of the amount reasonably necessary.

---

Mar 31, 2014

1. Corporate information

Shah Foods Ltd. is a public limited company in India and incorporated under the provisions of the Companies Act 1956. its shares are listed in BSEL. The company''s activities are in manufacturing of Biscuits for Britannia Industries Limited and Trading of shares and securities.

2. Rights & Restriction attached to shares

Equity shares

The Company has one class of equity shares having a par value of Rs. 10 per share. Each shareholder is eligible for one vote per share held. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting, except in case of interim dividend. In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the Company after distribution of all preferential amounts, in proportion to their shareholding.

3. {A}METHOD OF ACCOUNTING:

Expenses are provided on mercantile system except cash system for Insurance Claims, Sales Tax Refund.

The Accounts have been prepared on historical cost basis of accounting. All expenses and income to the extent considered payable and receivable unless stated otherwise are accounted for on accrual basis. Accounting policies not specifically referred to are in consistent with generally accepted accounting practices.

{B} FIXED ASSETS :

Fixed Assets are stated at cost of acquisition or construction less Depreciation. All costs relating to the acquisition and installation of fixed assets are capitalised.

{C} DEPRECIATION:

Depreciation on Fixed Assets has been provided on straight line method as per rates specified in amended schedule XIV of the Companies Act, 1956 Vide Notification No GSR 758 (2) dated 16th December 1993 other than free hold land for full year.

{D} INVENTORIES:

Raw Materials & Furnace Oil is valued at cost. Stock of Shares of Trading activity is valued at cost or market value whichever is lower.

{E} INVESTMENT:

Unquoted Investments are stated at cost.

{F}GRATUITY:

Payment for present liability of future payment of gratuity is being made to approve Gratuity Funds which fully covers the same under cash accumulation scheme of the Life Insurance Corporation of India.

4. Previous year''s figures have been regrouped/rearranged wherever necessary to make them comparable with current year''s figures.

5. Provision made of Rs. 1,90,000 for Income Tax has been made from current year profit and Rs. 34,278 for deferred Tax has been added back in current year profit on the basis of claims and deductions as per Income Tax Act 1961.

* Details of remuneration to Vice Chairman, Operations Director are disclosed in the notes to accounts.

* There are no write offs/write back of any amounts for any of the above-related party.

6. Expenditure incurred on employees covered u/s 217(2A) of the companies act,1956- Rs. NIL (Previous year Rs. NIL)

7. During the year under review, Britannia Industries Limited deducts TDS on job-work receipts on job charges including excise duty and hence TDS rate & job charges are not comparable.

8. Balance confirmations for debit/credit balances have been sought.

9. Additional information pursuant to para III and IV of part II of schedule VI of Companies Act, 1956 to the extent applicable.(As certified by the Directors)

10. Expenditure in foreign currency during the year on account of royalty, know-how, professional consultancy fees, interest and other matters Rs. Nil. (Previous years Rs. Nil).

11. C.I.F. Value of imports of raw materials, components and spares Rs. Nil.(Previous year Rs. Nil)

12. Earning in foreign exchange on account of export etc. Rs.Nil.

13. Remittance in foreign currency on account of dividend etc. Rs.NIL. (Previous year Nil)

14. In the opinion of Board of Directors, the current assets, loans & advances are approximately of the same value, if realised in the ordinary course of business. The provision for all known liabilities is adequate and not in excess of the amount reasonably necessary.

---

Mar 31, 2012

1. Corporate information

The company's activities are in manufacturing bo Biscuits for Britannia Industries Limited and Trading of shares and securities.

a. Rights & Restriction attached to shares Equity shares

The Company has one class of equity shares having a par value of Rs. 10 per share. Each shareholder is eligible for one vote per share held. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting, except in case of interim dividend. In ttie event of liquidation, the equity shareholders are eligible to receive the remaining assets of the Company after distribution of all preferential amounts, in proportion to their shareholding.

2. METHODOF ACCOUNTING:

Revenue expenditure pertaining to research is charged to the Statement of Profit and Loss. Development costs of products Expenses are provided on mercantile system except cash system for Insurance Claims, Sales Tax Refund, The Accounts have been prepared on historical cost basis of accounting. All expenses and income to the extent considered payable and receivable unless stated otherwise are accounted for on accrual basis. Accounting policies not specifically referred to are in consistent with generally accepted accounting practices.

{A}FIXED ASSETS:

Fixed Assets are stated at cost of acquisition or construction less Depreciation. All costs relating to the acquisition and installation of fixed assets are capitalised.

(B) DEPRECIATION:

Depreciation on Fixed Assets has been provided on straight line method as per rates specified in amended schedule XIV of the Companies Act. 1956 Vide Notification No GSR 758 (2) dated 16th December 1993 other than free hold land for full year.

(C) INVENTORIES:

Raw Materials & Furnace Oil is valued at cost. Stock of Shares of Trading activity is valued at cost or market value whichever is lower.

(D) INVESTMENT:

Unquoted Investments are stated at cost.

(E) GRATUITY:

Payment for present liability of future payment of gratuity is being made to approve Gratuity Funds which fully covers the same under cash accumulation scheme of the Life Insurance Corporation of India.

3 Previous year's figures have been regrouped / rearranged wherever necessary to make them comparable with current year's figures.

4 Provision made of Rs. 2,12,000 for Income Tax has been made from current year profit and Rs. 12,017 for deferred Tax has been added back in current year profit on the basis of claims and deductions as per Income Tax Act 1961.

5 RELATED PARTY DISCLOSURES UNDER ACCOUNTING STANDARD 18 RELATED PARTY

A) Associate Companies Plaskon Private Limited IND ASIA Funds Advisors Pvt. Ltd.

B) Chairman: Shri Pradip P. Shah

C) Vice chairman: Shri. Janak P. Shah

D) Directors Shri. Sushil P. Shah

Shri. Virendra P. Shah

Shri. Shrichand R. Kahar

Shri. Nirav J. Shah

6 Expenditure incurred on employees covered u/s 217(2A) of the companies act, 1956- Rs. NIL (Previous year Rs. NIL)

7 During the year under review, Britannia Industries Limited deducts TDS on job-work receipts on job charges including excise duty and hence TDS rate & job charges are not comparable.

8 Balance confirmations for debit/credit balances have been sought.

9 Expenditure in foreign currency during the year on account of royalty, know-how, professional consultancy fees, interest and other matters Rs. Nil. (Previous years Rs. Nil).

10 C.I.F. Value of imports of raw materials, components and spares Rs. Nil.(Previous year Rs. Nil)

11 Earning in foreign exchange on account of export etc. Rs.Nil.

12 Remittance in foreign currency on account of dividend etc. Rs.NIL. (Previous year Nil)

13 In the opinion of Board of Directors, the current assets, loans & advances are approximately of the same value, if realised in the ordinary course of business. The provision for all known liabilities is adequate and not in excess of the amount reasonably necessary.

---

Mar 31, 2010

(1) Previous years figures have been regrouped/rearranged wherever necessary to make them comparable with current years figures.

(2) Provision of Rs. 10,34,068 for Income Tax and Rs. 1,088 for differed tax for F.Y. 2009-2010 has been made from current year profit on the basis of claims and deductions as per Income Tax Act 1961.

(3) RELATED PARTY DISCLOSURES UNDER ACCOUNTING STANDARD 18

- RELATED PARTY

(A) Associate Companies Plaskon Private Limited. Ind Asia Fund Advisors Pvt. Ltd.

(B) Vice Chairman : Shri. Janak P. Shah

(C) Directors Shri. Pradip P. Shah

Shri Sushil P. Shah Shri Virendra P. Shah Shri Shrichand R. Kahar Shri Nirav J. Shah

- RELATED PARTY TRANSACTIONS

(A) Associate Compaines - Nil

(B) Directors - Nil

- Details of remuneration to Vice Chairman & Director-Operations are Disclosed the notes to accounts.

- There are no write offs/write back of any amounts for any of the above - related party.

(4) Expenditure incurred on employees covered u/s 217(2A) of the Companies Act, 1956- Rs. NIL (Previous year Rs. NIL)

(5) During the year under review, Britannia Industries Ltd. deducted TDS on Job-work receipts on job charges including excise duty and hence TDS rate & job charges are not comparable.

(6) Balance confirmations for debit/credit balances have been sought.

(7) Additional information pursuant to para III and IV of part II of schedule VI of Companies Act, 1956 to the extent applicable, (As certified by the Directors)

(8) Expenditure in foreign currency during the year on account of royalty, know-how, professional consultancy fees, interest and other matters Rs. NIL. (Previous year Rs. Nil).

(9)C.I.F. Value of imports of raw materials, components and spares Rs. NIL. (Previous year Rs. NIL)

(10)Earning in foreign exchange on account of export etc. Rs. NIL

(11)Remittance in foreign currency on account of dividend etc. Rs. NIL. (Previous year NIL)

(12) In the opinion of Board of Directors, the current assets, loans & advances are approximately of the same value, if realised in the ordinary course of business. The provision for all known liabilities is adequate and not in excess of the amount reasonably necessary.